TOMORROWS TRANSPORTATION NEWS TODAY!

Tag: broader

Virgin Australia wheels out country’s first airline baggage tracking tool

Virgin Australia will launch the country’s first-ever airline baggage tracking tool across more than two thirds of its domestic network tomorrow, allowing guests to know where their bag is at every step of the journey.

With digital tracking now part of everyday life, Virgin Australia’s new seamless travel experience is the latest instalment of the airline’s broader transformation program.

The tool, which has been two years in the making, comes as lost baggage remains a pain point for travellers across the globe. Despite this, Virgin Australia far outperforms the industry average for mishandled baggage, with a mishandled baggage rate of around 1.5 per 1,000 guests – five times better than the last recorded industry average.

The first-to-market technology is set to free guests from the fear of losing their bags next time they fly, with Virgin Australia anticipating a rise in guests checking in baggage as a result of the new tracking tool.

Initially piloted in May 2023, the tracking tool will be available on most domestic routes between major airports, including Sydney-Melbourne, Brisbane-Sydney, Melbourne-Gold Coast, Melbourne-Hobart, Adelaide-Melbourne, Sydney-Sunshine Coast, and more (refer Notes to Editor). The airline’s remaining domestic network, including select services departing Perth, are expected to feature the tracking tool soon.

Air Niugini Delays Delivery of Four 737 MAX Jets Until at Least 2024

A Boeing 737 Max aircraft taxis the runway at the Renton Municipal Airport in Renton

SYDNEY (Reuters) – Papua New Guinea carrier Air Niugini has updated its contract with Boeing Co <BA> to delay the delivery of its four 737 MAX jets on order until at least 2024, the airline’s chief executive said on Tuesday.

The carrier had been due to receive its first 737 MAX this year.

Air Niugini Chief Executive Alan Milne told Reuters the delay would give the airline more time to complete a broader review of its fleet plans, including a replacement for its smaller Fokker jets.

“This will then determine if the MAX is still appropriate for Air Niugini, or whether another Boeing product would better suit as a replacement for the 737/767,” he said, in reference to older models in the airline’s fleet.

Milne said it was possible the 737 MAX orders could be switched to the smaller Embraer SA <ERJ> E2 family if Boeing’s deal to buy the bulk of the Brazilian planemaker’s commercial division closes.

“Air Niugini is a valued Boeing customer and we are working closely with the airline to meet its evolving fleet requirements,” a Boeing spokesman said. “Unfortunately, we do not disclose ongoing customer discussions and have no further comment.”

Some other Boeing customers, including Malaysia Airlines, Virgin Australia Holdings Ltd <VBHLF> and Norwegian Air Shuttle ASA’s <NWARF> leasing arm have also postponed the delivery of 737 MAX jets since the model was grounded globally last March after two fatal crashes.

Boeing confirmed on Monday that it has temporarily halted production of the 737 MAX in Washington State in recent days. The company had said in December it would halt production at some point this month.

(Reporting by Jamie Freed; Editing by Paul Simao and Sam Holmes)

United Airlines to Record $90 Million Charge Related to Hong Kong Routes

(Reuters) – United Airlines Holdings Inc <UAL> said on Tuesday it expects a non-cash impairment charge of $90 million in the fourth quarter related to its Hong Kong routes, following anti-government protests in the city.

The Hong Kong protests escalated in June over a now-withdrawn extradition bill, but have since developed into a broader movement.

“Due to a decrease in demand for the Hong Kong market and the resulting decrease in unit revenue, the company determined that the value of its Hong Kong routes had been fully impaired,” the U.S. carrier said.

Several airlines including India’s SpiceJet Ltd <SPJT>, Malaysia’s AirAsia Group Bhd <AIABF>, South Korea’s JejuAir Co Ltd <089590> reduced the number of flights to the city in the fourth quarter as the protests grew increasingly violent, disrupting daily life.

(Reporting by Ankit Ajmera in Bengaluru; Editing by Shounak Dasgupta)