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Qantas Pauses Airplane Deliveries from Airbus and Boeing

Qantas planes are seen at Kingsford Smith International Airport in Sydney, Australia

SYDNEY (Reuters) – Qantas Airways Ltd <QAN.AX> said on Monday it had advised Airbus SE <AIR.PA> and Boeing Co <BA.N> that it did not expect to take delivery of any new planes in the near term as it grapples with a plunge in demand due to the coronavirus pandemic.

The airline had expected to add three Boeing 787-9 jets to its fleet by the end of 2020 and to start taking delivery in August of the first of 18 Airbus A321neos due by 2022.

There is no longer a specific timeline for them to arrive because the market is too uncertain, a Qantas spokesman said, confirming a report on travel website Executive Traveller.

Many carriers around the world have grounded the bulk of their fleets and halted aircraft deliveries in response to the pandemic, leading Airbus and Boeing to cut production rates.

Qantas last week said it had shelved plans to order this year up to 12 A350s capable of the world’s longest commercial flights from Sydney to London. It said it was reviewing its fleet with the expectation that most international travel could take years to rebound.

More than 25,000 of the airline’s staff have been stood down until at least the end of June as the carrier is flying only 5% of its pre-crisis domestic passenger network and 1% of its pre-crisis international network.

An Airbus spokesman said his company did not comment on delivery schedules for airlines. Boeing did not respond immediately to a request for comment.

(Reporting by Jamie Freed; Editing by Himani Sarkar)

South Korea Budget Carrier Eastar Jet to Lay Off 700 Employees

SEOUL, April 2 (Reuters) – South Korean budget airline Eastar Jet plans to lay off about 700 out of some 1,600 employees due to operational difficulties from the coronavirus outbreak, the carrier’s spokesman said on Thursday.

The spokesman declined comment on whether it was temporary layoffs, saying that he did not have the details.

The budget carrier is also in talks to reduce its fleet, currently consisting of 21 Boeing 737-800s, by 10 planes, the spokesman said.

(Reporting by Joyce Lee; Editing by Christian Schmollinger)

British Airways Suspending Flights from London Gatwick

LONDON, March 31 (Reuters) – British Airways said it is temporarily suspending flights from Gatwick Airport in southern England, Britain’s second busiest airport, due to the coronavirus.

BA’s boss warned earlier in March that the airline was in a battle for survival and would have to cut jobs and park planes.

“Due to the considerable restrictions and challenging market environment, like many other airlines, we will temporarily suspend our flying schedule at Gatwick,” a BA spokesman said.

BA said it will contact affected customers. The airline continues to operate some flights from its main hub at Heathrow.

Parent company IAG said flying capacity would be down 75% in April and May.

Rival airline easyJet said on Monday that it had grounded its entire fleet.

Gatwick Airport said last week it would shut one of its two terminals on Wednesday.

(Reporting by Sarah Young)

Diverted AirBaltic Flight Latest Case of A220 Engine Problems

(Reuters) – An AirBaltic A220 flight diverted to France on Wednesday because of an engine issue is the fourth reported case involving the Pratt & Whitney engine powering the Airbus jet, the U.S. National Transportation Safety Board (NTSB) said.

The A220-300 flight, traveling from Riga, Latvia, to Malaga, Spain, was diverted to Bordeaux because of a technical failure in the left engine, France’s Bureau d’EnquĂȘtes et ‘Analyses (BEA) said on Twitter. The flight landed safely.

Airbus SE and United Technologies Corp, maker of the Pratt PW1500G engines, confirmed in statements that they were aware of the flight and working “to provide assistance” as required.

The incident follows three emergency landings involving the GTF engine on Airbus’s smallest jet, the A220.

“NTSB has accepted delegation for 3 previous incidents so NTSB will also look at the most recent incident,” a spokesman for the U.S. government investigative agency said by email.

“NTSB is in the process of gathering initial data. It is still in the early stage of any investigation cannot make any conclusions at this time.”

Pratt & Whitney has said that a software update for the GTF engine on the A220 is expected in the spring, pending regulatory approval.

(Reporting by Allison Lampert Editing by Leslie Adler)

Atlas Air Lands El Al As New Customer

El Al Israel Airlines is outsourcing operation of its main freighter route between Tel Aviv and Liege, Belgium, to Atlas Air Inc. under an extended charter arrangement.

Atlas, an aviation services company headquartered in Purchase, N.Y., said Tuesday it is leasing El Al a Boeing 747-400 all-cargo aircraft, operating it with its own crew and providing maintenance and insurance (ACMI) beginning this month. 

El Al, a new customer for Atlas, is experiencing strong growth in demand across its freight network, according to the announcement. The Israeli carrier sells the space on the plane and covers expenses such as ground handling, landing fees and fuel. 

No terms of the commercial cooperation were disclosed, but ACMI deals typically run for one to three years.

Click the link for the full story!

https://finance.yahoo.com/news/atlas-air-lands-el-al-164407972.html

Image from Pixabay

Boeing to Give Southwest Board 737 MAX Update This Week

FILE PHOTO: A number of grounded Southwest Airlines Boeing 737 MAX 8 aircraft are shown parked at Victorville Airport in Victorville, California

CHICAGO (Reuters) – Boeing Co <BA> this week will present to the board of its largest 737 MAX customer, Southwest Airlines Co <LUV>, an overview of its plans to return the grounded jet to service, a spokesman for the airline said on Monday.

The meeting on Wednesday and Thursday comes after Southwest Chief Executive Gary Kelly said last month that the airline could look next year at diversifying its fleet beyond Boeing 737 aircraft. Budget-friendly Southwest has structured its business model around flying only 737 aircraft for the past 50 years and bet its entire growth strategy on the 737 MAX, the latest iteration of Boeing’s narrowbody workhorse.

With the MAX parked since mid-March following crashes on Lion Air and Ethiopian Airlines that together killed 346 people, Southwest has had to scale back its growth plans and cancel north of 100 daily flights, wiping $435 million from its earnings between January and September.

Kelly, who is also Southwest’s chairman of the board, invited Boeing to address the timing and logistics of dozens of 737 MAX deliveries that it was supposed to receive this year. The meeting will also give Boeing a chance to defend its product and the steps it is taking to restore public confidence after the two fatal crashes, sources said.

“It’s an overview of the Return to Service Plan, timing, and plans moving forward,” Southwest spokesman Chris Mainz said. “Just a good chance for our Board to hear directly from Boeing, but nothing more to it than that.”

It is not the first time that Boeing has presented to a regularly scheduled board meeting, he said.

Southwest had 34 MAX jets in its fleet when global regulators grounded the aircraft in March. The airline was supposed to receive 41 more 737 MAX planes before the end of the year, but most of those deliveries are now scheduled for 2020.

Hundreds of undelivered 737 MAX jets are parked at Boeing facilities in Washington state, where the planemaker is facing a delivery logjam once the U.S. Federal Aviation Administration gives approval for them to fly commercially.

While Boeing is targeting approval in December, the FAA has pushed back on any fixed timeline.

Southwest has removed the 737 MAX from its flying schedule until early March. The airline has said it will need one to two months to train its pilots and prepare the jets for flight once regulators approve new software and pilot training.

(Reporting by Tracy Rucinski in Chicago; Additional reporting by Tim Hepher in Dubai; Editing by Matthew Lewis)