Tag: Wuhan

Aeromexico Cargo Inaugurates Route Between Wuhan, China and Mexico City

May 10, 2021 / WIL BALDWIN

Aeromexico Cargo inaugurated a direct route between the Wuhan-Tianhe International Airport and the Mexico City International Airport for exclusive cargo transportation. This was celebrated at an event held at Wuhan airport, in the presence of the Mexican Ambassador to the People’s Republic of China, airport authorities and airline business partners.

The route will be operated with Boeing 787-9 Dreamliner aircraft, which has a load capacity of more than 30 tons or 130 m3, depending on the type of cargo.

Wuhan is one of the fastest growing cities in China and has become a hub for air transport in the central region of the country. The growth of e-commerce, medical supplies and high-tech products shipping from this city to the rest of the world, has been exponential during the last year reaching more than a 500% increase. Due to its infrastructure, the Wuhan airport stood out in the first position among 22 other airports in China in the ranking of passenger transport in the country.

Since the beginning of the pandemic, Aeromexico Cargo has completed more than 235 exclusive cargo flights from China to Mexico and 16 other countries, transporting more than 4,000 tons of essential medical supplies. All these operations represented more than 8,000 hours of flight and 6 million kilometers traveled, which is equivalent to travel 170 times around the world.

Aeromexico Cargo can operate in more than 40 airports in Mexico and in multiple international destinations in the US, Canada, Central and South America, Asia and Europe. The most common cargo is perishable products, live animals, high-value goods, technology, medicines, and medical supplies, among others.

AeroMexico Lands in Russia for the First Time

March 10, 2021 / WIL BALDWIN

Mexico City, March 10, 2021 – Cooperating with DHL Global Forwarding, Aeromexico managed to achieve its first flight in its history to Russia operating a cargo charter flight. The flight departed from Mexico City on March 8, with a stopover in Madrid, Spain. The flight continued on to Moscow Sheremetyevo International Airport in Russia, landing on March 9. Following cargo loading, the Boeing 787 Dreamliner aircraft took off for the return flight to Mexico City, once again stopping over in the Spanish capital.

Aeromexico, in the last 12 months, has landed its Dreamliner aircraft at 20 new airports in 14 countries including: Belo Horizonte, Cabo Frio, Cali, Fortaleza, Frankfurt, Guatemala, Guayaquil, Hong Kong, Kingston, Moscow, Panama, Porto Alegre, Quito, Santo Domingo, San Jose, San Pedro Sula, San Salvador, Shenzhen, Winnipeg, and Wuhan.

Since the start of the pandemic, Aeromexico has transported more than 6,400 tons of cargo on 325 charter operations to ship medical supplies and other necessary goods to Mexico, as well as 16 countries. Aeromexico Cargo operates in more than 40 airports in Mexico, and several other destinations including the USA, Canada, Central America, South America, Asia, and Europe. The most common cargo carried includes medical supplies, pharmaceuticals, perishable goods, live animals, and high technology consumer and corporate items.

AirAsia Shares Plunge After Airbus Bribery Allegations

February 2, 2020 / WIL BALDWIN

KUALA LUMPUR (Reuters) – Shares of Malaysia’s AirAsia Group <5099.KL> fell on Monday, after allegations by Britain’s Serious Fraud Office that Airbus <EADSY> paid a bribe of $50 million to win plane orders from Asia’s largest budget airline group.

AirAsia shares fell as much as 11% to 1.27 ringgit – their lowest since May 2016 – while those of AirAsia X tanked 12% to their all-time low of 11.5 Malaysian sen.

Malaysia’s anti-graft agency is investigating the allegations from Britain. AirAsia has said it never made any purchase decisions that were premised on Airbus sponsorship, and that it would fully cooperate with the Malaysian Anti-Corruption Commission (MACC).

Malaysia’s Securities Commission said on Sunday it would also examine whether AirAsia broke securities laws.

The allegations were revealed on Friday as part of a record $4 billion settlement Airbus agreed with France, Britain and the United States. Prosecutors said the company had bribed public officials and hidden payments as part of a pattern of worldwide corruption.

Airbus said at the weekend it would not comment on the Malaysian investigations.

Analysts said the accusation against AirAsia comes at a particularly bad time as airlines grapple with a slowdown in business because of the fast-spreading coronavirus epidemic that has killed more than 300 people in China and disrupted air travel.

“Besides being embroiled in this corruption scandal, we expect a tough operating environment to persist over the medium term with maintenance cost remaining high … and concerns over the Wuhan virus outbreak which could derail propensity for air travel in the region,” Malaysia’s Kenanga Investment Bank wrote in a research note.

TA Securities downgraded AirAsia Group stock to “sell” from “buy”.

“We choose the ‘sell first, ask questions later’ approach to avoid the uncertainty in association with the corruption investigation by MACC, where the impact on AirAsia could be significant in terms of corporate governance,” it said in a note.

(Reporting by Krishna N. Das; Editing by Himani Sarkar and Christopher Cushing)

FILE PHOTO: Thai AirAsia Airbus A320 plane prepares for take off at Don Mueang International Airport in Bangkok

American Airlines Pilots Union Sues to Stop China Flights

January 30, 2020 / WIL BALDWIN

WASHINGTON/PARIS/SINGAPORE (Reuters) – A pilots union filed a lawsuit on Thursday seeking to immediately halt American Airlines U.S.-China service, as cabin crews worldwide voiced unease about exposure to the rapidly-spreading coronavirus which has killed more than 170 people in China.

Sri Lankan Airlines staff wear masks at Bandaranaike International Airport after Sri Lanka confirmed the first case of coronavirus in the country, in Katunayake

The Allied Pilots Association, which represents American Airlines pilots, cited “serious, and in many ways still unknown, health threats posed by the coronavirus.”

American, the largest U.S. carrier, did not immediately comment on the suit, filed in a Texas court. The Fort Worth, Texas-based airline announced on Wednesday it would next month suspend flights from Los Angeles to Beijing and Shanghai, but continue flights from Dallas.

The World Health Organization on Thursday declared the coronavirus outbreak in China a global emergency as cases spread to 18 countries.

The lawsuit came as an increasing number of airlines stopped their flights to China. Air France-KLM, for example, suspended its Beijing and Shanghai flights after cabin crews demanded an immediate halt.

Others that have dropped mainland Chinese destinations besides Wuhan, the outbreak’s center, include British Airways and Germany’s Lufthansa. Wuhan is closed to commercial air traffic.

Virgin Atlantic also said on Thursday it would suspend its daily operations to Shanghai from Sunday for two weeks because of the safety of customers and staff and a declining demand for tickets, but would continue flights to Hong Kong.

Other major carriers have kept flying to China, but protective masks and shorter layovers designed to reduce exposure have done little to reassure crews.

Thai Airways is hosing its cabins with disinfectant spray between China flights and allowing crew to wear masks and gloves.

“I don’t think it’s safe at all even with gloves and masks, because you catch it so many ways, like your eyes,” said one flight attendant, who spoke on condition of anonymity.

“My friends also feel unsafe and don’t want to fly,” she said. “When we fly, we don’t sleep a lot.”

Delta Air Lines and United Airlines are operating fewer China flights, with Delta offering food deliveries so crew can stay in their hotels.

Korean Air Lines Co Ltd and Singapore Airlines are sending additional crew to fly each plane straight back, avoiding overnight stays.

The South Korean carrier also said it was loading hazmat suits for flight attendants who might need to take care of suspected coronavirus cases in the air.

The outbreak poses the biggest epidemic threat to the airline industry since the 2003 SARS crisis, which led to a 45% plunge in passenger demand in Asia at its peak in April of that year, analysts said.

(Reporting by Laurence Frost, Aradhana Aravindan, Chayut Setboonsarng, David Shepardson and Tracy Rucinski Additional reporting by Caroline Pailliez in Paris, Josephine Mason in London, John Geddie in Singapore, Panu Wongcha-um in Bangkok, Jamie Freed in Sydney and Joyce Lee in Seoul; Writing by Jamie Freed and Tracy Rucinski; Editing by Marguerita Choy)

FILE PHOTO: An American Airlines Airbus A321 plane takes off from Los Angeles International airport

United Airlines Suspends Some Flights to China as Demand Drops Over Virus Fears

January 28, 2020 / WIL BALDWIN

CHICAGO (Reuters) – United Airlines Holdings Inc <UAL> said on Tuesday it was suspending some flights between the United States and Beijing, Hong Kong and Shanghai between Feb. 1 and Feb. 8 due to a “significant decline in demand” as the new coronavirus spreads.

“We will continue to monitor the situation as it develops and will adjust our schedule as needed,” United said in a statement.

The coronavirus that originated in Wuhan, China has killed 106 people in the Asian country and spread across the world, rattling financial markets.

United’s suspension affects a total of 24 flights.

The other two U.S. airlines that fly to China, Delta Air Lines Inc <DAL> and American Airlines Group Inc <AAL>, said they had not reduced their flights at this time but were closely monitoring the situation.

(Reporting by Tracy Rucinski; Editing by Chris Reese and Bill Berkrot)

United Beats Wall Street Expectations Despite 737 MAX Delays

January 21, 2020 / WIL BALDWIN

CHICAGO (Reuters) – United Airlines Holdings Inc <UAL> on Tuesday beat Wall Street estimates for quarterly profit and held to its 2020 profit target, with a turnaround strategy overseen by its outgoing CEO underpinning growth even as the Boeing 737 MAX remains grounded.

Chicago-based United is one of three U.S. airlines cancelling more than 1,000 monthly flights in a hit to profits as the 737 MAX remains grounded following two deadly crashes in Indonesia and Ethiopia. Boeing Co <BA> said on Tuesday it does not expect approval for the 737 MAX’s return to service until mid-year, later than previously forecast.

While United has warned of a hit from the MAX grounding, it did not disclose any estimated financial impact from the fallout and stood by its full-year adjusted EPS range of $11 to $13.

Total operating revenue rose 3.8% to $10.89 billion, boosted by strong travel demand and Chief Executive Oscar Munoz’s three-year strategy to build up the airline’s flight connections through its main U.S. hubs. United President Scott Kirby will succeed Munoz as CEO later this year.

Revenue per mile flown, a closely watched industry measurement, rose 0.8% in the fourth quarter and United forecast similar growth in the first quarter given solid bookings.

However, unit costs excluding fuel and profit-sharing expenses, a concern for investors in a year of contract negotiations with pilots, rose 2.7%.

United had already announced 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.

Shares of United closed 4.4% lower at $85.79 before the earnings release, tracking sharp declines for U.S. airline and travel stocks on concerns over the Wuhan coronavirus in China, which J.P.Morgan analyst Jamie Baker said poses a near-term overhang for airlines.

United did not comment on the outbreak in its results but separately said there is no impact on its operations and it remains in close contact with U.S., Chinese and other Asian authorities on safety.

United management will host a conference call to discuss results on Wednesday at 10:30 a.m. EST (1630 GMT).

Adjusted net income rose to $676 million, or $2.67 per share, in the fourth quarter to Dec. 31, from $657 million a year earlier, topping a Wall Street consensus forecast for $2.65 per share.

Fellow U.S. MAX operators Southwest Airlines Co <LUV> and American Airlines Group Inc <AAL> are due to report quarterly results on Thursday.

The three airlines are scheduling without the MAX until early June though that timeline will likely need to be pushed back following Tuesday’s guidance from Boeing.

United, which had 14 737 MAX jets in its fleet at the time of the grounding, said it plans to take delivery of 28 MAX variants in 2020 depending on U.S. regulatory approval and Boeing’s subsequent pace of production and deliveries.

Among other aircraft orders, it expects to take delivery of two Boeing 777-300’s and 15 Boeing 787’s in 2020 but has decided to assign its purchase obligations for 20 Embraer 175’s to one of its regional partners once each jet is delivered.

(Reporting by Tracy Rucinski in Chicago; Additional reporting by Dominic Roshan K L in Bengaluru; Editing by Matthew Lewis)