Manila Bulletin
June 25, 2011
PARIS, June 24 (AFP) - Japanese air-line Skymark ordered two Airbus A380 super jumbos at the Paris International Air Show, both firms said, deal with a catalogue price of $750 million ($525 million euros).
The deal marks the first sale of the European planemaker's flagship model at the show, which has been dominated by billions of dollars in sales of the much smaller A320neo medium-haul model.
Skymark ordered four A380 jets in February and took an option on two more.
Saturday, June 25, 2011
AirAsia orders record 200 Airbus A320neo jets worth $18.2 billion
Manila Bulletin
June 25, 2011
PARIS, June 24 (AFP) – Malaysian airline AirAsia ordered a record 200 medium-haul Airbus A320neo passenger jets on Thursday, a deal with a catalogue price of $18.2 billion (12.7 billion euros), both firms announced at the Paris air show.
''It is the largest single order for Airbus in terms of numbers of aircraft,'' Airbus chairman Thomas Enders told reporters at the Le Bourget aerodrome as he stood next to AirAsia boss Tony Fernandes.
The order makes the Malaysian low-cost pioneer Airbus' biggest customer, with a total of 375 planes on order from the France-based planemaker and 89 A320s already in service.
Fernandes said this week that AirAsia had already placed an order for 175 A320s which will be fully delivered by 2015 but to meet its expansion plans in Indonesia, Philippines, Thailand and Vietnam it needed another 200 aircraft.
AirAsia's current 93-strong fleet serves about 160 routes in Asia, making over 520 flights daily from hubs in Malaysia, Thailand, and Indonesia.
Fernandes had said earlier that this would be a ''big day'' for his company at the trade show at the Le Bourget aerodrome north of Paris, as rumors spread he was about to announce a record plane purchase.
''Look where I am. Big day for AirAsia,'' he announced on Twitter, alongside a link to a picture of the Eiffel Tower.
European defense group EADS, Airbus' parent company, rose nearly 2.0 percent after news of the AirAsia order.
Airbus was due to give a press conference later Thursday, the last trade day of the show before the doors are thrown open to the public on Friday, to summarize a week in which it has won billions of dollars in orders.
The A320neo is an upgraded and more fuel-efficient variant of the single-aisle workhorse A320, and it has emerged as the star of the Paris air show with hundreds of orders.
The medium-haul market is the most important of the industry and will likely account for nearly half of all commercial plane sales by value over the next 20 years, according to Airbus rival Boeing, which makes the rival 737 series.
Earlier, Airbus notched an order for 180 aircraft from Indian low-cost carrier IndiGo, the biggest single order a company has received in terms of planes.
June 25, 2011
PARIS, June 24 (AFP) – Malaysian airline AirAsia ordered a record 200 medium-haul Airbus A320neo passenger jets on Thursday, a deal with a catalogue price of $18.2 billion (12.7 billion euros), both firms announced at the Paris air show.
''It is the largest single order for Airbus in terms of numbers of aircraft,'' Airbus chairman Thomas Enders told reporters at the Le Bourget aerodrome as he stood next to AirAsia boss Tony Fernandes.
The order makes the Malaysian low-cost pioneer Airbus' biggest customer, with a total of 375 planes on order from the France-based planemaker and 89 A320s already in service.
Fernandes said this week that AirAsia had already placed an order for 175 A320s which will be fully delivered by 2015 but to meet its expansion plans in Indonesia, Philippines, Thailand and Vietnam it needed another 200 aircraft.
AirAsia's current 93-strong fleet serves about 160 routes in Asia, making over 520 flights daily from hubs in Malaysia, Thailand, and Indonesia.
Fernandes had said earlier that this would be a ''big day'' for his company at the trade show at the Le Bourget aerodrome north of Paris, as rumors spread he was about to announce a record plane purchase.
''Look where I am. Big day for AirAsia,'' he announced on Twitter, alongside a link to a picture of the Eiffel Tower.
European defense group EADS, Airbus' parent company, rose nearly 2.0 percent after news of the AirAsia order.
Airbus was due to give a press conference later Thursday, the last trade day of the show before the doors are thrown open to the public on Friday, to summarize a week in which it has won billions of dollars in orders.
The A320neo is an upgraded and more fuel-efficient variant of the single-aisle workhorse A320, and it has emerged as the star of the Paris air show with hundreds of orders.
The medium-haul market is the most important of the industry and will likely account for nearly half of all commercial plane sales by value over the next 20 years, according to Airbus rival Boeing, which makes the rival 737 series.
Earlier, Airbus notched an order for 180 aircraft from Indian low-cost carrier IndiGo, the biggest single order a company has received in terms of planes.
Thursday, June 23, 2011
Airlines resume flights from Australia
Manila Bulletin
June 23, 2011, 9:24pm
CANBERRA (Reuters) – Australian airlines struggled to move a backlog of tens of thousands of passengers on Wednesday after an ash cloud from a Chilean volcano, which had grounded flights across the country's eastern and southern states, cleared.
The ash cloud has circled the earth twice to disrupt Australian airlines for a second time, costing Qantas an estimated A$20 million before the latest disruptions and the tourism industry more than A$15 million in two weeks.
Australia's Bureau of Meteorology's Volcanic Ash Advisory Centre said long-term modelling suggested the ash cloud would not pass over Australia for a third time and disrupt airlines.
Volcanic ash can be extremely dangerous to aircraft and cause engine failure or engine damage.
Qantas said it had resumed flights from Melbourne and Sydney, the country's two main terminals, while Virgin Australia had also resumed flights. Quantas low-cost subsidiary Jetstar and discount carrier Tiger Airlines were all also gradually resuming flights.
''There's possibly some hope that Thursday will start to return to normal,'' said Civil Aviation Safety Authority spokesman Peter Gibson.
The majority of international carriers continued flights to and from Australia on Wednesday, with airlines including Singapore , Thai , Etihad and Emirates landing in Sydney.
A volcano in Chile's Puyehue-Cordon Caulle chain erupted on June 4 after lying dormant for decades, the latest eruption to hit international travel.
Iceland's most active volcano at Grimsvotn sent a thick plume of ash and smoke 15.5 miles (25 km) into the sky last month, disrupting air travel in northern Europe.
June 23, 2011, 9:24pm
CANBERRA (Reuters) – Australian airlines struggled to move a backlog of tens of thousands of passengers on Wednesday after an ash cloud from a Chilean volcano, which had grounded flights across the country's eastern and southern states, cleared.
The ash cloud has circled the earth twice to disrupt Australian airlines for a second time, costing Qantas an estimated A$20 million before the latest disruptions and the tourism industry more than A$15 million in two weeks.
Australia's Bureau of Meteorology's Volcanic Ash Advisory Centre said long-term modelling suggested the ash cloud would not pass over Australia for a third time and disrupt airlines.
Volcanic ash can be extremely dangerous to aircraft and cause engine failure or engine damage.
Qantas said it had resumed flights from Melbourne and Sydney, the country's two main terminals, while Virgin Australia had also resumed flights. Quantas low-cost subsidiary Jetstar and discount carrier Tiger Airlines were all also gradually resuming flights.
''There's possibly some hope that Thursday will start to return to normal,'' said Civil Aviation Safety Authority spokesman Peter Gibson.
The majority of international carriers continued flights to and from Australia on Wednesday, with airlines including Singapore , Thai , Etihad and Emirates landing in Sydney.
A volcano in Chile's Puyehue-Cordon Caulle chain erupted on June 4 after lying dormant for decades, the latest eruption to hit international travel.
Iceland's most active volcano at Grimsvotn sent a thick plume of ash and smoke 15.5 miles (25 km) into the sky last month, disrupting air travel in northern Europe.
Wednesday, June 22, 2011
AirAsia expanding fleet to 500
Manila Bulletin
June 22, 2011, 2:13am
SEPANG, Malaysia, June 21, 2011 (AFP) – AirAsia chief Tony Fernandes said he expects the airline to expand its fleet of jets from 93 to around 500 by 2020 to meet surging demand for air travel across the booming continent.
''It is really up to us how we take delivery but honestly 500 aircraft is very achievable,'' he told reporters after announcing a $200 million join-venture deal with Canadian firm CAE to run an airline training center.
Fernandes said AirAsia has placed an order of 175 A320 aircraft which will be fully delivered by 2015 but to meet its expansion plans in Indonesia, Philippines, Thailand and Vietnam it would need another 200 aircraft.
''We could be taking three planes a month by then (from 2015) which is 36 planes a year ... over five years that is another 200-odd planes,'' he said.
AirAsia has a fleet of 93 aircraft serving about 160 routes in Asia and over 520 flights daily from hubs in Malaysia, Thailand, and Indonesia. It will take delivery of another seven this year.
Fernandes made the remark amid reports the airline, which is the continent's largest budget carrier by fleet size, could be set to conclude a deal with Airbus for up to 200 Airbus A320 jets at this week's Paris Air Show.
The aviation tycoon declined to confirm the reports but said he will make a further announcement at the Le Bourget aviation show in the French capital on Thursday.
Earlier Fernandes said the Asian Aviation Academy will train pilots, cabin crew, maintenance workers and ground personnel for AirAsia and other airlines in the Association of Southeast Asian Nations region.
Montreal-based CAE provides simulation and modelling technologies and integrated training for civil aviation industry and defense forces.
June 22, 2011, 2:13am
SEPANG, Malaysia, June 21, 2011 (AFP) – AirAsia chief Tony Fernandes said he expects the airline to expand its fleet of jets from 93 to around 500 by 2020 to meet surging demand for air travel across the booming continent.
''It is really up to us how we take delivery but honestly 500 aircraft is very achievable,'' he told reporters after announcing a $200 million join-venture deal with Canadian firm CAE to run an airline training center.
Fernandes said AirAsia has placed an order of 175 A320 aircraft which will be fully delivered by 2015 but to meet its expansion plans in Indonesia, Philippines, Thailand and Vietnam it would need another 200 aircraft.
''We could be taking three planes a month by then (from 2015) which is 36 planes a year ... over five years that is another 200-odd planes,'' he said.
AirAsia has a fleet of 93 aircraft serving about 160 routes in Asia and over 520 flights daily from hubs in Malaysia, Thailand, and Indonesia. It will take delivery of another seven this year.
Fernandes made the remark amid reports the airline, which is the continent's largest budget carrier by fleet size, could be set to conclude a deal with Airbus for up to 200 Airbus A320 jets at this week's Paris Air Show.
The aviation tycoon declined to confirm the reports but said he will make a further announcement at the Le Bourget aviation show in the French capital on Thursday.
Earlier Fernandes said the Asian Aviation Academy will train pilots, cabin crew, maintenance workers and ground personnel for AirAsia and other airlines in the Association of Southeast Asian Nations region.
Montreal-based CAE provides simulation and modelling technologies and integrated training for civil aviation industry and defense forces.
Flights from Australia disrupted again
Manila Bulletin
June 22, 2011, 2:14am
MELBOURNE, June 21 (Reuters) – An ash cloud from a volcano in Chile wreaked havoc on Australian flights again on Tuesday, with Qantas Airways and Virgin Australia cancelling domestic flights in and out of Sydney and other key cities from Tuesday afternoon.
International flights were mostly operating but some flights were being diverted, delayed, or cancelled, Qantas said.
Qantas diverted flights from Johannesburg and Singapore to Brisbane, and delayed two flights due from Los Angeles, and cancelled six flights between Australia and New Zealand, the airline said, while Sydney Airport said flights to Honolulu and Bali had also been cancelled.
Qantas also moved forward two flights to London and one to Frankfurt to get them out before 3 pm (0500 GMT), another spokesman said.
Qantas and Virgin Australia cancelled all flights to and from Adelaide all day on Tuesday, while both airlines stopped flights to and from Canberra from around midday.
Virgin said it was suspending all services out of Melbourne from 4 pm, while Qantas cancelled flights between Perth and Melbourne.
June 22, 2011, 2:14am
MELBOURNE, June 21 (Reuters) – An ash cloud from a volcano in Chile wreaked havoc on Australian flights again on Tuesday, with Qantas Airways and Virgin Australia cancelling domestic flights in and out of Sydney and other key cities from Tuesday afternoon.
International flights were mostly operating but some flights were being diverted, delayed, or cancelled, Qantas said.
Qantas diverted flights from Johannesburg and Singapore to Brisbane, and delayed two flights due from Los Angeles, and cancelled six flights between Australia and New Zealand, the airline said, while Sydney Airport said flights to Honolulu and Bali had also been cancelled.
Qantas also moved forward two flights to London and one to Frankfurt to get them out before 3 pm (0500 GMT), another spokesman said.
Qantas and Virgin Australia cancelled all flights to and from Adelaide all day on Tuesday, while both airlines stopped flights to and from Canberra from around midday.
Virgin said it was suspending all services out of Melbourne from 4 pm, while Qantas cancelled flights between Perth and Melbourne.
Tuesday, June 21, 2011
NAIA controllers balk at 'defective' air traffic system
The Philippine Star
By Rainier Allan Ronda
June 21, 2011 12:00 AM
MANILA, Philippines - Air traffic controllers at the Ninoy Aquino International Airport (NAIA) are claiming they are being forced by the Department of Transportation and Communications (DOTC) and the Civil Aviation Authority of the Philippines (CAAP) to use a new air traffic control system that was found to have “numerous defects” when it was tested over the past year.
In a position paper sent to the DOTC, a copy of which was provided The STAR, the Philippine Air Traffic Controllers Association (PATCA) expressed its concern over the move by the DOTC and the CAAP to push ahead with the full commissioning of the P511-million Manila Area Control Center (MACC) despite alleged deficiencies found in the system.
PATCA said the CAAP’s own Aerodrome Air Navigation Safety Oversight Office (AANSOO) has filed an audit report on the MACC in April, declaring that it found a number of safety violations and that the system does not meet international standards.
“The system that we are using up to this present day is still the Eurocat 200, the old system that shut down in September 2009. It was developed during the early 1990s by Thales, a reputable name in the aviation world. It has proven its capability and dependability in the past years. Maybe it has reached its maximum usability and really needs to be replaced,” PATCA said.
The association said the CAAP decided to replace the Eurocat 200 with the MACC, also known as the ALS 2.1, which was developed by CS-Soft, a firm based in Czechoslovakia. “As of today, CS-Soft has yet to prove its name in the development of reliable and dependable air traffic management systems,” PATCA said.
The group said they “have been questioning the safety of the system for almost a year now and as far as we are concerned, we do not want to be held liable for any conflict that may happen during the operation of ALS. We know how bad the penalties will be and our conscience will never be at peace if tragedy occurs. And the hardest part is we are only obliged to follow orders. Our hands are tied and we cannot do anything to resist them. We are afraid that we might lose our jobs if we resist them.”
Sudden reboots
In its paper, PATCA cited numerous “incidents” since August 2010, when the testing of the MACC started. The system is still being tested, especially with the DOTC pushing for its full commissioning.
PATCA said its members described the MACC’s computer systems as “inconsistent” and “unreliable” because the computer would reportedly suddenly reboot itself for no reason, which prevents air traffic controllers from monitoring international and domestic flights.
Another serious flaw, according to the group, is a defect in the electronic strips, which contain information on a particular flight, including its coordinates and altitude. “An e-strip is a representation of aircraft in flight with respect to its position, altitude and its route of flight. These strips are arranged in a manner that the ATC (air traffic controller) on duty will be able to picture out the actual traffic situation on his sector,” PATCA said.
The group said in the MACC, the data presented in the e-strip “is not credible. This has been proven by (controllers) who have rendered duty on the… system. The altitudes on the strips tend to change themselves according to the altitude in their flight plan.”
The first “serious” incident reportedly took place on Sept. 15, 2010, when there was “cluttering” in the radar tags of the aircraft during peak hours, according to PATCA. “Two aircraft coming from the north of Manila going to south were ‘in traffic’ due to non-display of radar target of one aircraft and cluttering of radar tags. ATC (air traffic controllers) were busy giving vectors to traffic arriving and departing from Manila plus the multiple tasks to be done on the keyboard of the sector controller. System is not mouse-dependent like the old system in use,” the group said.
Developer: Audit deficient
Officials of the consortium led by CS-Soft belied alleged deficiencies in the air traffic management (ATM) system it has set up for the Philippines, questioning the technical expertise of the CAAP-AANSOO audit personnel who inspected the MACC on April 11 to 15.
Allan Ortencio – chief technical officer of the joint venture consortium of CS Soft Inc., Revere Construction & Supply and Enhanced Electronic Communication Services – said the AANSOO failed to observe oversight audit requirements of the International Civil Aviation Organization (ICAO) and its audit team’s members have no expertise in auditing an ATM system.
“They have conducted a deficient audit. They came unannounced, in violation of audit protocols set by the ICAO itself,” Ortencio told The STAR in an interview.
Ortencio said the CAAP-AANSOO audit team did not include a member familiar with Area Control Center (ACC) operations.
Revere Construction head Manolo Maralit, who was present during one of the audit “visits” of the AANSOO team, said the auditors had failed to make actual technical inspections of the MACC nerve center as well as its facilities. He alleged that the inspectors only made demands to get copies of documents showing the technical specifications of the project.
Since the AANSOO audit team was unscheduled and highly suspicious, Maralit said he declined to give the documents. “If they really wanted to make a technical audit, then they should have looked at the MACC operations center and checked if all the equipment and facilities are actually working and operational,” he told The STAR.
Maralit said that a quick check of the MACC would show that it was already operational and will not fail once it is fully commissioned. “We’re just waiting for clearance to finally commission the MACC but we have already made several tests for several months already,” he said.
Maralit also denied there were irregularities in the award of the contract to their consortium, saying there was a proper public bidding conducted by the DOTC for the original P290 million project.
Ortencio said the cost was increased by P220 million to set up Phase 2 of the project, which involves longer range communications. He said it was “very reasonably priced” since the upgraded communications systems expanded the radar coverage of the Manila ACC, allowing it to monitor aircraft from as far away as the West Philippine Sea and the Spratly islands, which was previously impossible.
DOTC Secretary Jose de Jesus had earlier expressed his support for the commissioning of the MACC, saying the deficiencies found by the CAAP’s AANSOO can be corrected in 90 days.
By Rainier Allan Ronda
June 21, 2011 12:00 AM
MANILA, Philippines - Air traffic controllers at the Ninoy Aquino International Airport (NAIA) are claiming they are being forced by the Department of Transportation and Communications (DOTC) and the Civil Aviation Authority of the Philippines (CAAP) to use a new air traffic control system that was found to have “numerous defects” when it was tested over the past year.
In a position paper sent to the DOTC, a copy of which was provided The STAR, the Philippine Air Traffic Controllers Association (PATCA) expressed its concern over the move by the DOTC and the CAAP to push ahead with the full commissioning of the P511-million Manila Area Control Center (MACC) despite alleged deficiencies found in the system.
PATCA said the CAAP’s own Aerodrome Air Navigation Safety Oversight Office (AANSOO) has filed an audit report on the MACC in April, declaring that it found a number of safety violations and that the system does not meet international standards.
“The system that we are using up to this present day is still the Eurocat 200, the old system that shut down in September 2009. It was developed during the early 1990s by Thales, a reputable name in the aviation world. It has proven its capability and dependability in the past years. Maybe it has reached its maximum usability and really needs to be replaced,” PATCA said.
The association said the CAAP decided to replace the Eurocat 200 with the MACC, also known as the ALS 2.1, which was developed by CS-Soft, a firm based in Czechoslovakia. “As of today, CS-Soft has yet to prove its name in the development of reliable and dependable air traffic management systems,” PATCA said.
The group said they “have been questioning the safety of the system for almost a year now and as far as we are concerned, we do not want to be held liable for any conflict that may happen during the operation of ALS. We know how bad the penalties will be and our conscience will never be at peace if tragedy occurs. And the hardest part is we are only obliged to follow orders. Our hands are tied and we cannot do anything to resist them. We are afraid that we might lose our jobs if we resist them.”
Sudden reboots
In its paper, PATCA cited numerous “incidents” since August 2010, when the testing of the MACC started. The system is still being tested, especially with the DOTC pushing for its full commissioning.
PATCA said its members described the MACC’s computer systems as “inconsistent” and “unreliable” because the computer would reportedly suddenly reboot itself for no reason, which prevents air traffic controllers from monitoring international and domestic flights.
Another serious flaw, according to the group, is a defect in the electronic strips, which contain information on a particular flight, including its coordinates and altitude. “An e-strip is a representation of aircraft in flight with respect to its position, altitude and its route of flight. These strips are arranged in a manner that the ATC (air traffic controller) on duty will be able to picture out the actual traffic situation on his sector,” PATCA said.
The group said in the MACC, the data presented in the e-strip “is not credible. This has been proven by (controllers) who have rendered duty on the… system. The altitudes on the strips tend to change themselves according to the altitude in their flight plan.”
The first “serious” incident reportedly took place on Sept. 15, 2010, when there was “cluttering” in the radar tags of the aircraft during peak hours, according to PATCA. “Two aircraft coming from the north of Manila going to south were ‘in traffic’ due to non-display of radar target of one aircraft and cluttering of radar tags. ATC (air traffic controllers) were busy giving vectors to traffic arriving and departing from Manila plus the multiple tasks to be done on the keyboard of the sector controller. System is not mouse-dependent like the old system in use,” the group said.
Developer: Audit deficient
Officials of the consortium led by CS-Soft belied alleged deficiencies in the air traffic management (ATM) system it has set up for the Philippines, questioning the technical expertise of the CAAP-AANSOO audit personnel who inspected the MACC on April 11 to 15.
Allan Ortencio – chief technical officer of the joint venture consortium of CS Soft Inc., Revere Construction & Supply and Enhanced Electronic Communication Services – said the AANSOO failed to observe oversight audit requirements of the International Civil Aviation Organization (ICAO) and its audit team’s members have no expertise in auditing an ATM system.
“They have conducted a deficient audit. They came unannounced, in violation of audit protocols set by the ICAO itself,” Ortencio told The STAR in an interview.
Ortencio said the CAAP-AANSOO audit team did not include a member familiar with Area Control Center (ACC) operations.
Revere Construction head Manolo Maralit, who was present during one of the audit “visits” of the AANSOO team, said the auditors had failed to make actual technical inspections of the MACC nerve center as well as its facilities. He alleged that the inspectors only made demands to get copies of documents showing the technical specifications of the project.
Since the AANSOO audit team was unscheduled and highly suspicious, Maralit said he declined to give the documents. “If they really wanted to make a technical audit, then they should have looked at the MACC operations center and checked if all the equipment and facilities are actually working and operational,” he told The STAR.
Maralit said that a quick check of the MACC would show that it was already operational and will not fail once it is fully commissioned. “We’re just waiting for clearance to finally commission the MACC but we have already made several tests for several months already,” he said.
Maralit also denied there were irregularities in the award of the contract to their consortium, saying there was a proper public bidding conducted by the DOTC for the original P290 million project.
Ortencio said the cost was increased by P220 million to set up Phase 2 of the project, which involves longer range communications. He said it was “very reasonably priced” since the upgraded communications systems expanded the radar coverage of the Manila ACC, allowing it to monitor aircraft from as far away as the West Philippine Sea and the Spratly islands, which was previously impossible.
DOTC Secretary Jose de Jesus had earlier expressed his support for the commissioning of the MACC, saying the deficiencies found by the CAAP’s AANSOO can be corrected in 90 days.
Emirates boosts Manila-European flights
Manila Bulletin
June 21, 2011, 2:37am
MANILA, Philippines — Filipino business and leisure travellers and overseas Filipino workers (OFWs) now have access to Northern Europe with the start of Emirates Airline’s new extra services to Austria and Germany.
Four extra flights have been added to the Dubai-based carrier’s daily service to Vienna on March 27. The additional Tuesday, Wednesday, Friday and Sunday flights is served by an Airbus A340-500, offering 12 First Class Private Suites, 42 lie-flat seats in Business Class and 204 seats in Economy.
From September 1, the multi-awarded airline’s daily flight to Hamburg becomes double daily. The extra frequencies are supported by a Boeing 777-200, also in a three-class configuration.
Emirates is strengthening its operations in Northern Europe by adding more flights to Austria and Germany on the back of new route announcements into Switzerland and Denmark.
“By providing these extra flights, we are responding to strong demand for additional capacity on the Vienna and Hamburg routes,” said Salem Obaidalla, Emirates' Senior Vice President, Commercial Operations, Europe & Russian Federation. “The strengthened services will foster new business and tourism to two of our key European destinations and provide even more convenient connections to onward travel through our international hub of Dubai.”
“These additional services from Emirates Airline will provide Filipino travellers better access not only to Austria and Germany, but also to Northern Europe as well,” said Gigie Baroa, Emirates’ Philippines Country Manager. “The extra flights will further improve passenger traffic between Manila, Vienna, Hamburg, and Dubai – all key destinations for business and tourism.”
Baroa said that the introduction of additional flights to Vienna and Hamburg is a major development for air travel all over the world because these new services are expected to increase the population of Filipino travellers in Austria and Germany.
June 21, 2011, 2:37am
MANILA, Philippines — Filipino business and leisure travellers and overseas Filipino workers (OFWs) now have access to Northern Europe with the start of Emirates Airline’s new extra services to Austria and Germany.
Four extra flights have been added to the Dubai-based carrier’s daily service to Vienna on March 27. The additional Tuesday, Wednesday, Friday and Sunday flights is served by an Airbus A340-500, offering 12 First Class Private Suites, 42 lie-flat seats in Business Class and 204 seats in Economy.
From September 1, the multi-awarded airline’s daily flight to Hamburg becomes double daily. The extra frequencies are supported by a Boeing 777-200, also in a three-class configuration.
Emirates is strengthening its operations in Northern Europe by adding more flights to Austria and Germany on the back of new route announcements into Switzerland and Denmark.
“By providing these extra flights, we are responding to strong demand for additional capacity on the Vienna and Hamburg routes,” said Salem Obaidalla, Emirates' Senior Vice President, Commercial Operations, Europe & Russian Federation. “The strengthened services will foster new business and tourism to two of our key European destinations and provide even more convenient connections to onward travel through our international hub of Dubai.”
“These additional services from Emirates Airline will provide Filipino travellers better access not only to Austria and Germany, but also to Northern Europe as well,” said Gigie Baroa, Emirates’ Philippines Country Manager. “The extra flights will further improve passenger traffic between Manila, Vienna, Hamburg, and Dubai – all key destinations for business and tourism.”
Baroa said that the introduction of additional flights to Vienna and Hamburg is a major development for air travel all over the world because these new services are expected to increase the population of Filipino travellers in Austria and Germany.
Monday, June 20, 2011
Singapore Airlines, Virgin Australia sign landmark long-term alliance deal
Manila Bulletin
By EDU LOPEZ
June 20, 2011, 2:33am
MANILA, Philippines — Singapore Airlines and Virgin Australia group of airlines have signed a landmark agreement which will enable them to establish a long-term alliance.
Under the agreement, the two airlines agreed to codeshare on each other’s international and domestic flights; offer reciprocal frequent flyer program benefits and lounge access; coordinate schedules between Singapore and Australia and beyond to provide seamless connections; and engage in joint sales, marketing and distribution activities.
The alliance will connect Singapore Airlines’ extensive international network with Virgin Australia’s wide range of Australian and Pacific destinations.
Through the Singapore Airlines network, Virgin Australia customers will have access to some 70 more destinations, while through the Virgin Australia network Singapore Airlines customers will have access to some 30 more destinations.
Members of Singapore Airlines’ KrisFlyer frequent flyer program will be able to earn and redeem miles on Virgin Australia flights, while Virgin Australia’s Velocity members will be able to earn and redeem miles on Singapore Airlines-operated flights.
The two airlines will lodge an application with the relevant regulatory authorities to enable them to co-operate across a broad range of commercial functions.
Approval will allow the airlines to build a deep and integrated alliance with seamless service offerings to the travelling public.
Singapore Airlines CEO Goh Choon Phong said: “Singapore Airlines has been committed to the Australian market for more than 40 years and we are always looking for ways to serve our customers better."
"With regulatory approval, the partnership will enable us to offer even more choice for domestic and international air travel. Together with Virgin Australia we will provide the public with access to an enlarged network, offering a first rate, integrated travel experience.”
“The partnership presents a significant opportunity for Singapore Airlines to drive growth in a manner consistent with our focus on service excellence, product innovation and network connectivity. It will enhance the attractiveness of Australia as a travel destination while also opening up new horizons for travellers from Australia.”
By EDU LOPEZ
June 20, 2011, 2:33am
MANILA, Philippines — Singapore Airlines and Virgin Australia group of airlines have signed a landmark agreement which will enable them to establish a long-term alliance.
Under the agreement, the two airlines agreed to codeshare on each other’s international and domestic flights; offer reciprocal frequent flyer program benefits and lounge access; coordinate schedules between Singapore and Australia and beyond to provide seamless connections; and engage in joint sales, marketing and distribution activities.
The alliance will connect Singapore Airlines’ extensive international network with Virgin Australia’s wide range of Australian and Pacific destinations.
Through the Singapore Airlines network, Virgin Australia customers will have access to some 70 more destinations, while through the Virgin Australia network Singapore Airlines customers will have access to some 30 more destinations.
Members of Singapore Airlines’ KrisFlyer frequent flyer program will be able to earn and redeem miles on Virgin Australia flights, while Virgin Australia’s Velocity members will be able to earn and redeem miles on Singapore Airlines-operated flights.
The two airlines will lodge an application with the relevant regulatory authorities to enable them to co-operate across a broad range of commercial functions.
Approval will allow the airlines to build a deep and integrated alliance with seamless service offerings to the travelling public.
Singapore Airlines CEO Goh Choon Phong said: “Singapore Airlines has been committed to the Australian market for more than 40 years and we are always looking for ways to serve our customers better."
"With regulatory approval, the partnership will enable us to offer even more choice for domestic and international air travel. Together with Virgin Australia we will provide the public with access to an enlarged network, offering a first rate, integrated travel experience.”
“The partnership presents a significant opportunity for Singapore Airlines to drive growth in a manner consistent with our focus on service excellence, product innovation and network connectivity. It will enhance the attractiveness of Australia as a travel destination while also opening up new horizons for travellers from Australia.”
Friday, June 17, 2011
Qantas cancels orders, trims targets
Manila Bulletin
By AMY COOPES
June 17, 2011, 2:20am
SYDNEY, June 16 (AFP) – Australian carrier Qantas scaled back growth plans and cancelled aircraft orders in response to slowing domestic demand, as it grapples with high fuel costs and natural disasters.
Chief executive Alan Joyce said the airline was now eyeing 5.5 percent domestic capacity growth for 2011-12, compared with eight percent previously.
Spending will be slashed by Aus$400 million (US$426 million) – Aus$100 million from the second half of the current financial year, which ends this month, and Aus$300 million from 2011/12.
Aircraft lease plans will be reduced by Aus$300 million, added Joyce, with Qantas now expecting to take delivery of 34 aircraft in 2011-12 instead of the 43 previously announced.
Orders for 12 narrow-body jets will be cancelled or deferred, including three anticipated in the second half of this year.
Qantas has already warned it is planning slash capacity and jobs – mostly management positions – in response to a string of natural disasters and record jet fuel prices.
''The Qantas Group has always taken decisive action to match capacity to demand,'' said Joyce in a statement Wednesday, citing ''slower overall growth rates in the domestic market.''
''We are well-placed to retain our profit-maximizing 65 percent domestic market share.''
The announcement comes as an ash plume from Chile's Puyehue volcano wreaks travel chaos in Australia and New Zealand, forcing widespread flight cancellations and delays that have stranded thousands of travellers.
It has been a tough 12 months for Qantas.
The airline suffered about Aus$80 million in losses due to flooding and cyclones in Australia earlier this year, followed by Aus$15 million hit from New Zealand's Christchurch earthquake.
The deadly tremor and tsunami in Japan wiped another Aus$45 million from the books.
And a mid-air engine explosion over Indonesia last November forced it to temporarily ground its entire A380 super-jumbo fleet at a cost of Aus$80 million in the current financial year.
The Australian dollar's bullish run above parity with the greenback has also hit inbound international travel and seen a slump in the domestic market, as Australians seek cheaper holidays offshore.
By AMY COOPES
June 17, 2011, 2:20am
SYDNEY, June 16 (AFP) – Australian carrier Qantas scaled back growth plans and cancelled aircraft orders in response to slowing domestic demand, as it grapples with high fuel costs and natural disasters.
Chief executive Alan Joyce said the airline was now eyeing 5.5 percent domestic capacity growth for 2011-12, compared with eight percent previously.
Spending will be slashed by Aus$400 million (US$426 million) – Aus$100 million from the second half of the current financial year, which ends this month, and Aus$300 million from 2011/12.
Aircraft lease plans will be reduced by Aus$300 million, added Joyce, with Qantas now expecting to take delivery of 34 aircraft in 2011-12 instead of the 43 previously announced.
Orders for 12 narrow-body jets will be cancelled or deferred, including three anticipated in the second half of this year.
Qantas has already warned it is planning slash capacity and jobs – mostly management positions – in response to a string of natural disasters and record jet fuel prices.
''The Qantas Group has always taken decisive action to match capacity to demand,'' said Joyce in a statement Wednesday, citing ''slower overall growth rates in the domestic market.''
''We are well-placed to retain our profit-maximizing 65 percent domestic market share.''
The announcement comes as an ash plume from Chile's Puyehue volcano wreaks travel chaos in Australia and New Zealand, forcing widespread flight cancellations and delays that have stranded thousands of travellers.
It has been a tough 12 months for Qantas.
The airline suffered about Aus$80 million in losses due to flooding and cyclones in Australia earlier this year, followed by Aus$15 million hit from New Zealand's Christchurch earthquake.
The deadly tremor and tsunami in Japan wiped another Aus$45 million from the books.
And a mid-air engine explosion over Indonesia last November forced it to temporarily ground its entire A380 super-jumbo fleet at a cost of Aus$80 million in the current financial year.
The Australian dollar's bullish run above parity with the greenback has also hit inbound international travel and seen a slump in the domestic market, as Australians seek cheaper holidays offshore.
Etihad Airways assists in repatriation of OFWs from Saudi Arabia
Manila Bulletin
June 17, 2011, 2:26am
MANILA, Philippines — Etihad Airways, the national airline of the United Arab Emirates, has been assisting the Philippine government with the repatriation of hundreds of overseas Filipino workers (OFWs) from Jeddah, Saudi Arabia.
A big group of 241 Filipino returnees arrived at the Ninoy Aquino International Airport Terminal 1 on June 7 on board Etihad Airways, 47 Filipinos on June 9, and 26 OFWs on June 14, also on board Etihad Airways, or a total of 314 Filipinos, including children and infants.
The repatriation of the OFWs and their families followed talks between Etihad Airways Chief Executive Officer James Hogan and Vice President Jejomar ‘‘Jojo’’ Binay during the former’s visit to the Philippines recently, and came after the Vice President, who is also the Presidential Adviser on Overseas Filipino Workers’ Affairs, secured the returnees’ repatriation from Saudi authorities.
Hogan said Etihad Airways was pleased to lend its support to such an important humanitarian cause.
“We’re honored to have been invited by the Philippine government to assist with the return of the Filipino workers and their families. These flights are the first of several flights we have committed to in support of the government’s repatriation efforts,” Hogan said.
He said what made the homecoming last June 7 wherein a big batch of OFWs and their children was flown even more significant was that it coincided with national celebrations in the Philippines of Migrant Workers Day.
In an earlier press statement referring to Etihad’s participation in the repatriation, the Vice President said: "I am glad that the private sector is helping us bring our ‘kababayans’ home. I hope we would see more of this partnership in our future repatriation efforts."
Roberto Hukom, Gulf Air Philippines country manager; Connie Marquez, Overseas Workers Welfare Administration (OWWA) Repatriation head; and other government officials were on hand to welcome and assist the arriving OFWs and their children last June 7.
Last May, Etihad Airways also helped in bringing back several repatriated OFWs and their children from Saudi Arabia.
Etihad Airways is the national airline of the United Arab Emirates (UAE), and operates from its home base and hub in Abu Dhabi, the capital of the UAE. It serves 68 cities in the Middle East, Europe, Asia, Africa, Australia and North America with a modern fleet of 57 Airbus and Boeing aircraft. Etihad has also a code-share partnership with Philippine Airlines (PAL).
June 17, 2011, 2:26am
MANILA, Philippines — Etihad Airways, the national airline of the United Arab Emirates, has been assisting the Philippine government with the repatriation of hundreds of overseas Filipino workers (OFWs) from Jeddah, Saudi Arabia.
A big group of 241 Filipino returnees arrived at the Ninoy Aquino International Airport Terminal 1 on June 7 on board Etihad Airways, 47 Filipinos on June 9, and 26 OFWs on June 14, also on board Etihad Airways, or a total of 314 Filipinos, including children and infants.
The repatriation of the OFWs and their families followed talks between Etihad Airways Chief Executive Officer James Hogan and Vice President Jejomar ‘‘Jojo’’ Binay during the former’s visit to the Philippines recently, and came after the Vice President, who is also the Presidential Adviser on Overseas Filipino Workers’ Affairs, secured the returnees’ repatriation from Saudi authorities.
Hogan said Etihad Airways was pleased to lend its support to such an important humanitarian cause.
“We’re honored to have been invited by the Philippine government to assist with the return of the Filipino workers and their families. These flights are the first of several flights we have committed to in support of the government’s repatriation efforts,” Hogan said.
He said what made the homecoming last June 7 wherein a big batch of OFWs and their children was flown even more significant was that it coincided with national celebrations in the Philippines of Migrant Workers Day.
In an earlier press statement referring to Etihad’s participation in the repatriation, the Vice President said: "I am glad that the private sector is helping us bring our ‘kababayans’ home. I hope we would see more of this partnership in our future repatriation efforts."
Roberto Hukom, Gulf Air Philippines country manager; Connie Marquez, Overseas Workers Welfare Administration (OWWA) Repatriation head; and other government officials were on hand to welcome and assist the arriving OFWs and their children last June 7.
Last May, Etihad Airways also helped in bringing back several repatriated OFWs and their children from Saudi Arabia.
Etihad Airways is the national airline of the United Arab Emirates (UAE), and operates from its home base and hub in Abu Dhabi, the capital of the UAE. It serves 68 cities in the Middle East, Europe, Asia, Africa, Australia and North America with a modern fleet of 57 Airbus and Boeing aircraft. Etihad has also a code-share partnership with Philippine Airlines (PAL).
Thursday, June 16, 2011
Qantas cuts costs, cancels orders
Philippine Daily Inquirer
Reuters
June 16, 2011
Australia's Qantas Airways will cut spending by AUD$700 million (USD$750 million) and plans to cancel aircraft orders as it battles waning demand, high fuel costs and investor displeasure with its shares trading near multi-year lows.
Qantas, which suffered a blow to its reputation after an Airbus A380 accident last year forced it to ground its flagship aircraft, said it will cut capital expenditure by AUD$400 million up to the end of fiscal 2012 and will reduce aircraft leasing costs by AUD$300 million.
With its shares at two-year lows, pilots threatening strike action, costs rising and the domestic economy going through a rough patch, Qantas has been under pressure to take decisive action, with some analysts suggesting its credit rating could come under pressure.
The airline has already offered cabin crew voluntary redundancy in hopes of cutting 350 jobs and raised fares several times to combat its AUD$3.7 billion fuel bill.
Qantas now expects its domestic capacity to grow by just 5.5 percent, below the 8 percent projected earlier and the airline will cancel or defer a fifth of its aircraft deliveries next year.
Australia's economy contracted by the fastest rate in 20 years in the first quarter and recent data on retail spending and consumer sentiment indicates households are feeling more pain than earlier thought and were unlikely to sharply raise consumer spending.
In addition, households have sharply raised their savings as they expect interest rates and mortgage costs, to go even higher.
Reuters
June 16, 2011
Australia's Qantas Airways will cut spending by AUD$700 million (USD$750 million) and plans to cancel aircraft orders as it battles waning demand, high fuel costs and investor displeasure with its shares trading near multi-year lows.
Qantas, which suffered a blow to its reputation after an Airbus A380 accident last year forced it to ground its flagship aircraft, said it will cut capital expenditure by AUD$400 million up to the end of fiscal 2012 and will reduce aircraft leasing costs by AUD$300 million.
With its shares at two-year lows, pilots threatening strike action, costs rising and the domestic economy going through a rough patch, Qantas has been under pressure to take decisive action, with some analysts suggesting its credit rating could come under pressure.
The airline has already offered cabin crew voluntary redundancy in hopes of cutting 350 jobs and raised fares several times to combat its AUD$3.7 billion fuel bill.
Qantas now expects its domestic capacity to grow by just 5.5 percent, below the 8 percent projected earlier and the airline will cancel or defer a fifth of its aircraft deliveries next year.
Australia's economy contracted by the fastest rate in 20 years in the first quarter and recent data on retail spending and consumer sentiment indicates households are feeling more pain than earlier thought and were unlikely to sharply raise consumer spending.
In addition, households have sharply raised their savings as they expect interest rates and mortgage costs, to go even higher.
AAPA hits EU emissions scheme
Manila Bulletin
By EDU LOPEZ
June 16, 2011, 2:55am
MANILA, Philippines — The Association of Asia Pacific Airlines (AAPA) has renewed its criticism of the planned inclusion of international airline emissions within the EU Emissions Trading Scheme (ETS) starting 2012.
The scheme has provoked strong objections from international airlines and foreign governments. In the eyes of many foreign governments, the EU, in taking such unilateral action, is over-reaching its authority and jurisdiction, in contravention of international treaties and bilateral aviation agreements, said AAPA.
"Such arguments form the basis of ongoing legal challenges, including a test case being brought by a number of US carriers due to be heard by the European Court of Justice on 5 July 2011, which is being closely monitored by all concerned. Meanwhile, some foreign governments are considering retaliatory trade measures, targeting European interests."
AAPA Director General Andrew Herdman said: “As an industry, we are committed to ambitious environmental goals. We also believe there is a role for economic measures, including carbon markets."
"However, in order to be effective in mitigating emissions from international aviation, such measures need to be globally coordinated, by governments working together, preferably on a multilateral basis through the International Civil Aviation Organization (ICAO).”
Herdman voiced concern over possible retaliation by foreign governments. “The last thing we need is a trade war. Tit-for-tat measures would only add to the burden on the airline industry and the travelling public, without achieving any environmental benefit.”
The EU has responded to foreign criticism of their self-appointed role as the world’s tax collector-in-chief by offering to consider partial exemptions from the EU ETS if other governments introduce equivalent measures.
However, Herdman noted that there has been no indication as to how such equivalence might be determined, or the processes involved. In any case, there is a danger that the potential proliferation of a variety of national measures would only add further complexity, without being environmentally effective, he said.
Herdman said the EU has over-reached and underestimated the political price it will have to pay if it insists on pressing ahead with this scheme in its current form.
"The EU should modify its plans for the EU ETS by limiting its application to only cover flights within Europe. This might at least mollify international opinion and hopefully avoid the inevitable damage which would result from continued legal challenges and retaliatory trade measures," he added.
By EDU LOPEZ
June 16, 2011, 2:55am
MANILA, Philippines — The Association of Asia Pacific Airlines (AAPA) has renewed its criticism of the planned inclusion of international airline emissions within the EU Emissions Trading Scheme (ETS) starting 2012.
The scheme has provoked strong objections from international airlines and foreign governments. In the eyes of many foreign governments, the EU, in taking such unilateral action, is over-reaching its authority and jurisdiction, in contravention of international treaties and bilateral aviation agreements, said AAPA.
"Such arguments form the basis of ongoing legal challenges, including a test case being brought by a number of US carriers due to be heard by the European Court of Justice on 5 July 2011, which is being closely monitored by all concerned. Meanwhile, some foreign governments are considering retaliatory trade measures, targeting European interests."
AAPA Director General Andrew Herdman said: “As an industry, we are committed to ambitious environmental goals. We also believe there is a role for economic measures, including carbon markets."
"However, in order to be effective in mitigating emissions from international aviation, such measures need to be globally coordinated, by governments working together, preferably on a multilateral basis through the International Civil Aviation Organization (ICAO).”
Herdman voiced concern over possible retaliation by foreign governments. “The last thing we need is a trade war. Tit-for-tat measures would only add to the burden on the airline industry and the travelling public, without achieving any environmental benefit.”
The EU has responded to foreign criticism of their self-appointed role as the world’s tax collector-in-chief by offering to consider partial exemptions from the EU ETS if other governments introduce equivalent measures.
However, Herdman noted that there has been no indication as to how such equivalence might be determined, or the processes involved. In any case, there is a danger that the potential proliferation of a variety of national measures would only add further complexity, without being environmentally effective, he said.
Herdman said the EU has over-reached and underestimated the political price it will have to pay if it insists on pressing ahead with this scheme in its current form.
"The EU should modify its plans for the EU ETS by limiting its application to only cover flights within Europe. This might at least mollify international opinion and hopefully avoid the inevitable damage which would result from continued legal challenges and retaliatory trade measures," he added.
Hit by Japan earthquake-tsunami, Cathay Pacific expands in Gulf
Manila Bulletin
By PRAVEEN MENON
June 16, 2011, 3:01am
ABU DHABI, June 15 (Reuters) – Cathay Pacific's revenue from Japan will remain low in 2011 after the devastating earthquake and nuclear meltdown continue to keep passengers away, its chief operating officer said.
Ivan Chu said revenue from Japan, which accounts for about 7 to 8 percent of the airline's total revenue, has dropped by about 2 percent so far, with passengers cancelling travel plans indefinitely over fear of a nuclear spillover.
''We have seen a major dip in the business and we have adjusted our capacity to align with the demand .... Tokyo is very much affected,'' Ivan Chu, the chief operating officer said in an interview in the United Arab Emirates' capital Abu Dhabi.
The airline, the world's biggest international air cargo carrier, which normally operates 7 daily flights to Tokyo, operated only 3 to 5 daily flights in June.
''We have seen a 1 to 2 percent drop in revenues but we expect the market to be slow for a while. We hope there will be an upturn in the last quarter.''
Chu said the passenger load factor to Japan at the moment is about 60 percent, compared with 75 to 80 percent before the earthquake.
The International Air Transport Association (IATA) cut global airlines' 2011 profit forecast by more than half to $4 billion this week as high oil prices, the earthquake in Japan, and political unrest in North Africa and the Middle East weigh on the industry's recovery.
''Fuel price is definitely a negative for us,'' said Chu.
Last year fuel prices accounted for 36 percent of Cathay Pacific's cost. He said the company will continue to hedge fuel to shield from the impact of fluctuating prices.
''All in all, I believe this is like the normal year for the airline industry. We are seeing a return to normal years and not a fantastic growth like we saw last year.''
The airline launched a four-times-a-week direct service from Abu Dhabi to Hong Kong on June 2, its fifth destination in the Middle East, as it eyes a double-digit growth in the region.
Chu said the political and social unrest in the region, especially in Bahrain, has impacted its business but the airline will continue to push to expand its reach in the Gulf.
By PRAVEEN MENON
June 16, 2011, 3:01am
ABU DHABI, June 15 (Reuters) – Cathay Pacific's revenue from Japan will remain low in 2011 after the devastating earthquake and nuclear meltdown continue to keep passengers away, its chief operating officer said.
Ivan Chu said revenue from Japan, which accounts for about 7 to 8 percent of the airline's total revenue, has dropped by about 2 percent so far, with passengers cancelling travel plans indefinitely over fear of a nuclear spillover.
''We have seen a major dip in the business and we have adjusted our capacity to align with the demand .... Tokyo is very much affected,'' Ivan Chu, the chief operating officer said in an interview in the United Arab Emirates' capital Abu Dhabi.
The airline, the world's biggest international air cargo carrier, which normally operates 7 daily flights to Tokyo, operated only 3 to 5 daily flights in June.
''We have seen a 1 to 2 percent drop in revenues but we expect the market to be slow for a while. We hope there will be an upturn in the last quarter.''
Chu said the passenger load factor to Japan at the moment is about 60 percent, compared with 75 to 80 percent before the earthquake.
The International Air Transport Association (IATA) cut global airlines' 2011 profit forecast by more than half to $4 billion this week as high oil prices, the earthquake in Japan, and political unrest in North Africa and the Middle East weigh on the industry's recovery.
''Fuel price is definitely a negative for us,'' said Chu.
Last year fuel prices accounted for 36 percent of Cathay Pacific's cost. He said the company will continue to hedge fuel to shield from the impact of fluctuating prices.
''All in all, I believe this is like the normal year for the airline industry. We are seeing a return to normal years and not a fantastic growth like we saw last year.''
The airline launched a four-times-a-week direct service from Abu Dhabi to Hong Kong on June 2, its fifth destination in the Middle East, as it eyes a double-digit growth in the region.
Chu said the political and social unrest in the region, especially in Bahrain, has impacted its business but the airline will continue to push to expand its reach in the Gulf.
Tuesday, June 14, 2011
Lufthansa bets big in Philippines jet servicing
The Philippine Star
June 14, 2011
MANILA, Philippines - A hangar the size of two football pitches is rising at Manila airport as the Philippines bids to become one of the world's select few pit stops for the Airbus A380, the world's biggest commercial jet.
Lufthansa Technik Philippines is building the $30 million hangar, its third at the airport, to accommodate the new trend of larger aircraft, said its sales and marketing vice-president Dominik Wiener-Silva.
"What we're going to see is an increase in the average size of aircraft," he told AFP during a recent interview, adding that the industry overall was on an upswing after a difficult period.
The German firm hopes to cash in on the small group of carriers that have made the first 60 orders for the 275-ton behemoths but lack their own maintenance facilities.
Only four sites worldwide can currently service the massive jet, which has a wing span of nearly 80 meters (262 feet).
"The Airbus 380 is a very large aircraft but it's not an unusually large aircraft," Wiener-Silva said. "The new hangar will be A380-capable. It will be large enough to have the largest aircraft in the world."
Set to be completed early next year, the new facility ramps up Lufthansa's capital investment in the Philippines to about $130 million, he added.
The core business of Lufthansa's Philippine unit is heavy maintenance.
Once every five or six years, jets are grounded for 25 days and are stripped to bare metal to get all their many thousands of individual parts tested for safety.
Britain's Virgin Atlantic is its biggest customer, along with the likes of the long-haul budget carrier Air Asia X, Cathay Pacific, Etihad, Japan Airlines, Korean Air, Qantas and Saudi Airlines.
Twenty other airlines also have their line maintenance at Lufthansa's expanding Manila base for Airbus aircraft as well as the ATR 72-500, the short-haul turboprop favoured by many budget airlines.
Line maintenance is a lighter, 24-hour safety check that regulators require once every 18 months.
Lufthansa offers other types of services at its 30-plus units around the world, including one in southern China that specializes in thrust reversers and other composite-material components.
"After some very difficult years in 2009 and 2010 we certainly see signs of an upturn," Wiener-Silva said.
"Airlines, especially in Asia, are picking up fast. We're actually seeing the strongest growth worldwide in the Middle East and Asia."
Aircraft maintenance accounts for about 10% to 12% of airline operating costs, and the local unit, the largest majority-owned Lufthansa unit outside Germany, has tidy revenues of about $200 million yearly, said Wiener-Silva.
But the 2,700-strong workforce -- almost all of whom are Filipinos -- is what makes the firm stand out, he said.
"In aircraft maintenance you will always encounter the unpredictable. It's not a standard production process and if you look for defects you require solutions," Wiener-Silva said.
"Filipinos are really passionate about finding the solution, getting the aircraft fixed and making the customer happy."
Wiener-Silva said the Philippines was unique in the region for its English-speaking population and extensive network of aviation schools that supply Lufthansa's local workforce.
"That is different from other up-and-coming countries like India and China -- you won't find that infrastructure," he said.
New graduates who go to work for Lufthansa Technik are put through the in-house training school, where they undergo a further 1.5 years of hands-on training before they are entrusted with the multi-million-dollar planes.
The unit sees new business in cabin modification, both for full-service carriers, which are keen on issues such as improving cabin amenities, as well as low-cost operators seeking to improve efficiency, said Wiener-Silva.
"Even a mechanic needs to be able to differentiate between a full-service carrier, where the cabin is the important part of the product... and low-cost carriers, some of which don't even have carpets in their cabins anymore."
June 14, 2011
MANILA, Philippines - A hangar the size of two football pitches is rising at Manila airport as the Philippines bids to become one of the world's select few pit stops for the Airbus A380, the world's biggest commercial jet.
Lufthansa Technik Philippines is building the $30 million hangar, its third at the airport, to accommodate the new trend of larger aircraft, said its sales and marketing vice-president Dominik Wiener-Silva.
"What we're going to see is an increase in the average size of aircraft," he told AFP during a recent interview, adding that the industry overall was on an upswing after a difficult period.
The German firm hopes to cash in on the small group of carriers that have made the first 60 orders for the 275-ton behemoths but lack their own maintenance facilities.
Only four sites worldwide can currently service the massive jet, which has a wing span of nearly 80 meters (262 feet).
"The Airbus 380 is a very large aircraft but it's not an unusually large aircraft," Wiener-Silva said. "The new hangar will be A380-capable. It will be large enough to have the largest aircraft in the world."
Set to be completed early next year, the new facility ramps up Lufthansa's capital investment in the Philippines to about $130 million, he added.
The core business of Lufthansa's Philippine unit is heavy maintenance.
Once every five or six years, jets are grounded for 25 days and are stripped to bare metal to get all their many thousands of individual parts tested for safety.
Britain's Virgin Atlantic is its biggest customer, along with the likes of the long-haul budget carrier Air Asia X, Cathay Pacific, Etihad, Japan Airlines, Korean Air, Qantas and Saudi Airlines.
Twenty other airlines also have their line maintenance at Lufthansa's expanding Manila base for Airbus aircraft as well as the ATR 72-500, the short-haul turboprop favoured by many budget airlines.
Line maintenance is a lighter, 24-hour safety check that regulators require once every 18 months.
Lufthansa offers other types of services at its 30-plus units around the world, including one in southern China that specializes in thrust reversers and other composite-material components.
"After some very difficult years in 2009 and 2010 we certainly see signs of an upturn," Wiener-Silva said.
"Airlines, especially in Asia, are picking up fast. We're actually seeing the strongest growth worldwide in the Middle East and Asia."
Aircraft maintenance accounts for about 10% to 12% of airline operating costs, and the local unit, the largest majority-owned Lufthansa unit outside Germany, has tidy revenues of about $200 million yearly, said Wiener-Silva.
But the 2,700-strong workforce -- almost all of whom are Filipinos -- is what makes the firm stand out, he said.
"In aircraft maintenance you will always encounter the unpredictable. It's not a standard production process and if you look for defects you require solutions," Wiener-Silva said.
"Filipinos are really passionate about finding the solution, getting the aircraft fixed and making the customer happy."
Wiener-Silva said the Philippines was unique in the region for its English-speaking population and extensive network of aviation schools that supply Lufthansa's local workforce.
"That is different from other up-and-coming countries like India and China -- you won't find that infrastructure," he said.
New graduates who go to work for Lufthansa Technik are put through the in-house training school, where they undergo a further 1.5 years of hands-on training before they are entrusted with the multi-million-dollar planes.
The unit sees new business in cabin modification, both for full-service carriers, which are keen on issues such as improving cabin amenities, as well as low-cost operators seeking to improve efficiency, said Wiener-Silva.
"Even a mechanic needs to be able to differentiate between a full-service carrier, where the cabin is the important part of the product... and low-cost carriers, some of which don't even have carpets in their cabins anymore."
Airphil Express now fastest growing carrier, grabs 19% market share
Manila Bulletin
June 14, 2011, 1:52am
MANILA, Philippines — Airphil Express (APX) is expected to remain as the fastest growing low-cost carrier in the country despite the entry of new foreign airlines in the industry.
APX Senior Vice President for Marketing and Sales Alfredo Herrera said that while traffic growth from all Philippine carriers has increased by 11 percent in last year and would remain at double-digit this year, APX’s rise has been staggering
With the deployment of six A320s and eight Q300s/400s last year (its first full year of operations since its re-launch in 2009), APX’s market share has surged 353 percent to 1.9 million passengers in 2010. APX cornered 11 percent of the domestic market last year or nearly 4 times its market share of 2.9 percent in 2009, making it the country’s number three airline.
An independent industry think-tank, Center for Asia Pacific Aviation (CAPA), said APX’s rapid growth has come at the expense of the top two players that have seen their market share decline amid increasing competition from new players.
Following its capacity expansion, APX’s market share has so far surged to 19 percent. APX’s market share is expected to expand further with its plan to add six more A320s before the end of the year.
Herrera said customers have responded positively to APX’s expansion and they expect demand to follow with its programmed expansion in 2012 (additional 5 A320s) and 2013 (another five A320s) to complete its 20- aircraft, $250 million expansion approved last year.
CAPA said that APX would continue to post the highest growth rates among Philippine low-cost carriers in the coming years despite expansion from existing local players and the entry of new players such as by South East Asian Airlines (SEAir) and AirAsia Air Asia.
``While APX now competes with Cebu Pacific on most of its domestic routes and to Singapore, it has tried to differentiate itself by offering some frills such as free check-in baggage. APX markets itself as a budget airline that provides 'low fares with a premium travel experience'. For example, in launching services to Singapore, APX decided to operate out of one of Changi Airport’s full-service terminals instead of using the budget terminal used by Cebu Pacific, Tiger and SEAir,'' said CAPA in is latest report.
June 14, 2011, 1:52am
MANILA, Philippines — Airphil Express (APX) is expected to remain as the fastest growing low-cost carrier in the country despite the entry of new foreign airlines in the industry.
APX Senior Vice President for Marketing and Sales Alfredo Herrera said that while traffic growth from all Philippine carriers has increased by 11 percent in last year and would remain at double-digit this year, APX’s rise has been staggering
With the deployment of six A320s and eight Q300s/400s last year (its first full year of operations since its re-launch in 2009), APX’s market share has surged 353 percent to 1.9 million passengers in 2010. APX cornered 11 percent of the domestic market last year or nearly 4 times its market share of 2.9 percent in 2009, making it the country’s number three airline.
An independent industry think-tank, Center for Asia Pacific Aviation (CAPA), said APX’s rapid growth has come at the expense of the top two players that have seen their market share decline amid increasing competition from new players.
Following its capacity expansion, APX’s market share has so far surged to 19 percent. APX’s market share is expected to expand further with its plan to add six more A320s before the end of the year.
Herrera said customers have responded positively to APX’s expansion and they expect demand to follow with its programmed expansion in 2012 (additional 5 A320s) and 2013 (another five A320s) to complete its 20- aircraft, $250 million expansion approved last year.
CAPA said that APX would continue to post the highest growth rates among Philippine low-cost carriers in the coming years despite expansion from existing local players and the entry of new players such as by South East Asian Airlines (SEAir) and AirAsia Air Asia.
``While APX now competes with Cebu Pacific on most of its domestic routes and to Singapore, it has tried to differentiate itself by offering some frills such as free check-in baggage. APX markets itself as a budget airline that provides 'low fares with a premium travel experience'. For example, in launching services to Singapore, APX decided to operate out of one of Changi Airport’s full-service terminals instead of using the budget terminal used by Cebu Pacific, Tiger and SEAir,'' said CAPA in is latest report.
Airphil Express now fastest growing carrier, grabs 19% market share
Manila Bulletin
June 14, 2011, 1:52am
MANILA, Philippines — Airphil Express (APX) is expected to remain as the fastest growing low-cost carrier in the country despite the entry of new foreign airlines in the industry.
APX Senior Vice President for Marketing and Sales Alfredo Herrera said that while traffic growth from all Philippine carriers has increased by 11 percent in last year and would remain at double-digit this year, APX’s rise has been staggering
With the deployment of six A320s and eight Q300s/400s last year (its first full year of operations since its re-launch in 2009), APX’s market share has surged 353 percent to 1.9 million passengers in 2010. APX cornered 11 percent of the domestic market last year or nearly 4 times its market share of 2.9 percent in 2009, making it the country’s number three airline.
An independent industry think-tank, Center for Asia Pacific Aviation (CAPA), said APX’s rapid growth has come at the expense of the top two players that have seen their market share decline amid increasing competition from new players.
Following its capacity expansion, APX’s market share has so far surged to 19 percent. APX’s market share is expected to expand further with its plan to add six more A320s before the end of the year.
Herrera said customers have responded positively to APX’s expansion and they expect demand to follow with its programmed expansion in 2012 (additional 5 A320s) and 2013 (another five A320s) to complete its 20- aircraft, $250 million expansion approved last year.
CAPA said that APX would continue to post the highest growth rates among Philippine low-cost carriers in the coming years despite expansion from existing local players and the entry of new players such as by South East Asian Airlines (SEAir) and AirAsia Air Asia.
``While APX now competes with Cebu Pacific on most of its domestic routes and to Singapore, it has tried to differentiate itself by offering some frills such as free check-in baggage. APX markets itself as a budget airline that provides 'low fares with a premium travel experience'. For example, in launching services to Singapore, APX decided to operate out of one of Changi Airport’s full-service terminals instead of using the budget terminal used by Cebu Pacific, Tiger and SEAir,'' said CAPA in is latest report.
June 14, 2011, 1:52am
MANILA, Philippines — Airphil Express (APX) is expected to remain as the fastest growing low-cost carrier in the country despite the entry of new foreign airlines in the industry.
APX Senior Vice President for Marketing and Sales Alfredo Herrera said that while traffic growth from all Philippine carriers has increased by 11 percent in last year and would remain at double-digit this year, APX’s rise has been staggering
With the deployment of six A320s and eight Q300s/400s last year (its first full year of operations since its re-launch in 2009), APX’s market share has surged 353 percent to 1.9 million passengers in 2010. APX cornered 11 percent of the domestic market last year or nearly 4 times its market share of 2.9 percent in 2009, making it the country’s number three airline.
An independent industry think-tank, Center for Asia Pacific Aviation (CAPA), said APX’s rapid growth has come at the expense of the top two players that have seen their market share decline amid increasing competition from new players.
Following its capacity expansion, APX’s market share has so far surged to 19 percent. APX’s market share is expected to expand further with its plan to add six more A320s before the end of the year.
Herrera said customers have responded positively to APX’s expansion and they expect demand to follow with its programmed expansion in 2012 (additional 5 A320s) and 2013 (another five A320s) to complete its 20- aircraft, $250 million expansion approved last year.
CAPA said that APX would continue to post the highest growth rates among Philippine low-cost carriers in the coming years despite expansion from existing local players and the entry of new players such as by South East Asian Airlines (SEAir) and AirAsia Air Asia.
``While APX now competes with Cebu Pacific on most of its domestic routes and to Singapore, it has tried to differentiate itself by offering some frills such as free check-in baggage. APX markets itself as a budget airline that provides 'low fares with a premium travel experience'. For example, in launching services to Singapore, APX decided to operate out of one of Changi Airport’s full-service terminals instead of using the budget terminal used by Cebu Pacific, Tiger and SEAir,'' said CAPA in is latest report.
Lufthansa Technik bets big in jet servicing and maintenance here
Manila Bulletin
By CECIL MORELLA (AFP)
June 14, 2011, 1:56am
MANILA, Philippines — A hangar the size of two football pitches is rising at Manila airport as the Philippines bids to become one of the world's select few pit stops for the Airbus A380, the world's biggest commercial jet.
Lufthansa Technik Philippines is building the $30 million hangar, its third at the airport, to accommodate the new trend of larger aircraft, said its sales and marketing vice-president Dominik Wiener-Silva.
''What we're going to see is an increase in the average size of aircraft,'' he told AFP during a recent interview, adding that the industry overall was on an upswing after a difficult period.
The German firm hopes to cash in on the small group of carriers that have made the first 60 orders for the 275-tonne behemoths but lack their own maintenance facilities.
Only four sites worldwide can currently service the massive jet, which has a wing span of nearly 80 meters (262 feet).
''The Airbus 380 is a very large aircraft but it's not an unusually large aircraft,'' Wiener-Silva said. ''The new hangar will be A380-capable. It will be large enough to have the largest aircraft in the world.''
Set to be completed early next year, the new facility ramps up Lufthansa's capital investment in the Philippines to about $130 million, he added.
The core business of Lufthansa's Philippine unit is heavy maintenance.
Once every five or six years, jets are grounded for 25 days and are stripped to bare metal to get all their many thousands of individual parts tested for safety.
Britain's Virgin Atlantic is its biggest customer, along with the likes of the long-haul budget carrier Air Asia X, Cathay Pacific, Etihad, Japan Airlines, Korean Air, Qantas and Saudi Airlines.
Twenty other airlines also have their line maintenance at Lufthansa's expanding Manila base for Airbus aircraft as well as the ATR 72-500, the short-haul turboprop favored by many budget airlines.
Line maintenance is a lighter, 24-hour safety check that regulators require once every 18 months.
Lufthansa offers other types of services at its 30-plus units around the world, including one in southern China that specialises in thrust reversers and other composite-material components.
''After some very difficult years in 2009 and 2010 we certainly see signs of an upturn,'' Wiener-Silva said.
''Airlines, especially in Asia, are picking up fast. We're actually seeing the strongest growth worldwide in the Middle East and Asia.''
Aircraft maintenance accounts for about 10-12 percent of airline operating costs, and the local unit, the largest majority-owned Lufthansa unit outside Germany, has tidy revenues of about $200 million yearly, said Wiener-Silva.
But the 2,700-strong workforce – almost all of whom are Filipinos – is what makes the firm stand out, he said.
''In aircraft maintenance you will always encounter the unpredictable. It's not a standard production process and if you look for defects you require solutions,'' Wiener-Silva said.
''Filipinos are really passionate about finding the solution, getting the aircraft fixed and making the customer happy.''
Wiener-Silva said the Philippines was unique in the region for its English-speaking population and extensive network of aviation schools that supply Lufthansa's local workforce.
''That is different from other up-and-coming countries like India and China -- you won't find that infrastructure,'' he said.
New graduates who go to work for Lufthansa Technik are put through the in-house training school, where they undergo a further 1.5 years of hands-on training before they are entrusted with the multi-million-dollar planes.
By CECIL MORELLA (AFP)
June 14, 2011, 1:56am
MANILA, Philippines — A hangar the size of two football pitches is rising at Manila airport as the Philippines bids to become one of the world's select few pit stops for the Airbus A380, the world's biggest commercial jet.
Lufthansa Technik Philippines is building the $30 million hangar, its third at the airport, to accommodate the new trend of larger aircraft, said its sales and marketing vice-president Dominik Wiener-Silva.
''What we're going to see is an increase in the average size of aircraft,'' he told AFP during a recent interview, adding that the industry overall was on an upswing after a difficult period.
The German firm hopes to cash in on the small group of carriers that have made the first 60 orders for the 275-tonne behemoths but lack their own maintenance facilities.
Only four sites worldwide can currently service the massive jet, which has a wing span of nearly 80 meters (262 feet).
''The Airbus 380 is a very large aircraft but it's not an unusually large aircraft,'' Wiener-Silva said. ''The new hangar will be A380-capable. It will be large enough to have the largest aircraft in the world.''
Set to be completed early next year, the new facility ramps up Lufthansa's capital investment in the Philippines to about $130 million, he added.
The core business of Lufthansa's Philippine unit is heavy maintenance.
Once every five or six years, jets are grounded for 25 days and are stripped to bare metal to get all their many thousands of individual parts tested for safety.
Britain's Virgin Atlantic is its biggest customer, along with the likes of the long-haul budget carrier Air Asia X, Cathay Pacific, Etihad, Japan Airlines, Korean Air, Qantas and Saudi Airlines.
Twenty other airlines also have their line maintenance at Lufthansa's expanding Manila base for Airbus aircraft as well as the ATR 72-500, the short-haul turboprop favored by many budget airlines.
Line maintenance is a lighter, 24-hour safety check that regulators require once every 18 months.
Lufthansa offers other types of services at its 30-plus units around the world, including one in southern China that specialises in thrust reversers and other composite-material components.
''After some very difficult years in 2009 and 2010 we certainly see signs of an upturn,'' Wiener-Silva said.
''Airlines, especially in Asia, are picking up fast. We're actually seeing the strongest growth worldwide in the Middle East and Asia.''
Aircraft maintenance accounts for about 10-12 percent of airline operating costs, and the local unit, the largest majority-owned Lufthansa unit outside Germany, has tidy revenues of about $200 million yearly, said Wiener-Silva.
But the 2,700-strong workforce – almost all of whom are Filipinos – is what makes the firm stand out, he said.
''In aircraft maintenance you will always encounter the unpredictable. It's not a standard production process and if you look for defects you require solutions,'' Wiener-Silva said.
''Filipinos are really passionate about finding the solution, getting the aircraft fixed and making the customer happy.''
Wiener-Silva said the Philippines was unique in the region for its English-speaking population and extensive network of aviation schools that supply Lufthansa's local workforce.
''That is different from other up-and-coming countries like India and China -- you won't find that infrastructure,'' he said.
New graduates who go to work for Lufthansa Technik are put through the in-house training school, where they undergo a further 1.5 years of hands-on training before they are entrusted with the multi-million-dollar planes.
Thai Air allots $3.9 billion to acquire 37 new aircraft
Manila Bulletin
June 14, 2011, 2:07am
BANGKOK, June 13 (Reuters) – Thai Airways International Pcl said on Monday its board had approved plans to acquire 37 new aircraft for 118.6 billion baht ($3.9 billion) in 2011-2017.
The national carrier would purchase 15 aircraft for 49.5 billion baht and would obtain 22 aircraft under an operating lease for about 69 billion baht, using working capital, it told the stock exchange.
Under the plan, it would buy six Boeing B777-300ERs, with delivery in 2014 and 2015, four Airbus A350-900s for delivery in 2016 and 2017 and five Airbus A320-200s for delivery in 2014 and 2015.
It plans to lease six B787-8s to be delivered in 2014 and 2015 and two B787-9s for delivery in 2017 from International Lease Finance Corporation with rental terms of 12 years.
It would also obtain, for delivery in 2016 and 2017, six A350-900s from Aviation Lease and Finance Company and two from CIT Aerospace International with rental terms of 12 years.
An additional six A320-200s, with a 12-year term of rental, would be leased from RBS Aerospace Limited for delivery in 2012 and 2013.
The procurement is part of its long-term plan to develop a modern, efficient fleet that would meet airline industry standards and help it stay competitive.
Thai Air, with a market value of $2.1 billion, is 51 percent owned by the Finance Ministry and competes with bigger rivals like Singapore Airlines and Cathay Pacific Airways.
The airline has the ambition to become one of the top three airlines in Asia and among the top five airlines in the world both in terms of quality and service efficiency
June 14, 2011, 2:07am
BANGKOK, June 13 (Reuters) – Thai Airways International Pcl said on Monday its board had approved plans to acquire 37 new aircraft for 118.6 billion baht ($3.9 billion) in 2011-2017.
The national carrier would purchase 15 aircraft for 49.5 billion baht and would obtain 22 aircraft under an operating lease for about 69 billion baht, using working capital, it told the stock exchange.
Under the plan, it would buy six Boeing B777-300ERs, with delivery in 2014 and 2015, four Airbus A350-900s for delivery in 2016 and 2017 and five Airbus A320-200s for delivery in 2014 and 2015.
It plans to lease six B787-8s to be delivered in 2014 and 2015 and two B787-9s for delivery in 2017 from International Lease Finance Corporation with rental terms of 12 years.
It would also obtain, for delivery in 2016 and 2017, six A350-900s from Aviation Lease and Finance Company and two from CIT Aerospace International with rental terms of 12 years.
An additional six A320-200s, with a 12-year term of rental, would be leased from RBS Aerospace Limited for delivery in 2012 and 2013.
The procurement is part of its long-term plan to develop a modern, efficient fleet that would meet airline industry standards and help it stay competitive.
Thai Air, with a market value of $2.1 billion, is 51 percent owned by the Finance Ministry and competes with bigger rivals like Singapore Airlines and Cathay Pacific Airways.
The airline has the ambition to become one of the top three airlines in Asia and among the top five airlines in the world both in terms of quality and service efficiency
Saturday, June 11, 2011
IATA says business travel remains strong, a sign of recovery
Manila Bulletin
June 11, 2011, 1:47am
SINGAPORE, June 10 (Reuters) – Business travel demand is holding up better than price-sensitive leisure travel in a sign of business confidence and a recovery in world trade, the chief economist of the International Air Transport Association (IATA) said.
Airlines also expect renewed growth in air cargo demand in the second half of this year as movements of capital goods and high-value components pick up, Brian Pearce said.
Air cargo demand soared as the global economy emerged from recession last year, driven by restocking and just-in-time supply chains.
Pearce said Chinese domestic traffic, which is often regarded as a barometer of the domestic stimulus in the world's second-largest economy, had dipped temporarily as authorities moved to head off inflation but should return to a path of structural growth.
He warned that record deliveries of some 1,300 to 1,400 jet and turboprop aircraft in 2011 created a ''clear risk of over-capacity'' in some markets, but noted that the aviation industry outlook in Asia ex-Japan remained positive.
Japan, he said, should show a ''pretty full recovery'' in aviation traffic by the end of the year as the impact on global supply chains from the March 11 earthquake and tsunami tapers off.
IATA, which accounts for 93 percent of global air traffic, is forecasting about 8 percent annual growth in revenues this year to about $600 billion. Air cargo revenue is seen increasing about 9 percent to $72 billion.
Profit however is forecast to plunge more than 75 percent to $4 billion as the high price of oil and increasing competition cut into margins. The March 11 earthquake and tsunami in Japan and the political eruptions in Arab nations have also affected revenue.
Paul Griffiths, the CEO of Dubai airport, one of the busiest in the world for international cargo and international passengers, said aviation figures bore out the pattern of growth in Asia and stagnation in Europe and the United States.
''The US and Europe are certainly reaching some sort of plateau in the growth of trade and therefore the aviation industry in those region is not growing as quickly,'' he said. ''But where we see the great opportunity is the emerging markets such as China and India as being the new power houses of the world economy,'' he said.
June 11, 2011, 1:47am
SINGAPORE, June 10 (Reuters) – Business travel demand is holding up better than price-sensitive leisure travel in a sign of business confidence and a recovery in world trade, the chief economist of the International Air Transport Association (IATA) said.
Airlines also expect renewed growth in air cargo demand in the second half of this year as movements of capital goods and high-value components pick up, Brian Pearce said.
Air cargo demand soared as the global economy emerged from recession last year, driven by restocking and just-in-time supply chains.
Pearce said Chinese domestic traffic, which is often regarded as a barometer of the domestic stimulus in the world's second-largest economy, had dipped temporarily as authorities moved to head off inflation but should return to a path of structural growth.
He warned that record deliveries of some 1,300 to 1,400 jet and turboprop aircraft in 2011 created a ''clear risk of over-capacity'' in some markets, but noted that the aviation industry outlook in Asia ex-Japan remained positive.
Japan, he said, should show a ''pretty full recovery'' in aviation traffic by the end of the year as the impact on global supply chains from the March 11 earthquake and tsunami tapers off.
IATA, which accounts for 93 percent of global air traffic, is forecasting about 8 percent annual growth in revenues this year to about $600 billion. Air cargo revenue is seen increasing about 9 percent to $72 billion.
Profit however is forecast to plunge more than 75 percent to $4 billion as the high price of oil and increasing competition cut into margins. The March 11 earthquake and tsunami in Japan and the political eruptions in Arab nations have also affected revenue.
Paul Griffiths, the CEO of Dubai airport, one of the busiest in the world for international cargo and international passengers, said aviation figures bore out the pattern of growth in Asia and stagnation in Europe and the United States.
''The US and Europe are certainly reaching some sort of plateau in the growth of trade and therefore the aviation industry in those region is not growing as quickly,'' he said. ''But where we see the great opportunity is the emerging markets such as China and India as being the new power houses of the world economy,'' he said.
Airphil Express marks Independence Day with P113 local ticket sales
Manila Bulletin
June 11, 2011, 1:55am
MANILA, Philippines — Airphil Express, reputedly the country’s fastest growing budget airline, is offering a P113 one-way fare for all domestic flights on board its redefined A320 aircraft to commemorate the declaration of Philippine independence on June 12, 1998 from Spain.
Selling period is from June 12 to 13 only and travel validity is from October 1 to November 30, 2011.
Airphil said this special, one-time promotion is part of the company’s celebration of the country’s esteemed Flag Day. "The Philippines is proud to have gained its freedom from the Spaniards’ imposing takeover 113 years ago. And no sweeter means to celebrate this valued independence than by traveling to some of the country’s beautiful destinations,” says Alfredo Herrera, Airphil Express Senior Vice President for Marketing and Sales.
On top of the P113 one-way ticket cost is Airphil Express’ complimentary value-adds like 15kg free check-in baggage allowance and a no-cost 7kg hand-carry.
Airphil also announced it is set to introduce Cebu-Hong Kong flights starting July 28, 2011. And as a welcoming treat to all, its inaugural Hong Kong flight is at an amazingly low P888 per way fare. This promo offer is good for travel from July 28 to December 15, 2011. Selling period is from June 4 to 10, 2011.
Since it started operations as Airphil Express on March 2010, the company has introduced more than 23 domestic flights from Manila alone. And to prepare future expansion over the regional market, the airline company has acquired an additional four A320 aircraft.
As the company continues its aggressive stance, Airphil Express now adds Hong Kong to its international routes. Airphil Express’ maiden intercontinental flight is Singapore, launched at the later part of 2010.
"With this new Cebu-Hong Kong flight, we are optimistic that the country’s alliance with Hong Kong will grow deeper. Also, Hong Kong has a lot to offer to the Filipinos as the Philippines has loads of wonderful culture and tourists destinations to offer Hong Kong nationals,” says Herrera.
Airphil Express will fly to Cebu-Hong Kong (vice versa) onboard its newly acquired A320 aircraft. With its optimized legroom and elbowroom, easily accessible stowage spaces, and world-class services from its pilots and cabin crew, Airphil Express’ airbuses has redefined modern air travel.
June 11, 2011, 1:55am
MANILA, Philippines — Airphil Express, reputedly the country’s fastest growing budget airline, is offering a P113 one-way fare for all domestic flights on board its redefined A320 aircraft to commemorate the declaration of Philippine independence on June 12, 1998 from Spain.
Selling period is from June 12 to 13 only and travel validity is from October 1 to November 30, 2011.
Airphil said this special, one-time promotion is part of the company’s celebration of the country’s esteemed Flag Day. "The Philippines is proud to have gained its freedom from the Spaniards’ imposing takeover 113 years ago. And no sweeter means to celebrate this valued independence than by traveling to some of the country’s beautiful destinations,” says Alfredo Herrera, Airphil Express Senior Vice President for Marketing and Sales.
On top of the P113 one-way ticket cost is Airphil Express’ complimentary value-adds like 15kg free check-in baggage allowance and a no-cost 7kg hand-carry.
Airphil also announced it is set to introduce Cebu-Hong Kong flights starting July 28, 2011. And as a welcoming treat to all, its inaugural Hong Kong flight is at an amazingly low P888 per way fare. This promo offer is good for travel from July 28 to December 15, 2011. Selling period is from June 4 to 10, 2011.
Since it started operations as Airphil Express on March 2010, the company has introduced more than 23 domestic flights from Manila alone. And to prepare future expansion over the regional market, the airline company has acquired an additional four A320 aircraft.
As the company continues its aggressive stance, Airphil Express now adds Hong Kong to its international routes. Airphil Express’ maiden intercontinental flight is Singapore, launched at the later part of 2010.
"With this new Cebu-Hong Kong flight, we are optimistic that the country’s alliance with Hong Kong will grow deeper. Also, Hong Kong has a lot to offer to the Filipinos as the Philippines has loads of wonderful culture and tourists destinations to offer Hong Kong nationals,” says Herrera.
Airphil Express will fly to Cebu-Hong Kong (vice versa) onboard its newly acquired A320 aircraft. With its optimized legroom and elbowroom, easily accessible stowage spaces, and world-class services from its pilots and cabin crew, Airphil Express’ airbuses has redefined modern air travel.
Tuesday, June 7, 2011
Boeing: India's jet order to help save jobs in US
By SUE MANNING - Associated Press | AP – Tue, Jun 7, 2011
LOS ANGELES (AP) — A Boeing spokesman says a $4 billion order from India for 10 military jets is expected to save jobs in the U.S. and extend the life of the Southern California plant where the giant cargo planes are assembled.
Jerry Drelling said Monday the order has a $5.8 billion annual economic impact and that the jobs of about 25,000 workers in 44 states depend on the C-17 planes.
Boeing is the largest employer in the city of Long Beach, 25 miles south of downtown Los Angeles. Drelling says that without the order by the Indian government, the last of the plant's current orders would be delivered in December 2012.
The C-17 is a large transport aircraft and is used to airlift tanks, supplies and troops, as well as perform medical evacuations.
LOS ANGELES (AP) — A Boeing spokesman says a $4 billion order from India for 10 military jets is expected to save jobs in the U.S. and extend the life of the Southern California plant where the giant cargo planes are assembled.
Jerry Drelling said Monday the order has a $5.8 billion annual economic impact and that the jobs of about 25,000 workers in 44 states depend on the C-17 planes.
Boeing is the largest employer in the city of Long Beach, 25 miles south of downtown Los Angeles. Drelling says that without the order by the Indian government, the last of the plant's current orders would be delivered in December 2012.
The C-17 is a large transport aircraft and is used to airlift tanks, supplies and troops, as well as perform medical evacuations.
Monday, June 6, 2011
Vietnam Air plans first direct flight to Britain
MSN News
June 6, 2011
Vietnam's flag carrier will fly to Britain starting in December, marking the first direct air link between the two nations which are expanding ties, the airline said in a statement.
State-owned Vietnam Airlines did not say how many flights would initially operate to London's Gatwick airport, or whether they would originate from Hanoi's Noi Bai airport or Ho Chi Minh City's Tan Son Nhat.
Opening the link "expresses outstanding effort and high determination by Vietnam Airlines to promote the strong development of bilateral ties," chief executive officer Pham Ngoc Minh said in the statement issued late Sunday.
Vietnam and the United Kingdom last September signed a "Strategic Partnership" to boost ties in a range of areas including trade and investment, development and security.
Vietnam Airlines already serves European destinations in Paris, Frankfurt and Moscow.
The Southeast Asian carrier is looking to position itself as one of the region's leading airlines.
Last year it became the first in Southeast Asia to join the SkyTeam global airline alliance, which includes Air France and Delta Air Lines of the United States.
In late December Vietnam Airlines said it was expecting a pre-tax profit jump of 130 percent year-on-year to $17.5 million in 2010, thanks to improved passenger numbers.
June 6, 2011
Vietnam's flag carrier will fly to Britain starting in December, marking the first direct air link between the two nations which are expanding ties, the airline said in a statement.
State-owned Vietnam Airlines did not say how many flights would initially operate to London's Gatwick airport, or whether they would originate from Hanoi's Noi Bai airport or Ho Chi Minh City's Tan Son Nhat.
Opening the link "expresses outstanding effort and high determination by Vietnam Airlines to promote the strong development of bilateral ties," chief executive officer Pham Ngoc Minh said in the statement issued late Sunday.
Vietnam and the United Kingdom last September signed a "Strategic Partnership" to boost ties in a range of areas including trade and investment, development and security.
Vietnam Airlines already serves European destinations in Paris, Frankfurt and Moscow.
The Southeast Asian carrier is looking to position itself as one of the region's leading airlines.
Last year it became the first in Southeast Asia to join the SkyTeam global airline alliance, which includes Air France and Delta Air Lines of the United States.
In late December Vietnam Airlines said it was expecting a pre-tax profit jump of 130 percent year-on-year to $17.5 million in 2010, thanks to improved passenger numbers.
3 Asian flag carriers join battle for low-cost sector
Manila Bulletin
June 6, 2011
By EILEEN NG
KUALA LUMPUR, Malaysia (AP) – Three Asian flag carriers have announced plans to set up new low-cost airlines, jumping on the budget airline bandwagon as their cheap and cheerful rivals grab an ever bigger share of passengers and make in-roads into the long-haul business.
The region's full-service carriers have rebounded from the global economic downturn. But they are in a dogfight with each other for lucrative premium-class passengers while low-cost airlines like AirAsia and Qantas-owned Jetstar aren't ceding any of the ground they gained from aggressive expansion during the recession when cheap flights gained extra appeal.
Now, national flag carriers are increasingly deciding that if you can't beat them, join them. Some analysts say that the traditional airlines are finally facing up to the major strategic challenge that has been looming for the past decade: the incursion of low-cost carriers into short-haul flights and, more recently, into bread-and-butter long-haul routes – flights longer than 6 hours.
"Ten years ago, low-cost carriers only accounted for one percent of the market'' in Asia, said Brendan Sobie, analyst at the Sydney-based Center for Asia Pacific Aviation.
"Five years ago, they accounted for about nine percent. This year, they will account for almost 20 percent,'' he said, predicting the figure could double within the next decade.
The proliferation of budget airlines, and their new moves into intercontinental flights, spells good news for travelers: increased competition will further drive down air fares as the line between low cost and full-service airlines becomes increasingly blurry.
But it will also mean an even tougher fight to stay profitable for both budget and regular carriers as they grapple with high fuel costs. The International Air Transport Association has forecast Asia-Pacific Airlines to earn combined profits of $3.7 billion this year, down from $7.6 billion in 2010.
In Malaysia, budget airlines account for nearly half of seat capacity, in Singapore, they account for 22 percent and in Thailand about 17 percent, eating into the business of flag carriers in the three Southeast Asian countries.
Yet, it came as a surprise to the industry when Singapore Airlines Ltd. – one of the world's most profitable carriers - announced last month plans to set up a budget airline to operate medium and long-haul routes next year.
The move follows the appointment of new management this year and is a major gamble for the national airline, which relies heavily on business and first-class travelers who make up a small percentage of seats but account for up to 40 percent of revenue. It will be only the second flag carrier to launch a low-cost unit after Qantas Airways Ltd.
"It is a defensive move in a difficult market,'' said Rigan Wong, analyst at Citigroup Inc. in Hong Kong.
Singapore Airlines already owns a third of low-cost carrier Tiger Airways, which flies short-haul routes. It also owns SilkAir, which occupies a niche between premium and low cost for medium-haul flights. Singapore Airlines will be able to cater to travelers it currently doesn't reach by adding a budget long-haul airline, Wong said.
Singapore Airlines hopes to echo the success of AirAsia X, which started in 2007 and became profitable just three years later with flights to 15 cities in Asia, Australia, Europe and the Middle East.
While route details are unknown, CAPA said Singapore Airlines could target fast growth markets in China, India and Europe in a direct challenge to AirAsia X, which is partly owned by AirAsia and Richard Branson's Virgin Group, and JetStar.
Elsewhere in Asia, other flag carriers are only just getting around to venturing into the low cost approach to short-haul routes.
In Japan, All Nippon Airways is to tie-up with Hong Kong-based First Eastern Investment to set up the country's first budget carrier. Peach Aviation is expected to start flights in March 2012, offering fares on short-haul international routes at 50 percent lower than current prices.
Thai Airways has also approved plans for a wholly owned budget carrier to operate two to three hour flights from Bangkok by early 2012. It has also been trying to form a venture with Singapore's Tiger Airways but resistance from Thai regulators and other hurdles may end up scuttling the long-delayed plan.
June 6, 2011
By EILEEN NG
KUALA LUMPUR, Malaysia (AP) – Three Asian flag carriers have announced plans to set up new low-cost airlines, jumping on the budget airline bandwagon as their cheap and cheerful rivals grab an ever bigger share of passengers and make in-roads into the long-haul business.
The region's full-service carriers have rebounded from the global economic downturn. But they are in a dogfight with each other for lucrative premium-class passengers while low-cost airlines like AirAsia and Qantas-owned Jetstar aren't ceding any of the ground they gained from aggressive expansion during the recession when cheap flights gained extra appeal.
Now, national flag carriers are increasingly deciding that if you can't beat them, join them. Some analysts say that the traditional airlines are finally facing up to the major strategic challenge that has been looming for the past decade: the incursion of low-cost carriers into short-haul flights and, more recently, into bread-and-butter long-haul routes – flights longer than 6 hours.
"Ten years ago, low-cost carriers only accounted for one percent of the market'' in Asia, said Brendan Sobie, analyst at the Sydney-based Center for Asia Pacific Aviation.
"Five years ago, they accounted for about nine percent. This year, they will account for almost 20 percent,'' he said, predicting the figure could double within the next decade.
The proliferation of budget airlines, and their new moves into intercontinental flights, spells good news for travelers: increased competition will further drive down air fares as the line between low cost and full-service airlines becomes increasingly blurry.
But it will also mean an even tougher fight to stay profitable for both budget and regular carriers as they grapple with high fuel costs. The International Air Transport Association has forecast Asia-Pacific Airlines to earn combined profits of $3.7 billion this year, down from $7.6 billion in 2010.
In Malaysia, budget airlines account for nearly half of seat capacity, in Singapore, they account for 22 percent and in Thailand about 17 percent, eating into the business of flag carriers in the three Southeast Asian countries.
Yet, it came as a surprise to the industry when Singapore Airlines Ltd. – one of the world's most profitable carriers - announced last month plans to set up a budget airline to operate medium and long-haul routes next year.
The move follows the appointment of new management this year and is a major gamble for the national airline, which relies heavily on business and first-class travelers who make up a small percentage of seats but account for up to 40 percent of revenue. It will be only the second flag carrier to launch a low-cost unit after Qantas Airways Ltd.
"It is a defensive move in a difficult market,'' said Rigan Wong, analyst at Citigroup Inc. in Hong Kong.
Singapore Airlines already owns a third of low-cost carrier Tiger Airways, which flies short-haul routes. It also owns SilkAir, which occupies a niche between premium and low cost for medium-haul flights. Singapore Airlines will be able to cater to travelers it currently doesn't reach by adding a budget long-haul airline, Wong said.
Singapore Airlines hopes to echo the success of AirAsia X, which started in 2007 and became profitable just three years later with flights to 15 cities in Asia, Australia, Europe and the Middle East.
While route details are unknown, CAPA said Singapore Airlines could target fast growth markets in China, India and Europe in a direct challenge to AirAsia X, which is partly owned by AirAsia and Richard Branson's Virgin Group, and JetStar.
Elsewhere in Asia, other flag carriers are only just getting around to venturing into the low cost approach to short-haul routes.
In Japan, All Nippon Airways is to tie-up with Hong Kong-based First Eastern Investment to set up the country's first budget carrier. Peach Aviation is expected to start flights in March 2012, offering fares on short-haul international routes at 50 percent lower than current prices.
Thai Airways has also approved plans for a wholly owned budget carrier to operate two to three hour flights from Bangkok by early 2012. It has also been trying to form a venture with Singapore's Tiger Airways but resistance from Thai regulators and other hurdles may end up scuttling the long-delayed plan.
Sunday, June 5, 2011
Australia posts its busiest year in aviation ever in 2010
Manila Bulletin
June 5, 2011
SYDNEY (AFP) – Australia experienced its busiest ever year in domestic aviation in 2010, Transport Minister Anthony Albanese said as he again warned that pressures on Sydney airport were rising.
Speaking at an industry function, the minister said domestic flights had risen 7% on 2009 while international passenger numbers rose to a record 26.8 million travelers – an increase of close to 10%.
"Domestically, the skies over Australia last year were the busiest they've ever been with just short of 54 million passengers taking almost 600,000 flights," Albanese said.
"Every way you look at it, 2010 was a record breaker for passenger kilometers traveled, for seat capacity and the number of aircraft trips."
Albanese said the Bureau of Infrastructure, Transport and Regional Economics figures compared favorably with data from the rest of the developed world, thanks in part to Canberra's financial crisis stimulus package.
"The popularity of air travel among Australians during the worst downturn since the Great Depression is testament to the resilience of our aviation industry," he added.
The minister said the aviation sector was, however, facing challenges presented by unprecedented globalization, fluctuating fuel prices and the damaging impact of the strong Australian dollar on inbound tourism.
Albanese said Sydney airport – which handles about 40% of all international flights and sees about 130 million passengers flow through it each year – was under increasing pressure.
The Australian government is working with the New South Wales state administration to identify a location for a second airport in the city.
Albanese said Sydney's passenger numbers were expected to double over the next 20 years.
"Something has got to give, or the Australian economy will suffer," he said.
"Business will go elsewhere if they can't get into Sydney. Tourists will choose other destinations. We will see lost productivity as delays build and demand cannot be met."
June 5, 2011
SYDNEY (AFP) – Australia experienced its busiest ever year in domestic aviation in 2010, Transport Minister Anthony Albanese said as he again warned that pressures on Sydney airport were rising.
Speaking at an industry function, the minister said domestic flights had risen 7% on 2009 while international passenger numbers rose to a record 26.8 million travelers – an increase of close to 10%.
"Domestically, the skies over Australia last year were the busiest they've ever been with just short of 54 million passengers taking almost 600,000 flights," Albanese said.
"Every way you look at it, 2010 was a record breaker for passenger kilometers traveled, for seat capacity and the number of aircraft trips."
Albanese said the Bureau of Infrastructure, Transport and Regional Economics figures compared favorably with data from the rest of the developed world, thanks in part to Canberra's financial crisis stimulus package.
"The popularity of air travel among Australians during the worst downturn since the Great Depression is testament to the resilience of our aviation industry," he added.
The minister said the aviation sector was, however, facing challenges presented by unprecedented globalization, fluctuating fuel prices and the damaging impact of the strong Australian dollar on inbound tourism.
Albanese said Sydney airport – which handles about 40% of all international flights and sees about 130 million passengers flow through it each year – was under increasing pressure.
The Australian government is working with the New South Wales state administration to identify a location for a second airport in the city.
Albanese said Sydney's passenger numbers were expected to double over the next 20 years.
"Something has got to give, or the Australian economy will suffer," he said.
"Business will go elsewhere if they can't get into Sydney. Tourists will choose other destinations. We will see lost productivity as delays build and demand cannot be met."
Qantas Airlines offers crew redundancies
Manila Bulletin
June 5, 2011
SYDNEY (AFP) – Australian airline Qantas Friday confirmed it was seeking voluntary redundancies among its 7,000 crew members as it seeks to combat fluctuating fuel prices and the cost of natural disasters.
In March the carrier said it would slash capacity and management staff due to a series of calamities including floods in Australia and earthquakes in Japan and New Zealand, which coincided with a spike in oil and jet fuel prices.
''Qantas still faces considerable challenges in our international business. Our growth in the international division is slow, and uneven rates of growth on different fleets means our crewing requirements are changing,'' a spokeswoman
told AFP.
''As a result, Qantas is offering voluntary redundancies for both domestic and international cabin crew. Qantas issued a voluntary redundancy registration of interest pack to all cabin crew members yesterday.''
It did not say how many crew it was seeking to shed.
The Australian flag carrier in March said it would cut capacity and management jobs to cope with the impact of rising fuel costs and the natural disasters, which had cost the airline some Aus$140 million (US$150 million).
The redundancy offers come as a damaging industrial row brews between Qantas and its pilots, which could result in the first strike action by international pilots at the carrier in 45 years.
Last month Qantas chief executive Alan Joyce said conceding to all the pilots' demands could result in job losses and place the future of the airline in jeopardy.
''There are certain demands I cannot concede to because it will endanger the survival of the company into the long run,'' Joyce said.
''Our international business is losing money. Our international business, if these demands are met, will go backwards even further.''
June 5, 2011
SYDNEY (AFP) – Australian airline Qantas Friday confirmed it was seeking voluntary redundancies among its 7,000 crew members as it seeks to combat fluctuating fuel prices and the cost of natural disasters.
In March the carrier said it would slash capacity and management staff due to a series of calamities including floods in Australia and earthquakes in Japan and New Zealand, which coincided with a spike in oil and jet fuel prices.
''Qantas still faces considerable challenges in our international business. Our growth in the international division is slow, and uneven rates of growth on different fleets means our crewing requirements are changing,'' a spokeswoman
told AFP.
''As a result, Qantas is offering voluntary redundancies for both domestic and international cabin crew. Qantas issued a voluntary redundancy registration of interest pack to all cabin crew members yesterday.''
It did not say how many crew it was seeking to shed.
The Australian flag carrier in March said it would cut capacity and management jobs to cope with the impact of rising fuel costs and the natural disasters, which had cost the airline some Aus$140 million (US$150 million).
The redundancy offers come as a damaging industrial row brews between Qantas and its pilots, which could result in the first strike action by international pilots at the carrier in 45 years.
Last month Qantas chief executive Alan Joyce said conceding to all the pilots' demands could result in job losses and place the future of the airline in jeopardy.
''There are certain demands I cannot concede to because it will endanger the survival of the company into the long run,'' Joyce said.
''Our international business is losing money. Our international business, if these demands are met, will go backwards even further.''
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