Tuesday, August 21, 2012

Phl carriers get add'l seats to South Korea

Louella D. Desiderio
The Philippine Star
August 21,2012 Tuesday


Three local carriers have received additional seat entitlements to fly to South Korea.

"Philippine Airlines (PAL), Cebu Pacific and Zest Air were given additional entitlements to South Korea," Civil Aeronautics Board Executive director Carmelo Arcilla said in a telephone interview yesterday.

PAL which currently has an existing 7,550-seat allocation received more than 3,000 additional seats.

Cebu Pacific is also getting more than 3,000 seats to add to its current 5,760 allocation.

Zest Air, which has 2,700 seats got an additional 2,000. "In giving the additional entitlements, we looked at the capability of the carriers. They were given additional seats since they have existing flights there," Arcilla said.

In April, the Philippines and South Korea agreed to amend their air services pact to increase the weekly seat allocations of flights between the two countries.

From 19,000 seats per week, the two countries agreed to increase weekly entitlements to 28,500.

Arcilla said earlier that given the amended air services pact, the number of visitors from South Korea to the Philippines is expected to hit one million or more this year.

Last year, some 925,000 tourists from South Korea visited the Philippines.

Air talks are being conducted by the country in line with the open skies policy.

Executive Order 29 which was signed by President Aquino in March last year authorized government negotiators to grant access to foreign airlines to the country's airports other than the Ninoy Aquino International Airport.

The policy was intended to support tourism growth and encourage foreign airlines to operate at secondary gateways.

Monday, August 20, 2012

Hong Kong Air Reviews A380s After Scrapping London Flights

Manila Bulletin
August 20, 2012

Hong Kong Airlines, holder of the biggest backlog of Airbus SAS A380 orders in Asia, said it’s reviewing plans to add the superjumbos after scrapping its only intercontinental route.

The fate of the 10-plane order will be decided “based on our future development and the market situation,” President Yang Jianhong told reporters in Hong Kong yesterday. He didn’t give a timeframe for the decision or say whether talks with Airbus were under way.

The carrier, whose fleet size has also been limited by Hong Kong’s regulator, has changed its strategy to focus on serving Asian routes with smaller A320s and A330s, Yang said. The airline is halting its all-business-class service to London’s Gatwick Airport after less than a year as it struggled to lure passengers from Cathay Pacific Airways Ltd. (293) amid a slowing corporate-travel market.

“Given the current high fuel prices and uncertain demand in the market, it is probably not the best time for any airline to expand aggressively,” said Jim Wong, a Hong Kong-based transport analyst at Nomura Holdings Inc. Cathay Pacific will continue to dominate the local market, unless there is a significant easing of access rules, he said.

Cathay Pacific rose 2 percent to HK$13.06, the highest level in about a month, at close of Hong Kong trading today. The city’s benchmark Hang Seng Index fell 0.5 percent.
Regional Services

Hong Kong Air’s regional services are “performing well,” Yang said. Its passenger numbers rose 33 percent in the first seven months of the year to 1.97 million.

First-half profit fell 50 percent, Yang said, without elaborating. Cathay Pacific, the city’s biggest carrier, swung to a loss in the period on a cargo slump and higher fuel prices.

Hong Kong Air also delayed the arrival of six Boeing Co. (BA) 777 freighters, previously scheduled to start next year, until at least the middle of 2014, Vice President Sun Jianfeng said yesterday. Deliveries of A380s may start as early as 2013, Hong Kong Air said in November.

There’s no change in the carrier’s Airbus orders, said Sean Lee, a Singapore-based spokesman for the planemaker.

The airline also postponed a planned initial public offering beyond year-end because of the market slowdown and the possibility of a combination with affiliate Hainan Airlines Ltd., Yang said.

Parent HNA Group will continue to support Hong Kong Air, said Chen Wenli, board director at the Hainan province-backed investment company.

Discussions with Airbus about the A380 order aren’t at an advanced stage, Chen said yesterday, when asked whether HNA will consider transferring the 10-plane order to other airlines in the group.
A380 Backlog

Airbus had a total of 177 outstanding orders for A380s at the end of last month, according to data on its website. That includes five from Kingfisher Airlines Ltd. (KAIR) that were delayed beyond 2016 because of losses at the Indian carrier.

Qantas Airways Ltd. (QAN), the biggest Asia-Pacific customer for the A380, received 12 of the 20 superjumbos it ordered by the end of last month. Singapore Airlines Ltd. had taken delivery of 18 of its 19 planes.

Hong Kong Air operates a fleet of 26 planes. It intends to phase out its Boeing Co. 737s as it switches to an all-Airbus passenger fleet, according to a statement.

Hong Kong’s Civil Aviation Department said Aug. 2 it had limited the carrier’s fleet because the airline needed time to “catch up” following expansion. There are no safety concerns, and the carrier can continue flying its existing fleet, the regulator said.

The limit may be lifted as soon as the carrier demonstrates that it has enough equipment, staffing and other resources to support a larger operation, the regulator said.

Emirates airline to resume flights to Libya

Manila Bulletin
August 20, 2012

(Reuters) - Dubai's flagship airline Emirates EMIRA.UL, the largest carrier based in the Middle East, will resume flights to Libya in October after suspending them for almost 18 months following the outbreak of civil unrest there.

Emirates will operate four flights a week from Dubai to Tripoli starting on October 29, using an Airbus A330-200, the airline said on Monday.

International airlines have been resuming services to Libya gradually since late 2011, following the ouster of Muammar Gaddafi in August that year. Security worries have not entirely disappeared; Tripoli's international airport was closed by angry militiamen for a day in June this year.

Thursday, August 16, 2012

Alpha Aviation Group, Zest Airways Enter Into A Training Partnership

Manila Bulletin August 26, 2012 Clark, Pampanga - Global aviation training services provider Alpha Aviation Group (AAG) Philippines and Zest Airways Inc. have signed an agreement for a long-term training partnership. Under the agreement, Zest Airways Inc. pilots will undergo all their Airbus A320 training requirements with AAG Philippines beginning September. AAg Philippines operates and maintains an A320 Level D full flight simulator at its simulator training center in Clark, Pampanga. Zest Airways Inc. will benefit from AAG's extensive training expertise and sophisticated training methodologies in the airbus field. The airline's first officers will be trained under the First Officer Training program of AAG Philippines. The close and long-term collaboration promises substantial advantages not only to both organizationsbut also to the aviation industry, according to Kunal Sharma, Chief Operating Officer of AAG. "This agreement truly enchances the support AAG provides to airlines at our regional training center in the Philippines. We give our customers a competitive edge by creating and implementing tailored training solutions, enabling them to focus on what really matters, keeping pilots and planes flying revenue flights," Sharma said. The state-of-the-art training platform will allow Zest Airways Inc. flexible use of training devices, instruction material, and examination tools. AAG's learning flatform enables the training provided to be optimally aligned to individual trainee's needs. "With AAG, we have the perfect training partner, right on our doorstep in the Philippines, to deliver an innovative training program of the highest international and safety standards," said Zest Airways Inc. Chief Executive Adviser Brian Hogan. Launched in 2006, AAG Philippines is a leading provider of Multi-crew Pilot License (MPL) training. It is one of the three academies under UK-based Alpha Aviation Group (AAG), which delivers specialist training solutions to the international commercial aviation community. AAG Philippines is also an Approved Training Organization (ATO) and a certified Type Rating Training Organization (TRTO) for the Airbus A320.

Tuesday, August 14, 2012

Kingfisher Airlines Widens Quarterly Loss

Manila  Bulletin
August 14, 2012

India's Kingfisher Airlines Ltd., struggling with a cash shortage, reported a wider first-quarter loss as passengers shunned the carrier because of flight cuts and service disruptions.

The net loss in the three months ended June 30 totaled 6.5 billion rupees ($117 million), compared with a loss of 2.6 billion rupees a year earlier, the Bangalore-based carrier said in an e-mailed statement today. Sales fell 84 percent to 3 billion rupees.

The airline's market share has slumped to sixth from second as it grounded planes and struggled to pay salaries and interest on debt accumulated to pay for planes. Jet Airways (India) Ltd., and SpiceJet Ltd., the nation's two other listed carriers, returned to profit in the quarter as they benefited from Kingfisher's capacity cuts.

"There's no hope for Kingfisher," said Jasdeep Walia, an analyst at Kotak Securities Ltd. in Mumbai. "Interest costs it was servicing with about 65 planes now have to be paid with cash from operating a quarter of that fleet. It'll only lose more."

Constrolled by billionaire Vijay Mallya, thee carrier is operating 20 planes as it reduced services to about 120 flights a day, compared with 66 aircraft and about 340 daily flights in March 2011. It had a market share of 4.2 percent in June, compared with 27.4 percent for Jet and 26 percent at discount carrier IndiGo.

The company spent 3.8 billion rupees on returning or idling aircraft after cutting flights, according to the statement. Negotiations are on with lessors to seek more time to pay rentals on some aircraft, it said.

Kingfisher, following a directive from its lenders, withheld 280 million rupees in fees to entities that arranged loan guarantees, according to the statement.

The carrier has ended international operations and delayed Airbus SAS A380 deliveries beyond 2016 because of the losses. It was also shut out from International Air Transport Association's billing systems after failing to pay required cash deposits.

Kingfisher is in talks with IATA for regaining access, Tony Tyler, director general of the group, said July 25.

Saturday, August 11, 2012

Hong Kong Airlines Quits London

Manila Bulletin
August 11, 2012

HONG KONG (AFP) - Hong Kong Airlines will end its service between Hong Kong and London due to poor demand, reports said Wednesday, another blow to the carrier after authorities banned its expansion.

"The last flight from London to Hong Kong will be on September 10," Hong Kong Airlines General Manager Albert Chan told Dow Jones Newswires, meaning the service will have run for just seven months.

The airline uses three Airbus 330-200 planes for the flights which are fitted exclusively with business-class seats.

The service costs around HK$10 million ($1.3 million) a month to run, the South China Morning Post newspaper reported.

The airline did not immediately respond to requests for comment. The move followed an unprecedented aviation authority ban last month on the airline's expansion, limiting the types of aircraft the company can operate until the airline meets all safety requirements for operating a larger fleet.

The airline said it supported the conditions, adding they were sensible for a company at their stage of growth. "Given the profitability of our regional routes, we believe that we now have the optimal fleet to continue to build a business... focused on Asia Pacific," an HKA spokeswoman told AFP on Monday.

Hong Kong Airlines was established in 2006 and operates 21 aircraft flying to locations in mainland China and international destinations ranging from Tokyo to Bangkok. HKA flights were severely delayed and cancelled when a typhoon lashed Hong Kong last month, leaving hundreds of passengers stranded.

Airline Fined for In-Flight Bikini Show

Manila Bulletin
August 11, 2012

Here's one way to deal with the stress of flying -- bring on the dancing girls! A Vietnamese airline is being fined for featuring in-flight entertainment by a troupe of bikini-clad women. The Civil Aviation Administration of Vietnam fined the airline $20 million Vietnamese dong, or about $960, because the show had not received official approval. Passengers on the Vietjet Air flight from Ho Chi Minh City to the coastal city of Nha Trang, however, didn't seem to mind. Many cheered and took pictures and videos of the dancers, all of whom were vying for the title of Miss Ngoi Sao. One clip that was uploaded to YouTube has been viewed more than 230,000 times so far.

An airline rep explained that the bikini show was to celebrate the airline's first flight to the beach town, saying, "We came up with the idea of getting a number of girls in bikinis to dance and make passengers happy to improve our customer service." Wonder what a flight to Vegas would look like on this airline.

Long-Haul Carrier AirAsia X Boosts Fleet With 6 Airbus Jets

Manila Bulletin
August 11, 2012

KUALA LUMPUR (AFP) - The long-haul arm of budget carrier Air-Asia X said it would add six leased aircraft to its growing fleet as it pushes to build up its presence in Asia.

AirAsia X, which this year slashed routes to Europe and India to refocus on the Asia-Pacific, said it would lease the six Airbus A330-300s from US-based International Lease Finance Corp. in a deal worth approximately $500 million.

The carrier currently operates nine Airbus A330-300s and two A340-300s. It is already awaiting delivery of 17 other aircraft it has purchased from Europe's Airbus.

"The six new aircraft will help Air-Asia X maintain its leadership position and stay far ahead of our competitors. We will now be able to mount more flights to Australia, China, Japan and South Korea," AirAsia X CEO Azran Osman-Rani said.

The airline and leasing firm signed a letter of intent on the deal in Kuala Lumpur on Thursday. AirAsia X will begin taking delivery of the planes next year.

Azran said AirAsia X, which carried 2.5 million passengers last year, has targeted 7 million passengers by 2014 on the back of the additional capacity.

AirAsia X concentrates on long-haul routes of over four hours while AirAsia and its regional subsidiaries handle shorter flights.

AirAsia group CEO Tony Fernandes said a public listing of AirAsia X was "imminent," but did not specify a timeframe.

There have been reports that Air-Asia X could list on the Kuala Lumpur exchange by the end of the year to help fund its ambitious expansion plans.

Fernandes, a former record industry executive, plucked ailing AirAsia from insolvency in 2001 and quickly turned it into a profitable budget carrier and one of the aviation sector's biggest successes.

He established a successful template that included flying into cheaper secondary airports in major cities and launched AirAsia X in 2007 to serve routes beyond the airline's core Southeast Asian market. But AirAsia X this year cut unprofitable routes to Europe, India and New Zealand to focus on expanding its services to China, Japan and elsewhere in Asia.

AirAsia has refocused on shoring up its presence in short-haul routes within Asia against a host of new competitors, and recently set up a regional headquarters in Jakarta to direct the effort.

Wednesday, August 8, 2012

Qantas Suspends Pilot For Alcohol

Manila Bulletin
August 8, 2012 Wednesday


CANBERRA, Australia (AP)- Australia's air safety regulator says Qantas Airways Ltd. has suspended a pilot for attempting to fly while under the influence of alocohol.

Civil Aviation Safety Authority spokesman Peter Gibson said Monday the woman  exceeded the limit for pilots of 0.02 percent alcohol in the blood in a test last week.

Gibson siad he did not know her blood-alcohol reading. The blood-alcohol limit for driving in Australia is 0.05 percent.

Embraer Delivers Planes To Indonesia

Manila Bulletin
August 8, 2012 Wednesday


SAO PAULO (AFP)- Brazil's top planemaker Embraer said it delivered four light attack A-29 Super Tucano aircraft to the Indonesian Air Force at a ceremony held Monday at its facility located some 270 kilometers (165 miles) from here.

The planes are part of eight such planes ordered by the Indonesians in 2010 to replace a fleet of OV-10 Broncos.

Embraer said that the Indonesian Air Force has since ordered a second batch of eight Super Tucanos as part of their equipment modernization drive.

Wednesday, August 1, 2012

All Nippon Airways grounds Dreamliners

Los Angeles Times
BusinessMirror
Editor: Armin A. Amio
August 1, 2012 Wednesday

LOS ANGELES-Five of Boeing Co.'s new 787 Dreamliner commercial airplanes belonging to Japanese carrier All Nippon Airways have been grounded because of corrosion found in jet engines during testing.

The Dreamliner, a twin-aisle aircraft that seats 210 to 290 passengers, made it first passenger flight with  All Nippon Airways in October. But it was more than three years late because of design problems and supplier issues.

The latest problem was caused by changes to a manufacturing process, Boeing said. The changes caused some of the crown gears to corrode within the gear box, the company said. The flaw was discovered during testing by the engine's maker, Rolls-Royce.

All Nippon Airways owns 11 Dreamliners. The airline "is removing the five airplanes with affected parts from active service until they can replace the gearboxes," Boeing spokesman Scott Lefeber said.

By late Monday, All Nippon Airways confirmed that three of the affected Dreamliners had been returned to service with replacement parts.

"The replacement is expected to be complete in the days ahead,"Lefeber said. "No airplanes will be delivered with affected parts."

Corrosion is the most recent problem with the Dreamliner. Shortly after delivery of the first aircraft, All Nippon Airways reported a problem with landing gear. In March, Boeing had to slow Dreamliner deliveries because the sheets of laminated composite materials that make up the planes, body where separating.

Through June, Boeing has taken 845 orders for the Dreamliner from airlines and aircraft leasing firms around the world. Depending on the version of Dreamliner ordered, the plane will cost between $185 million and $218 million.