Category: Top Stories

IATA advises 737 MAX will remain grounded until August

United Airlines Boeing 737 MAX ©AirTeamImages

Despite the fact that it is believed the Federal Aviation Administration (FAA) is set to approve the updates to the 737 MAX in June, other agencies intend to carry out their own assessments. This has resulted in the likelihood worldwide approval for the lifting of the ban, which was instigated after two fatal crashes involving the passenger jet, will likely not be lifted until early-to-mid-August, well into the peak season for many carriers. Speaking ahead of the International Air Transport Association’s (IATA) annual meeting in Seoul, South Korea, Alexandre de Juniac, the IATA CEO, commented that he did not anticipate Read more

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First 5G network for in-flight connectivity proposed by Gogo

The major provider of broadband connectivity products for aviation, Gogo, has announced its intention to create a contiguous U.S. and Canada air-to-ground (ATG) network which will be designed for use by business aviation aircraft, commercial regional jets and smaller mainline jets. It is anticipated the network will be operational for business and commercial aviation by 2021. Oakleigh Thorne, CEO of Gogo, commented that: “We expect to launch Gogo 5G at the same time as the terrestrial telecommunications companies are deploying the same generation of technology on the ground – a first in the inflight connectivity industry. Gogo 5G is the Read more

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SAS pilot strike hits second-quarter results hard

©SAS

The six-day pilots’ strike which ended May 2, is estimated to have cost Scandinavian Airlines 650 million kroner (US$68 million) and contributed heavily to the carrier’s 1.2 billion kroner (US$125 million) loss for the second quarter of its financial year. The strike, which began April 26, was the consequence of a breakdown in negotiations between SAS and SAS Pilot Group, which represented 95% of the carrier’s pilots in Sweden, Denmark and Norway. In total, over 4,000 flights were canceled, affecting more than 370,000 passengers. To summarize the second-quarter results (2018 figures in brackets): Revenue: SEK 10,187m (9,916m) Income before tax Read more

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Boeing confirms Embraer’s name to disappear from commercial jet joint venture

©Embraer

Boeing has confirmed that once it takes an 80% stake in Brazil’s Embraer SA’s commercial jet division, the name Embraer is to be dropped completely and the company will be called Boeing Brasil – Commercial. This will see one of Brazil’s most iconic company names disappear from commercial jet manufacturing, despite Embraer retaining a 20% stake in the most profitable arm of the current company. However, the name will still exist as Embraer will still continue to manufacture military and executive jets from the two wholly owned divisions that are excluded from the Boeing joint venture. Additionally, nothing has yet Read more

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Air New Zealand invests in new fuel-efficient Boeing 787-10 Dreamliner

Boeing 787-10 Dreamliner in ©Air New Zealand livery

Air New Zealand has decided to invest in new fuel-efficient aircraft with the purchase of eight Boeing 787-10 Dreamliner aircraft powered by GE Aviation’s GEnx-1B engines. At today’s list prices, the agreement represents a value of US $2.7 billion. As is usual with such orders, Air New Zealand has negotiated a significant discount on current list prices and the parties have agreed not to disclose the actual purchase price. The first of these highly fuel-efficient aircraft will join the Air New Zealand fleet in 2022 and together they will have the potential to save 190,000 tonnes of carbon per year. Air New Zealand currently operates a Read more

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Path cleared for foreign airlines to enter Brazil’s domestic market

Azul ©AirTeamImages

Following Brazil’s lower chamber approval, the Senate has passed legislation which will allow foreign-controlled airlines to operate domestic flights within the country, which is Latin America’s largest sir-travel market. However, as Congress has added a codicil whereby airlines are now banned from charging passengers for their first checked bag, this now means that President Jair Bolsonaro’s signature will be required before the legislation becomes law. The checked-bag restriction has not been welcomed by airlines or the Latin American and Caribbean Air Transport Association transport group as this may restrict opportunities for low-cost airlines and may ultimately see higher fares being Read more

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Three major Chinese Airlines turn to Boeing for 737 MAX compensation

Air China ©AirTeamImages

According to Chinese state media reports, Air China, China Eastern and China Southern, the country’s largest three airlines, have all submitted formal requests to Boeing for compensation as a consequence of the grounding of all 737 MAX jets worldwide. Following the second of two fatal crashes involving the MAX jet which had displayed similar problems to the first, China’s regulator was the first to order the grounding of all Chinese airline-owned 737 MAX jets. Currently China Southern Airlines has 24 grounded 737 MAX jets, while it also has orders for 56 more, though delivery of these will now be delayed Read more

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EC signs landmark aviation agreement with China

Intended to generate growth for European business, foster innovation and enable passengers to profit from safer, cleaner and cheaper flights, in a follow-up to the April 9 EU-China summit the European Commission signed an agreement on civil aviation safety and also a horizontal aviation agreement aimed at strengthening aviation cooperation on Monday May 20. The signing of a bilateral civil aviation agreement (BASA) will support worldwide trade in aircraft and related products. It should reduce costs incurred through the previous need for duplication of evaluation and certification activities for aeronautical products by the civil aviation authorities, while also promoting cooperation Read more

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Niki Lauda, former F1 World champion and founder of Lauda Air, Niki and Laudamotion airlines, has died

Lauda Air ©AirTeamImages

The worlds of Formula 1 and commercial airlines are today mourning the sad passing of Niki Lauda. His family announced today (Tuesday) that he had “passed away peacefully” on Monday, May 20. He was 70. Lauda was FI World Champion three time, in 1975 and 1977 while driving for Ferrari, and again in 1984 while driving for McLaren. His achievement in 1977 was even more remarkable as this followed a horrific accident in the 1976 German Grand prix where he suffered extensive burns and life-threatening damage to his lungs but returned to full-time racing just 40 days after the incident. Read more

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Ryanair’s annual profit slumps 29% to four-year low

©Ryanair

Ryanair has reported its lowest annual profit for four years, warning that earnings could fall further during what CEO Michael O’Leary describes as “attritional fare wars”. Shares closed at €10.30, a drop of 4.6%, having rallied slightly from a 6% drop after reassurance from O’Leary that a couple of years of lower fares and profitability was a reasonable price to pay for consolidation and an increased market share. This is still 40% below its August 2017 high of €19.39 prior to disruptive industrial unrest and fare weakness. “Our strategy would be to keep adding capacity as quickly as we can Read more

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