<?xml version="1.0" encoding="utf-8"?>
<feed xmlns="http://www.w3.org/2005/Atom">
    <title>Airline Business</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/" />
    <link rel="self" type="application/atom+xml" href="http://www.flightglobal.com/blogs/airline-business/atom.xml" />
    <id>tag:www.flightglobal.com,2008-08-05:/blogs/airline-business//58</id>
    <updated>2009-11-20T14:06:12Z</updated>
    <subtitle>Airline Business</subtitle>
    <generator uri="http://www.sixapart.com/movabletype/">Movable Type Enterprise 4.32-en</generator>

<entry>
    <title>The term low-cost airline is all BS</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/the-term-low-cost-airline-is-a.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.78721</id>

    <published>2009-11-20T13:46:09Z</published>
    <updated>2009-11-20T14:06:12Z</updated>

    <summary>Has the term low-cost airline become meaningless?</summary>
    <author>
        <name>Mark Pilling</name>
        
    </author>
    
        <category term="Africa/Middle East" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="jazeeraairways" label="Jazeera Airways" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="stefanpichler" label="Stefan Pichler" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="virginblue" label="Virgin Blue" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>My colleague Brendan Sobie recently interviewed the new chief executive of Kuwait's <a href="http://www.flightglobal.com/articles/2005/10/31/202557/jazeera-airways-launches-to-break-kuwaiti-monopoly.html">Jazeera Airways</a> Stefan Pichler. The former Virgin Blue exec got a little hot under the collar about the term low-cost airline.</p>
<p>Unprompted, Stefan said this to Brendan:</p>
<p>"Everybody who runs an airline always tries to have the lowest cost possible because it's a bloody asset driven business. It's just common sense.</p>
<p><img class="mt-image-right" style="FLOAT: right; MARGIN: 0px 0px 20px 20px" height="292" alt="StefanPichlerVB2.JPG" src="http://www.flightglobal.com/blogs/airline-business/StefanPichlerVB2.JPG" width="243" />"If you have an asset driven business then you try to operate it with the lowest cost possible. Everyone wants the lowest cost possible but on the other hand everyone wants the highest revenue possible. So we all chase for the lowest cost and highest revenue.</p>
<p>"The only one difference is a new start up company has lower costs than an established legacy airline because they are start up businesses.</p>
<p>"So forget about all this bull shit about low-cost airlines - everyone tries to be low-cost. Everyone! It's a stupid little label. It's a stupid label for people like you (journalists)."</p>
<p><strong>THAT TOLD US STEFAN</strong>!</p>
<p>Actually, Airline Business has long wondered about the low-cost carrier label, but not so much that we won't stop using it.</p>
<p><a href="http://www.flightglobal.com/articles/2008/05/19/223826/low-cost-carriers-become-harder-to-define.html">See this leader article from June 2008: What is the real thing?</a><br /></p>]]>
        
    </content>
</entry>

<entry>
    <title>Does Malta really need its own airline?</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/does-malta-really-need-its-own.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.76630</id>

    <published>2009-11-13T14:25:02Z</published>
    <updated>2009-11-13T15:45:56Z</updated>

    <summary>Does the small island of Malta really need it&apos;s own airline or is it a major cost burden?</summary>
    <author>
        <name>Mark Pilling</name>
        
    </author>
    
        <category term="Europe" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="airmalta" label="Air Malta" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="airbus" label="Airbus" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="ilfc" label="ILFC" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="joecappello" label="Joe Cappello" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="malta" label="Malta" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>The answer as always is "it depends".</p>
<p>For instance, if the island's flag carrier <a href="http://www.airmalta.com/homepage?l=1">Air Malta </a>didn't exist would <a href="http://www.guidetomalta.net/About-Malta/where-is-malta-island-located">this tiny island off the coast of Italy in the Mediterranean</a> find itself cut off (the photo shows Valletta the rather stunning capital of Malta)? Probably not: there are plenty of airlines willing to serve Malta with connections to the wider world via London, Paris and Frankfurt.</p>
<p><img class="mt-image-center" style="DISPLAY: block; MARGIN: 0px auto 20px; TEXT-ALIGN: center" height="297" alt="Malta_resized.jpg" src="http://www.flightglobal.com/blogs/airline-business/Malta_resized.jpg" width="414" />But the government of Malta, like those in&nbsp;many other island states, would always be worried that it had little control over these connections.</p>
<p>That worry comes at a cost. The joy for airline chief executives like Joe Cappello is to try and minimise this cost, and in an ideal world make a bit of money.</p>
<p><a href="http://www.flightglobal.com/pages/video.htm?navigationid=531&amp;slotid=47">See the video interview with Joe Cappello here</a>.</p>
<p>As he told Airline Business last week: "I don't need to have to be a highly profitable carrier, but my shareholder does want an airline that provides sufficient&nbsp;capacity for an island nation [passenger and cargo]." It is seen as a "strategic asset", says Joe.</p>
<p>Making Air Malta profitable is Joe's current task and it involves a three-year restructuring plan that features new working arrangements with staff, including possible out-sourcing, and selling off various things like hotels, its duty free operation and&nbsp;its&nbsp;office buildings in London.</p>
<p>The target is to get Air Malta to a breakeven or small profit in two years.</p>
<p>Along the way Joe hopes this small carrier, which has 11 Airbus A320 family aircraft (all leased from ILFC), will not have to ask the government&nbsp;for more cash. "We have never been subsidised in 35 years," he says, and the aim is to continue that tradition.</p>
<p><a href="http://www.flightglobal.com/pages/video.htm?navigationid=531&amp;slotid=47">FOR MORE AIRLINE CEO INTERVIEWS FROM AIRLINE BUSINESS CLICK HERE</a></p>]]>
        
    </content>
</entry>

<entry>
    <title>For sale: bargain Heathrow slots</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/for-sale-bargain-heathrow-slot.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.76282</id>

    <published>2009-11-12T16:19:15Z</published>
    <updated>2009-11-12T16:36:23Z</updated>

    <summary>Slot values at London Heathrow Airport have fallen through the floor</summary>
    <author>
        <name>Mark Pilling</name>
        
    </author>
    
        <category term="Europe" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="bmi" label="BMI" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="lufthansa" label="Lufthansa" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="slots" label="slots" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>Who would have thought selling slots at London's congested Heathrow airport could be this hard?</p>
<p>A few years back, as <a href="http://www.flightglobal.com/articles/2007/12/19/220407/skyteam-completes-slot-shuffle.html">US</a>, Middle Eastern and Indian carriers piled into Heathrow, <a href="http://www.flightglobal.com/articles/2007/05/21/214091/heathrow-slot-scramble-begins.html">slot prices boomed</a>.</p>
<p><img class="mt-image-right" style="FLOAT: right; MARGIN: 0px 0px 20px 20px" height="276" alt="1slots_resized.jpg" src="http://www.flightglobal.com/blogs/airline-business/1slots_resized.jpg" width="425" />Now, <a href="http://business.timesonline.co.uk/tol/business/industry_sectors/transport/article6913220.ece">as this interesting story from The Times says</a>, the recession means shifting these once priceless assets is no easy matter, at least for anything approaching a decent price assuming a buyer is around.</p>
<p>For loss-making&nbsp;bmi, <a href="http://www.flightglobal.com/articles/2008/05/23/224110/bmi-values-its-heathrow-slot-portfolio-at-770-million.html">which is essentially built around the value of its Heathrow slot portfolio</a>, and <a href="http://www.flightglobal.com/articles/2009/11/11/334684/bmi-admits-it-needs-190m-in-funding-by-november-2010.html">desperately needs cash in the next year</a>, this is a body blow.</p>
<p>The fall in slot values is however only going to be a temporary measure, but it looks as if temporary could be a couple of years rather than months, and that is not good news for bmi or parent Lufthansa as they seek to revive the ailing UK carrier.</p>]]>
        
    </content>
</entry>

<entry>
    <title>VIDEO: The view from the Hill, Oman Air&apos;s Peter Hill</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/video-the-view-from-the-hill-o.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.75775</id>

    <published>2009-11-10T23:32:58Z</published>
    <updated>2009-11-11T09:44:57Z</updated>

    <summary>&quot;The problem is there is too much capacity everywhere,&quot; he says. &quot;It&apos;s the toughest environment I&apos;ve ever experienced. </summary>
    <author>
        <name>Graham Dunn</name>
        
    </author>
    
        <category term="Africa/Middle East" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="omanair" label="Oman Air" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="peterhill" label="Peter Hill" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>Some wise words from Oman Air chief executive and industry veteran Peter Hill, who is in London for the travel exhibition extravaganza that is <a href="http://www.wtmlondon.com/">World Travel Market</a>. I asked him if there was too much capacity in the Middle East airline sector right now.</p>
<p><img class="mt-image-left" style="margin: 0px 20px 20px 0px; float: left;" alt="oman.bmp" src="http://www.flightglobal.com/blogs/airline-business/oman.bmp" width="248" height="232" />"The problem is there is too much capacity everywhere," he says. "It's the toughest environment I've ever experienced. Yields are under pressure everywhere, with the exception of some niche markets." While noting the roller-coaster nature of the airline business is always high and lows,he highlights the global nature of this downturn make it one of the toughest years he's even seen. "It might even get worse [for some] this winter," he adds.</p>
<p>What a time then to be launching a string of <a href="http://www.omanair.aero/wy/aboutus/aboutus_media_center/about_media_presrelses/releases_312.htm">new international routes</a>? Oman Air opened London last year, has recently added Frankfurt, Munich, Paris, the Maldives, while Sri Lanka -after a few delays in the process - follows in the middle of this month. This expansion is all tied to the Omani Government's tourism ambitions and Hill appreciates the benefit of having an owner with a long-term strategy. While the group will lose money during this expansion, Hill says the aim is to grow the network now so as to establish it as sustainable airline. Within five years he expects the group to at least reach break-even. You can read more on <strong><em><a href="http://www.flightglobal.com/articles/2009/11/10/334612/oman-air-aims-to-break-even-within-five-years-chief.html">Oman's Air strategy here</a></em></strong></p>
<p>Expect to hear more about Oman Air's expansion plans over the coming weeks and check out our video below as he explains some of the benefits to growing in a downturn:</p>
<embed src="http://c.brightcove.com/services/viewer/federated_f9/18065281001?isVid=1&amp;publisherID=1213897972" bgcolor="#FFFFFF" flashvars="@videoPlayer=49553458001&amp;playerID=18065281001&amp;domain=embed&amp;" base="http://admin.brightcove.com" name="flashObj" seamlesstabbing="false" type="application/x-shockwave-flash" allowfullscreen="true" swliveconnect="true" allowscriptaccess="always" pluginspage="http://www.macromedia.com/shockwave/download/index.cgi?P1_Prod_Version=ShockwaveFlash" width="560" height="450">
]]>
        
    </content>
</entry>

<entry>
    <title>Mexicana&apos;s oneworld livery shots </title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/mexicanas-oneworld-livery-shot.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.75432</id>

    <published>2009-11-10T06:16:12Z</published>
    <updated>2009-11-10T06:27:40Z</updated>

    <summary>Mexicana debuted a mainline A320 and a Boeing 717 operated by its Click subsidiary in the oneworld logs during a joining ceremony on 9 November. Here are some pictures I snapped quickly during the festivites at Mexicana&apos;s maintenance base in...</summary>
    <author>
        <name>Lori Ranson</name>
        
    </author>
    
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>Mexicana debuted a mainline A320 and a Boeing 717 operated by its Click subsidiary in the oneworld logs during a joining ceremony on 9 November. Here are some pictures I snapped quickly during the festivites at Mexicana's maintenance base in Mexico City. </p>
<p><img class="mt-image-left" style="FLOAT: left; MARGIN: 0px 20px 20px 0px" height="334" alt="mexonea320.JPG" src="http://www.flightglobal.com/blogs/airline-business/mexonea320.JPG" width="445" /></p>
<p>&nbsp;</p>
<p><img class="mt-image-left" style="FLOAT: left; MARGIN: 0px 20px 20px 0px" height="334" alt="mexone717.JPG" src="http://www.flightglobal.com/blogs/airline-business/mexone717.JPG" width="445" /></p>
<p>&nbsp;</p>
<p><img class="mt-image-left" style="FLOAT: left; MARGIN: 0px 20px 20px 0px" height="360" alt="oneworldmexfa.JPG" src="http://www.flightglobal.com/blogs/airline-business/oneworldmexfa.JPG" width="480" /></p>]]>
        
    </content>
</entry>

<entry>
    <title>VIDEO: Middle East carriers riding out the storm</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/video-middle-east-carriers-rid.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.75375</id>

    <published>2009-11-09T13:01:32Z</published>
    <updated>2009-11-09T14:13:26Z</updated>

    <summary>Ahead of this month&apos;s Dubai Air Show, Flight International&apos;s Max Kingsley-Jones has been out in the Middle East talking to the major Gulf carriers about how they have been riding out the economic storm.</summary>
    <author>
        <name>Graham Dunn</name>
        
    </author>
    
        <category term="Africa/Middle East" scheme="http://www.sixapart.com/ns/types#category" />
    
        <category term="Airlines" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="emirates" label="Emirates" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="etihad" label="Etihad" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="qatar" label="Qatar" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>Ahead of this month's <a href="http://dubaiairshow.aero/">Dubai Air Show</a>, Flight International's Max Kingsley-Jones has been out in the Middle East talking to the major Gulf carriers about&nbsp;how they have been riding out the economic storm. You can check out the feature here and&nbsp;also&nbsp;watch&nbsp;short video interviews with&nbsp;Tim Clark at Emirates,&nbsp;James Hogan at Etihad and&nbsp;Akbar Al-Baker at Qatar Airways. Click <strong><em><a href="http://www.flightglobal.com/articles/2009/11/09/334458/desert-kingdoms-how-the-gulfs-network-carriers-are-riding-out-the.html">here to read the article and see the videos</a></em></strong>.</p>
<p><img class="mt-image-left" style="FLOAT: left; MARGIN: 0px 20px 20px 0px" height="297" alt="Emirates.gif" src="http://www.flightglobal.com/blogs/airline-business/Emirates.gif" width="445" />The article is part of a wide-ranging <a href="http://www.flightglobal.com/articles/2009/11/09/334446/visions-of-arabia.html">special report </a>on the Middle East aerospace sector published by <em>Flight International</em>, while&nbsp;you can also read the recent <em>Airline Business </em>stories on how the <a href="http://www.flightglobal.com/articles/2009/10/28/334040/middle-east-carriers-still-on-a-growth-path.html">Middle East airline sector continues to grow </a>and interviews with the new chief executives at <a href="http://www.flightglobal.com/articles/2009/10/29/334039/new-middle-east-chiefs-ready-to-make-their-mark.html">Egyptair, Gulf Air and Royal Jordanian</a>.</p>
<p>&nbsp;</p>]]>
        
    </content>
</entry>

<entry>
    <title>Walsh questions future of two-class cabins for short-haul at Gatwick</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/walsh-questions-future-of-two-.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.75190</id>

    <published>2009-11-06T13:22:26Z</published>
    <updated>2009-11-06T13:51:30Z</updated>

    <summary>Interesting insight from Willie Walsh today into the possible future of BA&apos;s operations at Gatwick airport, as he indicated the days of it operating two-class cabins on short-haul flights from the airport could be numbered.</summary>
    <author>
        <name>Graham Dunn</name>
        
    </author>
    
        <category term="Airlines" scheme="http://www.sixapart.com/ns/types#category" />
    
        <category term="Europe" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="britishairways" label="British Airways" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="gatwick" label="Gatwick" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="heathrow" label="Heathrow" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>Interesting insight from Willie Walsh today into the possible future of BA's operations at Gatwick airport, as he indicated the days of it operating two-class cabins on short-haul flights from the airport&nbsp;could be&nbsp;numbered.</p>
<p>After BA posted <a href="http://www.flightglobal.com/articles/2009/11/06/334487/bas-losses-widen-in-fiscal-first-half-due-to-slump-in.html">first half losses </a>today, the carrier reiterated its belief there were structural <a href="http://www.flightglobal.com/articles/2009/07/20/329881/ba-seeks-to-reinvent-itself.html">changes</a> taking place in the industry, particularly relevent to its short-haul premium business where yields have been hard hit. Asked during a conference call with analysts today about the long-term future for premium in short-haul, Walsh outlined the robust future role he envisages at Heathrow.</p>
<p><span style="FONT-SIZE: 10pt; COLOR: #333333; FONT-FAMILY: Arial"><img class="mt-image-right" style="FLOAT: right; MARGIN: 0px 0px 20px 20px" height="162" alt="Thumbnail image for WillieWalsh.jpg" src="http://www.flightglobal.com/blogs/airline-business/assets_c/2009/07/WillieWalsh-thumb-250x162-43009.jpg" width="250" />"We believe we can continue to justify two-class service at Heathrow for some considerable time. Ten years from now I would expect we will still be operating a two-class service at Heathrow," he says.&nbsp;"I think the nature of the change we've seen primarily relates to point-to-point short-haul premium. I think that is structural. We see that where the short-haul leg is part of a combined short-haul/long-haul product, there is still demand for that product. </span><span style="FONT-SIZE: 10pt; COLOR: #333333; FONT-FAMILY: Arial">So even with the most pessimistic outlook on this, we still believe this is a viable proposition for us, though it will be at a lower level and so the revenue stream will reduce, so we need to say a structural change."</span></p>
<p><span style="FONT-SIZE: 10pt; COLOR: #333333; FONT-FAMILY: Arial">But he acknowledges Gatwick provides a different challenge.</span><span style="FONT-SIZE: 10pt; COLOR: #333333; FONT-FAMILY: Arial">"I'm not convinced we can continue to provide it at Gatwick, because I think the demand at Gatwick is very different to the demand at Heathrow. We don't get as much transfer from short-haul to long-haul, so I think its probably a&nbsp;question of time, and sooner rather than later that we would address the issue of potentially moving to a single cabin configuration for short-haul at Gatwick."</span></p>
<p><span style="FONT-SIZE: 10pt; COLOR: #333333; FONT-FAMILY: Arial">Talking of Gatwick, Walsh said he had already spoken to the <a href="http://www.flightglobal.com/articles/2009/10/21/333752/london-city-owner-to-buy-gatwick-airport-for-1.5bn.html">new owners </a>of the south London airport. </span><span style="FONT-SIZE: 10pt; COLOR: #333333; FONT-FAMILY: Arial">"I still see Gatwick as an opportunity for us," he says. "We've head early discussions with the new owners. We see the change of ownership as&nbsp;an opportunity," he says, noting this was not a criticism of previous management, but his believe Gatwick would benefit from more focused management.</span></p>]]>
        
    </content>
</entry>

<entry>
    <title>New Alitalia lodges first profit</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/new-alitalia-lodges-first-prof.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.75169</id>

    <published>2009-11-06T10:42:58Z</published>
    <updated>2009-11-06T12:20:05Z</updated>

    <summary>We&apos;ve not seen the words &apos;Alitalia&apos; and &apos;profit&apos; in the same sentence for a while, but owners of the new look, combined Alitalia/Air One operation have at least lodged their first profitable quarter </summary>
    <author>
        <name>Graham Dunn</name>
        
    </author>
    
        <category term="Airlines" scheme="http://www.sixapart.com/ns/types#category" />
    
        <category term="Europe" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="airone" label="Air One" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="alitalia" label="Alitalia" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>We've not seen the words 'Alitalia' and 'profit' in the same sentence for a while, but owners of the new look, combined Alitalia/Air One operation have at least lodged their first profitable quarter since <a href="http://www.flightglobal.com/articles/2009/01/20/321324/comment-alitalia-fights-back.html">relaunching the carrier </a>at the start of the year - the <a href="http://corporate.alitalia.it/en/Images/pr_05_11_2009_tcm7-35494.pdf">airline announcing a €15 million operating profit </a>for its third quarter for three months ending 30 September. </p>
<p><img class="mt-image-right" style="FLOAT: right; MARGIN: 0px 0px 20px 20px" height="225" alt="Alitalia 2.jpg" src="http://www.flightglobal.com/blogs/airline-business/Alitalia%202.jpg" width="360" />Direct comparison with 2008 is nigh on impossible, given the complexities of trying to come up a with a like-for-like comparison of this year against a combination of slimmed down versions of Air One and Alitalia, even if figures for Alitalia in 2008 were readily available - which they are not. But the profit follows losses of €210 million and&nbsp;€63 million&nbsp;incurred in the first and second quarters respectively and outstrips its own target of reaching breakeven for the third quarter.</p>
<p>And while it might only be a&nbsp;modest profit, it must be a boost to the carrier given the tough market&nbsp;conditions and bearing in mind the old Alitalia racked of net losses in excess $3 billion between 2003-07 alone.</p>
<p>"The ability which Alitalia is demonstrating to be able to deal with a scenario of a market in great difficulty proves the validity of the industrial operation and of the investment made by the stockholders," says Alitalia chairman Robert Colaninno, who led the group of Italian investors which formally&nbsp;took control of the carrier early this year&nbsp;"The challenges that lie ahead are again many and complex, but today we know that we have the means to face them."</p>]]>
        
    </content>
</entry>

<entry>
    <title>Virgin app to help the flying fearful</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/virgin-app-to-help-the-flying.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.75037</id>

    <published>2009-11-05T13:10:46Z</published>
    <updated>2009-11-05T13:26:03Z</updated>

    <summary>Virgin Atlantic launches app to help those afraid of flying</summary>
    <author>
        <name>Mark Pilling</name>
        
    </author>
    
        <category term="Europe" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="app" label="app" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="iphone" label="iPhone" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="sirrichardbranson" label="Sir Richard Branson" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="virginatlantic" label="Virgin Atlantic" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>Virgin Atlantic Airways has got into the act on mobile phone applications with the launch of its "highly acclaimed" <a href="http://www.virgin-atlantic.com/en/gb/allaboutus/pressoffice/pressreleases/news/iphone.jsp">Flying Without Fear course as an app for iPhone or iPod</a>.</p>
<p><img class="mt-image-left" style="FLOAT: left; MARGIN: 0px 20px 20px 0px" height="500" alt="virgin_screenshot_01_05.JPG" src="http://www.flightglobal.com/blogs/airline-business/virgin_screenshot_01_05.JPG" width="300" />Virgin says the app, which features an introduction by Richard Branson, is designed to help people cope with the anxiety at the prospect of flying and overcome their personal fears.</p>
<p>The app explains questions that people commonly have like "what happens if all the engines fail" or "what are all the onboard noises".</p>
<p>It has a video-based explanation of a flight from start to finish, relaxation exercises and fear therapy and a fear attack button for emergencies with breathing exercises.</p>
<p>It's a nice idea to make this mobile from Virgin, and comes with a small price tag of £2.99 (not sure if there is a US$ or € price?)</p>
<p>Now I want someone to invent an app that can tell you if you are sitting near someone was has this app so you can move seat accordingly.</p>
<p>&nbsp;</p>]]>
        
    </content>
</entry>

<entry>
    <title>Tilton&apos;s take on the recovery</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/tiltons-take-on-the-recovery.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.74929</id>

    <published>2009-11-04T16:12:28Z</published>
    <updated>2009-11-04T16:25:50Z</updated>

    <summary>So how does United Airlines chief executive Glenn Tilton think the recovery will pan out?</summary>
    <author>
        <name>Graham Dunn</name>
        
    </author>
    
        <category term="Airlines" scheme="http://www.sixapart.com/ns/types#category" />
    
        <category term="Americas" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="glenntilton" label="Glenn Tilton" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="unitedairlines" label="United Airlines" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>So how does <a href="http://www.united.com/">United Airlines </a>chief executive Glenn Tilton think the recovery will pan out? Well he's been talking to CNN Money&nbsp;and reckons we're on course for a gradual U-shaped recovery. Check out his take on the current conditions <a href="http://money.cnn.com/video/news/2009/10/28/n_united_airlines.cnnmoney/"><strong><em>here</em></strong></a>.</p>]]>
        
    </content>
</entry>

<entry>
    <title>European budget carriers: still making money</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/european-budget-carriers-still.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.74771</id>

    <published>2009-11-03T14:52:30Z</published>
    <updated>2009-11-03T16:15:13Z</updated>

    <summary>Amid all the gloom in the European airline sector right now, Ryanair&apos;s increased first half profits published yesterday showed further signs that at least some of the region&apos;s budget carriers are not only surviving, but seeing profit growth.

</summary>
    <author>
        <name>Graham Dunn</name>
        
    </author>
    
        <category term="Airlines" scheme="http://www.sixapart.com/ns/types#category" />
    
        <category term="Europe" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="norwegian" label="Norwegian" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="ryanair" label="Ryanair" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="vueling" label="Vueling" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>Amid all the gloom in the <a href="http://www.flightglobal.com/articles/2009/10/28/334048/european-carriers-feel-the-pain.html">European airline sector </a>right now, Ryanair's increased first half profits published yesterday showed further signs that at least some of the region's budget carriers are not only surviving, but seeing profit growth.</p>
<p>Ryanair increased<a href="http://www.ryanair.com/site/EN/news.php?yr=09&amp;month=nov&amp;story=fin-en-021109"> first half net profits </a>to €387 million from €225 million at the same stage last year, and while it expects to lose money over the second half of its financial year, is still targeting increased full-year profits net profits&nbsp;at the lower&nbsp;end of its €200 million to €300 million target range. This comes on top of Spanish budget carrier Vueling - recently merged with fellow Barcelona carrier Clickair - which has just announced a&nbsp;<a href="http://www.traveldailynews.com/pages/show_page/33809-Vueling-turns-a-record-681m-euros-operating-profit-during-the-3rd-quarter-of-2009">trebling of it third quarter operating prof</a>its to just under €70 million, while growing Scandinavian budget carrier Norwegian more than doubled its third quarter operating profit to NKr475 million ($85 million).</p>
<p>While Ryanair's yields have been sharply hit by the recession - average fares down 17% in the first half and the carrier is projecting yields falling by up to 20% over the second half - its unit costs were down 27% in the first half driven by the sharp reduction in fuel costs (down from €422 million in the third quarter last year to €246 million this time around).</p>
<p><img class="mt-image-left" style="FLOAT: left; MARGIN: 0px 20px 20px 0px" height="331" alt="O'Leary.jpg" src="http://www.flightglobal.com/blogs/airline-business/O%27Leary.jpg" width="242" />A further sign of the carrier's growth - the <a href="http://www.flightglobal.com/search/zibbsearch.aspx?o=&amp;sKeywords=ryanair&amp;content=site&amp;cat=&amp;searchType=site&amp;sortBy=date&amp;filter=0">long-term future </a>of which O'Leary has raised a question mark over in relation to his attempts to secure a new aircraft deal with Boeing - is shown by his belief it will shortly become the number one carrier in three of Europe's most important markets. This&nbsp;he says is a result of the carrier's own growth and the&nbsp;short-haul capacity cuts of major European carriers.</p>
<p>"We really are growing very rapidly in some of the big markets," he says, in particularly of its position in the UK, Italy and Spain. "We will shortly be the number one airline in the UK, Italy and Spain," he predicts.</p>
<p>Picture credit:&nbsp;<a href="http://www.billypix.com/">Billypix&nbsp;</a></p>
<p class="MsoNormal" style="MARGIN: 0cm 0cm 0pt"><font face="Times New Roman" color="#000000" size="3"></font>&nbsp;</p>
<p>&nbsp;</p>
<p>&nbsp;</p>]]>
        
    </content>
</entry>

<entry>
    <title>An A380 cul-de-sac</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/11/an-a380-cul-de-sac.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.74748</id>

    <published>2009-11-03T14:20:44Z</published>
    <updated>2009-11-03T14:38:18Z</updated>

    <summary>A dead zone creeps up in this Air France A380</summary>
    <author>
        <name>Mark Pilling</name>
        
    </author>
    
        <category term="A380" scheme="http://www.sixapart.com/ns/types#category" />
    
        <category term="Europe" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="airfrance" label="Air France" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="airbusa380" label="Airbus A380" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="flightglobal" label="Flightglobal" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>Flightglobal's Dan Thisdell was lucky enough to sample Air France's first Airbus A380 the other day, and there's lots of coverage all about it on Flightglobal (see links below).</p>
<p>But I am puzzled by one little area, which I assume is top deck front, at the entrance to the stairs.&nbsp;Air France calls this&nbsp;the gallery. I would call it a dead zone. There is no room for proper seats so it has become a kind of hanging about area.</p>
<p><img class="mt-image-none" height="300" alt="The+Gallery+-+Lindner_resize.jpg" src="http://www.flightglobal.com/blogs/airline-business/The%2BGallery%2B-%2BLindner_resize.jpg" width="450" /></p>
<p>Can anybody think of a better use for this area?</p>
<p>A few suggestions: </p>
<p>* Another loo - there are never enough on an aircraft are there?</p>
<p>* A shower</p>
<p>* An arcade area - a couple of playstation type games or a slot machine could be a good ancillary revenue source</p>
<p>* Table football / hockey etc</p>
<p>&nbsp;</p>
<p>Here are those links:</p>
<p><a href="http://www.flightglobal.com/airspace/photos/a380/tags/air+france/default.aspx">Air France A380 will get fourth class later on</a></p>
<p><a href="http://www.flightglobal.com/articles/2009/07/09/329466/picture-air-france-rolls-out-538-seat-a380-ahead-of-jfk-flights.html">Air France rolls out first A380</a></p>
<p><a href="http://corporate.airfrance.com/en/">The Air France A380 website with lots of photos, video and press kit</a></p>
<p>&nbsp;</p>
<p>&nbsp;</p>]]>
        
    </content>
</entry>

<entry>
    <title>Snapshots of the Star ceremony</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/10/snapshots-of-the-star-ceremony.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.73804</id>

    <published>2009-10-28T22:18:09Z</published>
    <updated>2009-10-28T22:23:19Z</updated>

    <summary>Here are a couple of shots from the official ceremony marking Continental&apos;s entry into the Star Alliance. Continental President Jeff Smisek likened the carrier&apos;s entry into Star to a first class upgrade while United&apos;s CEO Glenn Tilton stressed Star is...</summary>
    <author>
        <name>Lori Ranson</name>
        
    </author>
    
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>Here are a couple of shots from the official ceremony marking Continental's entry into the Star Alliance. </p>
<p>Continental President Jeff Smisek likened the carrier's entry into Star to a first class upgrade while United's CEO Glenn Tilton stressed Star is an alliance that treats "all members as true and equal partners." </p>
<p>&nbsp;</p>
<p><a href="http://www.flightglobal.com/blogs/airline-business/star%20plane%20blog.JPG"><img class="mt-image-none" height="445" alt="star plane blog.JPG" src="http://www.flightglobal.com/blogs/airline-business/assets_c/2009/10/star%20plane%20blog-thumb-593x445-51452.jpg" width="593" /></a></p>
<p><a href="http://www.flightglobal.com/blogs/airline-business/star%20ceos%20blog.JPG"><img class="mt-image-none" height="445" alt="star ceos blog.JPG" src="http://www.flightglobal.com/blogs/airline-business/assets_c/2009/10/star%20ceos%20blog-thumb-593x445-51507.jpg" width="593" /></a></p>]]>
        
    </content>
</entry>

<entry>
    <title>Video: Qatar Airways biofuels experiment goes live</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/10/video-qatar-airways-biofuels-e.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.72764</id>

    <published>2009-10-22T14:07:44Z</published>
    <updated>2009-10-22T14:33:40Z</updated>

    <summary>Qatar Airways has taken to the air with an Airbus A340 powered with a mixture of aviation fuel and a special biofuel</summary>
    <author>
        <name>Mark Pilling</name>
        
    </author>
    
        <category term="biofuels" scheme="http://www.sixapart.com/ns/types#category" />
    
    <category term="biofuels" label="biofuels" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="cnn" label="CNN" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="maxkingsleyjones" label="Max Kingsley-Jones" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="qatarairways" label="Qatar Airways" scheme="http://www.sixapart.com/ns/types#tag" />
    <category term="shellaviation" label="Shell Aviation" scheme="http://www.sixapart.com/ns/types#tag" />
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>Flightglobal's very own Max Kingsley-Jones features in this <a href="http://edition.cnn.com/video/#/video/business/2009/10/15/durgahee.uk.alt.jetfuel.cnn?iref=videosearch">excellent CNN video of last week's biofuel powered flight by Qatar Airways</a>.</p>
<p>Max was on the flight - as is obvious from the video - and <a href="http://www.flightglobal.com/articles/2009/10/12/333255/qatar-airways-makes-worlds-first-gas-to-liquid-fuelled-revenue.html">wrote this story</a>&nbsp;on Flightglobal.</p>
<p><a href="http://www.qatarairways.com/global/en/newsroom/archive/press-release-12Oct09-2.html#">Here's the full Qatar Airways release on the flight too</a>.</p>
<p><img class="mt-image-none" height="300" alt="1re-sized shell.jpg" src="http://www.flightglobal.com/blogs/airline-business/1re-sized%20shell.jpg" width="450" /></p>
<p>&nbsp;</p>]]>
        
    </content>
</entry>

<entry>
    <title>AirTran&apos;s Fornaro throws down the gauntlet -- in Milwaukee</title>
    <link rel="alternate" type="text/html" href="http://www.flightglobal.com/blogs/airline-business/2009/10/airtrans-fornaro-throws-down-t.html" />
    <id>tag:www.flightglobal.com,2009:/blogs/airline-business//58.72563</id>

    <published>2009-10-21T14:14:36Z</published>
    <updated>2009-10-21T16:12:38Z</updated>

    <summary><![CDATA[&nbsp; Who knew Milwaukee could breed such intense passion?&nbsp; Well it has certainly stirred&nbsp;AirTran CEO Bob Fornaro, who&nbsp;today during the carrier's earnings call spoke very passionately about the carrier's prospects in the market. Since US regional operator Republic Airways Holdings...]]></summary>
    <author>
        <name>Lori Ranson</name>
        
    </author>
    
        <category term="Airlines" scheme="http://www.sixapart.com/ns/types#category" />
    
        <category term="Americas" scheme="http://www.sixapart.com/ns/types#category" />
    
    
    <content type="html" xml:lang="en" xml:base="http://www.flightglobal.com/blogs/airline-business/">
        <![CDATA[<p>&nbsp;</p>
<p>Who knew Milwaukee could breed such intense passion?&nbsp; </p>
<p><img class="mt-image-left" style="FLOAT: left; MARGIN: 0px 20px 20px 0px" height="196" alt="fornaro2.jpg" src="http://www.flightglobal.com/blogs/airline-business/fornaro2.jpg" width="140" />Well it has certainly stirred&nbsp;AirTran CEO Bob Fornaro, who&nbsp;today during the carrier's earnings call spoke very passionately about the carrier's prospects in the market. </p>
<p>Since US regional operator Republic Airways Holdings closed on its purchase of Midwest Fornaro has not shied away from voicing his opinion of Republic's chances of preserving the Midwest brand. </p>
<p>"Republic's not fooling anyone," Fornaro declared today. He argues any business traveller in Milwaukee is savvy enough to know the old Midwest doesn't exist. </p>
<p>"We'll give it a year," says the AirTran chief as he continues to stress Republic has no track record in terms of marketing experience. </p>
<p>Fornaro warns Republic has a real challenge on its hands. They've "done a few paint jobs, cut a few costs and laid off some people....but ultimately they've got to start carrying customers." </p>
<p>Of course Fornaro believes this give AirTran a prime chance to strike. "It gives us an opportunity to make inroads in the market. It really opens the door for us." </p>]]>
        
    </content>
</entry>

</feed>
