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Senator's proposed cabin crew rights bill more humble than revolutionary

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JQ A330 taxing SYD Feb 11.JPGDomestic tag flights between international services on Jetstar Airbus A330 flights are in contention with Senator Nick Xenophon.

The prospect of the government banning foreign cabin crew on domestic flights, as reported in some outlets, would be a bold step--but if only it were true.

In reality the private bill Independent Senator for South Australia Nick Xenophon intends to introduce has a narrow remit. Xenophon, who chaired the Senate inquiry into pilot training and aviation safety, wants foreign-based cabin crew employed to work on Australian aircraft to have the same flight and duty time limitations as their Australian counterparts. It is an appropriate measure.

"This is a basic issue of fairness and safety," Xenophon said in a statement. "We shouldn't have an underclass of cabin crews flying around Australia on Australian carriers." Xenophon said foreign crew have no limitations in their contract on how many hours they could be expected to fly.

Jetstar chief executive Bruce Buchanan was asked at a March Senate hearing if foreign crew had different duty limitations than their local counterparts.

"There is a variety of different arrangements in place on the Australian domestic arrangements. Some of the international crew will align with some of the Australian international crew, but the domestic crew have different agreements and different time limitations and how they work in Australia," Buchanan replied.

Xenophon's bill follows a recently-aired local documentary on ABC Lateline that highlighted how Jetstar employs Thai cabin crew from a company Qantas owns 37% of yet gives lower conditions to and, in some (exceptional) instances, has cabin crew work 20-hour shifts. The long shifts raise questions over how safety proficient the crew could be in an emergency.

"In the event of an emergency, I believe passengers have a right to expect that their cabin crews are going to be alert enough to get the door open and the passengers out," Xenophon said.

The proposed bill would also apply to international airlines in which an Australian carrier has a stake of at least 20%, directly affecting Jetstar Asia--which flies Airbus A330s from Singapore to Melbourne--and any possible full-service east Asia-based subsidiary Qantas will announce on 24 August.

While Xenophon said he would "take up" the issue of the lower salaries paid to foreign crews, he stopped short of calling for legislation on the topic. Buchanan told the senate inquiry an "indicative" salary (likely including per diem and flight hours) for Jetstar's Singapore-based crew would range from $36,000-$46,000 while the "indicative" salary for Australian-based cabin crew was $50,000-$69,000.

Buchanan said at the hearing that Thai-based cabin crew have similar salaries as their Singapore colleagues while Vietnam-based salaries "are substantially less" but "commensurate with local market levels".

"At the end of the day, you have to be competitive in each of the local markets to recruit cabin crew and pilots," Buchanan said.

Xenophon's statement said the bill "follows revelations that Jetstar's Bangkok-based foreign crews regularly work on flights that travel from one Australian location to another, and that most passengers would believe are domestic flights."

That statement is in reference to foreign-based crew working "tag" domestic services on their aircraft between international sectors, such as A330 flight JQ35 that routes Sydney-Melbourne-Bali. Foreign crews work the Sydney-Melbourne sector.

However, Xenophon should know that practice is not a "revelation" as it was discussed, with little debate, at a hearing he attended on 31 March.

Before grounding Tiger showed signs of growing up

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Tiger growing up.jpgA cub no more?

Before the Civil Aviation Safety Authority grounded Tiger Airways effective 1 July, the carrier was showing signs of operational maturity, although Tiger's two low approaches in June and its subsequent grounding clearly indicate the safety side of the airline was deficient.

The positive operational signs were coming via a series of network changes that were giving critical short- and long-term perspectives about the carrier.

The network changes consisted of Tiger re-scheduling its Avalon-Perth flight to, in its words, "provide better timed...services". It also opted to re-locate one Airbus A320 from Melbourne Avalon to Melbourne Tullamarine. While Avalon was able to better serve Victoria's Geelong region, the bulk of traffic would find Tullamarine more convenient than Avalon.

Tiger also axed four routes: Melbourne to Mackay and Rockhampton, and Sydney to Brisbane and the Sunshine Coast. Then-managing director Crawford Rix said in a statement "These network changes will both streamline and simplify our Australian operations, enabling us to focus on combining our low fares with improved punctuality."

Quietly added after that was that profitability to Mackay and Rockhampton was being affected by high fuel prices, and that a lack of a base in Queensland or New South Wales "has proved more challenging than anticipated".

In the long-term, that period will be seen as when Tiger started to grow up by trading maximum utilization hours for reliability. The carrier was due to axe four routes while only adding one return Melbourne-Sydney service--and no more, a spokeswoman confirmed. "It's about fixing reliability and flying the best routes to get our business on track," she said. Unknown is if Tiger faced any other restrictions from its show cause notice besides not being able to induct more aircraft into service.

That net utilisation decrease would have given Tiger more schedule padding, decreasing delay dominoes and dampening the affects of when an aircraft goes tech. That would have resonated well with a public that has lamented Tiger's reliability.

The move could also have been a prelude to Tiger trying to lure more of the corporate market as easyJet, for a global perspective, has done. While Tiger did have a tiny fraction of the corporate market, there was undoubtedly greater potential. Anecdotal evidence from corporate passengers shows they would fly Tiger more if its reliability was better--never mind the carrier's ultra no-frills approach.

That said, the International Air Transport Association noted at its June AGM that aircraft utilisation was falling globally due to a decrease in demand, suggesting that perhaps Tiger was seeing that demand decrease too and was not just looking to improve reliability.

In the short-term, Tiger acknowledged it was finally feeling the tough Australian market that Virgin first felt in May 2010 with a profit downgrade. The announcement axing some Mackay and Rockhampton services was the first time the carrier mentioned fuel as having an impact.

Going forward it should be watched if Tiger continues to show signs of operational maturity while also satisfying CASA. Tiger is expected to resume operations with a limited service that in addition to complying with safety regulations will help operationally. (The carrier's booking engine, at times, indicates Tiger will only fly to five cities from Melbourne upon service resumption.)

It remains to be seen if once CASA loosens the shackles and Tiger becomes under pressure to make up lost revenue if the carrier will go back to its old high-utilisation and low reliability ways, or if Tiger will embark on a slower path with bigger long-term gains.

Tiger to resume services to only 5 cities?

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Tiger booking engine 4pm 29 July.jpgTiger's reservation system on the home page now shows the carrier only offers flights from Melbourne to five cities, a sharp decrease from the 14 routes the carrier planned to be operating prior to its grounding.

The Navitaire-powered service shows Tiger flying in Australia only from Melbourne to Adelaide, Brisbane, Gold Coast, Perth, and Sydney (right).

Apparently axed are routes from Melbourne to Alice Springs, Cairns, Canberra, and Hobart, as well as Adelaide-Sydney and all Avalon services. However, using the booking engine when not on the homepage shows Tiger still operating flights to the above destinations. Tiger's route network as of June, prior to its 1 July grounding, is below.

In early June Tiger announced it would suspend from August Melbourne-Mackay, Melbourne-Rockhampton, Sydney-Brisbane, and Sydney-Sunshine Coast services. It planned to re-time its Avalon-Perth service and add a third Avalon-Sydney service.

Tiger could not be reached for comment.

If the home page reservation system is correct, the reduced network would affirm industry expectations Tiger would make a slow return to service, on its and CASA's accord. The past two months have also seen expectations Tiger would withdraw its bases at Adelaide and Avalon.


Tiger June 2011 route map.jpg

One way or another, Tiger Australia service resumption in sight

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Tiger MEL terminal opening 07.jpgSoon opening for business again?

The Civil Aviation Safety Authority now believes Tiger Airways Australia is nearing a position to safely resume services.

Yesterday the safety regulator indicated it had concluded its basic investigation of Tiger as it gave the carrier a set of undisclosed conditions, some of which Tiger must comply with before resuming services and some that must be adhered to after resumption. Accepting these conditions will end CASA's application to the Federal Court about extending Tiger's grounding. Yesterday's hearing, adjourned from last week, has been adjourned to next Monday (1 August), the day CASA originally expected to conclude its investigation by.

The adjourned hearing was instigated again at Tiger's request, showing Tiger continues to want to avoid court limelight. Tiger has ruled out flying before 5 August as it has refunded passenger tickets until then. An announcement about ticket booking resumption and scheduled flights on and after 5 August will be made in due course, Tiger said.

There are two views to this. First, as has been suggested in local reports, Tiger could resume services on 1 August but needs lead up time to sell tickets (it has agreed with the competition regulator not to sell tickets while grounded) and prepare crew.

The second view is Tiger may not be able to comply with CASA's conditions by 1 August. A carefully worded statement goes: "Tiger Airways Australia is confident that it can comply with these conditions and expects to resume services in the near future. As a consequence, Tiger Airways Australia will automatically refund all passengers booked to fly between 1 August 2011 and 4 August 2011."

With Tiger's fate no longer a prime consideration, two questions emerge: how quickly will the public go back to Tiger's low fares, and will the carrier continue with the operational (albeit non-safety) maturity it showed prior to its grounding?

Virgin Australia finally unveils little-surprise regional route network

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Virgin Australia ATR72

A Virgin ATR 72-500 bearing a French test registration. Photo: AirSpace user commercial aviation.

Another of Virgin Australia's poorly-kept secrets was made official today: Virgin's new ATR 72-500 aircraft, to be operated by Skywest, will be used initially on the east coast to commence new services in October to Gladstone and Brisbane to Port Macquarie. The ATR 72 will also from be deployed from October between Sydney and Port Macquarie and on some Sydney-Canberra services, replacing the Embraer E170 aircraft being transferred to Delta.

Virgin intends to offer double-daily services between Brisbane and Gladstone, a daily Sydney-Port Macquarie service, a daily Brisbane-Port Macquarie service, and up to six services between Sydney and Canberra. All are return services.

No specific date has been set and nor does Virgin have a date for when the first ATR will arrive in Australia, although earlier this month ATR said delivery would be in July. A May delivery was originally projected when the order for up to 18 aircraft was announced in February (a breakdown between firm orders and options has not been disclosed). Virgin will take four ATR 72-500s this year and four larger-capacity ATR 72-600s next year (have a peek at the new interior ATR offers on the -600).

Virgin also disclosed the exact capacity of the single-class aircraft: 68 seats. Based on other operators' ATR 72-500 configurations, Virgin will likely offer a 31"-32" seat pitch in line with the Qantas Dash 8 aircraft the ATR 72 will be competing against.

The first two aircraft will be named after beaches in north Queensland: Mission Beach and Four-Mile beach.

When Virgin then-Blue inked the deal with Skywest in January, the focus was on West Australia, although chief executive John Borghetti hinted at services on the east coast as well. Although Virgin promised details within a few months, no news was forthcoming except for reports it was likely to first use the aircraft to Gladstone, where Strategic is now flying to and Qantas is building a lounge for elite passengers. Virgin's prospective route raises the question if Strategic can stay on the service

Sydney-Canberra was also expected and is logical as a turboprop operation, due to navigation paths at Canberra airport, shaves 5-10 minutes off flight times compared to jet aircraft. The shorter flight times will bring some of Virgin's services in line with some of Qantas's.

The ATR aircraft will be leased from lessor Aviation with an initial term of 10 years, Virgin said.

Now Air New Zealand magically agrees with Boeing about 787-9 delivery date

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ANZ 787-9.jpgAir New Zealand is now toeing Boeing's line about the 787-9 delivery schedule after being put in the docket by the airframer for issuing harsh words about the embattled aircraft programme.

To recap, last week in Sydney Air NZ chief financial officer Rob McDonald said his carrier expected to deploy the 787-9, for which it is the launch customer, in 2014, some 2-3 years later than promised. "It would be an understatement to say we are frustrated and disappointed," McDonald said.

Boeing had last advised ANZ, the launch customer of the stretched 787, that it would receive its first of eight aircraft in late 2013 or early 2014. An Air NZ spokesman said that date slipped to an undetermined period in 2014 that it is still in discussions with Boeing about. The year 2014 "is as specific as it gets", the spokesman said.

McDonald said Air NZ was "in discussion" about delivery dates and compensation. He remarked: "We always seem to be having discussions."

Earlier this week news trickled out of Boeing refuting Air NZ's remarks. Boeing's remarks reached a climax during the company's quarterly earnings call, although according to the call's transcript Boeing chief executive Jim McNerney was from confident about the matter:

I don't know where this 787-9 rumor. I guess there was -- I guess in New Zealand there was a -- just like in maybe the same press that you're looking at, there was a comment that there was a worry that the 787-9 was pushed into 2014. I'm not sure where that came from. But our ramp plans on the 787-9 are in place, it's going well....So the 787-9, just to refresh, the 787-9, our guidance is end of '13, okay? That's a delivery. Air New Zealand is one of the very first customers to get the 787-9. And it takes a while to induct these things in the service, so I don't know if whether there's a disconnect between when we deliver it and the time he [McDonald] takes to get in into the fleet or not. I don't know what he meant by that. But we have not changed our schedule.
Today an Air NZ spokesman dispelled Boeing's suggestion of a "disconnect" between delivery and entry into service dates, saying "Entry into service is normally a few days after delivery."

As for a delivery date, the same spokesman who said 2014 was "as specific as it gets" had a curiously similar message to Boeing's. "We've always been expecting delivery in late 2013 or early 2014. It hasn't changed."
 
But then he adds, "Our expectations are early 2014 for delivery."

So there you go. Air New Zealand will gladly reiterate Boeing's statement about receiving its first 787-9 in 2013 or 2014. But Air NZ does not believe it.

24 August is a rebirth, not death, for Qantas

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QF 744 SYD navigate obstacles.JPGNavigating the challenges

For those of you digging through wardrobes to find your best black attire and recalling years of memories to pick a few salient points to eulogize Qantas on 24 August when chief executive Alan Joyce announces a re-structure for its international division, you would be better off to stop what you are doing and instead get a bottle of champagne ready--or, more appropriate to Qantas, a bottle of wine from its epiQure club, as the restructure is not a death but a rebirth.

In the past 15 years Qantas International has only achieved returns, however that is calculated, in three years. Fully government-owned carriers could continue on that path, but Qantas is not such an airline. It is an airline that is at a convergence of factors it needs to act on and be realistic about--as do its customers.

The most recent is Virgin Australia's move in to the domestic corporate market, which has generated Qantas high profits. Last year the frequent flyer programme contributed approximately 70% of pre-tax profits, with much of that thanks to the new Woolworths partnership. On the savings front, QFuture delivered in savings $533m--more than the pre-tax profit--but QFuture only runs through next year.

The signs have been present but Qantas actions have not. Those familiar with the situation say the 2008 record profit of $1408m pre-tax fueled complacency across the carrier and only recently has the carrier seen "more courage from management".

That is not the verdict naysayers, who trump Joyce as the cause of all problems, would like to hear. Joyce inherited, not created, the majority of problems. Despite criticism, which led chairman Leigh Clifford to publicly defend Joyce, Joyce is setting out to--finally--be the executive to create a suitable Qantas.

Unprofitable routes that do not improve the bottom line directly or indirectly cannot continue. Joyce has said everything is on the block, which has led to some curious rumours, like the Johannesburg route being cut. Given it was the group's most profitable international route last decade, followed by Papua New Guinea and then Los Angeles, sources say, its axing is unlikely.

Elsewhere routes may be changed, re-directed, or taken over by the much-derided Jetstar. That is a reality of what is financially needed. Boeing 777s will not solve the problem. Network opportunities have been missed, either for passing Etihad over ties with British Airways, or for lack of a partner willing to collaborate, such as with Cathay Pacific.

New opportunities, such as Malaysia Airlines joining oneworld, and strengthening of existing relationships mean the cause is not lost.

It is early days for the Asian, and Chinese in particular, boom. In one example, in 2009 China Southern introduced three direct weekly flights from Melbourne to Guangzhou. Last year it went daily out of Melbourne, and is shortly due to announce a double daily service.

As much of a threat as the Middle Eastern network carriers are and are made out to be, their future is young. Emirates is eying 100 weekly flights to Australia and while it has a sizable A380 fleet in service, the onslaught of deliveries is yet to begin.

Both are challenges and opportunities for Qantas to combat. The recent past may have been lacking, but it has been a short period, unlike the future.

Photos: Inside the ATR 72-600, coming soon(ish) to Virgin Australia

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This month Virgin Australia is due to take delivery of its first ATR turboprop aircraft, an ATR 72-500 after previously expecting the aircraft in May. It will be the first of four -500 variants and will be followed next year by four ATR 72-600, which received EASA certification in May.

Virgin ordered up to 18 ATR aircraft in February. "The ATR will form the foundation of our regional network plans, with the first six ATRs replacing our current Embraer E170 fleet and the additional aircraft flying to new regional destinations," chief executive John Borghetti said at the time. The E170 disposal was announced in August 2010.

Borghetti said the ATR72 burns one-third less fuel than the E170 and also burns 20-30% less than its competing aircraft, a statement likely in reference to the Bombardier Dash 8-400 aircraft that QantasLink operates on its regional routes, giving Virgin an advantage on economics and passenger comfort.

The -600 features as standard fit ATR's new Armonia Interior, which it developed with Italian design house Giugiaro Design. As we reported at the time of the partnership:
Armonia's cleanly-styled seats have been ergonomically designed to ensure greater knee clearance. Coupled with the Armonia ceiling; side panels; overhead bins, and LED lighting, the ATR Series 600 cabin will feel more spacious and airy, says ATR, noting that Armonia also uses lightweight materials, reducing its total weight by the equivalent of two passengers.
Although the Armonia interior is available on the -500 and can be retrofitted to it, Virgin's -500s will not feature the cabin design. But its -600s will, and here's an early of peek of what the cabin looks like in real life, as seen on Royal Air Maroc ATR 72-600 on show at last month's Paris Air Show.

Note the interior colours, configuration, and design elements are specific to RAM, the -600's launch customer, but you can get the gist of what Virgin will be pitting against Qantas Q400s on regional and low capacity routes on the east, and later, west coasts. Skywest will operate the Virgin-liveried aircraft.

The main passenger entrance is at the rear as the forward fuselage is used for the baggage hold and access door (more on that later).

ATR rear entrance.JPGThe entrance opens to main cabin, which features the "Classic" economy seat in a 2-2 configuration that offers 17" width at 29-31" of pitch. All seats (economy, premium economy, and first class) are manufactured by Italian manufacturer Geven and are lightweight and designed for a long life.

The seats have a natural recline with no additional recline, which reduces wiring and extra material (and thus weight). ATR says each Classic seat weighs only 9kg.
ATR Y cabin-1.JPGATR Y cabin-3.JPG
Note the seat pocket storage on top that...
ATR Y cabin-2.JPG
...increases legroom since there is no seat pocket on the bottom.
ATR Y cabin-4.JPGATR says the overhead bins have push-button sliding doors and more storage space compared to unspecified other interiors. The bins have been designed for easier maintenance; engineers remove four pins to disassemble the bin and access the sidewalls, according to the manufacturer. It expects 70% of passengers can store a roller bag in the bin.
ATR overhead bin.JPG The passenger service unit has replaced the no smoking indicator with a no electronic device indicator. Note the blue LED lighting. ATR says this improves the sense of space.
ATR Y cabin-5.JPG
Virgin has most recently said the aircraft will be in a single-class configuration, but the ATR 72 can accommodate a two-class configuration, which RAM has selected. This premium economy-style cabin features Armonia's "Prestige" seat, which gives more legroom and additional back and neck support. (ATR also offers a first class seat in a 1-2 configuration with typically 35" of pitch.)
ATR prem cabin-1.JPGThe first row is also the exit row and features extra legroom.
ATR prem cabin-2.JPGForward of the first row is an aisle that leads to a compartment with the cargo hold on the right, loading ramp on the left, and cockpit access ahead.
ATR aisle forward.JPG
Luggage compartment
ATR luggage hold-1.JPGATR luggage hold-2.JPG
At the front is the forward access hatch. ATR also offers a jetway-compatible door with passenger-friendly interior entrance.
ATR front cargo entrance.JPG
ATR 72 at stand-1.JPGThe rainbow-coloured props may be eye-catching, but Virgin's will be solid black. ATR 72 at stand-2.JPG
The ATR72-600 also has orders from RAM, Air Nostrum, Azul, Air Tahiti, and leasing firm Air Lease.

Tiger ban likely to be lifted this week

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Tiger A320 in-flight.jpgSigns are strong that the Civil Aviation Safety Authority is nearing satisfaction with a turn around at Tiger Airways and could early this week lift the grounding it imposed at the start of the month for a week and then extended until 1 August.

CASA finally seems satisfied with the seriousness Tiger has taken to its approach and the measures implemented.

The grounding extension was subject to court approval, which was due to be heard last Friday but adjourned until next Thursday. There are doubts if next Thursday's court session will be heard as Tiger may no longer be grounded by then.

There are two sides to the court adjournment story: the incomplete version from a Tiger statement to the Singapore stock exchange that it and CASA "have jointly applied to the court for an adjournment of the proceedings". The complete sequence of events comes from CASA, who details that Tiger "sought the adjournment of the matter until Thursday 28 July 2011. CASA did not oppose the adjournment."

Both result in the same outcome, but CASA's version gives rise to the notion Tiger thought it was likely the Federal Court in Melbourne would approve the extended grounding--a tarnish it would be difficult to shake off on top of its troubles. Requesting a delay, until CASA was likely to assent to a return to operations, removes that potential stigma.

But Tiger should not expect a free-ride return to service. It and CASA are expected to detail--at an unknown level--the actions and corrections taken at Tiger. It is also unlikely Tiger will be permitted to return to a full schedule.

Still no intention to serve Australia, American Airlines reaffirms

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AA 77W.jpg
Boeing 777-300ERs to American, yes. To Australia, no.

American Airlines has reaffirmed it has no intention to fly its own aircraft to Australia.

The carrier's comments follow a remark to Executive Road Warrior that its forthcoming Boeing 777-300ER aircraft had the range to operate routes like Los Angeles to Sydney. That acknowledgement sent speculation into overdrive that American Airlines was considering serving Australia with its own metal.

"I clearly made it known we have no thoughts about flying to Australia ourselves--and there is no consideration of that currently," American Airlines spokesman Tim Smith tells this page. "Anyone doing otherwise should stand down on their speculation."

Executive Road Warrior commented to Smith that the 777-300ER could fly from LA to Sydney. Smith replied: "Yes, although we did just apply for the Joint Business Agreement with Qantas and they started flying into and out of DFW, which is great for both of us. We may want to put our ducks in Austrialia with the Qantas guys, but [the 777-300ER] certainly could do that route."

Smith subsequently said, "My comment was merely a notation that we will be looking for missions for our Boeing 777-300s when they first arrive in 2012.  And I also said that routes to Latin America, Asia, and Europe are the more likely candidates."

American Airlines had previously stated it had no intention to serve Australia, saying it was short on long-range aircraft and an Australian route posed pilot contractual problems (albeit perhaps exaggerated). The comments were made in the carrier's application to the United States Department of Transportation for a joint business agreement with Qantas.

Reports have taken remarks to the Executive Road Warrior to mean American does not see Qantas as a premium carrier or hold its oneworld partner in high regard. Smith has dispelled such notions.

"I also said that we are quite pleased with our mutual codeshare relationship with our oneworld partner, Qantas.  So pleased, in fact, we have applied to the U.S. Department of Transportation (DOT) for a Joint Business with Qantas on Australian routes that connect to our American routes in the United States."

American Airlines this week disclosed it has purchased two further 777-300ER aircraft, bringing its order to eight. It also ordered approximately 460 737 and Airbus A320 aircraft.

Reprise for Air New Zealand's 747s as retirement postponed until 2014

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Air NZ 744 ZK-SUH.jpgAir New Zealand's Boeing 747-400 fleet is getting a stay of execution thanks to a fresh delay to the 787-9.

The 747 fleet was due to be retired by the end of next year but will now remain in service until the carrier's first 787-9 is delivered sometime in 2014, chief financial officer Rob McDonald said.

Air NZ will keep an unspecified number of its current five 747-400s, as well as 767-300ERs.

While ANZ would prefer to retire both types, McDonald said keeping the 767 is more ideal. "Our 767 fleet is very sound and relatively low-cost and performs its mission really well."
In comparison to ANZ's 777-300ER, McDonald said the 747 uses 30% more fuel to carry approximately the same number of passengers but 40% less cargo.

Despite that, McDonald is adamant keeping the 747s and 767s is appropriate.
"It's better to do that and wait for the 787 than get a lot more aircraft that aren't as suitable as the 787s," he said. "You might get an early lead for a couple of years but you might not have the right plane in 20 years."

Read more here on Air New Zealand's growth strategy and mitigation plans for 787 delays.

Air New Zealand's sharp words for Boeing over new 787-9 delay

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ANZ 787-9.jpg
Add Air New Zealand to the list of customers not mincing words with Boeing over delays to its 787 Dreamliner. Chief financial officer Rob McDonald in Sydney yesterday had a concise message over news the carrier's first 787-9, for which it is the launch customer with an order for eight, has been delayed from late 2013/early 2014 to sometime later in 2014.

"It would be an understatement to say we are frustrated and disappointed," McDonald said.

Air NZ is trying to work out when exactly in 2014 it will receive its first 787-9. For now, a spokesman said, 2014 "is as specific as it gets".

The delay is likely in relation to the one-month hold Boeing implemented on the 787 line earlier this month.

The carrier is looking to mitigate the delay by postponing the retirement of aircraft. Future routes--such as to South America and Sao Paulo in particular--may be delayed.

"We're on about plan C," McDonald said.

Read our full article here.

Appointing ex-Qantas safety boss won't alone fix Tiger's problems

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Tony Davis Tiger launch.jpgTiger Australia chief executive Tony Davis will be receiving safety advice from Chris Manning. How will the two work together?

Tiger Airways Australia is further showing how serious it is about improving its safety tract, deficiencies in which led it be grounded on 2 July, by appointing former Qantas chief pilot Chris Manning to the role of Safety Advisor to Tiger chief executive Tony Davis, who took over the job after Crawford Rix resigned in the wake of the grounding.

Now Tiger must demonstrate it is serious about safety. Safety is not guaranteed by only appointing Manning, who was also group general manager of flight operations for Qantas, a position that may not instill safety confidence in everyone given Qantas's recent troubles, but does bring a wealth of experience.

The problem with Tiger, as is often the case in the industry, is not with pilots but management.

While Manning can suggest to go above and beyond ever regulation and best practice, it is up to Davis and his management team to make Tiger safe again.

The past problems may have been management not having enough advice, management being ignorant, or a combination. Davis must have neither.

While the incidents that prompted Tiger's grounding--two approaches conducted below minimum safe altitudes--were the responsibility of the same pilot, Tiger's show cause notice from March focused explicitly on the oversight of maintenance and pilot training. The Civil Aviation Safety Authority has said there are systemic problems with Tiger, and systemic implicates management.

Tiger is not alone in being susceptible to management and bean counters, not pilots and safety officers, running an airline.

In the most colourful example, a Jetstar pilot told colleagues to "toughen up princesses" about the back-of-the-clock back-to-back flights Jetstar was having them operate regularly. On at least one route, Darwin to Singapore, Jetstar management introduced a layover to break the flying up. (Note: Jetstar says this was unrelated to the letter or senate safety inquiry.)

Qantas and its Rolls-Royce RB.211 powered-747 fleet are also embattled. The engine has a known problem with its compressor blades from the high pressure chamber leading to contained failures, as happened last week on a flight out of Johannesburg. Qantas is modifying the engines at an ostensibly slow pace as it does not have the capacity to fix them faster following the closure of its Rolls-Royce overhaul shop in Sydney.

On a lesser extreme, V Australia's April engine surge at Los Angeles was traced to debris in GE90's compressor as well as a crosswind and static start. While V Australia was following recommend procedures for engine washes, it subsequently elected--as other operators have decided--to conduct washes more regularly than after the every 500 cycles GE recommends.

That all said, in CASA's view Tiger's problems are far greater. It remains to be seen whether changes brought over the past 18 days and those still forthcoming are enough to satisfy CASA and let Tiger return to the skies next month.

On Friday the High Court in Melbourne will hear CASA's case to keep Tiger grounded until 1 August.

Where art thou, Emirates A380 in Melbourne?

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Emirates A380
Emirates A380 A6-EDJ makes a late adjustment on approach to Heathrow. Photograph: AirSpace user Eclipse

Now that Virgin Australia's re-branding is complete, there seems to be no question bigger on some minds than when Emirates will extend to Melbourne the honour it has given to Sydney by deploying the world's largest aircraft, the Airbus A380.

The question seems to be grounded in fascination to see the latest and greatest, but there are serious business implications for Emirates deploying the A380.

The number of A380s it has purchased--90--may be an eye-popping figure larger that is larger than Virgin Australia's entire fleet, but consider this other statistic. The second tranche of deliveries, as chief executive Tim Clark affectionately refers to it as, will commence this September and run for a few years, during which Emirates will take delivery of approximately three A380s a month.

Clark made this comment during his acceptance speech on Sunday in London for the Airline Business award for having the greatest influence on the industry in the past decade. As editor Max Kingsley-Jones observed, that influence is much to the pain of European airlines seated in the audience. But it extends to carriers throughout the world.

In February Qantas chief executive Alan Joyce publicly sounded the alarm over Qantas's future with an ominous reference to Emirates: "Capacity has flooded into Australia from China, the Middle East and elsewhere." (Joyce was far more courteous than some of his European counterparts have been.) Next month he will outline a new Qantas that can substantiate itself in the face of Emirates and other realities.

While airlines all over the world continue to respond to what Emirates has wrought, the carrier is now deciding their next consternation: where to deploy those A380s. Melbourne seems inevitable, but given Clark largely made his name in network planning, a decision at any time will only be made if right.

That, however, has not stopped some from within Emirates to say the A380 is coming to Melbourne, knowing full well there are no plans but hoping if people become excited enough Emirates will bow in.

But please, business first.

Air New Zealand and Qantas take top honours at strategy awards

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On Sunday evening in London Air New Zealand and Qantas took top honours at the 10th annual Airline Strategy Awards, hosted by Flightglobal publication Airline Business. UK representatives of the carriers accepted the awards at Lincoln's Inn.

Simmons safety video interior-thumb-560x314-120773.jpgAir New Zealand won for marketing, with our judges--who include Ray Webster, Joe Leonard, and Geoff Dixon--saying Air NZ is in an "industry leading position--pushing the outer edge," a comment viewers of Rico's work can attest to.

Another judge said, "I think Air New Zealand is game changing." Air NZ's use of social media has given it exposure--the four largest American TV networks featured the Richard Simmons "Fit to Fly" video--the carrier could never afford to pay for.

And Air NZ is not done yet. General manager marketing and communications Mike Tod told colleague Mary Kirby that Air NZ is in discussions "with one of the world's biggest movie studios" on a possible collaboration involving Rico. Financial benefits may soon trickle in: Tod says the carrier is developing an idea that may permit it to monetise social media.

Qantas Next Gen check-in.jpgGame changing was also on the judges' lips when commenting on awarding Qantas the technology award for its Q Bag Tag as part of Next Generation Check-In. Although radio-frequency identification is not new at airports, Qantas was the first to leverage the technology for the passenger experience and ultimately improving it.

"The technology has been around for a while, it just depends how airlines chose to use it," head of customer experience at Qantas Tanya Bulkin tells colleague Alex Thomas. The judging panel said Qantas's system was "potentially a game-changer and could change the business in a number of aspects". The system gives Qantas a leg-up in the corporate market, or at least until Virgin Australia replicates it--an active consideration, according to sources familiar with the matter.

Full reports on the award winners can be found here.

The complete laureates are:
  • Executive Leadership: Kong Dong, Air China
  • Low-Cost Leadership: Aditya Ghosh, IndiGo
  • Regional Leadership: Bill Ayer
  • Finance: AviancaTaca
  • Marketing: Air New Zealand
  • Technology: Qantas
  • Environment: British Airways
  • The Airlines Business Award for the executive who has had the greatest influence in air transport in the past decade: Tim Clark, Emirates

Auckland moves forward as Asia-South America hub, with potential unknown

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A Dubai of the southern hemisphere?

Auckland is moving forward with a goal to become a network hub for flights between Asia and South America.

The New Zealand government has given its officials a mandate to negotiate new and more liberalised air service agreements with China and Brazil, as well as up to eight other countries, associate transport minister Nathan Guy said, as we reported on our Air Transport Intelligence news wire service.

Guy said the pending new agreements will "encourage stronger tourism and business ties with two of the fastest growing regions in the world."

This is a vision shared by Air New Zealand. Chief executive Rob Fyfe last year outlined the prospect of a Dubai-style hub in New Zealand that would replace the existing hub in Europe for Asia-South America traffic.

"New Zealand is perfectly positioned to become a new hub linking Asia and South America," he said.

Only Aerolineas Argentinas and Oneworld carriers LAN and Qantas have direct flights from South America to Oceania, while only Qantas has onward connections to Asia. Air China, Singapore Airlines, and Thai Airways, members of Star Alliance with Air New Zealand, serve Auckland but no Star Alliance carrier has routes between South America and Oceania. Oneworld carriers Cathay Pacific and LAN already transfer passengers between Asia and South America at Auckland, Guy said.

Fyfe was also eyeing new services for the carrier's order of Boeing 787-9 Dreamliners, for which it is the launch customer for. Targeted destinations were undisclosed cities in South America and India, as well as South Africa. Fyfe also said adding further cities in China and America was an option.

With Air New Zealand's first 787-9 not due for delivery until 2013 at the earliest, Fyfe said he was looking at "getting some of these other options up and running in the meantime".

For all the optimism New Zealand and Air New Zealand share, some within those organisations quietly share doubts over the potential for New Zealand to become a hub.

Far greater services are available through Europe, including more one-stop journeys, whereas a limited number of flights into and out of New Zealand from Asia and South America could mean passengers have to transit through hubs in Asia and South America to board a trunk route flight to or from New Zealand.

Given the thin traffic in and out of New Zealand, Fyfe remarked that once a carrier planted itself on a route, it would be difficult for the route to support more than one carrier. That would potentially alienate customers who align themselves with an alliance not operating a route.

Tiger Airways Australia pulls out of aviation conference

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For those of us counting on next week's Australia Pacific Aviation Outlook Summit to receive real answers about Tiger Airways Australia's grounding, keep looking.

Tiger Australia managing director Crawford Rix--whose resignation was announced last week--has pulled out of delivering a keynote at the conference and has not been replaced. A conference spokeswoman confirmed Rix's and Tiger's withdrawal.

Rix was due to address the themes of "growing existing operations to meet an increase in passenger numbers. Recognising which new routes provide the biggest opportunity and expanding existing capacity; boosting revenue through ancillary offerings."

Those are topics Tiger is pressed to do with its current grounding, and will still be pressed to do should the Civil Aviation Safety Authority permit to resume operations. And you could argue Tiger has far better activities--maintenance supervision, pilot training--to carry out besides making appearances at conference.

Such a pull out is not unprecedented. Rolls-Royce cancelled a previously scheduled briefing at last November's Zhuhai air show, which occurred barely a week after the uncontained Trent 900 engine failure on a Qantas Airbus A380.

Air Pacific begins restructure with eye on new widebody aircraft

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Air Pacific 747
Better times ahead? Photograph: AirSpace user boeing777

Debt-ridden Loss-making carrier Air Pacific hopes to turn its prospects around by restructuring its schedule and fleet by retiring its Boeing 767 and adding a 737 as it finalises an imminent acquisition plan for widebody aircraft.

The Fijian national carrier expects to announce its wide-body selection within a month, a spokesman said.

Contenders are Airbus A330 aircraft and Boeing 777-200 aircraft formerly with Singapore Airlines, according to sources familiar with the matter. Air Pacific declined to provide further comment on the acquisition.

In April the carrier cancelled its order for eight Boeing 787-9 Dreamliner aircraft. At the time a spokesman said the carrier was in discussions with Airbus and Boeing for its future aircraft needs.

"Our fleet and 2012 schedule changes will create a much more efficient and effective network that is an essential part of our overall plan to create a better airline for our customers," chief executive Dave Pflieger said. Air Pacific last year reported a F$65.3 million ($36.5 million) loss, the largest in its 59-year history.

Air Pacific 737.jpgPhotograph: AirSpace user FlyPHANUK

Air Pacific will return by mid-January its sole Boeing 767, a -300ER variant on lease from AWAS, according to Flightglobal's ACAS database. In November Air Pacific will add a 737-800 to its 737 fleet that comprises one 737-700 and two 737-800 aircraft.

"Replacing our 1994 vintage B767-300ER with an almost new B737-800 is the first step in Air Pacific's fleet renewal process," Pflieger said. The fleet change will see Air Pacific nearly double its Sydney services from 6x weekly to 13x weekly and enable the carrier to re-deploy its fleet of two Boeing 747-400 aircraft to Hong Kong.

Pflieger said the 747-400 will bring an additional 165 seats, or 22%, per week into Hong Kong, "adding much needed seats to this fast growing route."

The schedule change will permit same-day connections from Air Pacific's Nadi hub to the country's outer islands.

Air Pacific will also increase capacity into Auckland.

Australia's Qantas Airways holds a 46% share in Air Pacific although it acknowledged in 2009 it was in talks with the Fijian government to sell its stake. Qantas said it was looking to sell its stake due to changing market conditions, namely Virgin Australia's Pacific Blue capturing market share, and Qantas re-evaluating its investments.

Qantas chief executive Alan Joyce said last year talks were still ongoing.

Air India to deploy 787 to Melbourne from October

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Air India 787 awaiting delivery.
Air India 787 awaiting delivery. Photograph: AirSpace user Gloabl Ranger

Melbourne will be the first Australian city to receive scheduled 787 service when Air India deploys the aircraft on its new Delhi-Melbourne route in October.

"Direct flights to Australia are the top priority for us. The route will be profitable for Air India and is a key ingredient of the turnaround plan,"  an Air India official told Calcutta's The Telegraph.

Air India's eagerness is contrasted by Jetstar chief executive Bruce Buchanan, who told the Australian this week that direct flights to India were a decade away.

Air India is also plans to deploy the 259-seat 787, in an undisclosed configuration, on North American routes, such as to New York and Toronto.

The article says "plans are in place" for daily flights to Melbourne from Chennai, Delhi, and Mumbai, but it is not clear what the operational routing of the flight will be. Some international Air India routes have tag-on services to other domestic ports.

Air India over its saga of trying to serve Melbourne has mooted using Airbus A330 and, more recently, 777-300ER equipment. The 787 offers cost advantages over older aircraft, although with the aircraft overweight the exact advantage percentage is unknown. Deploying the 787 could suggest Air India needs the aircraft to achieve sufficient economics on the route.

Air India has 27 787 aircraft on order. This week Boeing brought a test aircraft to India for demonstration purposes.

No Australian subsidiary soon, AirAsia says

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AirAsia A320
A fleet of AirAsia Airbus A320s could be on their way to Australia, but not soon. Photograph: AirSpace user commercial aviation

The current woes of Tiger Airways Australia are not enough for competing pan-Asian carrier AirAsia to fast-track its evaluation of launching a subsidiary in Australia.

"Regarding AirAsia Australia, it remains a possibility although not in the short term," Azran Osman-Rani said. Osman-Rani is the chief executive of AirAsia's long-haul sister carrier AirAsia X.

Last year Osman-Rani disclosed AirAsia was watching the emerging shift of Virgin Blue, since re-branded as Virgin Australia, forgoing the leisure market for a greater share of the corporate market. That could have reduced competition, paving the way for a new entrant.

"The way it is now, if you've got three players competing aggressively for the mass market segment that's all the industry can take," Osman-Rani said at the time.

"If the market dynamic changed and suddenly there is space and existing players start to rationalise fights and increase fares, it will be very tempting," he said of launching an Australian subsidiary operating Airbus A320 aircraft.

Australia and New Zealand are unique in being the only countries in the world to permit majority foreign-owned domestic airlines. Such carriers, however, are prohibited from operating international services.

The Australian market has yet to see a large swing in capacity as a result of Virgin Australia introducing domestic business class, the first time in ten years there is premium competition to Qantas. But it is still early days for Virgin Australia. The carrier's three-year game change plan, implemented under chief executive John Borghetti, called for the carrier to re-position itself in the 2011 financial year through 30 June. Achieving the rewards of a more balanced revenue mix and improved yields are targeted for the 2012 and 2013 financial years.

The market has, however, seen a short-term capacity reduction as a result of the Civil Aviation Safety Authority grounding Tiger Airways Australia for posing "a serious and imminent risk to air safety." CASA has applied to Australia's Federal Court to extend Tiger's grounding until 1 August. The court is to hear the case next Friday.

CASA's grounding was immediately provoked by two incidents of Tiger breaching minimum safe altitudes while on approach to land after being issued a show cause notice in March.

AirAsia X was involved in two minimum safe altitude incidents last year at Queensland's Gold Coast airport, which the Australian Transport Safety Bureau is still investigating and due to complete this year.

Osman-Rani said CASA audited AirAsia X's operations and renewed the carrier's air operator's certificate.

"They also acknowledged that the approaches into OOL [Gold Coast] are challenging," Osman-Rani said.

AirAsia X also enhanced its operations by including specific modules for Gold Coast approaches in its flight simulator programmes and regularly conducts recurrent training with its pilots, Osman-Rani said.

"It helps when we have our own academy with our own flight simulators and instructors," Osman-Rani said of the AirAsia Academy, which includes full motion simulators, maintenance training devices, as well as cabin trainers.

Although he did not directly contrast AirAsia's operations to Tiger Airways Australia, the grounded carrier uses a shared training facility in Melbourne, according to testimony from Tiger director of operations Tim Berry to a senate inquiry on pilot training and aviation safety.

Don't pop the champagne yet on Qantas returning to Beijing

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News of the Qantas Group returning to Beijing, after the mainline carrier withdrew in 2009, should be embraced cautiously rather than with a wide-armed ni hao.

And that is not because the Airbus A330-200 route, via Singapore, is another example of the familiar protest concerning Qantas shuttling routes and anything new to Jetstar. The route raises concern about the Australia-Chinese market and Qantas's viability in it.

A year ago this month Qantas chief executive Alan Joyce flagged the potential of Jetstar to let the Qantas Group return from Australia to mainland China--Qantas also cut its Melbourne-Shanghai route--and expand even further.

Such routes, Joyce said, would be ideal for the 787 as the aircraft "opens up that range of routes that we wouldn't see to be economical today".

Maybe Jetstar is opening the route via Singapore because it does not have the 787 yet and so cannot be profitable on a direct service from Australia. But is the alternative better? The outbound service from Melbourne takes 15h 50m while the inbound service has an 11h layover, giving a total journey time of 25h 5m.

You may as well go to Europe or fly direct on a mainland Chinese carrier.

But maybe that is all besides the point because the route is geared primarily for the Asian, not Australian, market. When Joyce last month announced his turn-around strategy for Qantas International, he said "we will be establishing a platform for future success, which means Asia."

He continued: "As a nation we used to fly via Asia, now we fly to Asia, and the future will be about travel both to and within Asia."

Alas, the only Melbourne-Beijing route Jetstar is launching will be in press materials for the Australian market. It's really a Singapore/ASEAN-Beijing route.

Further, is the route designed to compete with, or even preempt, Singapore's forthcoming LCC that plans to capture the low-cost growth it has lost? Surely Singapore is tuned in to the potential traffic to China's capital and second-largest city?

Where then, does that leave Jetstar and Qantas serving China from Australia? Perhaps waiting for the 787 is still necessary, or perhaps Qantas and Jetstar cannot compete with the Chinese carriers to and from the comparatively small Australian market and so instead are focusing on the larger intra-Asia traffic. The latter is definitely the initial case but remains to be seen if it will also be the precedent.

CASA: Tiger show cause notice too 'damaging' to be released

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The Civil Aviation Safety Authority has rejected a freedom of information request to release the show cause notice (SCN) to Tiger Airways Australia, saying the contents could harm the grounded carrier's public perception.

CASA and Tiger have only said the 23 March SCN covers areas including oversight of maintenance and pilot training.

"The allegations made in the SCN and the responses by Tiger concerning them would, or at least could reasonably be expected to, cause damage to Tiger Airway's reputation - which may lead to damage to its business, commercial and financial interests," CASA said.

The 30-page SCN charged that Tiger "on a number of occasions" broke provisions of the Civil Aviation Act, Civil Aviation Regulations 1988, and Civil Aviation Orders.

CASA said those occurrences meant Tiger "thereby breached the condition of its air operator's certificate."

The safety regulator grounded Tiger on 1 July after further incidents including two breaches of flying below minimum safe altitudes. Last Thursday CASA sought an extension to the grounding until 1 August to allow it more time to complete its investigation.

Tiger disputed the SCN's allegations, CASA said. The carrier submitted an initial response and then a further response on 13 April totaling 42 pages which "makes submission as to why contraventions were not committed."

However, former Tiger managing director Crawford Rix disclosed at a May senate inquiry that the carrier re-structured its operations department and increased the number of local maintenance management personnel at its Melbourne base. Such roles were previously located at the global headquarters of Tiger Holdings in Singapore.

"Where CASA has made suggestions in relation to improving processes and oversight Tiger has taken immediate action and responded proactively with additional resource," Rix said. Last week Tiger announced he would resign by the end of the month.

No official determination about the breaches was made in the SCN and Tiger's responses. CASA said it was thus not in the public interest to release information that contained "no formal or final findings or conclusions about alleged contraventions or operational practices."

Privacy and defamation were also cited as reasons for declining to release the documents. CASA said the SCN and Tiger's response named specific individuals alleged to have broken regulations. Yet neither CASA nor a court made made formal findings about the breaches.

CASA declined to redact names as "some or all of those persons may be able to be identified by virtue of the factual matters raised in the notice."

It is becoming evident CASA has grown frustrated with Tiger. Right after the grounding CASA issued a pithy statement on Twitter saying "Real changes will be needed."

At the senate inquiry Senator Nick Xenophon told Tiger management that "a show cause notice may indicate a lack of satisfactory progress in terms of that dialogue between the regulator and the airline."

Rix replied, "I think the dialogue in general has been okay."

Tiger Holdings chief executive Tony Davis, who has since taken over Rix's role, immediately said the dialogue "has been very good."

Announcements pending for Virgin Australia

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Branson XFB.JPG
Virgin Australia is expected to make the most of Sir Richard Branson's ongoing visit to Australia by disclosing strategic decisions. The Virgin Group founder is in Australia for charity talks, announced Virgin's eucalyptus biofuel project, and is having some mid-flight fun with toilet paper.

Some announcements were due to be released late last week but were held for undisclosed reasons, according to sources familiar with the matter.

Here are some possibilities of what this week's announcements will be.

PERTH EXPANSION
Virgin has committed to basing two Boeing 737-800 aircraft in Perth, likely for deployment to Southeast Asia. Favoured routes are Perth-Singapore, which ties in with Virgin's pending alliance with Singapore Airlines, as well as Perth-Kota Kinabalu in Malaysian Borneo.

NEW IFE
Negotiations earlier this year between Virgin and Panasonic, the vendor of the Red in-flight entertainment system used by V Australia and sister carrier Virgin America, reached a stalemate over licensing arrangements. At the carrier's May re-branding unveiling, Branson confirmed Virgin Australia would have an IFE solution, although he did not disclose specifics.

MORE A330s
This is always a question of when, not if, with the current announced count at 6 and plans for expansion to approximately 16 frames. The real question is if Virgin will be able to secure slots from Airbus and lessors for factory-fresh A330s (as it is doing for its third and fourth A330s) or if it will have to relegate itself to old A330s (such as A330 aircraft one, two, five, and six from Emirates). The first two A330s have had a number of maintenance problems that have forced them off Sydney-Perth services at times, exemplifying why Virgin only likes to keep aircraft for 6-7 years, but 787 delays have meant there is a tight supply of A330s.

PACIFIC A330 EXPANSION
In addition to next February's Brisbane-Singapore-Abu Dhabi route, Virgin could be looking at deploying A330s to other blue-chip Asian ports. (If it is Hong Kong, Virgin Atlantic will not welcome its Australian sister.) Virgin is also evaluating routing A330s to North America via Auckland, as Qantas does.

DELTA-V SHUFFLE
Following final United States Department of Transportation approval for the Delta-V Australia joint-venture, Delta is expected to take over V Australia's thrice-weekly trans-Pacific route into Melbourne while V Australia deploys its freed capacity to Brisbane, which currently has thrice-weekly service that could be expanded to six weekly trans-Pacific flights.

Stay tuned.

Safety reports into Tiger altitude busts covering up larger issues

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Issuing a report after investigating an incident is a necessary part of aviation safety, but last week provided a delusional sense of conclusion.

The Australian Transport Safety Bureau report in question was the preliminary investigation into the 7 June incident of Tiger Airways descending below minimum safe altitude, the first of two incidents last month. In brief, air traffic control cleared the Airbus A320 to descend to 2,500 feet but the crew, failing to notice an altitude discrepancy between ATC instructions, Jeppesen planning charts, and the flight management guidance and envelope system, descended to 2,000 feet. The aircraft landed safely at Melbourne.

After a similar incident at the end of June the Civil Aviation Safety Authority grounded Tiger, a measure that could be in place for the remainder of the month. The incidents are the straws that broke CASA's back, so for some the official if preliminary report closes the chapter on how and why Tiger was grounded. The ATSB's report into the second incident is due out this week, and will likely also be interpreted as "case-closed".

If only.

We do not know all of the other straws on CASA's back, and they were surely many but neither Tiger nor CASA are talking about them.

"We're clearly in the process, we're clearly addressing the issues that have been identified by CASA and in addition that to that we're completing our own review. So, as I said before, it's about a fresh start, it's about addressing that anything that needs to be addressed," new Tiger Australia chief executive Tony Davis, who previously looked after the entire group, told the ABC in an interview. Davis had a hollow message about working through problems, which he repeated over and over again without adding substance.

CASA has highlighted areas of concern like pilot training and maintenance control, but not divulged details. "There's a range of areas which have been of concern to the Civil Aviation Safety Authority," a spokesman said.

The details of those other straws will likely indicate that if Tiger satisfies CASA to resume operations, the carrier will not be able to do so with a full schedule, owning to problems with aircraft and/or crew. This possibility was put to Davis, who for an answer regurgitated his talking point. "Well, as I say, right now we're undertaking a comprehensive review of the operation."

No doubt the details, if ever known, will not reflect well on Tiger, but may also be damning for CASA, who permitted serious problems to go unchecked until only recently.

Video: Virgin flair alive and well as Branson conducts in-flight toilet paper race

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In this edition of quirky news, despite some bemoaning Virgin Australia is losing its flair with its new management and chasing the high-yield corporate market, Sir Richard Branson keeps the Virgin ethos rolling.

Branson held a toilet paper race while flying a Virgin Australia Boeing 737 on Friday. The race was simple if primitive: each aisle had to pass a roll of toilet paper from the front to back without it breaking. The winning side, Branson decided, would get to deplane first.

One passenger filmed the race, see the video below, and (for once) I will not ruin the surprise of the outcome.

Branson, whose Virgin Group owns a stake in Virgin Australia, was traveling on flight DJ429 from Sydney to Queensland's Sunshine Coast, possibly to spend time at Makepeace Island, the $4m resort he and Virgin Blue founder and former chief executive Brett Godfrey own in Noosa.

There is no official word from Virgin Australia of what it thinks of Branson's spontaneity--in February 2009 he announced V Australia's Johannesburg route before the carrier was willing to disclose it--but I'm willing to bet they would have liked some advance notice so they could have put on the flight one of their 737 aircraft with the new interior. (Notice the prominent "Virgin Blue" logo.)

It is noteworthy than in typical Branson style, the Virgin boss thanks the crew before wrapping up.



Tiger Australia chief resigns, but does it change anything?

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Tiger Australia managing director Crawford Rix last November. He will now exit stage left by 31 July.

A quick succession of events on Wednesday evening concluded with Tiger Airways Australia managing director Crawford Rix resigning effective the end of the month after a year on the job.

Hours earlier the Civil Aviation Safety Authority announced its intention to apply to the Federal Court to extend Tiger's grounding from this Friday until 1 August. Tiger subsequently said it would not protest the extension.

Over the weekend, when Tiger was grounded, parent company Tiger Holdings dispatched chief executive Tony Davis to Australia and had a vice-president from stakeholder Singapore Airlines take over Davis's responsibilities in Singapore.

This personnel shuffle could appear to be the answer to any management qualms CASA has, but it must be asked if it changes anything.

Since Tiger's inception senior management has been described by sources familiar with the matter akin to being an old boy's club revolving around Davis, raising questions about Davis's future, or at least competence, at the carrier.

From the get-go Tiger was secretive, saying it did not want to release basic figures and information for fear of giving competition a leg-up. Tiger Australia's directors toed the line and embraced Davis's low-cost mantra.

First was Chris Ward, who met Davis at bmibaby, which Davis co-launched. Ward helped Davis establish Tiger and became the managing director of its Singaporean division before setting up the Australian subsidiary. Ward handed the Australian reigns over to Shelley Roberts in mid-2008 and went on to establish subsidiaries in South Korea and the Philippines. The former never took off while the latter has come under regulatory problems. There were no known safety matters, though.

Roberts, formerly of easyJet and Macquarie Airports, broke the old boy's club physically but not mentally. In a 2009 address to the Australia Pacific Aviation Outlook Summit, she gained notoriety for saying every strategic element the company was planning would be revealed "imminently", despite some airlines electing to make announcements at such forums. But not for Tiger. It was all about when was best for the market and giving competitors as little advantage as possible.

When an attendee asked her how imminently "imminently" was, she responded: "imminently". She practiced what she preached, saying in an interview she would attend attend a stakeholder meeting in America by flying economy class (V Australia, if you were wondering).

Roberts quit in 2010, a decision sources believe was hers, saying she over-worked herself while rapidly expanding the carrier.

Crawford Rix, the managing director of Davis's bmibaby, replaced Roberts and was hooked on the low-cost model, as he explained while commenting why Tiger objected to Air New Zealand and Virgin Blue's proposed joint-venture.
Why do you think competitors do codeshares? Do you think it's good for the consumer? I know what I think. I come from an alliance background. I was in Star Alliance. I'm a full-service guy turned low-cost. I know what the answer is.
He also embraced the Davis-style secrecy around Tiger. When asked how many members its Stripes early-sales club had, Rix responded: "Oh not yet. Oh no, no no, I wouldn't do that."

CASA's grounding of Tiger shows that while the carrier may have been good at maintaining a low-cost basis, it failed to have an adequate level of safety. Despite suggestions otherwise, cost and safety do not have to be mutually exclusive.

It should be asked how much independence regional management had from cost-driven Davis rather than portraying them as simply aloof and incompetent. Davis's protests of there being no safety concerns is not a vote of confidence.

Tiger grounded for another three weeks as complete details remain undisclosed

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Crawford Rix scratching head.JPGTiger Australia managing director Crawford Rix last November. Since then the airline has grown confused over what "immediate" safety issues CASA says exists.

The Civil Aviation Safety Authority announced Wednesday night it will apply to the Federal Court to extend Tiger's grounding until 1 August, but full details of the grounding's rationale are yet to be released.

Tiger can argue against the extension, but until the federal court in Melbourne approves or rejects the extension, Tiger will remain grounded. CASA says if it is successful in its application but completes its investigation earlier and determines there are no further unacceptable risks, Tiger could resume operations earlier.

Extending the grounding by three weeks shows how serious CASA reckons are Tiger's systemic flaws that allow an assortment of mishaps to occur--including two approaches conducted below minimum safe altitudes--or how stubborn CASA is finding Tiger in its unwillingness to change operations to a satisfactory level. Over the weekend chief executive Tony Davis denied there were any immediate problems with the carrier.

The full details of CASA's concerns originating from a show cause notice earlier this year are not known beyond the few topics CASA has released details of, such as pilot proficiency, maintenance control, and fatigue management.

There are two transparency comparisons to make. The first is from March when during a senate inquiry into pilot training and aviation safety a senator obtained a message from a Jetstar pilot denying he was fatigued yet extolling all the symptoms of being fatigued. The letter's serious side and implications were overshadowed by the pilot's phrase "toughen up princesses", but the letter gave explicit details of the type of fatigue being experienced--in this case, serious. Tiger's fatigue issues are unknown.

Even more sensational on the onset than the "toughen up princesses" letter is an example from America. In April the country's food and health regulator sent a public warning letter to Delta's chief executive detailing rodent excreta and urine found on aircraft. The letter specifies findings such as "9-15 rodent excreta pellets on the right aisle of the aircraft over seats C3-C7". While the mainstream media had a field day with such detail, the letter promoted transparency and that is missing in the Tiger case where the stakes are higher than rodent droppings.

CASA is not to blame. Its transparency is legally restricted, even though some elements of the safety regulator wish otherwise.

This page in April filed a freedom of information request to obtain the details of the show cause notice. The process called for Tiger to weigh in by Friday, a coincidental timeframe given Tiger's grounding. If Tiger does not respond by the deadline then CASA can determine to release the show cause notice and associated paperwork. If they do the public will have a much greater understanding of Tiger's situation. While some through ignorance or arrogance may misconstrue presented facts, others will fully comprehend the status quo, a situation they should be entitled to.

Qantas to retire 767s no later than 2018

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QF 767.JPGQantas expects 2018 to be the latest year by which it will retire its 26-strong Boeing 767 fleet.

The indicative timing was the only forward projection of the airline's fleet disclosed to a recent Macquarie conference.

A Qantas spokesman says the carrier could look to retire its large-capacity domestic workhorse earlier than 2018 if deliveries of 787 Dreamliners and other new aircraft hold up.

Qantas has 50 787 aircraft on order, 25 of which are currently destined for Qantas mainline and the rest for Jetstar. The 787s are expected to largely replace Qantas's 767 fleet, although chief executive Alan Joyce has threatened aircraft could be cancelled--but that appears to be hot air rather than a real possibility.

Qantas currently operates 26 767-300ER aircraft, 10 of which Qantas says it leases while it owns the remaining 16. Seven aircraft were formerly with British Airways and have RB211 engines while the other 19 frames have CF6 powerplants, according to Flightglobal's ACAS database.

The oldest frame currently in service, VH-OGB, was built in 1988 while the newest, VH-OGV, was built in 2000, according to ACAS. All together two frames were manufactured in the late 1980s, seven from the mid 1990s until 2000, and the rest in the early 1990s.

Globally, American Airlines, British Airways, Delta, and United operate 767-300ER fleets of similar vintage. Recent orders for new passenger 767-300ER aircraft have come from ANA, Azerbaijan Airlines, LAN, and an unidentified customer.

By 2018 Qantas also plans to operate 20 Airbus A380s, 9 747-400s, 20 A330s, and 74 737-800s while Jetstar is expected to operate 15 787s and approximately 100 A320s. Note these figures were prior to Qantas announcing last month a trimming of its short-haul fleet in the near future.

Photo: First F70LR arrives in Australia

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New F70 for Alliance in Australia.JPG
Over the weekend resource industry fly-in, fly-out provider Alliance Airlines took delivery of the first of two Fokker F70 long range aircraft, as seen above. Alliance has recently acquired the pair, along with two more Fokker F100 aircraft.

"The capabilities of the F70LR and the ability to easily integrate the aircraft into our existing fleet made the F70LR a natural choice," managing director Scott McMillan said. After deliveries are complete Alliance will operate 5 F50s, 2 F70LRs and 18 F100s.

The Brisbane-based carrier said the F70LR can fly non-stop from Australia's east coast to mining sites in Western Australia, "avoiding the additional cost, longer journey times and peak-period congestion at Perth Airport".

Alliance already has an "agreement" to provide such non-stop east coast-west coast service and is in discussions with an undisclosed number of additional companies. The carrier also plans to deploy the aircraft on undisclosed missions on the east coast.

Photos show Alliance's first F70LR had been in storage in Slovakia after being in service with Comlux Malta.

No update from Tiger until Thursday as CASA's agitation grows

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Rix hugging tiger.JPGCASA is not yet feeling Tiger's love.

Grounded Tiger Airways hopes to announce by mid-day on Thursday a resumption to its services, which were suspended last Friday night through this Friday.

"We're working hard to address CASA's concerns & get our planes flying.Updates regarding svc resumption will be made by 1200hrs AEST, 7/7/11," the carrier says in a Tweet.

Tiger's optimism, and chief executive Tony Davis denying there are safety problems, are starkly contrasted to growing frustration from the Civil Aviation Safety Authority.

The safety regulator has most recently written, "That's what we're working on. Real changes will be needed." Although there was no context to the message or indication if it was replying to a user's message about the Tiger grounding, the message was likely in reference to Tiger.

Since the grounding CASA has been outspoken about wanting to see safety and operational changes from an otherwise nonchalant Tiger. Whether CASA's negotiation through the press and public is working on Tiger will be seen by Thursday.

If CASA does apply to the Federal Court for an extension on the grounding, which at five days is the longest it can impose on its own, the court can grant an extension for a set period of time up to 40 days, CASA says.

Jetstar to slowly roll out revised livery

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Jetstar has quietly premiered a revised livery featuring the group's new typography and all black billboard titles.

The livery, for the group's Airbus fleet, will be applied to all new aircraft while aircraft in old schemes "will be repainted as required," a Jetstar spokeswoman says.

The previous logo featured "Jet" in black, "star" in orange, and ".com" in gray, all in a block sans-serif typeface. The new logo also uses a sans-serif typeface but one with more curves. A thinner version of the typeface is used for the ".com" part of the title.

Jetstar introduced the revised livery as part of its "refreshed branding" across the group. The logo was first publicly used in May when Jetstar overhauled its website.

Qantas previously refreshed its marketing looks by adopting a sans-serif typeface for non-logo uses.

The revised Jetstar livery was first seen, above, on a newly-manufactured Airbus A320 at the airframer's Hamburg site. The aircraft, MSN 4772 and bearing French test registration F-WWDH, is due to be delivered to Jetstar Asia where it will be-registered 9V-JSK.

Jetstar has previously made subtle changes to its livery, namely enlarging the titles.

For reference here is the previous livery:
Jetstar A318
Photograph: AirSpace user Rear Loader

Is CASA serious about the Tiger grounding or really, really fed up?

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Tiger AVV sign.JPG
With much focus on the Tiger grounding turning to the possibility of its "extinction", it is worth pondering how serious the Civil Aviation Safety Authority is about Tiger posing a direct threat to safety or how fed up CASA may be with Tiger.

A grounding is subjective. There are clear rules about what airlines can and cannot do, but what combination of them can amount to a suspension of operations is for CASA to determine.

The regulator has been frustrated with Tiger for months, as evidenced by the show cause notice earlier this year. Tiger's response to the notice was evaluated for quite some time by CASA, suggesting the response was not the explicit turnaround CASA would have liked.

Tiger in its view may be playing by the official rules and pushing itself up to boundaries, but CASA operates on a stricter, officially unspoken basis. Case in point: after last November's Rolls-Royce Trent 900 engine failure on Qantas Airbus A380 flight QF32, CASA did not ground Trent 900-powered A380s. But it made known to relevant operators its preference for such aircraft not to be operated until the situation was resolved, according to sources familiar with the matter. Qantas suspended its A380 operations, possibly entirely on its own, but Singapore Airlines continued to operate their A380s to the irk of some officials.

CASA's decision, prior to the grounding, to prohibit Tiger to expand should have sent alarms off in the shed of its Melbourne headquarters as well as with its Singapore parent company. Instead two Tiger A320s flew below minimum safe altitudes.

Now CASA is receiving the serious response it wants and aviation safety demands. Tony Davis, the chief executive of Tiger Airways Holdings, flew down from Singapore to work out the problems. Singapore Airlines, which has a stake in Tiger, has appointed Chin Yau Seng, vice president for cabin crew operations to Tiger.

While CASA's statement announcing the grounding was sharp, its follow-up remarks have a whiff of exhaustion as if it is negotiating through the press for Tiger to come to terms.

"This is a period for essentially natural justice for Tiger to be able to put their side to us and for us to consider that, and if not go to the court and let the court decide," a CASA spokesman said about extending the grounding beyond the five days CASA can impose. CASA has been coy about whether it will apply to the Federal Court to extend the grounding, as if egging Tiger on to shape up.

CASA may also feel under pressure. It did not look fully competent during a Senate hearing earlier this year, perhaps making it think it needs to play bad cop instead of good cop. That much could be inferred from transport minister Anthony Albanese, who is quoted saying: "If anyone thinks the air safety regulator isn't prepared to take tough decisions and do its job, I think that today is evidence that CASA is indeed doing its job."

Now the question is if Tiger will do its job.

Odds and ends about Tiger's grounding

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Here are some miscellaneous items relating to Tiger's grounding.

MID-AIR RETURN
Tiger flight 5704 from Melbourne to Cairns was in-flight on Friday night when CASA grounded Tiger. The flight returned to Tullamarine airport, the ABC reports. According to passenger accounts, Tiger only said the flight was returning for safety reasons and did not specify exactly why.

Tiger Avalon sign.JPGPRIORITIES AND JET WHO?
The Saturday update Tiger provided said little new except that Tiger's top priority had been to mitigate passenger disruption and then work with CASA on outstanding issues. That order preference is either questionable or non-existent and stated only for passenger empathy.

Curiously the update said "Virgin Australia has also offered to assist effected Tiger Airways' travelers where possible over the coming week." Tiger had hitherto not mentioned any carriers providing assistance so "also" seems imprecise. Moreover Jetstar was the first carrier to say it would help affect stranded Tiger passengers, having issued a statement at 8am--nine hours after Tiger's grounding--saying so, but it received no mention from Tiger. Ditto for Qantas, who was the last to announce support on Saturday morning. The update was also posted on Tiger's website.
Above photo: is Tiger trying to hide Jetstar?

While some attribute this to some backroom-multi-continent agreement surrounding Singapore Airlines having a stake in Tiger and also a new joint-venture with Virgin Australia, the market may offer a more logical explanation.

Qantas offered to accomodate Tiger passengers but at higher fares than Jetstar and Virgin, so that could potentially rule them out as a viable alternative. Jetstar and Virgin's fares were largely the same, except for Melbourne to Perth where Virgin was $50 more, but normally Virgin is more expensive than Jetstar. That makes Jetstar a closer competitor to Tiger than Virgin. If stranded passengers get re-accmmodated on a Jetstar flight, they may end up sticking with the carrier and ditching Tiger, if Tiger returns to the skies. It is better than to support the normally more expensive carrier Tiger's price-conscious passengers are likely to avoid.

NON SEQUITUR
Tiger Airways will have a lot of talking to do about its grounding, even if a Tiger statement concluded by saying further queries should be directed at CASA. Tiger does not follow Qantas and Virgin in making luncheon speeches and other public appearances, so word out of them can be scarce.

Later this month at the Australia Pacific Aviation Outlook Summit Tiger Australia managing director Crawford Rix is tentatively scheduled to give a speech entitled "growing existing operations to meet an increase in passenger numbers". The grounding obviously prohibits expansion, but even before then CASA attached to Tiger's air operator's certificate a restriction on expansion as a result of the show cause notice. If Rix does indeed deliver a speech in three weeks' time, it will need a new title that is hopefully backed up by an overhaul in company operations.

Make public the Tiger show cause notice and other documents

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Two months ago, before specifics emerged of CASA's show cause notice to Tiger and before Tiger openly discussed the notice, details on the matter were scant and this page filed a freedom of information request to obtain the documents related to the show cause notice.
CASA, the Australian government at large, and Tiger have still not made these documents public.

The original request stated that since the show cause notice was a safety matter affecting a company that engages in public air transport, the public has the right to know about safety matters that potentially affect them.

Taking a significant action like grounding an airline for at least a week, as CASA has done to Tiger, shows there are safety matters that need to be disclosed sooner rather than later.

To CASA's credit the regulator approved the freedom of information request but had to work with Tiger about redacting the documents since they "contain information concerning business, commercial or financial affairs of an organisation," a spokeswoman said in an e-mail message. But those redacted documents have yet to materialise.

Ultimately no amount of commercial sensitivity, a justification airlines are quick to hide behind, can surpass the worst case scenario of fatalities.

Timeline of Flightglobal's freedom of information request
  • 27 April: Request made
  • 23 May: Informed by CASA documents contained confidential information that would need to be reviewed with Tiger
  • 22 June: Informed by CASA review with Tiger commenced 24 May and was ongoing
  • 1 July: CASA grounds Tiger over concerns stemming from the show-cause notice

Jetstar pounces on Tiger grounding

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Jetstar A320
Photograph: ST Aerospace

On the morning after Tiger Airways' late-night grounding, Jetstar is leveraging its network and service to affected Tiger passengers by offering them alternative fares, subject to availability.

Tiger is grounded until Saturday 9 July but CASA could ask the Federal Court to extend the grounding. CASA and Tiger are due to give an update to the situation later today.

As part of the grounding, which Tiger says it "regrets", the low-cost carrier is offering refunds or the opportunity to change travel to a later date.

Jetstar's fares are $100 one-way from Melbourne to Tasmania, Sydney, and Adelaide; Sydney to Queensland ;and Sydney to Adelaide. $150 fares are available from Melbourne to Queensland and $200 fares from Melbourne to Perth.

Tiger passengers need to show their Tiger itinerary at a Jetstar counter prior to travel.

While Jetstar gains kudos for helping stranded passengers, it stands to gain the segment's loyalty, provided CASA eventually lifts the grounding, restoring low-cost competition.

Update: Jetstar has since added extra flights to its network (Melbourne-Gold Coast, Sydney-Gold Coast, and Sydney-Sunshine Coast) in response to Tiger's suspension. Virgin Australia says it is planning special fares and extra flights and will release details shortly. For the record, Jetstar was the first to respond to Tiger.

On the prowl no more: CASA grounds Tiger

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Tiger with A320 model at AVV launch.JPGNow CASA is the one doing the growling.

The Civil Aviation Safety Authority suspended the domestic Australian operations of low-cost carrier Tiger Airways at 11pm Friday night in connection with further safety breaches after the carrier was issued a show cause notice.

"CASA no longer has confidence in the ability of Tiger Airways Australia to satisfactorily address the safety issues that have been identified," in reference to the show cause notice CASA says in a statement.

The notice was largely about the carrier's training and maintenance oversight, and not any aircraft problems, although those areas of concern were not initially released to the public. The full contents of the show cause notice have not been made public. This page in April made a freedom of information request about the notice's content and is still awaiting an outcome.

"CASA believes permitting the airline to continue to fly poses a serious and imminent risk to air safety."

Tiger operates of fleet of 10 Airbus A320 aircraft in Australia. Jetstar's A320 fleet continues to fly unrestricted. Tiger flights between Singapore and Australia continue to fly since those are operated by the Singaporean division.

The grounding is effective Saturday for five working days, during which time CASA can apply to the Federal Court for an extension of an undetermined time period. Tiger says in a statement its flights have been suspended until Saturday 9 July and it "continues to cooperate fully with the industry regulator and safety underpins our operations at all times". Tiger says affected passengers will be offered a refund or opportunity to travel at a later date.

CASA says in a Tweet it will issue more information shortly. Tiger says it will issue an update 3pm Saturday.

The March show cause notice concerned the carrier's oversight of maintenance and pilot training, but not the maintenance and pilot training per se. Details of the show cause notice were not initially released. Tiger responded within the allocated time period and as part of CASA's evaluation, CASA prohibited Tiger from further expanding its operations, one of a number of conditions CASA says it imposed on Tiger.

"These required actions to improve the proficiency of Tiger Airways Australia's pilots, improvements to pilot training and checking processes, changes to fatigue management, improvements to maintenance control and ongoing airworthiness systems and ensuring appropriately qualified people fill management and operational positions," CASA says.

During the carrier's May annual results briefing, group chief executive Tony Davis cut the Australian division's growth for the year, saying Tiger Australia "will focus its activities on profitably flying than achieving growth in this current year". He made no mention of the CASA restriction.

As a result, Tiger returned to Asia an A320 that had arrived in Australia in April for domestic use but had not been permitted to enter service as the show cause notice was still in effect.

More recently Tiger had two incidents in a three-week period in June pertaining to aircraft reaching below-minimum altitudes, including one incident the night before its grounding.

"Since Tiger Airways Australia was served the show cause notice there have been further events raising concerns about the airline's ability to continue to conduct operations safely," CASA says.

CASA has previously grounded airlines, including regional carrier Aero-Tropics in 2008.


Virgin Australia has capability to use mobile phones in-flight

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VH-YFC with hump detail.JPGThe antenna for the SAT-2200 avionics suite connects to AeroMobile's connectivity service, which can support in-flight mobile phone usage. The antenna is encased under a radome near the tail.

Virgin Australia's newest Boeing 737-800s have been fitted with AeroMobile's connectivity solution that supports in-flight voice calls, SMS, and GPRS (3G) data usage.

Initially Virgin Australia is using the connection not for passenger use but to support crew communications associated with the Rockwell Collins SAT-2200 avionics suite that uses AeroMobile partner Inmarsat's 432kbps SwiftBroadband satellite service over a L band high-gain antenna. The same platform permits Virgin Australia to provide in-flight connectivity for passengers if it chooses to do so, according to sources familiar with the matter. Virgin Australia did not respond to requests for comment.

Although connectivity is ubiquitous in the American market for its ancillary revenue opportunities, airlines around Asia see it as a loyalty draw and necessary offering. Airlines in America prohibit mobile phone use, unlike elsewhere. Australian airlines received clearance last July to let passengers use mobile phones in-flight.

Questions about Virgin Australia's in-flight connectivity plans were raised after its new aircraft were spotted with unusual radomes.

Virgin Australia chief executive John Borghetti said last February about the prospect of offering in-flight wifi (not mobile phone use): "the moment that [connectivity] capability is available you will see us entering this space."

Regionally, Virgin's trans-Tasman partner Air New Zealand has deployed OnAir's L band mobile phone and data solution on its newest Airbus A320 aircraft that fly domestically. Qantas conducted a year-long trial in 2007 with AeroMobile. Qantas A380s are equipped with OnAir's connectivity solution but this not yet been fully implemented for passenger use.

V Australia has AeroMobile connectivity on its 777-300ER fleet but has also not switched it on for passenger use. The carrier is understood to have been nearing a launch earlier this year but delayed it, possibly in connection with Boeing finding Honeywell Phase 3 Display Units were susceptible to "blanking" during electro magnetic interference (EMI) certification of in-flight wifi, as colleague Mary Kirby reported.

Although the incident occurred while testing wifi, Boeing is undertaking a precautionary review to ensure mobile phones do not cause the same effect.

Virgin Australia was announced last November as the launch customer for the SAT-2200 with plans to deploy the avionics suite on its new fleet of 737-800s, which includes 50 firm orders, 25 options, and a further 30 purchase rights.

Rockwell Collins says the SAT-2200 integrates traditionally separate avionics and cabin functionality into a single unit that provides classic aero services and broadband services. It says the system "is designed to maintain communications without pilot intervention during all flight phases while also connecting passengers to broadband services". Rockwell Collins adds the system complies with the latest ARINC 781 industry standard for Inmarsat SATCOM capability for classic aeronautical, Swift64 and SwiftBroadband operation.

Virgin is also outfitting its new 737-800s with Rockwell Collins' 'MultiScan' threat detection system, TTR-2100 traffic avoidance system, and GLU-925 multi-mode receiver.