All Strategy news – Page 1123
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In search of the new jet age
Time was when the regional-aircraft industry was focused on who would win the battle to build a family of 70- to 120-seat jet-powered aircraft. Strategists toiled to demonstrate how such a family would sit beneath the fleets of the majors. Much has changed since then. Now, the focus ...
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Lufthansa Cityline
Lufthansa is fighting hub congestion by offering an increasing number of direct city-to-city flights, both within Germany and to destinations in Europe, avoiding its hubs at Frankfurt and Munich. Flying 320 flights daily to European centres on routes for which traffic is too light for a 100-seat aircraft is the ...
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Making markets
DEVELOPMENT OF THE Canadair Regional Jet Series 700 promises to be less difficult than launching the 70-seat aircraft, jokes John Holding, group executive vice-president, engineering and product development, at Bombardier Aerospace. Certainly, the Canadian company has been talking about stretching its 50-seat Canadair Regional Jet (CRJ) for almost as long ...
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Transaero chooses Boeing and Ilyushin
Transaero's fleet plans over the next ten to 15 years will centre on acquiring a mix of Western and Russian types, including the Boeing 767, next-generation Boeing 737 (-600/ 700/800), and Ilyushin Il-96M, the carrier has announced. The Moscow-based airline expects to introduce the first of the new aircraft "within ...
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Regionals split from British Midland
Airlines of Britain Holdings (ABH), which owns British Midland (BM),has split off its regional airlines into a separate grouping, in a move designed to free the operations to increase their franchise links with British Airways as BM moves closer to Lufthansa. The bulk of ABH's regional operations, which ...
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Chinese negotiate for ATR 42/72 production
Aviation Industries of China (AVIC) says that talks are proceeding well with Aero International (Regional) AI(R) over the possible setting up of licensed production of the AI(R) ATR 42 and ATR 72 regional turboprops in China. AVIC vice-minister and executive vice-president, Wang Ang, says that the talks are ...
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BA quits USAir
The three British Airways directors on the board of USAir have resigned, paving the way for the UK carrier to sell its stake in its erstwhile US partner Source: Airline Business
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Why the customer must still be king
Survival is key for airlines but their main focus should be on the passenger. British Airways' chief executive Bob Ayling was recently asked what he would do to change the aeronautical world were he given the power to do so. His answer went along these lines: 'It's flattering to be ...
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Euro agents' work cut out
European travel agents need to start convincing airlines of their worth. The decisions by alliance partners Lufthansa and SAS, as well as KLM, to slash their agents' commissions are expected to trigger Europe-wide cuts, following the trend set by US carriers. KLM plans to lower domestic commissions from ...
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United target on legal front
Low-fare carriers in the US are avidly watching how a predatory pricing complaint against United Airlines by one of their number, Frontier Airlines, pans out. A win for the minnow could encourage other no-frills operators to follow suit. Denver-based Frontier has asked the Department of Justice to investigate ...
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Indian policy is a let down
India's revised civil aviation policy has led to charges of protectionism after it failed to set an investment limit for foreign airlines and airports in Indian carriers. The strategy is being viewed as another setback for Singapore Airlines' planned joint venture with Tata Industries, which remains on hold in the ...
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Startups slot into Japan
Japan's incumbent carriers are bracing for their first tussle with new competition in four decades, though analysts doubt that air travellers' expectations of dramatically reduced fares will be met. The incumbents are also facing a battle for the 40 new slots that will be created at Tokyo/Haneda when ...
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Top of the curve
In some airline boardrooms, the champagne corks are finally popping. After years in the doldrums, the airline business appears to be on course to report record profits for the second year running. Still, in this business even the best news tends to come with a few caveats, and this initial ...
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Alitalia in for a rough ride
The European Commission has asked Alitalia to reassess its proposed restructuring plan and even then looks set to rule that the carrier's planned injection is state aid. It will also be looking at Alitalia's linkup with Air France, while both carriers suffer further industrial unrest. The revelation that ...
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Weber pens strike plea
Chairman Jürgen Weber is attempting to stir up an internal debate at Lufthansa in a bid to persuade the pilot-dominated DAG union to pull back from strike action. In an unprecedented move Weber sent a letter to all Lufthansa employees in late January outlining the threats to Lufthansa ...
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Growth at a premium
When Salomon Brothers Hong Kong released a report on Malaysia Airlines in late December, it left little doubt that the airline was no gilt-edged investment opportunity. Recommending a 'hold' on the carrier's shares, which put in a weak performance during the carrier's latest financial year, the report's title says it ...
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It's all in the name
Martin Shugrue is being self-effacing these days. 'Hey, if it was just me calling up people and telling them about Air Marty Start-up Airlines, that would not get us anywhere,' he admits. What is attracting attention within the industry, he maintains, is the fact that his new airline is called ...
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Disquiet on the state aid front
The debate over continuing state support to Europe's airlines refuses to roll over and die, just like the concept of the national flag carrier, which lies at its heart. With four cases on Brussels' books, 1997 may yet prove to be a landmark year. The European Commission's scrutiny of ...
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Viasa future looks bleak
Iberia and the Venezuelan government were playing a game of brinksmanship at presstime after flag carrier Viasa ran out of cash and ceased operations on 23 January. Both sides are believed to be willing to let the airline fold but, according to one source close to the negotiations, ...
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Macau change
Li Ke Li, the CAAC's deputy director for international affairs, has been appointed chief executive officer of Air Macau. He replaces Ng Kian-wah, who has returned to Singapore Airlines. CNAC, which controls Air Macau, pushed for the appointment of Li, who has never managed an airline before. ...