All Strategy articles – Page 1189
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News
Swissair set to buy way in
Swissair is not often accused of acting in haste. But the manner in which it is has approached buying a 49.5 per cent stake in Sabena smacks of desperation, brought on by its exclusion from the single European aviation market. European Commission approval for the deal appears little ...
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Cathay HK role threat
The future of Hong Kong's Cathay Pacific looks increasingly uncertain as it attempts to fathom the motives behind a China National Aviation Corporation (CNAC) application for an air operator's certificate in the territory, in a move to set up a Chinese-controlled, Hong Kong-based international airline to compete with Cathay. ...
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Chinese drop guarantees
Air China has made history as the first Chinese airline to finance most of a new aircraft purchase without a bank guarantee. But the chances that others will soon follow suit have diminished with a recent rating downgrade for non-sovereign Chinese debt. Pressure has been mounting on China's ...
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Home sales, closed ranks
The sale of stakes in three of Taiwan's larger domestic airlines in less than a month appears to be linked to Taipei's plan to open international routes to these airlines. EVA Air paid $13 million for 20 per cent of Great China Airlines and $18 million for 32 ...
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Suppliers in demand
What enlarged role could suppliers and manufacturers play as airlines look to outsourcing as a cost control mechanism? Kevin P Michaels and William D Angeloni of the Canaan Group explore the possibilities.Airline suppliers have already endured a tumultuous decade - order boom followed by order bust, complicated by the constant ...
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Not so easy
Where are the Southwests of Europe? As 1997 fast approaches, Sara Guild talks to the sole example, Ryanair, and looks at the difficulties of establishing the profitable low cost, low fare European airline. Tentative inquiries from the US are reaching the ears of would-be European airline companies. Two years away ...
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A question of give and take
Many airlines have become more demanding of marketing alliances and are now prepared to abandon bad agreements or switch partners to get the right benefits.To the untrained eye the level of alliance activity over the past year could seem rather subdued compared to the frenetic activity of previous years. Some ...
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Making it work
Though airline alliances will come and go in the years to come, this survey demonstrates that they will almost certainly remain a strong feature of the industry. Despite some significant deletions since last year, particularly in the realm of route specific cooperation, each time an agreement has died another partnership ...
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Weber wins Nordic prize
For SAS the search is over. But KLM now finds itself without any major European partner and is fast running out of available options. The Scandinavian flag carrier solved its European partner problem by forging close ties - but no equity swap - with Lufthansa. The alliance is ...
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Aloha
Mickey Cohen has been named senior vice-president of operations for Aloha Airlines of Hawaii. He was formerly vice-president of line maintenance for USAir and has also held positions with Pacific Southwest, Dalfort Aviation and Northrop. Randal Okita becomes director for internal audit. Okita, previously with Ikeda & Wong CPA, has ...
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Thai/SAS tie up
Scandinavian Airlines System (SAS) and Thai Airways International are to expand co-operation to include code-sharing and timetable co-ordination. This latest agreement follows SAS forming a strategic alliance with Lufthansa, which already has a similar tie-up deal with Thai. Source: Flight International
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BA profits soar but its alliances falter
Kevin O'Toole/LONDON BRITISH AIRWAYS HAS once more cruised to a record set of results, helped by a mix of premium-passenger growth and cost-cutting. The performance was marred only by continuing problems at alliance partners TAT and USAir. Group pre-tax profits were at a new high of ...
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Avro introduces maintenance and refurbishment services
Avro International, the British Aerospace regional-jets subsidiary, has begun offering maintenance and refurbishment services through its flight-test department at Woodford, UK. Under the Avrotec name, the company will initially offer support for the BAe146/Avro RJ series, but in the future it intends to extend its work to cover ...
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Maintenance-subsidies inquiry starts at EC
THE EUROPEAN Commission (EC) has launched an investigation into illegal state subsidies to Germany's Lemwerder airliner-maintenance operation. It has also promised a second inquiry to look at the Irish Government cash due to be injected into the troubled Shannon Aerospace venture. The Lemwerder aid dates back to 1993, ...
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Lufthansa and SAA in tie-up
Lufthansa and South African Airways (SAA) have agreed on an alliance to co-ordinate flight schedules and examine extending the co-operation to ground handling and, possibly, aircraft overhaul and acquisition. The deal, expected to come into effect early in 1996, ends speculation that SAA and British Airways were about ...
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US start-up leases three BAe 146s
TRISTAR AIRLINES, a new US start-up carrier, has leased three British Aerospace 146-200s for five years from BAe's Asset Management Organisation (AMO). The agreement, signed at the convention, allows TriStar to begin scheduled operations from mid-July. The airline plans an initial, nine daily scheduled flights from its ...
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Continental contracts for 25 Beech 1900Ds
CONTINENTAL EXPRESS has signed a $105 million contract with Raytheon Aircraft for 25 Beech 1900Ds. Initially, the 1900Ds will be operated by GP Express, flying as Continental Connection, until Continental Express concludes negotiations with its pilots, expected "within the next few weeks", according to the airline's president, Jonathan Ornstein. ...
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Australian judge rules out compulsory retirement at 60
AN AUSTRALIAN industrial-relations court, has overturned the compulsory retirements of two, 60-year-old Qantas captains. The judgement says that compulsory retirement should be replaced by a process of "individual screening of individual pilots, regardless of age." In supporting one (short-haul) captain's application, Chief Justice Wilcox found ...
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Air Inter strike continues
Julian Moxon/PARIS FRENCH PILOT unions are continuing to obstruct attempts to negotiate an end to the crippling series of strikes at Air Inter, which led, on 12 May, to the resignation of the president, Michel Bernard (Flight International, 15-23 May). Air France president Christian Blanc ...
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US airlines hold profit course
Kevin O'Toole/LONDON US AIRLINES continued their long haul back into profit during the first quarter, although news that Trans World Airlines is heading back into Chapter 11 bankruptcy protection sounds a warning note that the restructuring is not yet over. TWA says that it has ...