Archive for March, 2009
The Dutch authorities have decided to remove the country’s flight tax. The move comes over concerns that the tax has lost the country 900,000 tourists over the last year who opted to use cheaper airports in Germany and Belgium.
Experiencing hard times due to harsh economic strains, Dutch government decided to scrap the flight tax (starting from July first) in order to stimulate tourism. The new move is expected to provide some 1.3 billion euros for the Netherlands. Read the rest of this entry »
The White House announced that Randolph “Randy” Babbitt, a second-generation pilot-union leader turned aviation consultant, will be nominated to head the Federal Aviation Administration, at a time of turmoil for the agency as well as the airlines it regulates.
A former labor activist versed in the politics and economics of the industry, Mr. Babbitt’s union credentials stretch back to the bitter employee-management battles that helped bring down Eastern Airlines decades ago. Mr. Babbitt, 62, served two terms as head of the country’s largest commercial-pilot union during the 1990s, before becoming an aviation industry consultant and serving on various government panels. Read the rest of this entry »
In a bad week for aviation, the International Air Transport Association has piled on further pressure by publishing its figures for February which show a 22 percent slump in freight and 10 percent fall in passenger volumes, compared to the same period last year.
However the global aviation body did offer a glimmer of hope by predicting that the recent run of declines may have hit the bottom. Read the rest of this entry »
Air France-KLM Group, Europe’s biggest airline, said it will report a loss for the year ending March 31 and is unlikely to post a profit in the following 12 months as the recession crimps demand for travel.
Air France will probably suffer an operating loss of 200 million euros ($271 million) this fiscal year, it said in a statement today. The Paris-based company had predicted a positive operating profit as recently as Feb. 13. Read the rest of this entry »
From checked luggage to in-flight food service and everything in between, travelers have been forced to pay extra for the ‘extras’ when flying. But if you’re hoping those fees where a fleeting moment, think again.
The reality is that those little extra airline fees resulted in millions of dollars of revenue for airlines, and at little stress to the traveler, according to airline executives. Read the rest of this entry »
The economic picture is grim. But some may turn a small profit.
Despite all the grim economic news, the American airline industry remains cautiously optimistic it will make it through 2009 without a bailout or major bankruptcies.
A few carriers may even make a profit, if only a small one.
The reason: Most major airlines have been in economic-crisis mode almost nonstop since 9/11, which has forced them to become leaner, more efficient operations and thus, more resilient during this downturn. Read the rest of this entry »
Delta Air Lines is expanding in-flight wireless Internet access and looking to bring more benefits to frequent flyers as it completes the integration of Northwest Airlines.
Tim Mapes, senior vice president of marketing, said the carrier’s advertising will assert the global reach of Delta more boldly as the Northwest name is phased out by the end of 2010. Read the rest of this entry »
The world’s economic slowdown has reduced your odds of losing a bag the next time you fly, SITA said on Wednesday.
SITA, a network of airlines, airports, freight companies and computer reservation systems, said that 10 million fewer checked-in bags were mishandled in 2008 than the year before and estimated that the improvement saved airlines USD$800 million over the year. Read the rest of this entry »
Air France KLM yesterday announced that it completed the acquisition of a 25% stake in Alitalia through a reserved share subscription worth approximately €323 million ($439.1 million). Its partnership with the restructured Italian carrier was announced in January but required approval from competition authorities. At that time, AZ said AF KLM would be entitled to nominate three of the 19 members of the board and two members of the executive committee. AF KLM said yesterday that the stake grants it “greater access to the Italian market thanks to Alitalia which, following its acquisition of Air One, has reinforced its position on the domestic market.”
(ATW)
Federal inspectors will soon begin poring over American Airlines maintenance records, manuals and other documents as part of a lengthy review of safety at the Fort Worth-based carrier’s operations.
The audit will begin next month, said American spokesman Tim Wagner. It will primarily involve a detailed review of safety data, including evaluation of maintenance and flight manuals, records and other documents, rather than inspections of airplanes, said Alison Duquette, a spokeswoman for the Federal Aviation Administration. Read the rest of this entry »