All Strategy news – Page 1120
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News
Asia next for BA franchise
British Airways has signalled that it will expand its network in Asia through an expansion of its franchise portfolio rather than a broader alliance with a major carrier in the region. But there remain doubts as to whether airlines in the region are sufficiently developed to meet BA's requirements. ...
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AA rebuff on code swap
American Airlines has seen its first attempt to test the boundaries of last year's US-Canada open skies agreement rebuffed by authorities on both sides of the border. American had applied to transfer Northwest's spare Detroit-Vancouver frequencies to Chicago, with the service to be operated by its alliance partner ...
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Cathay not in dire straits
As the manoeuvring over direct cross-straits flights continues between Beijing and Taipei, Cathay Pacific denies direct flights will damage its business as speculation grows that the transfer of Hong Kong's sovereignty to China next July will emerge as the watershed for links. That view is shared by Cathay ...
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China set for double sale
The long-awaited equity issues by China Southern and China Eastern appear to be finally moving closer following positive signals from the CAAC. Meanwhile foreign investors may purchase stakes in a Chinese regional airline and airport. Shen Yuankang, the CAAC's vice minister for general administration, says China Eastern shares ...
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China set to push MD-90?
Airlines and aircraft manufacturers are holding their collective breath while they wait for the Civil Aviation Administration of China to release its five year plan, as signs emerge of internal opposition to further orders for Boeing aircraft in an attempt to boost sales of Chinese-built MD-90s. The plan, ...
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Asia crowds Express way
China's selection of its Asian Express partners has done nothing to cool the ardour of other Asian manufacturers to pursue regional jet projects. Indonesia is proceeding independently, but elsewhere in Asia a new dating game is underway to find suitors for three proposed programmes. The focus again is ...
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Cartel study may spread
Lufthansa faces a serious challenge to its remaining domestic monopoly routes as German antitrust regulators threaten to widen their investigation into the carrier's pricing practices. The move comes as management attempts to secure further cost savings in a new pay round with unions. Lufthansa already faces sanctions from ...
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Austrian hub hits earnings
Rumours abound about the future of Austrian Airlines' management as the carrier's losses continue to mount, dragged down by a flawed Vienna hub and an ineffective alliance strategy. Austrian firmly refutes suggestions in the local press that co-chairmen Herbert Bammer and Mario Rehulka will be replaced in the ...
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Control is key to future success
Running an airline is becoming yet more complicated. Can managers manage? What will be the biggest managerial challenge faced by airline chiefs in years to come? There are many candidates: marketing in a deregulated environment; cost cutting; attracting new business; finding new markets; alliances; managing union relationships. But the biggest ...
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Balkan banks on cash crop
Balkan Bulgarian Airlines is seeking to bolster its unprofitable operations by exchanging part of its western fleet for new aircraft in an attempt to source cash from financiers and lessors. The airline has had preliminary discussion with financiers and lessors about acquiring up to six B737s to add ...
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TAM's distant Lapsa link
Call it ownership once removed. The Brazilian domestic carrier TAM has signed a $40 million management contract to run the Paraguayan flag carrier, Lapsa. But while the deal gives TAM access to international routes it will not co-brand the operation in order to protect its own image. TAM ...
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Capital cost of noise gag
The UK government has angered longhaul operators by imposing stringent noise limits at all three London airports, which will severely discriminate against B747 operators, including Stage 3 B747-400s. The limits imposed by the UK Department of Transport will reduce noise levels out of Heathrow, Gatwick and Stansted by ...
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Virgin to stir price action?
Virgin Express' unofficial complaint of predatory pricing by SAS has added to the pressure on the European Commission to take action in this area with three cases from small carriers pending. Virgin is basing its allegations on SAS' decision to cut fares on Copenhagen-Brussels by 52 per cent ...
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FAA may hike startup cost
These are expensive times for startup carriers in the US. The Federal Aviation Administration has added to existing financial concerns, created by the drying up of capital and public mistrust, with proposals that would raise the cost of government scrutiny. The FAA remains stung by criticism of its ...
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Air France
National carrier Air France has appointed Anne Veyssi, cargo general manager for the UK and Ireland. Veyssi,, who has been with Air France Cargo since 1988, succeeds Bernard Frattini, who becomes cargo general manager for North America, based in New York. Source: Flight International
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IATA
The safety committee of the International Air Transport Association (IATA) has appointed Lufthansa Capt Thomas Baberg as its new chairman. Baberg, deputy chairman since 1994, takes over from Finnair's Seppo Kirjonen. Baberg, a Boeing 747-400 pilot, is responsible for flight safety within the Lufthansa group and manages and monitors the ...
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Earning its upkeep
Guy Norris/LOS ANGELES Max Kingsley-Jones/LONDON THE BOEING 777 WAS launched into revenue operations on 7 June, 1995, with United Airlines, when the US airline began to operate its first Pratt & Whitney PW4000-powered aircraft between London Heathrow and Washington DC. For several months United was the sole 777 ...
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Crandall forecasts UK-US fares battle
Max Kingsley-Jones/LONDON AMERICAN AIRLINES chairman Bob Crandall expects all five major rival US carriers to compete with the British Airways/ American alliance at Heathrow if the deal goes ahead. The American boss is forecasting a fares war across the Atlantic as capacity outstrips demand in the wake ...
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Koreans fail to agree on Pyongyang
A RECENT MEETING of the International Civil Aviation Organisation (ICAO) has failed to resolve differences between South and North Korea over the planned opening up of the Pyongyang Flight Information Region (FIR). According to ICAO, "-some progress was made", during the meeting in Bangkok between representatives from China, ...
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Sabena agrees cost-reduction deal with unions
SABENA HAS reached agreement with its three main unions over the implementation of key parts of the airline's Horizon 98 cost-reduction plan. The scheme, proposed by Sabena president Paul Reutlinger, differs little from the one proposed by his predecessor Pierre Godfroid, who was forced to resign in the ...