All Strategy articles – Page 1055
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Pilots kill Delta pact with United
Delta Air Lines and United Airlines have scaled back plans for a virtual merger after the withdrawal of support from Delta's pilots. The failure of this, the largest of the proposed US domestic mergers, raises doubts over the extent to which the other US carriers will pursue alliance plans. ...
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Hercules ends Fine merger
Fine Air and Southern Air Transport have scrubbed merger plans after failing to agree what to do with Southern's Lockheed L-1011 Hercules. The two US second-tier cargo carriers will go their separate ways, even though Miami-based Fine wants to expand its Latin American and Caribbean network. Fine was interested ...
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Swiss face testing times
Swissair certainly has its plate full. While the carrier is making forays into neighbouring Italy competition from lower cost operators is growing at home. After a string of false starts, Swiss World Airways (SWA) has got off the ground at Geneva, following Swissair's decision 16 months ago to move ...
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flexing Muscles
When airline executives dreamed up alliances, some might have imagined that regulatorary approval would be a tough nut to crack, but did they sufficiently weigh up the labour factor? Union cooperation in the formation and development of airline alliances is proving to be crucial. Already, cross-alliance union groups are emerging ...
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Hub wars
The big five US interior airports are fighting it out to become the top international gateway in the heart of North America. Patterns of international air service to and from the US are changing. A cluster of airports tucked well inside the continental US are starting to win significant ...
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The price of peace
Airbus and Boeing kicked off the Farnborough air show with modest price rises, giving the first signs of a truce in the cut-throat battle for market share After years of undignified acrimony it seems that the feuding could finally be over. As the aerospace world gathered for the Farnborough air ...
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playing the Smartcard
A revolution is underway in the world of smart card and tag technology, which airports and airlines are only just beginning to exploit. Dr Peter Harrop argues for the gains to be made As the air transport industry makes its way towards the new millenium, it continues to wrestle with ...
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The rouble plays Russian roulette
First it was the crisis in South East Asia. Now it is meltdown in Russia's financial system that is spreading panic in global markets. The lesson from Asia is that what may start with currency collapse swiftly and inevitably translates into damage for the real economy of production, output and ...
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Not United
United Airlines veteran James Goodwin has been named president and chief operating officer of parent company UAL, replacing John Edwardson, who has resigned. Goodwin was previously senior vice-president, North America. Edwardson resigned after unions made it clear they would oppose his appointment as chief executive. Edwardson was favoured to replace ...
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Iberia to double A340 fleet
Max Kingsley Jones/LONDONIberia is planning to boost its Airbus A340 fleet to almost 20 aircraft, with a deal for up to 11 additional examples of the four-engined long-range airliner. Xabier de Irala, president of Iberia, has signed a memorandum of understanding for six firm orders, plus five options. The airline ...
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Saudi Arabian studies 717 for regional services
Saudi Arabian Airlines is focusing attention on its short- haul regional requirements, with the Boeing 717 reportedly under serious consideration. The airline began a fleet renewal process late last year which will see 29 Boeing MD-90s, five Boeing 747-400s and 23 777-200s introduced through to 2001. The airline originally ...
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Air Littoral set for development after SAir Group takes stake
Julian Moxon/PARISThe SAir Group has taken a 44% stake in French regional airline Air Littoral, giving it an entry into the south of France market and meeting the loss-making carrier's need for recapitalisation and development funding. The move came after speculation that another French independent, Britair, was in line to ...
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Focus falls on solo airlines after tie-ups
With British Airways and American Airlines having confirmed their move to counter the Star Alliance - with the five-airline "oneworld" alliance - attention is now turning to potential responses by major airlines which have not yet committed to one of the global blocks. The oneworld link, formally unveiled in ...
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Sun Air shareholders reject Comair merger
Hilka Birns/CAPE TOWN Shareholders at Sun Air have decided against a merger with rival South African carrier, Comair, which already owns 25% of the recently privatised state-owned airline. Sun Air's major shareholder, the Rethabile black empowerment group, says it is unwilling to relinquish its foothold in the airline ...
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JAL plans cost cuts in bid to curb losses
Japan Airlines (JAL) is to step up cost cutting efforts in a bid to improve a financial performance which saw group losses reach ´94.2 billion ($710 million) in the year to the end of March. The group is adding further measures to reduce costs by 10% - a ´100 ...
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Boeing/Flight Safety head for training take-off
Boeing and FlightSafety International (FSI), parent companies of global airline-training joint venture FlightSafety Boeing (FSB) Training International, say phase one of the start-up initiative will be completed in January 1999. The milestone will be marked by the transition of the former FSI training centre at Kunming, China, to FSB ...
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PAL collapse causes new chaos
Paul Lewis/SINGAPORE The almost unprecedented demise of Philippine Airlines (PAL) has left the country's domestic carriers scrambling to find additional capacity to fill the void, while creditors and bargain hunters are beating a path to Manila to pick over the bones of the defunct flag carrier. The decision ...
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TEA eases into schedules as it prepares for identity change
Andrzej Jeziorski/MUNICH TEA Switzerland is to begin scheduled operations in November in the run up to its withdrawal from the charter market and a change of identity to become easyJet Switzerland. The change will also see the disposal of its Boeing 737-400, and the addition of four new 737-300s from ...
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Low cost maintenance
FLS Aerospace has secured its second big low-cost airline maintenance contract this year with a deal to support UK carrier easyJet. In April the London Stansted-based maintenance company won a similar contract with British Airways low-cost carrier Go covering total support, from line maintenance through to heavy maintenance checks. Monarch ...
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EC will gain a limited mandate for US open skies negotiations
Alan George/BRUSSELS European transport ministers meeting in Luxembourg on 1 October are expected to agree a limited mandate for the European Commission (EC) to negotiate air services agreements with the USA and other states on behalf of European Union (EU) members. The decision should help defuse a potentially ...