Strategy – Page 1082
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Air France Europe shuttle makes good
Air France subsidiary Air France Europe, reports a "successful" first month's operations with its new high-frequency shuttle service between Paris/Orly and Marseille, Nice and Toulouse. The airline introduced the services in October in response to increased competition from independent carriers, even though one, Air Liberté, has since gone ...
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How long can profits last
After a good 1995, US airlines are, with some exceptions, moving towards an even better profit picture this year. And well it should be. If not now, one would have to ask: When? As the year of the 10 per cent ticket-tax boost draws to a close, and ...
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ESOP reflects a united front
In his Dateline Washington column on United's Esop (Airline Business, October), Mead Jennings arrives at erroneous conclusions based on what can only be described as misinformation. Allow me to put the record straight. * United's Esop structure is unique in business history in that it contains a sunset ...
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Aircraft news
TAP Air Portugal has ordered 18 Airbus A319s and taken an option on eight more, for delivery between December 1997 and June 2000, as part of its decision to become an all- Airbus operator. Cathay Pacific is ordering three more A340-300s. Dragonair will purchase two A320s, with options on five ...
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Taesa tamed
The peso's crash halted Taesa's assault on the two incumbents. But with fortunes reviving, will Mexico's third airline bare its teeth again. Before 'La Crisis', Taesa Airlines terrorised Mexico's two major carriers. With lower-than-bus fare prices, it captured a quarter of Mexico's domestic traffic in its first two years of ...
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Iaca calls for even charter
European charter carriers are flexing their muscle in a bid to lower airport charges at Amsterdam/Schiphol, while the resolution of a spat between two of the largest operators could open the way for any European Union charter operator to serve third countries from anywhere in the single market. ...
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Geneva set to fight back
Stung by Swissair's withdrawal of most longhaul flights, Geneva airport is fighting to attract replacement traffic by cutting landing fees and offering fifth freedom traffic rights, and says several Geneva-based startup carriers are in the planning stage. The airport will cut all landing fees by 10 per cent ...
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Gulf Air split on horizon
Gulf Air may be on the verge of break-up amid suggestions that the emirate of Abu Dhabi is preparing to take control of the airline, perhaps within the first half of 1997. Abu Dhabi has a 25 per cent stake in the carrier and, as the richest of ...
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Japan replies to US efforts
US efforts to establish open skies agreements with Asia have received a lukewarm response from key targets South Korea and Taiwan at the same time as Japan is forging ahead with its own brand of Asian open skies. A US Department of Transportation task force toured Asia during ...
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KLM bows to cost targets
KLM Royal Dutch Airlines has reacted to British Airways' high-profile attempt to slash its operating costs by calling for a wholesale structural change in the airline or face downsizing. KLM president Pieter Bouw has reversed his policy of avoiding headline targets by announcing plans to improve its operating ...
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Hubbing power
Delegates at the Airline Business/ ASM Routes '97 meeting in Abu Dhabi were given the chance to review the latest developments in the Amsterdam-based network operated by KLM and its partners. Richard Whitaker reports. Codesharing has enabled KLM to increase the city-pairs it offers ninefold in six years, according to ...
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Why such a Roman drama?
I should like to raise a few points concerning the article 'Renaissance or Rigor Mortis' (Airline Business, November). I am surprised that such an important article is based upon information from sources which I would define as inappropriate - namely a former chairman of Alitalia ousted by the ...
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Amwest slow to fix things
America West Airlines has again illustrated the cost of fast growth. While other US airlines enjoyed an average increase of 22 per cent in third quarter net profits, the Phoenix-based carrier returned a $53 million operating loss at the same time as it happens to be the only US carrier ...
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Canadian has one last go
Canadian Airlines International has unveiled a three-pronged business plan designed to return the struggling carrier to profit by the first quarter of 1997 in a last ditch survival bid. The plan includes a 10 per cent pay cut across the company, a review of overheads - including fees ...
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Airline News
British Airways has increased services from London/Heathrow to Johannesburg to 13 flights per week and added two weekly services to Singapore and a third to Beijing. BAalso has increased frequencies from Heathrow to Geneva, Milan, Mexico City, Barbados, Tehran, Jakarta. BA's flights to Oporto have transferred from Heathrow ...
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Why Concert deal should ring a bell
It may only be a matter of time before cross-border airline mergers are allowed. UK carrier in $33 billion US takeover, says the newspaper headline. Britain's leading carrier is to acquire 100 per cent ownership of its US alliance partner. The newly merged company will be domiciled in the UK ...
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French court US twosome
Air France, once in danger of being left behind in the scramble for a US partner, is now seeing double with letters of intent for broad cooperation with both Delta Air Lines and Continental Airlines. The move was followed by swift denials from Swissair that its link with Delta was ...
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BA wins Air Liberte brawl
British Airways has dealt a further blow to Gallic pride by winning the battle to take over insolvent Air Liberté, thereby strengthening BA's position in the French market. The commercial tribunal in Creteil opted for BA's recovery plan for Air Liberté over a rival bid from Virgin Express. ...
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Commercial magnetism
Airports Many of Europe's airports are learning to think like commercial enterprises. Their experiences provide valuable lessons for all airports globally. By David Feldman. Europe's airports form a big business. They generate US$13 billion in revenues annually, and the largest are complex enterprises encompassing a broad spectrum of activities centred ...
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Asia takes a lead
Asian airports led the way in traffic growth in 1995 and the first half of 1996, as most major airports worldwide benefited from steady airline traffic growth. A less pronounced increase in airport movements, however, indicates more efficient use of aircraft as congestion makes its mark. Financially, general airline recovery ...