Strategy – Page 1127
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A breath of fresh air
After several wrong turnings on the bumpy alliance road, Sabena and Swissair are finally travelling together. In Brussels, Sabena chief executive Pierre Godfroid and alliance supremo Patrick du Bois discuss the prospects for the carrier with Trevor French.The irony is probably lost on Sabena chief executive Pierre Godfroid that almost ...
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Third party tussle
Despite excess capacity and reduced demand major carriers are returning to the third party maintenance & overhaul business as a key part of their maintenance and engineering strategies. By Steven Casley.In recent years third party maintenance organisations have been through a turbulent period of excess repair capacity, reduced carrier demand ...
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Rushing to compete
US and Canadian airlines have been rushing to fill the many gaps in the recently liberalised markets between the two countries. But opinions vary on which side will turn out to be the overall winner. Brian Dunn reports on the various strategies that exist in the newly created open ...
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Chilean combine
A restructured and profitable LanChile has finally taken control of its smaller rival Ladeco, securing access to substantial new markets. Sara Guild reports.Timing is everything. Certainly Sebastian Pinera would say so. The Chilean businessman and senator heads the company which in June sold 16.5 per cent of LanChile to take ...
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Boeing leads China battle
Senior Airbus officials have enlisted the backing of diplomats from several European nations in their efforts to stall confirmation of a $2 billion order for Boeing aircraft due to be placed by Air China. After months of negotiations with Boeing and Airbus, Air China decided in August that ...
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US problems brew in Asia
The Japan-US mini-deal may have skirted one impasse, but it is the first of several Asian bilaterals where US negotiators face renewed battles over capacity and fifth freedoms. Two rounds of China-US talks this year have made no progress on the question of allowing US carriers to fly ...
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Southern set for IPO first
China Southern Airlines is set to become the first Chinese airline to obtain a foreign stock exchange listing, although its initial public offering seems to be designed more to test the market than to raise capital. China Southern has taken the big step of filing its draft registration ...
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Dragon sale to calm fears
Senior managers at Cathay Pacific are still fighting to prevent the China National Aviation Corporation (CNAC) from invading their home turf. The latest gambit is to offer the potential rival a stake in regional carrier Dragonair, but there are doubts whether this tactic will curb the Chinese operator's ambitions. ...
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Kiwi sold on Murphy's law
The traditionally difficult winter season could prove especially challenging for troubled US minnow Kiwi International. In August, the Newark-based carrier installed its fourth chief executive in seven months, and its competitive position in the eastern US is under threat from Southwest's planned entry into Florida. But CEO Jerry ...
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Latins can look to a brighter future
South America's airlines are entering a new phase of alliances and cooperationThe realignment of the Latin American airline business is gathering pace. Chile's antimonopolies board has finally decided to permit LanChile to acquire Ladeco. Enjoying the fruits of a remarkable financial turnaround, Vasp of Brazil is acquiring Ecuatoriana and bidding ...
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Blanc rejigs his top team
Air France chairman Christian Blanc is putting pressure on flight attendants to accept a two-tier pay structure. The latest bid to cut costs follows a management reshuffle at the end of August. Blanc has commissioned a study by Munich-based consultants Roland, Berger and Partner which shows that cabin ...
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KLM builds with caution
KLM's recent agreements with Garuda Indonesia and Jet Airways in India reflect a wariness by the Dutch carrier over the future development of the industry in Asia-Pacific, but in Europe the carrier is still lacking a major partner. As parts of Asia like Thailand and Vietnam develop rapidly ...
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More blues in St Louis
After emerging from Chapter 11 for the second time in three years, TWA's management may have left the immediate crisis behind but there are still plenty of problems that need fixing. TWA came out of bankruptcy protection in late August with a prepackaged restructuring that erased $500 million in debt. ...
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Team tactics
International joint ventures pave the way for an expansion of the maintenance market in China. Paul Lewis/BEIJING/GUANGZHOU/XIAMEN A WORLDWIDE OVERCAPACITY in aircraft maintenance and overhaul has left many companies struggling under the weight of intense competition and uneconomical work rates. This gloomy global picture, however, has not ...
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FSI/Embry co-operate on training centre
FLIGHTSAFETY International (FSI) and Embry-Riddle Aeronautical University are to establish an airline flight-training centre at the university's Daytona Beach, Florida, campus, to be operational by the end on 1996. FSI has agreed to equip the centre, which is to be built by Embry-Riddle, with two Level D full-flight ...
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AlliedSignal develops GPWS for GA aircraft
Guy Norris/WICHITA A LOW-COST TERRAIN-warning system for single-engine general-aviation (GA) aircraft is being developed by AlliedSignal and will be available from around April 1996. The development of the terrain-warning system (TWS) was prompted by the re-emergence of Cessna's light-single product line. "Cessna's going back into ...
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Greenwald blames bilaterals for strangling industry
Kevin O'Toole/LONDON UNITED AIRLINES (UAL) chairman Gerald Greenwald has launched one of the most scathing attacks yet on the system of bilateral air agreements, including among his main targets the slow progress being made on UK-US liberalisation. "What we have now is a kind of ...
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New identity for Skyways
A NEW CORPORATE identity has been adopted by Swedish airline Skyways. Based at Linkoping, the airline has grown in the past two years to become the country's third-biggest airline, expecting to carry 420,000 passengers in 1995, giving it a 9% share of a still-declining domestic market. Its expansion ...
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Lufthansa spends $1 billion
LUFTHANSA HAS authorised the acquisition of 18 aircraft at a total cost of DM1.7 billion ($1.14 billion). The purchase will be financed from its own resources. Four additional Boeing 747-400s and one Airbus A340 will be bought to strengthen the long-haul fleet in 1997. One of the 747-400s ...
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America West prepares for surge
AMERICA WEST Airlines plans substantial growth at its Phoenix and Las Vegas hubs over the next two years. The airline plans to increase capacity by 29% and departures by 17%, and to add at least eight cities to its route network. America West says that it plans to ...