Strategy – Page 944
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In brief, International
Freight merger Lufthansa and Deutsche Post are looking at a pooling of their logistics operations which could see DHL International, Lufthansa Cargo and Air Express International brought under a single structure. The German post giant and Lufthansa each have a 25%stake in express delivery specialist DHL International, while Deutsche ...
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Continental doubles order for regionals
US regional Continental Express opened Asian Aerospace 2000 with a new order for 100 Embraer regional jets, doubling the number of small jets it has on firm order. The $1.8 billion deal takes Continental Express' total confirmed orders for ERJ-145s and 135s to 200. It will continue to take ...
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Air Canada tightens grip on Canadian
David Knibb Seattle Canadian Airlines is disappearing as an independent company as Air Canada proceeds to convert it into a wholly owned subsidiary under a new management team and brand. Air Canada has appointed Paul Farrar, a restructuring specialist, as Canadian's new chairman. Paul Brotto becomes chief operating officer. ...
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Domestic fares fall as Japan deregulates
NICHOLAS IONIDES ATI SINGAPORE Japan's major carriers are to introduce new discount fares for domestic travel from April following a revision to Japanese aviation laws. The changes to aviation laws were made official on 1 February, when the current approval system for domestic fares was replaced with a filing ...
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Indian Airlines stake attracts interest
RAVI PRASAD NEW DELHI The Indian Government's latest plans to sell an equity stake in Indian Airlines this year has drawn interest from major Indian corporations. These include Sahara Group of Industries, parent company of Sahara Airlines; the Tata Group, which had planned to launch an airline in a joint ...
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BA underscores its African presence
ROGER MAKINGS JOHANNESBURG British Airways and its oneworld alliance could be about to strengthen its challenge in sub-Saharan African, following the UK carrier's decision to buy into regional partner Comair. BA plans to take an 18% stake, worth around R168 million ($28 million) in Johannesburg-based Comair, which signed as a ...
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Raising the meal ticket
DENNIS BLANK ORLANDO After a lean few years in which US majors slashed catering costs, feeding passengers is back on the menu in the hope that a decent meal will win back customers Spending on onboard food service by the major US carriers is up and the trend is expected ...
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Out of the blue
CAROLE SHIFRIN NEW YORK New York's new start-up carrier gets off the ground, boasting an impressive management team, some attention-grabbing innovations and a sizeable sum of money. Does it also have staying power? David Neeleman, the 40-year-old founder and chief executive of JetBlue Airways, exudes confidence that the newest low-fare ...
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KLM pushes Alitalia on Malpensa
KLM chief financial officer Rob Abrahamsen has given alliance partner Alitalia three months to complete its long-planned move from Milan's Linate Airport to its new Malpensa hub. Should Alitalia fail to meet the deadline, KLM could dissolve the alliance between the two carriers. Alitalia originally told the Italian Government ...
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Routes, Europe
Eight more for Ryanair Low-cost airline Ryanair has announced eight new services from this summer - seven from Stansted and one from Prestwick. The Stansted routes include twice-daily services to Hamburg and Nimes and a daily connection to Perpignan from June. The following month will see a significant increase ...
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ANZ takes control of Ansett Australia
DAVID KNIBB SEATTLE Ansett Australia has finally become a wholly owned subsidiary of Air New Zealand (ANZ) following agreement by News Corporation to sell its half share. ANZ will acquire the half interest in Ansett that it blocked Singapore Airlines (SIA) from buying last year. The New Zealand ...
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Virgin's Brisbane choice revives terminal debate
Virgin Australia's selection of Brisbane as its operations centre raises questions about the airline's strategy and revives the debate over airport terminal access. Brisbane is the smallest of Australia's three big cities and it handles the smallest share of their air traffic. Statistics show that 51% of all domestic ...
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Air France develops hub and invests in regionals
ANNIE REDMILE PARIS COLIN BAKER LONDON Air France plans to take advantage of capacity restraints at rival European hubs with an expansion of Paris Charles de Gaulle (CDG). It has also been busy investing in regional airlines which will feed traffic into the airport. Over the past ...
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...and plans to end commissions
ANNIE REDMILE LONDON Plans by British Airways to axe a new travel agency bonus scheme and pay transaction fees instead of commission from next January has damaged a fragile relationship with the UK travel trade and may have repercussions across Europe. According to Sandy McPherson, chairman of the Association ...
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SAirGroup buys 39% of TAP Air Portugal
BARRY CROSS LONDON Following months of delay, the SAirGroup has finally purchased a stake in financially troubled Portuguese flag carrier TAP Air Portugal. The size of SAir's holding - 39% - is much larger than the previously mooted 20% stake that the Swiss negotiated in the summer, reflecting the parlous ...
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Maverick in Brazil
BRIAN HOMEWOOD RIO DE JANEIRO TAM has grown out of its regional status to become Brazil's second biggest airline. Its chief executive wants greater competition, although not an open skies deal with the USA. Every weekday morning between 06.00 and 07.00, TAM president Rolim Amaro can be found on ...
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Northwest adds new fare
Jane Levere New York Northwest Airlines is gambling on attracting a larger share of the US business traveller market by creating a new type of discounted advance purchase fare that does not include overnight an Saturday stay requirement. The new tariff, available only on US and Canadian routes, features ...
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Legend take-off renews Love battle
CAROLE SHIFRIN WASHINGTON DC Legend Airlines, a new business-traveller oriented airline, has been cleared for take-off by a US Circuit Court of Appeals after a two-year wrangle over its plan to operate from restricted Dallas Love Field. The carrier's services, which will bring long-haul scheduled flights to Love ...
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Drafting a new contract
TOM GILL LONDON Europe is rapidly catching up with the USA with its own passenger rights proposals First it was the turn of US politicians to get fired up about passenger rights. In fact, it looks as though the major US carriers have pre-empted that initiative with ...
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UK all-cargo carrier grows with more 747s
Max Kinglsey-Jones/LONDON Airfreight Express (AFX), the UK's latest all-cargo carrier, is gearing up for expansion as it prepares to triple its Boeing 747 freighter fleet. The London Heathrow-based carrier launched operations last September following the receipt of its air operator's certificate. It is operating a single weekly scheduled trip ...