Airline Finance News - Asia / Pacific.For more airline finance news, data and analysis, please go to: http://www.airguideonline.com/professional.htm Aug 21, 2006 Air China Air China Set For Lukewarm Launch. Air China is set to receive a lukewarm reception when it lists in Shanghai on Friday, dogged by concern about the airline industry and weakness in its Hong Kong Hong Kong (hŏng kŏng), Mandarin Xianggang, special administrative region of China, formerly a British crown colony (2005 est. pop. 6,899,000), land area 422 sq mi (1,092 sq km), adjacent to Guangdong prov. H-shares. The airline, one of Shanghai's high-profile listings this year, should avoid falling below its domestic IPO (Initial Public Offering) The first time a company offers shares of stock to the public. While not a computer term per se, many founders, employees and insiders of computer companies have found this acronym more exciting than any tech term they ever heard. price of 2.80 yuan on its debut, analysts said. Some even predict a first-day rise of several percent. But, to ensure its initial public offer went ahead, Air China reduced its offer by nearly 40 percent to USD USD In currencies, this is the abbreviation for the U.S. Dollar. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. $575 million and pledged to buy back up to 600 million shares if they fall below the IPO price by the year-end. Aug 17, 2006 Cathay Pacific Cathay Pacific Airways Limited (HKSE: 0293 ) is an airline based in Hong Kong, operating scheduled passenger and cargo services to over 104 destinations worldwide. It is the flag carrier of Hong Kong with its main base at the Hong Kong International Airport. [1]. Airways Cathay Pacific Airways flew 6.43 billion RPKs in July, a 7.4% increase over the year-ago month. Capacity rose 6.6% to 7.59 billion ASKs, lifting load factor 0.6 point to 84.6%. Aug 15, 2006 China Southern Airlines China Southern Airlines (中国南方航空公司) (SEHK: 1055, NYSE: ZNH) is an airline based in Guangzhou in the Guangdong province of the People's Republic of China. China Southern Airlines remained in the red during the first half of this year as surging fuel costs squeezed margins. China Southern Airlines reported a CNY CNY In currencies, this is the abbreviation for the China Renminbi. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 784 million ($98 million) net loss for the first half of 2006, narrowed from a CNY964 million loss in the first half of 2006. "As jet fuel prices kept rising and the interest rates of US dollar-denominated loans climbed up during the period, the cost pressure that [China Southern] faced in its business operations Business operations are those activities involved in the running of a business for the purpose of producing value for the stakeholders. Compare business processes. The outcome of business operations is the harvesting of value from assets did not ease, resulting in a net loss," the airline said. Revenues increased 15.7% to CNY20.6 billion as expenses climbed 13.7% to CNY20.8 billion, producing an operating loss operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. of CNY243 million for the six months, narrowed from a CNY416 million operating loss last year. China Southern did carry 12% more passengers during the period and said the "favorable macroeconomic mac·ro·ec·o·nom·ics n. (used with a sing. verb) The study of the overall aspects and workings of a national economy, such as income, output, and the interrelationship among diverse economic sectors. environment" in China portends well for its future. It added that "the most difficult time of an enterprise is also a special time of which it can take advantage for reorganizing and strengthening itself" and promised "to maintain a strict control on its costs" going forward. Aug 18, 2006 Dragonair Dragonair flew an all-time record 519,449 passengers in July but said its "bottom line continued to suffer" due to high fuel costs and low yields, which are expected to continue. "The low yields are the result of a more competitive market due to airlines putting on more capacity, both passenger and all-cargo, on China Mainland routes," CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. Stanley Hui said. Dragonair flew 666.6 million RPKs in July, up 14.5% over the year-ago month. Capacity climbed 3.7% to 929.5 million ASKs. Aug 16, 2006 Garuda Indonesia PT (Persero) Perusahaan Penerbangan Garuda Indonesia, abbreviated to Garuda Indonesia, is the national airline of Indonesia. It is named after the mythical bird Garuda. In Indian Vedic tradition, Garuda is the carrier of the Hindu god Vishnu. , Merpati Nusantara Airlines Merpati Nusantara Airlines is an airline based in Jakarta, Indonesia. It is a major domestic airline operating scheduled services to more than 25 destinations in Indonesia, as well as scheduled international services to East Timor and Malaysia. Indonesian government is throwing state-owned Garuda Indonesia and Merpati Nusantara Airlines a lifeline as both carriers battle soaring fuel prices and newer, more efficient LCCs. According to Bisnis Indonesia, Garuda is to get IDR IDR In currencies, this is the abbreviation for the Indonesian Rupiah. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 1 trillion ($110.1 million) and Merpati IDR450 million to assist with restructuring efforts. The Garuda bailout is not linked to its efforts to reschedule re·sched·ule tr.v. re·sched·uled, re·sched·ul·ing, re·sched·ules To schedule again or anew: rescheduled the meeting for the following week; rescheduled the debts of many developing nations. $500 million still owed to the European Export Credit Agency Export Credit Agency An agency established by a country to finance its nation's goods, investment, and services, often offers political risk insurance. . Garuda's total debts top $800 million and its management plans to sell off assets including five DC-10s. Last month it announced plans to float 37.50% by 2010. Aug 16, 2006 Hainan Airlines Higher passenger and cargo volumes helped China's Hainan Airlines double profits in the first half of 2006, despite higher jet fuel costs. The carrier saw net profit double in the first half of the year to CNY20.8 million yuan (USD$2.6 million). Revenue rose 26 percent to CNY5.7 billion (USD$714.7 million), it said on Saturday. In the second quarter, profit rose to CNY8.71 million (USD$1.1 million), compared with a loss of CNY3.41 million (USD$427,500) in the second quarter last year due to a surge in jet fuel prices. During the first half, passenger volume increased nearly 16 percent, mail volume rose almost 21 percent and total cargo volume climbed 20 percent, Hainan Airlines said. But it cautioned that jet fuel prices had risen 14.42 percent by the end of June compared with the beginning of the year, adding that the increased cost had clipped profitability. Hainan Airlines in June raised USD$700 million in a share sale to finance a major fleet expansion that will help it challenge bigger domestic rivals in a fast-growing air travel sector. The private placement gave control of Hainan Airlines to Grand China Airlines Holdings, a provincial government investment arm, which replaced financier George Soros George Soros Born in Budapest, Hungary, in 1930, George Soros is considered by many to be one of the world's greatest investors. A famous hedge fund manager, Soros managed the Quantum Fund, a fund that achieved an average annual return of 30% from 1970-2000. as Hainan's biggest shareholder. Aug 20, 2006 Jet Airways Jet Airways and Air Sahara planned merger, which collapsed in June, appears to be back on the runway, according to India's Economic Times. The newspaper reported that sources at both airlines maintain the deal is making progress. The carriers have sparred in court over the fate of a INR INR In currencies, this is the abbreviation for the Indian Rupee. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 5 billion ($107.2 million) escrow account tied to Jet's aborted acquisition of its rival. Aug 16, 2006 Philippine Airlines Baguio Gold To Acquire Philippine Airlines. Philippine holding firm Baguio Gold Holdings said on Thursday it would acquire six companies jointly holding 81.57 percent of its sister firm Philippine Airlines (PAL), the country's flag carrier. Aug 17, 2006 Qantas Changes ahead at Qantas after profit plunge; A380 payment revealed. Qantas Group blamed an additional A$818 million ($626.2 million) in fuel costs net of hedging benefits for a 30.4% drop in net profit to A$480 million for the fiscal year ended June 30 despite an 8.6% increase in sales to A$13.64 billion. The fuel hike sent the company's costs up 11.9% to A$12.92 billion. The result was impacted further by one-off restructuring costs of A$182 million under the carrier's Sustainable Future Program and recognition of A$104 million in damages paid by Airbus related to delayed deliveries of A380s. Chairman Margaret Jackson said Qantas's fundamentals were strong despite the difficult operating conditions. Core numbers were positive. Yield rose 5.8% to A10.94 cents, load factor was up 0.7 point to 77%, capacity increased 3.6% to 118.07 billion ASKs and passenger numbers grew 4.3% to 34.1 million. Aug 17, 2006 Qantas CEO Geoff Dixon said the carrier's future depends upon achieving further savings of A$1.5 billion through the Sustainable Future Program over the next two years, most of which will come through labor cuts and productivity increases. Firing a warning at the airline's unions, he said, "Qantas could not be satisfied with incremental change. It needed to make fundamental structural change on a much greater scale than it had in the past," adding that fuel and people now represent around 60% of the group's operating costs and many airlines are achieving substantial cost improvements through Chapter 11 bankruptcy protection, consolidation, mergers and government support, avenues not available to Qantas. Aug 17, 2006 |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion