Airline News September 2005.

Air Astana, probably the most successful of the new airlines created in recent years across the former Soviet Republics, will lose its leader at the end of the month. Lloyd Paxton, who launched the Kazakhstan national carrier in May 2002 is handing over the leadership to Peter Foster, previously CEO of Royal Brunei (and before that with Qatar and for many years Cathay Pacific). Lloyd, an industry veteran totalling 35 years experience with BOAC and British Airways, held the position of president of Air Asana, a unique airline in many ways, established by the government of Kazakhstan (51% ownership) with BAE Systems (49%), who very wisely left the running of the operation to experienced airline people. A modern fleet of three 'new generation' Boeing 737 and two Boeing 757 (plus five Fokker 50 for short haul domestic services) has enabled the airline to operate to western standards and be profitable ($11.5m in the last financial year) competing with some of Europe's majors on certain routes. More 757s are in the pipeline and the airline is known to favour the Boeing 787 for future expansion. Mr Paxton says that he is going to take a holiday, "Starting an airline from scratch and making it work is an all consuming task," he said. "I leave behind a carrier with a terrific work force and an assured future." http://www.air-astana.kz Sep 26, 2005

Air Scandic seems to have been the latest European (budget) airline to go to the wall. In fact this may have been a blessing in disguise for a group of Everton fans who were unable to board an aircraft at Liverpool Airport and missed their team's stunning defeat in Rumania. In spite of its foreign sounding name Air Scandic is a British, Jersey registered, carrier tied in with Air Cordial who held a CAA AoC. The 'airline' operated a single Boeing 757. The website has failed also. http://www.airscandic.com Sep 19, 2005

European aid to fund one-third of proposed A350, Airbus says. Airbus believes European government aid will fund up to one-third of the development on its planned A350 jetliner. Officials expect approval to start work on the plane in October. The U.S. and Boeing object to the government funding and say it would be illegal. The plane will compete with Boeing's 787, which Airbus claims was developed with the help of funds from the U.S. and Japanese governments. Sep 23, 2005

Boeing, Airbus could book record number of orders in 2005. Boeing and Airbus are on track to book a record number of airplanes this year, company executives say. The manufacturers have 1,000 firm orders and commitments for several hundred more planes. The companies warn, however, that they receive payment only as the planes are built and delivered. The jump in orders signals the airline industry is looking beyond its current financial problems and expects future growth. Sep 19, 2005

Alaska Airlines has begun daily nonstop service between Dallas, Fort Worth and Seattle, marking the latest in a series of route expansions. The twice daily flights are timed for convenient connections to cities throughout the Pacific, Northwest and Canada, both on Alaska Airlines and its sister carrier Horizon Air. One of the services offers same-plane continuing service to and from Anchorage. Alaska will operate Boeing MD-80 aircraft on the route, with accommodation of 12 passengers in first class and 128 in the main cabin. The aircraft will be equipped with Alaska's award winning state-of-the-art digEplayer entertainment system, a handheld video-on-demand device, offering customers first-run movies, television programs and other entertainment options from the comfort of their own seats. http://www.alaskaair.com Sep 19, 2005

Former America West workers get used to carrier's new name. Employees for the former America West Airlines are getting used to calling their carrier by a new name. America West earlier this week completed its merger with US Airways. The combined airline took the US Airways name. The airlines will gradually integrate their operations. Next week US Airways workers at the Phoenix airport will move from Terminal 2 to work with America West employees in Terminal 4. Sep 29, 2005

America West to sell cruises through its Web site. America West Airlines will sell cruises through its Web site via a partnership with travel company NLG. Members of the airline's FlightFund program who book cruises through the site, which offers access to 17 cruise lines, may earn as much as 10,000 miles. Sep 27, 2005

America West workers say good-bye to company name. America West Airlines workers gathered at the company's Tempe, Ariz., headquarters this week to say good-bye to their company's name. The workers viewed memorabilia, including the first company photograph, original earphones still in the bag, posters and company uniforms. America West will lose its name when it merges with US Airways. Sep 20, 2005

America West, US Airways merger is one week away. US Airways and America West Airlines are a week away from merging to become the fifth-largest U.S. airline. Fully integrating the companies is expected to take two years, but no sweeping changes in service are expected at this point. The new carrier will be called US Airways, and the America West brand will be phased out gradually. Sep 19, 2005

American to move to new Dallas terminal by end of October: American Airlines will start flying from Terminal D at Dallas/Fort Worth International Airport Oct. 29. Problems with a new automated baggage system delayed the airline's move to the new terminal by three months. It will occupy 19 of the 28 gates for international flights and will initially operate 78 daily flights. Eventually, it will operate 114 daily flights. Sep 28, 2005

American launches program aimed at disease prevention. American Airlines hopes a new pilot program will help improve the quality of health care for its employees. The program tracks whether employees' primary physicians are properly treating patients at risk of heart disease, stroke and diabetes. Many employers are exploring similar wellness programs focusing on disease prevention. The approach is designed to prevent the need for expensive medical treatments. Sep 27, 2005

American says 2005 costs will climb because of fuel prices. American Airlines said higher fuel prices will help push its costs up about 12% in 2005 compared with levels a year ago. The airline will likely post a larger-than-expected fourth-quarter loss in 2005 and will ask workers to take pay cuts in 2006, one airline analyst said. American officials say they have no plans to request pay cuts. They are instead working with labor leaders to reduce costs through increased productivity. Sep 23, 2005

American Airlines is in a bullish mood. Whilst its competitors concentrate on non-airline matters (see Delta and Northwest) the world's largest air carrier, while not immune from fuel cost problems, continues to hit its passenger targets and expand with regard to ex-UK services. Next summer it will operate up to 23 daily flights including, for the first time, Newcastle. On the success (or failure) of Newcastle depends American Airlines future growth strategy for UK operations. If the all economy class daily service meets its planned objectives, clearly the airline will look at other UK origination points. From a financial low in 2002, the airline has engaged a cost saving schedule targeted at $4bn of which nearly half has come from labor savings. Staff and aircraft productivity has risen significantly and in the second quarter of 2005 it reported a $58m pretax profit. The airline also announced last week that it is going to fit blended winglets to 20 of its 757s, the fuel saving per aircraft as much as 5%. http://www.aa.com Sep 19, 2005

American to add San Antonio-Los Angeles flight: American Airlines on Oct. 30 will launch daily nonstop service between San Antonio and Los Angeles. The new service will allow San Antonio fliers to connect to other locations, including Hawaii and Tokyo. Sep 1, 2005

ANA is to introduce an all new economy class seat for use on domestic flights. The new seats will be rolled out from early next month on the airline's Boeing 767-300 aircraft, and thereafter across the entire fleet. Without increasing seat pitch (the distance between seats) the new design increases passenger legroom by 5cm by cleverly changing the position of the magazine pocket from knee level to occupy space behind the tray table, which also makes magazines and safety information more easily accessible. To further enhance amenity, a coat hook and stowage pocket have been provided, and the reclining button redesigned for greater ease of use. Personal space is also enhanced by a slimmer cushion and seat back, which are contoured in a new ergonomic design created to ease pressure on passengers' lower back and knees, allowing them to travel in greater comfort. The seat is also 5% lighter then the previous model. Readers may like to know that ANA carry 536 passengers on their short range Boeing 747s and a surprisingly comfortable 524 on the high frequency 777 Osaka shuttle. (P) http://www.ana.co.jp/eng Sep 19, 2005

Astraeus, the Gatwick-based charter airline founded in 2001, is to expand. Out goes a Boeing 737 next spring to be replaced by a further 757. An additional 40 cabin crew will be recruited. The Astraeus fleet for next summer is expected to be six 737s, a mixture of -300 and -700 aircraft and four 757-200s. http://www.flyastraeus.com Sep 19, 2005

ATA Airlines pilots approve concessionary contract. ATA Airlines' pilots ratified a three-year contract that will save the bankrupt airline $84.5 million. Chief Executive Officer John Denison said the company will now focus on the final stages of restructuring. Pilots will receive stock options in ATA when it emerges from bankruptcy protection in exchange for pay and benefit cuts under the contract. Sep 29, 2005

AwAir, yet another Asian start up, is to fly between Jakarta and Kuala Lumpur and at the same time expand its domestic Indonesian network. Describing itself as a "newly re-launched" airline, AWAir was originally incorporated in September 1999 and found the going tough until December 2004, when a 49% state equity interest was acquired by Air Asia, the successful Malaysian carrier orchestrated by former Virgin Atlantic executive Tony Fernandez. The maiden international flight will take place on 23 September 2005, the airline operating Boeing 737-300s. In the nine months since its reorganization, AWAir has carried 340,000 passengers. http://www.awairlines.com Sep 12, 2005

Azal the Azerbaijan flag carrier 'Azerbaijan Hava Yollari' has taken delivery of its first Airbus A319, during a ceremony held at Heydar Aliyev International airport, in Baku. This is the first of four (one of which is an Airbus Corporate Jetliner) ordered by the airline, all to be delivered before the third quarter of 2006. The airline already operates an A320 under an operational lease agreement. Formerly known as Azerbaijan Airways, the carrier flies to Gatwick South and competes with British Airways (BMED) on the route, BA operating with an A321 into Heathrow T4. http://www.airport-baku.com/eng Sep 12, 2005

Bmed, a British Airways franchise partner, for this winter is adding additional flights to its three African destinations of Alexandria, Khartoum and Addis Ababa, as well as to Tashkent and Yerevan. Alexandria returns to being a non-stop service from Heathrow as is Aleppo, Amman, Baku, Beirut, Ekaterinburg, Tbilisi, Tehran and Yerevan. In total the airline now serves 15 destinations in the Middle East, the eastern end of North Africa and the former Soviet republics of Central Asia. The airline now operates out of T4 and, following the early death of founding chief executive Des Hetherington (after who the airline's impressive new headquarters at Heathrow is named - see left), is now headed by former BA man David Richardson. http://www.flybmed.com Sep 26, 2005

Riyadh is now back on the British airline map. BMI last week re-opened the route from Heathrow which BA dropped earlier this year. BMI offers a three times per week service with a three-class Airbus A330, the airline's second long haul operation from London, introducing a four times weekly service to Mumbai earlier this year. If you don't mind a teetotal flight Saudia also offers three non-stop services per week, this time with a Boeing 777 and first class accommodation if required. http://www.flybmi.com Sep 2, 2005

Boeing eyes December launch for 747ADV program. Boeing may officially launch its 747ADV program in December. The company is now refining the plane's design and is adding technology from its 777 and 787 designs. Several airlines have expressed interest in the plane. Cargolux has ordered 10 of the jetliners. Sep 28, 2005

Boeing official apologizes to customers for strike: The head of Boeing Commercial Airplanes sales team apologized to customers for inconveniences caused by the machinists strike at the company. Boeing has not delivered any jetliners since the strike started last month. Scott Carson said Boeing owed it to its customers to negotiate a "fair and reasonable settlement." Sep 26, 2005

Boeing secures design for 787. Boeing has finalized the design configuration for the 787. Firm configuration is an important milestone because it allows the company to proceed with detailed design, said Mike Blair, general manager of the 787 program. The company is expected to start production of the plane in mid-2007. Sep 26, 2005

Boeing expected to book order for four 777 freighters. Iceland's Avion Group is expected to order four Boeing 777 freighters. Avion is the second customer for the 777 freighter; Air France is the launch customer for the plane. Airlines cancel Houston flights ahead of Hurricane Rita. Airlines are canceling their Houston flights ahead of Hurricane Rita. Continental Airlines, for example, said it will halt all flights at its hub at Houston Bush Intercontinental starting at 1 p.m. EDT today. Flights may resume Sunday, the airline said. Every major carrier serving Texas will allow fliers traveling through the state to change plans without fees or penalties. Sep 23, 2005

American may consider move to Seattle's Boeing Field. American Airlines will consider moving its Seattle operations to Boeing Field if the airport is opened to commercial flights. American now operates from Seattle-Tacoma International Airport. Southwest Airlines was the first to propose moving to Boeing Field, and it has also proposed building a terminal there. American said it opposes commercial airlines moving to Boeing Field, but if Southwest is allowed to move, American said it must also move for competitive reasons. Sep 30, 2005

Indonesian carrier signs pact for more Boeing jets. Indonesian airline PT Garuda Indonesia said it signed an agreement for 18 Boeing 737-800s by 2006. The deal is worth $2 billion, based on list prices. The airline also said it will operate 10 Boeing 787s by 2013. It is not clear whether the airline will buy or lease the jetliners. Sep 19, 2005

Logan officials consider traffic lights to improve safety. Officials at Boston's Logan International Airport are considering installing traffic lights on the airfield to reduce the possibility of collisions. They would position the signals, which would work like street traffic lights, at the intersections of taxiways and runways. Fourteen unauthorized airfield movements that put planes in danger of colliding have occurred at Logan in the past year. Sep 21, 2005

British Airways outgoing chief executive Sir Rod Eddington used what was his final public appearance, at the Aviation Club last week, to once again tirade against Alitalia. He said it should be wound up! He also took the opportunity to question the US American bankruptcy laws for distorting competition across the Atlantic. His phraseology was somewhat stronger than fellow Oneworld carrier American Airlines, who are also up in arms regarding competitors trading under protection. "America, the land of the free, is turning itself into the land of the free ride," was Sir Rod's comment. He also believes that there are too many airlines. Sir Rod, an Anglophile, is not turning his back on Britain entirely and has been asked by the government to look at Britain's transport needs beyond 2015. http://www.ba.com Sep 26, 2005

British Airways, and this is typical of most airlines, is to increase the fuel surcharge on its long haul flights from today (Monday 12 September), as a result of further rises in the price of fuel. The long haul fuel surcharge on tickets sold and issued in the UK will increase from [pounds sterling]24 per sector to [pounds sterling]30 per sector ([pounds sterling]60 return trip). The short haul fuel surcharge will remain unchanged at [pounds sterling]8 per sector ([pounds sterling]16 a return trip). BA's fuel bill of around [pounds sterling]1.6bn is now its second largest cost after staff. It now costs almost 400% more than it did in December 2001 to fill up a 'plane. The additional fuel surcharge only applies to tickets issued from today. It does not apply to tickets already paid for and issued. http://www.ba.com Sep 12, 2005

Iran, and its capital of Tehran can be accessed nonstop from London by both British Airways and Iran Air. What is not so well known is Mahan Air, since July 2004, has been operating a twice-weekly service from Birmingham carrying over 20,000 passengers. The route has been successful enough for the airline to establish its own 'on line' offices near Birmingham city center and plans to introduce Manchester - Tehran flights in November of this year. The privately owned carrier Mahan Air was established in 1991 with its mainstay Airbus A320 and A310 aircraft. http://www.mahanairlines.com Sep 12, 2005

Central Wings, the Polish budget airline, has celebrated its half million passenger since its launch earlier this year. It predicts 700,000 by the year-end. On the Gatwick - Warsaw route it says that it is averaging a load factor of more than 95%. The airline also flies from Gatwick to Krakow and will at the end of October, introduce a three times a week service between Edinburgh and Warsaw. The airline operates 'classic' Boeing 737s. http://www.centralwings.com Sep 19, 2005

Pet airlift leaves Baton Rouge with 80 dogs. A Texas oilman chartered the first large airlift of dogs out of storm-ravaged Louisiana Sunday. The Continental Airlines flight from Baton Rouge carried about 80 pets to temporary homes in California. Dubbed Operation Pet Lift, it was chartered for about $50,000 by Boone Pickens and his wife, Madeleine.

Sep 13, 2005

Delta hopes for quick stay in bankruptcy, official says. Delta Air Lines will move "quickly and decisively" through Chapter 11 bankruptcy, Chief Operating Officer Jim Whitehurst told unsecured creditors. He did not say when the carrier hopes to leave bankruptcy protection. Delta, which filed for bankruptcy earlier this month, hopes to return to profitability by the end of 2007. Sep 30, 2005

Delta adds first Dallas flight since January cuts. Delta Air Lines is adding service between Dallas and Orlando, Fla. The flight is the first new service from Dallas/Fort Worth International Airport since Delta eliminated its hub there in January. A spokesman said the flight is part of the company's expansion in Orlando. Sep 28, 2005

Retired Delta pilots say airline should keep funding pension. A group of retired Delta Air Lines pilots has asked a bankruptcy court to require the airline to continue funding its pension plan and retirement benefits while it is in bankruptcy protection. Delta said it would not ask the court to approve funding of its defined-benefit pension plan. The Delta Pilots' Pension Preservation Organization says the airline has taken an "aggressive and extreme" position. A Delta spokesman said the airline will continue making monthly benefit payments to retirees. Sep 27, 2005

Delta to shed 9,000 jobs as part of restructuring. Delta Air Lines said it will cut 9,000 jobs as part of its restructuring plan. The airline, which filed for bankruptcy last week, will also lower employee pay and change its network. The airline wants to lower costs by $3 billion a year by the end of 2007, in addition to a previous cost-savings goal of $5 billion a year by the end of 2006. Sep 23, 2005

Delta adds restrictions to lowest fares. Delta Air Lines is adding requirements that make it harder to get the cheapest fares to many markets. Statements filed in bankruptcy court say the airline will now require a Saturday night stay or a three-night minimum stay for the lowest fares. The changes will boost revenue by up to $35 million a year, executives said, adding that the airline is still committed to simplifying fare structure. Delta earlier this year launched its SimpliFares program, which lowered most fares and capped prices. Sep 21, 2005

Delta receives $1.7 billion in loan commitments. Delta Air Lines has received $1.7 billion in loan financing commitments from investors, Bloomberg News reported, quoting unnamed sources. The financing will help Delta operate as it reorganizes under bankruptcy protection. A General Electric unit is arranging the 30-month loans. Sep 20, 2005

Delta's CEO says airline will leave bankruptcy a stronger company: Delta Air Lines will emerge from bankruptcy a stronger company, Delta Chief Executive Gerald Grinstein told Georgia lawmakers. He also said the airline probably will lay off more workers and cut pay. Grinstein said the company's plan envisions it as a stand-alone carrier at the end of three years. Delta last week filed for bankruptcy protection. Sep 20, 2005

Former Delta workers worry about future of pension plans. Some Delta Air Lines retirees are worried the company may terminate its pension plan and scale back health care benefits. Delta last week filed for bankruptcy protection. Basic pension plans now remain in place, the airline said. During bankruptcy hearings, the airline said it will stop supplemental pension payments to higher-paid retirees, including pilots and executives. Sep 19, 2005

Delta's dominance in Florida fades. Delta Air Lines is facing increased competition in Florida, a market it once dominated. Low-fare carriers including Southwest Airlines, AirTran, Spirit and JetBlue now offer 32.3% of all seats to Florida. Meanwhile, Delta's average ticket price to Florida destinations has declined to $138. That is a $44 drop from prices it charged 10 years ago. Increased competition in markets like Florida is one reason Delta filed for bankruptcy protection, experts say. Sep 16, 2005

New carriers may fly to Cincinnati after Delta scales back. Delta Air Lines may face increased competition from low-cost airlines after it scales back its Cincinnati operations. Delta last week said it will cut more than one-quarter of its flights out of Cincinnati to reduce costs. Sep 8, 2005

EasyJet is to replace retiring chief executive Ray Webster with Andrew Harrison (48). Andrew, previously chief executive of RAC plc prior to its acquisition by Aviva plc earlier this year, will be taking up his new post on 1 December 2005. He joined Lex in 1996 as chief executive and led its transformation from a vehicle distribution company into RAC plc, in some ways rather like easyJet with its strong consumer relationship and 6.5m members. http://www.easyjet.com Sep 2, 2005

Finnair, a member of Oneworld, has launched a three times per week service to Guangzhou, a Chinese city not currently connected direct from the UK. The airline will be flying to the ultramodern new airport, which opened early last year. Helsinki-Vantaa airport has a connecting time which can be as short as 35 minutes. In addition to the extension of the route network business class cabins on Finnair's Boeing MD-11 aircraft, serving intercontinental destinations, are being upgraded with the installation of new lie-flat bed seating. This is taking place over the coming winter and all Boeing MD-11 business class cabins will carry the seats by May 2006. The airline also flies to Beijing, Hong Kong and Shanghai, as well as other points in the Far East. Guangzhou is one of China's most important economic powerhouses, located close to the mouth of the Pearl River about 200 kilometers from Hong Kong. http://www.finnair.com Sep 12, 2005

FlyBE has set a new record for daft press releases (even beating Ryanair - well perhaps not!), with a story that they are adding what they call "Flybe Unplugged", proclaimed as an "in-flight radio service". Well actually it is not strictly "in-flight", as it will only be played when passengers are embarking and disembarking, a pre-recorded music channel hosted by Exeter-based Gemini FM DJ Chris Dinnis, featuring contemporary pop hits. Also being plugged over the loudspeaker system, other Flybe routes and services, the 'Deli in the Sky' food and drink range and duty free. Now before anyone rushes in with emails, yes it has been done before, starting with Muzak in 1934 (who must have one of the world's most infuriating websites), and is now a major worldwide corporation. http://www.muzak.com http://www.flybe.com Sep 2, 2005

Gate Gourmet issued a statement on Sunday September 25 that does not look promising. Eric Born, managing director UK & Ireland, is outspoken. "We are disappointed at the tone and content of the resolution proposed by the TGWU given the progress we have been making with them in talks with the assistance of the TUC. The resolution is inaccurate at best and at worst it purports to recount events which in reality simply did not occur". An agreement is vital if Gate Gourmet is to secure a two-year extension to its contract to supply BA's in-flight catering. The current arrangement ends in 2008. BA say that service has returned to normal on its longer haul flights and furthest European destinations. No date has been announced for full refreshments on the entire network. http://www.gategourmetlondon.com http://www.ba.com Sep 26, 2005

Gulf Air has expanded its private car transfer service to make it available for economy passengers travelling from Abu Dhabi International Airport direct to the popular Jumeirah beach resorts of Dubai. It has for some time been available as a courtesy to business and first class passengers but economy class clients will be charged a small fee. The service allows passengers to travel in style straight to their hotels on Jumeirah beach in approximately 60 minutes, probably quicker and certainly with less hassle than using the alternative Dubai International Airport. Gulf Air is the only airline to offer this service, which is already proving hugely popular amongst business and leisure travellers. http://www.gulfairco.com Sep 26, 2005

Gulf Air is to lose the Emirate of Abu Dhabi as a shareholder over the coming six months, leaving just two owners of the Middle Eastern carrier: The Kingdom of Bahrain and the Sultanate of Oman. The announcement hardly comes as a surprise with the Emirate launching its own airline, Etihad Airways, in November 2003. Qatar, the fourth founding partner, left in May 2002, also due to the state owning its own national airline, Qatar Airways. Gulf Air President and CEO James Hogan said there would be no change to the carrier's "core approach to business or to its ongoing business strategy." The governments of Bahrain and Oman remain as shareholders and have confirmed their commitment to the airline. http://www.gulfairco.com Sep 19, 2005

Highland Airways, the specialist Inverness based operator, is to promote cadet pilot training, making it and sister company Air Atlantique probably the only British carriers offering a sponsored scheme. The plan was announced by the airline's chairman Bob Macleod, the former managing director of British Caledonian Helicopters and of Highlands and Islands Airports. Talking to the media in Inverness he confirmed a new contract with BAE Systems for two aircraft serving the staff movement needs of Britain's largest defense contractor. The airline also moved its Royal Mail contract to serve the Western Isles to Inverness rather than Glasgow. The airline's Scottish Fishery Protection contract is now over one year old and working well. He sees expansion for the airline, with its busy hangar, now the largest employer at the airport. http://www.highlandairways.co.uk Sep 19, 2005

Independence Air to lay off 600 workers. Independence Air parent Flyi said it will lay off 600 employees by late fall as it cuts flights and ends West Coast service. Some analysts expect the carrier to file for bankruptcy protection soon. Most of the job cuts will be at Dulles Airport in the suburbs of Washington, D.C. Sep 29, 2005

Independence Air reduces schedule to cut costs. Independence Air is changing its schedule in an attempt to cut costs and avoid filing for bankruptcy protection. The airline will end all West Coast service as well as flights to five airports. It will start daily flights from Washington's Dulles International Airport to New York's LaGuardia Airport. Sep 26, 2005

Independence Air likely to file for bankruptcy soon. Analysts expect Independence Air to file for bankruptcy, but they do not expect any more major airlines to follow suit anytime soon. Northwest Airlines and Delta Air Lines filed for bankruptcy protection earlier this month. Changes in the airline industry from bankruptcies and restructuring will probably have no effect on Florida, which is well-served by several carriers, analysts say. Sep 26, 2005

Independence Air parent seeks new financing. FLYi, the parent of Independence Air, is searching for new financing that would allow it to avoid filing for bankruptcy protection, The Wall Street Journal reported, citing unnamed sources. The airline has warned that it might file for bankruptcy protection and said in a recent Securities and Exchange Commission filing that its dwindling funds raised "substantial doubt about the company's ability to continue as a going concern." Sep 21, 2005

Jazeera Airways, a Middle East start-up, plans to operate its first flights on Wednesday November 16. The Kuwait-based low cost carrier will initially operate about 30 flights per week to Amman, Bahrain, Beirut, Damascus and Dubai. This is expected to quickly rise to more than 75 weekly flights, with the addition of destinations in Egypt, India and Southeast Asia. Four Airbus A320s are on firm order, with the first due in late October. Jazeera is the first budget carrier to be based in Kuwait, although Air Arabia is also now established, essentially serving the area of the Gulf Emirates, a slightly different geographical region. http://www.jazeeraairways.com Sep 26, 2005

JetBlue plane with defective nose gear lands safely. A JetBlue Airways jetliner landed safely Wednesday in Los Angeles despite a malfunctioning nose landing gear that was turned sideways. The plane's landing at Los Angeles International Airport was broadcast live on television stations, and emergency crews gathered near the airport to prepare for the landing. The nose gear did not collapse as pilots landed the plane, and there was no fire after the landing. "It was a very, very smooth landing. The pilot did an outstanding job," one fire official said. Sep 22, 2005

JetBlue to operate nonstop Boston-Seattle flights. JetBlue Airways will launch daily nonstop service between Boston and Seattle on Nov. 3. Seattle will become the airline's tenth nonstop destination from Boston. Sep 2, 2005

Kenya Airways has announced a new direct Mombassa service. From Friday December 9, the airline is offering customers a weekly through service from Heathrow T4, on one of the airline's new two-class Boeing 777. It gets even better on the way back, the aircraft operating non-stop leaving Mombassa at 0945 and arriving in London 1610 into Terminal 4 (all times local), a flight time of 9 hours 25 minutes. http://www.kenya-airways.com Sep 2, 2005

KLM Royal Dutch Airlines is to enter the dedicated business class market with effect 30 October, operating a daily (except Wednesday) Boeing 737-700 service between Amsterdam and Houston. Code sharing with Northwest Airlines, the new flight will supplement KLM's daily Boeing 747-400 service and replace the existing thrice-weekly Boeing 767 operation. The flight will actually be operated by Geneva-based PrivatAir who already supply a similar service to both Lufthansa and Swiss for dedicated routes. KLM partner Air France offers 'Dedicate' on certain thin long haul routes flown by narrow-bodied aircraft but with both l'Espace Affaires (business class) and Tempo (economy) available. Clearly the AF hierarchy will be closely monitoring the new offering with a view to introducing a similar operation on certain routes. http://www.klm.com http://www.airfrance.co.uk Sep 2, 2005

London Luton airport's infamous pre-boarding lounges (the official title), better known to regulars as "The cattle pen", have gone. These windowless ground floor rooms where passengers waited prior to walking across the apron to board their aircraft, each held a (tight) 150-passenger easyJet load. A small number of seats were provided for disabled passengers but for the rest it meant just standing in one of three lines in the hope that it would quickly move. With the new and airy first floor lounge passengers still have to wait in line, but many more seats are provided for the infirm and elderly and there is even a lift available, much used by mothers with toddlers in tow. The whole thing is more civilised. http://www.london-luton.com Sep 26, 2005

Stansted looks like it is going to be busy on Tuesday November 1 with two new airlines arriving from JFK. Maxjet Airways gets in at 0700 and Eos at 0730. Maxjet will use a twin aisle Boeing 767 aircraft with just 102 reclining seats at 60" pitch, well under half the normal 767 capacity. The award winning DigEplayer will be provided, fully loaded with 100 hours of entertainment and includes movies, television programmes and music videos. Competitor Eos has chosen the 757, whilst a single aisle aircraft in many ways just as comfortable. 48 seats are offered, the same number as with the Lufthansa business class only operation from Dusseldorf with the smaller 737. http://www.maxjet.com http://www.eosairlines.com

Sep 26, 2005

LOT Polish airline, has become the latest carrier to order Boeing's new 787 Dreamliner, the aircraft itself due to make its maiden flight in 2007. LOT, founded back in 1929, is expected to use the aircraft across its long haul fleet and introduce new destinations from Warsaw, including Los Angeles and Bangkok. Rolls-Royce has been chosen as the engine provider. With seven firm orders, this latest commitment takes the Dreamliner order book up to 263 from 22 airlines. Just like lead carrier ANA, LOT is a member of Star Alliance. http://www.lot.com Sep 12, 2005

Luton Airport's new departure lounge, apron extension and boarding gates were officially opened by minister for transport Alistair Darling last week. Part of a [pounds sterling]35m investment, the new first floor departures lounge is most impressive, well lit and overlooks an apron, the single runway in the far background. With what must be a first for Luton the lounge is approached via twin escalators, followed by the usual security areas. Amongst the food offerings is Costa, Est Bar Est, a bar serving antipasti platters, plus a full service restaurant. Millie's Cookies sells what it is named after, whilst Pret a Manger has its normal product range, as does Starbucks. The Juice & Bagels Store says it all with its name and The Real Food Company has counters for hot food, deli, bakery, grab and go and hot and cold drinks. There is also a whole series of shops offering just about everything you forgot to pack for your holiday. Most of the food outlets are open from 0500 to 2200, the shops until 2100. http://www.london-luton.com Sep 12, 2005

MaxJet, a privately owned US airline based at Washington Dulles Airport, has received effective authority from the Department of Transportation (DOT) to commence scheduled international passenger services. Charter work is expected to begin immediately and what it terms "a low cost scheduled passenger operation" is planned for later in the year between New York JFK and Stansted. Maxjet says that other routes from east coast cities to London will follow and notes that it holds approval to operate to other European countries, Canada and South America. The airline is certificated to operate the Boeing 767ER and for scheduled services will offer a two-class configuration. http://www.maxjet.com Sep 2, 2005

Northwest sues American Express over withholding payments. Northwest Airlines claims American Express' travel business is withholding payments worth about $63.4 million for tickets. Northwest has sued American Express and said failure to pay for the tickets will interfere with its ability to emerge from bankruptcy protection. Sep 28, 2005

Northwest grounds, takes back jets from regional affiliates: Northwest Airlines plans to take back or ground some jets operated by its regional affiliates. The airline told Pinnacle Airlines to ground 15 small planes it leases from Northwest. It also told Mesaba that it will take back 35 regional jets. Northwest filed for bankruptcy protection earlier this month. It has said it will shrink its operations. Northwest missed a payment due to Mesaba on Monday for passengers carried in September. Sep 28, 2005

Northwest to lay off 1,400 flight attendants. Northwest Airlines plans to lay off 1,400 flight attendants by January. The airline last week filed for bankruptcy protection, and is negotiating pay cuts with employee groups. Flight attendant furloughs will start in late October, the airline said. Sep 22, 2005

Schedule cuts may delay airport expansion: Northwest Airlines' decision to reduce its schedule may delay the expansion of Minneapolis-St. Paul International Airport by a year. Northwest has told airport officials it will not need more gates until June 1, 2008, one year later than it originally indicated. The Metropolitan Airports Commission will review the timeline for the project. Sep 9, 2005

SkyTeam members offer to refile antitrust application. Members of the SkyTeam alliance are willing to amend their application for antitrust immunity with the Department of Justice. The new application would address concerns that immunity would reduce competition on some routes. The carriers recently indicated they will accept "a more narrowly tailored grant of immunity." Sep 13, 2005

Utah feeder airline prospers despite industry's troubles. Regional carrier SkyWest has managed to thrive as high fuel prices and cutthroat competition push larger carriers into bankruptcy. SkyWest, a Utah-based feeder airline for Delta Air Lines and United Airlines, recently bought Atlantic Southeast Airlines from Delta. SkyWest Chief Executive Officer Jerry Atkin says he believes his carrier will continue to prosper. Sep 28, 2005

Southwest may consider Atlanta flights, report says. Some industry observers are speculating Southwest Airlines may eventually launch flights to Atlanta. Atlanta's fifth runway will open next year, allowing airlines to turn planes faster. Delta Air Lines recently filed for bankruptcy and has indicated it will scale back its network. Still, a Southwest spokesman downplayed the speculation, saying the airline would have to see a major service reduction by Delta to consider flying to Atlanta. Sep 29, 2005

Southwest posts heady growth at Chicago Midway. Chicago is the fastest-growing city in Southwest Airlines' network. The discount carrier has added about 50 daily flights to Chicago Midway Airport in the past year and expects Midway to be its top operation next year with more than 200 daily flights. Sep 27, 2005

Southwest considers N.Y.'s LaGuardia as it waits for changes. Southwest Airlines will continue to evaluate a possible entry into New York LaGuardia Airport, Chief Executive Officer Gary Kelly said. The company has avoided LaGuardia because of high costs, slot controls, congestion and inefficiency, he said. No decision is expected soon. Southwest and other airlines are watching for changes that Delta Air Lines and Northwest Airlines make to their networks. The two carriers filed for bankruptcy last week. Sep 23, 2005

Southwest CEO hopes for 15% earnings growth next year. Southwest Airlines officials do not expect significant losses as a result of Hurricane Katrina. Chief Executive Officer Gary Kelly said the low-fare airline hopes to boost profits next year by up to 15% despite higher fuel costs. Kelly also said bankruptcy filings by Northwest Airlines and Delta Air Lines could create growth opportunities for his airline. Sep 22, 2005

Local official undecided on Southwest's plan for Boeing Field: King County Executive Ron Sims has not decided whether to support Southwest Airlines' proposal to operate out of Boeing Field. The community is concerned about noise, traffic and the economic impact. Southwest now operates out of Seattle-Tacoma International Airport. It has offered to build a $130 million terminal with eight gates at Boeing Field. Sep 13, 2005

Styrian Spirit plans to come to London from the beginning of the winter season but as yet is undecided which airport to use. The privately owned Austrian airline says it will use its existing aircraft to begin flights between Klagenfurt and London on four days a week (Tuesday, Wednesday, Saturday and Sunday). It says it plans to acquire a fifth Bombardier CRJ 200 to allow for a daily service next summer. The airline last week introduced a daily (except Saturday) service between Berlin (Tegel) and Graz. http://www.styrianspirit.com Sep 12, 2005

Swe Fly reported on in the 13 June issue, appears to have failed, leaving hundreds of passengers stranded in Luton, Leeds, Lahoreand, Stockholm and Skavsta and those with future bookings likely to lose their money. Based at Nykoping and established as an executive charter carrier for over ten years the move to a single Boeing 767 operation has clearly proved to be overambitious. http://www.swefly.com Sep 12, 2005

Thomsonfly.com is really getting into the low airfare market in a big way. After its initial success with scheduled services at Coventry, Bournemouth and Doncaster eight new airports are to be added for summer 2006: Birmingham, Cardiff, Gatwick, Glasgow, Luton, Manchester, Newcastle and Nottingham East Midlands. Combined with the lower frequency holiday charter flights Thomsonfly.com will operate in 2006 from 26 UK airports to 87 destinations worldwide. http://www.thomsonfly.com Sep 19, 2005

United Airlines changes boarding system. United Airlines will start boarding passengers by seat position starting Oct. 1. The airline previously boarded fliers by row number. The airline hopes the change improves on-time departures, and officials said it could help the carrier save $1 million each year. Sep 27, 2005

United to leave Galileo/Apollo platform for Amadeus. United Airlines will switch its inventory management and internal reservations system to Amadeus in 2008 as part of a Star Alliance effort to migrate to a common IT platform. The move is significant not only because it is the largest hosted migration the aviation industry has ever seen, but also because United started Apollo, which it has used for 35 years. Sep 19, 2005

United, American battle for market at Chicago's O'Hare. Competition between American Airlines and United Airlines has gotten hotter at Chicago's O'Hare International Airport. The airport, frequented by lucrative business travelers, is now the last transcontinental hub where two large carriers battle for market share. United has upgraded features on its planes, while American has upgraded its terminal. Sep 13, 2005

US Airways leaves bankruptcy; others continue restructuring. US Airways left bankruptcy protection yesterday and merged with America West Airlines. Now other companies must consider how to emerge from bankruptcy protection and restructure themselves. Delta Air Lines and Northwest Airlines filed for bankruptcy earlier this month. United Airlines hopes to leave bankruptcy protection soon and has cut workers' pay and benefits and has terminated pension plans. Sep 28, 2005

US Airways takes sixth place if measured by capacity: An airline's size can be measured by its traffic, capacity, revenue or passenger boardings. Air Transport Association Chief Economist John Heimlich said capacity, or available seat miles, is the most common way to measure a carrier's size. That would put the new, merged US Airways in sixth place, behind Continental Airlines and ahead of Southwest Airlines, according to current ATA statistics. Sep 28, 2005

US Airways, America West merger effective today. The merger of US Airways and America West Airlines becomes official today. Executives at both airlines expect some kinks as they combine operations and rebrand themselves. The carriers will operate separately for two years. The new airline will require 25,000 frequent flier miles for a free trip, compared with 20,000 required by the former US Airways and 15,000 by America West. Sep 27, 2005

US Airways, America West merger scheduled for Tuesday. US Airways is set to emerge from bankruptcy protection and merge with America West Airlines Tuesday. The two airlines must blend different corporate cultures and work forces, grapple with high fuel prices and compete effectively against low-fare airlines. US Airways has said the merged airline expects to post large operating losses through next year. Sep 26, 2005

US Airways to remove electrical outlets on many jets. US Airways has started to deactivate power strips on many of its Airbus jetliners because the system is too expensive to maintain. Travelers use the plugs to charge laptop computers. The airline did not say how much it would save by removing the electrical outlets. Sep 21, 2005

US Airways could see operating losses through 2006. US Airways says it expects "significant" operating losses to continue through 2006 even after it merges with America West Airlines. The airline made the comments in a Securities and Exchange Commission filing. It will merge with America West as early as next Tuesday. US Airways also said the merger will result in revenue and cost synergies of about $600 million. Sep 20, 2005

US Airways is to introduce a charge for customers who request a paper ticket, where an electronic ticket is possible. By no means the first airline to do so, US Airways is pricing a request in such a way that it is painfully (in the pocket), obvious that they want out of what is now old-fashioned paperwork. From October 1 2005 a fee of [pounds sterling]25 per ticket will be charged when the paper ticket is issued and the travel itinerary qualifies for electronic ticketing, or the customer requests that an E-ticket be printed at any US Airways ticketing location. US Airways operates daily transatlantic services from the UK to Philadelphia, from Gatwick, Manchester and Glasgow (summer only), and to Charlotte from Gatwick. Here we show the first photos of an Airbus A320 in the new colours of the merged US Airways/America West. http://www.usairways.com Sep 2, 2005

Virgin Atlantic Airways gamble with Las Vegas has really come off. The airline is increasing the service, which was inaugurated on 8 June 2000, to six flights per week (every day except Saturday), from 9 September. A specially kitted out Boeing 747 is used for the 10 hour 45 minute flight with only 14 seats in Upper Class, 58 Premium Economy and 379 economy. The only other direct routing from the UK is bmi's twice weekly (Tuesday and Sunday) operation, which is about 45 minutes shorter and uses the Airbus A330. http://www.virgin-atlantic.com Sep 19, 2005

Jersey is to lose VLM as a base airline and also most of the services from London City. The airline has confirmed that with effect from1 October it will reduce its operation to just one inbound daily, departing docklands 0900 and arriving at the island one hour later. The return flight leaves at 1710. With the Fokker 50 based at Antwerp, VLM has now been able to introduce a further early morning departure and evening arrival giving the city six daily services to and from LCY. Whether the airline returns to a full summer schedule next year very much remains within the hands of the Jersey authorities who, according to several airlines, have been less than helpful. Here we see new UK sales manager David Nye, in front of the rapidly emerging DLR railway station. (P) http://www.flyvlm.com Sep 19, 2005

Wizz Air, registered in London but essentially a central European (Hungarian), airline, is to purchase 12 Airbus A320 family aircraft, both A319s and A320s. The airline, which made its first flight in May 2004, launched itself using leased A320s and says the success of the aircraft is the main reason for now ordering new equipment under its own name and enlarging the fleet. All the 'planes will be powered by International Aero Engines V2500-A5s and configured up to 156 passengers in the A319s and 180 in the A320s. Deliveries will begin in the summer of 2007, allowing the airline to open up new European routes from its present base airports (Budapest in Hungary and Katowice, Warsaw and Gdansk in Poland), as well as new bases in Eastern Europe. Since its launch Wizz Air has carried 1.9m passengers. http://www.wizzair.com Sep 12, 2005

Your Florida Air is the latest 'airline' to enter the crowded North Atlantic market. It is not a carrier in its own right and uses Excel Airways aircraft. It does have an ATOL however and therefore your fare is protected. Your Florida Air plans initially to serve Sanford (Orlando) weekly from Glasgow International Airport. The first flight is scheduled for Thursday 20 October. Behind the project is entrepreneur Jim Whitelaw who has found 34 Scottish Florida property owners to put up the finance behind the project. Support has come from the Scottish Enterprise. A twin aisle 266-seater Boeing 767-300 will be used for the operation offering economy, premium economy and business class seats. http://www.yourfloridaair.com Sep 26, 2005