The US Department of Transportation's Bureau of Transportation Statistics (BTS) has released 1Q2010 data showing the seven reporting US LCCs (Allegiant, Spirit, JetBlue, Southwest, AirTran, Frontier and Virgin America) generated a 2.4% profit margin, with combined profits of USD115 million.
Air Arabia (-0.5%) confirmed on Monday (28-Jun-2010) the launch of four times weekly service to Beirut from its third hub in Alexandria from 01-Jul-2010.
Gulf Air is no stranger to challenges. From a regional airline, with multiple government ownership providing a global service, its national owners have gradually peeled off and started their own flag carriers, each much better funded than Gulf Air; the airline has, meanwhile, been wracked by political...
Continental Airlines’ regional operator, ExpressJet (-6.1%) led the airline stock falls yesterday, on a day when most were fairly steady.
Vueling shares (+5.8%) again bounced back on Monday 28-Jun-2010 from their recent drop, having slipped from EUR9.24 to EUR8.34 in late Jun-2010.
Dubai Airport may have steamed ahead of Singapore Changi Airport in the hub stakes during the global financial crisis, but Changi made up some ground in May-2010. The outlook, however, is for Dubai to continue to press home its ascendency, as the forecast for summer and beyond is very buoyant on the...
President Obama has announced Washington’s intention to complete a free trade agreement with South Korea by Nov-2010, which is expected to enhance trade and travel. Asiana Airlines’ shares jumped almost 5% yesterday, while Korean Air eased 0.6%.
As European and global markets headed downwards on 29-Jun-2010, airline shares led the way, in most cases showing falls of the magnitude of twice the indices’ losses. There was little to distinguish the reasons for the falls, other than the economically sensitive nature of the industry.
European LCC airline stocks were hit yesterday by falls in the wider market, with European shares reaching a three-week closing low on Tuesday. Poor US consumer confidence data fuelled worries over the economic recovery, with concerns also persisting over bank funding.
IATA reported that demand rebounded “strongly” in May-2010, following the impact of the European “volcanic ash fiasco” in Apr-2010. Director General and CEO, Giovanni Bisignani, commented that "passenger traffic is now 1% above pre-recession levels, while the freight market is 6% bigger. However...
Mitsubishi is confident its new Mitsubishi Regional Jet will find strong support in Europe and North America. The manufacturer expects to sell 1,000 MRJs over the next 20 years, and 30% of those are expected to go to European carriers and 40% to North American customers. Asia Pacific orders are expected...
Kuwait Airways projected losses of KWD52.2 million (USD179 million) in the fiscal year to Mar-2011. Revenue for the year is forecast at KWD247.3 million (USD853 million) with expenditures of KWD299.5 million (USD1.0 billion), according to the 2010/2011 Budget approved by the Kuwaiti Parliament.
It is absolutely not news that low-cost carriers have had – and continue to have – a profound impact on the airline industry. Now, comes news that American Airlines is abandoning the Boston-San Francisco nonstop market after 12 years, with plans to cut the twice daily roundtrips in Nov-2010.
ACI EUROPE has released its "Economics Report 2009", its first annual survey on the key financial and economic characteristics of the airport industry in Europe. The aim of the report is "to provide policymakers with an overview of the economic environment airports operate in, present detailed information...
US consumer confidence may be taking a dive, but airport cargo volumes continue to show healthy gains.
The US Conference Board Consumer Confidence Index declined sharply in Jun-2010, from 62.7 in May-2010. It had previously been rising for three consecutive months. According to the Board, “Consumer Confidence…retreated sharply in June. Increasing uncertainty and apprehension about the future state...
Qantas’ traffic report for May-2010 shows a continued recovery in international yields, although they are coming off a very low base last year. Between May and October 2009, the airline’s international yields were down by an extraordinary 20-30%. Strong growth off such low levels should be expected...
China’s airline stocks were hit yesterday by falls in the wider market, as the Shanghai Composite Index slumped 4.3% to its lowest close in 14 months. The Shanghai Composite Index has fallen 22% in 2Q2010, with one trading session remaining in the quarter.
Two new French airport facilities opened within 150 km of each other in Jun-2010, and although they essentially target much the same sort of customer, the airports concerned, Bordeaux and Brive, are going about it in quite different ways. Bordeaux is putting its hopes on a new low cost terminal named...
Speaking yesterday at the Aviation Press Club in Washington, Australian Transport Minister Anthony Albanese laid out why the American version of liberalisation – which has opened up the world’s markets to US airlines – is narrow minded and self serving. Those were not the words he used, but they...
Asiana Airlines and Korean Air enjoyed the biggest Asia Pacific share market gains in 1H2010, with their stocks surging 155% and 49%, respectively, on resurgent earnings and improving outlooks. Virgin Blue was at the other end of the scale losing almost 50% of its share market value over the past six...
Virgin Blue, like Qantas mainline and Jetstar continued to expand its domestic capacity quite aggressively last month, growing ASKs by 6%. Traffic (RPKs) however increased by 2.7%, resulting in a 2.4 ppts reduction in load factor for the month. The airline does not disclose yield data, but stated this...
