Saturday, November 30, 2013

Mozambique plane wreck found in Namibia, all 33 people on board dead


Police on Saturday found the burned wreckage of a missing Mozambican Airlines plane in a remote area in northeastern Namibia, saying none of the 33 people from several countries aboard had survived the crash.

"My team on the ground have found the wreckage. No survivors. The plane is totally burned," said Willie Bampton, a regional police coordinator in the Kavango region.

The plane, en route from Mozambique to Angola, went down in remote terrain in the Bwabwata National Park, where Namibia turns into a narrow strip of land sandwiched between Botswana and Angola.

In Maputo, Mozambican Airlines, LAM, had issued a statement revising the passenger list down to 27, rather than the 28 earlier reported, along with the six crew members.

The statement said the 33 included 10 were Mozambicans, nine Angolans, five Portuguese, one French national, one Brazilian and one Chinese.

LAM flight TM470 took off from Maputo at 0926 GMT Friday and had been due to land in the capital Luanda at 1310 GMT, but never arrived.

Last contact with the place came around 1130 GMT when it was over north Namibia.

Namibia police sent a search team to the area after Botswana officials alerted them of a plane crash in the area.

"Botswana officials informed us that they saw smoke in the air and they thought the crash happened in their country, but when they came to the border they realised that it was in Namibia," Bampton said.

Villagers in the area told police they had heard explosions.

Namibian authorities have not yet said as to the possible cause of the crash and the country's cabinet was on Saturday holding an emergency meeting over the accident.

The search for the plane was hampered both by the rough terrain and torrential rains pounding the area where the plane, a Brazilian-made Embraer 190, went missing Friday, Bampton told AFP.

"There are no proper roads, you have to go through the bush slowly and it’s making our job difficult," he said.

Before confirmation of the crash, people close to those on board gathered at Maputo airport, many frustrated at what they said was the lack of information.

"They told us it was a forced landing. I know it's a crash," said Luis Paolo, a friend of one of what were said to be two Portuguese businessmen on board the flight.

The Bwabwata National Park, a 6,100-square-kilometre (2,355 square mile) reserve, is a sparsely-populated area covered by wetlands and dense forests.

The European Union banned the Mozambican airline, known by the acronym LAM, from flying in its airspace in 2011.

"Significant safety deficiencies" led to the blacklisting of all air carriers certified in Mozambique, the EU said at the time.

The concern was about Mozambique's civil aviation authority, rather than the track record of the various airlines.

SOURCE


Australian government cool on stake in Qantas


Australian Treasurer Joe Hockey has indicated he would resist the government taking a stake in Qantas, in comments reported on Saturday, after calling for a debate on the national carrier's future.

A government buyback of 5 or 10 per cent of Qantas has been suggested as a measure to help the airline if there is to be no lifting of current foreign ownership restrictions on it, but Hockey appeared cool on the idea.

"Of course, the government is very, very reluctant to own an airline," the Treasurer told The Weekend Australian newspaper.

Qantas claims that it operates on an uneven playing field against rival Virgin Australia, which is now majority-owned by state-backed carriers Singapore Airlines, Air New Zealand and Abu Dhabi-based Etihad.

Qantas claims that Virgin's financial backing means it can set uncompetitive low prices to win customers from it while it, under the Qantas Sale Act dating from 1995 when the airline was privatised, can only have 49 per cent foreign ownership.

Hockey last week called for a debate on whether these restrictions should be lifted.

"The first question is: do Australians want to retain a national carrier and do they want to retain shareholding restrictions on our national carrier?" he said on Friday.

"If the answer to both those questions is yes, as I said yesterday, there is a price that needs to be paid.

"We will carefully consider all the options, but the fact of the matter is these issues need to be dealt with.

"I am not someone that is prepared to kick the can down the road on issues. If decisions need to be made, they will be made."

The debate has triggered a sharp response from Virgin Australia, which has urged the government to give the airline the same assistance as provided to Qantas.

"Virgin Australia has succeeded against the odds, in a very difficult marketplace, with a major and dominant competitor three times its size that appears intent on flushing it out of the market," Virgin Australia's chief John Borghetti said.

"If any government support was given to the dominant player, we would expect the same level of support."

Transport Minister Warren Truss said the government was "not prepared to fund a market-share battle between our major airlines" but it was keen to ensure Qantas was commercially viable.

"I think all Australians want the red kangaroo to continue flying around the world and particularly in our own country," he said.

SOURCE


easyJet's Portugal pilots to strike Christmas-New Year


Pilots based in Portugal for the British lowcost airline easyJet announced on Friday they are to strike five days over the Christmas-New Year's period to demand better conditions.

"The easyJet pilots based in Lisbon have lodged strike notice for December 13, 24, 26 and 31 as well as for January 1," their SPAC union said in a statement.

The industrial action will see the 43 company pilots stopping work for 24 hours each time, with only a minimum service ensuring daily links to Portugal's Madeira archipelago, a sunny location in the Atlantic off the African coast which attracts winter tourism.

The pilots complain that easyJet is not respecting Portuguese labour law in terms of vacation leave and maximum working hours.

They also claim that the British budget airline is "taking advantage" of Portugal's fragile economy "to sacrifice its workers' labour conditions, especially those of its pilots who are the worst paid of all the company's European bases".

SOURCE


Mozambique passenger plane carrying 34 missing


A Mozambican Airlines airplane carrying 28 passengers and six crew members went missing en route from Mozambique to Angola on Friday, the airline said.

Flight TM470 took off from Maputo at 09H26 GMT and had been due to land in the Angolan capital Luanda at 13H10 GMT, but never arrived, the airline said in a statement.

"Initial information suggests it might have landed in Rundu, in northern Namibia near the border with Botswana and Angola."

"LAM airlines, aeronautical and airport authorities are trying to establish contact to confirm the information," it added.

Company spokesman Norberto Mucopa could not confirm the nationalities of the people on board the Brazilian-made Embraer 190 or if they included government officials.

"The last contact was in the north of Namibia," he told AFP.

LAM CEO Marlene Manave told journalists the last contact with the aircraft had been at 1130 GMT.

Heavy rain in the area where it disappeared complicated the search, she said, according to Canalmoz newspaper.

A police commander confirmed the incident to AFP in Namibia.

"We are busy searching. It's dark now and it makes our job a bit difficult," said Olavi Auanga, police commander of the Kavango West region, where the control tower lost signal with the aircraft.

An aviation officer in the area told AFP on condition of anonymity that unconfirmed reports suggested the airplane may have gone down in the Bwabwata National Park around 200 kilometres east of Rundu.

The 6,100-square-kilometre reserve covers the narrow strip of land formerly known as the Caprivi strip, a sparsely-populated area with wetlands and dense forests.

The European Union banned LAM from flying in its airspace in 2011.

"Significant safety deficiencies" led to the blacklisting of all air carriers certified in Mozambique, the EU said at the time.

The concern was about Mozambique's civil aviation authority, rather than the track record of the various airlines.

SOURCE


Friday, November 29, 2013

Week 35: PPL Flight School Week 4

Time flies, it's been a month since I've arrived in the Southern Hemisphere. Kinda miss home; the food, the weather, the family and friends. However, there is still a lot to do here and it's a long way before I can smell home.

The week whizzed by without much action, with only an hour of simulator to keep me occupied. Although it's just one hour of sims training, there is quite a bit of preparatory and revision work to be done, for me at least. The aim for this sim session is to train one to be proficient at keeping the flight straight & level, plus mid-level turns.

As usual, the various checklists are important and not a single step can be skipped unless allowed. My control of the sims this time was much better than the virgin experience of last week. Keeping the eyes outside of the cockpit can be quite a challenge for a novice trainee like me. The numbers and values on the Garmin G1000 kept me very well occupied so much that I find myself neglecting what's happening outside of my windscreen.

There are also many details during flying, for example, both heels resting on the floor, hand on throttle at all times, the way you hold/adjust the throttle, attitude-lookout-attitude-performance, bank angle-balance-back pressure, one hand controlling the yoke etc etc. You can't really zone out during a flight, 100% focus is required at all times.

My next training will be on a real flight in the C172S. Thinking about it already makes me nervous and I'm praying for good weather without the turbulence.

The weather here can be quite shitty

Bak chor mee! Dinner 231113

The car finally arrived. Moving around has been more convenient since

Lunch 251113

All Jacob's Creek wine at this price. Singapore is easily double of this

Went around the city, Mt Buninyong evelation 2441ft

Mt Warrenheip

Singapore building infrastructure for Australia

Dinner 271113

ALSIM 172

Pizza night in celebration with a school mate clearing his first solo flight

Ending the week with a glass of red wine by the window watching the sun descend from the sky



Thursday, November 28, 2013

Australia mulls scrapping foreign ownership rules on Qantas


Australian Treasurer Joe Hockey on Thursday raised the prospect of allowing majority foreign ownership of national carrier Qantas in the face of increasing overseas support for rival Virgin Australia.

Qantas chief executive Alan Joyce has been lobbying politicians in recent weeks about what he claimed was no longer a level playing field in the nation's skies.

His main gripe is that Virgin Australia is now majority-owned by state-backed carriers Singapore Airlines, Air New Zealand and Abu Dhabi-based Etihad and that with their financial clout it is able to set uncompetitive low prices to win customers from Qantas.

Joyce wants the Qantas Sale Act to be re-examined. Restrictions imposed by the Qantas Sale Act when it was privatised in 1995, limits foreign ownership in the national carrier to 49 per cent.

Hockey admitted that growth in Qantas was impeded in part by those restrictions and said it was time for a public debate about whether to ease them or whether to keep the airline in Australian hands.

"The market has changed but still the restrictions are in place," Hockey told Fairfax radio.

"It's an issue that Australians need to debate.

"And if Australians understandably say 'no, we think it should remain not only Australian-owned but Australian-controlled, and we need to have a national carrier', and I think there are many good reasons for that as well, then we've got to accept we may have to pay a price for that."

That could involve the government providing funding for Qantas, which was "a burden the taxpayers may have to pick up".

Prime Minister Tony Abbott joined the debate saying he wanted the airline to "remain an Australian icon".

"I'm happy to look at a range of measures to help ensure that happens," Abbott told reporters.

Qantas shares closed 3.8 per cent up at A$1.23 in a flat market

The Labor opposition made clear it favours the airline remaining Australian.

"I believe the national carrier is an important part of Australia's national security, it's an important part of Australia's independence," Labor leader Bill Shorten said.

Virgin Australia is already 63 per cent owned by Singapore Airlines, Air New Zealand and Abu Dhabi-based Etihad and under a recently announced capital raising plan foreign ownership could rise to 80 per cent.

Joyce has claimed the overseas carriers are working to destabilise Qantas with the domestic sector, its key money spinner which has helped prop up its under-performing international network.

Virgin has called the allegations "offensive" and reportedly called the lawyers in to determine whether there were grounds to sue Joyce for defamation.

SOURCE


Wednesday, November 27, 2013

Japanese airlines stop obeying China's air zone rules


Japanese airlines said Wednesday they had stopped following rules set by China when it unilaterally declared the right to manage the skies over the East China Sea.

The reversal comes after pressure from the Japanese government, which insisted China's announcement was invalid, and after governments around the world lined up alongside Tokyo.

Japan's two major airlines had previously said they had been submitting flight plans to Chinese authorities for any plane that was due to pass through the area, a key demand Beijing set out on Saturday when it said it had established an Air Defence Identification Zone (ADIZ).

The move heightened tensions in the region, where temperatures were already running high over the ownership of the Tokyo-controlled Senkaku islands, which Beijing says it owns and calls Diaoyu.

On Tuesday it was roundly condemned by Japan and its allies, including the United States, which flew two US B-52 bombers over the disputed islands in a show of force.

"After the Japanese government said private airlines don't have to follow Beijing's claims on Tuesday, our industry body held a meeting on Tuesday and decided we won't follow" Beijing's demands any more, a spokesman for former flag carrier Japan Airlines told AFP.

"JAL has stopped submitting flight plans since 0000am Wednesday (1500 GMT Tuesday)," he said.

JAL's rival All Nippon Airways also said it has stopped complying.

"The Scheduled Airlines Association of Japan, an aviation industry body, made the decision after it received assurances from China, through the Japanese foreign ministry, that Beijing has no intention of obstructing the flights of commercial airline carriers," the JAL spokesman said.

SOURCE


Ryanair steps up flights in Italy as Alitalia suffers


Irish low-cost airline Ryanair announced on Tuesday a major increase in the domestic flights it offers in Italy including launching a hub at Rome's Fiumicino Airport.

The expansion comes a day before the deadline for a crucial capital injection into struggling Italian flag carrier Alitalia which has been on the brink of having its planes grounded, but Ryanair said its move should help the airline in its efforts to restructure.

Ryanair announced it will base six aircraft at Fiumicino, Rome's mostly domestic airport, and slowly transfer the flights it had operated from Ciampino airport and increase to nine the number of domestic Italian routes it flies.

The number of aircraft based there could double within a year as it receives new aircraft from Boeing.

Ryanair said it would continue to develop domestic and international flights from Ciampino, the mostly international airport.

Ryanair said its one-way flights on new domestic routes will start at 49 euros ($66) including taxes, compared to 75 euros on Alitalia flights.

Nevertheless Ryanair said this would benefit Alitalia as it would ensure the feeding of passengers into the international flights it operates from Fiumicino.

"Ryanair will guarantee that connectivity to Rome and to southern Italy will be maintained regardless of Alitalia's plans to reduce capacity on domestic routes," said Ryanair's deputy chief executive Michael Crawley in a statement.

The Irish airline said it was willing to cooperate with Alitalia, an offer the Italian company swiftly rejected.

"Alitalia thanks Ryanair for its proposal to collaborate at Rome Fiumicino airport, but we have our own strategy..." said the Italian airline.

A 300-million-euro Alitalia capital subscription expires on Wednesday.

Air France-KLM, which owns a 25 percent stake in Alitalia, has said it won't participate as it believes the restructuring plan put forward by the company won't lower costs sufficiently to make the airline successful.

The Italian government is looking for another major international airline to partner with Alitalia.

The state-owned Italian postal service has been tapped to contribute up to 75 million euros in the capital increase, triggering rivals' allegations of illegal protectionism.

Alitalia says Italian banks are also lined up to lend it 200 million euros.

The airline was already bailed out by taxpayers five years ago in a controversial operation that handed a consortium of private Italian companies a majority stake, part of which was later sold to Air France-KLM.

But it still struggled and racked up losses, with its debt now standing at 1.2 billion euros.

It was nearly grounded last month when Italian energy group ENI threatened to stop fuel supplies because of unpaid debts.

SOURCE


Monday, November 25, 2013

SIA gets nod from India's FIPB for Tata Sons joint airline venture


Singapore Airlines said it has received approval from India's Foreign Investment Promotion Board (FIPB) to establish a joint venture airline in India with Tata Sons.

In September this year, the carrier announced that it is joining hands with the Indian conglomerate to launch a new full service airline in India.

The joint venture will be 51 per cent owned by Tata Sons and 49 per cent owned by Singapore Airlines.

Singapore Airlines' investment will be US$49 million.

In a statement on Monday, SIA added that the establishment of the airline remains subject to further approvals from India's Directorate General of Civil Aviation. 

SOURCE

Friday, November 22, 2013

Week 34: PPL Flight School Week 3

Third week gone and we see some action. Had two days of mass brief to refresh us on the knowledge of Principles of Flight. After being so free for so long, it took some effort to get used to the classroom environment again. Good thing that I didn't fall asleep, although the classes were only half a day long.

One of the lessons included the introductory to pre-flight checks. Damn that day was cold and the wind was blowing like hell the ailerons wouldn't stop flapping. We went through all the checks needed before the plane is deemed safe enough for flight. It is quite a handful to be honest and will probably take a lot of practice to be proficient in it. One trouble I anticipated when my turn comes is my ability to work in such cold conditions.

Soon after the lessons came the simulator training two days later. It marked the very first time we meet our instructors. Excitement fills the air but we are eager to impress and not screw up. Checklists are the first things we have to "learn". You basically run though a list of tasks to bring the aircraft to different stages of the flight, right from the parking bay all the way back to the parking bay. Quite an extensive list considering how small and simple the C172S is. Can you imagine if it is the Boeing or Airbus?

I managed to take-off and land the aircraft in the simulator, just like a computer game. The perception of flying is very different as compared to being a passenger in a huge jetliner. I get to see ahead and know where I'm heading to. I know the airspeed, the altitude, the attitude etc etc. It feels good to be in control of a flight, but that control is not one easily mastered. The one hour of simulator training breezed through before I know it. There will be another hour of it before I'll start on a real flight.

You miss Asian stuff when you're in an non-Asian country. Garlic chilli is such a god-sent item

Air is so dry here I have to moisturize religiously everyday

Dinner 171113

Dinner 181113

Dinner 201113
 
Lunch 21113. Laksa!!

Dinner 211113

CASA issued AVID. Gonna need this for every flight training I go

Model C172 in class

Circuit training

Training areas

One of the many checklists of the C172

Virgin simulator experience

Hour collection book

What a way to end the week with Top Gun showing on TV. This show never gets old, with all of us in the house gathering in front of the small 21" TV enjoying every minute of it




Maldives to become more accessible with launch of Tigerair flights


The upmarket beach holiday destination of the Maldives is set to become more affordable after low-cost carrier Tigerair announced that it is launching flights there.

From Jan 24, the budget offshoot of Singapore Airlines will operate four weekly flights between Singapore and Malé, the capital of the Maldives.

Calling it the “perfect holiday destination”, Mr Alexander Knigge, Chief Commercial Officer said Tigerair is “very excited to be the first and only no-frills airline to fly to the Maldives from Singapore”.

Mr Timothy Ross, head of Asia Pacific Transport Research at Credit Suisse, said that being the only low-cost carrier on the route will be an advantage for Tigerair as budget airlines in the region often compete for passengers on the same high-volume routes: “Operating flights to the Maldives will probably stimulate some demand for travel there as it might make the destination a bit more affordable to more people.”

Tigerair added that it sees untapped potential in the Maldives, saying that while it is traditionally known as the beach destination for the well-heeled, it is also becoming extremely popular for honeymooners and corporate executives looking for a place to recharge. “We believe that the demand for flight to the Maldives will only grow in strength as travellers continue to look for alternatives to the usual beach getaways in the region,” a spokesman told TODAY.

Meanwhile, Mr Ross pointed out that there is a risk that Tigerair might steal some passengers away from its parent Singapore Airlines, which also flies to the Maldives.

“When you offer a cheaper way of getting there, then certainly that will appeal to some passengers who are currently flying on SIA, but it’s unlikely that there will be a major impact on the parent airline’s loads.”

Tigerair has been adding flights to other beach holiday destinations this year, such as Langkawi in Malaysia and Kalibo in the Philippines, which is the main airport serving Boracay.

Tigerair is currently offering a one-way promotional fare of S$133 inclusive of taxes to the Maldives.

SOURCE


US regulators to propose use of mobile phones in flight


US telecommunications regulators will consider next month allowing people to use mobile phones and other broadband services during flights, officials said Thursday.

The proposal would allow people to make phone calls and surf the Internet on their phones, tablets and computers when aircraft are above 10,000 feet (3,048 metres).

But bans would still be in place during takeoff and landing.

Federal Communications Commission Chairman Tom Wheeler said the agency had just circulated a proposal on allowing airlines to offer broadband services to passengers while in flight.

"Modern technologies can deliver mobile services in the air safely and reliably, and the time is right to review our outdated and restrictive rules," he said in a statement.

The FCC's five commissioners will review the idea in a December 12 meeting, and if approved, it will be formally proposed for public review and comment.

That process could take as long as one year. At the end of it, the FCC would make a formal decision.

At the same time, the Federal Aviation Administration, which governs flight safety, would have to sign off on the equipment used and services offered.

The choice would still be up to individual airlines to offer broadband connectivity, an FCC official told AFP.

"I look forward to working closely with my colleagues, the FAA, and the airline industry on this review of new mobile opportunities for consumers," Wheeler said.

The move comes just weeks after the FAA broadened permissions for the use of electronics in flight, including during takeoff and landing, as long as they remained disconnected from Internet and broadband services.

Passengers currently wanting to connect to the Internet during transit still have to use an airline's in-flight wifi service.

SOURCE


Thursday, November 21, 2013

Russia could ban planes older than 20 years after crash


Russian lawmakers on Wednesday called for a ban on planes built more than 20 years ago after a 23-year-old Boeing 737 operated by a regional airline crashed, killing all 50 passengers and crew.

Five lawmakers from the ruling party United Russia submitted amendments that would introduce a ban on "using civilian aircraft that were produced more than 20 years ago to carry out commercial flights."

The latest deadly crash in Russia when a Tatarstan Airlines plane nose-dived and burst into flames Sunday has once again prompted anger over Russia's dire safety record, with most accidents occurring on internal flights run by small regional airlines.

"One of the main problems of civil aviation in Russia is the exceptionally high age of the aircraft," the lawmakers wrote in an explanatory note to the bill.

"According to official statistics, as of 2011, (the average) was around 21 years old," they said.

The law would enter into force in 2017 to give airlines time to update their fleets, they added.

The plane that crashed on Sunday was issued in 1990 and had previously operated routes in Africa and Brazil, where it underwent major repairs, before being bought by the Russian airline.

The reason for the crash remained unclear. The plane fell almost vertically short off the runway while making a second attempt to land in the Volga city of Kazan.

Russia's Interstate Aviation Committee, which investigates all crashes, said Wednesday that they had found the sound recordings of the crew's last minutes on the plane.

Russia's powerful Investigative Committee has opened a criminal probe into a suspected breach of air safety rules.

Investigations have pinned the ban for recent deadly air crashes on pilot error rather than technical failures.

SOURCE


Wednesday, November 20, 2013

Competition heats up among budget airlines in Thailand


Thailand: The market for budget airlines in Thailand is set to become even more competitive.

Thai Lion Air and VietJet Air are muscling in, starting next month.

VietJet Air will launch its first flights between Thailand and Vietnam in the first quarter of 2014, while Thai Lion Air will start twice-daily flights to Chiang Mai and Jakarta and a once-daily flight to Kuala Lumpur in December.

Analysts said some routes may become over-serviced, making deeper price-cutting inevitable.

Thailand's already-thriving Don Mueang Airport will get a new operator in December.

Indonesia's largest airline Lion Air will join the competition, going head-to-head with other low-cost carriers (LCCs), with an aim to capture an initial 10 per cent of the market.

Thai Lion Air will also be the first airline in Thailand to operate the B737-900 ERs.

Voravuth Vongkositkul, director of flight operations at Thai Lion Air, said: "We have a lot of competitors here in Thailand. I cannot say that we will profit but we forecast that in the next two to three years, we will get everything back.

"We also think of expansion or using another hub, in the second half, we could consider Chiang Mai or Hat Yai."

Lion Air is the latest airline to enter Thailand's aviation market and Thai Lion Air will be commencing twice-daily flights from Bangkok to Chiang Mai in December. And to stand out from other low-cost players, Thai Lion Air is offering its passengers a free 15-kilogramme baggage allowance. Analysts said this just makes the competition even stiffer for incumbents such as Thai Air Asia and Nok Air.

Brendan Sobie, chief analyst (Southeast Asia) at the Centre for Aviation, said: "The LCC penetration rate in the international Thailand traffic is about 20 per cent, which means about 20 per cent of the international seats to and from Thailand are accounted for by LCCs. If you compare that to Singapore, the number is about 31 per cent, and in Malaysia, that number is 50 per cent.

"So I think the major LCC groups see that there are potential opportunities to go into the market. It is unknown whether so many new airlines can be supported, given that environment. So we could potentially see some consolidation in the medium- to long run. "

What carriers lose on lower prices, they hope to make up by carrying more passengers in a low-cost market that accounts for just 20 percent of in- and out-bound travel.

In 2012, Jetstar Asia served two million passengers in the Singapore-to-Bangkok market alone.

Barathan Pasupathi, CEO of Jetstar Asia Airways, said: "The Thai market's capacity has actually grown under 10 per cent year-on-year while Jetstar Asia has grown its capacity by 30 per cent at the same time.

"Today, we have 31 alliances and our alliance partners transfer feed into our Singapore hub and fill up seats from Singapore to Bangkok. Likewise, Bangkok being another important hub, our partner alliances actually fly into Bangkok and they fill up the leg between Bangkok to Singapore."

But it is the growing traffic from China and the potential traffic from its newly-opened-up neighbour that offer the most potential.

Paul Ng, global head of aviation at Stephenson Harwood, said: "Thailand has an Open Skies Treaty with China so it is a springboard into Southern China like Guangzhou and the other southern states. The other is Thailand is intimately associated with one of the fastest and newest markets in ASEAN, Myanmar."

That is a market with about 65 million people, and one that budget carriers will have their eyes on - especially if Thai visa restrictions are eased on Myanmarese travellers next year.

Mr Sobie said: "There is no denying that LCC opportunities in Southeast Asia are huge. They have been huge for the last 10 years.

"The rate of penetration for LCCs in Southeast Asia has gone from zero to over 50 per cent of the market. And there are still opportunities because you have the emerging middle class, you have growth and discretionary incomes, and you have frontier markets like Vietnam and Myanmar that are just starting to emerge."

SOURCE


Boeing dominates Airbus with US$101.5b orders at Dubai show


US aerospace giant Boeing on Wednesday announced up to US$101.5 billion in aircraft orders at the Dubai Air Show, as its new 777X model propelled total demand to more than twice that booked by European rival Airbus.

More than US$95 billion of the Boeing orders were for the 777X long-haul aircraft, making it the "largest product launch in commercial jetliner history by value", said the firm.

European giant Airbus meanwhile totted up orders worth US$44 billion, with Emirates placing the biggest by value worth US$20 billion for 50 A380s.

The total takings of about US$145 billion by the two rivals at Dubai were about twice those recorded at the Paris Air Show in June, when Airbus announced US$39.3 billion in orders and Boeing unveiled US$38 billion for a total of about US$77.0 billion.

Boeing's performance in Dubai was underpinned by demand for its new 777X, which was snapped up by Middle Eastern airlines.

Dubai's flagship Emirates placed an order worth US$55.6 billion for 115 777-9X aircraft designed to carry more than 400 passengers. It also ordered 35 777-8Xs, which has a capacity of 350 passengers.

Etihad Airways ordered 17 of the bigger model and eight of the smaller 777-8X, while Qatar Airways bought 50 777-9Xs worth US$18.9 billion.

Boeing claims that the aircraft, which is to enter service around 2020, would be 12 per cent more fuel efficient than the Airbus A350.

SOURCE


TransAsia to launch Taiwan's first budget airline


TransAsia Airways said Wednesday it would spend around NT$3 billion (US$100 million) to launch Taiwan's first low-cost airline as it tries to tap into growing demand for cheap travel.

"We have been preparing this for a long time and our goal is to design a budget airline completely catering to the needs and expectations of the Taiwanese people," said chairman Vincent Lin, after the company secured government approval to set up the so-far unnamed budget subsidiary.

TransAsia, Taiwan's first private airline, plans initially to lease two to three Airbus A320/A321 planes and hopes to start flying within a year, Lin said.

"We will lease brand-new aircraft for a brand-new airline. We will use the best equipment possible," he said.

Lin declined to say which routes the airline would serve or what fares it would charge.

The company has launched a contest to name the new airline, with the winner entitled to unlimited free flights for 10 years, Lin said.

TransAsia -- which flies to Japan, Singapore, South Korea and Vietnam -- has been expanding as it benefits from increased revenues from new China routes that have opened up in recent years since relations between Beijing and Taipei improved.

Demands for discount flying has been rising in Asia. Currently 12 foreign budget airlines, including Malaysia-based AirAsia and Japan's Peach Aviation, offer services to and from Taiwan.

Taiwan's leading carrier China Airlines has also applied to the authorities to launch a low-cost carrier. The bid is awaiting government approval.

SOURCE


AirAsia profit slumps for third quarter in row


AirAsia, Asia's largest low-cost carrier by fleet size, said on Wednesday its third-quarter net profit fell 77.5 per cent year-on-year due to foreign exchange losses despite an increase in passengers.

Net profit for the quarter ending September 30 stood at 35.48 million ringgit ($11.14 million) compared to 157.81 million in the same quarter last year.

Revenue increased 3.5 per cent to 1.28 billion ringgit from 1.24 billion ringgit the previous year, supported by a 11 per cent growth in passengers, it said.

Operating profit rose by 5.0 per cent to 291.06 million ringgit for the quarter. But the bottom line was hit by foreign exchange losses on borrowings.

Average fares also fell 12 per cent from the same quarter last year as AirAsia cuts prices to stay ahead of competitors, including struggling national flag carrier Malaysia Airlines and the recently set-up Malindo Airways, an affiliate of Indonesia's budget carrier Lion Air.

"The main thing to highlight is that despite irrational competition by competitors, AirAsia is able to post higher operating profit and margins," the company said in a statement.

AirAsia said the outlook was "strong" for the rest of the year.

"Passenger numbers are expected to be particularly strong in November and December during the year-end holiday period and remain strong for the rest of the quarter in line with the seasonal patterns," it said in the stock market filing.

The airline's profits slumped 62 per cent in the second quarter and 39 per cent in the first quarter year-on-year.

This follows a highly profitable 2012, when AirAsia recorded a 238 per cent jump in net profit for the full financial year despite a 1.0 per cent rise in the average fuel price.

AirAsia, run by flamboyant boss Tony Fernandes, has grown from a struggling two-plane operation in 2001 to a total fleet of more than 120 A320s.

The airline, one of the biggest customers for European aircraft maker Airbus, is expecting nearly 360 more aircraft to be delivered up to 2026.

It has also set up subsidiary budget carriers in Indonesia, the Philippines and Thailand and plans to launch a no-frills joint venture in India later this year.

SOURCE


India's Jet Airways closes stake sale to Etihad


India's Jet Airways has completed the sale of a 24 per cent stake to Abu Dhabi's Etihad, sealing the first deal with a foreign airline since New Delhi eased ownership rules, the carriers said on Wednesday.

Jet in April announced the US$335-million plan to sell the stake to Etihad, taking advantage of government moves a year ago to open up the aviation sector to foreign investment.

"All requisite Indian regulatory approvals" have been obtained, the airlines said in a joint statement, adding they had "closed the transaction".

"India is one of the largest and fastest-growing markets in the world and a key part of the Etihad Airways' growth strategy," James Hogan, Etihad's chief executive, said in the statement.

The sale by Jet, one of India's biggest publicly traded carriers, has been regarded as a key test of India's ability to attract foreign investors to its ailing airline sector.

Indian carriers need money to fund expansion and cut debt after years of losses caused by fierce fare battles and rising fuel costs.

The Congress-led government last year allowed international carriers to buy up to a 49 per cent stake in domestic airlines.

"The infusion of foreign direct investment in the aviation sector will result in economies of scale, grow traffic at our airports, and create job opportunities," said Naresh Goyal, a former travel agent who is Jet's founder and chairman.

The aviation sector, once vaunted as a symbol of India's economic vibrancy, has seen its fortunes stumble in the face of a slowing economy, over-expansion and rundown infrastructure.

SOURCE


Qantas, Virgin row turns ugly


Virgin Australia chief John Borghetti on Wednesday lashed out at "offensive" allegations made by Qantas in an escalating row over foreign ownership, with reports that lawyers had been called in.

It follows Qantas chief Alan Joyce this week blasting what he called a "virtual takeover" of Virgin Australia by foreign airlines, claiming they were working to destabilise the national carrier.

On Tuesday, Qantas launched an online campaign against a capital raising by Virgin that could leave 72 percent of the carrier in the hands of Singapore Airlines, Air New Zealand and Abu Dhabi-based Etihad.

Joyce, who was in Canberra Wednesday to lobby politicians, said it would result in an "unfair playing field".

He claimed the foreign backing allowed Virgin to run at a loss by setting uncompetitively low prices to win customers from Qantas, an allegation Borghetti denied.

"To say that Virgin Australia is driven by a strategy of uncompetitively low prices and irrational behaviour is offensive and absurd," he told the company's annual general meeting in Brisbane.

"The airline is run rationally with good management and a view to creating a long-term sustainable and profitable business."

He added: "We have embraced change and competition and adapted our business to it."

Borghetti is so furious that he is seeking legal advice on whether there are grounds to sue Joyce for defamation, Fairfax Media reported, although the airline could not immediately confirm this.

Singapore Airlines, Air New Zealand and Etihad already own 63 percent of Qantas' main domestic rival.

Joyce wrote to Prime Minister Tony Abbott and all state governments this week demanding they "fully examine the motives behind the virtual takeover of Virgin Australia by foreign airlines, and to prevent destabilising of the domestic aviation industry, local tourism and jobs".

Qantas said the situation was compounded by the disadvantage it experienced from the restrictions imposed by the Qantas Sale Act when it was privatised in 1995, which limits foreign ownership in the national carrier to 49 percent.

SOURCE


Tuesday, November 19, 2013

Brussels Airlines' pilots suspend 2-day strike


Brussels Airlines' pilots on Tuesday suspended a two-day strike that grounded scores of flights in and out of the Belgian capital after reaching an agreement in principle with the carrier.

Traffic was to resume gradually after the cancellation of 100 flights on Monday, or over half the traffic, and of 71 flights on Tuesday, mostly across Europe but also connections with New York and Nairobi.

"We will negotiate with management until Friday, meaning the strike is suspended and not stopped," warned trade unionist Jean-Marc Lepied.

The agreement in principle reached in conciliation talks calls on management to "re-employ should they agree" pilots aged over 58 that management was pressing to retire in order to employ younger pilots in order to cut back on spending.

The airline is 45 per cent owned by Lufthansa and last year agreed a 100-million-euro (US$135 million) raft of savings with the unions.

SOURCE


British Airways celebrates 80 years of flying to Singapore with special offers


It has been eight decades since British Airways made its inaugural flight to Singapore, on Dec 9, 1933.

To celebrate this milestone, the carrier is offering its Singapore customers special fares to over 30 destinations in the world.

Fares to London start from $1,280, Paris from $1,247, Sydney from $680 and New York from $1,780.

The sale ends on Nov 28 for the travel period between Nov 18 and June 30, 2014, subject to terms and conditions.

British Airways will also host a reception and fashion show of cabin crew uniform over the years at the home of the British High Commissioner, Eden Hall.

Singapore has historically been an integral part of British Airways' network, linking the UK with both Australia and the rest of Southeast Asia.

In 1933, the inaugural flight to Singapore on what was then Imperial Airways departed from Croydon, London, and travelled via Paris, Brindisi, Alexandria, Cairo and Karachi.

That same journey originally took 10 days.

A one-way fare to Singapore then cost £180 (S$361 now) which was just below the average yearly salary at the time.

Robert Williams, British Airways regional general manager, South East Asia, said: "Serving this region for 80 years is a fantastic milestone for British Airways. We have come a long way since our first flight to Singapore in 1933 - offering our customers more destinations, state-of-the-art cabins and aircraft, and the very best in comfort and luxury. Yet, what hasn't changed is that we continue to seek inspiration from our original, historic ethos, 'To Fly. To Serve.' which is about putting the customer at the heart of everything we do.

SOURCE


Monday, November 18, 2013

Boeing, Airbus clinch mega orders at Dubai


Dubai Airshow took off on Sunday with huge aircraft orders and commitments worth around $141.5 billion for Boeing and Airbus from Gulf carriers, with the US manufacturer well in the lead.

The biennial show began brightly for Boeing's 777X, a long-range wide-bodied airliner featuring lower fuel consumption and composite wings.

The new 777 is scheduled to be operational in 2020.

Etihad Airways began the show with an $18.2-billion order for Boeings including 25 777Xs and one 777-200 freighter, Boeing said.

The deal also included an order for 30 787 Dreamliners, making the fast-growing carrier the largest single customer for the medium-body plane.

The Abu Dhabi carrier also announced it was taking an option to buy another 26 aircraft from Boeing.

The total value of the order, including engines and options, amounts to $25.2 billion, according to Etihad.

Emirates Airline followed shortly afterwards by placing orders with both the rival US and European manufacturers, in twin deals valued at $99 billion.

Of this sum, 80 per cent is destined for Boeing's coffers if commitments are confirmed.

The Dubai-based airline ordered 150 777Xs -- 35 777-8Xs and 115 of the 777-9X variant.

Boeing said the Emirates orders were commitments worth $55.6 billion.

The Middle East's largest carrier also boosted the Airbus sales sheet with a firm order for 50 A380 superjumbos worth $20 billion at book value, in the double-decker's first sale this year.

The order cements the status of Emirates as the single largest operator of the long-haul airliner, its chief Sheikh Ahmed bin Saeed Al-Maktoum said.

"Emirates has understood from the start the A380's advantages in terms of efficiency, economics and passenger comfort," Fabrice Bregier, Airbus chief and president, told the signing ceremony.

Airbus has been struggling to sell its A380 superjumbo.

Sales of the world's largest commercial aircraft suffered in 2012 after hairline cracks were discovered on A380 wings. Just nine were sold last year, down from an initial order of 30.

Airbus also clinched a $19-billion deal with Etihad, which ordered 87 aircraft including 50 extra-wide-body A350 XWBs.

The order comprises 40 long-haul A350-900s, 10 A350-1000s, one A330-200 freighter, in addition to 26 A321neo and 10 A320neo single-aisle planes, in addition to an option for 30 more aircraft.

Emirates budget sister company also made a commitment to buy up to 100 Boeing single-aisled 737 MAX and 11 Next-Generation Boeing 737-800s, in a deal valued by Boeing at $8.8-billion.

Qatar Airways also chipped in by signing a letter of intent to buy 50 Boeing 777Xs worth $19 billion.

The Doha-based airline said it had also ordered five A330 freighters from Airbus, valued at about $1 billion according to list prices.

The order was accompanied by an option to add eight airliners, which would put the overall price of the deal at $2.8 billion, chief executive Akbar Al-Baker said.

The Qatar Airways chief praised Boeing's 777 long-haul workhorse as he made a surprise appearance at the joint Emirates-Boeing briefing.

The Triple Seven has been a bestseller since it was launched in the 1990s, with 1,473 sold by November 12.

Boeing is fielding the 777X to counter Airbus's long-haul A350-1000.

This aircraft is anticipated to enter service in 2017 with a passenger payload of 350, threatening Boeing's predominance in the long-haul market.

Etihad on Sunday also announced it is acquiring a 33.3 per cent stake in Swiss carrier Darwin Airline which it plans to rebrand as Etihad Regional after the deal receives regulatory approval.

At the 2007 Dubai Airshow, sales of $155 billion were announced, and analysts have projected that orders this time could nudge that record.

In June, the Paris air show at Le Bourget racked up $115 billion in announced sales at catalogue prices.

The 13th Dubai Airshow, which runs until Thursday, is being held for the first time at the just opened Al-Maktoum International, the emirate's second airport and touted to become the world's biggest when complete.

With some 150 aircraft on the tarmac and 1,000 exhibitors, the show cements the Gulf region's hard-won position as the global hub for 21st century travel, spearheaded by booming airlines whose reach encompasses the world.

SOURCE


Easyjet announces soaring profits


British no-frills airline Easyjet on Tuesday announced a leap in annual profits as increased demand for its flights across Europe offset higher costs.

Net profit surged 56 percent to 398 million pounds (US$641 million, 474 million euros) in the year to September 30 compared with the group's performance in 2011/12, Easyjet said in an earnings statement.

It added that 308 million pounds would be returned to shareholders via dividend payments.

Pre-tax profit jumped 50.9 percent to 478 million pounds, in line with the airline's own raised forecast given last month.

Revenue rose 10.5 percent to 4.258 billion pounds in the reporting period. Costs excluding jet fuel grew to 2.598 billion pounds, while fuel charges climbed to 1.182 billion pounds.

"As evidence of our continued confidence in the future prospects of the business, the board has recommended to return 308 million pounds to shareholders through the combination of an ordinary and special dividend," Easyjet chief executive Carolyn McCall said in the statement.

"We will continue to deliver our strategy of offering our customers low fares to great destinations with friendly service so that we can continue to win in a more competitive market. This means we are well placed to continue to deliver sustainable returns and growth for our shareholders," she added.

Easyjet had said in October that annual profits would be at the upper end of expectations, and cited keen demand for flights during July and August.

The carrier had revised higher its pre-tax profits forecast to between 470 million pounds and 480 million pounds. That compared with its prior July guidance of between 450 million pounds and 480 million pounds.

SOURCE


Qantas blasts "predatory" rivals


Qantas chief executive Alan Joyce has demanded the government halt what he described as a "virtual takeover" of Virgin Australia by foreign airlines, saying they were working to destabilise the national carrier.

Singapore Airlines, Air New Zealand and Abu Dhabi-based Etihad already own 63 percent of Qantas' main domestic rival and under a A$350 million (US$328 million) capital raising proposal announced last week, that could increase to as much as 72 percent.

In a searing letter to Prime Minister Tony Abbott and all state governments, seen by the Australian Financial Review, Joyce charged it was the "final act" by "predatory" state-owned airlines to cripple Qantas both domestically and internationally.

Joyce's ultimate fear is that the capital raising, "supported and largely underwritten by three foreign governments'', was part of a strategy of subsidising Virgin so it could continue to undercut Qantas on profitable domestic routes.

The domestic sector is a key money spinner for the airline and it has helped prop up its underperforming international network.

In his letter, Joyce said the move by the three airlines had "all the characteristics of predator behaviour (to) substantially weaken a major competitor, Qantas Group, and recoup the costs at a later date", the newspaper reported.

Qantas confirmed in a statement on Monday that a letter had been sent "to express concerns, as the national carrier, about potentially damaging shifts in Australia's aviation industry".

"Virgin Australia's proposed capital raising could see its foreign ownership rise to more than 80 percent without the need for any further regulatory approval," the statement said.

"Despite this, the airline would retain all the traffic rights given to Australian carriers.

"If wholly privatised, Virgin Australia's ability to receive potentially unlimited capital from its government-backed owners would seriously distort the domestic aviation market for the benefit of foreign interests.

"The decision of these shareholders to invest in Virgin Australia's loss-making strategy highlights that these airlines aren't subject to the same commercial realities as Qantas."

It demanded Canberra "fully examine the motives behind the virtual takeover of Virgin Australia by foreign airlines, and to prevent destabilising of the domestic aviation industry, local tourism and jobs".

Qantas said the situation was compounded by the disadvantage it experienced from the restrictions imposed by the Qantas Sale Act when it was privatised in 1995, which limits foreign ownership in the national carrier to 49 percent.

Joyce said the government should urgently revisit the "outdated policy framework".

SOURCE


Passenger jet crashes in Russia, killing 50


A Boeing 737 operated by a Russian airline crashed on Sunday while attempting to land in the city of Kazan, killing all 50 on board, Russia's emergency situations ministry said.

"According to preliminary information, all the people on board the flight, 44 passengers and six crew members, were killed," a ministry spokeswoman told AFP.

"The Boeing 737 that flew out of Moscow's Domodedovo airport with 44 passengers crashed onto the runway at Kazan airport on landing and burst into flames," Russia's Investigative Committee, which probes serious incidents, said in a statement.

The emergency situations ministry posted photographs of fragments of the plane scattered across the runway of the airport in Kazan, which is around 720 kilometres (450 miles) east of Moscow.

The plane, owned by Tatarstan Airlines, was making a second attempt to land, the spokesman for Russia's civil aviation authority, Sergei Izvolsky, told the Interfax news agency.

"We know for sure that when the plane tried to make a second landing, for some reason, the plane hit the surface of the runway near the air traffic control tower, as a result of which the plane crashed and burnt."

The plane's black boxes have not yet been found, Izvolsky said.

Russian President Vladimir Putin expressed his "deep condolences to the relatives and loved ones of those who died in the plane crash at Kazan airport," the Kremlin said in a statement.

"After receiving a report on the air crash, the head of state ordered the government to urgently form a commission to investigate the reasons and circumstances of what happened."

The emergency ministry published a list of the names of 44 victims, while saying that six were still being identified. The airline named the chief pilot as 47-year-old Rustem Salikhov.

Among the dead was the 24-year-old son of the leader of the Tatarstan region where Kazan is located, Irek Minnikhanov, the RIA Novosti news agency reported, citing the region's deputy prime minister.

The airline named an 11-year-old girl, Darya Artashina, as among those on the flight.

The head of the region's FSB security service, General-Lieutenant Alexander Antonov, also died in the crash, a member of the disaster management team told RIA Novosti.

The Investigative Committee said an inquiry had been opened to determine whether there had been any "violation of aviation security rules" and added that several inspectors had been sent to the scene of the crash.

"Investigators are looking at different versions of what happened including a technical problem, pilot error and unfavourable weather conditions," it said.

"According to preliminary information all 50 bodies of the victims were found at the scene of the crash," said an official at the local emergency medical centre.

The plane, which had been flying since 1990, had last year made an emergency landing at the same airport, Russian television reported.

Its owner, the Tatarstan Airlines, in a brief statement on its website said that "the circumstances are being clarified."

The airline, founded in 2000, has a fleet of eight planes, including two Boeing-737s.

The Life News website reported that the plane had originally been flown by Air France before being operated by airlines in Uganda, Brazil, Romania and Bulgaria.

Tatarstan Airlines bought the plane in 2008, Life News reported.

Air safety in Russia is a major issue for the authorities following a severe deterioration in the quality of domestic services after the collapse of the Soviet Union.

Officials blame most problems on pilot inexperience as well as poor maintenance by the small and poorly regulated airlines that have sprung up across Russia in the past two decades.

Kazan is the capital city of the Russian republic of Tatarstan, which has a large Muslim population and is seen as an example of peaceful integration of different ethnic groups.

SOURCE