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Tigerair Bali flights grounded

The grounding of Tigerair’s operations to Bali has been extended for the next seven days as a war of words erupts between the airline and Indonesian aviation authorities.

However, the airline is able to bring passengers back to Australia from the holiday island for the next four days.

Tigerair chief executive Rob Sharp accused the Indonesians of not honouring a 12-month agreement struck in March last year.

That agreement allowed Tigerair to lease planes and crew from its parent Virgin Australia (wet- lease) and operate to Bali from Perth, Adelaide and Melbourne.

The only caveat was it was not able to sell tickets in Bali to those Australian destinations.

However, according to sources in Jakarta, the Indonesians have moved the oversight of the agreement from the department that looks after normal regular passenger flights to the charter area.

Thus the Indonesians have changed the rules by which the airline operates to Bali and thus it is technically in breach.

However, almost all airlines lease planes from leasing companies, banks and other airlines often with crew – particularly pilots.

Yesterday Mr Sharp said, “Tigerair Australia currently has approval from The Director General Air Communication and Director Air Transport to operate between Australia and Bali until 25 March 2017.”

“This involves selling tickets in Australia between Australia and Bali. Under the existing agreement, we are not able to sell tickets in Indonesia and we are fully compliant with this.”

Mr Sharp added, “we are not proposing any changes to the agreement – we are operating under the same approval we have been for the last 8 months.”

The airline said it is striving to work through the new requirements but may have to use a different arrangement with its own shorter ranged A320s but this will take two weeks to put in place.

Tigerair said it is doing everything it can to support its passengers, including transferring them to Virgin Australia flights, providing accommodation and refunds. 

“We understand this is a busy period during school holidays and we sincerely apologise for the inconvenience this has caused,” said Mr Sharp.

All other Tigerair flights (all domestic services) remain unaffected by this decision
 

Next: Long-haul travel on short-haul planes

Norwegian

Long-range versions of planes that have been flying for three to five decades will usher in a new era in air travel in the next two years.

After the debut of the super-efficient Boeing Dreamliner and Airbus A350 widebodies in the past decade — as well as the A380 super-jumbo —  the object of airlines this time is to bring super-cheap travel to intercontinental routes with narrowbody planes of less than 240 seats.

New versions of the 737, which will celebrate its 50th anniversary this year, and the A320 family, in service since 1989, can fly routes of eight and a half to nine and a half hours or 6500km to 7400km. New York to Rome is less than 6900km  for example.

That means a myriad of new routes between Europe and America.

In Asia, airlines will have the option of flying travel-hungry Chinese as far afield as Australia, where Chinese tourism is booming. South-east Asia will be within non-stop flying range of the Middle East and Africa aboard the new-age narrowbody planes that, until now, have been the mainstay of short-haul domestic air travel systems.

Using below-cost lead-in fares – the modus operandi of the low-cost carrier business – smaller regional cities of the northern hemisphere on either side of the Atlantic will be linked for the first time for less than  $US100 each way.

After two decades without deep discounting over the Atlantic, trail-blazing low-cost carrier (LCC) Norwegian Air Shuttle – Europe’s No.3 low-cost airline – is pledging lead-in fares of just $69 one-way between Europe and America using its new 737 MAX 8s, which it is expected Boeing will start delivering in the next three months.

That’s less than half of the typical transatlantic lead-in fares aboard Norwegian’s 291-seat Boeing Dreamliner 787s, which the airline says don’t have the ultra-low per-seat costs of the narrowbodies.

The North Atlantic hasn’t seen such deep discounting since Britain’s Laker Airways pioneered cheap long-haul travel in the 1970s and early 1980s.

The 737 MAX 8 will have fewer than 200 seats in the configuration Norwegian will use. The airline’s current 737-800s, on which the MAX 8 is based, have 186 seats at a minimum 29 inches (73cm) per seat row, nearly as tight as Europe’s Ryanair, which squeezes in 189.

Norwegian’s strategy is to target smaller regional cities that currently don’t have regular transatlantic services, such as Hartford, Connecticut, and Providence, Rhode Island, both with populations of more than a million.

On the other side of the Atlantic, regional centres like Cork and Shannon, Ireland, and Edinburgh, Scotland, currently have only seasonal services to the US with larger passenger jets that are hard to fill in winter — markets tailor-made for a new long-range 737.

While maintaining more expensive Dreamliner services to JFK airport on Long Island, Norwegian will also fly this year to New York City’s largely unused fourth commercial jet airport, Stewart International, at Newburgh, about 100km north of the city.

Nearby Newburgh train station, with bus links to and from Stewart International, is about two hours from downtown New York – which in peak hours is nearly as fast as getting from Kennedy airport on Long Island to the Manhattan city centre.

However, if a $US69 transatlantic fare was on offer from Stewart compared with Norwegian’s typical $US189 on its Dreamliner services from Kennedy airport, there would be an instant market among bargain-hunters on both sides of the Atlantic. 

“Our planes are very, very fuel efficient,” Norwegian chief executive Bjorn Kjos said in announcing the airline’s first transatlantic 737 services. 
“We have a totally different set-up to other airlines. The Boeing 737 MAX has a very modern engine, which means it can go for a longer distances. 

“We’ll also be flying to secondary airports in New York – not JFK. That means we don’t pay as much and can charge cheaper fares”.

Norwegian’s use of the 737-8 MAX  this year to open new transatlantic markets will be followed in 2019 by the introduction of the airline’s first Airbus A321LRs, which have even more range (7400 kilometres versus the 737 MAX’s 6500 kilometres) and carry more people, tipped to be 220-230, fewer than the upper legal limit of 240 in seat rows just 28 inches (71 centimetres) apart.

Ironically, airlines are adopting the A321LR as a replacement for the Boeing 757, the world’s biggest narrowbody airliner which went out of production in 2004, even though more than 1000 were built and sold.

In the past few years,  US airlines have been using the 757 to operate long, thin routes over the Atlantic between the America, Europe and even Africa.

But Boeing discontinued production when demand waned after the turn of the century as airlines traded up to widebodies or down to smaller narrowbodies.

However, it has now revived studies into the feasibility of a so-called Middle Of Market jet to occupy the space between the biggest single-aisle jets and the smallest widebodies.

The 737 can’t be stretched further because the 50-year-old design did not provide sufficient space under the wing for the big engines than power the A321, which is higher off the ground.

The Boeing 737-900 was meant to compete with the A321, but is slightly smaller and has won orders from only a handful of airlines.

“The A321neo LR will have longer range than the MAX, so that gives us opportunities in smaller cities where frequency is more important than having a large widebody jet,” says Norwegian’s chief of commercial, Thomas Ramdahl.  “It’s interesting to see if Boeing is coming up with a replacement for the 757 as well because they will need to if the LR does what Airbus is saying it will do.”

The A321neo (for “new engine option”) offers 10-15 per cent lower costs per seat than a wide-body jet, Ramdahl says.
 

Europeans put troubles behind them to hit the skies.

IATA issues summit
IATA boss Alexandre de Juniac

People in regions such as Europe and the Asia-Pacific forgot about their troubles and packed their old kit bags in November as demand for air travel reached its highest point in nine months.

Overall demand rose 7.6 per cent compared to the year before and airlines filled more seats and the load factor edged up almost a percentage point to 78.9 per cent, according to figures released Wednesday by the International Air Transport Association.

Global international passenger demand for the month rose 8 per cent, while worldwide domestic passenger demand — which tends to vary dramatically between countries — grew by 7.1 per cent.

Airlines also filled more seats in all regions.

Europeans  took to international travel with gusto as demand increased 8.3 per cent and the annualised traffic growth for the past five months hit 12 per cent. 

IATA said this suggested the disruption caused by terrorism and political instability had lifted “against a backdrop of a growing Eurozone economy’’. Planes travelling to and from Europe flew fuller with the region’s load factor climbing 1.1 percentage point to 80.8 per cent.

It was a  similar story in the Asia-pacific, where international passenger traffic also rose 8.3  per cent compared to the previous year and the load factor rose 0.8 percentage points to 77.4 per cent.

“The strong upward trend in demand has slowed recently but it is not clear whether this is a longer-term development or just a brief pause,’’ IATA said.

Middle East carriers trumped the field with a 12.2 per cent increase in demand, but load factors were a modest 68.7 per cent and IATA said the region’s seasonally adjusted traffic trend had paused.

The slowest growth was in North America, where traffic climbed just 1.5 per cent but the load factor still edged up slightly to 78.7 per cent. 

“Traffic across the pacific is growing rapidly but North Atlantic demand is moderating,’’ IATA said.

Latin America saw a 7.3 per cent rise in November traffic and the biggest climb in load factor for any region: 3.4 percentage points to 82.2 per cent. Africa was up 8.2 per cent with two thirds of seats full on average.

IATA director general Alexandre de Juniac said the stronger demand for air travel reflected a pick up in the global economic cycle and predicted this would play an increasing role as the stimulus of low oil prices receded.

“Travel has never been more accessible—with great fares, many options and more destinations,’’ he said. “Nevertheless, uncertainty lies ahead. The threat of terrorism, questions over the durability of the economic upswing, rising oil prices and increasing protectionist rhetoric are among the concerns. 

“The industry has reshaped itself and strengthened its resilience to shocks. We should see another solid year of collective profitability for the airlines in 2017.’’
 

Airbus expects to set new aircraft delivery record in 2017.

Airbus China
Photo: Steve Creedy

European giant Airbus doesn’t expect a predicted downturn in orders to stop it from delivering more than 700 aircraft next year after posting a record 688 deliveries in 2016.

Executives expect deliveries to rise despite a downturn in demand from airlines that is tipped to result in fewer orders than the 731 it received last year after cancellations.  

The European company beat rival Boeing in terms of net orders in 2016 — the US manufacturer reported 668 — but fell short of the 748 deliveries logged by its competitor.

The Airbus deliveries were up 8 per cent on 2015 and included 545 single- aisle A320 family aircraft, 68 of them A320neos and 40 per cent of them the bigger A321s. There were also 66 A330s, 49 A350 XWBs and 28 A380s. 

“We delivered on our objectives in a challenging environment, proving our ramp-up readiness for the future,’’ Airbus Commercial Aircraft president Fabrice Bregier said.

The A350 target was met despite a problem with cabin equipment suppliers early in the year and represented a 350 per cent ramp-up in deliveries on 2015. 

The A320neo also suffered engine issues but the manufacturer and the engine companies managed to mitigate the impact of the problems and catch up on deliveries. 

A big push in December saw Airbus deliver a whopping 111 aircraft for the month, about twice the normal level,  and Bregier joked this level of output would not continue in the New year.

“We will see for December ’17 but I hope we’ll not have to strike another record and that we’ll be a but smoother during the year,’’ he said. “But 2016, especially the first six months, was unusually difficult from the production perspective.’’

There were 218 cancellations but this included a long-standing order for 82 aircraft with the now defunct Indian airline Kingfisher as well as 72 conversions from conventional aircraft to more fuel-efficient neo models.

About 20 per cent of Airbus deliveries by value went to lessors with 16 per cent heading to North America, 19 per cent to Europe, 31 per cent to Asia and 14 per cent to the Middle East.

Airbus’s overall backlog of 6,874 aircraft is valued at more than $US 1,018 billion at list prices, which is higher than the prices airlines pay.  More than 5000 of these are neo models. 

 The backlog is a major reason Airbus needs to keep boosting production because it is essentially sold out in areas such as single-aisle aircraft until 2021.

The company’s head salesman, John Leahy, conceded that there was an “order cycle’’ which saw airline demand dip and rise but said this was no longer linked to deliveries. He pointed to fact that Airbus had increased production for 14 consecutive years.

Leahy affirmed earlier comments by Bregier that Airbus would increase production to at least 700 in 2017 and said it would release more precise numbers next month 

“Now does that mean that orders are going up next year?’’ he said. “Most likely not. If you go back and look at that cycle, I would say that orders are going down next year.’’

Airbus celebrated its 10,000th delivery last year,  started deliveries of both engine variants of the A320neo and certified the Pratt and Whitney-powered A321neo.

It expects to certify the CFM-powered A321 variant at the end of the first quarter.

“This is on track and the family will soon be complete with the 320, the 321 and 319 will come a bit later,’’ Bregier said.

The Airbus executive said the company was also well placed to move progressively to a production rate of 60 single-aisle aircraft a month from mid-2019. 

“We have a backlog, our issue to is to make sure that we can deliver, but we are about at rate 50 right now and so I believe that we can be extremely confident that we will do it.’’

Despite initial difficulties, the company delivered A350s to 11 customers and met its production target. It also delivered two, bigger A350-1000s to its flight test program. The aircraft still has a backlog of more than 800 net orders after the deliveries.

The A350-1000 performed its first flight test on November 24 and Bregier said the company had opened the flight envelope, with both aircraft now flying and the plane performing as expected.

He believed that the company had largely de-risked the program and the ramp up to the delivery of 10 aircraft per month by the end of 2018 would be “a linear progression”.

The type had also achieved a steady 98.6 per cent operational reliability in the last four months of the year “which is very good after less than two years in operation’’, he said.

‘it confirms that the maturity in service of this aircraft is good, that the design is robust and, of course, we expect to improve it again and to be at 99 per cent in about one year’s time,’’ he said.

The A330neo is now in final assembly and the company last year delivered its first regional version of the conventional aircraft. 

“We have started the assembly at the final assembly line of the A330 on time and we will have a first flight, as we expect, during the first half of 2017,’’ Bregier said.

Airbus reaffirmed its support for the struggling A380 superjumbo and reiterated its stance that it believed traffic growth would ultimately stimulate demand.

Despite what he termed “a slow commercial performance’’,   Bregier said the aircraft had a future with the company as congestion hit more airports in coming years.

Airbus is slowing production of the A380 to one aircraft per month and has renegotiated its delivery schedule with Emirates to move back by a year deliveries of 12 planes originally scheduled to arrive in  2017 and 2018. 
 

Australian commercial air travel enjoyed safest year for a decade.

A new study highlighting aviation safety in Australia has found 2015 was the nation’s safest year for commercial air travel in a decade.

Australian Transport Safety Bureau research into aviation safety occurrences from 2006 to 2015 released on Wednesday found that only one person died in 2015  from nine commercial air transport accidents.

Of the nine accidents, down from 27 in 2014 and the lowest number recorded in the study period, one-third were charter operations and another third involved the high capacity air transport category in which major airlines sit.

Overall, Australia recorded 31 fatalities involving 28 aircraft in 2015 and 32 serious injuries involving a further 28 planes.  There were  227 aircraft involved in accidents and 185 involved in serious incidents that could have led to an accident.

Small aircraft in the general aviation sector were involved in 12 fatalities and 130 accidents, while recreational aviation recorded 18 fatalities from 76 accidents.

 “The majority of fatalities in the 10”‘year period occurred within general aviation, with around 20 per cent of fatal accidents resulting from a loss of control,” ATSB commissioner Greg Hood said.

Thousands of safety occurrences are reported to the ATSB every year and are analysed by safety investigators to uncover trends and see can be learned from them.

The number of incidents involving Australian-registered large airliners in the high capacity regular public transport category rose by about 40 per cent over the decade of the study, reflecting a 50 per cent rise in the rate of departures.

The report said the number of accidents in 2015 was consistent with the 10”‘year average but the number of serious incidents was significantly lower. The most commonly reported incidents were bird strikes 

Three accidents that year included a passenger seriously injured in turbulence encountered during a Brisbane-Sydney flight and another injured by an aircraft fitting during a flight from Sydney to Hobart.

An ATR-72 turboprop aircraft was also “substantially damaged’’ at Moranbah, Queensland, when high winds caused a wing strike.

There were four serious incidents, including one in which a Jetstar Airbus A321 took off from Melbourne outside the loading limits for the aircraft. The crew of an A320 from the same airline had taken off 10 days earlier from Brisbane with 16 more passengers than advised, resulting in a 1328kg discrepancy to the take-off weight.

Others included a fire on an A320 oven during descent into Sydney and a diversion into Darwin due to faulty flight instruments.

The number of incidents involving smaller airliners significantly declined over the decade, mainly due to a fall in flying activity.

The ATSB said the decline was a result of a trend towards the use of bigger aircraft for resource industry flying, a trend for regional carriers to use bigger airliners and the move by the big airlines on to regional routes.

There were no accidents in this category in 2015 and the five serious incidents were consistent with the 10-year average. Bird strikes were again the most commonly reported incidents.

Serious incidents damaged propellers from a multiple bird strike in NSW and a kangaroo in Queensland as well as an autopilot problem and a near miss, both also in Queensland.

The number of charter accidents —  generally the highest for the commercial air transport category —  was relatively stable over the decade but dropped significantly in 2015 to three, from 23 in 2014.

Birds were again the biggest problem and the incidents included a runway overrun by an Aero Commander 500-U at Badu Island off Queensland and a collision with terrain after a runway excursion in Western Australia.

Hood said that for all accidents, the highest accident rates occurred with recreational aeroplanes, followed by aerial agriculture, private/business and sports aviation, and recreational gyrocopters.

He was particularly concerned about the flying training accident rate per million hours flown in 2014, the latest available, which was more than double that of any year in the previous eight years.

“The increase in accident rates involving flying training is an emerging safety concern—we’ll continue to keep a close eye on this sector to get a better understanding of the safety issues involved,” Hood said.

Also on the rise was the number of remotely piloted aircraft accidents and incidents.

 “This has gone up from 14 occurrences in the eight years from 2006–2013 to 37 in 2014–2015,’’  he said.“Given the significant growth in the use of remotely piloted aircraft, it is likely that the number of incidents and accidents will continue to increase in the short term.”

 

New Air France Dreamliners raise the bar in premium economy.

787

Air France is offering some inexpensive opportunities to experience the first brand new aircraft type added to its fleet since the arrival of the Airbus A380 in 2009.

The carrier’s first Boeing 787-9 took over the  4.5-hour daily flight from Paris Charles De Gaulle  Airport to Cairo on January 9 but it will also initially be used on shorter routes in Europe.

The Dreamliner will move to long-haul service on the airline’s Paris-Montreal route on May 1 after the second of 16 787-9s arrives in spring. 

But there are opportunities to experience the newest addition to the Air France fleet on the cheap within Europe before that date.

 From February 6, flights AF1680/1681 between Paris and London-Heathrow and return will be flown by the first 787 (except on Wednesdays), with one-way economy fares offered at bargain prices as low as 66€.  

 With the deployment of the second aircraft, the airline is planning a round trip between Paris and Lyon in between flights to Canada to give flight crews an extra opportunity to rack up take-offs and landings.

The new plane highlights one of Air France’s weaknesses:  its inconsistent cabin product, particularly in business class.

 Its business product ranges from aging angled lie-flat seats, especially in the A340-300 fleet and on the 10 A380s delivered since 2009, to the revamped cabins of the Boeing 777s. 

The rollout of the newest 777 product started in June, 2014, and it will still take until December, 2017, before all aircraft have been refitted.   Currently, 44 of 68 Boeing 777-200ERs and -300ERs have been upgraded. 

The airline will also keep its A340s for some time — nine of the airline’s 11 A340-300s, some over 20 years old, will only be phased out within the next three years.

 Air France fleet director Nicolas Bertrand told Airline Ratings during a 787 demo flight that the plan was to replace them one by one with the incoming Dreamliners.

Because the ancient A340 cabins will continue to offer customers only a fraction of the comfort of the newer aircraft interiors, the biggest uncertainty surrounds the A380 fleet. 

“We are now making a plan and shall start retrofitting a new product from 2019”, says Bertrand, meaning that it will take at least until 2020, more than 10 years since the superjumbo’s   introduction, before passengers can expect to see enhanced A380 cabins matching the offerings of 777s or the 787.

The wild variety of product levels won’t be helped by the introduction of the first Airbus A350-900s at Air France, planned for September 2019.  While partner KLM took the first 787s in November 2015, and now has eight in service, Air France will take the lead with the A350s.

Air France’s Dreamliners offer 276 seats versus 294 on the 787-9s operated by KLM, the reason being that the Dutch don’t have a dedicated premium economy cabin. KLM has an “Economy Comfort” section, with an enhanced pitch of 35’’, that is otherwise an identical product to Economy.

 Air France takes pride in its new premium economy, which is making its debut on the 787s with a dedicated cabin (rows 11-12) with 21 seats in 2-3-2 configuration.

 “We use the Zodiac Airgo FX Premium seats and enhanced the pitch from 38’’ in our previous product to 40’’ now,’’ customer experience manager Fatou Gueye tells Airline Ratings. 

This is not the roomiest premium economy in the sky  —  JAL and China Airlines are offering up to 42’’ with the same seat hardware — but Air France’s newest product is easily among the best offerings  currently available, boasting a bigger recline of 130 degrees versus 123 degrees in the previous  fixed shell seats that were an industry innovation when introduced by the airline in 2009. 

 The screens for the 787’s in-flight entertainment system from Panasonic, as on the 777s, have been enlarged from nine inches to 11 inches.  Welcome innovations on the new product is the much larger foldout table, which can support a laptop easily, and new footrests which come up higher than previously to make the seat more comfortable for many passengers.

A new feature in the otherwise unchanged business cabin is a smallish bar corner in a space next to door 2L.  

The Air France 787 is also the first aircraft of the carrier’s 225-strong fleet to be wi-fi-enabled, a move that comes late compared to other international carriers such as Lufthansa or Emirates.

 “The technology wasn’t good enough, but now it is time,’’ says Bertrand.  Air France/KLM repeated this mantra and refused to sign up for on-board WiFi for years, allowing the competition to gain big advantages. 

The Panasonic eXConnect system using Ku-band satellites seems to work fairly well and fast, according to people who have used it on Air France’s 787 flights. 

However, the airline charges for data packages, the most customer-unfriendly solution, as passengers have no idea how fast their package is used up.

 Rather than offering a flat fee like Lufthansa, Air France charges from 5€ for 20MB, 10€ for 50MB and 30€ for 200MB. 

In September, Air France-KLM had signed with provider Gogo to equip a total of 124 long-haul aircraft of both carriers, 68 Boeing 777s and 15 Airbus A330s at Air France, but again only starting at the end of 2017.  

There is also no word on any plans for the A380.
 

United to drop year-round flights to New Zealand

Air New Zealand has confirmed that alliance partner United Airlines will move to a seasonal schedule this year on its Auckland-San Francisco route.

The Kiwi carrier said the move to stop flying to Auckland between April 17 and October 31 would allow United to better match capacity with seasonal demand.

However,  the US carrier will boost flights to Auckland by three a week during the busy summer months.

“Between April and October, all alliance services on the route will be operated by Air New Zealand, which will fly daily between Auckland and San Francisco,’’  AirNZ said. “United will resume flying daily on the route from November 2017, increasing to 10 services per week during the peak summer months of December – March, in addition to Air New Zealand’s operated services.

“Air New Zealand and United Airlines are committed to working together to provide customers with convenient year-round travel options between New Zealand and the United States.’’

The launch last July of United Boeing 787 service to Auckland after a long absence was originally seen as a pre-emptive strike against the Qantas-American alliance and as a way of deepening the partnership the Star Alliance carriers.

The United move comes as an increase in capacity on trans-Pacific routes in recent years which has kept airfares low.
 

Will the Virgin America brand disappear?

Alaska Air Group, the new owner of Virgin America, is wrestling with what precisely to do with the wildly popular airline it bought. 

Specifically, Alaska management is trying to decide what becomes of the Virgin America brand, amenities and renowned service.

It’s those perks, and the Virgin panache, that led AirlineRatings to name Virgin America best low-fare airline for the Americas in 2017. 

“You walk in the [the cabin] and think you’re in a brand-new disco,” says California-based airline consultant Jack Keady. “If you want a margarita or gin and tonic, you press two buttons on the TV screen and someone delivers it to your seat.”

The dilemma for  Alaska is whether it ditches Virgin’s cabin mood lighting, the ability to order food and drinks you’re your seat and 55 inches of legroom in first class and risks turning off Virgin devotees.  If not, does it plow forward to fully integrate the two carriers?

 “I don’t know,” says Mike Boyd, president of the Colorado-based consultancy Boyd Group International, “And I don’t think Alaska knows either.” 

According to a Virgin America spokeswoman, the airline will have news on the future of brand later in the year. In what may be a hint of things to come, she notes the airlines are working on a single operating certificate with the US Federal Aviation Administration.

Boyd asserts that Alaska and Virgin America still remain two airlines in terms of fleet, operations, and product in the wake of the merger’s closure in mid-December, 2016.

 Alaska Air Group operates 223 aircraft, mostly Boeing 737s of various size and range.  Virgin America’s 63-aircraft fleet is exclusively Airbus.

 “[The two] might as well be steamship company and a railroad,” Boyd argues. “You can’t interchange those two products.”

Another option is keeping the two airlines separate but under one umbrella. There’s ample precedent for this. Southwest did it when it purchased archrival Muse Air back in the 1980s. The airline changed the name to TranStar, which in short order flew off into the sunset. 

Alaska also did this when it purchased Jet America, with hubs in Las Vegas and Long Beach, in the eighties. 

Boyd says Virgin America was bought precisely because it was a “success…a raging success…it had value for other airlines to buy, to get out of the way. Simple as that. It’s just good business.”

Prior to the Alaska-Virgin merger,  Boyd notes, JetBlue was pursuing a tie-up with Virgin. He believes that mesh would likely have been easier to manage because both fly A320-family aircraft and specialize in trans-continental services.

Boyd also disagrees with the conventional view that the need for quick growth and the battle with Delta Air Lines motivated the Alaska merger.

Delta and Alaska have been engaged in a no-holds-barred battle for supremacy in the Pacific Northwest at Seattle-Tacoma International Airport.   Boyd says that heated competition didn’t ignite the merger and that now both Delta and Alaska  “are now going gangbusters”  in terms of business at the airport.

Whatever happens to the  Virgin logo in the US, the newly-forged entity will be the fifth-largest US airline, sporting some 1200 daily flights to 118 destinations. 
 

MH370: New search underway

Searchers for missing Malaysia Airlines flight MH370 are having a final roll of the dice by moving north into a 25,000 sq. km search area defined by a meeting of high-powered experts as the potential crash site.

The last remaining ship in the search, the Dutch-owned Fugro Equator, moved into the new search area on January 6th and is conducting sonar sweeps in a last-ditch attempt to locate the missing Boeing 777, which disappeared in March, 2014 with 239 passengers and crew on board.

The move, less than two weeks before the search is scheduled to end, is an attempt to cover at least some of the area now believed to likely contain the debris field.

The search is being led by the Australian Transport Safety Bureau which confirmed the change to AirlineRatings.com. 

 “Fugro Equator is completing its final swing and gathering some sonar data in areas we haven't previously completed,'' an ATSB spokesman said. “Equator's search operations are expected to be completed by the end of January." 

Dr Richard Cole, from the University College of London, has been tracking the ship and revealed the decision to head north into the new search area.

“Equator has re-entered the search to the north, away from the area originally identified in late 2014 by the Australian Defence Science and Technology Group,’’ he told The Daily Beast. 

“Using a sonar system, it is now checking sea floor not previously scanned. The search has only limited time left, but they are investing this remaining time in scanning the area they now believe is the most likely location of MH370.”

The Equator left Fremantle on Monday December 12 and a typical mission lasts 40 days which would mean that the ship has approximately two more weeks to search this new area.

An $A200m sweep of the 120,000 sq km area defined in 2014 as a probable location for the debris proved fruitless but a meeting in November of global aviation and crash experts defined the additional area using new information from ocean drift research made possible by the discovery of debris on in the Western Indian Ocean from the missing plane.

The new area is deeper and more rugged than the previous search area, with some sections 6000m deep, and experts say a thorough search would require two ships.

All eyes are now on the Malaysian Government, which has responsibility for the investigation, to see whether it will fund the $A40-$A50 million it would take to complete the search of the new area. 

The Australian government has shown little enthusiasm for putting extra money into the search but would likely allow the Australian Transport Safety Bureau to continue heading the effort if Malaysia funds it.

The three governments involved in the search — Malaysia, China and Australia — decided last July to end it once the sweep of the original 120,000 sq, km, search zone was complete if no new credible evidence of a specific location for the debris was forthcoming.

The transport ministers of Malaysia and Australia indicated last year the 25,000 sq. km search area was not specific enough, despite a recommendation by the experts that it should be searched to exhaust the remaining possibilities of finding the plane. 

The finding that the search should continue is backed by the families of MH370 victims and members of the search team.

Malaysia Transport Minister Liow Tiong Lai said last week the decision whether or not to extend the search would be taken before the end of January but indicated it was likely to end.

“We are in the final lap. The search will be completed in the next two weeks, then after that we will let people know. We will have a tripartite meeting,” Malaysia’s The Star newspaper quoted Liow as saying.

Platitudes are not enough for families needing answers on MH370: Read our comment on contiuing the search.

Meanwhile, reports have emerged that a French background check of the plane's passengers and crew found nothing suspicious. France is investigating the crash because four French nationals were on board and officials told family members of the victims that the backgound checks had "turned up negative'', AFP reported.

Hawaiian tops global on-time performance rankings

Hawaiian Airlines
Photo: Hawaiian Airlines.

Getting to a destination on time is an important factor for many travellers and nobody among the world’s top 200 mainline carriers did it better than Hawaiian Airlines in 2016.

The Hawaiian carrier significantly improved its position to move up from ninth to first place in the OAG Punctuality League listing the globe’s 20 most punctual airlines. It did so by operating 89.87 per cent of its flights on time.

Following Hawaiian’s lead were Latin America’s Copa Airlines (88.75 per cent), Dutch-based carrier KLM (87.89 per cent), Australia’s Qantas (87.56 per cent) and Japan Airlines (86.74 per cent).

The biggest carrier among the top 20 most punctual airlines was US-based  Delta Air Lines, which came 13th with 84.29 per cent of its flights on time.

“For an airline of this size, the fact that over 84 per cent of all flights arrived on time over a year is a remarkable achievement,’’ the report said.

Alaska Airlines, in seventh position with an on-time performance of 86.05 per cent, was the other US carrier to make the top 20.

The top five low-cost airlines were UK-based Monarch Airlines (85.67 per cent) GOL (84.63 per cent), Transvia (83.98 per cent), Jet2.com (82.64 per cent) and germanwings (82.48 per cent). Three airlines new to the LCC top 20 were Spring Airlines, Eurowings and Spirit Airlines.

The world’s biggest LCC, Southwest, was ranked seventh with an on-time performance of 81.04 per cent.

Regional winners were Qantas (Asia-Pacific), KLM (Europe, Middle East and Africa), Hawaiian (North America) and Sky Airline (Latin America).  
Winning airports were Newcastle in the UK (small airports), Birmingham (medium), Surabaya (large) and Tokyo Haneda (major).

OAG looks at the top 200 airlines globally and airports that handle 2.5 one-way million seats annually. It defines on-time performance as being within 14 minutes and 59 seconds of scheduled departure or arrival.

OAG executive vice president John Grant said the survey this year drew upon the biggest number of flights tracked in a single year.

“One of the few constants in our dynamic industry is the need for travellers to arrive at their destination or connecting airport on time,’’ he said.

"The 2016 OAG Punctuality League highlights just how successful we are at delivering on this key performance indicator. 

“Whether it is a 17-hour long-haul service or a one-hour connecting flight to a hub, the accuracy of both scheduling the service and delivering the stated on-time performance is incredible; especially when compared to so many other forms of transport.’’
 

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