WestJet reports a record 2Q net profit of $51.8 million, will operate Boeing 767-300 ERs, Encore orders 5 more Q400s
WestJet (Calgary) today announced its second quarter results for 2014, with net earnings of $51.8 million (all amounts in Canadian dollars), or $0.40 per fully diluted share, as compared with the net earnings of $44.7 million, or $0.34 per fully diluted share reported in the second quarter of 2013. Based on the trailing twelve months, the airline achieved a return on invested capital of 13.7 per cent, consistent with the 13.7 per cent reported in the previous quarter.
“We had a great second quarter, reporting record earnings, exceeding our ROIC target for the eighth consecutive quarter, and achieving an on-time performance rate of 84.5 per cent, a year over year improvement of 3.5 percentage points,” said WestJet President and CEO Gregg Saretsky. “We continue to execute on our growth plans, including new service to Dublin, Ireland, success with our fare bundles initiative, and the expansion of WestJet Encore. Encore celebrated its first birthday in June, recently welcomed its one-millionth guest, and exercised five additional purchase options for Q400 aircraft. I want to thank all of our 10,000 WestJetters for their commitment to providing our award winning brand of friendly caring service, which is the foundation of our success.”
On July 7, WestJet announced that it was in the advanced stages of sourcing aircraft for its entry into wide-body service. A natural, next-step evolution for the airline, WestJet has recently selected four Boeing 767-300 ER aircraft (below) which will initially operate on routes between Alberta and Hawaii during the winter season beginning in late 2015. The airline’s current winter service between Alberta and Hawaii, via two Boeing 757-200s operated by Thomas Cook, is ending in the spring of 2015. WestJet expects to expand its operation into overseas markets starting in the summer of 2016. Further announcements regarding WestJet’s wide-body schedule will be released at a later date.
On July 28, 2014, WestJet’s Board of Directors declared a cash dividend of $0.12 per common voting share and variable voting share for the third quarter of 2014, to be paid on September 30, 2014, to shareholders of record on September 17, 2014. All dividends paid by WestJet are, pursuant to subsection 89(14) of the Income Tax Act, designated as eligible dividends, unless indicated otherwise. An eligible dividend paid to a Canadian resident is entitled to the enhanced dividend tax credit.
In other news, WestJet Encore Ltd. has signed a firm purchase agreement for five Bombardier Q400 NextGen airliners. This transaction is a conversion of a batch of five options booked by the carrier’s parent company WestJet and follows the first conversion of five option aircraft announced on March 27, 2014, bringing the number of option aircraft exercised to 10. The initial total of 25 option aircraft was part of the original contract announced on August 1, 2012 that included WestJet’s firm order for 20 Q400 NextGen airliners.
WestJet Encore launched in June 2013 operating 10 departures daily to two destinations with two Bombardier Q400 NextGen aircraft and 131 employees. Today, it operates 90 departures daily from hubs in Calgary, Alberta and Toronto, Ontario to 19 destinations with 13 Bombardier Q400 NextGen aircraft and approximately 500 employees. The airline has announced plans to introduce service to Québec City, Québec; Fredericton, New Brunswick and Penticton, British Columbia in 2015.
Copyright Photo: Matt Dueck/AirlinersGallery.com. WestJet will become a new Boeing 767-300 operator. The airline will trade in its wet leased Boeing 757-200s (currently operated by Thomas Cook Airlines) for larger wide-body Boeing 767-300 ERs in 2015. The pictured Boeing 757-28A N750NA (msn 26277) was previously operated by North American Airlines in the WestJet brand.
Allegiant Travel Company (Allegiant Air) (Las Vegas) reported net income of $33.5 million for the second quarter 2014, ending on June 30, up 29.8 percent from the previous second quarter net profit of $25.8 million in 2013.
“We are very proud to report our 46th consecutive profitable quarter,” stated Maurice J. Gallagher, Jr., Chairman and CEO of Allegiant Travel Company. “We have been working very hard to mitigate the crew training issues that have impacted us in the past two quarters. Although these issues did contribute to operational inefficiencies and incremental costs during this past quarter we are trending in the right direction and hope these issues have minimal impact in the third quarter. On a much more positive note, in June we completed multiple aircraft transactions to add 14 additional aircraft to our future fleet and raised $300 million of debt in the high yield market with very competitive terms. We could not have done this without the tremendous effort of our Team Members.”
Notable company highlights:
Increased operating margin, EBITDA margin and return on capital employed versus the same time last year
Acquired 12 incremental A319 Airbus aircraft for delivery in 2018. See table below for financial impact of this transaction
Signed agreements to acquire one A320 and one A319 to be in service in 2015 and 2016, respectively
Entered into a letter of intent to purchase eight A319s, previously committed to under operating leases.
Two of these are currently under operating lease to Allegiant, one is expected to be delivered in 2014 and five are expected to be delivered in 2015
In-service Airbus fleet of 10 aircraft accounted for 21.9 percent of total ASM production during the quarter
Prepaid $121.1 million, 5.75 percent term loan facility due 2017
Raised $300 million, 5.50 percent senior unsecured notes due 2019, corporate rating of BB- by Standard & Poor’s and Ba3 by Moody’s
Raised $85.3 million collateralized by 53 MD-80 and six 757 aircraft
Initiated service on 12 new routes in the second quarter
Named Top-Performing Airline in North America by Aviation Week for third consecutive year. The Company also has the best five-year average score of any airline worldwide, 76.9, more than 5 points higher than the second-ranked carrier
Read the full report: CLICK HERE
Copyright Photo: The fleet will grow by 10 aircraft (mainly Airbus A319s and A320s) in the next two years while the Boeing 757s remain constant at six aircraft. Boeing 757-204 N903NV (msn 26966) is tugged off the gate at Los Angeles International Airport.
Delta Air Lines (Atlanta) today reported financial results for the second quarter (June quarter). Key points include:
Delta’s pre-tax income for the June 2014 quarter was $1.4 billion, excluding special items1, an increase of $593 million over the June 2013 quarter on a similar basis. Delta’s net income for the June 2014 quarter was $889 million, or $1.04 per diluted share, and its operating margin was 15.1 percent, excluding special items.
On a GAAP basis which includes special items, Delta’s pre-tax income was $1.3 billion, operating margin was 14.9 percent and net income was $801 million, or $0.94 per diluted share.
Results include $340 million in profit sharing expense in recognition of Delta employees’ contributions toward achieving the company’s financial goals.
Delta generated over $2 billion of operating cash flow and $1.5 billion of free cash flow during the June 2014 quarter. As of mid-July, the company has used its strong cash generation in 2014 to reduce its adjusted net debt below $8 billion, contribute more than $900 million of funding to its defined benefit pension plans, and return $550 million to shareholders through dividends and share repurchases.
“Delta’s performance this quarter, with 9 percent top line growth, more than 4 points of margin expansion and $1.5 billion of free cash flow, shows the financial strength and resilience of our company. We expect our September quarter performance will be even stronger, as we expand our operating margins to 15-17% and further improve our profitability,” said Delta chief executive officer Richard Anderson. “All credit goes to Delta people worldwide who not only produced this record financial performance, but also continue to lead the industry in operational reliability and customer satisfaction.”
Delta’s operating revenue improved 9 percent, or $914 million, in the June 2014 quarter compared to the June 2013 quarter, driven by continued strength in corporate and domestic revenues. Traffic increased 5.0 percent on a 3.2 percent increase in capacity.
Passenger revenue increased 9 percent, or $772 million, compared to the prior year period. Passenger unit revenue (PRASM) increased 5.7 percent year-over-year with a 3.8 percent improvement in yield. Seat-related products and other merchandising initiatives increased revenues by $45 million versus the prior year period.
Cargo revenue decreased 1 percent, or $2 million, as lower freight yields were partially offset by higher volumes.
Other revenue increased 15 percent, or $144 million, driven by higher joint venture and SkyMiles revenues.
Consolidated unit cost excluding fuel expense, profit sharing and special items (CASM-Ex2), was flat in the June 2014 quarter on a year-over-year basis as the benefits of Delta’s domestic refleeting and other cost initiatives offset the company’s investments in its employees, products and operations. GAAP consolidated CASM decreased 0.4 percent.
Total operating expense in the quarter increased $249 million year-over-year driven by higher revenue- and volume-related expenses and $222 million higher profit sharing expense. These cost increases were partially offset by lower fuel expense and savings from Delta’s cost initiatives.
Fuel expense declined $168 million driven by hedge benefits, refinery profits and prior year mark to market adjustments that offset higher market fuel prices and higher consumption. Delta’s average fuel price was $2.93 per gallon for the June quarter, which includes $99 million in settled hedge gains. Operations at the refinery produced a $13 million profit for the June quarter, a $64 million improvement year-over-year.
Excluding special items, non-operating expense declined by $58 million as a result of lower interest expense, lower foreign exchange impact, and a $7 million gain associated with Delta’s 49 percent ownership stake in Virgin Atlantic. Including a $111 million special item for loss on extinguishment of debt resulting from Delta’s debt reduction initiatives, non-operating expense for the quarter increased by $53 million.
Tax expense increased $496 million compared to the prior year quarter, as the company now recognizes tax expense for financial reporting purposes following the reversal of its tax valuation allowance at the end of 2013.
“With our domestic refleeting continuing and our cost initiatives taking hold, we have been able to keep our non-fuel unit cost growth below 2 percent for each of the last four quarters,” said Paul Jacobson,
Delta’s chief financial officer. “Not only are these initiatives driving our current performance, but they are also building a foundation for sustaining this performance into the future.”
Cash from operations during the June 2014 quarter was $2.1 billion, driven by the company’s June quarter profit and the normal seasonal increase in advance ticket sales, which were partially offset by $300 million in contributions to the defined benefit pension plan. The company generated $1.5 billion of free cash flow.
Capital expenditures during the June 2014 quarter were $520 million, including $343 million in fleet investments. During the quarter, Delta’s net debt maturities and capital leases were $851 million.
With its strong cash generation year to date, the company has returned $550 million to shareholders as of mid-July. Through its $0.06 per share quarterly dividend, the company paid $101 million to shareholders. In addition, the company repurchased 12.4 million shares at an average price of $36.33 for a total of $450 million. These repurchases represent $200 million under the May 2014 $2 billion authorization, in addition to completing the May 2013 $500 million authorization.
Delta ended the quarter with $6.0 billion of unrestricted liquidity and adjusted net debt of $7.9 billion. The company has now achieved more than $9 billion in net debt reduction since 2009.
Jacobson continued, “By taking a balanced approach to capital deployment, Delta has been able to invest more than $1 billion in our fleet and other products, while also reducing our debt to its lowest level in twenty years, contributing over $900 million to our pension plans, and returning $550 million to shareholders so far this year.”
Delta has a strong commitment to its employees, customers and the communities it serves. Key accomplishments in the June 2014 quarter include:
Recognizing the achievements of Delta employees toward meeting the company’s financial and operational goals with $476 million of incentives so far this year, including accruing $439 million in employee profit sharing and paying $37 million in Shared Rewards;
Improving its global network with new service connecting Delta’s hubs in New York and Seattle/Tacoma with the key business destinations of London-Heathrow, Zurich, Rome, Hong Kong and Seoul;
Announcing an order for 15 Airbus A321 aircraft, adding to the 30 aircraft of this type already on order. These economically efficient, proven-technology aircraft will provide an improved customer experience as they replace similar, less-efficient domestic aircraft that are being retired as part of the Delta’s domestic fleet restructuring;
Completing modifications on its international widebody fleet, making Delta the only U.S. carrier to offer full flat-bed seats with direct aisle access in BusinessElite and personal, on-demand entertainment at every seat on all long-haul international flights; and
Celebrating the grand opening of the new Delta Flight Museum, which coincided with the 85th anniversary of Delta’s first passenger service. The museum is housed in the airline’s two original maintenance hangars with exhibits that chronicle more than eight decades of Delta history and the growth and development of commercial aviation.
Delta recorded a net $88 million special items charge in the June 2014 quarter, including:
a $69 million charge for debt extinguishment associated with Delta’s debt reduction initiative; and
a $20 million charge associated with Delta’s domestic fleet restructuring.
Delta recorded a net $159 million special items charge in the June 2013 quarter, including:
a $125 million mark-to-market adjustment on fuel hedges settling in future periods; and
a $34 million charge for facilities, fleet and other items, primarily associated with Delta’s domestic fleet restructuring.
Copyright Photo: Jay Selman/AirlinersGallery.com. Boeing 757-2Q8 N709TW (msn 28168) arrives in New York (JFK) with a special tribute to retired New York Yankees pitcher Mariano Rivera “42”.
La Compagnie (formerly Dreamjet) (Paris-CDG) yesterday (July 21) evening launched its business class passenger operations. Flight BO 100 departed at 18:30 from Terminal 1 at Charles de Gaulle Airport (CDG) to Newark with the pictured Boeing 757-256 F-HTAG (msn 29307).
Copyright Photo: Manuel Negrerie/AirlinersGallery.com.
Monarch Airlines (London-Luton) may be close to renewing its connection with Boeing. The airline currently operates three Boeing 757-200s which are being replaced with newer Airbus A321s. Monarch has had a long association with Boeing dating back to the 707s and 720Bs and the 737 Classics (-200s and -300s).
According to Reuters, citing industry sources, the British airline is close to ordering 30 aircraft from Boeing. The aircraft were unspecified. Could it be new Boeing 737 MAX aircraft?
In August 2006, Monarch ordered six Boeing 787-8 Dreamliners but this was cancelled in September 2011 as the airline stated it has “reassessed its decision”.
If correct, this would possibly unseat Airbus as the carrier’s main supplier of aircraft.
Read the full article: CLICK HERE
Copyright Photo: Paul Denton/AirlinersGallery.com. The historic connection to Boeing is fading fast. The last Boeing 757s will be phased out at the end of the current summer season. Boeing 757-2T7 G-MONJ (msn 24104) departs from Geneva.
American Airlines Group (American Airlines and US Airways) (Dallas/Fort Worth) has informed its employees about the repainting of the American Airlines and US Airways fleets into the 2013 American brand.
In the June 26 issue of Arrivals, the employees were briefed on the repainting process.
Highlights: As expected, the aging fleet of McDonnell Douglas DC-9-82s (MD-82s) and DC-9-83s (MD-83s) of American will not be repainted. This type is being phased out and will be gone in 2018. However the AAG has made the decision to repaint the 35 Boeing 757-200s of American and the 16 Boeing 757-200s of US Airways into the new livery. So far none have been repainted. We are likely to start seeing some soon, especially at US Airways. All will be repainted by the fourth quarter of 2016.
All of the American 777-200s have now been repainted (above).
US Airways has started repainting the Airbus A320 family aircraft: 700, 701, 702, 703, 809, 814, 819, and one other have been repainted. 579, 580, and 581 were all delivered new in American colors. The first Airbus aircraft to be repainted were the former Star Alliance liveried aircraft.
All new arrivals for both American and US Airways are of course, painted in the new American look.
We are likely to still see the American 1968 classic livery lingering on until the fourth quarter of 2017. The American Boeing 737-800s will be the last type to be fully repainted.
Here is the graph sent to the employees:
Top Copyright Photo: Jay Selman/AirlinersGallery.com. All of the Triple Sevens have been repainted. Boeing 777-223 ER N790AN (msn 30251) arrives in New York (JFK).
Video: Painting a Boeing 777:
Middle Copyright Photo: Bruce Drum/AirlinersGallery.com. American currently operates 35 Boeing 757-200s as the type is gradually being retired. Boeing 757-223 N624AA (msn 24582) of American Airlines taxies to the gate at the Miami hub painted in the classic 1968 livery.
Bottom Copyright Photo: Stefan Sjogren/AirlinersGallery.com. US Airways is now down to just 16 Boeing 757-200s. Boeing 757-2B7 N938UW (msn 27246) prepares to land in Stockholm (Arlanda).
Dreamjet (Paris) has become La Compagnie (The Company). The would-be airline has filed an application with the Department of Transportation (DOT) to operate all-business Boeing 757-200 flights from Paris (CDG) to Newark. The new airline is now planning to launch operations on July 11.
Frantz Yvelin is the founder and visionary, who perviously founded L’Avion (Paris).
Images: La Compagnie.
Video: Interview with Frantz Yvelin (in French):
Delta today launches full flat-bed seats in BusinessElite on all flights between New York-JFK and Los Angeles
Delta Air Lines (Atlanta) following on the start of JetBlue Airways’ trans-con Airbus A321 Mint service, today launches a significant upgrade to its service between New York’s John F. Kennedy International Airport and Los Angeles International Airport with the introduction of three Boeing 757-200 aircraft featuring full flat-bed seats in the BusinessElite cabin. These aircraft join Delta’s existing international 767-300 ERs serving the New York-Los Angeles route, which connects the two largest U.S. commercial centers eight times daily with the seats, amenities and service that travelers expect from a global airline.
All flights between New York-JFK and Los Angeles, San Francisco and Seattle/Tacoma will feature flat-bed seats on Boeing 757 and 767 aircraft by the summer of 2015.
Trans-continental 767 aircraft
The 767 transcontinental product features updated interiors including 26 full flat-bed BusinessElite seats with direct aisle access at every seat in a 1-2-1 configuration. The 21-inch-wide seats offer an average bed length of 79 inches and feature a 10.6-inch video monitor. The 767s are configured with 29 Economy Comfort seats featuring 35 inches of pitch and up to 50 percent more recline. Each of the 171 seats in the economy cabin features a 9-inch video monitor and USB power. Standard 110v power is available in the BusinessElite cabin and Economy Comfort section.
Trans-continental 757 aircraft
The 757 trans-continental aircraft includes 16 full flat-bed seats arranged in a 2-2 configuration in the BusinessElite cabin. Each seat is 20 inches wide and is expandable up to 22 inches with an average bed length of 76 inches. Cabin mood lighting and a high-definition, 16-inch video monitor at each seat further enhance the onboard experience. The updated 757 trans-continental aircraft includes changes to the economy cabin with 44 extra-legroom Economy Comfort seats which offer 35 inches of pitch and up to 50 percent more recline in a 3-by-3 configuration in addition to 108 standard economy seats.
Above: The Boeing 757-200 trans-con BusinessElite cabin:
In addition to the 757 and 767 trans-continental full flat-bed seat updates, customers will enjoy a gourmet three-course lunch and dinner menu from renowned chef Michael Chiarello paired with wine from Master Sommelier Andrea Robinson’s specially curated Delta Winemaker Series. Additional touches like Westin Heavenly In-Flight bedding, a Tumi amenity kit featuring skincare products from Malin+Goetz, a noise-reduction headset and sparkling wine round out the BusinessElite experience.
Above: The Boeing 757-200 trans-con Economy class.
Trans-continental Economy Comfort and economy
Earlier this month, Delta announced upgrades to Economy Comfort including complimentary pillows and blankets on all its transcontinental flights between JFK and LAX, SFO, and SEA. Economy Comfort customers also receive a Delta sleep kit, including eye shades and ear plugs, complimentary Luvo snack wraps, a bottle of water and Luvo frozen yogurt bars (on flights departing prior to 9:00 PM).
From New York-JFK to Los Angeles, all seats in the economy cabin feature next generation seat design for more personal space, an adjustable headrest, a nine-inch seatback video monitor and standard 110v and USB power ports available from each seat. Delta has been enhancing the transcon experience from nose to tail since 2013 with the addition of products such as complimentary Starbucks coffee and headsets for all customers. The New York to Los Angeles transcontinental fleet features in-flight Wi-Fi and an entertainment library of more than 1,000 on-demand options including movies, TV shows, music and games.
In other news, Delta Air Lines announced today (June 16) is partnering with the Carbon War Room, a nonprofit founded by Sir Richard Branson, in an effort to accelerate low-carbon jet fuel production worldwide. This is part of the global carrier’s commitment to environmental accountability, transparency and carbon emission reduction.
Delta and Carbon War Room agree that the development of a secure, sustainable, renewable fuels supply will strengthen the airline industry’s access to high-quality jet fuel, reduce price volatility and the industry’s overall carbon footprint and meet the needs of increasingly climate-conscious customers.
Additionally, access to a competitively-priced renewable jet fuel will be advantageous in meeting future regulatory requirements to reduce emissions from the burning of petroleum-based jet fuel.
Additionally, Delta is reducing its carbon footprint through initiatives such as improving the efficiency of our fleet, partnerships in air traffic management, airport and facility green practices and a robust recycling program in the air and on the ground. The airline also has successfully verified its complete greenhouse gas emissions inventory under The Climate Registry and has been named to the Dow Jones Sustainability North American Index three years in a row.
Since 2009, Delta has supported the greenhouse gas emissions goals of IATA and Airlines for America, including improving average annual fuel efficiency by 1.5 percent through 2020, stabilizing emissions with carbon-neutral growth from 2020 and reducing net emissions 50 percent by 2050, relative to 2005.
Top Copyright Photo: Michael B. Ing/AirlinersGallery.com (all others by Delta). Boeing 757-232 N617DL (msn 22907) climbs away from the runway at Los Angeles International Airport (LAX).
Video: Gateway to Football:
Icelandair is facing another series of strikes, this time by its mechanics, introduces a new safety video
Icelandair (Keflavik) which is currently in extended negotiations with its pilots for a new contract, is now facing a series of strikes by its mechanics, represented by the Icelandic Aircraft Mechanics Association (FVFI). The union has called for a strike against the company on June 16 and June 19 according to the Wall Street Journal. The company does not have a new contract for this union.
In other news, Icelandair recently premiered their new in-flight safety video (see below). Instead of falling in line with convention, they decided to take the opportunity to produce a film that not only underlines the importance of safety, but that also engages passengers with a sense of curiosity and Icelandic beauty. Indeed, being safe has rarely looked so beautiful.
Inspired by Iceland itself, the new safety video includes Iceland’s nature as the stunning backdrop to the traditional and important safety message presented to all passengers. For example, emergency lighting takes on a new, non-threatening identity when compared to the northern lights, and assuming the brace position becomes a calm and collected maneuver when waking up after a long relaxing slumber by the lulling shores of a lake.
The safety video was written and produced by Islenska Ad Agency and directed by Pegasus. Showcasing Iceland’s hot spots of nature and beauty, filming took place on location around Iceland, including Jokulsarlon, Thkgil canyon, Fjadrargljufur gorge, Thorsmork National Park and Eyjafjoll, close to Eyjafjallajokull.
Copyright Photo: Jay Selman/AirlinersGallery.com. Boeing 757-308 TF-FIX (msn 29434) completes its final approach to the runway at John F. Kennedy International Airport (JFK) in New York.
United Airlines (Chicago) last night (June 5) launched the Washington area’s only nonstop flights between the airline’s hub at Dulles International Airport and Madrid, with daily summer-season service through September 4, 2014.
Flight UA 163 departs Washington Dulles International Airport at 5:45 p.m. (1745), arriving at Madrid–Barajas Airport at 7:40 a.m. (0740) the following day (all times local). On the return, Flight UA 164 departs Madrid at 11:35 a.m. (1135), arriving in Washington at 2:30 p.m. (1430) the same day. Flight times are seven hours, 55 minutes eastbound and eight hours, 55 minutes westbound.
United will operate the service with Boeing 757-200 aircraft with a total of 169 seats – 16 flat-bed seats in United BusinessFirst and 153 seats in United Economy, including 45 Economy Plus extra-legroom seats.
United Airlines has been serving Spain for more than 20 years. In addition to the Washington–Madrid service, the airline operates Newark-Madrid and Newark-Barcelona service.
Copyright Photo: Brian McDonough/AirlinersGallery.com. Boeing 757-222 N574UA (msn 26686) climbs away from Dulles International Airport near Washington, D.C.
Delta upgrades Economy Comfort on all trans-continental flights from New York-JFK to Los Angeles, San Francisco and Seattle/Tacoma
Delta Air Lines (Atlanta) issued this announcement today concerning its upgraded Economy Comfort:
Delta Air Lines customers will begin receiving upgraded amenities in Economy Comfort including complimentary pillows, blankets and food options on all flights from New York’s John F. Kennedy International Airport to Los Angeles International Airport, San Francisco International Airport and Seattle-Tacoma International Airport beginning on June 4.
Customers on Delta’s trans-continental routes will continue to receive priority boarding, seats with more legroom, plus free beer, wine and spirits when they purchase Economy Comfort starting at $99 per flight segment.
Economy Comfort customers will receive a complimentary pre-set pillow and blanket on their seat while they board the aircraft. After boarding, Economy Comfort customers will be offered a Delta sleep kit, including eye shades and ear plugs, as added amenities. During flight, Economy Comfort customers will enjoy complimentary Luvo snack wraps and a full-size bottle of water for all flights and Luvo frozen yogurt bars as a mid-flight snack on most flights except those flights leaving the West Coast after 9 p.m.
As previously announced, by mid-June, Delta will also operate three newly refurbished Boeing 757-200 aircraft (above) with full flat-bed seats in the BusinessElite cabin. The addition of these aircraft to Delta’s existing 767 aircraft will offer customers full access to flat-bed seats in BusinessElite on all flights between New York-JFK and Los Angeles International Airport. As additional Boeing 757-200 aircraft are refurbished in the coming months, all trans-continental flights between New York-JFK and Los Angeles, San Francisco and Seattle/Tacoma will feature full flat-bed seats in BusinessElite by summer 2015.
Top Copyright Photo (all others by Delta): Michael B. Ing/AirlinersGallery.com. Boeing 757-212 N751AT (msn 23125) departs from Los Angeles International Airport.
Allegiant Air (Las Vegas) yesterday (May 31) started nonstop, seasonal jet service from Cincinnati-Northern Kentucky International Airport to Myrtle Beach. The new flights will operate two times a week until August 11, 2014, flying nonstop from Cincinnati-Northern Kentucky International Airport (CVG) to Myrtle Beach International Airport (MYR). Myrtle Beach becomes the fourth destination available to Allegiant travelers flying out of CVG, including Sanford, Punta Gorda and St. Petersburg/Clearwater.
In other news, Allegiant Travel Company also announced it has borrowed $40.0 million under a loan agreement with CIT, secured by six Boeing 757-200 aircraft (above) and twelve RB211 engines. The notes payable issued under the loan agreement, bear interest at a floating rate based on London Interbank Offered Rate (LIBOR). The term of the loan is 48 months and the proceeds are to be used for general corporate purposes.
Copyright Photo: James Helbock/AirlinersGallery.com. Allegiant’s Boeing 757-204 N906NV (msn 27236) approaches the runway at Las Vegas.
Icelandair (Keflavik) has announced scheduled flights to Birmingham, England beginning on February 5, 2015. Birmingham is Icelandair’s fifth destination in Great Britain, and the 25th in Europe.
Flights to Birmingham Airport (BHX) will depart on Mondays and Thursdays from Keflavik International Airport (KEF) at 7:50 am (0750), with arrival in Birmingham at 10:25 am (1025). Return service departs Birmingham at 12:25 pm (1225), with an arrival at Keflavik at 3:10 pm (1510).
Icelandair currently offers service to Iceland from Boston, New York (JFK), Washington (Dulles), Seattle/Tacoma, Denver and Toronto (Pearson), with seasonal service from Newark, Minneapolis-St. Paul, Sanford (near Orlando), Edmonton, Vancouver, Halifax and Anchorage. Connections through Icelandair’s hub at Keflavik International Airport are available to more than 20 destinations in Scandinavia, the U.K. and Continental Europe. Only Icelandair allows passengers to stopover in Iceland for up to seven days at no additional airfare.
Copyright Photo: Stefan Sjogen/AirlinersGallery.com. Boeing 757-256 TF-FIZ (msn 30052) arrives in Stockholm (Arlanda).
Icelandair Group and its pilots agree to keep talking until September 30, avoiding any further strikes
Icelandair Group (Icelandair) (Keflavik) has signed an agreement with the Icelandic Airline Pilots Association (FIA) for a temporary wage agreement through September 30, 2014. As previously reported, The Icelandic parliament on May 16 prohibited any strikes by the Icelandair pilots. The union had planned to strike on nine days between May 9 and June 3. The group issued this statement:
Icelandair Group and the Icelandic Airline Pilots Association (FIA) signed a wage agreement that is valid until September 30, 2014.
Over the term of the agreement, Icelandair Group and FIA will jointly work towards a long term agreement. The agreement is in broad terms in line with agreements already signed on the Icelandic labor market this year. The agreement will now be presented by FIA to its members that will vote
electronically on the agreement in the next seven days.
At this time is not possible to estimate Icelandair Group’s loss due to FIA’s actions during this industrial dispute.
Copyright Photo: TMK Photography/AirlinersGallery.com. Former American Airlines Boeing 757-223 TF-ISF (msn 24595) approaches the runway at Toronto’s Pearson International Airport (YYZ).
United Airlines (Chicago) yesterday (May 22) began Chicago’s first-ever flights to Edinburgh, Scotland, with summer-season service through October 5, 2014.
The flights will operate five times weekly between May 22 and June 11, daily between June 12 and September 1, and four times weekly between September 2 and October 5 (all dates eastbound).
Flight UA 118 departs Chicago O’Hare International Airport at 6 p.m. (1800), arriving at Edinburgh Airport at 7:45 a.m. (0745) the following day (all times local). On the return, flight UA 119 departs Edinburgh at 10:25 a.m. (1025), arriving in Chicago at 1 p.m. (1300) the same day. Flight times are seven hours, 45 minutes eastbound and eight hours, 35 minutes westbound.
United will operate the service with Boeing 757-200 aircraft with a total of 169 seats – 16 flat-bed seats in United BusinessFirst and 153 seats in United Economy, including 45 Economy Plus extra-legroom seats.
United has been serving Scotland since 1998. In addition to the Edinburgh-Chicago service, the airline operates year-round nonstop service from both Edinburgh and Glasgow to its Newark Liberty International Airport hub.
United Airlines is O’Hare International Airport’s largest airline. United and the United Express carriers operate more than 580 daily flights out of O’Hare. The airline offers more than 50 daily nonstop flights to nearly 40 international destinations in Europe, Asia, Latin America, the Caribbean and Canada.
O’Hare International Airport, the fifth-busiest airport in the world, is United’s hometown hub, with corporate headquarters in Chicago’s Willis Tower.
Copyright Photo: Michael B. Ing/AirlinersGallery.com. Boeing 757-222 N502UA (msn 24623) departs from Los Angeles International Airport.
Icelandair (Keflavik) and its pilots represented by the Union of Icelandic Pilots have stalled in their negotiations for a new contract. As a result, the Icelandic Parliament passed a bill that directs the airline and its pilots to reach an agreement by June 1 or the dispute will be placed before an industrial disputes tribunal. The bill also restricts any strikes by the pilots. The pilots were planning to strike yesterday (May 16).
The airline was forced to cancel some of its flights today (May 17) due to a “pilot shortage” and issued this statement:
Icelandair regrets to announce cancellation of following flights due to pilot shortage
May 17, 2014 (local times)
FI:670 DEN – KEF 17:20 MDT
FI:612 JFK – KEF 02:10 EDT
FI:613 KEF – JFK 12:25 EDT
FI:603 KEF – YYZ 17:00 GMT
FI:602 YYZ – KEF 21:05 EDT
We apologize to all our customers for the inconvenience this may cause, and we thank you for your understanding. Please be sure to check information on estimated departure times from our homepage.
Read the full story from Iceland Review: CLICK HERE
Copyright Photo: Pepscl/AirlinersGallery.com. Boeing 757-256 TF-FIU (msn 26243) is pictured in an all white fuselage version of the the 1999 livery.
Icelandair (Keflavik) yesterday (May 14) opened a new route to Vancouver, British Columbia (YVR). The airport issued this statement on its special “Viking” arrival ceremony:
The skies opened on May 14 between Vancouver, Reykjavik and more than 20 European destinations as Icelandair inaugurated its new twice-weekly, seasonal service from Vancouver International Airport (YVR).
Vancouver Airport Authority, in partnership with ground-handler Swissport International Ltd., staged a unique welcome for its newest airline partner with a group of YVR ambassadors-turned-Vikings who pulled Icelandair’s Boeing 757 aircraft to its inaugural gate.
“We’ve been working for years to bring Icelandair to YVR and provide passengers with new connectivity between YVR and Reykjavik, and on to popular Scandinavian destinations like Copenhagen, Oslo and Stockholm,” said Craig Richmond, President and CEO, Vancouver Airport Authority. “This service is a great example of how liberalized air-service agreements enhance travel opportunities and create jobs at YVR and in British Columbia.”
Icelandair’s new service will generate approximately $2 million in wages, $1.1 million in taxes and $3.1 million in GDP through employment at YVR and in B.C.’s hotels, restaurants and tourist attractions. Its flights – which arrive in Vancouver at 5:50 pm on Sundays and Tuesdays and depart at 3:55 pm on Mondays and Wednesdays – will also give businesses more options to reach customers, suppliers and investors in Europe.
“We call 2014 the year of Canada for Icelandair. As we celebrate our inaugural flight from Vancouver, Icelandair now serves four Canadian gateways with service to more than 20 destinations in Europe. Our goal is to continue to grow and develop our network with added frequency and easier connections for all of Canada,” said Birkir Holm Gudnason, CEO for Icelandair. “Icelandair offers our passengers a refreshing alternative when travelling to Europe with three cabins of service, leather seats, in-flight entertainment systems and, by the end of this year, Wi-Fi is scheduled to be available fleet-wide. We see a bright future for British Columbia and look forward to welcoming Vancouver onboard.”
The Icelandair schedule for 2014 is the largest in the company‘s history and will increase by 18 per cent from 2013 with new gateways, new destinations and added frequency from several cities in North America and Europe. Additionally, three Boeing 757 aircraft will be added, enlarging the fleet from 18 to 21 aircraft.
Icelandair offers service to Iceland’s Keflavik International Airport from Boston, New York-JFK, Seattle, Denver and Toronto with seasonal service from Washington, D.C., Minneapolis-St. Paul, Orlando Sanford, Halifax, Anchorage, Newark, Vancouver and Edmonton. Connections through Icelandair’s hub at Keflavik International Airport are available to more than 20 destinations in Europe. Only Icelandair allows passengers to stopover in Iceland at no additional airfare.
Copyright Photos: Vancouver International Airport. A tug decorated like a Viking ship tows an Icelandair Boeing 757-256 (TF-LLX, msn 29311) aircraft to th gate at Vancouver International Airport, during a photo opportunity to mark the airline’s inaugural service between Vancouver and Keflavik (near Reykjavik), Iceland on May 14, 2014.
Dreamjet (Paris) has filed an application with the Department of Transportation (DOT) to operate all-business Boeing 757-200 flights from Paris to New York (the airports were not specified). Dreamjet still needs the final approvals to fly as an airline from the French government. The new paper airline is proposing to start trans-Atlantic operations as early as June if it can get the approvals to fly. However the application has now been grouped with the controversial application of Norwegian Air International of Ireland (Norwegian Air Shuttle).
Frantz Yvelin, founder of the previous all-business L’Avion (which was sold to British Airways), has been rumored as the co-founder of this new venture.
ALPA issued this statement on the application of Dreamjet and Norwegian Air International:
The Air Line Pilots Association, Int’l (ALPA), filed with the U.S. Department of Transportation (DOT) to make clear the stark contrast between Dreamjet’s garden variety application for a DOT foreign air carrier permit and Norwegian Air International’s (NAI) request for authority to operate a business model that will put the livelihood of thousands of U.S. airline workers at risk.
“In contrast, Norwegian Air International’s application is based on an unacceptable business model that should be rejected.”
ALPA’s filing detailed the difference in a reply to NAI’s answer to Dreamjet’s application for a foreign air carrier permit.
“Dreamjet’s application could not be more different from Norwegian Air International’s effort to cheat the system by avoiding Norwegian labor law,” said Capt. Lee Moak, ALPA’s president.
In a reply filed jointly with the Transportation Trades Department, AFL-CIO (TTD) and the European Cockpit Association, ALPA states that NAI’s application for a foreign air carrier permit is a “far cry from that presented to the Department by Dreamjet and by the many other unopposed applications that have been presented to the Department by European carriers following implementation of the Air Transport Agreement.”
With operations centered in Norway, NAI is attempting to operate its international long-haul flights as an Irish airline expressly to avoid Norwegian employment laws. It appears that NAI is using flight crews hired through a Singapore employment company on individual contracts with compensation well below that of its Norway-based employees.
“ALPA has a long history of championing a fair marketplace in which airlines compete on merit, schedule, customer service, and the routes they fly,” continued Moak. “We are not afraid of competition. U.S. airlines and their workers are eager for the opportunity to go head to head with any airline that competes fairly by the rules governing the global marketplace.”
This week, ALPA launched Save Our Skies (SOS), a multiplatform campaign designed to mobilize the American public to voice their collective opposition to actions that are harmful to U.S. airline industry workers’ jobs, including specifically NAI’s application for a foreign air carrier permit.
More than 30,000 people have signed the #denyNAI petition urging Transportation Secretary Anthony Foxx to reject the NAI scheme and stand up for U.S. airline workers, and more than 100 members of Congress have voiced concern or outright opposition to NAI’s DOT application.
“ALPA does not oppose Dreamjet’s application, just as we have not opposed the many other European airline applications under the U.S.-EU Open Skies agreement,” said Capt. Moak. “In contrast, Norwegian Air International’s application is based on an unacceptable business model that should be rejected.”
Read the Wall Street Journal report: CLICK HERE
Copyright Photo: Arnd Wolf/AirlinersGallery.com. L’Avion launched business class flights on January 3, 2007 between Paris (Orly) and Newark using two Boeing 757-200s. However on July 2, 2008 the owners agreed to sell L’Avion in a £54 million deal with British Airways. BA merged L’Avion into its OpenSkies operation on April 4, 2009. L’Avion’s Boeing 757-230 F-HAVN (msn 25140) completes its final approach into Frankfurt in this striking livery.
Icelandair (Keflavik) due to increased demand, will move from seasonal to year-round service from Washington Dulles International Airport to Icelandair’s hub at Keflavik International Airport.
Additional flights will begin in January 2015 on Tuesdays, Thursdays, Saturdays and Sundays, providing the Mid-Atlantic region year-round, nonstop access to Iceland for the first time since 2006.
With this announcement of their seventh year-round gateway, Icelandair now offers service from 13 North American cities, making their 2015 route network the largest in its history.
Icelandair provides service to Iceland from Boston, New York (JFK and Newark), Seattle/Tacoma, Denver, Washington, D.C., Toronto (Pearson) and Edmonton, with seasonal service from Minneapolis/St. Paul, Sanford (near Orlando), Anchorage, Halifax, and Vancouver. Connections through Icelandair’s hub at Keflavik International Airport are available to more than 20 destinations in Scandinavia, the U.K. and Continental Europe.
Copyright Photo: Brian McDonough/AirlinersGallery.com. Boeing 757-208 TF-FIJ (msn 25085) prepares to land at Washington’s Dulles International Airport (IAD).
Thomson Airways (London-Luton and Manchester) will again operate a series of around-the-world VIP charter flights starting in October with a specially configured VIP Boeing 757-200 for Smithsonian Journeys and National Geographic Expeditions according to Airline Route.
The first charter flight will depart from Sanford (near Orlando) on October 1 and the second will depart from Washington (Dulles) on October 7.
Read about the National Geographic trip: CLICK HERE
Map of the National Geographic VIP trip:
Copyright Photo: James Helbock/AirlinersGallery.com. Thomson has painted its VIP Boeing 757s in special color schemes in the past such as this Boeing 757-28A G-OOBE (msn 33100) operated for TCS and Starquest Expeditions.
Normal routes from Manchester:
Four Seasons Hotels and Resorts (Toronto) has introduced its luxurious “Four Seasons” Boeing 757 concept available for charters starting in February 2015. The company issued this statement and video:
The sky is literally the new limit as Four Seasons continues to reimagine luxury hospitality with the introduction of the Four Seasons Jet, the industry’s first fully branded private jet experience.
With Four Seasons on the fuselage and the iconic Four Seasons logo on the tail, the completely retrofitted Boeing 757 will feature interiors and exterior design customized by the company’s team of design experts, setting the stage for a travel experience like no other. Beginning in February 2015, the Four Seasons Jet will transport 52 guests on bespoke journeys, offering discerning travellers a distinctly Four Seasons travel experience from the moment they book their trip. Four Seasons in-flight staff, including a dedicated on-board concierge, will coordinate with local Four Seasons concierges in each destination to ensure that the Four Seasons Private Jet Experience is nothing short of extraordinary.
An ambition to reimagine the future of luxury hospitality is what first inspired the company to create private jet journeys that focused exclusively on stays at Four Seasons properties worldwide in 2012. Now, with the debut of a fully branded Four Seasons Jet, guests can look forward to individually handcrafted leather flatbed seats, globally inspired cuisine and signature Four Seasons service – on board and on the ground. Global in-flight Wi-Fi keeps guests and staff connected, so that spa treatments, tee times, private excursions and more can be arranged “on the fly” to augment each thoughtfully planned itinerary. Travellers will also have access to exclusive experiences available only to Four Seasons Jet passengers.
Reservations aboard the new Four Seasons Jet are currently open for the following trips:
Around the World, February 2015 – Beginning in Los Angeles and concluding with a celebratory dinner in London, this 24-day, 9-destination journey explores dynamic cities, exotic islands, architectural wonders and awe-inspiring natural environments. Highlighted by an only-by-private-jet stop at the Taj Mahal, all accommodations will be at Four Seasons hotels and resorts.
Backstage with the Arts, April 2015 – In the company of like-minded travellers who share a passion for the arts, guests will visit six cities and spend 16 indulgent days filled with backstage visits to Europe’s most stunning museums, outstanding performances at Teatro alla Scala in Milan and the Estates Theatre in Prague, exquisite dinners and a private gala in the Pavlovsk Palace outside St. Petersburg.
Around the World, August 2015 – Epic is the word to describe this globe-circling expedition through nine destinations, including stays in three of the newest Four Seasons hotels, plus the brand’s very first safari lodge in the Serengeti. From the Forbidden City in Beijing to the medina in Marrakech, the pristine waters of the Maldives to the excitement of the world’s largest fish market in Tokyo and a final, glittering dinner in New York, it will be 24 days no one will ever forget.
Each journey includes air travel and ground transportation, planned excursions, all meals throughout the trip and luxurious accommodations exclusively at Four Seasons.
The Four Seasons Jet, including accompanying staff and crew, may also be privately chartered.
Founded in 1960, Four Seasons continues to define the future of luxury hospitality with extraordinary imagination, unwavering commitment to the highest standards of quality, and the most genuine and customized service. Currently operating 92 hotels and private residences in major city centres and resort destinations in 38 countries.
Delta completes the installation of full flat-bed seats for its entire international wide body fleet
Delta Air Lines (Atlanta) has completed the installation of full flat-bed seats with direct-aisle access in BusinessElite across its entire international widebody fleet, making it the only U.S. carrier to offer full flat-bed seats and the convenience of direct-aisle access on all overseas flights.
The completed interior fleet modifications include all Delta Airbus A330-200/300, Boeing 767-300ER/400ER, 747-400 and 777-200ER/LR aircraft, which represents Delta’s largest interior fleet modification investment in more than a decade. With these modifications complete, Delta also is the only U.S. domestic carrier to offer personal, on-demand entertainment at every seat on all long-haul international flights.
The fleet modifications are Delta’s latest investment in improving the customer experience. Since 2010, Delta also has:
Launched international Wi-Fi service and completed the installation of Wi-Fi on all domestic, two-class mainline and regional jets, offering more than 400,000 customers per day access to the Internet above 10,000 feet on more than 870 aircraft.
Transformed the sleep experience in the air by offering Westin Heavenly In-Flight bedding for customers in the BusinessElite cabin.
Updated BusinessElite amenity kits with stylish cases from Tumi and skincare product brand Malin+Goetz.
Built a team of celebrity chefs and James Beard Award winners to offer customers great food and wine selections at 30,000 feet.
Introduced International Economy Sleep Kits and added new amenities for its Economy customers on transoceanic flights.
Beginning July 1, 2014, Delta also will operate three updated Boeing 757 aircraft with full flat-bed seats on the trans-continental route between New York’s John F. Kennedy International Airport and Los Angeles International Airport. These will be the first 757 aircraft in service to feature Delta’s previously announced upgrades including full flat-bed seats in BusinessElite on trans-con flights between New York-JFK and Los Angeles, San Francisco and Seattle. All trans-con flights on these routes will feature full flat-bed seats by summer 2015.
Copyright Photo: Michael B. Ing/AirlinersGallery.com. Beginning July 1, 2014, Delta also will operate three updated Boeing 757 aircraft with full flat-bed seats on the trans-continental route between New York’s John F. Kennedy International Airport and Los Angeles International Airport. Boeing 757-232 N699DL (msn 29970) departs the runway at Los Angeles International Airport (LAX).
US Airways (Phoenix) is trimming back on four new European routes from the Charlotte hub according to the Charlotte Observer. The new routes from CLT to Barcelona, Brussels, Lisbon and Manchester were announced in October as daily flights (CLICK HERE to read the original report). However due apparent weak demand, the new flights are now being trimmed back to only four days a week.
Read the full report: CLICK HERE
Copyright Photo: Jay Selman/AirlinersGallery.com. Boeing 757-2B7 N201UU (msn 27180) arrives back at the Charlotte hub yesterday (April 20).
Aer Lingus (Dublin) yesterday (April 14) recorded two firsts; the launch of its inaugural flight from Dublin to Toronto (Pearson) and the first operation from Dublin of the Boeing 757-200 aircraft recently added to its trans-Atlantic fleet.
The new service will operate year-round with a daily service between Dublin and Toronto during the summer season and up to four weekly services operating during the winter. This is the fourth trans-Atlantic route launch in recent months and forms part of Aer Lingus’ significant trans-Atlantic growth plan in 2014.
The 2014 growth plan includes;
· New routes from Dublin to Toronto and San Francisco
· The addition of three Boeing 757-200 aircraft to the long haul fleet
· Almost doubling of frequency on services from Shannon to Boston and New York
· The creation of more than 200 new jobs
Aer Lingus customers travelling from over twenty UK and European cities via Dublin to Toronto will also have the option to connect to eight key cities within Canada including Vancouver, Montreal and Calgary.
To support the operation of the new routes from Dublin to Toronto and from Shannon to New York and Boston, Aer Lingus has wet leased three Boeing 757-200 aircraft from ASL Aviation Group. The aircraft are configured with an economy and business class cabin. Business travellers will continue to enjoy the same great level of service; with gourmet meals, sleeper seats and an extensive in-flight entertainment selection.
The ASL Aviation Group, based in Ireland, is a well-established global aviation group providing an unrivalled array of aviation services. The group of aviation companies includes Irish airline Air Contractors and French based airline Europe Airpost as well as two support service companies – ACLAS Global and Air Contractors Engineering; and various leasing entities. The Group’s operations are worldwide with the airlines operating a mixed fleet of wide body, short haul and turboprop passenger and cargo aircraft under their own brands and for a number of leading airlines. ASL Aviation Group has a staff of 1,200, a fleet of ±80 aircraft. ASL is a joint venture between CMB (51%) and 3P Air Freighters (49%).
Copyright Photo: Michael Kelly/AirlinersGallery.com. Formerly operated by Finnair as OH-LBT, Boeing 757-2Q8 EI-LBT (msn 28170), operated by Aero Contractors for Aer Lingus, departs from Dublin on its inaugural flight to Toronto on April 14, 2014.
Delta Air Lines (Atlanta) has just repainted its Boeing 757-232 registered N608DA (msn 22815) in Atlanta in the “Upright Widget” livery. This color scheme (above) was introduced in 1966 for the fleet and was the longest-running livery for the carrier until the “red dash” color scheme was introduced in 1997.
The aircraft has now been donated to Delta Flight Museum.
Top Copyright Photo: Bruce Drum/AirlinersGallery.com. Sister ship Boeing 757-232 N619DL (msn 22909) taxies at Dallas/Fort Worth when it actually wore the 1966 color scheme (slightly altered in 1976). This is the first livery worn by Delta’s Boeing 757-200s.
Delta’s Route Map in 1966 (it was barely an international airline):
Delta’s current fleet line-up and number of aircraft in service (Delta Air Lines):
Allegiant Air (Las Vegas) has announced the addition of several larger, more comfortable seats, known as “Giant Seats,” to each of its Boeing 757 aircraft. Giving Allegiant travelers a new option when customizing their vacation experience, the company will offer these Giant Seats on flights between Hawaii and several western U.S. cities.
Copyright Photo: Allegiant Air.
Passengers who purchase a Giant Seat when making their reservations will take advantage of a more spacious, wider seat, comfortable headrests and more leg room.
“By adding these new Giant Seats, Allegiant passengers will enjoy the feeling and comfort of a premium seat, while flying to their destination at an affordable cost,” said Jude Bricker, Allegiant Travel Company, Senior Vice President of Planning. “We think the Giant Seats will be a welcome option for travelers, especially on our long-haul flights to Hawaii.”
Located in the first row and the mid-cabin emergency exit row of the aircraft, each of the six Giant Seats will be made available for a seat assignment fee on all flights to and from Hawaii and select flights to Las Vegas.
Allegiant installed the first of these new seats as part of compliance with changes to FAA crew rest rules, which require minimum seat requirements for augmented crews resting in the passenger cabin. A pair of the new seats was installed to comply with these rules, but the company also saw an opportunity to offer these more comfortable seats to passengers in other parts of the cabin and on flights that do not require augmented crew rest.
The new Giant Seats are part of an overall reconfiguration of the Allegiant 757 cabins, which includes creating a new seating option called “Legroom +.” Increasing the amount of leg room by up to six inches, Legroom + seats provide passengers with up to 34 inches between seat rows.
The installation of the new Giant Seats has been completed on all six of the carrier’s 757 aircraft. The new seat configuration will decrease the total number of seats in Allegiant’s Boeing 757s from 223 to 215.
Top Copyright Photo: Eddie Maloney/AirlinersGallery.com. Boeing 757-204 N904NV (msn 26967) touches down in Las Vegas.
National Airlines (5th) (formerly Murray Air) (Orlando) is celebrating the accomplishment of becoming the latest FAA designated Flag/Domestic Air Carrier. The airline issued this statement:
National Airlines is proud to announce that on February 28, 2014, the FAA approved National to become the United States’ newest Flag/Domestic air carrier. National Airlines has a long history of supporting governments and militaries around the world — by, among other things, flying ad hoc cargo shipments in and out of crisis areas and also operating charter passenger operations for sports teams in the United States, visitors to/from Cuba, and contractors traveling between the United Arab Emirates and Afghanistan. US Flag/Domestic authority will allow National Airlines to expand its services to include conducting scheduled passenger flights throughout the United States and across the globe. It also provides an opportunity for National Airlines to continue its support of the US government travelers under the Fly America Act, whereby US government funded travelers fly on US Flag Carriers whenever available.
National Airlines maintains the highest standards of safety, security, and compliance. “This is nowhere more important than in the Middle East, which has been a significant market for National Airlines,” said Glen Joerger, National Airlines’ President. “This operating authority will further strengthen our position as an emerging passenger carrier of choice for discerning customers seeking US Flag service in the region,” he added. “This tremendous addition to National’s operating certificate reinforces our corporate commitment to serve every facet of transportation and logistics for our key clientele around the globe,” continued Joerger.
Copyright Photo: Paul Denton/AirlinersGallery.com. Boeing 757-28A N176CA (msn 24543) prepares to land at Dubai.
Icelandair Group (Icelandair) (Keflavik) reported its financial results for 2013 (all dollar figures in US dollars):
- Profit before taxes amounted to $71.0 million, up by $13.6 million or 24% between years
- Income rose between years by 13.8%
- EBITDA in the fourth quarter amounted $6.8 million, up by $0.9 million between years
- The equity ratio at year-end 2013 was 42%, as compared to 39% at year-end 2012
- Net interest-bearing debts were reduced by $95.6 million over the year and were negative at year-end in the amount of $77.5 million
- The Board of Directors has proposed a dividend payment of ISK 2,150 million to shareholders in 2014, which corresponds ISK 0.43 per share.
Björgólfur Jóhannsson, President and CEO
“The Company’s performance in 2013 is good and considerably better than our budget projected in the beginning of the year. Profit before taxes amounted to $71.0 million, up by $13.6 million between years. Like recent years, last year was characterised by profitable organic growth, which is in line with our strategy. Capacity in our route network was increased by 16% from last year, and the number of passengers increased by 12%. The Company’s largest market in international flight services is the market between Europe and North-America, which has been the principal driving force of our growth in recent years. The tourist market to Iceland has also shown significant growth, and the demand for domestic tourist services has increased rapidly. Concurrently with this expansion, companies within Icelandair Group have found opportunities for profitable growth.
The rapid growth of recent years has tested the Company’s infrastructure, which is now stronger than ever before. The main reasons for the good performance of the year include favourable external conditions, increase in tourism in Iceland and last but not the least our strong team of employees which are a very important factor in what we have achieved. It is always satisfying when things are going well, but there is no room for complacency. There are various challenges ahead that we need to address. The principal challenge is the increasing competition, and in addition our contracts with some of our classes of employees have expired, which creates some uncertainty. Nevertheless, the Company’s business model has proven sound, our finances are solid and our cash position is strong. Icelandair Group is therefore well positioned to take on the future. The Company’s budget for 2014 projects EBITDA at $145-150 million.”
Trip Report on Icelandair by the Sydney Morning Herald on a London-Halifax trip: CLICK HERE
Copyright Photo: Stefan Sjogren/AirlinersGallery.com. Boeing 757-208 TF-FIJ (msn 25085) lands in Stockholm (Arlanda).
Delta Air Lines (Atlanta) will add new service from Seattle-Tacoma International Airport, including nonstop service to Phoenix Sky Harbor International Airport and seasonal nonstop service to Palm Springs International Airport. Delta will also add new and expanded service from Seattle/Tacoma to seasonal destinations as it continues building its domestic network.
Delta’s new Seattle/Tacoma service beginning on December 20, 2014 includes:
- Five daily flights to Phoenix
- One daily seasonal flight to Palm Springs, California
- Saturday seasonal service to Tucson, Arizona
- Saturday seasonal service to Jackson Hole, Wyoming
- One additional nonstop flight to Honolulu for a total of two daily flights
Expanded seasonal service beginning in September includes:
- One new daily nonstop flight to Anchorage, Alaska for a total of two daily flights in September and three daily flights during the summer
Delta’s new service to Phoenix, Palm Springs and Tucson will be operated by Delta Connection carrier SkyWest Airlines (St. George, Utah) using two-class, 76-seat aircraft, while Jackson Hole service will be operated with two-class, 65-seat aircraft. The expanded Honolulu and Anchorage service will be operated by Delta using Boeing 757 (above) and Boeing 737 aircraft, respectively.
By this summer, Delta will offer more than 2,500 daily international seats as part of its 79 peak-day departures to 25 destinations.
In addition to the expanded service, Delta will also adjust current arrival and departure times in Seattle/Tacoma to offer easier connections for customers traveling through the hub.
Delta recently announced expanded Seattle/Tacoma service from Anchorage; Fairbanks, Alaska; Juneau, Alaska; Las Vegas; Los Angeles; Portland, Oregon; San Diego; San Francisco; San Jose, California; and Vancouver to support its growing international gateway that currently operates nonstop flights to Amsterdam, Beijing, Paris-Charles de Gaulle, Shanghai-Pudong and Tokyo. The airline will also begin operating new nonstop international service this year to London-Heathrow beginning in March as well as Hong Kong and Seoul in June, pending government approval.
Every long-haul international Delta flight from Seattle/Tacoma now features full flat-bed seats in BusinessElite, Economy Comfort seating and entertainment on demand in every seat throughout the aircraft.
Delta currently operates 34 peak-day departures to 15 destinations from Seattle/Tacoma, and every flight offers BusinessElite/First Class and Economy Comfort seating as well as domestic Wi-Fi service. The airline has also invested $14 million in its facilities at Sea-Tac, including its recently completed lobby renovations, new Delta Sky Club, Sky Priority services, new gate area power recharging stations and expanded ticket counters.
Copyright Photo: Bruce Drum/AirlinersGallery.com. Boeing 757-232 N6716C (msn 30838) pictured at SeaTac is named for Rev. Dr. Joseph E. Lowery, Dean of the Civil Rights Movement.
UPS (United Parcel Service) (UPS Airlines) (Atlanta) posted net earnings of $1.2 billion for 2013. The company issued this full financial statement for the fourth quarter and 2013:
UPS released details regarding fourth quarter 2013 results. Diluted earnings per share totaled $1.25, a $0.07 decline from 2012 fourth quarter adjusted results. Average daily package volume increased 6.0%, as total deliveries in December surged 20%. Significantly higher than predicted volume and inclement weather contributed to excess operating costs in the U.S., negatively affecting results.
During the fourth quarter 2012, UPS reported a diluted earnings per share loss of $1.83, due to an after-tax, non-cash charge of $3.0 billion to account for a mark-to-market pension adjustment.
“As the retail market shifts to a direct-to-consumer model, more and more companies are leveraging UPS solutions,” said Scott Davis, UPS chairman and CEO. “As a result, we experienced an unprecedented increase in volume, exceeding even our most optimistic plans.
“The increased volume put a strain on our network, causing delays. In response, UPS deployed additional people and equipment, placing a greater emphasis on service than cost,” Davis explained. “UPS will make the necessary investments and operational improvements to ensure we meet the needs of the marketplace.”
The company expects full-year diluted earnings per share to be within a range of $5.05 to $5.30, an increase of 11%-to-16% over 2013 adjusted results.
UPS delivered 20 million packages per day during the fourth quarter. Total shipments in 2013 increased to 4.3 billion, a 3.9% improvement over 2012.
During the holiday period, global daily deliveries exceeded expectations by surpassing 29 million packages on five days, with peak volume exceeding 31 million on December 23. Also during this period, UPS experienced 10 days with delivery volume that exceeded the company’s previous high.
For the year ended Dec. 31, UPS generated $5.3 billion in free cash flow, producing a net income-to-cash conversion ratio of more than 120%. The company paid dividends of $2.3 billion, an increase of nearly 9% per share over the prior year, and repurchased more than 43 million shares for approximately $3.8 billion.
U.S. Domestic Package
U.S. Domestic fourth quarter revenue improved 4.2% to $9.3 billion. Daily package volume increased 5.6% with Deferred and Ground leading the way, up 8.0% and 5.8% respectively.
Total revenue per package declined 1.3%, as lower fuel surcharges, changes in product and customer mix, as well as higher service refunds, contributed to the drop. Shippers continue to utilize the UPS portfolio, choosing lower cost over faster delivery, as evidenced by more than 30% growth in UPS SurePost.
Operating profit totaled $1.2 billion as additional costs associated with a greater-than-expected surge in volume and weather led to a $178 million decline from the prior-year adjusted results. Increased compensation and benefit costs reflected the deployment of additional resources in an attempt to meet service commitments. During the quarter, UPS exceeded seasonal hiring targets by more than 30,000, deploying a total of 85,000 temporary employees. In addition, the company experienced significantly higher purchased transportation expenses.
On a reported basis, the operating loss for the fourth quarter of 2012 totaled $1.8 billion as a result of the mark-to-market pension charge.
International revenue increased 5.3% to $3.4 billion on 8.8% growth in daily package volume. UPS Export products rose 9.5% per day, driven primarily by 13% growth in Europe and significant growth in the Asia-to-Europe trade lane. Non-U.S. domestic products were up 8.2% with strong growth in Poland, Italy, and Canada. During December, the segment achieved a peak volume day above four million pieces and exceeded last year’s high on 11 days.
Export yield declined 3.4% on a currency neutral basis, as a result of lower fuel surcharges and customer preference for non-premium products. Double-digit gains in Pan-European shipments also lowered revenue per piece.
Operating profit improved 7.6% to $537 million. Operating margin expanded 30 basis points to 15.9%, compared to last year’s adjusted results.
On a reported basis, the operating loss for the fourth quarter of 2012 totaled $442 million as a result of the mark-to-market pension charge.
Supply Chain & Freight
Revenue in the segment fell 5.8% to $2.3 billion, due to declines in the Freight Forwarding unit. Operating profit was flat compared to 2012 adjusted results, as improvements in Distribution offset declines in Forwarding and UPS Freight.
On a reported basis, the operating loss for the fourth quarter of 2012 was $541 million as a result of the mark-to-market pension charge.
The Forwarding unit experienced a revenue decline resulting from decreased tonnage and revenue per kilo, in International Air Freight. The Ocean Freight business reported growth in shipments and operating margin expansion.
Distribution revenue increased over the prior year period. The retail and healthcare sectors contributed to the improved results. Global footprint expanded during the year to 284 facilities, with more than 22 million square feet of space.
UPS Freight LTL revenue increased 2.3% over the prior year driven by LTL tonnage and pricing improvements.
The company announced plans to repurchase $2.7 billion of UPS shares during 2014. Capital expenditures are anticipated to be approximately $2.5 billion. This includes accelerated deployments in operational technologies and over $500 million of increased investments in capacity expansion and hub modernization.
“While the year ended on a challenging note, we are confident in our ability to adapt and we expect much better results in 2014,” said Kurt Kuehn, UPS chief financial officer. “UPS expects balanced profitability growth across all segments in a slightly better economic environment, resulting in full-year guidance of diluted earnings per share of $5.05 to $5.30, an 11%-to-16% increase over our 2013 adjusted results.”
Copyright Photo: Keith Burton/AirlinersGallery.com. Boeing 757-24A (PF) N416UP (msn 23903) prepares to arrive in Las Vegas.
Bloomberg visits UPS’ sorting hub at UPS Worldport, Louisville, Kentucky:
Allegiant Air‘s (Las Vegas) pilots have issued this statement:
Allegiant Air’s pilots, represented by the Allegiant Air Pilots Executive Council, an employee group of Allegiant Travel Company (Las Vegas) and pilots represented by Teamsters Local Union 1224 in Wilmington, Ohio, announced plans to begin formal dialogues with Allegiant stakeholders and other influential voices in the financial community, including institutional shareholders, equity analysts, corporate lenders and insurers, in order to address operating and safety concerns that exist at the airline.
“Allegiant management has turned a deaf ear to serious operational concerns raised by the pilots,” said Capt. David Bourne, Director of Airline Division at the International Brotherhood of Teamsters. “We believe Allegiant’s financial backers have a right to know what is going on and be given a chance to weigh in on vital changes needed for Allegiant’s long-term success before it’s too late.”
“Allegiant’s low-cost model works if it can actually support the growth of the business,” Bourne said, “However, management’s lack of operational know-how and flat-out resistance to put badly needed investments into infrastructure is taking a significant toll on flight operations, which could ultimately jeopardize flight safety. It’s obvious to us that the major service disruptions over the last several months, ranging from multiple fleet shutdowns, chronic staffing and equipment shortages, significant ramp-up in 3rd party contracting for scheduled flights and sub-servicing and the shutdown of the company’s training department, all flow from the short-sighted decisions being made at the top.”
“It is very unusual for a company’s training department to be shut down,” said Dan Wells, President of Teamsters Local 1224. “Allegiant has yet to even acknowledge the training shutdown, much less show its pilots a plan for corrective action or indicate if those changes will adequately satisfy Federal Aviation Administration concerns. Many Allegiant pilots have been delayed in training for months, which we believe is driving a major increase in outsourcing due to the shortage of company pilots to fly scheduled flights and re-route equipment back to hubs and maintenance centers.”
“Management has ignored repeated requests for clarity on the training program by both the union and Allegiant’s own pilots,” Bourne said. “We’ve filed a Freedom of Information Act submission with the FAA on the matter, but the agency’s only reply was that there is an ongoing investigation at the company. In the meantime, Allegiant pilots continue to bend over backwards to work with the company to address the very significant issues that are interfering with the ability of Allegiant flight crews to do their jobs properly and service customers effectively. We are hopeful that conversations with investors and other Allegiant stakeholders will lead to a breakthrough on some of the key obstacles affecting the future of the airline.”
Copyright Photo: Jay Selman/AirlinersGallery.com. Allegiant Air’s Boeing 757-204 WL N904NV (msn 26967) arrives at the Las Vegas base.
Finnair (Helsinki) has retired its last Boeing 757. The pictured Boeing 757-2Q8 OH-LBT (msn 28170) (above) has found a new home with Air Contractors (Dublin) as EI-LBT according to Skyliner Aviation. OH-LBT made its final scheduled revenue flight from Fuerteventura to Helsinki on January 19, 2014 according to RVNspotting (see video below).
The first Finnair Boeing 757 aircraft, Boeing 757-2Q8 OH-LBO (msn 28172), was handed over to the company on October 7, 1997 and the second (OH-LBR) on October 16, 1997. The first leisure flight with the new aircraft took place on October 23, 1997 from Helsinki to La Palma and Fuerteventura in the Canary Islands.
Copyright Photo: TMK Photography/AirlinersGallery.com. Boeing 757-2Q8 OH-LBT (msn 28170) is parked at Toronto (Pearson) painted in the 2000 livery.
Ethiopian Airlines (Addis Ababa) is planning to place an order for 10 to 20 narrow body jetliners according to this report by Reuters. The African carrier is studying proposals from Airbus, Boeing and Bombardier. The company has traditionally ordered from Boeing.
The damaged 787 at Heathrow Airport returned to service in December.
Read the full report: CLICK HERE
Copyright Photo: Paul Denton/AirlinersGallery.com. Ethiopian is still operating older Boeing 757-200s on some routes. Part of the new order would replace these aircraft. Boeing 757-231 ET-ALZ (msn 30319) arrives at Dubai and was originally delivered to TWA on August 16, 199 as N720TW.
National Airlines (5th) (Orlando) is a familiar airline name in South Florida. Three previous airlines with that name have operated at Miami International Airport (MIA). The current National Airlines, now based in Florida, is now operating Cuban passenger charter flights for the various Cuban charter companies at MIA.
Travel to Cuba is booming. According to this report by Brandenton.com, 394 charter flights departed MIA for Cuba during December 2013. Charter flights to Cuba are also permitted from Fort Lauderdale/Hollywood and Tampa. National has joined a group of airlines that operate these special flights.
Before the Castro regime took over Cuba in 1959, Havana was Miami’s largest international destination.
The Bradenton.com explains the Cuban Charter business: CLICK HERE
In other news, National Airlines on February 1 will offer daily public charter service from Dubai International Airport to forward operating bases in Bagram, with service to Kandahar and Bastion in Afghanistan coming soon.
Check the schedule below for current flight options:
|Origin||Destination||Schedule *||Flight #||Days||Effective|
|Bagram, AF (OAI)||06:25 – 09:40||NCR998||Tu||01Feb14 to 30Jun14|
|Bagram, AF (OAI)||06:45 – 10:00||NCR998||M, W, Th, F, Sa||01Feb14 to 30Jun14|
|Bagram, AF (OAI)||06:50 – 10:05||NCR998||Su||01Feb14 to 30Jun14|
|Dubai, UAE (DXB)||11:30 – 14:10||NCR999||Tu||01Feb14 to 30Jun14|
|Dubai, UAE (DXB)||11:50 – 14:30||NCR999||M, W, Th, F, Sa||01Feb14 to 30Jun14|
|Dubai, UAE (DXB)||11:55 – 14:35||NCR999||Su||01Feb14 to 30Jun14|
Top Copyright Photo: Ole Simon/AirlinersGallery.com. Boeing 757-236 N169CA (msn 25592) arrives at Dubai International Airport (DXB).
Bottom Copyright Photo: L. Apso. National Airlines is now basing Boeing 757-28A N176CA (msn 24543) in Miami and it is seen on the former National Airlines (later Pan Am) Concourse F at Miami International Airport.
Delta Air Lines (Atlanta) has added flights to support fans traveling to the Bowl Championship Series, including the National Championship Game in Pasadena, California as well as the Rose Bowl, Sugar Bowl and Orange Bowl.
A schedule of flights and cities are below:
National Championship, Pasadena, California – January 6, 2014:
|Departure||Departure Time||Arrival||Arrival Time|
|9:45 a.m.||Los Angeles||11:40 a.m.|
|Tampa, Fla.||10 a.m.||Los Angeles||12:28 p.m.|
|Birmingham, Ala.||9:45 a.m.||Los Angeles||11:25 a.m.|
|Birmingham, Ala.||10:45 a.m.||Los Angeles||12:25 p.m.|
|Jan. 7||Los Angeles||10:05 a.m.||Tallahassee, Fla.||5:30 p.m.|
|Los Angeles||10:55 a.m.||Tampa, Fla.||6:20 p.m.|
|Los Angeles||12:55 a.m.||Birmingham, Ala.||6:55 a.m.|
|Los Angeles||09:05 a.m.||Huntsville, Ala.||3:05 p.m.|
|Jan. 7||Los Angeles||10:30 a.m.||Birmingham, Ala.||5:37 p.m.|
|Jan. 7||Los Angeles||11:30 a.m.||Atlanta||6:44 p.m.|
|Jan. 7||Los Angeles||11:40 a.m.||Birmingham, Ala.||5:38 p.m.|
|11 a.m.||Atlanta||6:14 p.m.|
|12:20 p.m.||Atlanta||7:32 p.m.|
Rose Bowl, Pasadena, California – January 1, 2014:
|Departure Time||Arrival||Arrival Time|
|Dec. 31||Detroit||10 a.m.||Los Angeles||12:11 p.m.|
|10 a.m.||Detroit||5:28 p.m.|
|12:25 p.m.||Detroit||7:30 p.m.|
|12:30 p.m.||Detroit||7:58 p.m.|
Sugar Bowl, New Orleans – January 2, 2014:
|Date||Departure||Departure Time||Arrival||Arrival Time|
|10:30 a.m.||New Orleans||12:10 p.m.|
|9 a.m.||Oklahoma City||10:50 a.m.|
Orange Bowl, Miami, January 3, 2014:
|Date||Departure||Departure Time||Arrival||Arrival Time|
|Jan. 2||Columbus, Ohio||9 a.m.||Miami||11:30 a.m.|
|Jan. 5||Miami||9 a.m.||Columbus, Ohio||11:45 a.m.|
Delta traditionally adds capacity to support the strong demand for nonstop service associated with postseason sporting events.
Copyright Photo: Tony Storck/AirlinersGallery.com. Boeing 757-232 N6715C (msn 30486) with the special Grammy Awards logo lands in Baltimore/Washington (BWI).
US Airways (Phoenix) will join oneworld® on March 31, 2014, following completion of its merger with alliance founding member American Airlines (Dallas/Fort Worth). All its regional affiliates, operating under the US Airways Express brand, will also transition to oneworld at the same time.
The entry into oneworld on March 31, 2014 will follow immediately upon their exit from the Star Alliance with the final flights on March 30, 2014.
Copyright Photo: Nick Dean/AirlinersGallery.com. The Boeing 757-200s and Airbus A319s currently in the Star Alliance color scheme are expected to receive the oneworld version shortly. Boeing 757-2B7 N936UW (msn 27244) arrives at Seattle-Tacoma International Airport (SEA).
United Airlines (Chicago) today announced it is the first and only airline to offer premium-cabin, flat-bed seats on every scheduled trans-continental flight between New York’s John F. Kennedy International Airport and San Francisco and between New York JFK and Los Angeles.
The revamped p.s. aircraft offer 28 180-degree flat-bed United BusinessFirst seats, offering up to 6’4″ of sleeping space and more room for storage; 42 extra-legroom United Economy Plusseats; and 72 United Economy seats.
Designed to give customers an experience comparable to long-haul, international flights, United’s refurbished p.s. aircraft also offer:
- Inflight Wi-Fi
- Personal, on-demand entertainment at every seat – with 15.4″ monitors in United BusinessFirst and 9″ monitors in United Economy – offering hundreds of movies and television shows, plus other entertainment options
- Power outlets and USB ports at every seat
- Two additional inches of legroom in United Economy Plus compared to Economy Plus legroom on pre-renovation p.s. service
- Multi-course meals in United BusinessFirst on most flights
- Wine selections recommended by Doug Frost, United’s Master Sommelier and Master of Wine, including half bottles of premium wines for purchase in United Economy
“Our investment in these aircraft and in the p.s. service will add greatly to our flyer-friendly customer experience on these coast-to-coast flights,” said Jeff Foland, United’s executive vice president of marketing, technology and strategy. “This is just one more example of the many things we are doing to provide greater onboard comfort and convenience on every United flight.”
Customer Service Investments
United’s renovated p.s. aircraft are among the many investments the airline is making to enhance its customers’ experience in the air and on the ground. United also offers:
- Premium-cabin, flat-bed seats on every scheduled long-haul international flight from the continental United States
- Satellite-fed Wi-Fi on more than 130 aircraft so far, with nearly all of United’s mainline fleet outfitted with Wi-Fi by the end of 2014
- An all-new mobile application for the iOS 7 platform, offering customers innovative new features, better functionality and an improved touch-friendly design
- Live television on more than 200 aircraft, the world’s largest fleet of aircraft with live television
- Significantly upgraded United Club lounges in Chicago O’Hare Terminal 2, Seattle and San Diego, with improved amenities, modern interiors, more power outlets and complimentary snacks and Wi-Fi
Copyright Photo: Michael B. Ing/AirlinersGallery.com (all others by United). Boeing 757-224 WL N19141 (msn 30354) departs from Los Angeles International Airport.
Thomas Cook Group (London) has unveiled its new “Sunny Heart” livery. Airbus A321-211 G-TCDC (msn 5872) was delivered to Thomas Cook Airlines (UK) (Manchester) on November 22 and will go into revenue service in mid December. the second of the 23 new Airbus A321 aircraft to be delivered to the Thomas Cook Group Airlines by 2016, previously announced in early 2013. This follows the first A321 delivered to sister airline Condor Flugdienst (Frankfurt) in May 2013.
Six aircraft will be deployed in the UK and will be in operation by the summer season of 2014.
The group explains the new look, a departure from its traditional blue and white colors:
“Our new ’Sunny Heart’ livery expresses the philosophy of our airline; our team putting their heart into every flight and making sure our customers’ holiday starts as soon as they board their flight to their holiday destination. The Sunny Heart is the perfect symbol for our passion to create memorable holidays for our guests.”
G-TCDC is also the first Airbus aircraft in the Thomas Cook Group to be fitted with wing-tip Sharklets which help the aircraft fly using less fuel, contributing – with the new fuselage shape – to an overall fuel efficiency of up to 6 per cent compared to the existing aircraft in the fleet.
Meanwhile Condor Flugdienst has already painted its first aircraft in the new brand, Boeing 757-330 D-ABOJ (above).
Copyright Photo: Bernhard Ross/AirlinersGallery.com. Condor’s Boeing 757-330 D-ABOJ (msn 29010) sits at the Frankfurt base today between flights in the new look.
Video: Painting of the first A321 for Condor (in the old colors):
Video: Thomas Cook Airlines:
US Airways (Phoenix) will offer new nonstop daily service from the airline’s international gateway at Philadelphia International Airport (PHL) to Scotland’s capital city of Edinburgh. For the first time, the airline will operate flights to and from Edinburgh Airport (EDI) on 176-seat dual-class Boeing 757-200 aircraft between May 23, 2014 and October 1, 2014.
The flight schedule is as follows:
|Flight #||Origin||Destination||Dep. Time||
|Start Date||End Date|
|May 23, 2014||Sept. 30, 2014|
|May 24, 2014||Oct. 1, 2014|
*Flight arrives the following day.
With the new service, US Airways will operate 472 weekday departures and serve 118 destinations in the U.S., Canada, Latin America, Mexico, Europe and the Caribbean from Philadelphia International Airport.
Copyright Photo: Bruce Drum/AirlinersGallery.com. Boeing 757-2B7 N200UU (msn 27809) taxies to the runway at the Charlotte hub.
Delta Air Lines (Atlanta) issued the following statement in response to the settlement of litigation brought by the U.S. Department of Justice challenging the merger of American Airlines and US Airways.
“Delta welcomes the settlement agreement and looks forward to the opportunity to acquire slots that will be divested under the agreement, particularly at Washington-Reagan National Airport. Delta is the airline best positioned to continue competitive nonstop flights from Reagan National to small- and mid-sized cities that could otherwise see service reduced or eliminated, which should be a strong consideration in the divestiture.”
Copyright Photo: Bruce Drum/AirlinersGallery.com. Delta’s Boeing 757-232 N6713Y (msn 30777) is pictured in action at Seattle-Tacoma International Airport.
United Airlines (Chicago) reported third-quarter 2013 net income of $590 million, an increase of 13.5 percent year-over-year, or $1.51 per diluted share, excluding $211 million of special charges. Including special charges, UAL reported third-quarter 2013 net income of $379 million, or $0.98 per diluted share.
- UAL generated $10.2 billion of revenue in the third quarter of 2013.
- United’s consolidated passenger revenue per available seat mile (PRASM) increased 2.7 percent in the third quarter compared to the third quarter of 2012.
- Third-quarter consolidated unit costs (CASM), holding fuel rate and profit sharing constant and excluding special charges and third-party business expense, increased 3.6 percent year-over-year on a consolidated capacity (available seat miles) reduction of 1.1 percent. Third-quarter consolidated CASM increased 1.2 percent year-over-year.
- United’s third-quarter consolidated fuel efficiency (gallons per available seat mile) improved 1.1 percent year-over-year, due primarily to replacing older aircraft with highly efficient new Boeing 737-900ERs and Boeing 787 Dreamliners.
- UAL ended the third quarter with $6.7 billion in unrestricted liquidity.
“We have significantly improved our operations, customer service and product, and are now competitive on all those dimensions. I want to thank my co-workers as we work together to deliver on our promise of making United flyer friendly,” said Jeff Smisek, chairman, president and chief executive officer. “However, we are not satisfied with our financial performance, and are taking prompt actions to increase our revenue and operate more efficiently across the company.”
Third-Quarter Revenue and Capacity
For the third quarter, total revenue was $10.2 billion, an increase of 3.2 percent compared to the same period in 2012. Third-quarter consolidated passenger revenue increased 1.6 percent year-over-year to $8.9 billion, on a consolidated capacity decrease of 1.1 percent year-over-year. Other revenue in the third quarter increased 25.0 percent year-over-year to $1.1 billion and third-quarter cargo revenue decreased 19.1 percent versus the third quarter of 2012 to $199 million.
Consolidated revenue passenger miles (RPMs) decreased 0.3 percent on a consolidated capacity decrease of 1.1 percent year-over-year, resulting in a consolidated load factor of 85.9 percent in the third quarter.
Third-quarter consolidated PRASM increased 2.7 percent compared to the same period in 2012. Consolidated yield for the third quarter increased 1.9 percent year-over-year.
“This quarter my co-workers consistently delivered solid operational performance, and our customer satisfaction scores continue to rise,” said Jim Compton, UAL’s vice chairman and chief revenue officer. “We are, however, disappointed by the pace of our revenue improvements, and we are taking numerous actions to improve our performance to more swiftly realize our full revenue potential.”
Third-quarter passenger revenue and period-to-period comparisons of related statistics for UAL’s mainline and regional operations are as follows:
|3Q 2013 Passenger
Total operating expenses increased $11 million, or 0.1 percent, in the third quarter versus the same period in 2012. Excluding special charges, third-quarter total operating expenses increased $314 million, or 3.4 percent, year-over-year.
Third-quarter consolidated CASM increased 1.2 percent year-over-year. Third-quarter consolidated CASM, excluding special charges and third-party business expense, increased 2.9 percent compared to third-quarter 2012. Third-party business expense was $205 million in the third quarter of 2013.
In the third quarter, consolidated CASM, excluding special charges and third-party business expense and holding fuel rate and profit sharing constant, increased 3.6 percent compared to the third quarter of 2012.
“We are committed to operating more efficiently across all aspects of our business,” said John Rainey, UAL’s executive vice president and chief financial officer. “We continue to improve our balance sheet and to make return-driven investments in our business, both of which are critical to creating long-term economic value for our stakeholders.”
Liquidity and Cash Flow
UAL ended the third quarter with $6.7 billion in unrestricted liquidity, including $1.0 billion of undrawn commitments under its revolving credit facility. During the third quarter, UAL generated $237 million of operating cash flow. The company’s gross capital expenditures and purchase deposits for the quarter were $598 million, and the company made debt and capital lease principal payments of $253 million in the third quarter.
Third-Quarter 2013 Accomplishments
Operations, Co-workers and Customer Service
- United Airlines reported a third-quarter mainline on-time arrival rate (domestic and international) of 78.9 percent. The on-time arrival rate is based on flights arriving within 14 minutes of scheduled arrival time. United co-workers earned cash-incentive payments of $9 million for on-time performance during the third quarter.
- The company reached tentative agreements on new joint collective bargaining agreements with the International Association of Machinists (IAM) for the more than 28,000 fleet service, passenger service and storekeeper employees.
- United’s pilots established an integrated seniority list, and United announced it offered recall to nearly 600 pilots currently on furlough to address the airline’s future staffing needs.
- United neared completion of its comprehensive customer service training program for all customer-facing co-workers worldwide with more than 90 percent of mainline and United Express flight attendants, airport agents and reservation agents trained through the third quarter.
Network, Fleet and Sustainability
- In the third quarter, the company announced it is expanding its leading worldwide route network and will launch future nonstop service from San Francisco to Chengdu, China, the fourth-largest Chinese city, and from Chicago to Edinburgh, Scotland, beginning in June 2014. This quarter, United launched new nonstop service to St. Lucia, as well as additional nonstop service to Anchorage, Alaska; Austin, Texas; Traverse City, Mich.; and Saskatoon, Saskatchewan, Canada. The company also announced it is adding three other cities to its network: Elmira, N.Y., Topeka, Kan.; and Sun Valley, Idaho, as well as additional service to Fort Myers, Fla.; Hayden, Colo.; Indianapolis; and State College, Pa.
- The company took delivery of seven new highly efficient aircraft, including six Boeing 737-900 ERs and one Boeing 787 Dreamliner, and removed from service seven Boeing 757-200s.
- A United Boeing 737-800 aircraft retrofitted with the new Split Scimitar Winglet began test flights. United is the North American launch customer for the Next-Generation 737 advanced winglet that improves the efficiency of the company’s 737 fleet by approximately 2 percent while simultaneously reducing carbon emissions, and the company will begin installing the new winglets across its 737 fleet by year end.
- United was named the Eco-Aviation “Airline of the Year” Gold Winner by Air Transport World (ATW) magazine.
Product, Loyalty Program and Facilities
- United debuted its new brand campaign, featuring its iconic “Fly the Friendly Skies” tagline, reinterpreted for today’s travelers. The new campaign explains United’s commitment to being “user-friendly,” which to customers today means the combination of service, technology and product enhancements.
- The company continued outfitting aircraft with global satellite Wi-Fi across its entire mainline fleet, offering inflight connectivity on long-haul international flights. The airline now has more than 115 Wi-Fi-equipped aircraft and is outfitting about one aircraft per day with global satellite Wi-Fi.
- The airline expanded its offering of live television to more than 200 aircraft, offering customers more than 100 channels of live programming while in-flight. United operates more live television-equipped aircraft than any other airline in the world.
- United released refreshed applications for iPhone, Android and BlackBerry 10 that include streamlined user interfaces along with a new feature that enables customers to manage their travel in real time if a flight delay or cancellation should occur.
- United continued retrofitting its p.s. (Premium Service) transcontinental aircraft that fly from New York to Los Angeles and San Francisco. The airline already has retrofitted 12 of its 15 p.s. aircraft with the latest cabin interiors, premium-cabin flat-bed seats, and personal on-demand entertainment and Wi-Fi throughout the aircraft.
- United debuted its Choice Menu “Bistro on Board” featuring new fresh food menu options available for sale to Economy customers on flights longer than three-and-a-half hours within North America and to and from Central America. United is providing customers innovative selections made with high-quality ingredients that will change seasonally.
- United MileagePlus and Marriott Rewards® joined forces to provide their most loyal members with unprecedented travel benefits. Through the RewardsPlus program, United customers who are Premier Gold MileagePlus members or above can enjoy Marriott Gold Elite status and benefits. The program also offers Marriott Rewards Platinum Elite members MileagePlus Premier Silver status.
- The company teamed up with Mercedes-Benz USA to provide innovative new benefits exclusively to United’s most frequent flyers seeking a luxury driving experience. MileagePlus Premier members receive incentives and 25,000 bonus miles when purchasing or leasing certain new Mercedes-Benz vehicles. In addition, United and Mercedes partnered to offer United’s Global Services customers tarmac transfer service at the airline’s Chicago and Houston hubs.
- The company opened its new United Club lounge in Terminal 2 at San Diego International Airport, the third club to feature the airline’s new design concept.
Copyright Photo: Michael B. Ing/AirlinersGallery.com. United is gradually phasing out its older Boeing 757-200s with seven retired in this quarter alone. Ex-Continental Boeing 757-224 WL N17122 (msn 27564) departs from Los Angeles.
Allegiant Air (Las Vegas) will move its Las Vegas operation today from Concourse D to Concourse A. This area was previously vacated by US Airways.
Read the full story from Las Vegas Review-Journal: CLICK HERE
Copyright Photo: Tony Storck/AirlinersGallery.com. Allegiant Air’s Boeing 757-204 N902NV (msn 26964) climbs over the Strip at Las Vegas.
FAA Airport Map for LAS:
Fly Jamaica Airways (Kingston) will launch a new route to Toronto (Pearson) on October 8.
The new airline commenced scheduled services on February 14, 2013 between Kingston, Jamaica and New York (JFK) with this former ATA Airlines Boeing 757-23N N524AT (msn 30233).
Copyright Photo: Brian McDonough/AirlinersGallery.com.
Air Astana (Almaty) will start a weekly nonstop route linking the capital of Astana with London (Heathrow) starting on October 31. The new route will complement existing Almaty-London (Heathrow) flights and will be operated with Boeing 757-200s per Airline Route.
Copyright Photo: Andi Hiltl/AirlinersGallery.com. Boeing 757-2G5 P4-GAS (msn 28112) arrives at the resort destination of Antalya, Turkey.
Delta Air Lines (Atlanta) is one of the U.S. airlines leading the stampede to find new revenue sources to “enhance the travel experience”.
According to the airline, Delta will begin offering a new travel option for SkyMiles customers which provides access to some of the airline’s most popular enhanced travel extras such as checked bags, priority boarding and seat selection for $199. The new package, called Smart Travel Pack, introduces a practical and affordable way for customers to add a suite of extra services and additional comfort for their upcoming business or personal travel.
An eligible SkyMiles member who purchases the Smart Travel Pack will receive:
- Free first checked bag for each passenger traveling in the same reservation
- Priority Boarding to give the entire party more time to get onboard and get settled in their seats with carry-on baggage stowed
- Access to Preferred Seats to allow selection of bulkhead or exit row seats or access aisle or window seat toward the front of the plane at no additional charge
- Discounted Economy Comfort which gives customers the option to upgrade to Economy Comfort for 50 percent less on domestic flights and 25 percent less on international flights
- 20 percent more bonus miles for the SkyMiles member who purchases the Smart Travel Pack to get them to their next Award Ticket faster
Package features are valid for the SkyMiles member who purchases the Smart Travel Pack during the promotion period and up to eight friends or family members traveling with them with the exception of bonus miles which are only awarded to the primary purchaser’s SkyMiles account.
Copyright Photo: SM Fitzwilliams Collection/AirlinersGallery.com. Former TWA/American Airlines Boeing 757-231 N709TW (msn 28479) in the SkyTeam alliance color scheme, taxies at Shannon.
United Airlines (Chicago) has announced will launch nonstop summer seasonal service between its Chicago hub at O’Hare International Airport and Edinburgh, Scotland, beginning on May 22, 2014, subject to government approval. This will be the first scheduled nonstop service between the two cities.
The flights will operate five times weekly from May 22 to June 11, daily between June 12 and September 1 and four times weekly between Sept. 2 and Oct. 5, 2014.
The flights will depart Chicago O’Hare at 6 p.m. (1800), arriving in Edinburgh at 7:45 a.m. (0745) the following day. The return flights will depart Edinburgh at 10:25 a.m. (1025), arriving in Chicago at 1 p.m. (1300) the same day (all times local). Flight times are seven hours, 45 minutes eastbound and eight hours, 35 minutes westbound.
The flights will operate using Boeing 757-200 aircraft with a total of 169 seats – 16 flat-bed seats in United BusinessFirst and 153 in United Economy, including 45 Economy Plus seats with added legroom and increased personal space.
United offers more nonstop service to more destinations from its Chicago O’Hare hub than any other carrier and has added 11 new routes from Chicago since the beginning of 2013.
United currently operates year-round nonstop service from its Newark Liberty International Airport hub to both Edinburgh and Glasgow, having started service to Scotland in 1998.
Copyright Photo: Michael B. Ing/AirlinersGallery.com. Boeing 757-222 N521UA (msn 24891) climbs away from Los Angeles International Airport.
Icelandair (Keflavik) has announced a major expansion for 2014 and is adding three new destinations, namely Edmonton and Vancouver in Canada and Geneva in Switzerland. The airline is also adding three additional Boeing 757s. The flag carrier issued this statement:
The Icelandair schedule for 2014 is the biggest in the company‘s history, increasing by 18% from this year. Three new destinations will be added and frequency increased to several cities in North-America and Europe. Number of passengers is estimated at over 2.6 million in 2014, compared to just under 2.3 million this year. In 2014, three Boeing 757 aircraft will be added to the fleet, enlarging it from 18 to 21 aircraft.
Icelandair has seen strong organic growth in the past few years and the 2014 schedule is double in size compared to the one in 2009. Departures from Iceland have grown from 4.500 in 2009 up to 9000 next year, and passenger numbers in 2009 were 1.3 million or half of next year’s estimate.
Besides opening up routes to Edmonton, Vancouver and Geneva, Icelandair will add frequency to most of its current destinations. 21 weekly flights will be added on European routes and 14 weekly flights to North America or 35 flights in total, from 220 weekly departures from Iceland this year to 254 departures next summer.
Flights to Edmonton, capital of Alberta, will start on March 26, 2014 and continue until January 2015, four times a week. The Edmonton economy is strong with the 1.2 million inhabitants.
The Vancouver twice-weekly flights start on May 13, 2014 and continue until October 12, 2014. Vancouver, western Canada‘s largest city with a population of 2.3 million.
The Geneva service starts on May 24, 2014 and continues twice-weekly until September 23, 2014. Geneva is an historic city and center for many international organizations with a multinational population of 1,1 million situated close to the French border.
Copyright Photo: Andi Hiltl/AirlinersGallery.com. Formerly operated by American Airlines as N637AM, Boeing 757-223 TF-ISF (msn 24595) joined the Icelandair fleet on January 9, 2013. TF-ISF is seen departing from Zurich today (September 3).
Delta Air Lines (Atlanta) and Virgin Atlantic Airways (London) have received tentative U.S. Department of Transportation (DOT) (Washington) antitrust immunity for its proposed trans-Atlantic alliance. As part of the deal, Delta is acquiring a 49 percent stake in Virgin Atlantic for $360 million from Singapore Airlines (Singapore).
All other parties will have 14 days to comment on the DOT decision, otherwise it will become final.
Read the full report from Reuters: CLICK HERE
Top Copyright Photo: Brian McDonough/AirlinersGallery.com. Delta’s Boeing 757-232 N650DL (msn 24390) banks on the final turn on the River Approach into Washington (Reagan National).
Have you seen the “new look” AirlinersGallery.com?
Bottom Copyright Photo: Michael B. Ing/AirlinersGallery.com. Airbus A340-313 G-VAIR (msn 164) climbs away from Tokyo (Narita) painted in the updated 2010 livery which also includes airline titles on the fuselage underside.
Air China Cargo (Beijing) intends to add four Boeing 757-200 freighters to its fleet. Precision Conversions has won the contract to convert the aircraft. Precision Conversions issued this statement:
Precision Conversions, LLC is very pleased to announce that the company has won a contract to provide Air China Cargo Company Ltd., a Joint Venture between Air China (Beijing) and Cathay Pacific Airways (Hong Kong), a total of four (4) full 15-cargo position 757-200PCFs. The first aircraft was inducted for modification at the Taikoo Aircraft Engineering Co. Ltd. (TAECO) maintenance facility in Xiamen on July 31. The second aircraft will commence modification in November. The remaining two aircraft are being placed in production slots for early 2014. All four aircraft will be used for express package transportation in China. Air China Cargo Company Ltd., is based in Beijing, China and operates to 36 cities in 27 countries.
To date, Precision Conversions has redelivered a total of thirty six (36) full 15 cargo position 757-200PCF freighters to customers operating in Europe, North and South America, India, Africa, and P.R. China. Precision also redelivered one (1) 757-200PCF Combi aircraft variant earlier this year.
Copyright Photo: Michael B. Ing/AirlinersGallery.com. Air China’s Boeing 757-2Y0 B-2826 (msn 26155), still carrying passengers, prepares to touch down at the Beijing (Capital) hub.
Cargojet Inc. (Cargojet Airways) (Hamilton) announced today financial results for the second quarter ended June 30, 2013 (all dollar figures are stated in Canadian dollars) .
For the Second Quarter Ended June 30, 2013:
- Total Revenues were $42.7 million , an increase of $2.2 million or 5.4% versus the previous year.
- Gross Margin was $6.3 million , a decrease of $0.9 million or 12.5% versus the previous year
- EBITDA was $4.2 million , a decrease of $0.3 million or 6.7% versus the previous year
For the Six Months Ended June 30, 2013:
- Total Revenues were $83.4 million , an increase of $2.8 million or 3.5% versus the previous year.
- Gross Margin was $11.2 million , a decrease of $1.6 million or 12.5% versus the previous year
- EBITDA was $6.9 million , an increase of $0.5 million or 7.8% versus the previous year
“Core overnight and charter revenues have shown some upward trends,” says Ajay K. Virmani, President and Chief Executive Officer. “The major challenge we continue to face is the pricing pressures from the marketplace and we will continue to ensure strict cost control and prudent financial management to ensure our margins stay on plan,” he concluded.
Copyright Photo: Ton Jochems/AirlinersGallery.com. Boeing 757-236 (F) C-FKCJ (msn 24792) waits for its evening departure from Vancouver International Airport.