Monthly Archives: May 2011

US Airways’ pilots sue the company

US Airways’ (Phoenix) pilots, represented by the US Airline Pilots Association (USAPA), have filed a complaint against defendant US Airways in the U.S. District Court Southern District of New York alleging that US Airways has violated its duty to maintain the status quo during contract negotiations as required by the Railway Labor Act (RLA).

In its complaint, USAPA alleges:

US Airways has unilaterally altered the parties’ collective bargaining agreements by intentionally frustrating and abrogating the contractual grievance and arbitration procedures outlined in the collective bargaining agreements.

US Airways has deliberately delayed the scheduling of disputes as required under the Railway Labor Act. It has failed to prosecute disciplinary and contractual grievances in a timely fashion and refused to complete arbitration hearings within the allotted, agreed upon time. Its actions have created a backlog of more than 500 unresolved grievances.

Lastly, US Airways has refused to follow well-established and agreed upon procedures and practices regarding the settlement of disciplinary and contractual disputes.

According to the union, US Airways has violated its obligations under the RLA to maintain the status quo with respect to terms and conditions of employment for those US Airways employees represented by USAPA.

Again, according to the USAPA, US Airways has also violated the RLA by intentionally failing to “exert every reasonable effort” to reach a settlement with USAPA regarding an integrated collective bargaining agreement. USAPA believes the defendant has bargained in bad faith in violation of the RLA by engaging in surface bargaining and employing evasive and dilatory tactics with respect to the ongoing major dispute.

US Airways has demonstrated a clear intention not to reach an agreement with USAPA regarding an integrated collective bargaining agreement, and therefore has violated the Railway Labor Act.

US Airways has committed an additional violation of the Railway Labor Act by failing to “exert every reasonable effort … to settle all disputes … arising out of the application of” the current collective bargaining agreements.

US Airways has failed to make “every reasonable effort” to settle or otherwise resolve contractual interpretation disputes in violation of the Railway Labor Act.
USAPA feels that the egregious nature of these illegal acts has been compounded by important safety grievances that remain unresolved as a result of US Airways’ actions.

In its complaint, USAPA seeks to enjoin US Airways from unilaterally abrogating and altering the relevant collective bargaining agreements pending completion of the RLA’s major dispute resolution procedure. USAPA requested that the District Court issue a preliminary injunction prohibiting US Airways from engaging in this misconduct.

Copyright Photo: Bruce Drum.

US Airways Slide Show: CLICK HERE

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Jet Airways to redeploy the Boeing 777-300 ER on the Mumbai-Newark route

Jet Airways (Mumbai) will redeploy the Boeing 777-300 ER on the Mumbai-Newark route starting in September.

On the financial side, the carrier posted a $44 million loss for the fiscal fourth quarter ending on March 31.

Copyright Photo: Nick Dean. Please click on the photo for additional information.

Finnair launches Helsinki-Singapore service

Finnair (Helsinki) yesterday (May 30) launched the new Helsinki-Singapore route.

The new route is operated daily all year around. Flight time is around 11.5 hours.

Flights to Singapore are operated with Airbus A340-300 aircraft, with a capacity of 42 high-level Business Class seats.

Schedule:

AY 081 Helsinki–Singapore 2340–1610
AY 082 Singapore–Helsinki 2330–0635

Copyright Photo: Bernhard Ross. Please click on the photo for additional information.

Finnair Slide Show: CLICK HERE

El Al Israel Airlines’ first quarter loss widens

El Al Israel Airlines’ (Tel Aviv) posted a net loss of $42.9 million in the first quarter, compared with a loss of $16.5 million a year ago according to this report by Reuters.

Read the full report: CLICK HERE

Copyright Photo: Paul Denton. Please click on the photo for aircraft details.

El Al Photo Show: CLICK HERE

Romanian Government decides to pass on privatization of TAROM

TAROM-Transporturile Aeriene Romane (Romanian Air Transport) (Bucharest) will not be privatized at this time.

Romania has previously stated it was planning to find a strategic investor for the state airline by the end of April 2011.

Read the full report by the Romania Business Insider: CLICK HERE

Copyright Photo: Jens Polster. Please click on the photo for additional details.

TAROM Slide Show: CLICK HERE

Norwegian Air Shuttle to acquire three additional 787-8 Dreamliner purchase rights from Icelandair

Norwegian Air Shuttle (Oslo) is now planning to operate five Boeing 787-8 Dreamliners.

IG Invest, an affiliate of Icelandair Group, has signed a Letter of Intent (LOI) with
Norwegian Air Shuttle, aimed at transferring it´s purchase rights for three Boeing 787-8
Dreamliners IG Invest has on order with the Boeing Company. When completed the transaction with Norwegian Air Shuttle, this transactio will relieve Icelandair Group from it‘s role as guarantor under the purchase agreement between Boeing and IG Invest.

IG Invest is a holding company of aircraft and aircraft related assets, and has
one further Boeing 787 on order.

In November 2010 Norwegian announced an order for two Boeing 787-8 long-haul aircraft while disclosing that it is negotiating for an additional 4-6 aircraft of the type. The first Dreamliner will be delivered in 2012.

Copyright Photo: Stefan Sjogren. Norwegian is already a strong Boeing operator. It is adding new Boeing 737-800s to gradually replace its shrinking 737-300 fleet.

Norwegian routes from Oslo:

Norwegian Slide Show: CLICK HERE

BAE Systems to sell its commercial aircraft lease portfolio

BAE Systems (Farnborough) on May 26 announced an agreement to sell its commercial aircraft lease portfolio and Asset Management business to investment affiliates of Fortress Investment Group LLC (New York).

According to BAE, “The sale, which is expected to close in the third quarter of 2011, is for a cash consideration of $187 million, subject to certain post-completion adjustments. Completion is conditional, amongst other things, upon regulatory approval.

The business, known as BAE Systems Asset Management, is the world’s second largest regional jet lessor by fleet value and the tenth largest aircraft lessor by fleet size. It has 16 lease customers in 11 countries. The business is responsible for the management of 151 commercial aircraft owned by BAE Systems, which are included within the sale, plus the management of third party owned commercial aircraft on behalf of airlines and investors.

The support and engineering activities of BAE Systems Regional Aircraft are not included in this sale.”

BAE Systems Asset Management was founded in 1993 to manage the portfolio of BAe 146/Avro RJ jetliners and the ATP and Jetstream turboprop airliners. Over the past 17 years to the end of 2010, the organisation has concluded more than 1800 lease, sale and other transactions, worth in excess of $3.1 billion. The business is predominantly based in the UK and employs approximately 70 people.

Fortress is a leading global investment manager with approximately $43.1 billion in assets under management as of March 31, 2011. Fortress offers alternative and traditional investment products and was founded in 1998.

Copyright Photo: Rolf Wallner. Please click on the photo for aircraft information.