Monthly Archives: August 2014

Ukraine Air Alliance Antonov An-12 crashes in Algeria, 7 killed

Ukraine Air Alliance An-12 UR-DWF (Grd) LGG (RBX)(LRW)

Ukraine Air Alliance (Kiev) Antonov An-12BK registered as UR-DWF (msn 8345802) (above) operating a cargo flight from Prestwick, Scotland to Malabo, Equatorial Guinea crashed on takeoff from Tamanrasset, Algeria yesterday (August 30) after making a fuel stop. All 7 crew members on board were reported to have died in the crash.

According to Wikipedia the airline was established on February 18, 1992 and started operations in 1993.

Read the full report from CNN: CLICK HERE

Copyright Photo: Rainer Bexten/AirlinersGallery.com. UR-DWF is pictured at Liege before the crash.

 

 

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JOTA Aviation acquires its first BAe 146 for charters

JOTA Aviation (Southend) has acquired its first BAe 146. Previously the company operated King Air 90s for ad hoc passenger and cargo charter flights.

The new BAE 146-200 is pictured arriving at Southend from Manston. Manston is being closed.

This could well be the last commercial aircraft to depart from Manston unless the African DC-8 does fly out as per the photo of mine you kindly used.

This airliner was delivered to Pacific Southwest in 1985 as N364PS and was last operated by Flightline as G-OZRH and stored at Southend. It then became N880PA and flew to Manston in February 2013.

The aircraft has now been re-registered as G-SMLA (msn E2047) recently.

Copyright Photo: Keith Burton/AirlinersGallery.com. G-SMLA arrives at the Southend base.

Flydubai adds three more routes, reaches 80 destinations

Flydubai (Dubai) has announced the addition of three new east African routes, bringing the total number of destinations in the carrier’s network to 80. With the launch of flights in September 2014 to Bujumbura in Burundi, Entebbe in Uganda and Kigali in Rwanda, Flydubai will fly to nine destinations in Africa.

In addition to operating between Dubai and these three new cities, Flydubai has obtained the rights to carry passengers between Uganda and Burundi.

Rwanda and Burundi are home to some of the most biodiverse places. Filled with numerous volcanoes, nature reserves and the second deepest lake in the world, the two countries also have one third of the world’s remaining Mountain Gorillas and one third of Africa’s bird species. While tourism is the largest contributor to Rwanda and Burundi’s economies, Uganda is considered one of Africa’s most progressive economies and is emerging as one of the leading commercial centres within Africa.

Within Africa, Flydubai currently operates flights to Alexandria in Egypt, Khartoum and Port Sudan in Sudan, Juba in South Sudan, Ethiopia’s Addis Ababa as well as Djibouti’s capital Djibouti.

Flydubai will operate seven flights a week between Entebbe and Dubai starting from September 28, 2014.

Flydubai will operate two flights a week between Bujumbura and Dubai via Entebbe starting from September 30, 2014.

Flydubai will operate two flights a week between Entebbe and Bujumbura starting from September 30, 2014.

Flydubai will operate three flights a week between Kigali and Dubai via Entebbe starting from September 27, 2014.

Copyright Photo: Paul Denton/AirlinersGallery.com. Boeing 737-8KN A6-FDN (msn 40241) approaches the runway at Dubai International Airport (DXB).

Flydubai: AG Slide Show

Expanded route map: Flydubai 8.2014 Route Map

 

Flights MH 370 and MH 17 continue to impact Malaysia Airlines, second quarter loss grows

Malaysia Airlines (Kuala Lumpur) reported a larger second quarter net loss of RM307 million ($97.4 million) for the three months ended June 30, 2014.

The company continues to suffer as a result of the March 8, 2014 disappearance of flight MH 370 and the shooting down of flight MH17 on July 17, 2014.

Here is the complete financial statement by the company:

The disappearance of Malaysia Airlines flight MH 370 in March 2014 continued to impact the airline’s second quarter financial results with Malaysia Airlines’ reporting a net loss of RM307 million for the three months ended June 30, 2014. Adding to the earlier loss of RM443 million in first quarter, the national carrier’s first half 2014 results stood at a loss of RM750 million, 65% more than the previous corresponding period in 2013.

For the three months ended June 2014, Group revenue fell 5% to RM3.59 billion compared to one year ago as a result of lower yield and seat factor following the MH 370 tragedy. The lower revenue coupled with a marginal 2% increase in cost, principally due to fuel cost for the quarter, resulted in a net loss After Tax of RM307 million after taking into consideration depreciation (RM223 million), finance costs (RM119 million) and unrealized forex gains (RM52 million).

Having lost substantial potential revenue from the popular MATTA Fair in early March and the decision by MAS to impose a deliberate advertising black-out in March and April due to the tragedy of MH 370, more aggressive marketing activities picked up in May and June.

The market responded positively to the Malaysia Airlines Travel Fair (MATF) held in May which saw sales increase 29% and higher than average daily sales compared to previous fairs that ran earlier in the year. MATTA Sabah, MATF Penang plus a greater push in all markets around the world further helped sales and restored confidence in MAS.

Seat factor which fell 9.5 points in May to 68.9% was seen to pick up in June to return to above the 80% levels again.

For the second quarter 2014, capacity rose 9% year-on-year based on improved aircraft utilization; however traffic remained the same year-on-year. Consequently, the airline’s seat factor recorded a fall of 6.7 points for the Quarter to 73.7% compared to 80.4% in the previous year. Malaysia Airlines carried 4.2 million passengers in the months of April to June 2014.

Fuel expenditure in second quarter 2014 rose 10% to RM1.53 billion compared with the previous corresponding period due to a rise in fuel price and weakening of the Ringgit against the US Dollar.

In an effort to reduce fuel costs and increase productivity, Malaysia Airlines brought forward the retirement of its older Boeing 737-400 fleet from end 2014 to mid-June. As at mid-August, the Group’s fleet comprised 127 aircraft. Of this, Malaysia Airlines’ operates 88 aircraft, which includes 54 Boeing 737-800s, 15 Airbus A330s and 6 Airbus A380s. The average age of the fleet for the Group as at June 30, 2014 is 5.28 years.

For the first half of 2014, total revenue fell 2%, however total expenditure grew 4%. Fuel costs, representing 43% of total expenditure, was 12% higher. Earnings before Interest, Taxation, Depreciation and Amortisation (EBITDA) stood at negative RM134 million for the first half of 2014 against a positive RM258 million in the same period one year ago. Depreciation charges (RM460 million) and finance costs (RM241 million) continued to remain high.

Despite increases in capacity and revenue as well as cost saving measures and productivity improvements, the Group has continued to report weak financial performance.

The weak financial performance has made Malaysia Airlines acutely aware of the need to restructure the Company’s operations, even prior to the double tragedies of MH 370 and MH 17. The occurrence of the two incidences within a short span of 4 months served to worsen the situation further.

“We operate in a harsh business environment of stiff competition from regional and global carriers and high operational costs. Coupled with the impact of the two tragedies which have damaged our brand, the need to restructure the Company was accelerated. The full financial impact of the double tragedies of MH 370 and MH 17 is expected to hit Malaysia Airlines in the second half of the year”, said Ahmad Jauhari.

“Our Company has had to undergo a thorough re-examination and re-evaluation in order to reposition ourselves as a stronger and more sustainable Malaysia Airlines for the future”, said Ahmad Jauhari.

On August 8, 2014, majority shareholder, Khazanah Nasional Berhad, announced its intention to take full ownership of Malaysia Airlines and delist it from Bursa Malaysia. If approved, it will put into action a plan to restructure the airline group towards returning it to profitability.

Yesterday (August 29) the airline issued this statement about the recovery plan for the national airline:

The Board of Malaysia Airlines welcomed the release by Khazanah Nasional Berhad (“Khazanah”), its majority shareholder, of “Rebuilding a National Icon: The MAS Recovery Plan” – a plan to facilitate the airline’s achievement of sustained profitability and competitiveness. It also acknowledged receipt of a letter from Khazanah relating to Khazanah’s planned investment in MAS to facilitate its delisting from the main market of Bursa Malaysia and restructuring, and the terms of such funding.

At its last Annual General meeting on June 25, Chairman of MAS, Tan Sri Md Nor Yusof, and Managing Director and Group Chief Executive Officer, Ahmad Jauhari Yahya, made clear that even before the disappearance of MH370, radical change was already firmly on the Board’s agenda. The urgency for change, evident through our continued poor performance, was also accelerated by the loss of MH 17.

The publication of the Recovery Plan follows the formal request by Khazanah to the MAS Board of Directors to undertake a Selective Capital Reduction (“SCR”) exercise made on August 8, 2014. The SCR will be put to shareholders’ vote at an Extraordinary General Meeting to be convened in due course.

In parallel, MAS’ senior leaders have been engaging with almost 2,500 staff at multiple locations across the Group, to hear their views and concerns resulting from plans to take the Company private and restructure.

We, together with representatives of the employees’ unions, met this morning with Khazanah. We will continue this process of engagement with all parties including directly with employees and with representatives of the employees’ unions.

In the meantime, there will be no disruption to our current service. We will continue to fly, honor existing reservations, and plan future travel. The announcement on August 8 and this Plan will have no impact on the current fares we offer our customers and corporate accounts nor our membership in the oneworld alliance.

We are an award winning airline– including having won World’s Best Cabin Crew numerous times. It is our duty and honour to serve and we will continue to do so with pride and care.

In his foreword to the Recovery Plan, the Prime Minister called on Malaysia Airlines, all those who work with Malaysia’s national carrier and all Malaysians to play their part in ensuring today’s Plan becomes an enduring success. We look forward to playing our role and being a part of this effort to ensure that Malaysia Airlines becomes a profitable and sustainable national carrier of which all Malaysians can be truly proud.

Copyright Photo: Ole Simon/AirlinersGallery.com. Malaysia Airlines retired its last Boeing 737-400 in mid-June 2014. Boeing 737-4H6 9M-MMA (msn 26443) arrives in Singapore.

Malaysia Airlines: AG Slide Show

9 air takes delivery of its first Boeing 737-800, preparing to start operations

9 air (9air.com) (Nine Star Airways) (Guangzhou and Bangkok) as we previously reported is a new budget airline in China. On August 27 the new company took delivery of its first Boeing 737-800, the pictured 737-8GP B-1715 (msn 39819). The company hopes to launch scheduled passenger operations next month when a second aircraft is delivered.

According to Reuters, 9 Air finalized its order for 50 Boeing 737 jets, becoming the second Chinese carrier which operates an all-Boeing fleet.

The order includes a mix of Boeing Next-Generation 737 jets and 737 MAX aircraft.

9 air is owned by privately held Juneyao Airlines which is an Airbus A320 operator.

Nine Star Airways also intends to operate Airbus A320s from Bangkok.

Copyright Photo: Ivan K. Nishimura/Blue Wave Group/AirlinersGallery.com. B-1715 passes through Honolulu. B-1715 is one of three 737-800s leased from Transportation Partners (Lion Air) which are being leased in order to start operations.

 

Xiamen Air takes delivery of its first Boeing 787 Dreamliner

Boeing (Chicago and Seattle) and Xiamen Airlines (Xiamen Air) (Xiamen) yesterday (August 29) celebrated the delivery of the airline’s first 787 Dreamliner.

With the delivery of its first 787-8, Xiamen Airlines becomes the third Chinese airline to operate the 787. The airline will use the 787 on long-haul routes from its Fujian province base to Europe, North America and Australia.

Formed in 1984 as China’s first joint venture between the Civil Aviation Administration of China (CAAC) and a municipal government, Xiamen Airlines started services in 1985 with two Boeing 737-200s serving three cities. The carrier has grown into China’s sixth largest airline serving 218 domestic routes and 26 international and regional routes.

As part of Xiamen Airlines’ 12th five-year plan ending 2015, the carrier plans to grow its fleet to 150 airplanes, including six 787s. The 787 is the most advanced airplane in commercial aviation and will help Xiamen Airlines develop more point-to-point routes globally, while also establishing the airline as an emerging force in the commercial aviation market.

To support Xiamen Airlines’ 787, Boeing will provide a comprehensive suite of support and services that includes flight training, Airplane Health Management, electronic charts and navigation data, and Maintenance Performance Toolbox through its Commercial Aviation Services business.

Xiamen Airlines is China’s only all-Boeing carrier. In November 2013, the airline took delivery of its 100th Boeing airplane, a Next-Generation 737-800. Xiamen Airlines has a total of six 787s on order.

Copyright Photo: Bernie Leighton/AirlinersGallery.com. Boeing 787-8 B-2768 (msn 41538) is pictured at Paine Field near Everett, WA.

Xiamen Air: AG Slide Show

American and Orbitz make up, all is good again

Orbitz Worldwide has announced that it had reached an agreement with American Airlines (Dallas/Fort Worth) to continue to offer American Airlines and US Airways flights on all of its sites. Consumers should see all available flights immediately. All tickets previously purchased on Orbitz Worldwide sites remain valid.

“We are pleased that our long-standing relationship with American Airlines allowed us to quickly resolve business matters and that we continue to offer a broad range of options, including American Airlines
and US Airways flights, to the millions of shoppers who book travel on our global sites each day,” said Sam Fulton, president of Orbitz.com.

Copyright Photo: Jay Selman/AirlinersGallery.com. Boeing 777-323 ER N723AN (msn 33125) of American Airlines completes its final approach to the runway at John F. Kennedy International Airport in New York.

American Airlines (current): AG Slide Show