Mesa Air Group reports a 3Q net loss of $10.0 million

Mesa Air Group, Inc. reported its third quarter fiscal 2022 financial and operating results.

Fiscal Third Quarter Highlights:

Pre-tax loss of $12.5 million, net loss of $10.0 million or $(0.28) per diluted share
Adjusted net loss¹ of $7.1 million or $(0.20) per diluted share
Adjusted net loss excludes a $3.9 million (pre-tax) change in the fair value of investments in equity securities
Third aircraft with DHL cargo operation entered revenue service
Added a second CRJ simulator to increase pilot training capacity

Jonathan Ornstein, Chairman and CEO, said, “While demand remained resilient for the quarter, our financial results continue to be impacted by industry-wide, elevated pilot attrition and the significant reduction in the commercial pilot pipeline, exacerbated by the 1,500-hour rule. Looking forward, we intend to take dramatic action to address the pilot shortage through increased recruiting, additional simulator capacity, and expansion of our pilot pipeline. We are also pleased that United Airlines has expanded the Aviate program to include all of our pilots.”

Fiscal Third Quarter Details:

Total operating revenues in Q3 2022 were $134.4 million, an increase of $9.2 million (7.4%) from $125.2 million for Q3 2021. Contract revenue increased $9.2 million, or 8.4%. This was due to the return to normal rates from our partners, which were temporarily reduced last year related to the PSP program. These were partially offset by a reduction in block hours. Mesa’s Q3 2022 results include, per GAAP, the recognition of $6.8 million of previously deferred revenue, versus the deferral of $1.9 million of revenue in Q3 2021. The remaining deferred revenue balance of $22.7 million will be recognized as flights are completed over the remaining terms of the contracts.

Mesa’s Adjusted EBITDA¹ for Q3 2022 was $20.1 million, compared to $35.3 million in Q3 2021, and Adjusted EBITDAR¹ was $29.4 million for Q3 2022, compared to $44.9 million in Q3 2021.

Mesa’s Q3 FY22 results reflect a net loss of $10.0 million, or $(0.28) per diluted share, compared to net income of $4.3 million, or $0.11 per diluted share for Q3 FY21. Mesa’s Q3 FY22 adjusted pre-tax loss¹ was $8.7 million versus an adjusted pre-tax income¹ of $5.8 million in Q3 FY21. The year over year decrease in adjusted pre-tax income of $14.5 million was primarily due to lower block hours, the net impact of the PSP program, and the change in deferred revenue.

Operationally, the Company ran a controllable completion factor of 98.8% for American and 99.8% for United during Q3 2022. This is compared to a controllable completion factor of 99.4% for American and 99.9% for United during Q3 2021. This excludes cancellations due to weather and air traffic control.

With respect to a total completion factor that includes all cancellations, Mesa reported a total completion factor of 97.7% for American and 98.8% for United during Q3 2022. This is compared to a total completion factor of 97.6% for American and 99.2% for United during Q3 2021.

Liquidity and Capital Resources:

Mesa ended the quarter at $54.4 million in unrestricted cash and equivalents. As of June 30, 2022, the Company had $653.4 million in total debt secured primarily with aircraft and engines.

Fleet:

For the three months ended June 30, 2022, 46% of the Company’s total revenue was derived from our contracts with United, 47% from American, 2% from DHL, and 5% from leases of aircraft to a third party.

Below is our current and future fleet plan by partner and fleet type for FY22:

Fleet Plan (FY22)	Q1 (Dec ’21)	Q2 (Mar ’22)	Q3 (Jun ’22)	Q4 (Sep ’22)
	Actual	Actual	Actual	Forecast
E-175 – UA	80	80	80	80
CRJ-900 – AA	40	40	40	40
737-400F – DHL	2	3	3	3
Sub-total	122	123	123	123
CRJ-700 leased	17	18	20	20
CRJ-700 to be leased to third party	3	2	–	–
CRJ spares or parked	25	13	13	13
CRJ held for sale	–	12	12	12
Total fleet	167	168	168	168

Happy Airways hopes to happily connect Strasbourg with the rest of Europe

Happy Airways (Strasbourg) is a proposed airline seeking investors.

The upstart hopes to connect its Strasbourg home with 14 destinations in the rest of Europe.

The new airline is planning to commence operations with two ATR 72-600s if funding can be secured.

The airline also wants a low carbon footprint and plans to use electric vehicles on the ground.

The project is looking for investors and will also crowdfunding to raise the necessary capital.

Eurowings sees a rise in business travel, will have 30% more flights in September

Eurowings has made this announcement:

Business travel is back. Against the backdrop of rising demand for business flights, Eurowings is significantly increasing its offer for business travelers and from September will be offering around 30 percent more flights compared to the previous year. This is Eurowings’ response to the strong growth in demand for business destinations such as Vienna, Zurich, London and Milan. At the same time, the Lufthansa subsidiary is expanding the capacity of its BIZclass product on numerous routes.

“We see very clearly that after the end of the summer holidays in some German states, the demand for business flights has increased significantly,” says Eurowings CEO Jens Bischof. “Many business travelers want to attend their meetings in person again and are booking their flights now. Even though we have not yet reached the pre-Corona level, the incoming bookings clearly show us the progressive normalization in this segment as well. We are responding to this with a 30 per cent increase in services and more BIZclass capacity.”

Eurowings is also observing a progressive normalization of the processes on the ground and in the air. For weeks now, the airline has been bringing its passengers to their destinations with a reliability of 99 per cent – a high value widely recognized in the industry.

Düsseldorf

From its largest base in Düsseldorf, Eurowings serves more than 30 classic business destinations in around ten countries. As part of the expansion of the programme, the highly popular connections to Berlin, Zurich and Milan will be increased with up to 10,000 additional seats on offer. In addition, Eurowings will offer twice-daily connections to Stockholm, Prague, Dresden, Birmingham, Geneva, Lyon and Salzburg. Other business destinations from Düsseldorf include Athens, Belgrade, Bologna, Budapest, Gdansk, Hamburg, Copenhagen, Krakow, Rome, Gothenburg, Graz, London, Lisbon, Linz, Manchester, Marseille, Newcastle and Vienna. In total, Eurowings passengers can choose from more than 100 direct connections from the NRW state capital.

Cologne/Bonn

From Cologne/Bonn, Eurowings is particularly increasing its capacity on the highly demanded route to Berlin: for example, more than 6,000 additional seats will go on sale for this route in September. Business travelers will then be able to choose from up to six daily departures to the German capital. In total, Eurowings serves more than 60 direct destinations throughout Europe from Cologne/Bonn, including Stockholm, Athens, Bologna, Budapest, Hamburg, Rome, London, Lisbon, Milan, Munich, Prague, Salzburg, Vienna and Zurich, all of which are important destinations for business travel.

Hamburg

From Hamburg, Eurowings is doubling its services on the route to Amsterdam. The connection to Milan will also be significantly increased. From September, the Hanseatic city will again be connected three times daily with the destinations Vienna and Munich. Eurowings’ services from Hamburg include the important destinations for business travelers Cologne/Bonn, Düsseldorf, Stuttgart, Munich, Stockholm, Budapest, Paris, Rome, London, Lisbon, Oslo, Salzburg, Vienna and Zurich. In total, travelers with Eurowings can choose from 50 destinations from Hamburg.

Stuttgart

At the Stuttgart base, Eurowings is increasing its offer by more than 150,000 additional seats for business destinations. For example, after the summer break, the connection to Bremen is back in the programme. Eurowings is offering a third more flights on routes to Budapest, Hamburg and Milan. The market leader at Stuttgart Airport offers more than 60 destinations – including business connections to Amsterdam, Athens, Belgrade, Berlin, Rome, Graz, London, Lisbon, Tbilisi and Vienna.

Berlin

From Berlin, business travelers will have access to a daily Eurowings connection to Stockholm for the first time – making Berlin the fourth direct connection from Germany that Eurowings offers to the Swedish capital. Business travelers from the German capital benefit from the high-frequency connections to Cologne/Bonn, Düsseldorf and Salzburg with Eurowings. To these destinations alone there are more than 200 flights a week to and from Berlin in the Eurowings flight schedule.

On other news, Eurowings has announced it is adding Currywurst:

From now on, French fries and German currywurst will complete the culinary pleasures on Eurowings flights / More sustainability in the selection thanks to organic packaging

A summertime upgrade for the Eurowings menu: Eurowings customers can now enjoy currywurst on board every Eurowings flight longer than an hour
Currywurst as the perfect accompaniment to crisp French fries
Eurowings is the only German airline to serve currywurst and fries with vegan mayonnaise
Becoming a value airline for Europe with new products and services

A new addition to the Eurowings menu: Eurowings customers can now enjoy hot currywurst during their flight. In keeping with the summer season, the currywurst expands the in-flight product range and can be combined particularly well with crispy French fries with vegan mayo, which have already been available on board since May and are enjoying great popularity: in July alone, more than 4,000 servings of fries were sold on board. All the ingredients of the currywurst are sourced from regional German suppliers. The specialty is available on all flights that are in the air for more than an hour.

Currywurst: Germans’ iconic snack with its own day of honor

Currywurst is one of Germany’s favorite dishes: every year, around 800 million servings are eaten nationwide. The iconic snack is so popular, in fact, that Currywurst Day is celebrated across the country in its honor on September 4. The sausage is more commonly found in stadiums, outdoor pools and snack bars – Eurowings is pleased to be the only German airline to now offer its customers the popular classic sausage dish on board in addition to the “Fries in the Skies”. Customers can order a currywurst for 7.50 euros.

New sustainable packaging for sandwiches on board

In addition to the currywurst, Eurowings offers its guests many other attractive snacks above the clouds, so there is something for every taste. At the same time, Germany’s leading leisure airline is focusing more and more on sustainability. For example, the sandwiches offered by Eurowings are now available in fully recyclable packaging. The “Nature-flex” film made of renewable raw materials is fully compostable and biodegradable. Its introduction on board avoids several tons of plastic waste per year.

Eurowings aircraft photo gallery:

Flybe to expand to 12 destinations this winter

Flybe (Birmingham) has announced its 2022-2023 winter schedule.

The reborn airline will fly to 12 destinations.

Starting on October 30, 2022, Flybe will add additional routes and frequencies from London Heathrow to Newquay and also from Birmingham to Belfast City, Belfast City to East Midlands and Southampton to Glasgow.

Flybe will continue to offer international flights from Belfast City, Birmingham, East Midlands and London Heathrow to Amsterdam.

Route Map:

Southwind Airlines launches a new route to Tbilisi, Georgia

Southwind Airlines (Antalya) launched the Antalya – Tbilisi charter route on August 21.

According to TAV Airports, Southwind Airlines will run charter flights to Antalya on a weekly basis, with an Airbus A21 aircraft every Sunday until September 25.

The new describes its mission:

Southwind Airlines is headquartered in Antalya and will continue its operations with a total of 4 aircraft, 2 wide body Airbus A330 and 2 narrow body Airbus A321 in the first stage.

In order to take an important position in Turkey and in global civil aviation, we combine our vision and mission with our global, young and dynamic perspective, and we are actively working to carry our country’s flag in the skies on the routes of Germany, England, France, Russia, Scandinavian countries and Israel.

We aim to increase the number of tourists who will visit our country by concentrating on charter flights to contribute to Turkish tourism by cooperating with tour operators in these countries and evaluating today’s dynamics.

QANTAS is reaching out to its customers to formally apologize for recent operational challenges

QANTAS Airways made this announcement:

Direct apology is being sent to millions of Frequent Flyers
Operational performance improving, with plan in place to bring Qantas ‘back to its best’
Frequent Flyers offered $50 towards a return flight from Australia or New Zealand
12 month extension of status for Silver Frequent Flyers and above
Up to 50 per cent increase to Classic Reward seat availability extended; first release of additional seats from midday Monday

Qantas is reaching out to millions of its customers to formally apologise for recent operational challenges and thank them for their patience as the national carrier works to get back to its best after COVID.

The airline is rolling out a range of initiatives to improve mishandled bags and on time performance as it also deals with high levels of sick leave (due to flu, COVID and isolation requirements) as well as an industry-wide labour shortage.

Qantas has hired 1,500 new people since April with more to come, adjusted flight schedules and invested $15 million in new technology at key airports to help smooth the travel experience.

Speaking directly to Frequent Flyers via an email and video message being sent on Monday, Qantas Group CEO Alan Joyce acknowledged while it was great to see people back on-board after so long on the ground, the return to flying hasn’t all gone smoothly.

“Over the past few months, too many of you have had flights delayed, flights cancelled and bags misplaced. There are good reasons why, but when it comes to what you expect from Qantas, it’s not good enough.

“On behalf of the national carrier, I want to apologise and assure you that we’re working hard to get back to our best.

“We’re already seeing a sustained improvement in baggage handling and on-time performance, and while factors out of our control like weather can have an impact on our schedule, we expect things to keep improving each week.

“As well as saying sorry, we also want to say thank you. We’re investing in a range of initiatives including status extensions for Frequent Flyers Silver and above, thousands of Qantas Points and lounge passes. All our Frequent Flyers in Australia and New Zealand will be offered $50 towards a return Qantas flight, which equates to many millions in discounts,” added Mr Joyce.

Qantas will also extend its commitment of up to 50 per cent more Classic Reward seat availability through to 30 June 2023 with the first tranche of additional seats released from 12pm Monday across international and domestic flights. Reward seats are booked using Qantas Points.

Qantas first announced its commitment to increasing Classic Reward seats in October last year. Since then, Frequent Flyers have redeemed more than 80 billion Qantas Points, with one in every 11 passengers carried by Qantas flying a reward seat.

Summary of bonus benefits

Status extension:

12 months status extension across tiered members Silver and above to continue to enjoy the benefits associated with their tier for another year.

Flight discount offer:

$50 off flight promo code for Australian and New Zealand-based Qantas Frequent Flyer members to redeem towards a return Qantas flight.

Classic Reward availability extension:

Extension of previously announced commitment of up to 50 per cent more reward seat availability on Qantas International, trans-Tasman and popular domestic routes until 30 June 2023 being released progressively from 12 noon Monday.

Qantas Lounge invitations:

Additional invitation for members to use themselves, or offer to a Frequent Flyer friend, colleague or family member, to enjoy a pre-flight visit with them to a Qantas Lounge. For Gold members, an invitation to visit a Qantas Domestic Business Lounge, or for Silver members, an invitation to visit the Qantas Club or an international Business Lounge.

Qantas Points:

A gift of Qantas Points for Platinum and Platinum One members.

An email will be sent to Qantas Frequent Flyers from Monday with details on the offers along with a video message from Qantas Group CEO Alan Joyce with a direct apology to customers for the airline’s recent performance issues.

Canadian North to end the Iqaluit – Toronto route early, reports a fuel shortage

Canadian North Airlines has decided to end the Iqaluit – Toronto (Pearson) route early on September 4 due to low demand and limited resources.

The airline is also experiencing a shortage of fuel at high arctic airports:

American Airlines flight operated by an All-Black Female Crew in Honor of Bessie Coleman

American Airlines hosted the Bessie Coleman Aviation All-Stars tour to celebrate the 100th anniversary of the first Black woman to earn a pilot’s license in 1921. She bravely broke down barriers within the world of aviation and paved the path for many to follow.

To honor her legacy, American hosted Gigi Coleman, Bessie’s great niece, on a flight from Dallas-Fort Worth to Phoenix. The flight was operated by an all-Black Female crew — from the pilots and Flight Attendants to the Cargo team members and the aviation maintenance technician.

American is being intentional in its efforts to diversify the flight deck. Black women have been notably underrepresented in the aviation industry, especially as pilots, representing less than 1% in the commercial airline industry. Through the American Airlines Cadet Academy, the airline is committed to expanding awareness of and increasing accessibility to the pilot career within diverse communities.

The historic flight crew

Beth Powell
Pilot, Boeing 737 Captain

Charlene Shortte
Pilot, Boeing 737 First Officer

Cheryl Gaymon
Flight Attendant

Mary Roberson
Flight Attendant

Vanessa Bennett
Flight Attendant

Breana James
Flight Attendant

Sharron Brooks
Ramp Crew Chief

Nicole White
Ramp Crew Chief

Maya Matthews
Fleet Service Agent

Natasha Williams
Fleet Service Agent

Alisha Bates
Fleet Service Agent

Patricia Milfort
Manager on Duty, Customer Operations

Tracy Brown
Customer Service Agent

Arlene Law
Customer Service Coordinator

Lynette Daniels Moody
Customer Service Coordinator

Lillie Hayes
Customer Service Coordinator

Kacy Stevenson
Customer Service Coordinator

Muje Abdul-Qadir
Control Center Coordinator

Pamela Calton
Aviation Maintenance Technician

Crystal Tochi McDaniel
Duty Manager, Cargo Services

Audrey Van Hook
Cargo Crew Chief

Sandra Butler
Cargo Crew Chief

Jessika Mejia
Premium Guest Services Representative

Veronda Butler
Senior Manager, Premium Guest Services

Cyprus Airways adds additional weekly flight to Yerevan, Armenia

Cyprus Airways announced its third weekly direct flight to Yerevan, Armenia.

The added frequency, starting on September 13, 2022 will continue increasing capacity on the route following its successful launch late last month.

In order to meet growing demand, the airline also announced it will increase frequencies on its most popular routes.

Flights to Athens have effectively been increased to double daily, Beirut is being served with a daily service, while flights to Tel-Aviv increased to six weekly services.

Cyprus Airways aircraft photo gallery:

Delta resumes nonstop service from LAX to Haneda; launches new service from Honolulu

Delta Air Lines will resume flights from Los Angeles International Airport (LAX) to Tokyo International Airport (HND) beginning Oct. 30 in anticipation of Japan’s easing travel restrictions.

The route will start operating three times weekly before moving to daily starting Dec. 1. The restart of service will use Airbus 330-900neo aircraft featuring Delta One Suites, Delta Premium Select, Delta Comfort+ and Main Cabin services.

Delta will also start a new daily service between Honolulu and Haneda on Dec. 1. This is the first time Delta has offered service from Haneda to Honolulu with its start delayed due to the pandemic. Customers will be able to enjoy Delta One, Delta Premium Select, Delta Comfort + and Main Cabin services using the Boeing 767-300ER.

Haneda is a key hub for Delta and offers multiple travel options from key U.S. gateways including Seattle, Atlanta and Detroit.

Delta schedule for Los Angeles (LAX) – Haneda (HND) flights (Oct. 30 – Nov. 28):

Flight

Departs

Arrives

Operating Day

Aircraft

DL7

Los Angeles at 9:45 a.m.

Haneda at 3:10 p.m.

(next day)

Wed, Fri, Sun