Transaero Airlines (Moscow) has announced it will start the Moscow (Vnukovo) – Prague route. On March 29, 2015 Transaero will launch, for the first time in its history, scheduled services on the Moscow-Prague route.
The daily flights UN 359/360 will be operated from Moscow Vnukovo airport, Terminal A, according to the following schedule (local time):
Departure from Moscow at 12.00, arriving in Prague at 14.00.
Departure from Prague at 15.00, arriving in Moscow at 18.50.
This route will be operated with Boeing 737-700 aircraft.
The company also announced it will launch new flights to India on February 5 with twice-weekly Moscow (Vnukovo) – Delhi service. This new route will be operated with Boeing 767-300 ER aircraft.
Finally, on March 30, 2015, Transaero Airlines will launch for the first time in its history scheduled flights on the Moscow – Komsomolsk-on-Amur route.
The flights UN 2349/2350 will be operated from Moscow Domodedovo airport twice weekly. Transaero will increase the flight frequency on this route up to four times per week starting on May 23, 2015. Transaero will use on this route Tu-214 aircraft, configured with business and economy class cabins.
Transaero launched its flights to Khabarovsk Krai in July 2007. The airline has carried nearly 1.5 million passenger on the Moscow-Khabarovsk route since the launch of the service.
Copyright Photo: Michael B. Ing/AirlinersGallery.com. Boeing 737-7Q8 EI-EUW (msn 29360) approaches the runway at London (Heathrow).
Transaero Airlines (Moscow) denied media reports before Christmas that it might have been forced to suspend operations due to the decline in the Russian ruble. Instead the second largest Russian carrier asked the government and state banks for financial help. The airline will now receive a 9 billion ruble ($164 million) credit guarantee according to Travel Weekly. The airline, as part of the deal, promised to freeze ticket prices and will increase operations.
The airline issued this statement:
Transaero Airlines expresses its utmost gratitude to the Government of the Russian Federation, the Ministry of Finance of the Russian Federation, Transport Ministry of the Russian Federation, the Federal Air Transport Agency and State Corporation “Bank for Development and Foreign Economic Affairs (Vnesheconombank)” for the provided support.
Transaero Airlines expresses its special gratitude to JSC VTB Bank.
The Government has made a decision to support the backbone company providing transport services in the dramatically changing macroeconomic conditions, while the Bank assigns the necessary credit funds.
Transaero, for its part, entirely supports the price freeze principle, and it will not increase airfares on its domestic services in 2015. In addition to this, it will reduce airfares by 5-7% on the domestic routes, which are exclusively served by Transaero Airlines.
In November 2014, taking into consideration the recommendations developed for the airline by the multinational management consulting firm McKinsey & Company, Transaero started to implement a comprehensive set of measures aimed at enhancing its operational efficiency in the changing business environment. It is expected that the key measures will be implemented within three-six months.
In 2015, Transaero Airlines will continue to focus on enhancing the reliability and accessibility of air transport for the Russian residents. The particular attention will be given to the flights to the Southern resorts of the Russian Federation (Transaero will increase its passenger capacity on those routes), as well as to air services to the Russia’s Far East from Moscow and St Petersburg. The airline will continue to strengthen its cooperation with its long-term partners – the largest Russian travel operators, first of all, on the tourism programmes to the destinations in the South of Russia.
Transaero Airlines expresses its sincere gratitude to all its passengers, as well as partners, banks, leasing companies, airports, fuel companies and suppliers.
Transaero Airlines has been developing, operating and, inter alia, overcoming the challenging times along with its country for 23 years. This term provides the grounds to be certain that Transaero will successfully overcome the difficulties of this stage caused by external factors.
Copyright Photo: Boeing 737-7Q8 EI-ETX (msn 29359) taxies to the runway at London (Heathrow).
Operating income (EBIT) registered R$ 152 million in 3Q14, R$ 115 million up over 3Q13, with an operating margin (EBIT) of 6.2%, up by 4.5 percentage points. The last twelve months (LTM) EBIT totaled R$ 497 million, with an operating margin of 4.9%.
Net revenue reached R$ 2.5 billion, 10% up over the 3Q13, of which R$ 2.2 billion refers to passenger revenues. Net revenue from cargo and others totaled R$ 272 million, increasing its share from 8% in 3Q13 to 11% of the total revenue. Net revenue LTM stood at R$ 10 billion, a new record, with international revenue accounting for 11% of total revenues, reaching R$ 1.1 billion.
EBITDAR totaled R$ 463 million, 24% up on 3Q13. The EBITDAR LTM came to a record registering R$ 1.9 billion, reducing the financial leverage ratio (adjusted gross debt/EBITDAR) by 4.6 points, from 10.9x in 3Q13, to 6.3x in 3Q14.
Total load factor increased by 8 percentage points to 77.5% in the quarter. This increase more than compensates the 2% decline in yield. As a result, RASK and PRASK increased by 13% and 9% over 3Q13, respectively.
Total CASK grew 7% over 3Q13, while CASK ex-fuel increased by 10%. As RASK moved up 3 percentage points above the CASK ex-fuel, GOL maintained its margin expansion in the quarter reflecting its focus on controlling the manageable costs and increasing revenue.
GOL continued its liability management initiatives in the quarter, which aims to optimize the amortization schedule and reduce the Company’s cost of debt. GOL concluded two senior notes tender offer, totaling US$ 411 million, besides the new issuance of US$ 325 million in bonds due to 2022, at a rate of 8.875%. Its subsidiary Smiles S.A. also concluded a R$ 600 million debenture issuance to finance part of its capital reduction.
In the 3Q14, we recorded operating income (EBIT) of R$ 152 million, an expansion of R$ 115 million when compared to the same period last year, while the EBIT margin moved up 4.5 percentage points registering 6.2%. This was the seventh consecutive quarterly improvement in this indicator, reflecting the continuity and consistent delivery on our results.
Net revenue in the last 12 months totaled R$ 10 billion, a new record, even in a scenario of soft economic growth. GOL’s demand for seats (RPK) grew by 8.3% year over year in the first nine months, representing 53% of the industry’s growth, which reflects the greater attractiveness of our products and services. Domestic supply, however, fell by 2.9%, demonstrating the rationalization strategy that the Company took in place since April 2012. From January to September, 2014, we were the market leader in terms of passengers boarded in the domestic market, reaching the record mark of 27.5 million.
In order to offer greater connectivity, we launched during this quarter two new regional destinations on the domestic market, Carajás and Altamira (Pará), as well as new international flights to Santiago (Chile) from Guarulhos (São Paulo), Miami from Campinas, and to Punta Cana from Guarulhos (São Paulo), Confins (Minas Gerais) and Brasília. In this way, we are the Brazilian airline with the greater supply to the Caribbean, with 78 weekly flights.
The strategy of increasing our international presence has been further reinforced by the expansion of our alliances. This has also strengthened revenue in other currencies, which accounted for 11% of our total revenue in the last 12 months. We implemented a two-way codeshare partnership with Aerolineas Argentinas, allowing us to sell its tickets on our website. We will shortly begin offering the same facility for AirFrance-KLM flights.
In order to ensure an even better flying experience, we extended our GOL+ Conforto seating to our entire domestic route network, with an even greater reclining angle and even more distance between seats. Currently, 94% of our fleet is configured as GOL+ and, by the end of the year, 100% of our fleet will have this configuration. In the third quarter, we also launched an exclusive service in Brazil, our express bag drop service at Congonhas airport. With this new service, the customers can complete one more check-in stage at the self-service totems, labeling and weighing their own baggage, as well as paying for any excess. This is one more simple and intelligent innovation providing our passengers with even greater control and visibility throughout the entire process, since the ticket purchase to the flight.
These new facilities have strengthened our capacity to ensure an even better flying experience for leisure passengers, and to be more attractive to the corporate client. Even in the midst of a challenging economic scenario in Brazil, resulting in reduced demand from corporate customers, GOL was the airline company leader in tickets issued for the corporate segment, according to Abracorp (Brazilian Travel Agents’ Association).
Continuing with our measures to strength our balance sheet, we concluded two senior notes tender offers totaling US$ 411 million. Also, we concluded a senior notes issuance this quarter, totaling US$ 325 million at 8.875% p.a. due on 2022. These actions aim to optimize the debt profile, avoiding major amortization pressure in the next three years and reduce the financial cost. We closed the quarter with R$ 2.7 billion in cash position, equivalent to 27% of revenue in the last 12 months, which is essential to pass through periods of high market volatility. The financial leverage ratio (adjusted gross debt/EBITDAR) stood at 6.3x, 4.6 points down on 3Q13.
I would like to thank our customers for their loyalty, our Team of Eagles for their commitment and investors for their confidence posted on the Company. We celebrated on September 8, 2014 in the New York Stock Exchange (NYSE) the 10-year listing of GOL, in which we reiterated our commitment to the transparency and communication with our shareholders, which reinforces our vision of being the best company to fly with, work for and invest in.
Paulo Sérgio Kakinoff
CEO of GOL Linhas Aéreas Inteligentes S.A.
Copyright Photo: Marcelo F. De Biasi/AirlinersGallery.com. Gol’s Boeing 737-7Q8 PR-GIL (msn 30635) approaches the runway at Sao Paulo (Guarulhos).
Sun Country Airlines (Minneapolis/St. Paul) starting on January 16, 2015 will add a new seasonal route to Nassau in the Bahamas from Minneapolis/St. Paul (MSP). The new route will initially operate weekly and then increase to three roundtrips a week starting on February 12, 2015.
Copyright Photo: Michael B. Ing/AirlinersGallery.com. Boeing 737-7Q8 N712SY (msn 28219) approaches the runway at Los Angeles International Airport.
Aerolíneas Argentinas (Buenos Aires) has issued photos and images of the scheme and the painting of the special FIFA 2014 World Cup livery that has been applied to Boeing 737-7Q8 LV-CSI (msn 30707) which will transport the Argentine football (soccer) team to Brazil for the upcoming games.
Copyright Photo: Workers apply the special decals showcasing the players from Argentina.
Special thanks to Alvaro Romero, reporting from neighboring Chile.
Copyright Photo and Images: Aerolineas Argentinas.
Sun Country Airlines (Minneapolis/St. Paul) yesterday (September 10) announced the confirmation of its plan of reorganization which allows the company to exit Chapter 11 bankruptcy protection. The plan was confirmed by Judge Robert J. Kressel during a court hearing on September 10 in Minneapolis and was overwhelmingly approved by the creditors eligible to vote. The plan provides for cash payments to certain creditors, as well as a distribution of equity in the reorganized company to other creditors.
Copyright Photo: Bruce Drum. Ex-Gol Boeing 737-7Q8 N712ST (msn 28219) taxies to the active runway at Seattle/Tacoma.
Sun Country Airlines (Minneapolis/St. Paul) has leased this former Gol Transportes Aereos Boeing 737-7Q8 (msn 28219) from ILFC. The aircraft is now fully painted but passed through Fort Lauderdale/Hollywood on June 9 with the PR-GOU registration and Brazilian flag!