Tag Archives: Reagan National

China Southern Airlines and Virgin America to expand their codeshare agreement

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Virgin America (San Francisco) and China Southern Airlines (Guangzhou) have announced a codeshare agreement to offer seamless booking and travel between China, Southeast Asia and multiple Virgin America destinations across the United States.

Under the new agreement, China Southern will place its two-digit airline code (CZ) and flight numbers on a range of Virgin America routes operating from Los Angeles and San Francisco – including West Coast flights to and from Boston, Chicago, Dallas Love Field, Fort Lauderdale, Las Vegas, Newark, New York (JFK), Seattle, San Diego and Washington DC.

This partnership will bring expanded choice and convenience for travelers flying between China Southern’s numerous Chinese and Southeast Asia destinations and the United States. This agreement is unique in that China Southern is the only airline offering non-stop service between Guangzhou and Wuhan and the United States.

China Southern offers daily flights from Guangzhou to San Francisco (three flights per week with one stop in Wuhan), ten flights per week from Guangzhou to Los Angeles, and daily flights from Guangzhou to New York.

This new agreement builds and expands on China Southern’s existing interline arrangement with Virgin America. China Southern is Virgin America’s sixth codeshare agreement and joins the airline’s growing partner portfolio.

Top Copyright Photo: Michael B. Ing/AirlinersGallery.com. China Southern’s Boeing 777-31B ER B-2029 (msn 43224) departs from Los Angeles.

Below Copyright Photo: Brian McDonough/AirlinersGallery.com. Virgin America’s Airbus A320-214 N855VA (msn 5179) prepares to land at Washington (Reagan National).

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Virgin America aircraft slide show:

China Southern aircraft slide show:

Southwest Airlines reports a record third quarter net profit

Southwest Airlines Company (Dallas) today reported its third quarter 2015 results:

Record third quarter net income, excluding special items, of $623 million, or $.94 per diluted share. This represented a $241 million increase from third quarter 2014 and exceeded the Thomson Reuters First Call mean estimate of $.92 per diluted share.

Record third quarter GAAP net income of $584 million, or $.88 per diluted share, compared with third quarter 2014 GAAP net income of $329 million.

Gary C. Kelly, Chairman of the Board, President, and Chief Executive Officer, stated, “We are very pleased to report outstanding third quarter 2015 results marked by a 63.1 percent year-over-year increase in net income, excluding special items. Our record third quarter operating income, excluding special items, of $1.0 billion produced a strong 20.3 percent operating margin, which is a 680 basis point improvement from the year-ago period. The significant margin expansion was driven largely by lower fuel prices. Our results also benefited from a continued focus on cost control and solid overall revenue performance, including a significant contribution from our Rapid Rewards program. Customer demand for our low fares was evident with an all-time quarterly record load factor of 85.4 percent for third quarter 2015. That’s what low fares without ‘gotcha’s’, which we call TransfarencySM, will do for you. My thanks to our superb Employees for producing our tenth consecutive quarter of record profits and my congratulations to them on their record $484 million profitsharing accrual, thus far this year.

Fleet and Capacity

During third quarter 2015, the Company received three pre-owned Boeing 737-700s to end the quarter with 692 aircraft. The Company continues to manage to approximately 700 aircraft at year-end 2015 and continues to expect to grow its fleet approximately two percent, year-over-year, in 2016. Additional information regarding the Company’s aircraft delivery schedule is included in the accompanying tables. The Company’s capacity plans remain unchanged with expected available seat mile growth of approximately seven percent this year, and an estimated five to six percent in 2016, both year-over-year.

Read the full report: CLICK HERE

Copyright Photo: Brian McDonough/AirlinersGallery.com. Boeing 737-3H4 HL N644SW (msn 28329) approaches the runway at Washington’s Reagan National Airport.

Southwest Airlines aircraft slide show (current livery):

Republic Airways Holdings to go to federal arbitration with its pilots on September 16

Republic Airways Holdings (Indianapolis) has issued this statement regarding its on-going dispute with its pilots for a new contract under federal mediation:

Republic Airways Holdings Inc. received notification from the National Mediation Board (NMB) requesting the Company meet with the NMB on September 16, 2015, in Washington, D.C. As our case remains under the control of the NMB, the Company intends to fully comply with the request of the mediator.

Although the International Brotherhood of Teamsters has deferred a vote by our Pilots, our proposed contract remains on the table, and we continue to believe the appropriate next step is for the Union to abide by its constitution and let our Pilots vote on their own future. A week ago, we offered to meet with the elected leadership of the Union to discuss their language concerns in the proposed contract. To our dismay, there has been no response from the Union leadership to this invitation as a way to collaboratively bring this process to a close.

Copyright Photo: Brian McDonough/AirlinersGallery.com. Operated by Republic Airlines (2nd), Embraer ERJ 170-100SU N806MD (msn 17000019) completes the final approach to the runway at Washington (Reagan National).

Republic Airways:

Republic Airways Holdings reports preliminary 2Q results, will reduce contract flying

Republic Airways Holdings Inc. (Republic Airlines 2nd and Shuttle America) (Indianapolis) has announced its preliminary second quarter 2015 financial results. The company also gave guidance from its perspective on the on-going contract negotiations with its pilots, represented by the IBT. The company also warned of possible operational disruptions (see below – the highlights are mine)

Preliminary Second Quarter 2015 Results

The Company expects to report second quarter net income of $4.0 to $5.0 million or $0.08 to $0.10 per diluted share, and pretax margins of 2.5% to 3.0% on operating revenues of $338 to $340 million. The second quarter results were negatively impacted by, among other factors, an operation that produced approximately 4% fewer block hours than forecasted due to the ongoing operational disruption caused by regulatory changes and further intensified by our ongoing pilot labor dispute.

National Pilot Shortage and Labor Dispute Continue to Disrupt Operations

The Airline Safety and Federal Aviation Administration (FAA) Extension Act of 2010 directed the FAA to enact significant regulatory changes. The law had several elements, one of which was a change to pilot qualification standards that became effective on August 1, 2013, adding new requirements for first officers to hold an Airline Transport Pilot (ATP) certificate, requiring additional training and a minimum 1,500 hours total flight time as a pilot. Previously, first officers were required to have only a commercial pilot certificate, which required 250 hours of flight time before beginning an FAA approved commercial airline training program. Another element of the law required the FAA to implement more restrictive limits on pilot flight and duty times. The new limits became effective on January 1, 2014 and immediately had the effect of reducing pilot productivity 5-7%, further exacerbating the growing pilot shortage.

The Company’s ongoing labor dispute with the International Brotherhood of Teamsters (IBT), the union which represents the bargaining rights of all Republic pilots, is further amplifying our pilot staffing challenges. The IBT and the Company are currently negotiating under the supervision of the National Mediation Board for an amended collective bargaining agreement. Since April 2015, limited progress has been made in the negotiations due to the IBT’s unrealistic and unsustainable demands. The Company has presented a comprehensive proposal to the IBT that would place our pilots ahead of their peers in the regional airline industry for both compensation and work rules. The lack of a new agreement for our pilots requires the Company to maintain its below market contract and is contributing to increased levels of attrition and an inability for the Company to attract new pilots.

Due to the IBT’s unrealistic bargaining position, the Company cannot predict with any certainty a timeline for resolution. As a result, the Company anticipates continued operational disruption related to the ongoing labor dispute and the growing national pilot labor shortage. The Company has initiated discussions with our mainline partners to take the necessary actions to both temporarily and permanently reduce scheduled flying commitments for the remainder of 2015 and the first half of 2016.

In light of the anticipated fleet reductions, the Company is rescinding all previously issued financial and operational guidance.

On July 9, 2015, the IBT filed suit against the Company alleging that the Company unilaterally increased compensation for its pilots and new hire pilots in violation of the Railway Labor Act. We believe the suit is completely without merit, and the Company will take appropriate steps to respond.

The Company is exploring all of its options to mitigate any adverse impact from these matters and restore its operational and financial performance to normal levels. The Company has engaged Seabury Group as an advisor to assist in these efforts.

Copyright Photo: Brian McDonough/AirlinersGallery.com. From this statement, it is unclear which mainline partner contracts could be reduced creating opportunities for other carriers. In the case of Shuttle America, it flies Embraer aircraft for both Delta and United. Shuttle America’s Embraer ERJ 170-200LR (ERJ 175) N209JQ (msn 17000258) approaches the runway at Washington’s Reagan National Airport (DCA) in Delta Connection colors.

Delta Connection-Shuttle America aircraft slide show:

Current Combined Route Map (click to expand):

Delta’s CEO Richard Anderson: The 40 Boeing 737-900 ERs and 20 Embraer E190s will be cancelled

Delta Air Lines (Atlanta) management team held a conference call yesterday, mainly with the analysts and representatives of the media, after posting a record second quarter profit, beating all Wall Street forecasts.

In the conference call, CEO Richard Anderson when asked about the rejection of the proposed contract by the pilots, stated, without elaborating further, the 40 Boeing 737-900 ERs and 20 Embraer ERJ 190s on order “will be cancelled”. The company had tied these two orders with the ratification of the new pilot contract.

The comment could be considered posturing by some observers, intended as a new salvo to the pilots for the next round of contract negotiations.

The pilots, represented by ALPA, voted nearly two-to-one against the proposed contract. Both sides will now have about six months to further negotiate new terms in which both sides can agree.

ALPA has not formally responded to the comments.

The Embraers would have represented a new lower level of mainline flying.

Read more from Bloomberg Business: CLICK HERE

Copyright Photo: Brian McDonough/AirlinersGallery.com. Boeing 737-932 ER N817DN (msn 31928) banks on the river approach to the runway at Washington’s Ronald Reagan National Airport.

Delta Air Lines aircraft slide show:

Boeing and Vietnam Airlines showcase the airline’s first Boeing 787-9 Dreamliner at Washington’s Reagan National Airport

Boeing (Chicago, Seattle and Vietnam Airlines (Hanoi) celebrated a historic event today (July 6) witnessed by H.E. Nguyen Phu Trong, General Secretary of the Communist Party of Vietnam, with the flag carrier’s first 787 Dreamliner serving as a backdrop.

The event was attended by more than 200 delegates, ministers and ambassadors from Vietnam and the United States, as well as local and international media, and other invited guests at the Ronald Reagan Washington National Airport. The airplane on display is scheduled to be delivered to Vietnam Airlines later this month.

At the event, the two companies also signed a memorandum of collaboration toward the goal of Vietnam Airlines’ fleet replacement and expansion. Boeing has offered the airline eight 787-10 Dreamliners and eight 777-8Xs, which the airline acknowledged. Boeing and Vietnam Airlines will work together and report to government authorities before coming to official cooperation agreements in the future.

Vietnam Airlines, the national flag carrier of Vietnam, operates more than 360 daily flights with its young fleet of modern aircrafts. The airline, headquartered in Hanoi, will continue to expand its fleet with new and modern aircraft such as the Boeing 787 Dreamliner family. Vietnam Airlines became an official member of SkyTeam Alliance in 2010 and was the first representative of the alliance in the Southeast Asia region.

Photo: Boeing. Boeing 787-9 Dreamliner N1020K (msn 35151) completes the final river approach to DCA today. The airliner will become VN-A861 on delivery.

Vietnam Airlines aircraft slide show:

United Airlines today starts Evansville – Chicago flights

United Airlines (Chicago) today (June 4) starts United Express service between Evansville (EVV) and the Chicago O’Hare (ORD) hub. The new route will be operated by ExpressJet Airlines (Atlanta) Embraer ERJ 145s.

Copyright Photo: Brian McDonough/AirlinersGallery.com. Embraer ERJ 145LR (EMB-145LR) N15555 (msn 145594) arrives at Washington’s Reagan National Airport (DCA).

United Airlines aircraft slide show (current livery):

United Express-ExpressJet Airlines aircraft slide show:

Southwest announces a new route from Washington Reagan National to Orlando

Southwest Airlines (Dallas) has announced new nonstop service from Ronald Reagan Washington National Airport (DCA) to Orlando, Florida beginning on November 1. Orlando will be Southwest’s third Florida destination from DCA, where it is the second largest carrier as measured by passengers carried. Southwest will now offer flights to 17 nonstop destinations from this convenient downtown airport.

Southwest Airlines operates more than 260 daily nonstop flights from its three Washington, D.C. area airports. Since July of last year, the airline has added seven new international destinations from Baltimore/Washington Thurgood Marshall International Airport, and new nonstop service from Washington, D.C. (Reagan National) to Chicago (Midway), Columbus, Dallas Love Field, Indianapolis, Nashville, New Orleans, Tampa, Ft. Lauderdale/Hollywood beginning on August 9, and Orlando starting in November 2015. In addition, the carrier’s long-haul offerings from Washington Dulles have grown in the past year to add both Las Vegas, and San Diego as nonstop routes.

Also on Nov. 1, Southwest will continue its commitment to the Sunshine State by increasing the number of daily flights to twice daily service between Austin, Texas, and Ft. Lauderdale.

In Austin, the carrier continues adding new destinations including already announced nonstop service starting June 28, 2015 to Santa Ana/Orange County and St. Louis. In addition to the increased number of flights serving Customers traveling to and from Ft. Lauderdale, the carrier will add nonstop service this November to Boston (Logan), Seattle/Tacoma, and will add an additional nonstop flight to the New York area (via Newark.) The carrier began serving Austin in 1977 with six daily flights, and by the end of 2015 it will operate more than 60 departures a day to nearly 30 destinations across the United States and Mexico.

This week, Southwest also renewed its commitment to the Greater Orlando Aviation Administration by investing $9.5 million in a renovation and expansion of the airline’s Maintenance Hangar and Parts Stores Facility. Additionally, the carrier is also committed to bringing more international travel options to Florida travelers with a new international terminal located at the Ft. Lauderdale/Hollywood International Airport. With scheduled completion in 2017, the terminal will have five gates, a new security checkpoint, and new concessions for travelers.

Southwest Airlines proudly serves eight Florida airports: Ft. Lauderdale (FLL), Ft. Myers (RSW), Jacksonville (JAX), Orlando (MCO), Tampa Bay (TPA), Panama City Beach (ECP), Pensacola (PNS), and West Palm Beach (PBI).

Copyright photo below: Brian McDonough/AirlinersGallery.com. Boeing 737-7H4 N421LV (msn 32452) approaches the runway at Washington’s Reagan National Airport (DCA).

Southwest Airlines aircraft slide show:

United Airlines offers free miles to hackers to hack their websites, will lease 11 Airbus A319s, adds new domestic routes

United Airlines (Chicago) according to Fortune, “is now offering free frequent flier miles to would-be hackers who can crack the airline’s various websites and mobile apps as part of a bug bounty program”.

Read the full article: CLICK HERE

Additionally, according to Reuters, United will lease 11 used Airbus A319s from AerCap Holdings NV over the next two years in order to reduce the number of 50-seat regional jets operated. The airline also has the right to lease 14 additional A319s over the next five years.

In other news, United will also offer two new twice-daily United Express Embraer 175 flights from Denver to both Charlotte and Raleigh/Durham starting on September 13 per Airline Route.

In addition, United will start summer seasonal twice-weekly United Express Bombardier CRJ700 service from Denver to Coos Bay/North Bend, Oregon (Southwest Oregon Regional Airport) starting on July 1.

Copyright Photo above: SPA/AirlinersGallery.com. Still active and going strong, Boeing 767-322 ER N662UA (msn 27159) climbs away from London’s Heathrow Airport (LHR).

Finally, the Boeing 767-300s of United still are in demand by passengers. According to The Street, the 30 remodeled 767-300s are the second most favored wide-body aircraft (after the new Boeing 787) in the UA fleet according to passengers after-flight surveys.

Read the full report: CLICK HERE

Copyright Photo below: Brian McDonough/AirlinersGallery.com. Mesa Airlines‘ Embraer ERJ 170-200LR (ERJ 175) N85320 (msn 17000454) completes the approach to Washington’s Reagan National Airport (DCA).

United Airlines aircraft slide show (current livery):

United Express-Mesa Airlines aircraft slide show:

Republic Airways Holdings reports first quarter net income of $6.4 million

Republic Airways Holdings Inc. (Republic Airlines 2nd and Shuttle America) (Indianapolis) reported its financial results for the first quarter of 2015.

Republic’s pre-tax income for the first quarter of 2015 was $11.2 million, compared to $22.8 million for the prior year’s first quarter. Republic’s net income for the first quarter of 2015 was $6.4 million, or $0.13 per diluted share. The Company incurred approximately $8.0 million, or $0.09 per diluted share, for charges related to fleet transition expenses and employee severance costs, which are included in other operating expense.

The first quarter of 2015 results also were negatively affected by a reduction in operational reliability. Republic’s operating performance, as measured in block hours, departures and available seat miles was approximately 4 percent lower than planned.

Since March 31, 2014, the Company added 23 E-Jet aircraft and removed 25 ERJ aircraft.

The Company took delivery of the final six E-Jet aircraft for its American Airlines E-Jet agreement, which now totals 47 aircraft. The Company expects to take delivery of 15 additional new E-Jet aircraft in the second half of 2015, which it will operate under its United E-Jet agreement. As of March 31, 2015, the Company operated 41 aircraft with 44-50 seats and 201 aircraft with 69-99 seats under its fixed-fee code-share and charter agreements.

During the first quarter of 2015, Delta Air Lines exercised its right to extend 24 aircraft under the Shuttle America ERJ code-share agreement from May 2016 to May 2021. The Company currently operates 41 aircraft under the agreement with Delta, of which 17 can be removed by Delta with 90 days prior written notice.

Copyright Photo: Brian McDonough/AirlinersGallery.com. Shuttle America will continue to operate for Delta as a Delta Connection carrier until at least May 2021. Embraer ERJ 170-200LR (ERJ 175) N213JQ (msn 17000265) completes its final approach to the runway at Washington’s Reagan National Airport (DCA).