AIRLINE BRIEFS NEWS FROM AROUND
30 AIRPORT VOICE, MARCH 2020
THE AIR INDUSTRY
Coronavirus takes toll. The airline
industry is taking a big hit on
passenger travel with the impact
of the Covad19 Corona Virus. Some
flights are cancelled entirely to and
from China; others have reduced
flight schedules and others are postponing
new inaugural lights for a
couple of months. Each week another
country discovers potentially
infected people and institute new
changes For up to date U.S. travel
advisories goto: https://travel.state.
British Airways issued the first
reported cancellation of flights to
Linate Airport, Milan, Italy, following
an outbreak of the corona
virus. This is terrible news for Alitalia
Airlines as it has been under
tremendous pressure to improve the
bottom line as it struggles to somehow
dig itself out of bankruptcy or
finding an equity partner or buyer.
Linate is a major hub of regional
flights throughout Italy by Alitalia.
Just two weeks ago Alitalia had
good news with the unfortunate demise
of Air Italy with the hopes that
their fliers would move over to Alitalia.
But with reduced travel to
Linate, much domestic travel by Alitalia,
the reduction of tourists entering
the country will hit their bottom
line. Linate is the second busiest Milan
metro airport. It would be fair to
say Malpensa is to JFK what Linate
is to LaGuardia.
Air Italy, part-owned by Qatar
Airways, is to cease operations, with
services being taken over by other
operators effective immediately.
Air Italy’s shareholders have
opted to place the carrier in liquidation
following an 11 February meeting.
From 11-25 February, its services
will be operated in NYC JFK Terminal
One by other carriers without
any changes to the schedule.
However, at the time Alitalia had
no plans to honor tickets nor are the
other carriers named.
Go SouthWest young man.
Happy Anniversary SouthWest Airlines.
On March 15, it will be 53 years
old founded by legendary Kerb Kelleher.
Southwest Culture Connection
meets March 19th in Dallas Texas.
It provides a rare opportunity to
learn how Southwest Airlines built
an enduring and world-renowned
culture. Its founder He was the cofounder,
later CEO, and chairman
emeritus of Herb Kellerher was a
visionary A 1993 U.S. Transportation
Department study titled “The
Southwest Effect” detailed with the
airline’s entry into new markets increasing
travel and reducing ticket
prices when he started the airline in
1967. Regardless of the size of your
organization, you will find actionable
items you can incorporate into
your own company’s Culture. Learn
more and reserve your spot: https://
Avatar, the airline. On February
7, 2020, Boeing received a Letter of
Intent from Avatar Airlines for the
purchase of 30 new 747-8 passenger
version aircraft. Although Boeing is
fulfilling a number of sales of its 747-
8F freighter, it had no new orders in
2019 for its passenger version.
Avatar has filed an application
with the FAA to begin flying commercially
in its steps to become a
low cost U.S. airline.
Qatar. After IAG lifted restrictions
on stakes held by non-EU
shareholders, Qatar upped its investment
from 21 to 24% in the British
airline group. Qatar made this
investment after recently pulling
out of its investment of Air Italy
after the airline showed regular
losses. IAG acquired Air Europa
last year and now Qatar has invested
in IAG which owns British
Airways, Aer Lingus, Vueling and
Air Europa. IAG has a significant
air cargo facility at JFK Airport.
Thales and Airbus have signed
an agreement for the development of
the Air Combat Cloud which will enable
the FCAS system of systems.
Under this agreement Airbus
and Thales will work jointly on the
structural design of the Air Combat
Cloud to support collaborative air
operations at national and multinational
levels, and will perform a first
phase of technology demonstrations
of air combat cloud capabilities. Airbus
as European leader in Defence
and Security will bring the strength
of its wide range of expertise and solutions
in combat and mission aircraft
and Thales will bring its expertise
in Defence Equipment and
Solutions, in space and aerospace
systems, driven by its global leadership
in digital security.
Boeing for dollars. Boeing company
secured a loan of $12 billion to
finance its way through the oncoming
storm. It is a two-year delayeddraw
loan, meaning that Boeing
would be able to use the money on a
later date, rather than immediately.
The company is set to have a very
expensive and a lackluster year
in terms of cash flow: as the Boeing
737 MAX groundings continue,
the manufacturer has stopped the
production of its cash-cow narrowbody.
In addition, several airlines
have reached compensatory deals
with the planemaker to recuperate
lost revenue due to the fact that
the MAX has stayed grounded since
Delta "Thank You" to employees aircraft makes quick stop at JFK Airport