After the high-profile losses of 2 planes in 2014, and a brand name tarnished to the brink of collapse, Malaysia Airlines will make Hong Kong a big part of its comeback in 2017, CE Peter Bellew has said, with flights to China a key plank of its hoped-for revival. The carrier is on track to add 9 new mainland routes this year, with bosses planning to boost existing flights to Shanghai and Hong Kong. But the company is stained by the nightmare of flight MH370. Of the 239 passengers aboard, 154 were Chinese. “I think the Chinese have forgiven us for what has happened,” Bellew said, adding that senior aviation officials in China had backed the company’s plans. Bellew said China was an “outstanding” opportunity, given the cultural similarities between it and Malaysia. <br/>
oneworld
Sri Lanka has failed to attract bids from international airlines to privatise its loss-making carrier, but will continue its efforts to salvage the company, a minister said Saturday. The govt received 9 offers but none were from a major international airline operator, State Enterprise Development minister Kabir Hashim said. Of the proposals received, the govt has shortlisted 3, including one from TPG, a San Francisco-based private equity firm. Hashim is heading a new 3-member ministerial panel to decide the future of Sri Lankan which has debts and accumulated losses of over US$2b. Sri Lankan was profitable before Rajapakse cancelled a management agreement with Emirates in 2008 following a personal dispute. <br/>
Cathay Pacific’s shares are at a level usually associated with financial crises. Some woes are beyond Cathay’s control. China-based rivals are piling on capacity, adding direct routes to cities that would once have required a Hong Kong stopover. The territory’s govt scrapped fuel surcharges and imposed extra airport costs to finance a runway. US airlines, whose domestic routes are now reliably profitable after heavy consolidation, are taking a renewed interest in Asia. But Cathay has been slow to respond. Flyers say its service has fallen behind standards set by Middle Eastern airlines. Losses on its badly timed fuel hedges have limited its ability to compete on price. So too have costs, higher than rivals like SIA, JAL or Qantas. <br/>
Cathay Pacific has welcomed a commitment by the territory’s govt to increase its role as a “super-connector” hub for the region. The govt of the Hong Kong Special Administrative Region has announced measures intended to cement its position as a major Asia-Pacific airline hub. These include a batch of measures under the “Belt & Road Initiative” designed to expand trade along the historic lines of the ancient Silk Route through Central Asia to the west, as well as along maritime and aviation routes. A Cathay Pacific spokesman said both the airline and its sister company Cathay Dragon welcomed the govt’s continued support for the Belt and Road Initiative, “which has great potential to strengthen the Hong Kong hub through the development of new air services. “ <br/>
American Airlines will discontinue its codeshare agreement with Airberlin from March 26. “An interline agreement will further exist between the two airlines,” an Airberlin spokesperson confirmed. “Passengers can use American connecting flights in combination with Airberlin transatlantic flights.” Airberlin began first codeshare flights with American in 2010 before it joined oneworld. Airberlin is expanding its Germany-US network for the summer 2017 season by more than 50%, the spokesperson said, adding, “The number of weekly flights will rise from 55 to 84 to a total of 8 US destinations.” Starting April 13, frequencies will increase from 10X-weekly to 2X-daily from Berlin-Tegel to NY JFK; 3X-weekly Berlin-Tegel-Miami services will become 5X-weekly. The carrier will also launch 5X-weekly Düsseldorf-Orlando services. <br/>