Wizz Air plans to introduce daily flights from Lufthansa’s main hub Frankfurt to Sophia beginning May 22 and Budapest from Dec 15, using a 230-seat Airbus A321. Wizz Air will become the second LCC, after Ryanair, to operate from Frankfurt. “By adding Frankfurt to our network, we are operating to 137 destinations [in 40 countries]," CCO George Michalopoulos said. Wizz Air said that after these services begin, it will offer 78 LCC routes from 11 German airports. Frankfurt airport operator Fraport said Wizz Air’s decision to start from Frankfurt proves that more LCCs are increasingly finding Frankfurt as a market of interest. Ryanair CE Michael O’Leary said recently that Ryanair will base additional aircraft in Frankfurt for the coming winter schedule. “Frankfurt will be not a main base for us, but it will grow more," he said. <br/>
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Volaris posted a 2016 net profit of MXN3.5b (US$170m), up 42.8% over net income of MXN2.46b in 2015, on a 29.3% year-over-year rise in revenue to MXN20.8b. Volaris announced it would begin charging a fee for the first bag checked on flights between Mexico and the continental US and Puerto Rico starting March 1. Even without the checked bag fee, ancillary revenue rose 12.9% year-over-year in 2016 to MXN381m. The carrier’s 2016 CASM did rise 11.5%, and Volaris said it continues “to experience pressure in US-dollar denominated costs, such as aircraft and engine rent expenses, international airport costs, and maintenance expenses [because of] the depreciation of the Mexican peso.” Volaris’ 2016 expenses increased 32.6% year-over-year to MXN20.8b. <br/>
Icelandair is to undertake a modification program on its Boeing 757-200 fleet, through fitting them with Aviation Partners Boeing’s Scimitar Blended Winglets (SBW). With 25 757-200s (plus a single 757-300) in its fleet, the carrier is the largest user of the Boeing narrowbody outside North America. The SBW uses existing Blended Winglet technology but adds new, aerodynamic “Scimitar” tips and a small outboard aerodynamic trailing edge wedge, which further cuts drag and increases the aircraft’s efficiency. The aircraft already carry the earlier-generation Blended Winglet. Work to fit the new aerodynamic devices has already started, with the fourth aircraft undergoing the modification and Icelandair expects to have 17 retrofitted by the start of the northern hemisphere summer season. <br/>
Southwest Airlines is suing a major union and its leaders, charging that they did nothing to stop mechanics from boycotting overtime assignments. Southwest says it relies on mechanics working consistent overtime hours to keep up with maintenance work, and that a boycott has driven up costs by forcing it to bring in outside workers. The lawsuit comes as the airline and the union remain locked in contract negotiations that have dragged on for more than 4 years despite the help of a federal labour mediator. Southwest said in a lawsuit filed Wednesday that the Aircraft Mechanics Fraternal Association and 8 union officers failed to prevent workers from banding together to decline overtime work this month. The company said there was a 75% drop in union workers signing up for overtime shifts last weekend. <br/>
Med-View Airlines plans to launch its IPO in Q2 of the year to raise new equity funds to expand its operations. Managing Director, Med-View Airlines, Alhaji Muneer Bankole, said the airline would by April expand its operations to Francophone countries within the West African states. Bankole said the airline would expand its operations to Dakar, Senegal; Conakry, Guinea; and Abidjan, Cote D’Ivoire in the next 2 months, noting that the airline has already commenced, Lome, Togo route. He said the aim of the airline was to connect all the West African states before expanding its operations to Europe and America. The airline will also commence Lagos-Dubai route in April, which has been in pipeline for over 2 years while the Baltimore, Washington DC in USD will start soon. <br/>
Plans for a new airline dedicated to the winter snow sports market were announced in Switzerland last week. PowdAir is due to begin operations in December, offering direct flights from 6 UK airports as well as Rotterdam and Brussels to Sion, capital of the Valais canton. The services will be a boon for skiers, dramatically cutting transfer times to some of Switzerland’s top resorts. The runway at Sion is just 2 miles from the closest ski lift, at Veysonnaz. Verbier is 10 miles away as the crow flies, Zermatt is 24 miles. PowdAir plans to use a 109-seat Fokker 100 aircraft and fly 5 days per week, from Thursday to Monday. For the first winter season, flights will be operated by Trade Air, an existing Croatia-based airline. PowdAir will pursue its own AOC to enable it to run its own flights for the following season. <br/>
Juneyao Airlines has finalised an order for 5 Boeing 787-9s, valued at about US$1.32b at current list prices, according to the manufacturer. Boeing said this new order, which also includes options for 5 more 787-9s, represents the carrier’s first Boeing order and first widebody aircraft order. “Our strategic vision is to develop into an international airline that provides high-quality service with an extended network, while ensuring excellent profitability,” Juneyao Airlines chairman Wang Junjin said. “Today's order is set to play a key role in our growing business in the years to come”. Juneyao Airlines currently operates domestic routes and short-haul international flights to neighbouring countries such as Japan, South Korea and Thailand. The carrier plans to open new routes to North America, Europe and Australia by 2020. <br/>
Air Asia X co-founder and Group CE Kamarudin Meranun has set his sights on running the first low-cost Asian carrier to serve the US --- not just the West Coast but also the East Coast. He will start in June with Honolulu. Air Asia X said it will begin Kuala Lumpur-Osaka-Honolulu service June 28. The flight will operate 4 days a week with an Airbus A330-300 seating 377 passengers. The service comes at a time when low-cost, low fare operators like Norwegian Air and Wow Air are expanding on the trans-Atlantic. But trans-Atlantic has a long history of low fare operators, while trans-Pacific does not. Meranun foresees that Air Asia X can serve both markets. “Now we’re expanding the route network into the states and we’re looking at Europe as well. We will try to cover the US East and West Coasts.” <br/>
The group of taipan Lucio Tan may sell a minority stake in Philippine Airlines to a foreign strategic partner as early as this year, a company official confirmed last week. The move would mark a major change in the ownership structure of the airline, just 3 years after Tan again assumed full control of PAL after buying out San Miguel Corp. president Ramon S. Ang. Jaime Bautista, president of PAL operator PAL Holdings, said Friday that negotiations with a strategic partner were still ongoing and details at this stage could not be discussed. However a source with knowledge on the matter said that a deal could be closed within the year, and it was likely to be a foreign airline. This would provide financial resources and, more importantly, a global network that would help PAL reach its goal of becoming a “5-star” carrier by 2020. <br/>