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The govt may offload 100% equity share of Air India in an attempt to woo potential bidders. Last year, the civil aviation ministry had suffered a huge setback when not a single bidder submitted Expressions of Interest for the ailing carrier. The govt has approached big businesses all over again to evaluate their interest in the carrier and persuade them to bid once the divestment process takes off, Business Standard reported, citing people aware of the development. The civil aviation ministry and the Department of Investment and Public Asset Management have already started the process. The report further mentioned that Civil Aviation secretary Pradeep Singh Kharola has asked Air India to finalise the financial accounts of the carrier and its subsidiaries for 2018-19 by the end of June. <br/>

Air NZ will order 8 General Electric GEnx-1b-powered Boeing 787-10s to replace its fleet of 777-200ERs. The deal includes options for an additional 12 787s, which can be applied to any of the jet's 3 variants. At list prices, the firm commitment for 8 aircraft is valued at US$2.7b. Deliveries of the 787-10s will commence in 2022 and be spaced over 5 years, with the airline planning to phase out its 8 777-200ERs as the new jets roll in. “In choosing the most fuel efficient widebody aircraft and jet engine on the market, Air NZ is delivering on our commitment, we believe, to grow our business sustainably,” says CE Christopher Luxon. “Combined with the General Electric GEnx-1B engine, we expect the 787-10 to be 25% more fuel efficient than the 777-200s they are replacing.” <br/>

Air NZ will likely use its existing Boeing 787-9s to launch a future Auckland-New York route, having bypassed the Airbus A350 and 777X and selected the 787-10 to replace its 777-200ER fleet. In announcing the fleet selection, CE Christopher Luxon reaffirmed that “one of our big ambitions in life is to land a flight from Auckland to New York.” He adds that the carrier is in discussions with its US network partner United Airlines on the potential nonstop service, which could be launched around 2022-23, although he would not confirm that was the timeline. But Luxon says its existing 13 787-9s will likely be the vehicle to take it there, compared to the longer-range variants of the A350 and the 777X that were also considered to replace its 8 777-200ERs. <br/>

Air NZ has revised its earnings guidance for the second time this year. Air NZ's full year earnings could be up to NZ$60m lower than forecast, investors have been told. Based on the current market and reflecting an additional $25m headwind from increased jet fuel prices Air NZ issued an update on its 2019 outlook and was now targeting 2019 earnings before tax to exceed $340m. The announcement is the second earnings downgrade this year. The airline had been targeting 2019 earnings before tax to be in the range of $340m to $400m, based on a March 28 market update. That was down on its 2019 earnings guidance of $425m to $525m, made in 2018. The revised guidance came off the back of softening tourist numbers and ongoing problems with Rolls Royce engines fitted to the airline's Boeing 787-9 Dreamliners. <br/>

United Airlines president Scott Kirby issued a warning to potential new-entrant low-cost-carriers, including JetBlue founder David Neeleman’s Moxie: United will match your fares. Kirby said he’s heard of about 50 airlines over the years that were supposed to be created but Virgin America, founded in 2004, was the last startup airline in the US that actually became a reality. The low-cost airline model is predicated on the competition not matching prices, Kirby said, and unlike the situation over the last 30 years, United now has the capabilities with segmentation, including basic economy, to go tit-for-tat with the new entrants. “It’s a business model they are not in control of,” Kirby said, referring to low-cost carriers. <br/>

The US FAA's reputation has taken a hit as a result of the Boeing 737 MAX grounding, United Airlines president Scott Kirby said Monday. "The brand of the FAA has certainly been impacted by this," he said at the Skift Forum Asia conference in Singapore. However, he said the regulatory system in the US and elsewhere was likely to emerge stronger as a result of the 737 MAX grounding experience. United said Friday it was extending by 1 month its cancellations of 737 MAX flights, through Aug 3. The airline, which operated 14 737 MAX jets before the grounding, said the decision would lead to about 40 or 45 cancelled flights daily. United has not disclosed the financial impact of the 737 MAX grounding, which Kirby said the airline would "worry about down the road". <br/>