South African Airways' acting chief has warned that continued strikes will deepen the airline's financial crisis, after flights were disrupted by industrial action. Zuks Ramasia says the carrier's financial position is already "precarious" and that strikes will have "dire ramifications" that will "without doubt place SAA's future in jeopardy". While the action by cabin crew union SACCA and the National Union of Metalworkers of South Africa is already problematic, Ramasia is concerned about the possibility of the strike broadening to include transport unions SATUWU and NTM. She says such an escalation, into a "full-on aviation strike", could bring all airport operations to a standstill and cause "huge damage" to South Africa's economy. <br/>
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South African Airways officials will be summoned to a meeting with regulators next month to disclose details about talks with potential equity partners and give assurances that any deal won’t violate foreign-ownership laws. Under the Air Services Licensing Act of 1990, airlines must be at least three-quarters owned by South Africans to operate a domestic service. That would prevent international operators from buying more than a 25% stake from the govt, unless the rules are changed. Finance minister Tito Mboweni said last month the govt is talking with potential investors in SAA, which is technically insolvent and reliant on bailouts and other forms of state support to survive. <br/>
Ethiopian Airlines has not decided yet whether to take more deliveries of the 737 MAX, the airline's CE said Sunday, as Boeing completes revisions to the aircraft's design. Asked at the Dubai Airshow whether he supported changes to software and training being finalised by Boeing, Tewolde Gebremariam said, "It is still work in progress... We will have to see it completed and the result of the further tests that are still to come." Asked whether Ethiopian Airlines would take any further deliveries of the aircraft, of which it has more than 20 on order, Tewolde said, "We have not yet decided." He said the airline had no reservations about signing a new deal to enhance the 787 with Boeing, which was "more than 100 years old and a high-quality engineering company." <br/>
THAI will avoid a heavy price-cutting strategy to be competitive next year but will instead focus on building a solid customer base and tap specific segments, airline president Sumeth Damrongchaitham said. The carrier will continue to recruit stronger marketing partners, he added. He estimated that the aviation industry would continue to experience intense competition next year. THAI will continue with its transformation plan next year, which includes focusing on earning ancillary revenue, creating satisfactory customer experiences and effective human resource management. THAI will cooperate with the Tourism Authority of Thailand to hold a joint marketing campaign in order to boost in-bound tourism and increase national revenue. <br/>
SAS has disclosed that its first long-range Airbus A321neo will operate the transatlantic service from Copenhagen to Boston when it enters service next September. The A321LR will be introduced Sept 18, 2020, the carrier states. It will be configured in 3 classes, with 22 lie-flat business-class seats, plus 12 premium-economy and 123 economy seats. SAS says each seat will be fitted with in-flight entertainment screens, power ports, and the aircraft will have high-speed Wi-Fi. It adds that the A321LR will have a service concept "at par" with the rest of its long-haul fleet. "The smaller aircraft gives SAS the opportunity to fill the aircraft on new routes," says the carrier, although it will not unveil additional destinations until next year. <br/>
United Airlines is following Southwest and American Airlines in delaying the return of the Boeing 737 Max on its flight schedules into early March. United is pulling the jets off its schedule until March 4, the company said Friday. It expects to cancel approximately 5,100 flights in November and December and roughly 3,468 flights in 2020. The airline joins Southwest Airlines and American Airlines, which also pushed back their respective return-to-service dates last week. Southwest announced that it will remove all 737 Max planes from its flight schedule through March 6, while American Airlines said it will delay commercial use of the aircraft until March 5. United had previously grounded its fleet of 14 737 Max planes through Jan 5. <br/>
Avianca Holdings recorded its first quarterly profit of 2019 despite a slight dip in revenues, as the company continues to cut costs in the face of weak regional economic conditions. Q3 net income was US$34m, up slightly from $32m in the year-ago period. The improved result comes after Avianca posted a $476m net loss through the first half of the year. Total revenue decreased by 1.5%, harmed by weak macroeconomic conditions and a drop-off in passenger levels related to capacity reductions in unprofitable markets. “We continue to see headwinds during Q3 due to a challenging macroeconomic backdrop in the region, coupled with volatile local currencies, which pressured our top line,” Avianca CFO Adrian Neuhauser said.“ <br/>
Copa Holdings posted a net profit of US$104m in Q3 2019, up 80% from $58m in the same period last year. Total operating revenue improved 5% to $708m. Unit revenue, measured in RASM, grew by 9.5%, while non-fuel unit costs, measured in CASM-ex, rose 5.5%. Capacity decreased by 3.7%, mainly because of the 737 MAX grounding. Copa plans to remove its last 15 Embraer E190s over the next 18 months—3 years earlier than planned—as the company accelerates its shift to an all-Boeing 737 fleet. Copa CE Pedro Heilbron said that Copa hopes to realise “significant cost and revenue benefits from operating a single-Boeing fleet.” Prior to the 737 MAX grounding, Copa was set to receive 7 more MAX 9s this year to finish 2019 with 13 of the type in its consolidated fleet. <br/>