The WestJet Group says it plans to refocus its routes and fleet on Western Canada. The Calgary-based airline says in the wake of a strategic review, it has decided to shift resources to grow its presence in the West. It says it will add routes to more communities and centre its existing wide-body 787 Dreamliner fleet around Western Canada. The airline says it will pause future acquisitions of wide-body Dreamliners, which it uses to fly trans-Atlantic routes, focusing instead on additional narrow-body growth instead. WestJet also says its regional fleet of De Havilland Q400 turboprop aircraft will be ‘shifted and right-sized’ to focus on Western Canada. The airline says it will continue to be a national airline with a significant presence in Eastern Canada, but primarily through direct connections to Western cities.<br/>
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Wizz Air said on Thursday it was reinstating a jet fuel hedging policy, to be executed over the next few weeks, and placing additional fuel price caps for the second half of fiscal 2023, as it battles soaring fuel prices. The London-listed airline's return to fuel hedging comes as the Russia-Ukraine crisis has sent fuel prices higher amid a gradual return to travel. Severe losses during the COVID-19 pandemic prompted Wizz to pause its programme. Aviation firms across the globe, including Air France, Europe's easyJet and Britain's IAG use oil hedges to counter high oil prices. "This (hedging) will allow us to focus on what we are best at - attracting consumers into our franchise at the lowest fares versus competition, enabled by lowest cost, operated by the youngest fleet in a fast growing region," said CE József Váradi. The revised policy comes a week after Wizz forecast quarterly operating loss as it suffered significant costs from cancellations and "operational hiccups" at airports, especially in the United Kingdom. <br/>
Gulf Air has announced the launch of its flights to the Italian city of Milan. The maiden flight left Bahrain International Airport on June 1 thus marking the airline’s direct and indirect operations to Italy’s second largest city. On this occasion, the national carrier held a celebratory lunch in Milan which was attended by numerous VIPs including Ambassador of Bahrain to Italy Dr Nasser Al Balooshi, Paola Amadei, Ambassador of Italy to Bahrain and Andrea Tucci, Head of Business Development Aviation at SEA - Milan Airport. Lauding the efforts of officials of both countries for its expansion into Italy, Gulf Air Acting CEO Captain Waleed AlAlawi said: "By launching services to Milan we are not only opening new doors of trade and tourism opportunities this city offers to the people and businesses of Bahrain and the region; but also bringing new commercial and other opportunities to Bahrain, the gateway of the Arabian Gulf and beyond."<br/>
Indian budget carrier SpiceJet said Thursday fares need to be raised as much as 15% to counter high fuel costs and a weak rupee which have lifted operating costs to unsustainable levels. Both factors have left domestic airlines with "little choice but to immediately raise fares", Managing Director Ajay Singh said. He noted aviation turbine fuel prices have increased by more than 120% since June 2021 and called on the federal and state governments to cut taxes. Shares in SpiceJet tumbled as much as 5.5% to their lowest level since May 2020. Shares in larger rival IndiGo fell as much as 4.5%. "We believe that a minimum 10%-15% increase in fares is required to ensure that cost of operations are better sustained," he said, adding that fuel makes up more than 50% of an airline's operational cost. Singh said the Indian currency's fall against the dollar is also "significantly" affecting airlines that have substantial costs that are denominated in or pegged to the US currency.<br/>
Malaysian aviation group Capital A Berhad said on Thursday it was evaluating fundraising options for a planned US listing, as it looks to shake off its classification as a financially distressed firm by Malaysia’s stock exchange. Capital A, formerly known as AirAsia Group Berhad, was hard-hit by pandemic travel restrictions in Asia, leading Bursa Malaysia Securities to classify it as a PN17 company, or financially distressed, in January. Such firms may be de-listed by the exchange if they fail to regularise their finances within a set time frame. Capital A received a clean report from auditors Ernst & Young and was confident of meeting a deadline to submit a regularisation plan by early January 2023, CEO Tony Fernandes said Thursday. “Our airlines have strategic plans in place to paint the skies red once again with a leaner and more robust model for a successful and viable operation for the future,” he said, adding Capital A would forge ahead with its digital businesses. Capital A has invested heavily in payments firm BigPay, logistics arm Teleport and mobile Super App to diversify its revenue sources.<br/>