Colombian airline company Avianca and Viva have lodged a request with the Civil Aeronautics of Colombia to integrate the two companies. In April last year, stakeholders of the two companies signed an agreement to become part of the same business group. According to the agreement, all the economic rights of Viva in Colombia and Peru were acquired without this implying control or administration. A month later, Avianca and Gol reached an agreement to create Grupo Abra, which according to the companies, would create one of the leaders in air transportation in Latin America. Avianca said that its stakeholders have also identified Viva’s complex financial situation and have requested the Civil Aeronautics Authority to approve the integration with Viva under the legal figure of ‘company in crisis’. The move was made with an intent to safeguard connectivity, protect the air transport service offer and rescue the company.<br/>
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Taiwan’s two largest carriers were profitable in their second-quarter financial results, even as costs and expenses continued to steadily increase. While EVA Air saw its operating profits rise significantly for the three months ended 30 June, compatriot China Airlines reported a dip in its profits. China Airlines was NT$960m ($31.9m) in the black for the period, a 20% decline year on year. The SkyTeam carrier saw revenues rise nearly 26% to NT$36.9b, while costs and expenses for the period increased 27% year on year to NT$35.9b. China Airlines swung to a modest net profit in the quarter, at NT$420m, compared to the NT$343m net loss in 2021. As for EVA Air, it posted an operating profit of NT$2.5b, a three-fold jump compared to the same quarter in 2021. Revenues increased 38% year on year to NT$33.3b, outpacing a 32% rise in costs and expenses to NT$31b. The Star Alliance carrier reported a net profit of NT$1.8b, a staggering increase of about 15 times compared to 2021. In separate stock exchange filings, both carriers did not provide discussions about their financial results. While Taiwan still remains largely closed to leisure travel, China Airlines and EVA Air have tapped into the cargo market as a key revenue stream amid the pandemic. Since the start of the year, both carriers have committed to expanding cargo operations, with fresh commitments for new freighters.<br/>
Thai Airways International will receive key financial support from the government for its 80b baht ($2.3b) capital raising and debt-to-equity swap plan aimed at helping the state-controlled carrier come out of its pandemic-induced bankruptcy. State-owned banks will lead in funding new loans, converting debt and injecting equity capital into Thai Air as part of a revised revamp plan the airline gave the court for approval last month, Finance Minister Arkhom Termpittayapaisith said in an interview with Bloomberg News on Monday. The ministry and other agencies will continue to maintain a combined stake of at least 40%, but the proportion won’t exceed 50% to induce the carrier to stay competitive, he added. The carrier expects to emerge from its court-monitored debt-restructuring plan by 2024. It filed for bankruptcy protection in 2020, having posted losses every year from 2013. But a rebound in global air travel has boosted its cash flow and reduced the amount of loans that was specified by in the court’s original plan. “The situation in Thai Airways is much better,” and that has boosted creditors’ and shareholders’ confidence in its survival and future, said Arkhom. State-owned banks will be able to offer the entire 13b baht in new loans the airline is now seeking -- which is about half the 25b baht requested earlier. The revised amount can be fully funded by state banks, he said. The reopening of Thailand’s borders and those of other countries will also support cash flow. The airline’s most-profitable flights are those with connections in Europe. The improving finances and capital-raising plan will accelerate the resumption of trading in the airline’s shares, which were suspended in May, he said. The previous timeline for trading to begin again was in 2025. <br/>
Air New Zealand is bringing more Boeing Co. 777-300 widebody aircraft out of storage to help cater to a faster-than-expected rebound in travel demand. The carrier has four 777-300s in storage in the Mojave Desert city of Victorville, California. The first of those will be brought out for maintenance in late August, with plans for it to rejoin the fleet next month, the company said in a statement. The aircraft have been there since 2020. Airlines stored thousands of planes, often in desert facilities where conditions are warm and dry, as Covid-19 upended air travel. Now that people are wanting to fly again after most of the world dropped virus-related restrictions, the aviation industry is rushing to keep up with demand. “No one could ever predict what would happen in the pandemic and now that demand has bounced back quicker than anticipated, we knew it was time to bring these aircraft back from Victorville,” Air New Zealand COO Alex Marren said. “These aircraft going into service means we’re rehiring more cabin crew, pilots and engineers,” Marren said. “It’s a welcome change from the type of flying our operating aircrew did through the height of the pandemic and for those stepping back onto a 777-300 for the first time in more than two years, it will be an emotional reunion with one of their favorite aircraft.” Air New Zealand also had three 777-300s in storage in Auckland over the last two years. Two of those are back in service already and the other is due to return in the coming weeks, the airline said. The widebody is Air New Zealand’s largest aircraft and can carry up to 342 passengers.<br/>