American Airlines Group Inc.’s top commercial officer didn’t hold back at an antitrust trial focused on the carrier’s alliance with JetBlue Airways Corp.: Less competition has been a boon to the bottom line. “Consolidation has been good for us,” Vasu Raja, American’s chief commercial officer, said Friday in testimony at a federal court in Boston. “What consolidation looks like in the future, we don’t know.” The unvarnished appraisal may not win many fans among travelers who equate fewer options with higher airfares. The comments came as the Department of Justice tries to quash the two airlines’ partnership by arguing it gives them excessive power over pricing and access in the Boston and New York markets. American and JetBlue have defended their partnership, which they’ve dubbed the Northeast Alliance and involves shared routes, bookings and passengers on most flights in Boston and New York. US antitrust enforcers say it amounts to a “de facto merger” at the expense of travelers, something the two airlines deny. Raja also testified that former American CEO and current Chairman Doug Parker is jokingly referred to internally as the “godfather of consolidation.” Parker, who is expected to take the stand in the case next week, oversaw American’s merger with rival US Airways in 2013 and strategic partnerships with other airlines such as Alaska Air Group Inc. But consolidation hasn’t always delivered the type of synergies promised. Raja, who oversees areas such as network planning and alliances, testified Friday that poor accounting practices dating from the US Airways deal led American to ultimately surrender seven slots at John F. Kennedy airport in early 2019. The carrier wasn’t really sure how many slots it held at JFK, he said. <br/>
oneworld
Royal Jordanian Airlines is to take Airbus A320neos to replace its fleet of conventional A320-family jets, and is discussing introduction of additional Boeing 787s. It is also intending shortly to disclose a regional jet selection with the aim of bringing in the chosen aircraft from the second half of next year. The airline has a strategic plan to increase its fleet from 24 aircraft to more than 40 over the next three to five years. Royal Jordanian is to acquire 20 A320neos under an agreement with Airbus, to replace 13 older aircraft. No engine selection has been given by the flag-carrier. Its single-aisle Airbus fleet – comprising A319s, A320s and A321s – is powered by a mix of CFM International CFM56s and International Aero Engines V2500s. CE Samer Majali says the A320neo family is the “best choice” for the modernisation and expansion programme, particularly given the carrier has been a long-term user of A320s. “An advantage that influenced the selection process is the broad technical and logistical support in the region and at all airports where the airline operates this type of aircraft,” the carrier states. It adds that the aircraft will be configured with internet capability, as well as lie-flat business-class seats on certain long-range routes. <br/>
Hong Kong's Cathay Pacific Airways expects cargo demand to pick up after Chinese National Day holidays in the first week of October, but warned that it will not be a repeat of the "super-peak" that it recorded last year. The airline, in its newsletter on Friday, forecast cargo demand to pick up as lifting of COVID-19 curbs in China could mean higher shipping volumes, especially during the year-end holidays — usually a frantic period for air cargo and shippers.Cathay Pacific's views come as global trade bellwethers see lower demand as consumers struggle with surging costs of food, fuel, and housing. Earlier this month, FedEx withdrew its forecast based on an acceleration in global demand slowdown. "The market is finely balanced at the moment, with many intricate interconnected forces at play which are creating a degree of uncertainty as we look ahead," Cathay said in the newsletter.<br/>