unaligned

Southwest CEO maps out a recovery after holiday meltdown: ‘We have work to do’

Southwest CEO Bob Jordan’s message, after a holiday meltdown derailed the travel plans of millions, is clear: “I can’t say it enough. We messed up.” Jordan’s focus now, he said, is ensuring a similar crisis never happens again. The airline has hired consulting firm Oliver Wyman to review its processes, interview staff and union members, lay out what went wrong, and determine how to avoid it in the future. The low-cost airline is working with General Electric to improve the capabilities of software that helps Southwest work out crew reassignments. And the airline’s board has created an operations review committee to help managers work through such events. The event was jarring for many travelers used to Southwest customer service, which includes policies like free checked bags, a rarity for domestic US travel. Lawmakers and Transportation Secretary Pete Buttigieg said they want to look further into the disruptions.<br/>

Hawaiian restores flights between Honolulu and Fukuoka, Japan

Hawaiian Airlines is reinstating more flights to Japan, its most important overseas market, as it rebuilds its network in the Asia-Pacific region after almost three years of Covid-19-driven restrictions. The Honolulu-based carrier said on 25 January it is reinstating thrice-weekly flights to Fukuoka, in Japan’s southwest, on 28 April, after reinstating daily flights to Tokyo and Osaka earlier. “We’re delighted to be returning to Fukuoka as we lead the way in reconnecting travel between Hawaii and Japan,” says Theo Panagiotoulias, senior vice-president of global sales and alliances for Hawaiian Airlines. Hawaiian will fly to Fukuoka on Tuesdays, Fridays and Sundays, returning to Hawaii on Wednesdays, Saturdays and Mondays. The airline had introduced flights to Fukuoka in November 2019, before being forced to suspend the route just four months later due to the global coronavirus pandemic that decimated air travel. Strict travel restrictions in Asia prevented the airline from rebuilding its network earlier. Japan lifted most of its Covid-related travel restrictions on 11 October 2022. Last week, US airline lobby group Airlines for America (A4A), of which Hawaiian is a member, said the return of capacity to Japan has been “sluggish” and that ”forward-looking demand remains choppy”. Hawaiian Airlines is scheduled to publish its Q4 and full-year 2022 results on 31 January.<br/>

EasyJet shares surge after expecting to beat market forecast

EasyJet Plc. shares surged the most since March after the carrier said strong bookings continued into the second quarter and the crucial summer months, underscoring how the aviation industry is staging a comeback from the pandemic despite persistent cost-of-living concerns among consumers. The discount airline said it expects to beat market expectations for the full year, which now stand at pretax profit of GBP126m for the period. The loss for the first half will also be significantly better than the figure reported in the same period last year, EasyJet said. EasyJet’s rose as much as 12% after the earnings release, leading gains among other discount airlines. “As you look into the second quarter and beyond, we see continued strong booking momentum as customers prioritize spending on their holidays,” Chief Executive Officer Johan Lundgren said on a call. “We are seeing slower capacity increases from legacy airlines, enabling EasyJet to continue growing at our primary airports.” In Q1, the airline flew 20.2m seats, and EasyJet projected the figure will reach 38m in the first half and rise to 56m in the second half of their fiscal year, which runs through September. The company reported a pretax loss of GBP133m in Q1, down from a deficit of GBP213m a year earlier. Discount carriers have said they continue to see strong demand even as rampant inflation and a surging cost of living squeezes potential passengers across Europe. Last week, market leader Ryanair said strong demand across Europe and the UK drove its best ever sales. “Airline reporting season starts optimistically, and we expect EasyJet to be the first of several strong prints,” Bernstein analysts Alex Irving said in a note. “Earlier guidance looks overly cautious and numbers will need to come up.”<br/>

European court rules Ukraine cases against Russia admissible

Europe’s top human rights court ruled Wednesday that it can adjudicate on cases brought by the Netherlands and Ukraine against Russia for alleged rights violations in eastern Ukraine in 2014, including the downing of Malaysia Airlines Flight MH17. The ruling by the Strasbourg-based European Court of Human Rights marks significant progress in efforts by the Netherlands and Ukraine to hold Russia legally accountable for its actions in Ukraine and could pave the way for compensation orders. The court said a judgment on the merits of the cases will follow at a later date. The cases were filed before Moscow launched its full-scale invasion of Ukraine nearly a year ago. “Very good news: the judgment of the European Court of Human Rights is another important step in finding the truth and justice for the victims and their relatives of flight #MH17,” Dutch Justice Minister Dilan Yesilgöz-Zegerius said in a tweet. Foreign Minister Wopke Hoekstra also welcomed the ruling as a significant milestone in the search for accountability. “We will continue to do everything in our power to achieve justice for all 298 victims of flight #MH17 and their loved ones,” he tweeted. The court said evidence presented at a hearing last year established that from May 11, 2014, areas in eastern Ukraine controlled by separatist rebels were “under the jurisdiction of the Russian Federation” and that Moscow “had a significant influence on the separatists’ military strategy” including providing weapons, carrying out artillery attacks requested by the rebels and giving them political and economic support.<br/>

Uzbekistan Airways revives attempts to sell ageing Boeing and Soviet-era fleets

Uzbekistan Airways is reviving attempts to sell an ageing fleet of Boeing twinjets as well as older Soviet-era aircraft, having recruited a UK-based consultant. The flag-carrier of the Central Asian state has been modernising its operation and recently opted to acquire additional Airbus A320neo-family jets. But it has been trying to offload older models, a divestment which is part of a detailed development strategy for the carrier laid out in a presidential decree of April 2021. Uzbekistan Airways has grouped the fleet into six lots – the initial two of which cover a pair of Boeing 757-200s and a pair of 767-300ERs. Interested parties have been invited to submit applications by 23 February. The other four lots, which will be offered at a later date, include a third 767-300ER, a batch of five Ilyushin IL-76TD heavy cargo transports, six Il-114 turboprops and an Il-114 simulator, plus two Mil Mi-8 helicopters. UK firm ACC Aviation was selected in a tender process last year, following consideration of proposals from six local and foreign agencies. ACC specialises in leasing, strategic consulting and asset management. Uzbekistan Airways says the company has carried out an analysis of the technical condition of the aircraft, and looked at sale mechanisms based on market demand. But even before the presidential decree, Uzbekistan Airways had attempted to sell the 757s and 767s, as well as its Il-76s and Il-114s. The carrier confirms the 757s in the latest sale campaign are UK75701 and UK75702 – both 1999 airframes – and the 767s as UK67007 and UK67008, respectively from 2003 and 2004. All four are fitted with Pratt & Whitney engines. Sale of the Boeings and introduction of Boeing 787s and Airbus A320neo-family jets featured in the presidential decree which covered several other measures intended to transform the flag-carrier.<br/>These included axing loss-making routes and closing unprofitable representative offices of the airline, as well as expanding its cargo fleet, increasing charter flights, entering codeshares and other partnerships with foreign operators, and cutting discounts on economy fares. Uzbekistan Airways would also look to take Airbus Helicopters H125s and H130s in place of the Mi-8s being sold. <br/>