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Flydubai seeks approval for United Airlines codeshare in Gulf region

Middle Eastern carrier Flydubai is formally seeking authorisation for a codeshare arrangement with US carrier United Airlines. The codeshare would initially cover some 20 Flydubai destinations beyond the United Arab Emirates, according to a filing with the US Department of Transportation. Most of these destinations are in Saudi Arabia, but the agreement would also cover a number of other key Gulf and Middle Eastern cities – among them Amman, Doha, Manama, Muscat and Kuwait. Flydubai is also seeking codeshare to the Eritrean capital Asmara. The application is in the context of United Airlines’ commercial tie-up with Emirates, which the two operators unveiled last year. This was linked to United Airlines’ route from Newark to Dubai. As part of the co-operation, United Airlines and Emirates sought their own extensive codeshare arrangement with a filing at the beginning of this year. This included a large number of United routes from cities including Chicago, San Francisco and Houston, while Emirates would offer codeshares on routes from Dubai. Emirates has strong links with Flydubai and the United codeshare with the smaller operator – which has a fleet of Boeing 737s – complements the broader agreement. United and Flydubai state in the application that the codeshare will “enhance travel opportunities” for passengers travelling beyond the UAE to Africa, the Middle East, India, and southeast Asia.<br/>

Portuguese airline TAP swings to profit earlier than expected

Portuguese airline TAP swung to a profit in 2022, earlier than expected in its restructuring plan, as rising revenue and lower staff costs offset soaring fuel prices, the state-owned company said on Tuesday. TAP said it made a net profit of E65.6m in 2022 compared with a net loss of E1.6b a year earlier, when it was feeling the effects of the pandemic. In 2022, TAP flew 13.8m passengers, up from 5.8m a year earlier and about 81% of pre-pandemic levels. The airline is currently restructuring under a Brussels-approved E3.2b rescue plan which includes downsizing its fleet, cutting thousands of jobs and reducing the wages of most workers. Under the plan, TAP aimed to achieve positive operating results in 2023 and a net annual profit in 2025. TAP's operating revenue jumped to E3.5b in 2022 from E1.39b a year earlier. Recurring earnings before interest, taxes, depreciation and amortisation (EBITDA) of E777.7m compared with a negative E999m in 2021. "During the first full year of the restructuring plan, TAP generated an operating profit that is an all-time record for the company," outgoing CEO Christine Ourmieres-Widener said. The company managed to be profitable even though fuel costs more than tripled in 2022 from the previous year to E1b. The government has said it was considering an outright or partial sale of the airline, with Lufthansa, Air France-KLM and British Airways owner IAG seen as potential buyers.<br/>

Air India expansion stirs tension over airline flying rights

Tensions over plans to transform Air India into a global airline with hundreds of new jets rippled across the aviation sector on Tuesday as foreign carriers clamoured for more access to the world's fastest-growing economy. Prime Minister Narendra Modi's government faces growing demands to ease a near-freeze on capacity that can be deployed on many routes to and from India, now that India's flag carrier has been sold to the cash-rich Tata conglomerate. Current limits on the amount of flying allowed between India and many markets date back to heavy losses at Air India around the beginning of the last decade, analysts said. But a huge overhaul of the airline, including the world's largest ever plane order for 470 jets, rekindled a debate over market access at a New Delhi aviation conference on Tuesday. Dubai's Emirates, Turkish Airlines and Kuwaiti carrier Jazeera Airways all called for sharp increases in traffic rights to and from India to meet demand. Vietnam and Indonesia also want more flights, an Indian official said. "We are not getting enough share from this market," Turkish Airlines CE Bilal Eksi told the CAPA India conference. Dubai has requested an extra 50,000 seats a week on India routes. But in an exclusive interview, India's civil aviation minister told Reuters the government is not currently looking at easing curbs. He urged Indian airlines to order more big jets to meet demand without forcing passengers to change planes. "I think it's about time that our carriers looked at the international market with greater focus. That's what we are pushing the airlines to do and that process has already started," Jyotiraditya Scindia said.<br/>