Consumers continue to splurge on air tickets. But travel patterns are shifting so often, partly due to work-life changes wrought by the pandemic, that airlines must constantly adapt on booking plane seats and remain cautious in forecasting demand and revenue. That situation can result in lost revenue for the carriers if they guess wrong on the best time to sell seats, while their caution in estimating revenue is taking a toll on their shares as Wall Street interprets that as a sign of slowing consumer demand. American Airlines CFO Devon May attributed the challenge to the difficulty in forecasting demand. For investors, this has raised the risk of confusion. "We're getting better at it, but demand trends are still a little bit different today than they were back in 2019," he told Reuters. Worries about future demand were a reason American Airlines' stock fell 6% on Thursday even after it raised its full-year earnings forecast. Investors were concerned the hike was modest following the company's performance in the second quarter, analysts said. American is not alone in this struggle. In March, United Airlines (UAL.O) had to change its earnings forecast for the first quarter from a profit to a loss because it overestimated demand for business travel in January and February. In the June quarter, United held back seats for summer travel and made them available closer to the peak travel dates at higher fares in a bid to maximize revenue. It was a risky bet as booking data from the previous quarter had shown customers were booking trips well in advance. United's move paid off, helping it generate record quarterly revenue. The company's CCO, Andrew Nocella, said that was another sign that seasonal travel patterns have changed. "The summer peak period is more spread out relative to the past," he said on Thursday on a conference call. Airlines can no longer afford to rely on historical booking data because hybrid or remote work arrangements have allowed customers more flexibility to plan travel, said Henry Harteveldt, founder of travel consultancy Atmosphere Research Group.<br/>
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High temperatures pounding parts of the US are forcing airlines to adjust operations in the hardest-hit cities, reducing fuel or baggage — and in some cases shedding passengers — to help aircraft operate. Allegiant Airlines, a unit of Allegiant Travel Co., said it will delay flights if there’s a threat to passenger safety or comfort as temperatures in the US Southwest continue to hit records. In Las Vegas, where Allegiant is based, excessive heat advisories have been extended through Sunday, and temperatures have been above 100F (38C) since June 30, according to National Weather Service data. High temperatures make air less dense, reducing engine performance and the amount of lift produced at a given speed. That generally means lower takeoff weights and longer takeoff distances are needed to produce sufficient lift. As a result, carriers are having to reduce pounds on the planes. On July 17, several Delta passengers voluntarily got off a flight from Las Vegas to Atlanta after aircraft weight issues in the heat caused delays. “Additional protocols have been put in place to address the operational impacts extreme heat has on aircraft, including loading less fuel to account for weight and balance and schedule refueling along the route when needed,” Delta said Friday. Planes are hooked up to external cooling units when they’re at gates, but extreme heat can overcome their ability to work well. Once they leave the gate, in most cases air sucked into the engines is cooled and then circulated in the cabin, a system that’s not ideal when a plane is idled on a tarmac. American Airlines Group said it is taking extra steps to make sure it has cooled air on jet bridges hooked to planes. American also performed early maintenance on auxiliary power units that run onboard systems when engines are off, CEO Robert Isom said on a Thursday conference call. <br/>
Catania Airport in Sicily is struggling to restore services after a fire last week, adding to woes for travelers affected by the heat wave in much of Italy. Flights from and to the Catania Airport were suspended due to the fire that broke on the night of July 16. The airport’s terminal C has since reopened with limited traffic, with operations significantly affected as several flights have been canceled or rescheduled to other airports, such as Palermo and Trapani’s. Southern Europe has been baking in intense heat, with near record temperatures in parts of Italy including the islands of Sicily and Sardinia, and other countries, while wildfires continue to rage in Greece, where authorities are trying to evacuate almost 20,000 people from the island of Rhodes. UK leisure carrier Jet2 Plc on Sunday said it’s withdrawing and canceling all its flights to Catania until August 3. Low-cost carriers EasyJet Plc and Ryanair Holdings Plc. have also warned travelers of disruptions. Passengers were left scrambling to figure out when and from where their flights would take off. Cleaning and reclamation activities at Catania’s terminal A have started, the hub’s management company SAC said on Friday, without providing a date for the full reopening of the airport.<br/>
After decades of falling air fares, the cost of flying has taken off. Aviation research specialist Cirium recently calculated that prices were up 32% on 2019, the industry’s pre-Covid benchmark. While some might quibble with specific estimates, nobody disputes that it is happening – least of all the travelling public. The reason is simple: too many people, too few aircraft. Capacity – basically the number of planes flying around above us – has yet to return to its pre-pandemic level, while the number of people travelling is at or close to that benchmark. So, with supply lagging behind demand, the obvious has happened and fares are rising. People are taking to the skies because it was something that Government-imposed Covid lockdowns denied them. Their easing has sparked worldwide wanderlust. “There’s a sudden desire for experiences over things,” says Stephen Furlong, aviation analyst with Dublin stockbrokers Davy. Michael Collins of industry consultancy TravelMedia.ie says the surge is incredible and shows no signs of stopping. “Everybody has just decided that they want to travel,” he observes. This is more pronounced among some generations than others, he says. “People in their 70s think that if there’s another pandemic, they might not get the chance to travel again, so they are doing it now.” And money appears to be no object. Collins says that often, first class and business class seats sell before economy tickets, so high prices are no deterrent. Air travel in the Republic – which two years ago was not expected to recover fully until 2024/25 – now looks poised to beat pre-Covid totals. Dublin Airport expects passenger numbers this year to at least equal the record 32.9m that passed through there in 2019. Cork, meanwhile, expects to break previous records, with 2.7m passengers this year, while Ireland West Airport Knock anticipates its best year ever.<br/>
IATA has voiced its opposition to proposals that would see night flights banned at Brussels airport on the grounds of noise-reduction, claiming such a move would ignore Belgium’s international obligations. The country’s federal transport minister Georges Gilkinet presented a document to cabinet on 14 July proposing a ban on flights from Brussels airport between 23:00 and 06:00 from October 2024. The proposal also restricts noise at other times of the day, affecting a raft of older aircraft types, including Airbus A320s and A330s, alongside Boeing 737s, 767s and 747s. While the proposal from Gilkinet, who is a member of the Ecolo green party, still needs to win support from government coalition partners, the airline association has responded to the document amid a growing number of anti-noise moves by legislators. The most high-profile case saw a court recently lift a block on reducing flights from Amsterdam’s Schiphol airport from this winter. “The noise concerns of the community around Brussels airport must be heard, but it is profoundly unfortunate that [Gilkinet] has attempted to circumvent the ‘Balanced Approach’, which is the long-accepted and successful international process for managing airport noise impacts,” says Rafael Schvartzman, IATA’s regional vice-president for Europe. The ‘Balanced Approach’ refers to European Union regulation introduced in 2014 that lays out the rules and procedures under which any noise-abatement decisions should be made by member states. IATA argues that the regulation means flight restrictions should be applied as a last resort, after a “detailed consultation and cost-benefit analysis”, when other mitigation measures have been exhausted. The Brussels Times has also reported opposition to the proposals from Brussels Airlines CE Dorothea von Boxberg.<br/>
Travel firms and airlines are being urged to reimburse passengers who decide against flying to Rhodes as the Greek island is ravaged by wildfires, with a leading consumer group arguing it would be “unconscionable” to withhold refunds. Which? travel editor Rory Boland called on carriers to be “flexible” if customers decide for themselves that they do not want to fly to Rhodes, at a time when there have been emergency evacuations of more than 19,000 people on the island. “It’s likely that those who are due to go to Rhodes now won’t want to go, and given the emergency operations that are taking place on the island, local authorities could probably do without more tourists arriving,” he said. A string of travel companies have cancelled package holidays to the Greek island that were due to depart in the coming days. Tui said on Sunday evening that all passengers due to travel to Rhodes up to and including on Tuesday would receive full refunds, while those due to depart on Wednesday would be able to receive a full refund or change for free to another holiday. EasyJet said those who were booked to travel to or from the island until Tuesday would be able to transfer to another date or request a flight voucher. Thomas Cook will not take tourists to parts of the island considered most at risk until the end of the month, and Jet2 has confirmed that it will not fly travellers to the destination for at least a week. British Airways said that customers already on Rhodes who needed to return home early would be able to change their flights for free, although it was expected there would be limited availability. The Foreign Office’s website informs tourists planning to travel to Rhodes that they should check with their travel operator or hotel before travelling, to make sure that their visit would not be affected by the wildfires.<br/>
China will resume 15-day visa-free entry for citizens of Singapore and Brunei from Wednesday, its embassies in the two countries said, more than three years after the visas were suspended to stop the spread of COVID-19. Visa-free entry to China will be available for citizens of Singapore and Brunei with ordinary passports travelling for business, sightseeing, visiting relatives and friends, and in transit, the embassies said in notices on their websites. China lifted many of its zero-COVID measures in December but only began issuing tourist visas again in March. China has also been seeking visa-free travel for its citizens to Singapore.<br/>
Canberra Airport has resumed international services with the launch of a Fiji Airways route to Nadi. The airport’s first international flight since the pandemic, Fiji Airways flight FJ950, left Canberra on board the 737 MAX 8 DQ-FAF at 2:39pm on Friday. Two return services per week will operate between Canberra and Nadi on Tuesdays and Fridays, with Sunday flights to be added from October. “The strong forward bookings for this new route are a clear indicator of the demand for international travel both to, and from Canberra,” said Canberra Airport’s Managing Director, Stephen Byron. “This partnership between Fiji Airways, ACT Government and Canberra Airport signifies the return of direct international services to our city and puts Canberra back on the map. We are excited to relaunch our international operations and thank Fiji Airways for their strong show of support for the nation’s capital.” Fiji Airways’ Managing Director and CEO, Andre Viljoen, said the airline is “thrilled with the strong uptake” of the new route.<br/>
Airbus is grappling with a growing shortfall in the range of its upcoming A321XLR passenger jet after reaching an agreement with European regulators on design safeguards needed to achieve certification, industry sources said. The setback has prompted the planemaker to offer some customers potential deals for the larger A330neo to help them fill a gap in targeted performance, the sources said. “Airbus expects no significant impact on the XLR’s unique range advantage in the single-aisle segment,” an Airbus spokesperson said in response to a Reuters query. Launched in 2019 to expand on the successful A321neo jet and steal a march on Boeing’s plans to build a new jet in the middle of the market, which were later abandoned, the A321XLR made its air show debut at Le Bourget outside Paris last month. The plane’s design calls for a novel type of rear central fuel tank, moulded into the contours of the fuselage, to eke out more space for fuel and extend the range by 15% compared with Airbus’s most capable current single-aisle model, the A321LR. But the design raised concerns among regulators about the risk of fire and evacuation times in the event of an accident, prompting talks over design changes needed for certification. Airbus programs head Philippe Mhun told FlightGlobal in an interview last month that Airbus had reached agreement with the European Union Aviation Safety Agency (EASA) on a basis for certification including the design of the new fuel tank.<br/>
The Brazilian plane maker Embraer says a new factory will be built near Sao Paulo to produce electric flying taxis which it hopes will take to the skies from 2026. The aircraft, to be made by its subsidiary Eve, will resemble a small helicopter with enough space for up to six customers. It is envisaged a trip will cost $50-$100 per person. Eve says it already has orders for almost 3,000 air taxis. It hopes to assemble a prototype this year. US regulators recently released a timeline for air taxis to be flying there as early as 2025. The electric vertical take-off and landing aircraft will not need a runway but can travel long distances like an aeroplane. Electric motors should reduce noise and pollution compared with standard planes. It has been argued the aircraft could help reduce traffic congestion in crowded cities, without being too expensive for customers. They have also been seen as an alternative for transporting cargo. The factory will be built in the city of Taubate about 140km (87 miles) from Sao Paulo, Brazil's economic capital. The drone-like passenger vehicles will initially be used in taxi fleets, AFP news agency reported. The first flights will have a pilot but a later rollout of self-piloted vehicles is also in the company's plans. The vehicles will be 100% electric, allowing for emission-free flights.<br/>