sky

Delta Air Lines CEO Ed Bastian said the airline will make “modifications” in the next few weeks to its loyalty program after a recently announced overhaul that would make it more expensive for many travelers to earn elite status and get into airport lounges was met with a backlash from customers. “No question we probably went too far,” Bastian said at the Rotary Club of Atlanta on Monday. The program changes, which Delta unveiled earlier this month, would reward customers with elite status based on how much they spent, a model similar to that of American Airlines, and reduce access to Delta popular airport Sky Club lounges for many American Express cardholders. JetBlue Airways tried to capitalize on some customers’ anger over Delta’s changes by offering frequent-flyer status matching, saying “we’ve made it easy for you to cozy up to a new loyalty program and see where it goes.” Delta has been grappling with a surge in elite travelers, bolstered by pandemic and post-pandemic spending, and swarms of travelers trying to get into its lounges, leading to long lines for many customers. The airline and rivals including American and United have been racing to build bigger airport lounges to cater to swelling numbers of big spenders. Bastian said the airline will announce the updated program changes in the coming weeks. A Delta spokesman declined to comment further on the changes. “It’s gotten to the point, honestly, where we have so much demand for our premium product and services that are far in excess of our ability to serve it effectively in terms of our assets,” Bastian said. He said that over Covid, the airline has doubled the number of Diamond Medallion status members. David Neeleman, CEO of Breeze Airways and founder of JetBlue, told CNBC on Wednesday that he has Delta Medallion status and that he tries to use Delta’s airport lounges but that sometimes “there’s a big line and it’s not worth it.”<br/>

The Civil Aviation Authority of Nepal (CAAN) has moved to block Korean Air from flying to Nepal in retaliation for South Korea's aviation regulator preventing Nepal Airlines from flying to Seoul Incheon, ostensibly violating a 20-year-old bilateral air services agreement. Korean Air presently flies up to three times per week on the Seoul Incheon - Kathmandu city pair using A330-300s. It is the only airline to fly the city pair and regularly operate between the two countries. While Korean Air received CAAN approval to conduct the Kathmandu flights, per the air services agreement, reciprocal permission from Korea's Office Civil Aviation (KOCA) for Nepal Airlines to fly to Seoul is yet to materialise. KOCA has failed to provide any reasons for this. The Himalaya Times is reporting on the issue, saying that the CAAN has now decided to block Korean Air flights from October 29, 2023. CAAN says the current monopoly-style situation encourages high fares and "non-competitiveness." CAAN spokesman Jagannath Niraula said Nepal Airlines had been talking to KOCA for some time about Seoul flights, without success. He also added that after October 29, passengers could take connecting flights on other carriers, "which may be even cheaper than what it is now."<br/>

AirAsia Aviation will for the first time begin interlining arrangements with a third-party carrier, as part of a wider strategic partnership between parent Capital A and the Garuda Indonesia Group. From the first quarter of 2024, AirAsia Aviation, which has units in Malaysia, Indonesia, the Philippines and Thailand, will interline with Garuda low-cost unit Citilink, tapping into the latter’s extensive domestic network. The partnership extends to over 50 domestic points in Citilink’s network, along with AirAsia Aviation’s 150 international destinations in Southeast Asia. The interline partnership is “poised to provide travellers with unparalleled access to a multitude of underserved third and fourth-tier cities in Indonesia”. Citilink, meanwhile, sees the partnership as expanding its presence internationally. Citilink chief Dewa Kadek Rai says: “Through the integration networks of both airlines, leveraging AirAsia’s strength in Asean routes and Citilink’s strength in domestic routes, it is hoped that the aviation industry can progress more effectively [in the] post-pandemic era.” AirAsia Aviation chief Bo Lingam hails the interline agreement as being “important for our next phase of growth”, adding: “Over the next few years you will be seeing some exciting tie ups like Citilink which will help AirAsia, its partners and of course our guests, in making the world a smaller place.” Malaysia-headquartered Capital A signed the partnership agreement with Garuda in Jakarta on 27 September, with an aim of “strengthening of the global aviation ecosystem post-pandemic”. The strategic partnership also covers cooperation between both parties’ cargo and logistics units, as well as MRO providers. Under cargo and logistics, Teleport and Garuda will combine both their air logistics networks, allowing goods to be shipped in a single airway bill. “Teleport will leverage Garuda’s strong domestic connectivity as well as added skidded capacity into high-demand sectors, such as Singapore, Shenzhen and Hong Kong-bound flights,” states Capital A. Garuda, meanwhile, will tap into Teleport’s network in Southeast Asia and Greater China.<br/>