unaligned

Frontier to open crew base in Cleveland with 400 employees

US ultra-discounter Frontier Airlines plans to open a crew base that will employ hundreds at Cleveland Hopkins International airport starting in March. The base will be staffed with 110 pilots, 250 flight attendants 50 aircraft maintenance workers within its first year of operation, Frontier said on 8 November. Frontier calls itself “the fastest-growing carrier” at Cleveland’s primary airport, adding that it has increased passenger capacity there by more than 50% in the past year. “We’re excited to partner with the Cleveland community as we continue to expand our operation… and bring meaningful economic impact to the area through new jobs,” says Barry Biffle, CE of Frontier. The ultra-low-cost carrier (ULCC) says it expects the base to generate ”nearly $80m annually in local wages with further growth anticipated in the coming years”. Frontier also maintains crew bases in Atlanta, Dallas, Denver, Las Vegas, Miami, Orlando and Phoenix. Parent Frontier Air Group recently reported losing $32m in Q3, compared with a $31m profit during the same period of last year, as the airline struggled with soft demand in its core markets of Florida and Las Vegas and had operational difficulties related to the FAA’s shortage of air traffic control (ATC) employees. During the company’s earnings call on 26 October, Frontier revealed that it is adopting the strategies of European low-cost carriers by focusing on simplified, out-and-back routes to lessen the impact of ATC and weather-related disruptions. The Denver-based ULCC is also adjusting its strategy away from “over-saturated markets” by focusing future growth on underserved point-to-point routes. Frontier currently flies to 17 cities from Cleveland, including international flights to Cancun and Punta Cana, as well as San Juan, Puerto Rico.<br/>

Norse Atlantic weighs alliance options with larger airlines

Norse Atlantic has been approached by two larger airlines interested in buying a minority stake in the young carrier, CEO Bjorn Tore Larsen said, as he weighs a potential partnership that would bolster the company’s low-cost, long-haul business plan. An alliance would help the transatlantic discounter save on costs and increase revenue, while providing access to the partner’s network, Larsen said in an interview Wednesday in London. He declined to identify the suitors but said both were cash-rich: one a major airline, the other medium-sized. The CEO spoke after Norse, which started transatlantic services in June 2022, completed a $55m fundraising this week, giving it a cash cushion to address accelerated payments to a key supplier during the slow winter season. Norse isn’t rushing to find a partner, Larsen said, declining to provide further details. The company said last week it hired advisers after being approached by potential airline investors. A partnership with Norse “would be of interest to some of the big players, not necessarily only in Europe, but elsewhere as well,” the CEO said. Stronger airlines are leading a wave of post-Covid 19 consolidation after many carriers were weakened by the travel downturn. In Europe, Deutsche Lufthansa AG has agreed to invest in Italy’s state-owned ITA Airways, while Air France-KLM plans to buy an initial stake in SAS. Portuguese flag-carrier TAP is also up for sale, while IAG is seeking approvals to take over Spain’s Air Europa. Norse, formed in 2021, began service in June 2022 with a flight from Oslo to New York’s John F. Kennedy International. The company uses Boeing 787 Dreamliners once operated by Norwegian Air Shuttle, having secured long-term leases substantially below current market prices, Larsen said. “There’s no way we could get that cost today,” he said. Five of its 15 aircraft are sublet to Air Europa. Those will be returned to Norse gradually under conditions currently being negotiated, Larsen said. <br/>

Aeroitalia takes large share of Romanian regional Air Connect

Italian operator Aeroitalia has finalised the acquisition of a large shareholding in Romanian regional carrier Air Connect. Aeroitalia emerged last year as a private airline serving routes primarily within Italy but also to destinations in Romania and Spain. The carrier uses a fleet of Boeing 737s supplemented by ATR 72-600s of Air Connect. Aeroitalia says it has acquired 93.86% of the Romanian operator, but has not disclosed any terms of the agreement. “This acquisition will allow Aeroitalia to strengthen its presence in the Italian regional market and will strengthen its feeder capacity towards the Rome Fiumicino hub,” it adds. Air Connect operates to various Italian cities according to its reservations engine. Aeroitalia has also been reinforcing its jet fleet with the lease of a pair of 737-800s from US firm Air Lease which are due to arrive early next year.<br/>

Iraqi ministry signals re-opening of services to Germany and Denmark

Iraq’s transport ministry has signalled a resumption of flights to European destinations in Germany and Denmark this month. The ministry indicates that daily services will be operated to Frankfurt, Berlin, Munich, Dusseldorf and Copenhagen from 10 November. Iraqi Airways is promoting the flights but the government has not disclosed full details of the operations. The flag-carrier was blacklisted by the European Commission in 2015 and the restrictions on operating to Europe remain in place. Iraq’s transport ministry has held several meeting with European regulators with a view to persuading authorities to lift the ban. The ministry claims Iraqi Airways is progressing with “remarkable” development in its service levels, network expansion, and modernisation of its fleet. It states that the European routes will be re-opened through a “joint operation”, adding that the measure is part of the broader effort to remove Iraqi Airways from the blacklist. The carrier had invited applications in September from carriers holding necessary air operator’s certificates and third-country authorisation to conduct wet-lease services on its behalf through European airspace. It stated that flights would be operated from Baghdad and the aircraft used must not be more than 16 years of age.<br/>

Vietnam tax authority says Bamboo Air owes $4.2m in taxes

A Vietnam provincial tax authority is ordering three banks to lock accounts for struggling airline Bamboo Airways JSC because of late tax payments of about 102.6b dong ($4.2m). The carrier, which last month said it was cutting unpopular routes in a restructuring, is more than 90 days overdue in tax payments, according to a statement on the website for the tax authority of central coastal province of Binh Dinh, where the airline has its headquarters. “Bamboo Airways has a plan to ensure payment obligations with the province this November,” the company said in an emailed statement. “The recent delay in completing tax obligations was because we were focusing on prioritizing our customers.” The order goes into affect 30 days from Oct. 24, the tax authority statement said. The tax authority also directed the three banks — Bank for Investment and Development of Vietnam, Military Commercial Joint Stock Bank and Vietnam Technological and Commercial Joint-stock Bank — to recoup the money for the government, according to the statement.<br/>