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The City of Houston and United Airlines entered into a Memorandum of Agreement on Wednesday, solidifying both parties’ support for a major terminal redevelopment project at Bush Intercontinental Airport. Funding for the Terminal B project still remains on pause after the city controller, Chris Brown, halted the plans last week, failing to sign off on the first installment of $150m. The installment is needed to jumpstart construction on the $2.6b project that United Airlines said is expected to start at the beginning of next year. Brown told Houston Public Media in a previous interview, he's concerned about the direction of the city's finances and he doesn't have a timeline on when he will sign off on the plans. “I’m elected by the taxpayers to ensure we’re making smart use of funds and making smart decisions that don’t jeopardize the taxpayers in the future," he said. United Airlines is expecting to put up more than $1.9b, while the city is investing $624m which would be disbursed in three installments. The airline’s plans include increasing its capacity, catering to an estimated 36m passengers in the coming years, constructing 40 new gates for domestic and international travel, new amenities, reconstructing its north and south concourses, and bringing in over 3,000 jobs. Other upgrades within the plan include expanded curbside and roadway capacity, ticketing lobby, baggage system, and a security processing area that's expected to be housed on the third floor of the terminal.<br/>

Copa Holdings, the parent company of Copa Airlines, reported a third-quarter profit on higher demand and stable expenses, as the cost of jet fuel fell by one-fifth. The Panama City-based company said on 15 November that its profit during the three months that ended on 30 September climbed 61% to $187m, up from the $116m it posted in the same three months last year. “Thanks to a continued healthy air travel demand environment in the region and the company’s consistent strategy on ex-fuel costs execution, Copa Holdings reported strong results for the quarter,” CE Pedro Heilbron says. “Copa Holdings’ Q3 results are the product of a solid and well-executed business model.” Revenue rose 7.2% to $868m during the period, as both capacity and load factor also rose. The quarter’s load factor was at 87.8%, up almost 1 percentage point over the same quarter in 2022. Capacity rose 12%.<br/>Passenger revenue climbed 7.6%, while cargo fell 11%. Costs were flat at $663m, as fuel costs fell 13.5%. The price of fuel was 21% lower, but that was partially offset by an 11% rise in gallons consumed, Copa says. The airline ended the quarter with 103 airframes in its all-Boeing 737 fleet – 67 737-800s, 26 737 Max 9s, nine 737-700s, and one 737-800 freighter. It took delivery of two Boeing 737 Max 9s during Q3. Two more arrived in November, and Copa expects one final airframe during the rest of the year. It expects to end the year with 106 aircraft in its fleet.<br/>

Emirates moved closer on Wednesday towards a potential agreement to buy dozens of Airbus A350-1000 jets after narrowing differences over performance and guarantees in talks with engine maker Rolls-Royce, industry sources said. Ethiopian Airlines was set to announce an order for around 10 of the smaller A350-900 after talks with Rolls-Royce at the Dubai Airshow that focused on service pricing, they said. None of the companies had any immediate comment.<br/>

Ethiopian Airlines CE Mesfin Tasew expects to place further aircraft orders as part of its Vision 2035 growth strategy after committing to up to 67 Boeing aircraft at the Dubai air show. The Star Alliance carrier placed firm follow-up orders for 11 Boeing 787-9s and 20 737 Max 8s, and took options on a further 15 and 21 respectively. ”We have an expansion plan which requires us to add more airplanes, open new routes,” Tasew said, speaking during a press briefing on 14 November. ”Ethiopian Airlines today operates over 140 aircraft and flies to over 170 international destinations. By 2035, our strategic roadmap gets us to reach 270 aircraft, double what we have today. We will continue ordering more airplanes. We are considering more aircraft from Airbus as well, and we will do more airplanes from Boeing as well.” One of the Airbus aircraft under consideration is the A220 single-aisle jet, as Ethiopian looks to add capacity on regional routes. ”Today we operate 32 turboprops. We want to upgrade that to 100-seat capacity,” says Tasew. Operators of the A220 have been facing durability issues with the Pratt & Whitney PW1500G engines powering the jet, an issue compounded wider by shortage of spare engines and parts. Tasew indicates the carrier is waiting for this to alleviate before any order. ”Our fleet assessment indicates that [the A220] would be a very good aircraft. But due to what that aircraft is experiencing today…we are waiting until that problem is corrected,” he says.<br/>

EgyptAir announced on Tuesday the signing of a new deal to purchase 10 Airbus A350-900 aircraft during the Dubai Airshow 2023. EgyptAir Chairman and CEO Yehia Zakaria said that the first A350 will be delivered in 2025. When added to the company’s fleet, the A350-900 aircraft contributes to rationalizing fuel consumption by 25%, thus reducing carbon emissions resulting from flights, EgyptAir said. It added that passengers on board these aircraft also enjoy the best travel experiences thanks to the distinctive “AirSpace” cabin from Airbus, which provides spacious luggage spaces and other amenities. “EGYPTAIR is a key partner of Airbus in the Middle East and Africa. We take immense pride in this partnership aimed at furthering the aviation industry. Our focus lies in the enhancement of our fleet to embrace some of the most contemporary aircraft available,” said Zakaria.<br/>

Antitrust regulators of the European Union have yet to resume their review on deciding whether to approve a merger deal between Korean Air and Asiana Airlines despite the parties having submitted remedial measures against competition concerns nearly two weeks ago, according to informed sources Thursday. In June, the EC suspended its investigation into the proposed merger between Korea's two full-fledged carriers announced in 2020 due to the companies' failure to meet their deadline for providing corrective measures. The EC has raised concerns that the 1.8t-won ($1.37b) merger deal between Korean Air and Asiana may restrict competition in the markets for passenger and cargo air transport services between the EU and Korea. In response, the companies on Nov. 2 decided to sell Asiana's cargo business and divest passenger flight routes to four European cities in order to win approval for the deal, and the measure was reported to the EC. Yonhap News Agency, however, has learned that the EC's halted investigation has yet to be resumed for nearly two weeks since the submission of corrective measures earlier this month. An industry source told Yonhap that the delay was due to "missing information" in the remedies submitted by the parties. An EC spokesperson confirmed that the commission received the remedies on Nov. 3 (local time) but declined to elaborate when asked whether the review process has officially started. "I am afraid we have nothing to add at this stage," the spokesperson said. In November 2020, Korean Air signed the deal to acquire a controlling stake in Asiana to create the world's 10th-biggest airline by fleet. Korean Air has so far received approval in 11 countries, including Britain, Australia and Singapore, but has yet to receive approval from three key markets: the EU, the United States and Japan.<br/>

South Korea’s two largest carriers reported a decline in their Q3 profits, as a jump in operating costs outpaced a rise in revenues from increased passenger traffic. In their respective financial results, Korean Air and Asiana Airlines also saw a decline in cargo revenues, which they note still remains higher than pre-pandemic levels. For the three months to 30 September, Korean Air posted an operating profit of W839b ($646m), a 38% decline year on year. The SkyTeam carrier saw a 5% rise in revenue to about W3.7t, led by a sharp 76% jump in passenger revenues. Korean Air reported strong passenger demand during the quarter, which is traditionally a peak travel period. Traffic rose about 80% year on year, with capacity growing 68%, leading to a 5.2 percentage rise in passenger load factor to 85.2%. However, it saw a 51% decline in cargo revenues, attributed to a combination of weaker demand and the low season for cargo. Korean Air notes that its cargo revenue is about 43% higher than the same period in pre-pandemic 2019. Korean Air recorded an 18% jump in operating costs to W3.3t, as expenses increased with a ramp-up of flying of activity. As for Asiana, it posted an operating profit of nearly W127b, down 45% year on year. However, it notes that it is an improvement on the operating loss it posted in the same quarter of 2019. The carrier, which is in the process of being acquired by Korean Air, saw a 13% rise in revenues to W1.7t. International passenger revenue saw the highest increase year on year – at 75% – offsetting a 48% drop in cargo revenues and a 17% decrease in domestic revenues. The Star Alliance member recorded a 23% jump in operating expenses, led by increases in labour and MRO-related costs from increased flying activity. <br/>

South Korean carrier Asiana Airlines is set to launch seasonal flights between Melbourne and Seoul. The direct service, which will operate every Tuesday and Thursday to Incheon Airport, will commence on 26 December using Asiana’s A350-900 aircraft. Flights will depart Melbourne at 10pm to arrive in Seoul the following morning. Melbourne Airport’s head of aviation, Jim Parashos, said the new direct service will mean travellers and exporters will be able to avoid connecting through another city to reach South Korea. “Victoria has increasingly close business links to South Korea, with companies making significant investments in our state, such as the new Hanwha Defence facility at Geelong,” he said. “Melbourne Airport’s own ties with South Korea have been growing, with one of the country’s largest companies, Lotte, taking over operation of the airport’s duty free business in June. “As the home of K-Pop, South Korea is attracting an increasing number of Australian tourists, while Melbourne’s major events such as the Australian Open are a huge drawcard for Korean visitors. “We expect this seasonal service will prove popular, and we are hopeful it will pave the way for regular, year-round flights in the future.”<br/>

Singapore Airlines has added another regional partner, signing a deal with Philippine Airlines that will allow it to codeshare on flights to and from Manila and on to 27 destinations in the Philippines. The agreement, due to start this quarter subject to regulatory approvals, will also enable Philippine Airlines to codeshare on Singapore Airlines flights to the European cities of Paris, Rome, Frankfurt, Copenhagen, Zurich and Milan, the carriers said in a joint statement Wednesday. Codesharing agreements enable airlines to sell seats on each other’s flights and split some of the revenue, while also giving passengers more travel options. The two airlines said they will explore expanding the codeshare agreement to include Singapore Airlines flights to more destinations in Europe, as well as Australia, India, New Zealand and South Africa. Singapore Airlines already has a partnership with Malaysia Airlines and is working on similar agreements with others such as Garuda Indonesia, THAI and Vietnam Airlines to broaden its reach beyond the city-state’s population of about 6m people. “SIA would appear to be strengthening its connectivity for its passengers from a position of strength and confidence,” said Tim Bacchus, senior aviation analyst at Bloomberg Intelligence. “It likely doesn’t feel the need to do these deals, but sees win-wins in them.”<br/>

Thai Airways International expects to take delivery of 23 leased aircraft by the end of 2025, according to Piyasvasti Amranand, chairman of the airline's debt rehabilitation administrator. Amranand spoke to media in Bangkok late last week after reporting Thai's fourth consecutive quarterly profit and saying that the airline should wrap up its court-supervised restructuring by late 2024. Existing lease agreements will see Thai Airways take delivery of eleven A350-900s, two A330-300s, one B787-9, and twelve unspecified A321-types, for a total of 26 aircraft. Three A350-900s have already arrived - HS-THQ (msn 266) sourced from Avolon, HS-THR (msn 245) also from Avolon, and HS-THV (msn 187) sourced from AerCap, leaving 23 aircraft undelivered. Thai expects another two A350s to arrive before the end of the year. The airline says another eight aircraft from the tally will land in Bangkok by mid-2024. Amranand says over the course of next year, six more A350-900s will ferry in. By mid-2024, Thai anticipates receiving half of the 26 leased aircraft, although, beyond discussion about the A350 type, Amranand did not provide further aircraft type delivery details.<br/>