WestJet’s CE officer Alexis von Hoensbroech says Canadian flyers can expect more deals on airfares this winter and next summer, as pent-up travel demand moderates and productivity improves in the airline industry. “There are markets that have seen strong pent-up demand that drove pricing, because there was an imbalance between supply and demand, the most prominent being on (transatlantic routes) over the summer,” von Hoensbroech said in an interview with Yahoo Finance Canada. While travel demand has remained resilient, he says it is now more in line with capacity, which has helped bring prices down. At the same time, von Hoensbroech says productivity levels are improving as the airline overcomes a pilot shortage, helping drive operational costs down. “I think there will be lots of bargain options for this winter and also next summer,” he said. Strong pent-up demand following the pandemic combined with capacity that remains below 2019 levels resulted in higher airfares, particularly when it came to international travel. According to data from FlightHub, the average price for an international flight topped $1,516.71 in July, a 35% increase compared to the previous year. But that pent-up demand appears to be tapering off. Statistics Canada reported this week that airfares plummeted 19.4% in October compared to the same month last year, as airlines boost capacity and travellers reconsider trips due to higher costs. Still, von Hoensbroech says demand remains resilient. WestJet, which is a private company owned by Onex Corp. and does not publicly disclose its financial results, has reported a profit in the first three quarters this year, he says. The airline is on track to surpass pre-pandemic capacity levels next year. WestJet is in the midst of a strategic shift that has seen it focus on service in Western Canada – “returning WestJet to its roots” – while also expanding its leisure and sun destination offerings through the help of its acquisition of Sunwing. “It doesn’t mean it’s a 180, or that WestJet is going back to the very beginning,” von Hoensbroech said of the change in strategy. The airline first launched in 1996 as a low-cost carrier and didn't fly east of Winnipeg until 2000. “It’s about focusing on the things that have made WestJet strong in the past, and also stopping things that actually weren’t that successful.”<br/>
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British travel company Jet2 said it was on track to meet annual forecasts after it posted a jump in operating profit for the six months to the end of September, helped by ongoing strong demand for flights and holidays. While Jet2's British customer base has been hit by higher bills in the last two years, holiday companies and airlines have found consumers have not cut back on holidays. Jet2 on Thursday stuck to guidance for group profit before currency revaluation and taxation to come in at between 480m pounds and GBP520m ($598-$648m) for the year to the end of March, helped by a particularly strong summer season. For the first half, that measure of profit came in 32% higher than the previous period, after it took more people on holiday, and more of those opted for its higher-margin package holidays. Jet2 cautioned that bookings for the current winter season, traditionally loss-making as fewer people travel, were "a little slower in recent weeks" but it added that pricing was robust and it remained confident about the overall market. For next summer, it planned to raise capacity by 12%, and said bookings and pricing were "encouraging".<br/>
A Guernsey airline is planning to sell its only jet and replace it with two leased turboprop planes. Aurigny said using more ATR 72-600 aircraft would help it progress with its five-year strategy to operate a "more streamlined and efficient service". The airline said the changes would result in fewer disruptions to the airport schedule, and no redundancies would be made. Nico Bezuidenhout, CEO of Aurigny Air Services, said it was trying to become a more cost-effective airline. He said: "Providing customers with the most reliable service possible has always been our priority and we are confident that having a fleet made up of ATR 72s is the most efficient way to do this. This project marks the beginning of a significant push towards running a more cost-effective and efficient airline, which will inevitably have a positive impact on the overall experience of our customers."<br/>
Emirates president Tim Clark indicates that availability of a higher-weight Boeing 787-10 was behind its decision to reinstate the variant as part of the carrier’s rejig of 787 orders. The airline had originally indicated in 2017 that it would introduce 40 787-10s but ultimately agreed, two years later, to take 30 787-9s by substituting a number of 777X orders. Emirates disclosed during this year’s Dubai air show that it has opted to increase its 787 commitment to 35 aircraft, as part of a broad order for Boeing widebodies. The Dubai-based carrier is also splitting the 787 component between 15 787-10s and 20 787-8s. President Tim Clark, speaking during the air show, said the airline had “pushed [the 787s] out a little bit” and changed the mix. He points to Boeing’s increasing the take-off weight of the -10, adding: “[This] means it’s far more versatile on our network.” Boeing revealed earlier this year that it was enhancing the 787-10 to provide an additional 430nm of range or a 6.4t hike in payload. Clark says the 787-10 will, as a result, be able to serve 85% of the city-pairs between which the carrier operates. “It’ll do Perth at a stretch – not that we would do it,” he states. “But anything up to 8h, I think the aircraft is good to go.” He adds that the seat-count is “not dissimilar” to the Airbus A350-900 in a three-class configuration. Emirates has not given a delivery date for the 787s. Boeing’s upgrade to the twinjet will also cover the 787-9 variant, which will have 310nm more range and 4.6t more payload capability. “We are developing an increased maximum take-off weight plan for the 787-9 and 787-10 that will add additional value for our customers with even greater efficiency, flexibility and capability,” says the airframer. “We are always having conversations with our customers to see how we can provide them more value and help them operate more efficiently. We are working to incorporate the enhanced capability into 787 production and are communicating with our customers on timing.”<br/>
Go First's lenders will vote on a proposal to liquidate the insolvent Indian airline, two banking sources told Reuters on Thursday, days after a deadline to bid for the company ended with no suitors. "The proposal whether or not to liquidate the airline has been floated and individual lenders will take the proposal to their boards and submit final votes in 10-15 days," said a banker with a state-run bank that has exposure to Go First. "It appears that there is no interest from suitors for the airline and bankers are inclined to opt for liquidation rather than restarting the insolvency process." The Committee of Creditors met on Wednesday and Thursday to decide the future course of action for the airline. Neither of the bankers wished to be named because they were not authorised to speak to the media. Go First's resolution professional, who is conducting the insolvency process, did not immediately reply to an email seeking comment. Go First, which filed for bankruptcy protection in May, owes a total of 65.21b rupees ($785.6m) to its creditors. Central Bank of India, Bank of Baroda, IDBI Bank and Deutsche Bank are among the airline's creditors. Jindal Power, the sole company whose expression of interest to take over Go First was accepted by creditors, also decided to not follow through with a bid, Reuters reported.<br/>
Vietjet has commenced new routes connecting Perth and Adelaide, the fourth and fifth largest cities in Australia with HCM City to expand its flight network. Deputy Premier of Western Australia Rita Saffioti, Minister of Tourism of South Australia Zoe Bettison, and leaders of Perth Airport and Adelaide Airport congratulated Vietjet on its new routes on Wednesday (Nov 22). With the new routes to Perth and Adelaide, Vietjet becomes the largest airline operating five routes connecting Vietnam with the five largest cities in Australia, including Melbourne, Sydney, Brisbane, Perth, and Adelaide, with a total of 58 weekly flights starting from December 2023. Perth, the capital of Western Australia, is the fourth largest city in Australia with a favourable year-round climate and a developed economy with diverse cultures. Meanwhile, Adelaide is the capital of South Australia and the country’s fifth largest city, featuring a varied landscape from the coast to the hills, known for its numerous festivals and sporting events, food and wine, vibrant beaches, and large manufacturing districts. Vietjet's new routes with five round-trip flights per week will provide unprecedented convenience for residents and tourists to travel easily between the most dynamic and populous city in Vietnam and the biggest hubs in Australia, as well as connecting the latter with India, South-east Asia, East Asia, and beyond, thanks to Vietjet's extensive flight network, the airline said in a statement.<br/>
AirAsia X is set to spread its wings to Central Asia as the first Malaysian airline to fly directly to Almaty in Kazakhstan commencing on March 14, 2024. It said in a statement today that the introductory promotional fares are from RM99 all-in one-way on economy seats beginning from Nov 24 until Nov 30, 2023 for the travel period between March 14 and Oct 26, 2024. The airline said that AAX's entry into Central Asia marks a significant milestone for the medium-haul airline and confident to contribute a substantial increase in tourism both ways by providing direct and affordable access between Kuala Lumpur and Almaty AAX CEO Benyamin Ismail said the move to introduce direct flights to Almaty is expected to foster significant trade, commerce and education interchange, considering Kazakhstan's status as the wealthiest country in Central Asia. "As AirAsia X celebrates 16 years of connecting people this month, we remain committed to providing unmatched connectivity with the best value fares to everyone’s old and new favourite destinations.<br/>
Virgin Australia has increased its Boeing 737 Max orders with a commitment for six more Max 8 aircraft, taking its total orderbook to 39 examples. The airline says the six additional aircraft are scheduled to be delivered in the second half of 2024. With the newly-announcement commitments, Virgin Australia has orders for 14 Max 8s, as well as 25 larger Max 10s. <br/>It took delivery of the first Max 8 in late June, and now has three in its fleet. The remaining 11 Max 8 jets will be delivered through 2024, the airline states, with deliveries of the Max 10 expected to start from late 2025. The announcement – disclosed 24 November – comes as the airline kicks off its cabin refurbishment project for its older 737s. The A$110m upgrade was first announced in July, and will see new business and economy products, which feature inflight wi-fi and in-seat power. The first refitted 737 will enter service in early December, and Virgin Australia expects to complete the project by the end of 2 years. Virgin Australia’s chief strategy and transformation officer Alistair Hartley states: “We are investing in our fleet to best meet our customers’ needs while positioning the business for success in the long-term. A more modern, sustainable, and streamlined fleet is central to our ongoing transformation.”<br/>