Last year’s holiday headaches were primarily a result of Southwest Airlines and its major system meltdown. Even the airline itself is aware. In a video distributed to employees, Southwest’s COO Andrew Watterson acknowledged that last winter was a mess after the airline canceled nearly 17,000 flights over a 10-day period in December. “When we have winter operations that slow us down, and we can’t get crew out in the system, guess what happens? Well, if you don’t get out day one, you’re not out day two and day three, and it really put a stress on our crew system, and our crew network essentially fell apart,” he said in the video, referring to how crews are often scheduled on multiday trips, so flights that get canceled can cause ripples through the employee schedule for many days. But now, Southwest insists, it’s ready for whatever Mother Nature brings this winter, and customers are proceeding with cautious optimism thanks to the airline’s goodwill gestures. “The disruption we had last winter was really hard on our customers and our employees,” Watterson said during the airline’s October earnings call. “Preparing to prevent something like that from happening again was and is an imperative. Of course, the disruption was triggered by an unprecedented storm that simultaneously hit several of our most critical stations, but there were many causes, not just one, that led to it.”<br/>
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US start-up carrier Connect Airlines is railing against aviation regulators for allegedly stifling its ambitions of launching flights between Canada and the USA and decarbonising regional air travel with hydrogen propulsion technology. CE John Thomas told FlightGlobal on 29 November that the certification process with the FAA has been much-delayed and lacking transparency, and that regulators are now effectively blocking the carrier’s path to market. ”The frustrating thing is that we have done everything required to get a [Part] 121 certificate,” he says. Parent company Waltzing Matilda Aviation on 29 November filed a petition requesting the US Department of Transportation (DOT) to reconsider its 16 November decision to revoke Connect’s air carrier certificate due to dormancy. The company is requesting an extension of its dormancy waiver until 31 March, arguing that ”reconsideration is warranted because the order was based on an incorrect assessment of [Waltzing Matilda’s] FAA certification process”. The airline has for months maintained that the FAA has been issuing inaccurate updates on its progress in communications with the DOT. ”Based upon these errors, the department again has raised the barriers to entry for start-up airlines, and specifically for a start-up airline with firm plans to become the first emission-free airline in North America,” the company says. <br/>
The Irish government waited too long to address the factors that led to last week’s Dublin riots, according to Ryanair Holdings Plc’s CEO Michael O’Leary. “We need to see how the government responds to it. And so far, the government response has been slow and tardy. They’re all of a sudden going to rush through legislation,” O’Leary said. “Why do you have to rush it through? It should have been passed through about two years ago.” Violence engulfed Dublin last Thursday evening after three children and a woman were stabbed near a school, with police cars set on fire and shops looted. The damage caused by the unrest is expected to cost tens of millions of euros. However, one night of rioting won’t impact tourism in Ireland, O’Leary added, saying it couldn’t be allowed to happen again. Ireland’s police head, Garda Commissioner Drew Harris, said Dublin had not seen violence on this scale in decades, blaming the riots on a far-right “hooligan” faction. Lawmakers and the police are now trying to introduce measures that include hate legislation, the deployment of body cameras and an expansion of the public order unit’s remit.<br/>
El Al Israel Airlines has operated in "emergency mode" since the start of Israel's conflict with Hamas militants last month, the company said on Thursday as it reported a drop in third-quarter profit owing to a one-off gain a year earlier. El Al is one of the only airlines flying to and from Tel Aviv after most foreign carriers halted services partly because of insurance reasons. Israel's government has backed insurance for domestic carriers to enable them to keep flying. "These days we have a deep national responsibility towards the people and the country," said CEO Dina Ben-Tal Ganancia. "We quickly adapted ourselves to emergency mode and made sure to maintain a stable and active flight schedule while taking care of passengers' safety and security." The Israeli flag carrier has made a number of changes since the conflict started, including an increase in flights to and from North America, Thailand and to London and Paris while suspending flights to some other destinations. Recently added flights to Istanbul, Sharm El-Sheikh and Marrakesh, which are among those that have been suspended, could be scrapped entirely if demand from Israeli tourists does not bounce back after the war, it said. The airline said that consumer behaviour has changed, with more customers making last-minute bookings rather than advance reservations months ahead. El Al has also boosted cargo flights to transport essential equipment to Israel.<br/>
Emirates airline started the week at Dubai Airshow by announcing that it is boosting its fleet with a E47b order for 90 Boeing 777X aeroplanes. Speaking to Euronews, Emirates President Sir Tim Clarke said: “So we've got in total now 245 Boeing aircraft on order and 50 A350s will start being delivered next year. This is all part and parcel of the expansion of our network over the next 10 to 15 years.” Following a cautious few years post-COVID, Clarke says that “demand remains very strong” for the aviation industry and that “the Middle East is really potent now in terms of economic activity, a lot of inward investment, a lot of wealth generation going on in Saudi Arabia, of course, and in the states around.” The ambition of the industry’s sustainability goals is to be net zero by 2050. With regard to Emirates’ commitment to reducing emissions, he said: “We set ourselves a task. We're on a journey there. Now, as long as we do the right thing and try as hard as we can, then in the end, that target is a date that can possibly come forward and go backwards, but [let’s] start moving in that direction.” “We are a long way off from getting aircraft that will fly on zero-emission fuel,” he added. “We can introduce SAF. We can do all sorts of business, which is what we're doing.”<br/>
Air Premia posted an operating profit of 21.7b won ($16.8m) over sales of 129.6b won in Q3 2023, the South Korean budget carrier said on Thursday. The company achieved its first quarterly surplus since its founding in July 2017 and around a year after it began operating its first international flight in July 2022. It is also the first time that the carrier’s quarterly sales exceeded 100b won. Cumulatively for the first three quarters of this year, Air Premia recorded a revenue of 256.1b won and an operating profit of 15.3b won. The airline attributed its success in achieving profitability to the growth in demand for international passenger flights and its cargo operations. The company highlighted that the increase in international passenger demand and the efficient management of its cargo business were instrumental in improving its financial performance. Despite acknowledging variables including global fuel prices and currency fluctuations, Air Premia was optimistic about its future, saying that the airline could achieve revenues of 360b won by the end of 2023 if the current trends continue, potentially marking its first annual profit. Efficiently operating regular routes to destinations like Los Angeles, New York, and Frankfurt, along with charter flights, Air Premia transported a total of 479,492 passengers in the first three quarters of 2023 with an average occupancy rate of 86.3%.<br/>
The Federal Board of Revenue (FBR) on Thursday unblocked the bank accounts of Pakistan International Airlines after the issue of non-payment of outstanding dues was settled. The FBR had blocked PIA’s bank accounts over non-payment at a time when the European Union Aviation Safety Agency (EASA) team was visiting Pakistan for a safety audit, raising hopes that a ban imposed on PIA flights to Europe may be lifted. The FBR withdrew its orders to freeze the PIA’s bank accounts on Thursday after the PIA management assured the tax authorities of clearing all outstanding dues. Additionally, Pakistan State Oil had threatened to stop the airline’s oil supply if outstanding dues were not settled. In a notification, the FBR’s deputy commissioner for Inland Revenue said: “This office has been directed to withdraw the notice mentioned above and to de-attach the bank accounts of the subject taxpayer with immediate effect.” However, the board highlighted that the said de-attachment did not bar the department from pursuing “recovery proceedings” under Section 14(3) of the Federal Excise Act, 2005. The law pertains to the recovery of “unpaid duty or of erroneously refunded duty or arrears of duty”.<br/>
Jetstar Asia has resumed direct flights to Okinawa, more than three and a half years after its last flight to the popular tourist destination in south Japan. The first resumed flight – on a sold-out Airbus A320 – took off on Nov 30 from Changi Airport at 2.18am and arrived at Naha Airport at around 8.30am (Japan time), the low-cost carrier announced on the same day. Jetstar Asia, which is the only airline to operate direct flights from Singapore to Okinawa, had paused such flights in March 2020 as a result of the Covid-19 pandemic. But in July, it announced the route would return, citing strong demand. Jetstar Asia will operate three return services a week, which can carry some 1,000 passengers between Singapore and Okinawa every week, or over 54,000 in a year. The direct flight to Okinawa – which is just over six hours long – is the second Japanese route Jetstar Asia has resumed. The first was to Osaka, which relaunched a week earlier, the carrier added. Jetstar Asia’s CEO Barathan Pasupathi said: “From its pristine beaches and delicious food to its unique cultural experiences, Okinawa caters to those seeking both relaxation and adventure.<br/>
AirAsia Aviation Group expects to report a profitable 2023, as travel demand continues to hold strong through the year-end, and as it reaps the benefits of “lessening competition”. The low-cost airline group, which is owned by Malaysia-based Capital A, also recorded its third consecutive quarterly profit this year, in what it calls a “seasonally slower” period. It posted a positive EBITDA of MYR385m ($82.4) for the three months to 30 September, a three-fold improvement year on year. Revenue for the period more than doubled, to MYR3.9b - the group’s highest revenue recorded so far this year. AirAsia Aviation notes that the figure is about 38% higher quarter on quarter, and is 33% more than the same quarter in pre-pandemic 2019. Much of the revenue growth was attributed to what the group calls “the aviation supermarket”, where ancillary revenue rose sharply to make up 18% of total revenue. Still, the sharp rise in revenues was offset by a rise in operating expenses, with fuel costs seeing a 57% increase. The group also incurred higher costs to reactivate its stored fleet. AirAsia Aviation chief Bo Lingam says the group expects a “revenue upswing, exceeding pre-pandemic levels”. “This optimistic outlook is based on robust travel demand during the peak season, which enables us to command premium fares and boost ancillary income. We are amplifying our domestic capacity in all markets especially in Malaysia and Thailand, fortifying our market share and taking advantage of lessening competition,” Lingam adds. AirAsia’s Malaysia unit has been quick to move to reclaim market share following the abrupt collapse of rival MYAirline in early October. It is in the process of adding domestic capacity “leveraging on weakening competition and seasonality”. The group adds that it will now focus on matching network demand with corresponding supply. China and India will feature largely in its near-term network strategy: AirAsia expects to “accelerate” its expansion into India and China, following the Malaysian government’s announcement to waive visa requirements for travel from the two countries. “In parallel, we expect high average fares as the market is still experiencing a shortage of operational aircraft. Combining this with the decreasing fuel price, we expect a profitable end to 2023,” says Lingam.<br/>