general

Several major airports across the East Coast paused flights as thunderstorms moved through the region on Wednesday night, causing hourslong delays in the region and as far away as Chicago, according to the FAA. The airports serve the New York, Washington and Baltimore metropolitan areas. Much of the region was under severe thunderstorm warnings or watches until Wednesday night. Departures to Newark, Kennedy and La Guardia airports were grounded until Thursday at 1 a.m. After the ground stops were lifted, departing flights at Newark and La Guardia were delayed by about an hour on average. Departures to the Baltimore, Dulles and Reagan airports in the Washington area were grounded on Wednesday night. Those ground stops were lifted around midnight. There were no ground stops at Chicago O’Hare International Airport, Philadelphia International Airport, Tampa International Airport or Teterboro Airport. But departing flights there were delayed by up to five hours on average Wednesday night, the F.A.A. said.<br/>

The New Terminal One (NTO), a consortium of labor, operating and financial partners at New York's John F. Kennedy International Airport, is preparing to issue $2.55b in bonds in June to continue refinancing bank loans raised in 2022, two sources familiar with the deal said. It is the second time JFK's NTO will issue bonds in less than a year. The consortium first sold $2b in bonds in December to refinance about $6.5b in bank loans, following a period of municipal bond market volatility and illiquidity. The NTO consortium expects to announce the financial results of the new bond deal as soon as this week, the sources added. The loans were secured two years ago in a $9b private-public transaction and financed by over 40 institutions led by financial sponsors Carlyle, Ferrovial SA, JLC Infrastructure and Ullico to cover the cost of the first phase of the airport terminal overhaul. The companies joined the consortium to build a new international terminal on the sites now occupied by JFK's terminals one, two and three at one of the world's busiest airports. Investor demand is strong in the debt market for the latest JFK New Terminal One bonds, one of the sources said on Wednesday. NTO initially offered $1.5b of Series 2024 Special Facilities Revenue Bonds, but increased the issuance after orders were received for $6b-worth, the source added. Construction of the first phase of what will be JFK's largest international terminal is on schedule for a 2026 opening, one of the sources said last week.<br/>

The federal government will help fund major renovations to the section of the Halifax airport where international travelers transfer to Canadian flights. Sean Fraser, a Nova Scotia MP and minister of housing and infrastructure, announced today that Ottawa would provide up to $8.3m towards the $18m upgrade to the international connections facility at the Halifax Stanfield International Airport. The project will add a floor that allows international passengers to make their connections to domestic destinations without having to first pass through customs and collect their baggage. A news release predicts the improved facility will help the airport attract more international flights to Halifax, adding that these planes will also be capable of carrying more cargo to and from the region. The public funding is being provided through the federal government’s trade corridors fund, while the Halifax International Airport Authority and a yet-to-be-named partner will contribute the remaining amount. A spokeswoman for the airport said the project is expected to be completed next year.<br/>

Poland will go ahead with plans conceived by the previous government to build a huge air hub in the centre of the country, but with amendments, Prime Minister Donald Tusk said on Wednesday. The Central Communication Port (CPK) airport project had posed a dilemma for Tusk's pro-European coalition government, which took office in December. The nationalist Law and Justice (PiS) government proposed the construction of a regional transport hub serving around 40m passengers a year, with high-speed rail connections, aiming to boost Poland's economy and international prestige. PiS also said it could be used for military purposes. But the project was criticised for its cost and scale, and for its location far from any major city. "The issue of the CPK was the subject of serious political confrontation," Tusk told a news conference. "The task of this team was to separate politics, propaganda, organised trolling ... It took some time." Tusk said the CPK airport would be built in Baranow in central Poland, but that regional airports and the Okecie (Chopin) and Modlin airports serving the capital Warsaw would also be modernised. He also said the high-speed rail network forming part of the CPK project would connect major cities to each other, not just to the airport or the capital. The airport will open in 2032 and be designed to serve 34m passengers a year, he said. Deputy Development Minister Maciej Lasek said the whole CPK project would cost 131b zlotys ($32.5b) up to 2032. The PiS lawmaker was in charge of the project when PiS was in power criticised the new plans.<br/>

The Association of Asia Pacific Airlines (AAPA) warns that airline profit margins in the region will remain “under pressure” in the near-term, amid a strong US Dollar and higher jet fuel prices. This is despite “encouraging trends” seen in both passenger and cargo demand, which the association says is a reflection of a pick-up in global economic activity. In traffic figures released for May, the AAPA notes that the region’s carriers saw a 24% year-on-year jump in international passenger numbers to 27.9m. The figure is close to 90% that of pre-pandemic 2019, it adds. RPKs for May grew 27% year on year, only slightly outpacing capacity growth at 26%. On the cargo front, freight-tonne kilometres increased 18% year on year in May, with cargo load factor up 1.4 percentage points to 61.4%. AAPA DG Subhas Menon says: “The current pick-up in global economic activity, supported by improvements to business confidence levels and increased consumer spending, has boosted demand for both international travel and air cargo. Asia Pacific airlines, being major players in the air cargo markets, have also benefitted from disruptions to ocean freight services.”<br/>

North Korea’s trash balloons can pose a threat to flights, an aviation official cautioned, a day after South Korea’s busiest airport temporarily halted operations when at least one balloon landed on the tarmac. North Korea flew another 180 balloons carrying trash into South Korea from Wednesday night. This added to more than 2,000 balloons floated toward its neighbor since May that have caused a nuisance for Seoul and surrounding areas. The balloons are part of a show of anger at South Korea for measures at the border Pyongyang has complained are a threat to its sovereignty. Departures and landings were disrupted Wednesday at Incheon International Airport serving Seoul. The airport is about 40 kilometers (25 miles) south of the border with North Korea and could be on the flight path for the balloons. “These balloons are hardly detected by our radar, so we get notified about them from nearby military units,” said Shin Jisu, an assistant manager of media relations. She added the balloons not only can cause air traffic disruptions, but could get sucked into jet engines. “Although balloons and airplanes fly at different altitudes, the balloons still could be a threat to aircraft during takeoffs and landings,” she said. North Korea’s official media cited a vice defense minister as saying in late May the state would scatter “mounds of wastepaper and filth” on the South Korean side in response to what Kim Jong Un’s regime saw as security threats that included surveillance flights. The balloons began flying soon after that. Many held a few kilograms of trash, including waste paper, cigarette butts and used batteries. Earlier this week, central government authorities in Seoul said parasites associated with fecal matter have been also found in the trash-laden balloons, along with clothing such as underwear, neckties and socks. <br/>

A jet fuel shortage in Japan that’s been impacting the nation’s domestic airports has now expanded to one of its largest aerodromes. Narita airport in Tokyo said the fuel crunch was affecting operations of six Asian carriers and the plans of some 57 flights a week currently. It didn’t name the six airlines. “We need to increase fuel suppliers and have requested the government and distributors to directly receive fuel from overseas as well,” Akihiko Tamura, the chief executive officer of Narita International Airport Corp., said. Narita airport has “requested domestic distributors ensure a stable supply” but at present they “haven’t been able to increase volumes sufficiently,” Tamura added. A boom in international travel is boosting global jet fuel consumption with flights from Asia forecast to climb by 23% in 2024 from last year, according to BloombergNEF. Due to a weak yen, Japan is witnessing a sharp uptick in inbound travel and the government is aiming to attract around 60m international tourists annually by 2030.<br/>

Delhi Airport has temporarily suspended all departures from Terminal 1 after a part of the forecourt’s canopy collapsed early Friday after heavy rain. “As a result of this incident, all departures from Terminal 1 are temporarily suspended, and check-in counters are closed as a safety measure,” it said in a post on X. All departing flights will be canceled until 2 p.m. local time, the airport said in a later post. Three people were injured after the partial collapse of the roof hit cars, PTI reported. Emergency personnel are providing necessary assistance and medical aid to those affected, Delhi Airport said on X. The airport handled 6.5m passengers in May across its three terminals, up 8% from a year earlier. Indigo, which is operated by Interglobe Aviation Ltd., also separately said it has canceled all flights from the terminal.<br/>

Boeing was sanctioned by US regulators on Thursday after the company disclosed information about an inquiry into why a door panel blew off a jet mid-flight and speculated about the cause of the incident. The manufacturer “blatantly violated” investigative regulations as well as a signed agreement governing the investigation by the National Transportation Safety Board even though “few entities know the rules better than Boeing”, the agency said in a statement. The sanction was imposed after Boeing held a briefing with journalists on Tuesday to detail its quality improvement efforts. The incident has further strained relations between the plane maker and government agencies following the January blowout. Boeing is facing multiple investigations, including from the Federal Aviation Administration and the Department of Justice. The NTSB said Boeing offered “opinions and analysis” on issues that might have caused the incident, and also portrayed the investigation as an effort to identify the person responsible for work on the door plug. The NTSB denied trying to assess blame in the investigation and said it was instead focused on the cause. As a result of the sanction, Boeing will lose access to information the NTSB uncovers as it investigates the January accident. The NTSB also is subpoenaing Boeing to appear at a hearing in August. The plane maker apologised to the agency, saying the briefing was an attempt to “work transparently” and better explain a plan it delivered to the FAA in May detailing how it intended to improve safety and quality.<br/>

Boeing drew fresh criticism from a federal regulator on Thursday over disclosures about the continuing investigation into a harrowing January flight during which one of the company’s 737 Max planes lost a panel, exposing passengers to howling winds at an altitude of about 16,000 feet. Addressing reporters at a company factory in Renton, Wash., Elizabeth Lund, a Boeing executive, provided new details on Tuesday about how the plane involved in the incident left the plant apparently without four critical bolts that secured the panel, known as a door plug, in place. Boeing said the information was not for release until Thursday morning, under a common kind of agreement that allowed the attending reporters time to process the detailed briefing.But the National Transportation Safety Board became aware of the remarks at the briefing and rebuked the company hours before articles on the remarks were published. It said that Boeing improperly shared investigative information and speculated about the cause of the incident, adding that the company had “blatantly violated” the agency’s rules surrounding active investigations. The agency said it would provide details about that violation to the Justice Department, which is investigating the January flight. “As a party to many N.T.S.B. investigations over the past decades, few entities know the rules better than Boeing,” the agency said. The N.T.S.B. also said that it would revoke Boeing’s access to the agency’s investigative information and that the company would not be allowed to ask questions of other participants at a hearing in August. The agency said it confirmed Boeing’s violation after obtaining a transcript of the press briefing. The agency’s rebuke of the company was earlier reported by The Air Current, an aviation publication. Boeing apologized for speaking out of turn.<br/>

Boeing said it’s seeing a sharp drop in defects on 737 Max fuselages arriving from supplier Spirit AeroSystems Holdings Inc. and an uptick in the pace at which the cashcow planes move through its factory south of Seattle. During two days of Seattle-area tours for reporters, Boeing provided a glimpse of the work underway to address lapses in safety and retrain workers, under the close supervision of US regulators. Boeing has beefed up training and skills testing for recent hires, and it’s paying more attention to how work assignments and parts are handed off between shifts of workers. “When I entered into this company, safety was drilled into my DNA, and I believe it still is,” said Elizabeth Lund, the Boeing senior vice president spearheading the quality initiative in its factories and with US regulators. “It’s important for us to be humble. For us to look for opportunities for us to step back and say here’s an area where we’re not as strong as we want to be.” Boeing’s operational and financial performance has been thrown into turmoil since the Jan. 5 blowout of a fuselage panel on an airborne 737 Max 9 aircraft. As a result of the accident, the company has slowed output of its 737 aircraft to improve its manufacturing. The company has also come under the public glare of regulators, airlines and the flying public, and has endured a rising tide of company whistleblowers laying bare alleged shortfalls on the company shop floors. The planemaker said it’s paying special attention to so-called “traveled work.” It’s the industry term for unfinished jobs that travel down the assembly line with jets, often leading to more complications since defective or missing parts are tackled out of the regular production cadence.<br/>

Boeing is planning a briefing for high-level European regulatory officials about changes to the way it makes planes, a senior company executive said, after a January mid-air panel blowout sparked a safety crisis. Boeing has been under pressure over factory controls since Jan. 5, when a door plug tore off an Alaska Airlines 737 MAX 9 jet, in an incident blamed on missing bolts. Elizabeth Lund, Boeing's senior vice president quality, said on Tuesday the planemaker has a briefing with the top level of the European Union Aviation Safety Agency (EASA) coming up, with the U.S. Federal Aviation Administration (FAA) participating. The company will do the same with other regulators. "We will ensure they are fully aware of all the steps we are taking as we go through this," Lund told reporters during a visit to the company's 737 factory in Renton, Washington, a Seattle suburb. EASA's acting head said in March the agency would suspend its indirect approval of Boeing's jet production if warranted, but added he felt reassured that the planemaker was tackling its latest safety crisis. Under a transatlantic pact, the FAA and EASA regulate the factories of their respective planemakers - Boeing and Airbus - and recognise each other's safety approvals. That relationship has been tested in the aftermath of two fatal MAX crashes in 2018 and 2019 respectively. In February, the FAA told Boeing to develop a plan to address "systemic quality-control issues." Boeing said it has increased investment in training, simplified work instructions and increased supplier oversight, after the Alaska Airlines MAX 9 jet made it to the end of the factory line with rivets that needed correcting.<br/>

Boeing's financial and production challenges following a January mid-air panel blowout will not change its workers' readiness to strike to make gains in bargaining, a union local president said on Thursday. The International Association of Machinists and Aerospace Workers (IAM), which represents more than 30,000 Washington state workers building Boeing jets, wants better retirement benefits and wage increases exceeding 40% over three to four years after what it termed years of stagnant earnings. "We are going to maximize this opportunity no matter what," Jon Holden, president of the IAM's District 751 representing the Seattle-area workers, said in an interview with Reuters. "Our members want an agreement, they want a good agreement but they are willing to strike if they have to." IAM workers are scheduled to vote for a strike authorization mandate on July 17, but they cannot strike before the contract expires on Sept. 12. Boeing did not respond to a request for comment on the union's potential strike plans. The planemaker is trying to manage a sprawling crisis that erupted after a door plug blew off an Alaska Airlines 737 MAX jet on Jan. 5. Boeing's chief financial officer said last month the company would burn rather than generate cash in 2024 and deliveries would not increase in the second quarter. Workers held a noisy rally on Tuesday at Boeing's Renton plant outside Seattle, coinciding with a media visit to showcase quality improvements at the factory.<br/>