Needing to shake up what critics say is a stagnant revenue model, Southwest Airlines has placed Tim Lyon in the newly created role of vice-president of pricing. The Dallas-based carrier said on 21 August that Lyon, who previously worked as director of domestic pricing at American Airlines and US Airways, ”is focusing additional attention on the carrier’s yield and pricing discipline”. ”Lyon brings more than two decades of airline industry experience and will oversee the carrier’s pricing department, coordinating closely with business units that guide revenue management and sales,” Southwest says. Attempting to regain its form as a consistently profitable company and reverse its sagging performance, Southwest said last month it would abandon its signature open seating model in favour of adding premium seating options. Southwest’s current pricing structure draws criticism from airline analysts such as Xavier Smith, director of research, energy and industrials at market research group AlphaSense. ”If you rewind the story, maybe 10 years ago or so, Southwest was the low-cost carrier,” Smith says. “They’re not the lowest-cost carrier anymore because of their maintenance cost, their system cost, their pricing. That’s their identity, but their prices aren’t the lowest for consumers, and that’s a problem,” he continues. “So I think the biggest issue is they need to change their cost structure – and that’s going to take a while.”<br/>
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Mexican airline Viva Aerobus believes the U.S. government's pause on reviewing a proposed tie-up with Nevada-based Allegiant Air is political rather than technical, the Mexican carrier's CE said on Wednesday. U.S. regulators suspended the review of the joint venture last year, citing concerns over actions by the Mexican government affecting Mexico City International Airport (AICM). Mexican officials and executives have said the concerns referred to a government-mandated move of cargo flights from the capital's main airport to a newer, farther-away airport spearheaded by the president, as well as a reduction in take-off and landing slots at AICM. "I would think (it's political)," Viva CEO Juan Carlos Zuazua told reporters. "Obviously we're in the middle of election season in the United States right now, we don't know if it will be before or after, but let's hope (the tie-up is passed soon)." The U.S. Department of Transportation (DOT), which has alleged the airport changes are to the detriment of existing carriers and potential new entrants, also moved to unwind a similar joint venture between Delta Air Lines and Aeromexico this year. Mexico has seen a boom in tourism from the United States in the years after the COVID-19 pandemic, however Mexican airlines have seen their capacity hit by engine issues, plane shortages and the airport slot limitations.<br/>
Brazilian airline Voepass has decided to reduce some service to nine locations after one of its planes crashed and killed 62 people in Sao Paulo state earlier this month. Regional carrier Voepass, Brazil's fourth-largest airline by market share, said in a statement sent to Reuters that the move was "necessary" as it now has one less aircraft in its fleet of ATR turboprops. Voepass said the measure was aimed at "minimizing potential delays and flight cancellations." Daily flights to nine locations will be interrupted at least until Oct. 26, when Voepass will reassess its network while planning for the next season, it said. Voepass previously served a total of 47 destinations. The company, which has a codeshare deal with Brazil's largest carrier, operated the ATR 72-600 that crashed in a residential area near Sao Paulo on Aug. 9, killing all 62 passengers aboard. The plane was bound for Sao Paulo's Guarulhos international airport from Cascavel, in the southern state of Parana, when it crashed in Vinhedo, some 80 km (50 miles) northwest of Sao Paulo.<br/>
Pilots and cabin staff have voted by majority for strike action at German flagship carrier Lufthansa's leisure airline Discover, two unions said on Wednesday. The result of the vote was announced by pilots' union VC and cabin crew union UFO, which already held several strikes and bargaining rounds together with bigger rival union Verdi earlier this year. Two weeks ago, Verdi unexpectedly struck a collective bargaining agreement with Discover, the subsidiary's first such agreement since it began operating in 2021. Strike action by VC and UFO could potentially lead to flight cancellations for Discover, which operates flights from Germany's two biggest airports in Frankfurt and Munich, towards the end of the holiday season.<br/>
Wizz Air Holdings Plc is considering releasing another batch of its annual unlimited flights passes after the first 10,000 sold out in 48 hours. The Hungary-based carrier is “still assessing the option to launch another set” of its €499 ($556) All You Can Fly passes, a spokesman said. The offer, which was announced on Aug. 13, brought an implied E5m into the airline’s coffers during what’s been a disappointing summer. The promotion is a bright spot for Wizz, which cut its annual profit outlook this month over engine issues that grounded some of its Airbus SE A321 aircraft. Other airlines in Europe have also cut their profit forecasts amid notable declines in airfares this summer. The 12-month plan comes with caveats, including only allowing customers to book flights three days ahead of their departure and a mandatory €10 booking fee on each flight booked. Luggage and seat selection aren’t included in the membership. Michael O’Leary, the CEO of larger rival Ryanair Holdings Plc, described Wizz’s offer as a “marketing scam” in a Newstalk interview, saying that there won’t be any seats available on the aircraft if customers could only book three days before the flight. <br/>
Two cabin crew members were injured 20 minutes into an easyJet flight when the plane was hit with strong turbulence, forcing it to make an emergency landing in Rome. On the flight from Corfu to London on Monday, the crew members were in the middle of serving food to the 181 passengers on board when they were injured. They were thrown against the sides of the plane during the turbulence, the Mail Online reported, although extent of the injuries sustained is unknown. The aircraft was shaken by the turbulence only 20 minutes into the flight while it was travelling at around 485mph at an altitude of 28,000 feet. The Airbus A320 had departed Corfu at around 12.45pm local time, intending to fly to London Gatwick, but the flight was cut short with the plane landing at Rome’s Leonardo da Vinci–Fiumicino Airport just over an hour later, data from FlightRadar24 shows. Passengers were met by easyJet crew and airport staff to provide immediate assistance. While the injured flight attendants received medical attention, a replacement crew was arranged to allow passengers to continue to London Gatwick. The aircraft remained parked in Rome the day after for safety checks.<br/>
The owner of driveway-cleaning business EasyJetwash has agreed to pay damages and change the brand name after a trademark dispute with the firm that owns easyJet. Jozsef Spekker, from Newcastle-under-Lyme, Staffordshire, was threatened with legal action by easyGroup after he registered the trademark in April 2022. He has now agreed to pay “significant damages” and legal costs as well as to stop using the easyjetwash.com brand, which he will change to stokejetwash.com, according to easyGroup. Spekker confirmed the contents of easyGroup’s statement but declined to comment further. EasyGroup said the agreement was made without having to go to a full trial in court, which it claimed would have been a “sure victory” for the firm. Chairman Sir Stelios Haji-Ioannou said Spekker was given an 18-month phasing-out period to “educate his customers” about his business’s new name.<br/>
Guernsey airline Aurigny said it was "confident" the arrival of another leased aircraft would "overcome disruption" following a series of cancellations and delays. The States Trading Supervisory Board (STSB) met the leadership of Aurigny and Guernsey Ports on Wednesday to build an "enhanced level of co-operation". It said the two businesses wanted to improve services to customers and to avoid "incidents like the absurd aborted trip" from Exeter to Guernsey on Sunday. Deputy Peter Roffey said a further meeting was held with Aurigny chairman Kevin George and CEO Nico Bezuidenhout and he reinforced the frustrations that islanders and businesses have expressed in recent weeks. Deputy Roffey said the service both during this time, and earlier in the year, had "fallen far below what islanders had a right to expect". He added: “We have made it clear, in no uncertain terms, that the level of disruption that has occurred during the airline’s ongoing fleet transition has been unacceptable. It has exposed a lack of resilience and that has impacted a lot of islanders and local businesses."<br/>
Emirates is to purchase five more Airbus A380s from an investment company once their lease period expires later this year. Emirates is to pay $40m for each aircraft, according to the Channel Islands-based investment company Doric Nimrod Air Two. The leases are set to expire over the course of 1 October to 30 November. Doric Nimrod Air Two, which is located in Guernsey, purchased seven A380s in 2011, all fitted with Engine Alliance GP7200 powerplants and leased to Emirates for 12 years. Two of these – MSN77 and MSN90 – have already been sold to Emirates in a transaction carried out last year. The five remaining aircraft are MSNs 105, 106, 107, 109 and 110. With its purpose complete, Doric Nimrod Air Two will be liquidated “as soon as practicably possible”, it says, once payment to shareholders is completed around early 2025.<br/>
The long-awaited lifting of the European airspace ban on Iraqi Airways has seen “good steps” recently with Baghdad attempting to resume direct flights with European cities, the transportation ministry said on Wednesday. “The opening of European airspace to Iraqi Airways has made good steps and they are now in the process of eliminating shortcomings and implementing the conditions,” transportation ministry spokesperson Maytham al-Safi told Rudaw. Safi said that Baghdad is cooperating with the International Air Transportation Association (IATA) to meet its standards and resolve shortcomings. One of the oldest airlines in the Middle East, Iraqi Airways, has been prohibited from operating in European Union airspace over safety violations since 2015. Iraq has sought to lift the ban by meeting with EU officials. Iraqi Airways has a poor reputation and has been stained by scandals in the past. In 2020, the Iraqi Civil Aviation Authority (ICAA) suspended a pilot after he allowed a female model to enter the cockpit mid-flight. In July 2018, two Iraqi pilots got into a physical fight over dinner while flying a Boeing 737 with 160 passengers on board. <br/>
Israeli leisure operator Israir is attributing an improvement in second-quarter profit to its investment in technology, which has helped offset the impact of the Gaza conflict. Israir’s second-quarter net profit reached just over $7m, a 44% improvement on the previous year, although its first-half net figure was down by 19% to $6.3m. Its results for the quarter – as well as the first half – are a “direct result of considerable investment in operational and commercial technologies”, it says. “This investment resulted in an increase in the average income for the segment and a particularly high income from the sale of ancillary products.” It adds that the reception of additional aircraft also contributed to the “sharp increase” in gross and operational profitability. Israir says it expects this profitability will continue to improve once the conflict, which began last October, ends. “In other words, the war is not a factor in improving the company’s results,” it stresses. Israir acknowledges that the conflict has caused a decline in competition, but states that it has affected its tourism business, and puts the impact for the second quarter at $2.5m.<br/>