unaligned

Southwest Airlines must face a lawsuit accusing the carrier of illegally intimidating and disciplining pilots who participate in its more than 9,000-member pilots union, a federal appeals court ruled on Monday. In a 3-0 decision, the 5th U.S. Circuit Court of Appeals said the Southwest Airlines Pilots Association sufficiently pleaded that the Dallas-based carrier had "anti-union animus" to allow the dispute to proceed in federal court. A lower court judge had ruled that the dispute was minor and therefore belonged in arbitration. The case stemmed from Southwest's decision to strip Timothy Roebling of his responsibilities and pay as a "check pilot," a special group of about 300 pilots who work closely with management and train other pilots. Southwest ostensibly cited Roebling's use of a vulgarity to justify the discipline, but the union said it resulted from his decision to join the union's check pilot committee. Writing for the New Orleans-based appeals court panel, Chief Judge Jennifer Walker Elrod agreed with the lower court judge that the dispute was a minor matter under the federal Railway Labor Act. But she said accusations that Southwest made check pilots fearful of retaliation for associating with the union, and that Roebling's boss threatened to strip him of his qualifications, made this case different.<br/>

The ongoing labor strike at Boeing (BA) is beginning to tax its biggest airline customers. As the labor dispute between Boeing and the International Association of Machinists (IAM) union enters its seventh week, airline executives are eager for updates. "Boeing has been a great partner for the whole 53 years of Southwest Airlines," Southwest Airlines CEO Bob Jordan told Yahoo Finance on Monday. "But we need Boeing to be strong. We need Boeing to be better." Negotiations between Boeing and IAM have halted production for Boeing's most profitable large plane orders, leaving Southwest (LUV) waiting for aircraft. Southwest exclusively uses Boeing planes in its fleet. "We started the year expecting more than 80 aircraft, and we'll get 20 this year," Jordan said. "And with the strike lingering on, you know, it looks like 2025 could be affected as well." The stoppage has forced airlines to update their flight schedules and increase maintenance to maximize the longevity of their existing fleets. Jordan said that Southwest planned for the strike to last four to six weeks. As the strike continues beyond that timeline, he continued, it's likely to put pressure on the airline going into next year. “I've been in close contact with Boeing, including over the weekend," Jordan said. "And again, I'm looking forward to them getting back on track and becoming reliable in terms of the deliveries because at the heart of an airline is the flight schedule, and the flight schedule depends on getting your aircraft on time."<br/>

A faulty fan unit likely contributed to a brake fire and a “huge screen of smoke” that trailed a Frontier Airlines-operated Airbus A321 upon landing in Las Vegas earlier this month. That is according to a 28 October preliminary report by the US National Transportation Safety Board (NTSB), which details investigators’ findings of the 5 October incident at Harry Reid International airport. Operating as flight 1326 from San Diego, the A321’s pilots were alerted by flight attendants to an unusual smell in the forward section of the aircraft as they prepared to descend into Las Vegas. ”The cabin crew described the odour as a chemical smell that was difficult to identify, and were unable to determine its source,” the NTSB says. ”Shortly thereafter, the captain and first officer detected an odour in the cockpit, which they initially described as chemical and acrid in nature, or mildew-like.” Soon, the smell became stronger and resembled ”burning rubber and/or petroleum products, such as plastics”, the pilots said. Donning oxygen masks, the pilots initiated a check-list in their quick reference handbook (QRH), noting that no smoke was visible in the cockpit and confirming with flight attendants that smoke was not visible within the cabin, though the “odour persisted”. At 14:51 Las Vegas time, the first officer declared an emergency with air traffic control (ATC) and requested a descent into Las Vegas. Aircraft systems degraded as the pilots proceeded through their QRH check-list, as they noticed autopilot and autothrottle features became unavailable. The first officer later said it was unclear whether these losses were the result of a possible fire or systems isolations performed as part of the check-list.<br/>

Azul has reached a deal with its bondholders to obtain additional financing of up to $500m, the Brazilian airline said on Monday, as part of restructuring it expects to ease market concerns about its debt load. Azul, which dominates Brazil's airline industry along with LATAM and Gol, has managed to avoid the fate of a number of Latin American carriers who filed for bankruptcy after the COVID-19 pandemic, including its two main rivals. Sao Paulo-traded shares of the company soared more than 10% after the deal was announced, making them the top gainers in Brazil's benchmark stock index Bovespa, which was up 0.8%. The announcement comes after Reuters reported last week, citing sources, that Azul was in talks with multiple parties - including its bondholders and lender Jefferies - to raise about $400m in fresh capital via debt financing, and an agreement was near. The fresh capital was a condition of Azul's recent deal with lessors to scrap nearly $550m in obligations in exchange for an equity stake of around 20% of the firm, which analysts see as fundamental to strengthen the airline's cash position. "We expect a positive market reaction as the announced terms have ruled out Chapter 11 proceedings," Bradesco BBI analysts said in a note to clients. Under the deal with bondholders, the carrier said in a securities filing it will receive $150m this week and another $250m by year end in fresh debt, totaling $400m which it had been targeting.<br/>

Grupo Aeromexico SAB sold $1.1b of bonds via international markets Monday that the air carrier will use to refinance debt due in the coming years. Aeromexico issued $500m of five-year notes and $610m of seven-year securities, according to data compiled by Bloomberg. Proceeds will be used in part to pay down $663m in senior secured notes due in 2027, the company said in a statement. The 2029 notes priced to yield 8.25%, while the 2031 bonds yielded 8.625%, tighter than initial guidance. Barclays was the sole bookrunner for the deal. The airline has increased its profits since emerging from bankruptcy protection in 2022, enabling it to file for a US initial public offering earlier this year. Moody’s Ratings raised its credit grade on Aeromexico to Ba3 from B2 on Monday after the bond offer was announced, placing the same rating on the new notes, and changed its outlook to positive from stable. “Given its strong operating performance that has been exceeding our expectations since 2022, Aeromexico will manage the additional indebtedness,” wrote Sandra Beltran, a senior analyst at Moody’s.<br/>

LATAM Airlines Group has ordered ten more Boeing 787 Dreamliner aircraft, with options to acquire additional widebody jets. The Santiago-based carrier said on 28 October that the new order brings to 120 the number of aircraft it has on order with delivery dates scheduled through 2030, “consolidating itself as the largest Boeing 787 operator in Latin America”. It does not specify how many of the aircraft will be -8s and how many will be -9s. By the end of the decade, the company expects to be operating 52 of the type, double the number it operated prior to the Covid-19 pandemic.The airline will take delivery of its next two new Boeing 787s next year. “The Boeing 787 is an aircraft that stands out for its efficiency and versatility and that allows the group to continue growing sustainably, reducing its carbon footprint while boosting the growth of its operations,” says LATAM Airlines Group CFO Ramiro Alfonsin. “This order will allow the group to continue its growth internationally, with deliveries committed from 2025 to the end of the decade.” Currently, the group operates 37 Boeing 787s. “We value LATAM’s continued confidence in the 787 Dreamliner family to continue expanding its international network from hubs in Santiago, Sao Paulo and Lima,” says Mike Wilson, vice-president of sales for Latin America and the Caribbean at Boeing. All told, the group operates 341 aircraft, of which 57 are Boeing-manufactured – 767, 777 and 787 models – and 263 Airbus narrowbody aircraft – A319, A320, A320neo, A321 and A321neo models. In addition, LATAM Cargo Group and its subsidiaries have 22 cargo aircraft.<br/>

Georgina Villeneuve says the humiliation still stings when she thinks about being forced off a Porter plane last month. She was threatened by a flight attendant and berated by another passenger — all over her 20 pound service dog sleeping at her feet. "For a week I cried nonstop … [I] don't like to create scenes," the Edmonton woman told Go Public. Villeneuve lost most of her hearing a few years ago after a viral infection. She says she can't hear out of her right ear and has less than 15% hearing in her left, so she mainly communicates by reading lips. She relies on her service dog, Maggie, to alert her to dangers or sounds she needs to be aware of. Maggie also helps with Villeneuve's lack of balance caused by her hearing loss. But as a Porter plane bound for Edmonton waited in line to taxi down a Toronto runway in September, a flight attendant ordered Villeneuve to put her service dog under the seat in front of her — a direct violation of both Porter and Canadian Transportation Agency rules because it can injure the animal and interfere with the dog's ability to help its disabled owner. "She said to me … 'It's like this. That dog goes under the seat or we're turning the plane around … and we're going to remove you from the flight.'" Villeneuve had done everything she was supposed to do in order to bring a service animal on a flight. She even tried showing the flight attendant Porter's own rules posted on the airline's website — but the crew member wouldn't drop her demand.<br/>

Wet-lease specialist SmartLynx Airlines has secured broader authorisation to conduct US operations, with approval of its Latvian division. SmartLynx has operated US services under its Maltese air operator’s certificate since 2019. But the US FAA has since conducted an audit of the Latvian air transport regulator. SmartLynx says that, following this audit, the FAA has granted the carrier foreign air transport operator certification. “This step allows us to expand our operations and gives more flexibility,” says CE Edvinas Demenius, pointing out that a third of its fleet is on the Latvian registry. “The USA is the biggest and one of the most-regulated aviation markets in the world, and being able to provide our services there brings a lot of value to the airline and boosts our competitiveness.” Its Latvian division will be able to serve US destinations and operate flights on behalf of US carriers. The division primarily uses Airbus single-aisle types including the A321 freighter.<br/>

Airlines in the Asia-Pacific continued to see buoyant international demand during September but face several vexing issues. September saw airlines in the region carry 29.2m international passengers, up 18.8% from a year earlier, according to the Association of Asia Pacific Airlines. International ASKs rose 18.7% from a year earlier, as RPKs rose 19.3%. Load factors also improved, rising 0.4 percentage points to 80.5%. The AAPA attributes the “healthy growth” to strong consumer and business demand. “Asian airlines have seen robust growth in travel markets this year,” says AAPA director general Subhas Menon. “Leisure demand remained buoyant, driving increases in tourist arrivals across the region. Meanwhile, business travel was underpinned by the region’s growing economies.” He warns, however, that the operational environment is far from benign, with several challenges beyond airlines’ control. “The global economy is expected to grow by 3.2% this year and in 2025, supporting expansion in both travel and air cargo markets,” says Menon. “However, this may be undermined by uncertainties stemming from increasing geopolitical risks and rising trade protectionism. Although the overall decline in jet fuel prices this year has helped to moderate rising costs, airlines continue to face challenges in fleet renewal and network growth, due to ongoing supply chain disruptions and aircraft delivery delays.”<br/>

India’s largest airline IndiGo said it’s past the worst of its aircraft-grounding woes and domestic demand for air travel is growing. “We’ve turned the corner,” CEO Pieter Elbers said in an interview with Bloomberg Television on Tuesday. The number of planes kept on the ground due to issues with Pratt & Whitney engines should fall to less than 50 by March 2025, down from a peak of more than 70, he said. IndiGo is operated by InterGlobe Aviation Ltd. The airline in recent days posted a surprise loss, its first in two years, weighed down by a higher fuel bill and a rise in maintenance costs. Elbers said he expects a “very positive” peak travel season in India and that there’s a “healthy growth pattern” in bookings. “We see very positive momentum again,” he said. <br/>

AirAsia will begin imposing a mandatory carbon fee on all passengers starting Jan 1, 2025, says Anthony Loke. The Transport Minister said this would mark a significant step in ensuring greater accountability and transparency in the aviation industry as Malaysia takes measures to combat carbon emissions. Loke made the statement in a written parliamentary reply to Jerantut MP Khairil Nizam Khirudin, who had inquired about the recent amendments to the Malaysian Aviation Consumer Protection Code 2016 (MACPC) and the current status of carbon fee collections introduced earlier this year. “The Malaysian Aviation Commission (Mavcom) has strengthened the MACPC to provide better protection for consumers, including the imposition of carbon levies. “The Malaysian Aviation Consumer Protection Code (Amendment) 2024 was gazetted on Aug 30, 2024 and came into effect on Sept 1, 2024,” Loke said. The amendments include several key provisions aimed at increasing transparency and accountability for airlines. Loke highlighted that airlines are now required to publish all-inclusive ticket prices when advertising, which must incorporate any carbon fees or charges imposed on passengers.<br/>