AIRLINE NEWS.

Position:Overview of Airlines - Industry Overview
 
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Aer Lingus will launch new routes from Dublin to Liverpool, Las Palmas, Lanzarote and Budapest at the end of Oct., bringing to 17 the number of routes introduced this year. The airline will operate a daily service to Liverpool, while flights to Budapest will operate four days a week and those to Lanzarote and Las Palmas will be weekly. Jul 2, 2004

Aeroflot is expected to announce today an invitation to suppliers to tender offers for the supply of 50 regional aircraft in the 75/100-seat category. Separately, Sibir is expected to make an announcement regarding a regional jet purchase in the next two weeks. Jul 2, 2004

Aerolineas Galapagos took delivery of the first of two ex-Air Malta 737- 200s. The operating lease is provided by Amtec Corp. and the transaction was arranged by Sigma Aircraft Management. Jul 2, 2004

In the first six months of 2004, Air Berlin transported 5.4 million passengers, up 39% versus 2003, while load factor rose 1.5 points to 77.5%. Turnover increased 24.2% to eur453 million ($550.9 million). For the full year it expects to carry around 11.6 million passengers and post turnover of eur1 billion. Jul 2, 2004

Air Berlin may split its planned order for up to 70 aircraft between Airbus and Boeing and a decision could come at this month's Farnborough Air Show. Deliveries would begin in late 2005 or early 2006, which is around the same time that many of Air Berlin's 43 737s begin coming off lease. It also operates two F100s and two BAe 146s. "I can imagine having two separate fleets in the future. Air Berlin has reached a size now where outsourcing, like maintenance, gives us new opportunities. We like to take advantage of market opportunities like this, as well as attractive leasing rates," Managing Partner Joachim Hunold said. The airline plans to extend its network from Germany to Prague, Paris Orly and Scandinavia next year. It is operating a hub in Palma de Mallorca with 240 weekly flights and around 60% of its business comes from routes to and within Spain. The carrier wants to increase Spanish domestic flights and Hunold did not rule out the possibility of establishing a hub on the Iberian Peninsula. Jul 2, 2004

Air Berlin will start an alliance with the charter carrier from travel company TUI, Hapag-Lloyd Flug, by Nov. 2004. The airlines plan to operate 300 codeshare flights a week and will coordinate their schedules from four airports--Nurnberg, Stuttgart, Munich and Palma de Mallorca-- where both have a strong presence. Hapag-Lloyd Flug will concentrate on routes to Egypt and the Spanish Canary Islands while Air Berlin will focus on flights to the Spanish mainland, the Balearic Islands and Portugal. Both carriers hope to increase their load factors through the alliance. Jul 20, 2004

Air Canada this week launched three weekly nonstop flights between Toronto and Bogota and between Toronto and Caracas. In addition, AC recently boosted its service to Santiago and Buenos Aires from three to four weekly flights. Jul 1, 2004

Air Canada took delivery of its first A340-500 on June 29 2004. Jul 1, 2004

Air France and Air Europa agreed to expand their codeshare agreement to include new flights between France and Spain. AF flights between Bordeaux, Lyon, Toulouse and Madrid, between Bordeaux, Lyon and Barcelona and between Paris CDG2 and Vigo now are operated under the AF and UX codes. In addition, flights between Madrid and Paris Orly as well as three daily CDG2-Barcelona flights are operated under the UX and AF codes, bringing the total number of AF/Air Europa weekly flights between France and Spain to 680. The Spanish airline currently is negotiating to join the SkyTeam alliance as an associate member. Jul 7, 2004

Air New Zealand began three weekly flights between Auckland and San Francisco using a 392 seat 747-400. Jul 1, 2004

Air Wisconsin announced a restructuring of its senior leadership. Executive VPs and Directors William Jordan and Pat Thompson will become vice chairmen and remove themselves from the day-to-day operation of the company. Chairman, President and CEO Geoff Crowley will retain those titles but along with Thompson and Jordan will focus on long-term strategic and policy issues, the company said. Doug Horn, AWAC's current senior VP-customer service, will assume the role of executive VP and COO. Jul 2, 2004

AirAsia will add several key tourist destinations to its network next month. Beginning Aug. 5 2004, the carrier will launch service from Kuala Lumpur to Bali. On Aug. 27 it will begin direct Kuala Lumpur-Medan flights. Separately, Thai AirAsia, an affiliate of AirAsia, launched daily nonstop service between Bangkok and Macau. Jul 9, 2004

AirTran Airways completed construction of its first maintenance hangar at Hartsfield-Jackson Atlanta International Airport. The hangar is 65 ft. tall and can fit two of the airline's new 737-700s parked wing-to- wing. The structure also houses more than 76,000 sq. ft. of work space and features a computerized atmosphere control system. Jul 1, 2004

AirTran Airways began two daily nonstop flights between Dallas/Ft. Worth and Los Angeles. Jul 2, 2004

Alaska Airlines celebrated the opening of its new state-of-the-art Concourse C at Anchorage. Jul 1, 2004

Alaska Airlines was selected by the US Dept. of Transportation to provide twice-weekly service between Anchorage and Adak. To help offset the cost of the service, the airline said it will receive an annual federal subsidy of $1.6 million through 2006. It has been providing service to Adak since April 2003. Jul 20, 2004

American Eagle will begin flying between Dallas/Fort Worth and Torreon, one of Mexico's leading business and industrial centers, on Aug. 1, with one daily nonstop flight each way using 50-seat Embraer EMB-145 jets. The flight will provide convenient connections at DFW to and from dozens of destinations throughout American's route network. American Eagle is offering special introductory fares to Torreon from select U.S. cities ranging from $258 to $358 roundtrip, effective for travel Aug. 1 through Sept. 15 (special fares must be purchased no later than Aug. 31). From Aug. 1 through Oct. 31, the airline is also offering double Aadvantage frequent-flyer miles for travel on the new route. Jul 14, 2004

ATA Airlines flightdeck crewmembers, represented by the Air Line Pilots Assn., ratified concession and new equipment letters of agreement to their current collective bargaining agreement. Roughly 72% of the 896 crewmembers voted in favor of the deal. The amendments to the existing contract will save the company approximately $43 million over the next two years, according to the airline. A new contract amendable date extends the term of the current agreement by one year to 2007. In addition, the amendment includes a new competitive pay scale for a proposed 110-seat aircraft the company is contemplating acquiring in the next 12 months, ATA said. Jul 2, 2004

ATA Airlines will launch service between Dallas/Ft. Worth and Indianapolis Oct. 1 2004. The carrier will operate one daily morning flight except Saturdays and one daily evening flight on the route. It will add two daily flights on the New York LaGuardia-Indianapolis route and one daily nonstop flight between Indianapolis and Los Angeles. It also will launch morning daily (except Sundays) and evening daily (except Saturdays) flights between Chicago Midway and Indianapolis. Jul 21, 2004

AWAS delivered a 737-300 to Spanish airline Air Plus Comet. With the delivery, AWAS now has aircraft on lease to six Spanish and Portuguese carriers. Jul 1, 2004

bmi intends to fly to Las Vegas from Manchester, beginning Oct. 31. It will offer special introductory fares starting at $499 roundtrip good for travel Oct. 31 through Dec. 16. Tickets must be purchased by Aug. 19. It will operate three times a week, on Tuesdays, Thursdays and Sundays, from Las Vegas and will arrive in Manchester the following morning. The airline said the flights are timed to make convenient connections to Heathrow, as well as Aberdeen, Edinburgh and Glasgow, Scotland. bmi uses the 244-passenger A330 aircraft for the route, configured for business, new economy and economy. Jul 19, 2004

Bmi will launch Oct. 31 2004 three weekly flights between Las Vegas and Manchester, UK. Jul 20, 2004

Boeing announced to media in London that it has secured 140 additional orders for 7E7s from 20 airlines, although to date it only has identified four customers for the new aircraft: All Nippon Airways (50), Air New Zealand (two), First Choice (six) and Blue Panorama (four). With this year's Farnborough Air Show just days away, speculation is building about two sales campaigns at Asia/Pacific carriers in which Boeing is believed to have a leg up. Singapore Airlines and Cathay Pacific Airways both are looking to replace and/or supplement their 747-400 fleets and are thought to be close to announcing orders. The conjecture is that SIA will order 777-300ERs and dash 200LRs to replace its 747-400s and A340- 500s. It also is understood to be a launch customer for the 7E7 and has paid a refundable deposit on up to 20, insiders close to the deal said. Boeing declined to comment. Meanwhile, Cathay is thought to favor the 777-300ER to replace its leased A340-600s. In addition, Cathay and Qantas have been searching for at least a dozen secondhand 747s to handle traffic growth but the quest is proving to be difficult. Qantas now is believed to be looking at new 777-300ERs as a better investment. Jul 16, 2004

British Airways will shift its flights from the Berry Terminal to the McNamara Terminal at Detroit Metro Airport July 8 2004. BA currently operates daily 777 service between Detroit and London Heathrow. Jul 1, 2004

CanJet will launch fall and winter service to Orlando, St. Petersburg- Clearwater, Sarasota Bradenton and West Palm Beach. The new flights will begin Oct. 9 and 10 2004, three weeks earlier than in 2003. Jul 13, 2004

Caribbean Star Airlines has announced an agreement allowing...

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