2012 was a significant year for Singapore Airlines (SIA) which saw the Singaporean flag carrier embark on a shift in strategy in reinvesting in its namesake unit alongside strengthening its strategic partnership with Virgin Australia by acquiring a 10% stake in a carrier well positioned in one of SIA’s most important core markets, in addition to the sale of its 49% stake in United Kingdom carrier Virgin Atlantic. These moves, coupled …Read More
Tag Archives: 737 MAX 8
Virgin Australia’s acquisition spree strengthens foundation for growth
It is “game on”, indeed. Following successfully achieving the 20% corporate market share earlier than originally envisaged which saw the increasingly stiff competition in the lucrative business travel market pushing down domestic business fares to an unprecedented low level since the collapse of Ansett Australia in September 2001, Brisbane-based Virgin Australia did not stand still. Neither did its aspirations stop soaring when Australia’s second-largest carrier recorded a 113% increase in …Read More
Qantas/Emirates partnership to reshape competitive landscape
The full-year FY2011/12 financial results of Australian flag carrier Qantas Airways paint of a bleak picture, as the flying kangaroo posted its first after-tax loss of A$244 million (US$254.8 million) since its privatisation in 1995, amid record high jet fuel prices and intense competition from Gulf carriers on the lucrative Australia-Europe, or “kangaroo route”. In response, Qantas cancelled its firm order for 35 Boeing 787-9 Dreamliners in order to rein …Read More
Boeing 737 MAX ups the ante in dogfight with A320neo
At last year’s Paris Air Show, there were blue skies and the airline industry managed to stay relatively healthy despite soaring oil prices and an anaemic global economic recovery, with a year-end industry-wide profit of US$7.9 billion, according to Geneva-based industry body International Air Transport Association (IATA). Fast forward 12 months and the global economy was in a very different shape. Having gone through the fear of contagion in the …Read More
The showdown in re-engined narrowbody battle begins
As the global economy takes a turn for the worse with weakening passenger yields and a cargo doldrum significantly hurting airlines’ bottom line, there is little visibility beyond the runway, let alone leaping into the unknown by spending billions of dollars on hundreds of shiny new metals that are not going to be delivered five to six years from now, if not longer. It is against this backdrop that the …Read More
Boeing 737 MAX dual-feather winglet teleconference highlights
Beverly Wyse, Boeing 737 programme vice president (VP) & general manager (GM) - This kind of improvement is consistent with our demonstrated performance on delivering increasing value to our customers on-time throughout the life of the programme. - Since entry into service on the 737, we continue to improve the Next-Generation aircraft for our customers, including anything like carbon brakes and the passenger-preferred Boeing Sky Interior. - We also continue …Read More
Boeing posts strong 2012 first-quarter results
Chicago-based Boeing, the world’s largest aerospace company, posted an exceptionally strong first-quarter results which beat Wall Street analysts’ forecast and saw its net income for the quarter soaring by a staggering 58% from US$586 million a year ago to US$923 million this year. The better-than-expected results came as the company recorded a US$0.11 per share positive impact from the release of a litigation reserve, a remarkable quarterly performance from its …Read More
Southwest Airlines faces challenges in AirTran integration
When Southwest Airlines reported its traffic results for December earlier this month, the results once again reflected a recurrent paradox in the US airline industry. Southwest Airlines, which was once the industry’s low-fare leader, recorded unit revenue gains of 7%-8%, its 15th straight month with a unit revenue increase of more than 5%. The carrier achieved these revenue gains despite a 1.8% higher capacity and a 0.3% drop in traffic as …Read More