standard

The elusive Asean open skies dream

Still waiting. Asean Open Skies, or more formally known as the Asean Single Aviation Market (Asean-SAM), continues to be an elusive dream for the 10-nation bloc as members renewed their commitment at this year’s Asean meeting of their leaders in Kuala Lumpur. Asean, which stands for Association of Southeast Asian Nations, is made up of […]

Read More
standard

International Airlines Group partnership works

The success of International Airlines Group (IAG) in the last two to three years is proof that its strategic partnership works. The group, made up originally of British Airways (BA) and Spanish carrier Iberia and subsequently Vueling which is a budget operator, was joined by Aer Lingus in August this year. Excluding Aer Lingus, IAG […]

Read More
standard

The quiet rebirth of Iberia

Iberia a Europe-Latin America specialist Iberia’s employee cost falls from 30% of revenue in 2012 to 24.2% Iberia needs A350-1000 more than BA for hot & high missions Iberia’s Madrid hub well placed to capture North Asia-LatAm spillover demand from Heathrow Iberia’s Madrid routings on North Asia-LatAm competitive with Middle Eastern hubs Madrid commands 60.3% & […]

Read More
standard

Qatar Airways nets a prized catch, expanding westwards

It may seem somewhat crazy, but it is definitely not surprising in today’s aviation landscape of fast changing and crisscrossed relationships, some of them making most unlikely bedfellows. The ends justify the means. Qatar Airways has acquired a 10% stake in International Airlines Group (IAG), better known as the owner of British Airways (BA) and […]

Read More
standard

Europe’s aviation challenges

Hope of Europe-based airlines bouncing back into good times on the back of an improved economy is not turning out to be as expected. Much of the good news reported last year seems to be short-lived. Air France-KLM is among the airlines that have issued profit warnings, even though it expects higher earnings compared with […]

Read More
standard

IAG’s performance augurs well for industry

While Ryanair paints a gloomy picture of the future of aviation out of London, warning that the market will soften resulting in dip of profits despite expected falls in fares, British Airways (BA) all but dispels that as a myth. International Airlines Group (IAG) chief executive Willie Walsh even went as far as suggesting that it was a publicity ploy

Read More
standard

It’s the age of mega carriers: Will Air France-KLM raise its stake in ailing Alitalia?

Alitalia is fighting bankruptcy as its shareholders initiate efforts to raise funds in light of its main fuel supplier threatening to cut off supply. The Italian postal service will contribute €75 million (US$101.6 million) to the rescue package of €500 million.

Meanwhile, Air France-KLM – already the biggest shareholder of the beleaguered airline – waits to see if it should increase,

Read More
standard

Airbus is still name of the game

It is no surprise when the European Aeronautic, Defence & Space Co. (EADS) announced on 31st July that it will be renamed as the Airbus Group beginning January 1st, 2014, given the world’s second-largest plane-maker accounted for 71.9% of EADS’s €26.3 billion 2013 first-half revenue and 73.7% of EADS’s earnings before interest and tax (EBIT) of €1.48 billion.

But beneath the

Read More
standard

Singapore Airlines disappoints

Singapore Airlines (SIA) prefaced its report on its annual performance for FY2012/13 with attribution to high fuel prices and lower yields owing to a weak global economy for its lacklustre results. The announcement concluded with an equally dismal outlook, saying very much the same thing, warning that “the global economic outlook remains uncertain with the ongoing weakness in the eurozone

Read More
Image Courtesy of British Airways
standard

International Airlines Group entering a new dawn in 2013

It could have been much worse. International Airlines Group (IAG), formed by the merger between British and Spanish flag carriers British Airways and Iberia, posted a €997 million (US$1.29 billion) 2012 before-tax loss, dragged down by a €343 million impairment charge against the intangible assets and a €202 million transformation cost at the beleaguered Iberia unit.

Amid a moribund Spanish economy

Read More