JetBlue Planning Layoffs and Outsourcing Positions at Smaller Airports

JetBlue | June 17, 2020

An internal JetBlue Airways memo obtained by Business Insider details a plan for the airline to begin laying off workers on Oct. 1, 2020, and outsourcing some positions at smaller airports. The Oct. 1 date is key, not only for JetBlue but all U.S. carriers – it’s the day when airlines become unshackled from the provisions of accepting government grants and loans as part of the CARES Act stimulus package. The government stipulated that airlines who accepted the money must keep staffing at current levels through Sept. 30.

Spotlight

Were you with us at the Singapore Airlines Light Up The Night Carnival 2016? From the supercar convoy to aerial performances, get your adrenaline pumping as we gear up for the 2016 FORMULA 1 SINGAPORE AIRLINES SINGAPORE GRAND PRIX


Other News
AVIATION TECHNOLOGY

China Airlines and Boeing Announce Order for Four 777 Freighters

Boeing | January 27, 2022

Boeing [NYSE: BA] and China Airlines today announced the Taiwan flag carrier has ordered four 777 Freighters, adding to its extensive fleet of Boeing airplanes. Valued at $1.4 billion at list prices, the order will enable the airline to capture new market opportunities as global air cargo demand continues to grow. "The 777 Freighter has played a critical role in our efforts to maintain profitability during the pandemic, and these additional airplanes will be an integral part of our long-term growth strategy, We are excited to add more 777 Freighters due to their operational efficiency and reliability. Our fleet modernization program will enable us to deliver added value to our customers, especially as the global supply chain continues to evolve." -China Airlines Chairman Hsieh Su-Chien The 777 Freighter is the world's largest, most capable twin-engine Freighter. It has a range of 4,970 nautical miles (9,200 km) with a maximum revenue payload of 102 tonnes (224,900 lbs), while contributing to a 17% reduction in fuel use and CO2 emissions per tonne compared to prior generation airplanes. In addition, the 777F will allow China Airlines to make fewer stops on long-haul routes, further reducing associated landing fees and resulting in the lowest trip cost of any large freighter. "We are thrilled that China Airlines has again selected the 777 Freighter to serve as the backbone of its world-class air cargo fleet, The market-leading capabilities of the 777 Freighter provide added capacity, improved efficiency and greater value to China Airlines' customers, enabling the carrier to meet air cargo demand and position itself for long-term growth." -Ihssane Mounir, senior vice president of Commercial Sales and Marketing. In 2021, China Airlines' air cargo revenue was up 186% above the pre-pandemic year of 2019, which nearly balanced out a 96% drop in passenger revenue. Last year China Airlines Cargo recorded the best year in its history – over TWD 100 billion (USD $3.6 billion) in revenue – by leveraging its existing all-Boeing fleet of (18) 747-400 Freighters and (3) 777 Freighters. With (3) 777 Freighters already on order, China Airlines' 777 Freighter is the perfect complement to the airline's existing 747-400 Freighter fleet, seamlessly accommodating the 3-meter (10-foot) tall pallets and maximizing flexibility for its air cargo operations. As a leading global aerospace company, Boeing develops, manufactures and services commercial airplanes, defense products and space systems for customers in more than 150 countries. As a top U.S. exporter, the company leverages the talents of a global supplier base to advance economic opportunity, sustainability and community impact.

Read More

COMMERCIAL AVIATION

Volaris Reports January 2022 Traffic Results: 45% YoY demand growth with an 81% Load Factor

Volaris | February 04, 2022

Volaris (the "Company") (NYSE: VLRS and BMV: VOLAR), the ultra-low-cost airline serving Mexico, the United States, Central and South America reports its January 2022 preliminary traffic results. Considering the consistent recovery in its markets, Volaris will no longer include comparisons to 2019 performance. In January, Volaris' capacity (measured in ASMs) increased 32.2% YoY, while demand (measured in RPMs) was up a strong 45.4% YoY. This drove a 7.4 pp YoY increase in load factor to 81.3%. In the month, Volaris transported 2.3 million passengers, representing a 48.7% increase YoY. While demand remained strong in the month, in response to the Omicron variant, Volaris reduced its ASMs 1.5% as compared to December 2021. Considering January's reported figures and the capacity currently on sale for February and March, consolidated ASMs for the first quarter of 2022 are expected to remain flat as compared to the fourth quarter of 2021, implying around 50% ASM growth versus the first quarter of 2021. We believe that this closely matches the demand trends that we are seeing in our markets. "Volaris started the year with solid traffic results, stimulating demand in our core leisure and VFR markets while carefully managing capacity in response to Omicron. Equally important, we fulfilled our commitment to Volaris' customers and maintained high schedule reliability despite industry-wide operational issues triggered by the Omicron variant." -Volaris' President and CEO Enrique Beltranena About Volaris: Controladora Vuela Compañía de Aviación, S.A.B. de C.V. ("Volaris" or the "Company") (NYSE: VLRS and BMV: VOLAR), is an ultra-low-cost carrier, with point-to-point operations, serving Mexico, the United States, Central and South America. Volaris offers low base fares to build its market, providing quality service and extensive customer choice. Since the beginning of operations in March 2006, Volaris has increased its routes from 5 to more than 185 and its fleet from 4 to 102 aircraft. Volaris offers more than 510 daily flight segments on routes that connect 43 cities in Mexico and 27 cities in the United States, Central and South America with one of the youngest fleet in Mexico. Volaris targets passengers who are visiting friends and relatives, cost-conscious business and leisure travelers in Mexico, the United States, Central and South America. Volaris has received the ESR Award for Social Corporate Responsibility for eleven consecutive years.

Read More

BUSINESS AVIATION

Aviation Capital Group Announces Financing of Two Airbus A321neo LR Aircraft for TAP Air Portugal

Aviation Capital Group | April 13, 2022

Aviation Capital Group LLC (“ACG”) announced today the secured financing of two Airbus A321neo LR aircraft for TAP Air Portugal (“TAP”). This financing marks the fifth use by ACG’s Aircraft Financing Solutions (“AFS”) program of its $650 million secured funding facility. This allowed ACG to provide a senior secured loan to TAP and to partner with Novus Aviation Capital (“Novus”), who provided complementary mezzanine financing. Together, ACG and Novus were able to offer TAP an attractive and comprehensive financing solution. “ACG is grateful to have had the opportunity to work with TAP and Novus on this financing. We were able to draw upon our established relationship with Novus to effectively meld the senior and junior loans and to provide TAP with timely and efficient financing. Moreover, we were finally able to bring to fruition ACG’s long held desire to work with TAP again,” said Andrew Falk, Managing Director of ACG. “We are delighted to complete this transaction with both ACG and TAP, continuing to support an existing airline customer. Not only are we building on our relationship with this additional financing for TAP, but we are also very proud to have a strong foundation with ACG that will allow both parties to collaborate on future opportunities. This debt structure is an attractive value proposition and the combination of asset type and stakeholders involved makes it appealing for both Novus and Tamweel Aviation Finance, one of the industry’s leading mezzanine loan providers.” Mamoun Kuzbari, Chief Commercial Officer, Novus Aviation Capital “TAP is very pleased to work with ACG and Novus on this financing and we are very confident that these two additional A321neo LR aircraft that are joining our fleet, already one of the youngest and most efficient in the world, will contribute to the success of our airline,” said Gonçalo Pires, Chief Financial Officer of TAP Air Portugal. About Aviation Capital Group Aviation Capital Group was founded in 1989 and is one of the world’s premier full-service aircraft asset managers with over 440 owned, managed and committed aircraft as of December 31, 2021, which are leased to approximately 90 airlines in approximately 45 countries. ACG is a wholly owned subsidiary of Tokyo Century Corporation.

Read More

BUSINESS AVIATION

AirAsia Orders Vertical Aerospace’s Electric Aircraft From Avolon

Vertical Aerospace | February 19, 2022

Vertical Aerospace (Vertical) [NYSE: EVTL] notes Avolon’s announcement today that it will partner with AirAsia Aviation Group Ltd (AirAsia), Asia’s leading low-cost airline, to create a transformational ride sharing platform in Southeast Asia, including a non-binding memorandum of understanding to lease a minimum of 100 VX4s, Vertical’s flagship electric aircraft. As announced in June 2021, Avolon, the world’s second largest aircraft lessor, pre-ordered 500 VX4s from Vertical to place with its global airline customers. This endorsement of the VX4 by AirAsia represents the aircraft’s first expansion into Southeast Asia. With today’s announcement Avolon has now placed 450 of its VX4 pre-order to AirAsia, Japan’s JAL and Brazil’s Gol. Together, these airlines form a growing global community of transport operators that have ordered the VX4. Vertical has directly agreed pre-orders or pre-order options with the likes of American Airlines, Avolon, Virgin Atlantic, Iberojet, Bristow Group and Marubeni resulting in a market-leading pre-order book by value totaling up to 1350 aircraft with a value of $5.4 bn. The VX4 is a piloted four-passenger, zero operating emissions electric aircraft that is projected to fly at speeds of up to 200mph, over a 100-mile range. The VX4 is expected to be near silent when in flight, and with a low cost per passenger mile, it will be an affordable option for passengers with a cost at a slight premium to a taxi. AirAsia’s leasing arrangement through Avolon is the first placement or pre-order since Vertical listed on the NYSE in December 2021 "We are delighted that AirAsia is the latest leading airline committing to lease our zero operating emissions VX4 aircraft. AirAsia provides many fantastic opportunities to travel around some of the most beautiful and diverse countries in the world, and I am thrilled that we will be bringing zero emissions flight to people all across Asia." -Stephen Fitzpatrick, CEO Vertical Aerospace “Tony Fernandes is an aviation pioneer who has built AirAsia into one of the leading airlines in the world and has now also created Southeast Asia’s fastest growing Super App anchored on travel. We are delighted to partner with AirAsia who share our vision of revolutionising the future of air travel. We look forward to working with Tony, and the AirAsia team, on their eVTOL journey. Together we will develop a ride sharing platform and bring the zero-emissions VX4 aircraft into service, positioning AirAsia as the operator of choice for sustainable air travel in the region.” -Dómhnal Slattery, Avolon CEO Last week, Vertical announced that Leonardo (BIT: LDO) would join its blue-chip partner ecosystem of aerospace, engineering and technology companies that Vertical has created to develop the VX4, and in so doing de-risk operational execution, pathway to certification and allowing for a lean cost structure that will enable production at scale. The partner ecosystem includes Rolls-Royce (LON: RR), Microsoft (NASDAQ: MSFT), Honeywell (LON: HON), GKN, Solvay and Leonardo. About Vertical Aerospace Vertical Aerospace is pioneering electric aviation. The company was founded in 2016 by Stephen Fitzpatrick, an established entrepreneur best known as the founder of the Ovo Group, a leading energy and technology group and Europe’s largest independent energy retailer. Over the past five years, Vertical has focused on building the most experienced and senior team in the eVTOL industry, who have over 1,700 combined years of engineering experience, and have certified and supported over 30 different civil and military aircraft and propulsion systems. Vertical’s top-tier partner ecosystem is expected to de-risk operational execution and its pathway to certification allows for a lean cost structure and enables production at scale. Vertical has a market-leading pre-order book (by value) for a total of up to 1,350 aircraft from American Airlines, Avolon, Bristow and Iberojet, which includes conditional pre-order options from Virgin Atlantic and Marubeni, and in doing so, is creating multiple potential near term and actionable routes to market. About VX4 eVTOL Aircraft The four passenger, one pilot VX4 is projected to have speeds up to 200mph, a range over 100 miles, near silent when in flight, zero operating emissions and low cost per passenger mile. The VX4 is expected to open up advanced air mobility to a whole new range of passengers and transform how we travel. Find out more: vertical-aerospace.com

Read More

Spotlight

Were you with us at the Singapore Airlines Light Up The Night Carnival 2016? From the supercar convoy to aerial performances, get your adrenaline pumping as we gear up for the 2016 FORMULA 1 SINGAPORE AIRLINES SINGAPORE GRAND PRIX

Resources