Atlas Air net profit down two thirds
Atlas Air Worldwide Holdings Inc reported that net income totalled USD10.5 million in 1Q2011, down 69% from USD33.8 million in 1Q2010. The fall is reportedly due to an increase in maintenance and fuel expenses.
The company stood by a prior forecast calling for full-year profit better than USD5.30 a share. Atlas Air expects to receive three B747-8F aircraft in 4Q2011, but added it has not yet established a final delivery schedule agreement with Boeing.
WestJet has announced it is "pleased" that the market has absorbed the fare increases put in place to offset rising fuel costs. The carrier raised fares four times in 1Q2011. However, CEO Gregg Saretsky said he does not expect further fares increases to be absorbed and is carefully monitoring both demand and the impact of fare increases. WestJet's board of directors declared a cash dividend of CAD0.05 per common voting share and variable voting share for 2Q2011.
The carrier is anticipating "strong" year-on-year RASM growth in 2Q2011 although Mr Saretsky stated he "wouldn't expect to see RASM increases on the order of the magnitude that we've seen so far this year". RASM increased 12.1% in 1Q2011. On a cost side, WestJet is expected fuel costs, excluding hedging, in 2Q2011 to range between CAD0.95 and CAD0.98 cents per litre. For 1H2011, WestJet is expecting cost per available seat mile (CASM), excluding fuel and employee profit share, to be relatively flat on a year-over-year basis compared with the first half of 2010.
LAN Airlines CEO Alejandro de la Fuente stated the carrier expects to receive five B787-8s in 2012, one in May, another in June and another three in the fourth quarter. LAN plans to purchase 26 B787s and lease an additional six B787s.