Chile's National Consumer Serivce (SERNAC) announced (03-Oct-2012) legal action against LAN Airlines, Iberia, Copa Airlines, Aerolineas Argentinas, Aeromexico, Sky Airline, TAM Airlines, AviancaTACA, and PAL Airlines for failing to inform passengers of their rights should their flight be delayed or cancelled. SERNAC cited Article 133 of the Air Code, which states carriers must display customer rights in a prominent place and/or provide customers with a copy of these rights, including providing free phone calls, food and accommodation should they be denied boarding. SERNAC director Juan Antonio Peribonio stated, "Consumers who arrive at their confirmed flight time [but are denied boarding] are entitled to be compensated with food, phone calls and whatever they need before they re-embark. Airlines can not ignore or fulfill that obligation as they please." [more - original PR - Spanish]
Chilean watchdog reprimands nine carriers for failing to inform passengers of rights
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Enter Qatar Airways. As Etihad Airways looks to bed down its investments in other airlines, Qatar is gradually expanding its airline investment portfolio. Qatar's 15% stake in IAG is now being followed with a 10% stake in LATAM for USD613 million – nearly 1.5 times Qatar's net profit of USD446 million, disclosed (for the first time) on the day prior to the LATAM equity announcement. It is a safe investment; LATAM group has a strong market position and its share price has remained strong even in the face of a brutal downturn in Latin American economies.
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Star Alliance's privately owned Avianca is also considering a strategic shareholder; that would mean five of Latin America's eight largest airline groups could have an airline investor from outside the region.
Air Europa Part 2: a record of labour productivity gains, CASK near LCC levels but RASK falling
After a period of unit revenue growth following the global financial crisis, Air Europa came under heavy pricing pressure in 2015. Renewed growth by Iberia has intensified competition to Latin America, while LCCs are putting strain on short haul yields.
Air Europa does not report profits, but it is its parent company Globalia's largest business by revenue. The privately owned Globalia group has been profitable since 2013 but suffered a fall in profits in 2015, when its Air Division's revenue declined by 3% in spite of traffic growth. The group balance sheet has low liquidity and Globalia is reportedly considering an IPO.
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