Kenya Airways received (10-Oct-2012) its eighth Embraer E-190, marking the delivery of Embraer's 900th E-Jet. E-Jets first entered revenue service in 2004. Kenya Airways CEO Titus Naikuni said, "The E-190 is a versatile aircraft suited to our growth ambitions on the African continent. Given its mid-range capabilities, it ably supports our plans to fly new routes and increase frequencies on existing ones. It affords our passengers excellent cabin comfort while enhancing operating efficiency. This new acquisition brings the airline closer to our vision of flying to every capital in Africa in the next few years." Kenya Airways has seven more E-190s on order. [more - original PR - Embraer] [more - original PR - Kenya Airways]
Kenya Airways receives Embraer's 900th E-Jet
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Avianca joins airline rivals, revising margins downwards, as economic conditions worsen
Latin American airline group Avianca is attempting to mitigate tough conditions in the region, particularly a sharp devaluation of the currency in its largest market Colombia. Steps the company is taking to counteract weakness in Colombia and throughout Latin America include a domestic capacity reduction within Colombia and fleet adjustments that include both deferral of aircraft deliveries and grounding of its subfleet of Embraer 190 aircraft.
Similar to most airlines operating in Latin America, Avianca is attempting to match its supply with demand and shore up yields, even if that means sacrificing some market share, as is the case in another one of its large markets Peru.
The worsening conditions in Latin America have forced Avianca to join most of its rivals operating in the region to issue a downward revision of its EBIT margin for 2015, a discouraging sign for a company that embarked on 2015 in a seemingly better position than its rivals.
US airline fleet strategy and finance Part 2: Alaska and Southwest differ in leveraging their fleets
The two US investment grade airlines – Alaska and Southwest – have steady delivery streams planned from Boeing during the next couple of years as they work to ensure that the average age of their respective fleets remain optimal.
But Alaska and Southwest are taking different approaches to their fleet fortification. Alaska is choosing to stick with new-build aircraft to replace 737 Classics exiting its fleet while Southwest is opting to add a mix of new and pre-owned aircraft to sustain its fleet at around 700 aircraft in 2015.
Both airlines own a solid portion of their respective fleets, allowing for a certain level of flexibility if market conditions change. Although each airline’s investment grade status allows for favourable market rates, Alaska for the moment has no plans to finance aircraft through debt, but is not ruling out the possibility in the future.