Turin Caselle Airport installed (29-Jul-2021) four 'Pila Bike' electronic device charging stations in the boarding area. The eco bikes allow passengers to recharge their devices by pedalling the bikes. The initiative is part of the airport's 'Torino Green Airport' sustainability project. [more - original PR - Italian]
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Confidence is everything, especially in the recovery phase of a pandemic. Where confidence is returning, so are traveller bookings – and such confidence seems highly correlated to areas that have a combination of (a) an effective vaccine rollout and (b) (predictably) low restrictions or barriers to travel.
The US domestic market is one such location. Air passenger volumes in the US are now down just 20% on 2019 levels, having crossed the important 2-million-per-day threshold in last month continuing the strong momentum since May-2021.
But yields in most cases remain substantially lower than 2019 levels, although they are trending upwards. A key indicator will be once the traditional business travel season returns in the US in Sep-2021.
Eurowings Discover, Lufthansa Group's newest airline, operated its inaugural flight on 24-Jul-2021. An Airbus A330-200 flew from Frankfurt via a short stopover in Mombasa on Kenya's Indian Ocean coast to Zanzibar in Tanzania.
The airline's name and livery are consistent with being a sub-brand of Lufthansa Group's Eurowings subsidiary.
However, Eurowings Discover has its own AOC, its own code (4Y) and its own CEO (Wolfgang Raebiger, who also served as captain on the inaugural flight). Moreover, it is a direct subsidiary of Lufthansa, rather than of Eurowings, and will operate on both long haul and short/medium haul.
It is positioned as a leisure airline, but with full service features. Frankfurt-based, it will add services from Munich from summer 2022. By the end of 2021 it plans to be operating seven medium haul and 10 long haul routes (competing with Condor on seven of these long haul routes). Its fleet plan targets 11 A330s and 10 A320s by mid 2022.
Eurowings Discover addresses the problem of Eurowings' withdrawn long haul network. It may also help to focus Eurowings on efficiency on short haul.
Premium Analysis
India's airline capacity rebounds after latest COVID waveAs India’s devastating second wave of COVID-19 subsides, domestic airline capacity is once again rebounding strongly. Airlines have been adding back service in response to easing travel and capacity restrictions, and load factors are also increasing.
The second wave spike began around Mar-2021, and quickly propelled India into a state of crisis. Daily cases were higher than in the first wave that struck in mid-2020, and the official death toll rose above 420,000 – although it is believed that the actual total may be higher.
The second wave stalled what had previously been an impressive traffic recovery in Indian domestic markets. Now the airlines are looking to return quickly to those levels, and eventually move beyond them.
In the past five weeks Europe has risen from worst-performing region ranked by seats as a percentage of 2019 levels to third out of six. The key driver has been an easing of international travel restrictions.
Europe's total seat numbers are 36.5% below 2019 levels in the week commencing 26-Jul-2021.
Although this is not very different from last week's -37.0%, Europe has moved from fourth to third in the regional ranking this week. The Middle East, where seat capacity is down by 46.8% versus 2019, remains at the bottom. This week (week commencing 26-Jul-2021), Africa is down by 39.8%, Asia Pacific by 38.7%, Latin America by 28.7%, and North America by 23.5%.
Yet Europe's progress on both capacity and easing travel restrictions has been stronger in the EU than in the UK.
In addition to providing more certainty and consistency over its green/amber/red lists, the UK needs to address the issue of testing – in particular the cost of testing and its necessity for fully vaccinated travellers.
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Recorded at CAPA Live July
Airline CEO Interview: Air Greenland
Air Greenland is the national carrier of Greenland. Air Greenland operates a network of services to domestic destinations throughout Greenland in addition to providing international services to Denmark and Iceland.
Air Greenland reported a profit of EUR4.1million for 2020 - a 65.5% loss on the previous year. We ask CEO, Jacob Nitter Sørensen how he plans to pull the airline through 2021 and beyond.
Speakers:
- ASM Global Route Development, SVP Aviation Strategy, Lee Lipton
- Air Greenland, CEO, Jacob Nitter Sørensen
CAPA Live is the most sought-after monthly global aviation event. Taking place on the second Wednesday of each month, thousands of industry colleagues from across the globe tune in for their monthly dose of aviation and travel news, analysis, and in-depth interviews with industry leaders. Register here to be part of our growing community.
Airbus CEO Guillaume Faury announced (29-Jul-2021) the company's board has approved development of an A350 freighter derivative, "responding to customer feedback for increased competition and efficiency in this market segment". [more - original PR]
Etihad Airways, via its official website, announced (29-Jul-2021) the suspension of passenger flights between Abu Dhabi and Saudi Arabia in line with Saudi government directives. The suspension is effective until 10-Aug-2021 with the possibility of further extension.
Airports of Thailand reported (29-Jul-2021) the following traffic highlights for Jun-2021:
- Passengers: 688,211, -93.5% compared to Jun-2019;
- Domestic: 607,844, -85.9%;
- International: 80,367, -98.7%;
- Cargo: 93,550 tonnes, -21.0%;
- Domestic: 1380 tonnes, -77.7%;
- International: 92,170 tonnes, -17.9%;
- Aircraft movements: 11,593, -83.5%;
- Domestic: 5865, -81.2%;
- International: 5728, -85.3%. [more - original PR]
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30-Jul-2021 12:02 PM
American Airlines and JetSMART sign letter of intent to form codeshare agreement, ownership stake
American Airlines (AA) and JetSMART signed (29-Jul-2021) a letter of intent to form a codeshare agreement, including the following proposals:
- American Airlines will acquire a minority ownership stake in JetSMART;
- AA and Indigo Partners will commit to provide additional capital to fund future opportunities in the Latin American region;
- Customers will be able to earn and redeem AAdvantage miles on JetSMART services.
JetSMART CEO Estuardo Ortiz described the value proposition as "compelling". All intended investments and agreements are subject to definitive documentation and governmental regulatory approvals. [more - original PR]
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