CAPA Airline Leader Summit: Making Money 2019

Dublin, Ireland

2-3 May 2019

Friday 3 May 2019

09:00	Chairman’s Welcome
09:05	Blockchain: What It Is and Why It Matters Blockchain’s role in reshaping the way businesses are run is gradually being appreciated. While frequently associated with various cryptocurrencies, its significance runs much deeper than popular cryptocurrency investment. Yet it has limitations at this stage – for example, is it ready yet to introduce changes in the distribution systems? Perhaps not, but… This keynote from a leading industry expert explores many of the key interfaces between Blockchain and the airline business. ConsenSys, Managing Director, Lory Kehoe [Download Presentation]
09:30	Helping airlines manager compensation payouts for delays TravaCoin, Founder and CEO, Brian Whelan [Download Presentation]
09:45	Keynote: Costs and Benefits of EU aviation policy A4E, Managing Director, Thomas Reynaert [Download Presentation]
09:55	Airline partnerships, alliances, competition law and sustainability: Limiting the fallout from Brexit on the North Atlantic and in Europe Even as the US and UK have reached an agreement to keep air services at status quo after the continued Brexit deadlines, the uncertainty swirling around Brexit and the UK and European partners of US airlines could also create challenges in the North Atlantic. It is an example of how trade and aviation are becoming even more entangled in the current operating environment. One of the many unanticipated consequences of the uncertainties raised by Brexit is increased regulatory scrutiny of North Atlantic airline joint ventures. Members of these JVs are allowed to coordinate schedules and prices only with regulatory immunity from competition rules. In Oct-2018 the UK's Competition and Markets Authority (CMA) launched an investigation into the JV inside oneworld between British Airways, Iberia, Finnair and American Airlines. The JV had been approved by the European Commission in 2010 after JV members gave commitments to release slots to competitors on six city pairs: London-Dallas, London-Boston, London-Miami, London-Chicago, London-New York and Madrid-Miami.> The commitments expire in 2020, after the UK's scheduled exit from the EU, and five of the routes touch the UK, hence the CMA's investigation ahead of their expiry. It is expected to report in Mar-2019. How will open skies in the EU-UK market and across the trans-Atlantic evolve as Brexit comes into effect? Are the region’s airlines, including new entrant disruptors who have been able to flourish due to advanced aircraft technology and the pre-Brexit liberalised environment, at risk of operating under more restrictive norms? Could Brexit provide a catalyst to reform the entire bilateral system that underpins aviation governance? Moderator: Aviation Strategy & Concepts, Managing Director, Ulrich Schulte-Strathaus Panel: Croon Callaghan Aviation Consulting, Partner, Jim Callaghan European Aviation Club, Chairman, Rigas Doganis Norwegian Air Shuttle, EVP Strategic Development, Tore Østby U.S. Department of Transportation, Director, Brian Hedberg
10:40	Airline partnerships, alliances, competition law and sustainability: Airline partnerships, immunised JVs, open skies and the role of competition bodies As airlines are shackled to their nationality, globalising the product means a need for partnerships in one form or another. This in turn means interpreting existing and future attitudes of regulators in key markets, notably towards immunised JVs, but also lesser forms of presence-enhancing partnerships. Moderator: Baker McKenzie, Partner, Kenneth Quinn Panel: ERA, Director General, Montserrat Barriga European Commission, Director for Aviation, Filip Cornelis Star Alliance, CEO, Jeffrey Goh U.S. Department of Transportation, Director, Brian Hedberg
11:25	Coffee Break & Networking
11:55	Working with Lessors and OEMs to find mutually beneficial compromises There are ways of finding tailored options for working together through more challenging times. These imply relieving current financial burdens while preparing the way for a more valuable post-downturn relationship. Some fresh thinking around the financial aspects of running an airline is urgently required. From payments to high finance, transformation is taking place in the way airlines tackle this side of their business. But who is ahead of the curve? Moderator: CAPA – Centre for Aviation, Chief Financial Analyst, Jonathan Wober Panel: Aircastle, EVP Porfolio Management, Paul O’Callaghan BOC Aviation, CCO, Steven Townend Embraer, SVP - Global Leasing & Strategy, Ron Baur
12:35	Working with unions to achieve optimal outcomes Airlines have limited options in removing costs in the face of downturn. One area for action is to revise network operations, even fundamentally redirecting strategy, particularly where new market directions are emerging, such as the impact of new aircraft types and new entrants. For this, management must ideally seek the engagement of labour, to ensure effective implementation. With a great majority of costs both external and largely uncontrollable, reducing that one third of costs that relates to labour inevitably also comes under the microscope. In a reducing market there is often much pain to be shared, but intelligent and rational – ideally consensual – courses are available. These should take account of the short term need for action as well as providing that the patient will be healthy when it emerges from whatever surgery has been necessary to ensure survival. Moderator: John Byerly, Consultant, Consultant, John Byerly Panel: ALPA, First Vice President, Bob Fox CityJet, CEO, Pat Byrne European Commission, Director for Aviation, Filip Cornelis
13:15	Closing remarks
13:20	Lunch & Summit Close
14:45	Golf Afternoon: THE CAPA CUP: Europe vs ROW Tourism Ireland are kindly hosting a special Golf Afternoon at the Powerscourt Golf Course. Tee off will be at 14:45 following lunch at the end of the Summit for registered delegates.