Hawaiian Airlines has alleged Delta Air Lines may be using the aftermath of Japan's earthquake and tsunami as a "convenient excuse" to justify suspending services to Tokyo Haneda International Airport (Dow Jones Newswires, 13-Apr-2011). Hawaiian Airlines stated information it had on Delta's bookings "suggests [the airline] may be using the terrible events in Japan as a convenient excuse to suspend its service to Haneda and funnel as much traffic through Narita as possible." Delta dismissed the claim and said its suspension until the peak summer season was "appropriate". Delta Air Lines and American Airlines have both suspended Haneda services following a decline in traffic. Hawaiian has maintained its daily service to Tokyo Haneda and is seeking a second daily frequency if Delta and American fail to restart their respective services. United Continental Holdings Inc is also seeking to launch services if any US carrier "abandoned" service. Hawaiian Airlines also stated Delta's Haneda services faced a "grim" outlook because they were cannibalising business from existing services from its Tokyo Narita hub.
Hawaiian Airlines claims Delta may be using earthquake as excuse for suspension
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The world becomes a smaller place on 15-Feb-2017 with the launch of Xiamen Airlines' Fuzhou-New York JFK service. The route is a not a headline grabber like the ultra long hauls of Singapore-San Francisco or Doha-Auckland. But linking the two cities brings a nonstop flight to what is, by some calculations, the largest unserved trans-Pacific market.
The new flight reflects on current themes in the market between Asia and North America: the growth from China's secondary cities, more Chinese airlines being catapulted onto the world stage, and impacts to one stop competitors.
Fuzhou-New York will initially be only flown three times a week, supporting competitors' retorts that they have a frequency advantage – or at least for now. Competitors have also claimed a better product, but Xiamen's 787-9 is China's fifth widebody to offer direct aisle access business class. Soft service is catching up, and likewise for commercial planning: Xiamen's 787-9s do away with first class. This report looks at the growth of China and the rest of Asia to North America as growth momentum slows with China's bilateral capacity being reached.
Hawaiian Airlines: favourable revenue trends, but aircraft delivery delays add cost pressure
Hawaiian Airlines is maintaining a positive outlook for 2017, despite cost pressure and delays in delivery of the first Airbus A321neo aircraft to join the company’s fleet. The airline is a huge proponent of the new generation narrowbody, touting the jet as the only aircraft that serves its mission of serving secondary North American markets at the right cost point. Because of the delays Hawaiian faces the undesirable situation of incurring the costs of adding the A321s to its fleet without enjoying any revenue benefit from their operation.
The delays may intensify the cost pressure Hawaiian already faces in 2017, and its current guidance does not include any effects from a potential collective bargaining agreement it could reach with its pilots. Hawaiian is not alone in facing cost pressure in 2017; nearly every US airline is bracing for non fuel unit cost challenges alongside rising oil prices.
But the unit revenue momentum Hawaiian enjoyed throughout most of 2016 is continuing into early 2017 as industry capacity to Hawaii remains rational, and its own growth is largely driven by new long haul routes introduced in late 2016. But it will be tough for Hawaiian, and the industry in general, to sustain a revenue performance that offsets the cost pressure that most US airlines, Hawaiian included, face in 2017.