Iberia and AENA confirmed (09-Mar-2011) the signing of an agreement for the construction of a 39,000sqm Iberia cargo terminal at Madrid Barajas. The facility is expected to cost EUR100 million, with Iberia to provide EUR60 million and AENA the balance. Iberia stated the facility will ensure there is sufficient capacity to cater for future growth and make Madrid Barajas Europe's largest hub for cargo carriage to Latin America. Madrid Barajas handled 373,000 tonnes of freight in 2010, a 23% year-on-year increase. Iberia handled 175,000 tonnes or 47% of total air cargo, which the airline expects to triple to 650,000 tonnes by 2030. The cargo terminal is expected to be operational by 2015. [more]
Iberia and AENA to constuct EUR100m cargo terminal
You may also be interested in the following articles...
IAG faces challenge to maintain momentum in financial performance
IAG is arguably the most financially focused European airline group in terms of the way it motivates and monitors its own performance. It is no coincidence, then, that its financial performance is now consistently stronger than that of the Lufthansa Group and Air France-KLM (although none are as profitable as the leading LCCs, such as Ryanair). IAG's financial discipline is helping to rehabilitate the airline sector's reputation with professional investors.
In 2016 IAG achieved an operating margin and return on invested capital that were, once more, its best ever. This marked its strong recovery in the years since the global financial crisis (which hit it hard), and consolidated its leadership among Europe's big three legacy airline groups. Only Vueling among the group's constituent airlines suffered from falling returns. IAG shareholders are to be rewarded with a share buyback (IAG's first, and still rare among European airlines) and an increased dividend.
However, by its own standards of success, IAG has more to do. It is not yet meeting its own margin and return on capital targets –partly because it likes to increase them when they come within reach. Its challenge will be to maintain its momentum as the airline cycle's upswing starts to fade.
Finnair accelerates capacity growth, led by long haul; seeks cost efficiency through fleet & labour
In 2016 Finnair accelerated its rate of capacity growth after a modest return to expansion in 2015, following cuts in 2014. It also experienced a fall in unit revenue (as did most European airlines), most notably in the regions of highest capacity growth, i.e. the long haul markets North America and Asia.
Asia is Finnair's most important long haul market (Japan and China are its two biggest markets by ASKs) and its ranking by seats on routes between European and NE/SE Asia is disproportionate. It has ambitious growth plans in the region and will increase frequencies to Tokyo and Hong Kong this summer. Its long haul network, which will also extend to San Francisco this summer and Goa next winter, is largely founded on connecting traffic via its Helsinki hub.
Finnair's return to capacity growth has coincided with a return to profit, but lower fuel prices were the main driver of its bottom line improvement. Its profit margins remain slim and, beyond the vagaries of fuel price benefits, Finnair aims for more sustainable unit cost cuts. Fleet strategy and labour productivity form a two pronged attack on its cost base.