September 29, 2007

Hoteliers Protest Against Low-Budget Andaman Tourism

Reuters - Hundreds of tour operators and hotel owners in the Andaman islands protested on Thursday against a scheme to fly budget tourists to the islands, saying it had stopped wealthier travelers from visiting.

India recently allowed all level of government employees to use their leave allowances to fly to the Andaman and Nicobar islands, the remotest part of its territory, as it tried to boost the tourism-dependent economy following the catastrophic tsunami of 2004.

Many low-wage workers jumped at the chance to take their first flight and visit the islands' famed beaches, forests, coral reefs and tribal cultures -- a perk once reserved for only senior state employees.

But islanders working in the tourism industry say crowds of cost-conscious tourists are straining resources without generating much income.

"They visit the Andamans for at most a day and go back hardly spending any money," said G. Bhasker, general secretary of the Andaman Chamber of Commerce and Industries.

"Agents are blocking tickets in bulk, preventing up-market tourists who are genuinely interested in visiting our islands."

Hundreds of protesters chose World Tourism Day to shout slogans outside the tourism directorate in Port Blair, the archipelago's capital, and threatened further protests if the government did not listen.

The island's chief secretary promised to look into their complaints.

Authorities expect more than 150,000 tourists will visit the islands this year, but some estimate that around 80 percent of those are low-wage state employees.

Etihad takes off to Singapore and Brisbane

Dubai: Etihad Airways has launched its new three flights-a-week service to Singapore and Brisbane.

Flight EY470 took off on schedule yesterday morning from Abu Dhabi airport bound for Brisbane via Singapore. Singapore is Etihad's fifth destination in Southeast Asia after Bangkok, Manila, Jakarta and Kuala Lumpur.

Brisbane is the airline's second destination in Australia following the highly successful Sydney route started in March this year.

"Demand has been great for the new flights to Singapore and Brisbane with the seat factor for both destinations approaching 70 per cent in economy class and 65 per cent in business class for the month of October," the airline said.

James Hogan, Etihad's chief executive, said: "Etihad continues to expand its global flight network offering our customers frequent connections to many of the world's most popular destinations.

"The UAE is building strong commercial and cultural ties with Singapore and the Australian state of Queensland and the new Etihad flights will give these ties a significant boost."

Other new destinations launched in 2007 include Dublin and Milan as well as the southern Indian cities of Kochi and Thiruvananthapuram.

Etihad is operating a two-cabin Airbus A330-200 on the new flights. The aircraft is configured to carry 262 passengers, with 22 in business class and 240 in economy.

Flight EY470 will operate every Friday, Sunday and Wednesday, departing from Abu Dhabi at 10.05am and reaching Singapore at 9.35pm. The flight will depart from Singapore at 10.50pm and arrive in Brisbane at 6.20am the following morning.

Flight EY473 will operate from Brisbane every Saturday, Monday and Thursday departing at 11.25am and arriving in Singapore at 7.05pm. The flight will depart from Singapore at 8.25pm and arrive in Abu Dhabi at 11.59pm.

Engine Fire Forces Jet Back To St Louis

Reuters-A fire in one of two engines on a Chicago-bound American Airlines MD-80 jet forced the plane to return to St. Louis Airport on Friday, officials said.

None of the 137 passengers and five crew members on board was injured, an airline spokesman said.

Flight AA1400, bound for Chicago's O'Hare Airport, took off at 2:12 p.m. EDT, and was back on the ground within 30 minutes, American Airlines spokesman Mary Frances Fagan said.

"It had a left-hand engine fire that occurred after take-off. The aircraft returned to Lambert International safely. No one was hurt, and the passengers were evacuated on stairs," Fagan said.

Firefighters put out a small fire in the engine after the plane landed, Lambert spokesman Jeff Lea said.


Demand for business jets soaring in Middle East

Dubai: The Middle East business aviation market is flush with "active buyers" of business jets, a customer survey by global aerospace giant Honeywell revealed.

The 16th Annual Business Aviation Outlook gave a bullish outlook for the private aviation market and said the region encompassing Asia, the Middle East and Africa "again ranks as the area with the highest purchase expectations".

Industry-wide, Honeywell Aerospace said deliveries of business jets would exceed 1,000 for the first time in 2007, up from 861 in 2006. So far, sales are up more than 12 per cent compared with the same period last year. In 2008, deliveries are expected to top 1,300.

Yesterday, Airbus' corporate jet division reported similar findings. It said it won a 36 corporate jet sales this year, setting a record.

The Honeywell survey highlights the growing importance of developing markets, while expectations of corporate jet sales in the United States declined slightly,

ICAO Opposes EU Emissions Plan

Reuters - The International Civil Aviation Organization has passed a resolution opposing a European Union plan to include foreign airlines in its emissions trading system, the UN body said on Friday.

"A resolution was adopted which said... that emissions-trading schemes are fine, but they should not be applied to the aircraft of foreign countries without mutual consent," Jeffrey Shane, the undersecretary for policy in the US Department of Transportation told reporters in Montreal.

He said that during recent ICAO meetings, about 42 European governments took "a formal reservation" from that wording.

"They did not want a clause that said, 'ICAO urges states not to apply emissions trading to foreign aircraft without mutual consent'."

The ICAO is a United Nations body created in 1944 to promote the development of civil aviation around the world.

The United States has opposed the plan to include foreign airlines in the EU's emissions trading scheme and pushed the ICAO to let individual countries decide the best way to manage greenhouse gas emissions from their airlines.

The EU Commission plans to include flights into and out of the 27-nation bloc from 2012 in its emissions trading scheme.

Environmentalists say the airline industry must contribute more to reducing greenhouse gases, blamed for global warming.

Shane said that all ICAO member states recognize the importance of emissions trading "as one of many tools for addressing emissions from aircraft."

He also that the ICAO will create a "very high-level group" tasked with coming up with an action plan on reducing the aircraft emissions.


September 28, 2007

Bush seeks answers to airport congestion

US President George Bush met yesterday (Thursday) with transportation secretary Mary Peters and acting FAA administrator Robert Sturgell to discuss how to reduce congestion at the country’s key airports. "There's a lot of anger amongst our citizens about the fact that they're just not being treated right," admits Bush. "We've got a problem. We understand there's a problem and we're going to address the problem."

Peters will report back to the president on recent steps to address congestion (see: FAA checks JFK and Newark schedules) and prevent passengers being stranded on-board on a runway for hours (see: US airports blasted in on-board delays probe).

Airport delays in the US rose almost 20% between October 2006 and August 2007, compared with the same period a year before and nearly half of the delays occurred in the Philadelphia-New York corridor.

Transportation Department officials are reportedly considering a plan to make airlines pay a premium to use congested airports at peak times – mainly the afternoon and early evening. However, industry experts suggest any congestion pricing policy would simply lead to higher ticket prices for passengers.

"The bottom line is that there is not much we can do once an aircraft leaves the gate and enters onto the taxiway. At that point, we come under the control of an antiquated air traffic control system," says Bob Reding, an executive vice-president at American Airlines.

Dublin signs T2 contracts: work starts next week


Dublin Airport Authority (DAA) has signed seven major construction contracts to allow work to start next week on T2, the new passenger terminal at Dublin Airport. The contracts, which have a combined value of Euro 180 million (US$254 million), were awarded following a major international tender process and cover areas such as concrete, steelwork, cladding and logistics.

The T2 project is a key element of the DAA’s Euro 2 billon (US$2.8 billion) Transforming Dublin Airport programme, which will improve, expand and modernise the passenger facilities at the airport.

“We were pleased with the level and quality of interest in this hugely important project and we are very happy that we have got the right skills at the best price,” says DAA Chief Executive Declan Collier. “We look forward to working in partnership with each of these seven contractors to deliver some of the key elements of T2.”

These first seven contracts represent the initial tranche of 17 separate construction packages that comprise the overall T2 project. The project includes a 75,000m² terminal building, a 24,000m² departures pier and a wide range of other airport campus upgrades. Each contract was tendered separately. The new terminal will cost Euro 395 million, while the overall T2 project has a price tag of Euro 609 million.

Collier says that this multipackage approach would allow T2 to be delivered on time and on budget. “We are focused on delivering T2 within a tight timeframe, and this process allows us to move at the required speed to have the project completed on target and T2 operational in April 2010.”

Bahrain to implement hand baggage rules on Sunday

On Sunday, Bahrain International Airport will belatedly introduce hand baggage regulations to bring it into line with security guidelines put in place by the International Civil Aviation Organisation (ICAO) last December. Airport director Mohammed Al Kaabi says the implementation in Bahrain was delayed in keeping with the huge incoming traffic after the summer vacations. Under the new rules, all passengers traveling from or transiting through the airport will have to undergo extra security screening for liquids, gels and aerosols. Prescription medicines, accompanied by prescriptions, will be the only exceptions.

Lounge replaces jail for SFO arrivals

San Francisco International Airport has opened a holding lounge for international travelers who arrive with incorrect travel documents. The lounge will enable them to wait in comfort for a return flight instead of in jail, say airport officials. James Kosciuk, of US Customs and Border Protection, claims the holding facility is the first of its kind in the country and could serve as an example for other airports. He adds that around 520 people each year arrive at the airport with incorrect documentation. About 200 are immediately put on return flights, and the others were previously held in jail until a flight could be arranged.

World Tourism Day 2007 praises the role of women in tourism

On the occasion of World Tourism Day 2007 hosted by Sri Lanka in Bentota, a Think Tank was held on this year’s theme "Tourism Opening Doors For Women" and its inter-relationship with the UN Millennium Development Goals. Under the Chairpersonship of H.E. Mrs Nilofar Bakhatiar, a group predominantly of women who have played prominent roles in Tourism around the world discussed:

  • The importance of women in the tourism sector.
  • Improving the role of women in tourism.
  • Accentuating the role of women particularly in developing countries.
During the discussion the following issues were raised:

The need for AWARENESS CREATION about the opportunities for women and their concerns amongst general policy makers and amongst women themselves.

Creating APPROPRIATE POLICY FRAMEWORKS FOR WOMEN/S ECONOMIC EMPOWERMENT with tourism as a primary component so that the sector is integrated into mainstream policy making.

The requirement not only to open doors, but to MAKE IT POSSIBLE FOR WOMEN TO GO THROUGH THEM, including good training development programmes, targeted information, decent and equal pay, good career development, family support structures and frameworks for ensuring self-respect.

The PARTICULAR OPPORTUNITIES presented by agro tourism, ecotourism, health and wellness, and the creative sector.

The importance of GETTING THE DIVERSE PRIVATE SECTOR ACTIVELY INVOLVED AS WELL AS NGOs AND THE MEDIA; with a fundamental requirement for the Public Sector to put in place and implement legislation for equal opportunity, equal pay and fair working conditions. In respect to the latter, note was taken of the need to address unreasonable working hours particularly for women with families.

The value of SHOWCASING WOMEN with fulfilling jobs at all levels, as well as those showing leadership and career progression.

The timeliness of this discussion in relation to broader action on gender equality and of UNWTO, WITH THE SUPPORT OF UNIFEM (United Nations Development Fund for Women), CHAMPIONING THIS ISSUE, as well as the importance of carrying this forward into a defined programme and action plan.

The DANGER OF SELF-DELUSION in considering primarily the beneficial aspects of tourism and women while ignoring the darker side of exploitation, harassment, abuse and marginalization.

The significance of INCREASED ACCESS TO CREDIT FACILITIES to encourage women entrepreneurs, and the proven reliability of women in meeting the conditions.

The absence of RELIABLE INFORMATION at a global, regional and national level, and the importance of such information for effective decision making & monitoring.

Against this background the following conclusions were reached:
  • To initiate a UNWTO – UNIFEM annual report on the state of Women in Tourism.
  • To make this an ANNUAL FORUM and to establish a broader biennial worldwide conference.
  • To foster a NETWORK of activists, ambassadors and advocates to support the work of the UNWTO Special Advisor on Women in Tourism, and the establishment of a TASK FORCE to develop a draft Programme of Activity. To put in place a DATA COLLECTION system including desk research, case studies and alignment with the Tourism Satellite Account where feasible.
  • To expand the website www.tourismgender.com into a PORTAL for gathering and presenting information, and serving as a framework for continuing focus; as well as a resource pool for gathering and sharing.
  • To develop with partners an AWARENESS CAMPAIGN aimed at the industry, governments, media and women themselves, as well as the creation of a global AWARDS SCHEME.
  • To strongly urge UNWTO and its Member States to take affirmative action within their power to actively involve women, from all social, economic and cultural spheres, into strategy, policy and operational decision making.
  • To urge UNWTO to emphasize these issues within the framework of its Global Code of Ethics for Tourism. World Tourism Day 2007 is an occasion to celebrate women’s achievements in the tourism sector and stimulate continuous action in support of UN’s 3rd Millennium Development Goal: Promoting Gender Equality and Women Empowerment through to 2015 and beyond.
World Tourism Day is commemorated on 27 September each year by appropriate events on themes selected by UNWTO`s General Assembly, on recommendation of the Executive Council. This date was chosen to coincide with the anniversary of the adoption of the UNWTO Statutes on 27 September 1970 and designated as World Tourism Day by the UN General Assembly.

SAS To Resume Dash 8 Flights

Reuters-Scandinavian airline SAS said on Friday it planned to restart flights using its Dash 8 Q400 planes on October 4.

SAS has been forced to cancel hundreds of flights because its fleet of Dash 8 Q400 aircraft have been grounded after two SAS planes crash-landed due to undercarriage problems.

"SAS will deploy the first Q400 aircraft on Thursday, October 4, with the remaining Q400 aircraft returning to operation during the following days," the company said in a statement.

Boeing To Conduct Biofuel Flight Demo

Reuters-Boeing said on Thursday that it, Air New Zealand and Rolls-Royce announced a memorandum of understanding to conduct a biofuel demonstration flight.

Boeing said the demonstration flight is planned for the second half of 2008 using an Air New Zealand Boeing 747-400 equipped with Rolls-Royce engines.

Boeing said additional details will be announced closer to the actual demonstration flight date.


Deccan Aviation Quarterly Loss Widens

Reuters - India's Deccan Aviation, which owns budget carrier Air Deccan, reported a wider net loss for the quarter to June 2007, hit by lower air fares and higher fuel costs.

A statement late on Thursday said the company's loss widened to INR1.7 billion rupees (USD$42.8 million) from INR1.1 billion a year ago.

For the year ended June, its net loss was INR4.2 billion on revenue of INR21.4 billion. It had reported a loss of INR3.4 billion on revenue of INR12.4 billion in the 15 month period ended June 2006.

The company reported a 15 month period as it changed its accounting year mid-way.

United Breweries, which runs Kingfisher Airlines, owns 26 percent of Deccan and has also made an open offer for a further 20 percent of the carrier.

Thailand reaches new record in visitor arrivals in the first half of 2007

REPORT - BALI - PATA TRAVEL MART: Thailand recorded a total of 6.95 million visitor arrivals in January – June 2007, an increase of 3.30% over the same period of 2006, according to figures made available by the Thailand`s Immigration Bureau, Police Department.

Although there was strong growth in arrivals from Europe (14.45%), the Middle East (19.97%), Oceania (20.66%), and South Asia (10.58%), there has been a decline in arrivals from key Asian source-markets like Malaysia (-11.64%), China (-17.72%), Japan (-6.54%) and Korea (-2.31%).

This has been attributed partially to reports about the situation in South Thailand as well as the strengthening of the baht. TAT officials have also noted that the number of Approved Destination Status countries by China is at an all-time high, giving Chinese visitors much more choice than previously about where to go.

TAT is projecting 14.8 million international visitor arrivals in 2007 and estimated revenue of 547.5 billion baht. The domestic tourism target is for 82 million trips with a projected revenue of 377 billion baht.

Mrs. Phornsiri Manoharn, Governor of the Tourism Authority of Thailand said “We are confident that our marketing efforts and strong co-operation between the public and private sectors will help us meet our targets for this year. We are also working to address the declines in arrivals from our key markets.”

“At the same time, we are encouraged by the strong interest shown in Thailand by emerging markets like Russia, the Middle East, India and Africa,” Mrs Phornsiri said. Details of visitor arrivals in January - June 2007 Overall:

Visitor arrivals tabulated by nationality showed a total of 6,954,752, an increase of 3.30% over the same period of 2006.

East Asia: Visitor arrivals from East Asia declined by 3.91% to 3,606,731. Markets that have shown good growth include Laos PDR. (+122.26%), Myanmar (+31.68%), Cambodia (+3.81%), Indonesia (+3.01%), and Hong Kong (+2.87%).

Europe:

Visitor arrivals from Europe were up by 14.45% to 1,954,239. Russia was the outstanding market with a growth of 50.94% during this period. Other main markets like the UK were up by 4.56%, Germany (5.79%), Sweden (24.99%), and the Netherlands (8.50%).

The Americas:

Arrivals from the Americas declined by 1.46% to 454,651. USA, the main source market declined by 2.88% but there were some markets that showed a positive growth such as Argentina (+64.38%) and Brazil (+24.77%).

South Asia:

Arrivals from South Asia were up by 10.58% to 346,261. India, the main source of arrivals from South Asia showed a total of 264,555, up by 14.06% over the same period of 2006.

Oceania:

Arrivals were up by 20.66% to 350,854. Visitors from Australia were up by 22.75% to 302,981 and arrivals from New Zealand were up by 8.98% to 47,011.

The Middle East:

Arrivals from the Middle East grew by 19.97% to 189,689 with all markets showing positive growth. Arrivals from the UAE were up by 16.10%, while arrivals from Israel rose by 17.04%, Kuwait (9.65)%, Egypt (+19.02%), and Saudi Arabia (+31%). The Middle East market is important to Thailand because the visitors are high spenders.

Africa:

Arrivals from Africa were up by 9.67% to 52,327.

JACOB Online opens a new office in India

REPORT - BALI - PATA TRAVEL MART: JACOB Online launched today (28 September) their new office in New Delhi, India at the PATA Travel Mart in Bali, by holding a ribbon cutting ceremony performed by PATA President & CEO , Mr Peter de Jong and Mr Ian Hawkes, Executive Director of PATA UK`s Chapter.

With the market in Asia growing exceptionally fast at all levels, JACOB Online is growing its activities in South East Asia with contracting offices now expanding into sales and growing throughout the region.

Ian Hawkes said: "JACOB is a great concept as it combines the latest in online distribution with a great team of people who firmly believe in providing service. I am sure their Indian office will be a great success".

Denise Atkinson, Sales Director for JACOB Online, says: "With the new office in India, we are expecting a huge increase in hotel sales into Asia and Europe and we are also planning on expanding our offices in Asia to cover more of the region, from a Sales point of view, over the next year."

Having launched JACOB Asia in Hong Kong at last year`s PTM, the first year has exceeded all expectations - and JACOB now offers a wide range of hotels and categories from Beijing to Bangkok and from Singapore to Siem Reap. In additional to offering hotels in Asia, JACOB Online has a comprehensive portfolio of hotels in Europe, Canada and the Middle East.

Bush Seeks Changes To Cut US Airline Delays

US President George W Bush directed deputies on Thursday to devise a plan to shorten airline delays, an initiative that could force carriers to change schedules and pay more to use crowded airports at the busiest times of the day.

"We've got a problem. We understand there's a problem and we're going to address the problem," Bush said after meeting Transportation Secretary Mary Peters in the Oval Office.

Transportation Department figures show that US airline delays are on a record pace for 2007. For the year to July, delays surpassed the 1 million mark, up more than 20 percent from the same period a year ago.

Nearly a third of flights are late or canceled and more than 50,000 by July had ground delays of between one and five hours, a 40 percent increase over the same period a year ago.

Some aviation experts, lawmakers and regulators blame airline overscheduling for delays while others say the government has failed to upgrade the aging air traffic system to handle the millions of arrivals and departures each year. Airlines scheduled a record 647,000 flights in July alone.

The focus of the White House discussion was congestion in the New York area, which handles a third of US air traffic. Delays in New York can affect flights throughout the country.

Of immediate concern are delays at John F. Kennedy airport, which is growing fast and is a major point for international service. The most concrete step to emerge from the White House meeting was a decision for government planners to meet the airlines to discuss scheduling changes at JFK.

Peters told reporters after meeting Bush that she preferred a cooperative approach but the Federal Aviation Administration could limit flights at JFK if necessary.

Any action at JFK would most affect JetBlue Airway, which is based there, and Delta Air Lines, which operates two terminals. American Airlines operates international and some domestic service at JFK.

Delays have been a chronic problem for the industry for nearly a decade, interrupted only by the aviation downturn that followed the hijacking attacks of 2001. Past efforts by airlines and regulators to reduce or rearrange schedules at some of the most congested airports have provided temporary relief at best.

Mike Boyd, an industry consultant, said the steps announced by the Bush administration are too late and only "dumb down" the system.

"Every flight is full, airlines are meeting the nation's demands. The air traffic system is behind," Boyd said, adding that airlines had failed over the years to forcefully demand improvements in air traffic services.

US officials will study the concept of charging airlines more to use crowded airports at the busiest times of the day. Recommendations are due in December.

The Transportation Department has already proposed congestion pricing pilot programs at 15 airports as part of legislation to modernize the air traffic system.

Airlines oppose congestion pricing, saying it will only raise fares as extra costs are passed along to consumers.

Peters did not discount the possibility that government action could affect airline business models, such as the trend toward using more regional jets in place of larger planes.

"We don't necessarily want to say you can't do that, but we do want to say at the end of the day we have to reduce congestion and delay. Everything is on the table," Peters told reporters.

Airlines quickly note shortcomings in the aging government-run air traffic system and the impact on operations in the New York area of corporate jets, a growing preference for business travelers.

"The bottom line is that there is not much we can do once an aircraft leaves the gate and enters onto the taxiway. At that point, we come under the control of an antiquated air traffic control system," Bob Reding, executive vice president for operations at American Airlines, told a Senate hearing on Thursday.

American, Delta and other carriers said they have already tweaked their schedules at peak hours at some airports, adjusted the time that planes sit at gates, and streamlined maintenance to ensure aircraft meet their schedules.

US air-traffic control needs more redundant safety systems says ACTE

Citing a major communications breakdown at a regional air-traffic control center in Memphis earlier this week as yet another cause for alarm regarding aviation infrastructure, the Association of Corporate Travel Executives (ACTE) is demanding greater redundancy in systems used to direct aircraft.

A major telephone line failure at the Memphis center resulted in numerous delays and clearing the airspace over a central portion of the country for three hours. According to ACTE Executive Director Susan Gurley, the design, maintenance, and installation of updated equipment in control centers is as important as the aircraft themselves.

"Aircraft are built to the highest possible specifications, with redundant systems in place to respond to malfunctions," said Gurley. "I find it hard to believe, and unsatisfactory, that the functions of this air traffic control center became unhinged with the failure of a single telephone line. There should have been a number of redundant systems available to automatically switch around this problem."

Gurley added that this problem dramatically exposes the vulnerability of the air-traffic control system, at least in some parts of the country. ACTE`s executive director was swift to praise the swift actions of air-traffic controllers, who used their cell phones to contact other traffic control centers.

"It`s not a question of delays or air travel disruption, which are serious enough," said Gurley. "But an issue of overall safety. Three years ago, many of our members were disturbed to lean that some air traffic control systems in eastern Europe still used standard phone lines to direct traffic from one control center to the next. I can assure you this was an eye-opener for the industry."

Gurley stated that while this incident resulted in no loss of life, she noted that no one downplayed its significance. The air-traffic control system in the United States handles thousands of flights a day. Communications systems and radar need to be the best available. ACTE`s director concluded with the statement that terrorism is not the only threat to the international travel profession.

"Typically, this is the kind of improvement that would come out of the Airline Trust Fund, the primary source of funding for the Federal Aviation Administration (FAA). There is no question that FAA funding is stretched to the limit, and that it is unrealistic to bridge the funding gap for this agency to ticket prices or additional taxes on travelers. But this is question of safety. Airborne commerce is the pulse of the nation`s economy, and this makes a good argument for bridging the FAA funding gap from general tax revenue," said Gurley.

September 27, 2007

British Airways Ditches 747 For Airbus A380

LONDON - British Airways ended decades of loyalty to Boeing's 747 jumbo with a switch to Airbus's new A380 superjumbo on Thursday as it announced a mixed plane order worth up to USD$8.2 billion.

The order for 12 superjumbos from Airbus and 24 787 Dreamliners from Boeing will replace 34 of the airline's older long-haul planes.

BA Chief Executive Willie Walsh told reporters the airline would use the superjumbo to make best use of its limited take-off slots at London's crowded Heathrow Airport.

He denied the company had experienced political pressure to buy the superjumbo, the wings and engines of which will be built in Britain.

"There was absolutely none," he told reporters. "There was no contact, be it formal or informal. The decision was made in the best interest of British Airways. In the engines, the choice of Rolls-Royce was because British is best."

The A380 is the biggest airliner in production, and its first delivery due next month, to Singapore Airlines, comes after wiring troubles triggered a costly two-year delay and management upheaval at Airbus.

The double-decker has a maximum seating capacity of 853 passengers, though most airlines plan to use configurations of fewer than 650, which is still a jump from Boeing's jumbo, which BA currently flies with a maximum of 351 seats.

BA took delivery of its first jumbo on April 22, 1970, becoming just the fifth airline to get one.

"It's an excellent boost for UK manufacturing, with Airbus and Rolls-Royce plants benefiting," said Tony Woodley of Britain's biggest union, Unite. "This order will secure many thousands of jobs."

Analysts said BA had probably received significant discounts as Boeing and Airbus battled for the high-profile orders.

"With the A380 likely to have been heavily discounted, and a reasonable discount on 24 787s also applied, we'd estimate the real value of the order at around GBP3 billion pounds (USD$6 billion)," said analyst Andrew Fitchie at Collins Stewart.

Walsh declined to discuss discounts, which are common in the industry, but said: "I'm very pleased with the way Boeing and Airbus approached this."

The superjumbo will fly on routes from London to Hong Kong, Singapore, South Africa and the west coast of the United States.

The 24 mid-sized 787 Dreamliners, a model whose rapid sales have revived Boeing's fortunes, will be used to open up new routes and increase the frequency of flights on existing ones.

The 787 breaks new ground with a fuselage made of light-weight carbon composite, and is due to enter service next year.

The two types of new aircraft will be delivered between 2010 and 2014, and BA said it had also taken options for a further seven Airbus superjumbos and 18 of Boeing's Dreamliners.

The airline said both aircraft types would be powered by engines from Rolls-Royce, which said it could make up to USD$5 billion from the deal if all options become firm orders.

BA said it was considering aircraft to replace a further 37 Boeing 747s and is examining the Boeing 777-300 ER, the Airbus A350XWB, as well as a stretched version of Boeing's 787, the 787-10, which the planemaker has yet to launch.

"This puts big pressure on Boeing to actually launch the 787-10," said one London-based brokerage analyst.

Another said that while Airbus had scored a major victory in selling the superjumbo to BA, it had missed a key opportunity to secure a deal for its newest plane, the A350 XWB, and selling it to BA would remain a priority for the planemaker.

BA has arranged for a group of banks to provide USD$1.5 billion of debt financing to cover its firm orders to the end of 2011.

THAI MICE industry projecting huge growth

REPORT - BALI - PATA TRAVEL MART: Thailand’s Meetings, Incentives, Conventions and Exhibitions (MICE) sector is doing well. In the first six months of 2006, Thailand saw a growth of 70.54% in visitor arrivals for conventions and a 27.95% increase in business travellers.

The highest numbers for convention delegates were from the ASEAN region, led by Malaysia followed by Singapore and Indonesia. Delegates from Japan were up by 112.44% and Korea 358.50%.

According to the estimated figures for 2007 conducted by the Thailand Conventional and Exhibition Bureau (TCEB), Thailand will receive a total of 814,000 MICE delegates, generating about 56 billion baht foreign exchange revenue for the Thai economy.

TCEB plans to build itself into an agile and professional organisation that will harness the power of marketing intelligence and databases and bolster industry knowledge and skills development.

TCEB also has profiled the local trade and industry associations, especially the medical fraternity which holds the biggest annual conventions. In the field of exhibitions, particular attention will be paid to the top global industries: jewellery, automotive, agriculture and fashion.

Facilities for international incentive travel, meetings, conferences, and exhibitions are being strongly promoted.

Currently, Thailand offers five high-class convention and exhibition centres including the Queen Sirikit National Convention Centre (QSNCC), Bangkok International Trade and Exhibition Centre (BITEC), Impact Muang Thong Thani, Bangkok Convention Centre (BCC) at Central Plaza, and Pattaya Exhibition and Convention Hall (PEACH).

Medium-sized convention halls are also available at the Siam Paragon complex and the Central World Trade Centre right in downtown Bangkok, surrounded by dozens of hotel facilities all within walking distance.

In addition, new centres are emerging in regional destinations like Chiang Mai and Phuket.

Several major events are to be held in Thailand this year, such as the World International Islamic Conference & Exhibition Thailand 2007, IT&CMA / CTW Asia-Pacific, ICCA 2007, Media Asia Expo 2007, Proud Asia 2007, and Worlddidac Asia 2007.

Gulf Air and Tourism Malaysia join hands

Gulf Air and Tourism Malaysia signed an agreement to jointly promote Malaysia’s 50 years of nationhood. The agreement, signed by Gulf Air and Tourism Malaysia, comes after last year’s Memorandum of Understanding (MOU) between the two sides to set up a task force to seek ways to jointly promote “Visit Malaysia”.

"Malaysia is an extremely popular destination for tourists from the Middle East and over the years the country has been witnessing a steady increase in the number of tourists’ arrivals from the region," says Gulf Air General Manager Bahrain Abdulmalik Al Saei.

Malaysia received as many as 12,404,377 tourists between Jan and July 2007, a 24 % jump over the same period last year.

Around 130, 000 tourists from the Middle East and Iran visited Malaysia in the first half this year, up nearly 42 percent when compared with the same period last year.

Visitors from Bahrain alone jumped 24.4 percent higher to 3,246 in the first seven months this year up from 2,610 during the same period in 2006.

Gulf Air’s Head of Marketing Peter Rothel says the airline is eager to tap into the influx.

"Gulf Air has been flying to Kuala Lumpur for years and with the strongest network in the Middle East, the airline is best positioned to cooperate with Tourism Malaysia," says Gulf Air Head of Marketing Peter Rothel adding that "the airline has lined up very attractive offers as part of the campaign."

Gulf Air, which operates daily flights to Malaysia, has slashed prices to 149 BHD for a roundtrip (Bahrain-Kuala Lumpur-Bahrain) starting October and until the end of the year.

"The campaign is timely as it gives visitors the opportunity to attend world-class events and festivals taking place in Malaysia over the next three months," adds Mr. Rothel.

Malaysian officials have welcomed the tie up with Gulf Air, which is the most established carrier in the region, and the Kingdom of Bahrain.

Events coming up during the next three months are the Malaysian Motorcycle Grand Prix (19 October-21 October) featuring the world’s greatest riders, Malaysian International Gourmet Festival (2 November- 29 November) which is the country’s premier gastronomic event featuring the world’s best chefs and the Malaysia Year End Sale Carnival (1 December 2007 to 1 January 2008) offering great bargains.

Airport News

Birmingham: third terminal yes, second runway no

Officials at Birmingham International Airport in the UK have unveiled a £1 billion (US$2 billion) vision for the facility, which involves the building of a third passenger terminal and the extension of the existing runway.

Plans to build an extra runway have been scrapped however, because officials believe projected increases in passenger numbers to about 27 million a year by 2030 can be accommodated by these extra services.

The latest plans will be submitted later this year and should be completed in time for the 2012 London Olympics.

Birmingham's acting managing director Joe Kelly says the £120 million (US$240 million) 400m runway extension will allow the airport to handle non-stop, long-haul flights to China, the Far East and the west coast of America.

A tunnel will be created as part of the extension project, to allow the A45 highway to pass under the runway.

The vision for Birmingham Airport is contained within an interim master plan published today, which has been approved by Australia's Victorian Funds Management Corp and Canada's Ontario Teachers Pension Plan, which last week together bought a 48.25% stake in the airport from Macquarie Airports Group and Ireland's Dublin Airport Authority.

Plans to produce a full master plan, as required by the UK Department for Transport, have been delayed pending the outcome of Coventry Airport’s appeal against the refusal of planning consent for a new terminal building.

Manchester to track passengers for retail boost

Manchester Airport is to begin trials of inexpensive UHF tags to track passenger movements in order to boost retail sales.

The UK’s third largest airport tried tracking passenger movements last year to understand passengers’ behaviour as they travel through the airport, but decided the RFID technology was too expensive to justify full rollout.

Yemmi Agbebi, head of business development at the airport, says the investment in more affordable UHF tags to track passenger movements around retail areas is likely to provide a better return than employing the technology to maximise supply chain efficiency.

The system will be used to maximise the amount of time spent by passengers in the retail area, by highlighting occasions when passengers are delayed in security, for example. It will also alert staff to prevent passengers from accessing restricted areas, and improve staff identification and border security.

The recent introduction of a global UHF standard has brought down the cost of RFID tags, but the technology presents challenges in airport environments because UHF is affected by water in the human body and metal in luggage.

September 26, 2007

PATA Travel Mart strength reflects Asia Pacific growth

REPORT - BALI - PATA TRAVEL MART: PATA Travel Mart 2007 (PTM07) opened in Bali today (26 September) with a total built-up floor space of 4,294 square metres (sq m). PATA President and CEO Mr Peter de Jong said: “Going from strength to strength, the Mart is again setting records in 2007.”

“In today’s highly competitive marketplace, this strong sustained growth is a truly remarkable performance.”

Mr de Jong attributed strong member support and increased seller representations from South Asia, Northeast Asia and the Pacific as reasons for the Mart being recognised as one of the biggest travel contracting and networking shows in Asia Pacific.

“In many ways, the success of the Mart is a reflection of the dynamism and the strength of the Asia Pacific region.”

Helping to drive this growth is the strong performance of Asia Pacific travel and tourism, which last year came close to 356 million international arrivals for the first time.

Travel to Asia Pacific destinations will continue to outperform long-term average global growth rates, expanding by around 6% per annum to 2009, according to the ‘PATA Annual Statistical Report 2006’, which was launched yesterday (25 September) at the Mart.

“In 2007, Asia Pacific has so far added an additional 13.8 million international arrivals and expanded volumes by 7.1% year-on-year,” said PATA Director - Strategic Intelligence Centre Mr John Koldowski.

“Flows between China (PRC), Hong Kong SAR and Macau SAR continue to dominate the numbers, adding 3.8 million additional arrivals and expanding 6% in the first six months of 2007,” he added.

Mr de Jong confirmed the official delegate numbers for PTM07. A total of 423 buyers representing 343 organisations from 49 source markets have arrived at Bali International Convention Centre for PTM07.

Buyers have come to negotiate with 830 seller delegates representing 376 travel organisations from 38 destinations.

Mr de Jong described the global nature of Asia Pacific’s source markets: “We are pleased to welcome buyers from emerging source markets such as Cyprus, Fiji, Malta, Slovakia and Turkey.”

Mr de Jong said: “From a seller perspective, we have a good cross-section of inbound operators, hotels, national and regional tourism offices, cruise operators, airlines and airports. Seller representation which has also grown strongly over the last few years has this year extended to include Canada.”

He added: “Not surprisingly, we are still seeing a presence from mainland China, with 14 seller organisations, taking 144 sq m of floor space.”

Mr de Jong reaffirmed PATA’s commitment to growing its activities in the “critical market” of China (PRC).

Highlighting some of the features at this year’s Mart, Mr de Jong talked about the outbound workshops organised by PATA’s Strategic Intelligence Centre which will offer essential insights into the source markets of China and the USA; both collectively generated more than 90 million international arrivals to Asia Pacific destinations last year.

For the first time, the annual PATA Foundation Silent Auction and the PATA Gold Awards presentation ceremony is being held in conjunction with the Mart.

“The awards presentation lunch on Friday is dedicated to honouring our 2007 Grand and Gold awards winners for their exceptional achievements,” said Mr de Jong.

Mr de Jong cited PATA’s continued successful repositioning of the Mart and strong strategic support from the Ministry of Culture and Tourism – Republic of Indonesia, official airline Garuda Indonesia, the Bali Government Tourism Office, and PATA Indonesia and Bali & Nusa Tenggara chapters, as major contributors to the success of PTM07.

DOT opens US - China aviation routes

Flying from the United States to China will be more convenient, thanks to new direct routes from Atlanta and San Francisco announced by U.S. Transportation Secretary Mary E. Peters. The Secretary also announced proposed awards for service from Chicago, Newark, Detroit and Philadelphia.

“By bringing China and the U.S. one step closer, we increase our ability to compete, boost our success in the global marketplace, and make international travel for all passengers easier and more affordable,” Secretary Peters said.

Secretary Peters announced that Delta Airlines had been awarded a new direct route from Atlanta to Shanghai, making them the first airline to fly that route. The Secretary also announced that United Airlines was awarded a direct route from San Francisco to Guangzhou, to begin flying in 2008. Both the Delta and United awards represent final decisions by the Department.

Peters also proposed awards for four new daily flights to begin in 2009: American Airlines for Chicago-Beijing service, Continental Airlines for Newark-Shanghai service, Northwest Airlines for Detroit-Shanghai service, and US Airways for Philadelphia-Beijing service. Final decisions of these proposed awards will be made in the near future after further public comment.

Secretary Peters said the announcement is the result of an agreement signed in July with the Chinese government to open up airways between the two countries and double the number of daily flights allowed between the U.S. and China over the next five years. The agreement also allows for new cargo flights operating to and from the U.S. and China.

By increasing competition, allowing more flight options, and reducing costly stops and layovers, these new direct routes are expected to lower fares and increase convenience for both business and leisure passengers to travel to China, Secretary Peters said.

Russia Aims To Sell 1,000 Superjet Airliners

Reuters - Russia plans to sell at least 1,000 of its new Superjet regional airliners, with 70 percent destined for export, manufacturer Sukhoi said on Tuesday.

The ambitious target exceeds the total number of comparable models on the backlog of the Canadian and Brazilian firms who currently dominate the market for planes under 100 seats.

The 78-98 seat Superjet will be unveiled on Wednesday at a Sukhoi jet fighter factory in Russia's Far East. It is the country's first significant civil aviation project since the end of the Soviet Union.

Sukhoi Chief Executive Mikhail Pogosyan said the state-owned company plans to reach a peak production rate of five or six aircraft a month in 2010 and would break-even after 300 planes.

So far it has sold 73 Superjets, mainly to Russian airlines for delivery starting in 2008. It aims to get the planes certified for use in Europe and the United States next year.

By the end of 2007 it plans to make the first test flight and bring the order book up to 100 jets valued at USD$2.8 billion.

Contractors said there were no signs of a further sale to coincide with Wednesday's roll-out, which is instead being presented as a symbol of Russia's industrial revival.

"This is a very serious step for the company and one of the most important steps towards the renaissance of the Russian aerospace industry," Pogosyan said.

About 1,000 visitors are expected in Komsomolsk for the roll-out, straining the resources of a town once forbidden to travelers as a nerve centre of Soviet submarine and military aircraft production.

Pogosyan, a charismatic engineer credited with selling his Superjet ambition to the Kremlin and foreign investors, gave journalists and suppliers a tour of the massive KnAAPO plant.

Guests were kept well clear of its 15,000 military workers or hardware from Russia's biggest war plane maker, apart from an occasional glimpse of a Sukhoi "Flanker" -- a legendary fighter designed to combat the McDonnell Douglas/Boeing F-15 Eagle.

Boeing is now advising Sukhoi on the Superjet but has not invested any cash, Pogosyan said.

"We have a serious past but the world has changed and we could not continue without a strong civil base," he said.

Russian aviation collapsed after the fall of the Soviet Union but President Vladimir Putin has promised to breathe new life into the sector in a move to reassert Moscow's clout.

Russian aerospace ambitions have caused some unease in Europe after a state-controlled bank grabbed a 5 percent stake in Airbus parent EADS last year. Nerves were also rattled when Moscow recently restored strategic bomber patrols.

In Sukhoi's workshops, traces of the Cold War remain as welding sparks fly under giant paintings depicting the strength of the Soviet worker. But Western industrialists were left with few doubts that Sukhoi is retooling for a commercial battle.

"They are moving forwards and bringing in the resources. When this gets going it will really get going," said Philippe Petitcolin, head of French engine firm Snecma.

Snecma, part of French conglomerate Safran, teamed up with Russia's NPO Saturn to build the Superjet's engines. French firm Thales is providing avionics.

Key to the project's success or failure, according to analysts, is Italian firm Alenia Aeronautica, which took a 25 percent stake in Sukhoi's civil division. Its task is to coordinate after-sales service, seen as crucial for winning airline contracts.

Asked whether Sukhoi might open its civil subsidiary to other investors or a stock market flotation, Pogosyan said: "Everything is possible."


Giant ads planned for airport flight paths


Giant advert billboards the size of three football fields could be in place along the flight paths of some of the world’s busiest airports. UK advertising agency Ad-Air is hoping to kick off the initiative next month at Abu Dhabi, and similar installations are planned near airports in London, Paris, Geneva, Los Angeles, Tokyo and Los Angeles from early next year.

Ad-Air spokesperson Kate Rosser says the 20,000m² ads will be on private property and will easily be visible to passengers on flights approaching the airport. They will be printed on a fabric mesh-type material that will be suspended above the ground, facing skyward.

“This record breaking new medium delivers a captive audience of millions of premium international passengers,” she adds, though she refuses to say which companies will be advertising.

Officials at Hartsfield-Jackson, the world’s busiest airport, say they have not heard about the giant ads

September 25, 2007

Qatar Airways Launches Flights To Nagpur

Qatar Airways Flight QR288 from Doha arrives on its maiden journey to Nagpur to a firemen's salute welcome ceremony.

Nagpur, INDIA (24 September 2007) - Qatar Airways today celebrated the launch of scheduled flights to the central Indian city of Nagpur marking the airline's seventh destination in India.

The Civil Aviation Minister of India, the Honourable Praful Patel, was among the guests at Dr. Ambedkar International Airport in Nagpur to welcome the first flight and the airline's Chief Executive Officer Akbar Al Baker who flew on the inaugural from Doha.

Flight QR288 touched down at the city's airport this morning to a welcome ceremony, which included Indian dancing and the symbolic traditional lighting of the lamp, seen as an auspicious occasion to herald launches.

Qatar Airways is the only full-service scheduled international airline from the Middle East flying to Nagpur. The launch of twice-weekly flights between Doha, capital of the State of Qatar, and Nagpur takes the airline's burgeoning network across India to 44 services a week.

The Nagpur route is being operated with an Airbus A320 aircraft in a two-class configuration of 12 seats in Business Class and 132 in Economy.

Lighting the symbolic diya at the official airport ceremony following the arrival of Qatar Airways' inaugural flight to Nagpur are from left: Maharashtra State Minister, Anil Deshmukh; Qatar Airways Regional Manager India, Naveen Chawla; Qatar Airways Chief Executive Officer, Akbar Al Baker; Honourable Minister of Civil Aviation of India, Praful Patel; Air India Chairman and Managing Director, Vasudevan Thulasidas.

Qatar Airways is today one of the largest foreign airlines serving India with flights to seven cities - Nagpur, Mumbai, Delhi, Chennai, Trivandrum, Cochin and Hyderabad. With the launch of daily flights between Doha and Gujarat state's largest city of Ahmedabad in western India starting on December 12, Qatar Airways will reach a milestone 51 services a week linking Qatar with India.

Speaking on arrival in Nagpur, Qatar Airways Chief Executive Officer Akbar Al Baker said the city was a welcome addition to the airline's family of destinations across India.

"Following on from our highly successful daily Mumbai flights, Nagpur will become Qatar Airways' second gateway city in Maharashtra, giving our passengers greater choice," he said.

"From Europe, Middle East, Africa and North America - Nagpurians have an ample number of cities on these Continents to choose from and I look forward to welcoming our new passengers on our award-winning Five Star service to Doha and beyond.

"We are proud to put Qatar Airways firmly across the Indian map and delighted to say that India has the largest number of routes for Qatar Airways than any other country we currently serve."

Traditional rose petals are laid in front of Qatar Airways' official delegation headed by Chief Executive Officer Akbar Al Baker, accompanied by the Honourable Minister of Civil Aviation of India, Praful Patel, during the airport arrival ceremony and press briefing in Nagpur

Al Baker applauded Praful Patel, India's Civil Aviation Minister, for his drive, commitment and personal endeavours over the years to open up the Indian aviation industry to greater competition, which he said was good for the travelling consumer.

Bilateral relations between Qatar and India, he explained, were strengthening and the additional routes only reinforced the commitment between both countries to strengthen their ties.

Located in the State of Maharashtra, Nagpur has a population of over two million people, has a rich farming belt and is India's orange-growing centre. International companies have begun looking at Nagpur as India's next base of technological excellence.

Nagpur is an extremely resource-rich region of Maharashtra offering tremendous business opportunities as it is also one of India's largest inland container transport hubs. A new economic zone and airport are being planned in the city.

Added Al Baker: "2007 has been a fantastic year for Qatar Airways with the launch of nine new destinations so far, including two Indian routes of Chennai earlier this year, and now, Nagpur. With Ahmedabad coming on line in December, Qatar Airways will further strengthen its position in the Indian market."

Pictured left to right: Qatar Airways' Chief Executive Officer Akbar Al Baker, the Honourable Minister of Civil Aviation of India, Praful Patel and Maharashtra State Minister, Anil Deshmukh.

With the growth of the Indian economy into a potential global powerhouse and Qatar's drive to spread its economic wings, increasing air links between the two countries is of paramount importance to boost trade and commerce. Bilateral trade between India and Qatar has an estimated value of just US$1 billion, the majority represented by the export of $690m worth of Qatari liquid natural gas (LNG) to India.

Qatar Airways currently operates a modern fleet of 58 all-Airbus aircraft to 79 destinations across Europe, Middle East, Africa, Far East, Indian subcontinent and North America. The highlight of this year's expansion has been the launch of flights to New York (Newark) and Washington DC - the airline's first move into the North American market.

With a growing international network, more travellers have an opportunity to use Qatar Airways' Premium Terminal at Doha International Airport, exclusively for departing First and Business Class passengers.

The Premium Terminal features facilities including a spa, jacuzzi, exclusive duty free shopping, business centre and fine dining restaurants. Built in just nine months, the US$90 million terminal is the world's first commercial passenger building dedicated to First and Business Class passengers and offers departing and transit passengers an excellent opportunity to relax and unwind prior to their flight.

DOHA - NAGPUR Schedules:

Route Days Flight Number Departure Arrival
Doha - Nagpur Wed, Sun QR288 2200 0430*
Nagpur - Doha Mon, Thur QR289 0535 0705

* Arrival the following day

Munich gets green light for Maglev link

Munich gets green light for Maglev link Munich Airport is set to be linked to its city by a high speed magnetic-levitation train service provided by Transrapid International, a consortium which includes ThyssenKrupp and Siemens.

The long-awaited go-ahead for the project follows yesterday’s agreement between the Bavarian state government, Germany’s rail operator Deutsche Bahn and Transrapid International.

The Transrapid service will be the first to operate commercially in Germany – though the system is already in regular service in Shanghai, China. When it opens in 2014, the Euro 1.85 billion project will provide a 10-minute link for the 37km journey between the city of Munich and its airport, which is one of the fastest growing in Europe.

Speaking last year, Dr. Michael Kerkloh, CEO of Munich Airport, said that Transrapid would eliminate the biggest shortcoming of the airport. “Our airport is poorly situated in terms of good connections. Due to the airport’s geographical location, there is no chance of getting a direct high-speed intercity rail link, the nearby highways are hopelessly congested and the commuter rail system is already stretched to capacity.”

Sri Lanka commits funds to Weerawila

Progress in the development of Weerawila International Airport in Sri Lanka has received a boost with the news that the government plans to finance the construction project from its own funds until an investor is found in the US$125 million project.

"Around 1,100 hectares of land at Weerawila has been earmarked for the project. However, we have permitted persons residing in the outskirts of the proposed airport to remain in their houses until the work begins," says Deputy Ports and Aviation Minister Sarath Kumara Gunaratne.

State-owned Airport and Aviation Services (AASL) will provide US$44 million towards the US$110 million cost of the first phase of the airport project, which will include a modern terminal, a 4,000m runway and parking spaces for up to eight aircraft, including the giant Airbus A380.

Weerawila International Airport is due to open in 2009, and is expected to function mainly as a hub for planes flying to Europe via Southeast Asia.

A second phase in which the capacity of the airport will be increased to 14 aircraft is expected to be completed by 2011.

Frankfurt terminals to go non-smoking

The State of Hesse Non-smoker Protection Act will also apply to Frankfurt Airport with effect from 1 October. Both passenger terminals will become non-smoking facilities and the “smoking islands” currently located in the departure and arrival halls will be removed.

Passengers and visitors in the public areas will have to go outside the terminal to smoke. Smoking areas with ashtrays will be available at all entrances and exits to the terminals.

Airport operator Fraport is considering installing five glass-enclosed smoking cubicles with ventilation and carbon-filter systems in the transit areas of Terminals 1 and 2.


Swissport’s Tanzania monopoly set to end

Tanzania’s Civil Aviation Authority will this December liberalise the country’s airport services, including the passenger handling, cargo and aircraft services currently handled by Swissport Tanzania.

Swissport Tanzania is listed on the Dar es Salaam Stock Exchange and has operated an exclusive contract in the country since 1984. In the past six months, Swissport handled 8,100 flights and 11,609 tonnes of cargo.

TCAA says, “A general agreement emerged that the liberalisation of ground handling services is desirable and in line with existing policies.”

TCAA is expected to spend the next few months assessing and identifying key infrastructure facilities that prospective airport operators would be required to install within a year.

Air India approached for land deal in Mumbai

Air India approached for land deal in MumbaiAir India approached for land deal in Mumbai Mumbai International Airport (MIAL), the joint venture between the GVK-South African airports and Airports Authority of India (AAI), has approached Air India to acquire land for the proposed integrated terminal at the Mumbai airport. This latest move follows MIAL’s decision to cancel plans for a second runway at the airport, as set out in the airport master plan, due to difficulties in acquiring land around the existing airport.

“It makes sense to have an integrated terminal,” says an MIAL spokesperson. “It’ll be convenient for transit passengers as they won’t have to go from one end to another end of the airport. Hence, we are talking with Air India for land. In fact, that land belongs to the airport, but is in the possession of the airline.”

MIAL previously planned to have two terminals, one at Sahar for international traffic and the other at Santa Cruz for domestic passengers. The new plan calls for an integral terminal for both international as well as domestic passengers, while Santa Cruz would be used for dedicated cargo handling. The proposed terminal would have an annual capacity of 40 million passengers.

The new plan forms part of the airport’s US$1.7 billion master plan prepared by Netherlands Airport Consultants due to be rolled out in phases over the next 10 years. It must be approved by India’s civil aviation ministry before work can proceed.

British top EU airports complaints league

British airline passengers are the unhappiest in the European Union, according to a new study by the European Commission. The research looked at the number of complaints made to regulators in the union’s member states. Over a third of the 18,000 complaints recorded came from people flying through British airports.

A total of 6,080 complaints were made to the Airport Users Transport Council by British-based travellers in a 12-month period ending in 2006. That compares with 2,700 complaints made to the regulator in France and only 1,589 complaints made in Germany.

The reports authors predict that the British regulator is likely to attract more complaints in the current year following well-documented increases in flight delays and baggage losses at the country’s airports.

The most frequent causes for complaint in Europe were flight delays and flight cancellations. However, there was a preponderance of complaints from British passengers demanding compensation for being booked onto over-booked flights.

US Could Limit Flights At New York's JFK

Reuters - The US government has taken the first step toward possibly limiting flights as early as next summer at New York's John F. Kennedy Airport, one of the busiest and one of the worst for delays and congestion.

The Federal Aviation Administration has taken the rare early step of asking major carriers for their JFK scheduling information for next spring and summer, according to a regulatory notice obtained by Reuters.

A similar request also was sent to airlines at New Jersey's Newark Airport, another location hit hard by delays this year.

Airlines must respond to both requests by October 11.

The FAA only reviews schedule information this far in advance at a handful of airports nationally, and only controls flight operations at two, New York LaGuardia and Chicago O'Hare.

"We want to determine if there will be periods where scheduling exceeds capacity," said FAA spokeswoman Laura Brown.

The scheduling request, Brown said, does not mean the agency has decided to limit flight operations.

But the FAA said in its notice to airlines: "This could result in operational limits during peak hours."

JetBlue Airways is based at JFK and Delta Air Lines operates two terminals there. In a statement, JetBlue said it supported FAA efforts aimed at "getting ahead of congestion" and encouraged the agency to immediately convene a meeting of airlines to discuss scheduling.

"We look to their leadership to help resolve congestion issues," JetBlue said.

American Airlines operates international and some domestic service at Kennedy. United Airlines has significantly reduced its presence at JFK.

The International Air Transport Association, which represents international carriers, said the status quo of delays was not acceptable, noting that airlines waste fuel and emit more emissions if arrival and departure times are extended. About 100 international carriers serve JFK.

"By reviewing schedules in advance, we hope this will help FAA and Port Authority improve efficiency and better plan for the peak operations next summer," an IATA spokesman said.

Flight delays and departures are on a record pace for 2007, prompting consumer dissatisfaction and congressional attention to airline service.

Airlines are trying to maximize revenues to keep their modest recovery on track and would not welcome government interference. Carriers argue they are just meeting demand and that other aviation operations, like corporate jets, play a role in congestion, especially in New York.

Major airlines nationally operated more than 4.3 million flights for the first seven months of 2007, and reported 1.08 million delays. More than 106,000 flights have been canceled. In July alone, airlines scheduled a record number of flights, more than 647,000.

Airline operations at JFK jumped 23 percent between October 2006 and July 2007 compared to the same period a year earlier, Transportation Department figures show.

Average daily arrivals with delays greater than one hour at JFK increased 114 percent and the airport's on-time arrival rate fell from 69.7 percent to 61.2 percent. JFK's arrival rate in July alone was the worst of any major airport, 57 percent.

Marion Blakey, whose term as FAA administrator ended earlier this month, said in a speech before she left office that airlines needed to "take a step back" on scheduling, especially in the East, or the FAA could intervene.

According to the notice, the FAA wants to review scheduling between March and November 2008, particularly during the 7 a.m. to 10 a.m. and the 2 p.m. to 10 p.m. slots. Those periods are peak times for business travel.


SAS Q400s Grounded For At Least Another Week

Reuters - Scandinavian airline SAS said on Tuesday it expected its fleet of Dash 8-400 aircraft to remain grounded for at least another week after crash landings earlier this month due to undercarriage failures.

"We estimate that the required inspections and replacements of components will keep our Q400 (aircraft) on the ground for at least another week," SAS said in a statement.

SAS, which has cancelled hundreds of flights since September 12, has said grounding the 27 planes, made by Canadian firm Bombardier, costs up to SEK15 million kronor per day.

Last week, the Danish Civil Aviation Administration (CAA) said the flight ban on SAS's Dash 8-400 aircraft would be lifted gradually as each plane is inspected.

The CAA currently holds the rotating chairmanship of Scandinavian aviation authorities, which also include Sweden and Norway. Half of SAS is owned by the governments of Sweden, Denmark and Norway.


Cathay Says China Eastern Deal Halted

Reuters - Cathay Pacific Airways said on Monday it had wanted to enlist the parent of Air China to buy a slice of rival China Eastern but the deal would no longer go ahead.

Cathay, Asia's No. 3 carrier, said it had planned to team up with China National Aviation Holding Co to buy into China Eastern, which would have scuppered an agreed USD$918 million joint acquisition by Singapore Airlines and Temasek Holdings.

Analysts said Cathay feared competition from Singapore Airlines on its lucrative Chinese network.

Cathay did not explain why it had withdrawn its proposal, and did not give details of the intended purchase, which it said never got to the stage where it had to submit a proposal to China Eastern.

Executives were not available for comment.

Cathay said its shares, which were halted from Friday, would resume trading on Tuesday. They had gained 12.4 percent over the past week before the trading halt.

Singapore Air's shares ended Monday 0.53 percent higher.

Speculation of a Cathay-Air China investment in China Eastern had been spurred by newspaper reports and analysts' comments, which had buoyed stock in Cathay and the Chinese airlines involved.

China Eastern's shares, following a 50 percent gain last week, did a Monday afternoon about-turn as analysts cast doubt on the probability of a deal. The shares fell 10.5 percent after an 8 percent rally to a record earlier on Monday.

"It seems investors estimated the Cathay deal was only a rumour," said Castor Pang, a strategist with SHK Financial. "The rumour pushed the stock price up too high."

Air China confirmed Cathay's proposed deal, and also said it would not go ahead, at least in the next three months. It did not elaborate. Its shares, suspended from last Friday, would also resume trading on Tuesday.

Talk of a deal had ranged from a bidding war between Cathay and SIA to a government-led takeover of China Eastern.

Newspapers, including the South China Morning Post and the Wall Street Journal, cited sources as saying a concrete investment was imminent.

Air travel is booming in China, fuelled by double-digit rates of economic growth, international tourist and business travel and Beijing hosting next year's Olympic Games.

The sector had been devoid of major foreign investment until Cathay and SIA both engineered deals.

Singapore Airlines and government-run Temasek, a keen investor in China with a USD$108 billion global portfolio, this year proposed buying a combined 24 percent of China Eastern for USD$918 million. The deal awaits regulatory approval.

Cathay led an acquisition of mainland-focused Dragonair.

"Chinese carriers are under pressure amid a rapid open-sky policy taken by the authorities, and investors can help them speed up reform and improve standards," said an analyst at a European bank. Other Chinese airline stocks have also gained in the past week amid talk of consolidation or overhaul of the sector.


Aeroflot Not Considering Buying Alitalia

Reuters - Aeroflot is not considering buying Italian airline Alitalia at the moment and is inclined to drop the idea entirely, Deputy General Director Lev Koshlyakov said on Tuesday.

Aeroflot has said it wanted to see new, more attractive terms before deciding whether to bid for the Italian company.


Companies and associations call on Congress to strengthen America's economy and image abroad

More than 70 leading American companies and business organizations urged Congress to pass the "Travel Promotion Act of 2007" (S. 1661 and H.R. 3232). In a letter to all Members of Congress, an extraordinarily diverse group of organizations highlighted the economic and public diplomacy benefits of better communicating America's travel policies and competing for international visitors. "Support for travel promotion is vast and growing," said Geoff Freeman, executive director of the Discover America Partnership. "At no cost to the American taxpayer, the Travel Promotion Act of 2007 creates a true public-private partnership that can position the United States to welcome millions of additional visitors each year."

Since September 11, 2001, the United States has experienced a 17 percent decline in overseas travel, costing America $94 billion in lost visitor spending, nearly 200,000 jobs and $16 billion in lost tax revenue. The "Travel Promotion Act" would help reverse travel declines by placing the United States on a level playing field with its global competitors who often spend tens of millions of dollars recruiting visitors.

Oxford Economics projects that a $100 million promotion program would result in at least 1.6 million new overseas visitors per year, $8 billion in new visitor spending and $850 million in new federal tax revenue, at no cost to the America taxpayer.

ARINC introduces flight planning for mobile devices

ARINC DirectSM announced the addition of wireless mobile flight planning to its portfolio of services for business jet operators. According to the company, the new service, ARINC Direct MobileTM, is designed for pilots and flight departments who want to create and submit flight plans using portable BlackberriesTM or other personal wireless devices.

ARINC Direct Mobile service is available immediately, and offers most of the features of ARINC’s standard web-enabled flight planning service. Customers using the mobile interface can create and file flight plans, view their planned route of flight with weather radar overlays, update a departure time, retrieve text weather, or view the status of flight plans in their account. They can also create, and fax or e-mail a trip kit.

“Our Web interface only requires an Internet connection and access to a computer, and we process thousands of plans a day. But many customers have been asking for a wireless device option, to make last-minute changes or check on status when they cannot get to a computer,” stated Bob Richard, ARINC Direct Senior Director. “We wanted to be responsive to our customers’ needs and decided to dedicate a development team to accelerate our implementation schedule. Our beta version has just completed several weeks of successful testing with a select group of customers, and this feature is now available to everyone.”

Swiss names regional jet under local city in Switzerland

Swiss's Avro RJ100 HB-IXR has been named "Lufingen", coinciding with the town's current 850th anniversary celebrations. Lufingen is the first airport community to have its name and coat of arms borne by an aircraft of Swiss's European fleet. With the actual aircraft required for revenue-earning service, Rudolf Schumacher, Swiss's Head of Sales Switzerland, presented a model of the Avro RJ100 which will now bear the Lufingen name and crest to Jurg Badertscher, the present mayor, as part of the local Zurich Airport community's 850th anniversary celebrations. The Avro is the first aircraft of the Swiss European fleet to acquire the name of a local community around one of Switzerland's main airports under Swiss's new aircraft naming concept. Six of the company's long-haul jets have so far been named after Swiss cantonal capitals. Having previously given them names of Swiss mountains, the carrier has now adopted a policy of naming its long-haul aircraft after the capitals of the country's cantons. Under the same policy, the company's European aircraft are to bear the names of local communities around Switzerland's three main airports of Zurich, Basel and Geneva, along with those of selected Swiss tourist destinations.

September 24, 2007

Cathay Pacific to try and block Singapore Airlines

HONG KONG (AFP)- Hong Kong carrier Cathay Pacific will launch a four-billion-dollar attempt to block Singapore Airlines’ bid to gain a foothold in the booming Chinese aviation market, reports said Saturday.

Citing unnamed sources, Hong Kong’s South China Morning Post said Cathay Pacific would seek to buy a significant stake in China Eastern Airlines. That stake would be worth four billion dollars, Britain’s Daily Telegraph said.

The shareholding would then be used to try and scupper the Singaporean carrier’s own plan to acquire a key stake in China Eastern, the Post said.

Cathay would use it alliance with Air China, China’s largest airline which holds 11 percent of China Eastern, to block Singapore Airlines’ plan at a December shareholder meeting.

Singapore Airlines and the city-state’s Temasek Holdings said earlier this month that they planned to buy a combined 24 percent stake in struggling China Eastern for 923 million US dollars.

Analysts have said the deal would offer Singapore Airlines, among the world’s most profitable carriers, a foothold in the Chinese aviation market.

The deal requires the support of two-thirds of minority shareholders, the Post said.

China Eastern was based in Shanghai, which could have a growing role as an international aviation hub, and flew between Hong Kong and Shanghai, it added.

Cathay’s proposal was still be worked on, the Daily Telegraph said citing unnamed sources.

‘There are still a lot of moving parts,’ one person close to the situation was quoted as saying.

Cathay Pacific is expected to make a statement as early as Monday to the Hong Kong stock exchange after its shares were suspended Friday pending a price-sensitive proposed transaction.

The airline’s stock hit an all-time high of 23.05 Hong Kong dollars (3.0 US dollars) on Friday. China Eastern’s shares closed up 12.4 percent.