May 09, 2008

MALAYSIA AIRLINES LAUNCHES EVERYDAY LOW FARES, OFFERS 1 MILLION ZERO FARES FOR TRAVEL IN MALAYSIA

Subang: Malaysia Airlines today launched Everyday Low Fares, offering 1 million zero fares for all its domestic destinations to enable Malaysians to keep traveling, and to boost tourism.

Managing Director/ Chief Executive Officer, Dato’ Sri Idris Jala said, “We recently declared that Malaysia Airlines is transforming into the World's Five Star Value Carrier (FSVC) and we promised that customers will be able to enjoy 5 Star Services at low prices.

“We have successfully maintained our excellent products and services, and significantly reduced our cost by over RM1.3 billion over the last 2 years. At the same time, we have improved our pricing and inventory systems, and returned the company to profitability. We are now delighted to launch Everyday Low Fares, which offers competitive fares daily.”

To enjoy Everyday Low Fares, customers must purchase the tickets online and at least 30 days before flight departure. These tickets are non-refundable and the flight dates cannot be changed. All fares exclude airport tax and surcharges, RM76 (one way) for domestic travels and RM120 (one way) for travel between West and East Malaysia.

Customers will enjoy Malaysia Airline’s 5 Star services including refreshments on board, convenient schedules, on time departures, 20kg baggage allowance, allocated seats and many other benefits.

“This is a win-win situation for all; our customers enjoy low fares and 5 Star services while we fill up our planes. We are not losing any revenue from this as the seats represent 30% of surplus seats which would otherwise be unsold.

“This also provides us with the ability to recover some of the fuel costs which would otherwise be lost as the seats are perishable. At the time, we are providing a boost to the Malaysian economy. A study done by Khazanah and Bain Consulting shows that aviation has a multiplier effect of 12.5 to the Malaysian economy (i.e. every ringgit spent on aviation generates RM12.5 in the economy),” Jala also said.

To prevent dilution, Everyday Low Fares are only offered on lean flights and stringent terms and conditions have been put in place.

He added, "We are the first full service airline to do this in a big way. If we are successful, we will redefine the rules in the travel industry."

Low fares for ASEAN routes will be rolled out soon. The routes include Kuala Lumpur to Jakarta, Bangkok, Manila and Surabaya. Low fares from Penang to Singapore, Kota Kinabalu to Singapore, Langkawi to Singapore and Kuching to Singapore will also be offered.

With Everyday Low Fares, Malaysia Airlines also aims to change customers’ booking behaviour.

“We have studied our customers’ booking profiles very carefully, on a route-by-route and flight-by-flight basis. We know passengers usually book their tickets only within the last 30 days before the flight departs. With Everyday Low Fares, we want them to plan their travels and book early."

The booking period for Malaysia Airlines’ zero fares is from 5 to 19 May 2008, and travel period between 10 June and 14 December 2008.

Qatar Airways Future Expansion Tops 200 Aircraft Orders Worth Over US$30 Billion

Chief Executive Officer Akbar Al Baker Spells Out Airline's Growth Plans At Arabian Travel Market In Dubai

Dubai, UNITED ARAB EMIRATES – Qatar Airways Chief Executive Officer Akbar Al Baker today spoke of the airline’s aggressive expansion plans over the next few years highlighting orders for more than 200 aircraft worth over US$30 billion.

The national carrier of the State of Qatar is pursuing an ambitious growth strategy in line with the country’s dynamic economic boom where huge infrastructure development projects are fuelling the growth.

Addressing international media at Arabian Travel Market (ATM), the Middle East’s leading travel trade show being held in Dubai this week, Al Baker said the airline’s aircraft orders would help facilitate the country’s economic drive forward and turn Qatar into both a leading regional and global aviation hub.

He said a new wave of aircraft deliveries begins this summer with Qatar Airways’ third Boeing 777 joining the carrier’s 62-strong fleet.

From November this year, Qatar Airways takes delivery of the first of its Long Range Boeing 777-200 aircraft capable of flying to virtually any key city in the world non-stop from Doha. The first Boeing 777-200 will be introduced on the Doha – Houston route from November 10 with a non-stop flying time of 17 hours.

With impressive outstanding orders, including 80 of Airbus’ new-generation A350s, five twin-deck A380s, 60 of Boeing’s new 787 Dreamliners and 30 Boeing 777s, Qatar Airways’ fleet expansion will take it well into the next decade.

A brand new international airport under construction in Doha will help facilitate the growth with the first phase slated to open in 2010.

Qatar Airways currently has a diverse network of cities it serves across Europe, Middle East, Africa, Indian Subcontinent, Far East and North America.

Al Baker explained that Qatar Airways’ young fleet of Airbus and Boeing aircraft, which have an average age of just three years, will grow significantly to 70 by the end of 2008, rising further to 110 within five years. And he said that the number of global destinations in Qatar Airways’ international network, which currently stands at 82, will rise sharply over the next few years.

“Our vision at Qatar Airways is simple – to invest in, and maintain, a growing fleet of young and modern aircraft flying to key business and leisure destinations worldwide,” he said.

“Our long range Boeing 777s will open up tremendous new opportunities for us from the end of 2008 with the aircraft capable of flying to all corners of the globe non-stop and provide our customers with a unique flying experience and ultimate levels of comfort.

“Qatar’s strategic and geographical location in the heart of the Middle East presents us with excellent opportunities – but more importantly, give the travelling public from the region and around the world excellent connections via our Doha hub.”

Added Al Baker: “The new generation Boeing 787s and Airbus A350s will create even more opportunities, opening up new medium- and long-haul routes with greater operational efficiency.”

Qatar Airways currently has a diverse network of cities it serves across Europe, Middle East, Africa, Indian Subcontinent, Far East and North America.

Al Baker highlighted this year’s route expansion to include three new destinations. Having launched scheduled flights from Doha to the southern Chinese city of Guangzhou at the end of March – with a fifth weekly frequency introduced only last week – Qatar Airways now operates 21 services a week across China, covering also Beijing, Shanghai and Hong Kong.

Beginning June 15, Qatar Airways launches daily services between Doha and the south-west Indian coastal city of Kozhikode (formerly known as Calicut). Kozhikode will be the airline’s ninth Indian destination taking capacity across India to 58 weekly services.

And starting November 10, Qatar Airways launches its third US destination with direct non-stop flights to Houston, initially with three services a week, rising to daily in December 2008.

“This year, Qatar Airways is celebrating three exciting route launches of Guangzhou, Kozhikode and Houston, together with increased frequencies on many existing routes to give our passengers greater choice,” said Al Baker.

He also updated the media on progress of the New Doha International Airport. Reclamation work on the multi-billion dollar project has been completed as 60 per cent of the site is built on land dredged from the sea. Both runways are taking shape and terminal infrastructure is well under construction. The airport is due to open in 2010 with an initial capacity of 24 million passengers a year, rising to 50 million during the final development phase from 2015 onwards.

Qatar Airways is having its biggest ever presence at ATM this year, promoting a new corporate look and featuring a brand new exhibition stand, which includes a model of the New Doha International Airport and its long-haul First Class seat.

Entertainment promoting Qatar Airways’ three new routes for 2008 features prominently on the airline’s exhibition stand throughout the four-day show taking place at the Dubai International Convention and Exhibition Centre.

Regional work needed to further enhance air safety

The 2007 global accident rate of 0.75 hull losses for every million flights by Western-built jet aircraft was slightly higher than the 0.65 rate recorded in 2006 according to the 44th annual Safety Report released by the International Air Transport Association (IATA) yesterday (8 May). This was largely the result of tragic accidents in Africa, Indonesia and to some extent Brazil. IATA member airlines performed better than the industry average with an accident rate of 0.68 hull losses per million flights.

The number of global fatalities declined 19% from 855 to 692, even as passenger numbers increased by 6% to over 2.2 billion passengers in 2007. In absolute numbers, there were 100 accidents in 2007 (57 jet, 43 turboprop) compared with 77 accidents in 2006 (46 jet, 31 turboprop).

“Air travel is the safest mode of transportation. In the ten years from 1998, the accident rate was reduced by almost half - from 1.34 accidents per million flights to 0.75. And the number of fatalities dropped significantly in 2007. That’s good news. But our goal is always to do better: zero fatalities and zero accidents,” said Giovanni Bisignani, IATA’s Director General and CEO.

The IATA Operational Safety Audit (IOSA) is the global standard for airline safety management and a key tool in driving further improvements in global safety. All IATA carriers are required to complete audits and close all findings to join the IOSA Registry by the end of 2008. “Making IOSA a condition of IATA membership is a strong commitment by the industry to raise the bar on safety even higher. Our Partnership for Safety programmes are in place to help our members meet the standards and join the Registry. Safety is our number one priority and starting in 2008, IATA will finance the costs of the IOSA audits for its members. The results are transparent on iata.org/registry for all to see. And we will be tough. By the end of the year, carriers are either on the Registry, or they are out of IATA,” said Bisignani.

Regional Results: Regional accident rates varied. Russia and the CIS had zero accidents in 2007, following a disastrous year in 2006. At 0.09 and 0.29 accidents per million flights, North America and Europe had hull-loss rates significantly better than the global average. A spate of accidents in Indonesia pushed the Asia Pacific accident rate to 2.76 hull losses per million flights. Latin American accident rate was 1.61 hull losses per million flights. IATA is working with the Brazilian government on a comprehensive programme to improve safety - from IOSA to infrastructure improvements.

Africa had the worst record at 4.09 hull losses per million flights. “While this is an improvement over last year, it is still six times less safe to fly in Africa than the rest of the world. IATA is working side-by-side with our African members to bring them up to IOSA standards. And we just announced a US$3.7 million programme to give up to 30 African carriers access to IATA’s Flight Data Analysis service for a three-year period,” said Bisignani.

Contributing Factors: Almost half (48%) of the year’s accidents took place during landing. The majority of these accidents involved a runway excursion. Many of these accidents could have been prevented by the initiation of a timely go-around. IATA, in cooperation with the Flight Safety Foundation, is developing a toolkit that will address the issues linked to runway safety enhancement, including the prevention of runway excursions.

Almost 20% of all accidents in 2007 related to ground damage. Lack of standardisation can contribute to ground handling activities that result in damage to aircraft. IATA developed the IATA Safety Audit for Ground Operations (ISAGO) programme to drastically reduce aircraft damage and personal injuries in the ground environment. “Ground damage is a US$4 billion cost to the industry. The launch of the first global standards for ground safety with ISAGO will improve safety, cut costs and reduce redundant audits,” said Bisignani.

Almost half of the accidents in 2007 were linked to a technical issue; maintenance events contributed to almost 20% of all occurrences last year. IATA is revising its safety strategy to encompass maintenance activities and Safety Management System implementation for maintenance organisations.

Consumers: 50% of misleading airline websites corrected

EU Consumer Commissioner Meglena Kuneva published the mid term report on an EU wide enforcement investigation - involving 15 EU national authorities as well as Norway – against misleading advertising and unfair practices on airline ticket selling websites. The report shows that there are "serious and persistent consumer problems" throughout the airline industry as a whole. 1 in 3 websites surveyed (137 out of 386 originally checked by the 13 reporting countries) have had to be followed up with enforcement action over the last 7 months for breaches of EU consumer law. Over 50% of those websites have been corrected during this time.

"It is unacceptable that 1 in 3 consumers going to book a plane ticket online is being ripped off or mislead and confused", said EU Consumer Commissioner Meglena Kuneva. "This report shows there are serious and persistent problems with ticket sales throughout the airline industry as a whole. I intend to work with Member States to do everything possible to wrap up this investigation by May 1st next year. But these findings send a political signal we cannot ignore. I hope operators have now realised the determination of the Commission to act on behalf of consumers where it is necessary. My message to industry is clear, act now or we will act. We will need to see credible evidence of improvement to clean up these sales and marketing practices within the airline sector by May 1st next year or we will be left with no choice but to intervene."

The Main Results

The Commission's mid term Report on the airline ticket investigation provides a "snap shot" of the state of play of the enforcement work, based on the available data for 13 countries, on Feb 22nd 2008. The investigation focused on misleading pricing, availability of offers and unfair contract terms (including pre-checked boxes, clear contract terms available in the language of the consumer). The key findings are as follows:

  • 1 in 3 websites have required follow up enforcement action for breaches of consumer law.
  • Many sites had multiple problems. The overall trends of problems within the sector are as follows: misleading pricing has emerged as the biggest problem, found in 58% of the sites under investigation; irregularities related to contract terms were found in 49% of those sites (missing or wrong language version, and pre-checked boxes for optional services). Problems with non-availability of advertised offers appeared in 15% of the sites.
  • The problems exist across the airline industry as a whole – airlines and tour operators (the distinction between so-called low fare and traditional airlines is increasingly blurred in practice). Of the 79 sites being investigated because of problems of misleading pricing, 44 (56%) sites are airlines, 27 (34%) sites are travel agencies/tour operators, and 8 (10%) sites were other types such as price comparison sites. Of the 21 websites sites with problems to do with the availability of offers, 12 (57%) sites were airlines, 6 (28%) sites were travel agencies and 3 were "other". Of the 67 sites being investigated for unfair contract terms, 26(39%) sites were airlines, 34(51%) sites were travel agencies and 7(10%) sites were "other". (Many sites had multiple problems so the statistics for problems is therefore greater than the number of sites).
  • The problems persist amongst a wide range of companies. The 137 websites under investigation represent about 80 companies – including large brand names and lesser known companies.
  • Enforcement has now passed 50%. The tables in the mid term report (see summary table in attached memo) present the enforcement data as it stood on Feb 22nd 2008. Since then, enforcement has continued and further corrections have been made. Lithuania has reported that all the sites it flagged with confirmed irregularities have now been corrected, an additional 13 sites. This data puts the level of corrections at the end of April at over 50%.
  • Enforcement levels for national and cross border enforcement differ substantially. The report shows a 55% enforcement/correction rate (50 out of 90), for national sites, where authorities are dealing with companies based in their own country. This compares to a 12% enforcement rate (5 out of 42) for cross border cases, where national authorities are requesting assistance from an authority in another country to enforce the law with a company based in that member state.
  • Transparency. Legal constraints prevent the majority of Member States from publishing company names at this stage, while administrative or legal proceedings are ongoing. This is a key issue for the future functioning of the network. Norway and Sweden have made public lists of company websites under investigation (see link below).

What happens next?

Enforcement work within the network will be intensified, with a view to a further reporting back after 1st May 2009. The Commission will monitor developments in the airline sector over the coming year and assess the need for further action at that time. During 2008, updates on enforcement will be posted on national websites which can be accessed via the Commission's consumer affairs website.

Austrian Airlines May Take On Partner

Austrian Airlines, which is struggling to complete a deal with a key investor, could also consider working with a strategic partner, its chief executive said in an interview on Friday.

Alfred Oetsch, who has previously said the troubled airline did not need to work with a rival, told ORF radio: "The environment has changed dramatically."

In a deal announced in March, Saudi-Austrian investor Sheikh Mohamed Bin Issa al Jaber was to take a 20 percent stake in the airline via a capital increase at 7.10 euros per share, substantially higher than the current market value, for about EUR150 million (USD$230 million).

However, al Jaber has threatened to pull out after the airline posted a first-quarter EBIT loss of EUR50.1 million (USD$76.80 million) in April, much worse than expected, sending the shares sliding.

Talks with al Jaber go on, but Oetsch said it was possible to take on both a major investor and a strategic partner.

"If because of the environment and the current high fuel price, which will probably remain, it is not certain that we can be sustainably profitable even in crisis times, then we have to reconsider, also taking account of Austrian interests and the brand," Oetsch said.

He did not say who the airline might work with, but some market players have mentioned Lufthansa and Emirates.

Oetsch also dismissed calls for his resignation from shareholders at this week's annual meeting as irrelevant. (Reuters)

British Airways To Move More Flights To T5

British Airways and airports operator BAA said on Friday they would move a new phase of long haul flights to Heathrow's Terminal 5 building on June 5.

The two companies last month postponed the move to "at least June 5" following the chaotic opening of the new terminal, which saw flights cancelled, passengers stranded and baggage lost.

They confirmed flights to and from eight long haul destinations would now move to T5 on that date, including those to New York and Beijing. "Terminal 5 is now working well," BA Chief Executive Willie Walsh said in a statement. (Reuters)

Schiphol baggage workers strike

Schiphol baggage workers strikeMenzies Aviation baggage workers at Amsterdam Schiphol Airport went on strike today (Friday 9 May 2008) in support of their claim for a 3.5% increase in wages. The company is offering 1.5%.

The company handles around 10% of services at Schiphol, including flights by Alitalia, Corendon, Cathay Pacific, Delta and Japan Airlines.

Around 100 of the company’s 500 Schiphol workers are taking part in the strike, claims the De Unie trade union, causing some delays to services on one of the busiest days of the year at the airport as passengers return from spring holidays.


ARINC has completed the installation of its advanced common-use passenger check-in and baggage message distribution system at Singapore Changi Airport.

The project, which was completed in six months, includes 500 new common-use check-in and boarding gate workstations covering all three main terminals, including the newly opened Terminal 3. ARINC replaced all the common-use check-in and boarding equipment at Terminals 1 and 2 with the latest technology for enhanced operational efficiency and improved passenger handling.

“The speed with which we completed this large-scale project demonstrates ARINC’s commitment to service excellence in the region,” says Randy Pizzi, ARINC vice-president and managing director, Asia Pacific. “I’m also pleased to say the transition was a complete success, thanks to the close partnerships we enjoy with our airport customers, airlines and ground handling companies.”

ARINC’s Multi-User System Environment (MUSE®) technology allows airlines to share check-in desks and departure gates by using common workstations, thereby maximising airport operational efficiency and lowering costs.

Left: ARINC has completed the installation of its advanced common-use passenger check-in and baggage message distribution system at Singapore Changi Airport



Security boost at Burnie

Security cameras will soon be installed at Burnie Airport, Tasmania, Australia. The Australian Federal Government has given the airport US$85,000 for the cameras as part of its Regional Airport Funding Program. The chairman of the Burnie Airport Corporation, Paul Arnold, says, “With more than 87,000 passengers passing through the airport last year, it is important security is stepped up.”

SIA to increase capacity to Beijing with temporary A380 service

SINGAPORE – To satisfy higher demand on its flights during the lead-up to the commencement of the Olympic Games, Singapore Airlines (SIA) will fly the Airbus A380 super-jumbo on one of its three daily flights between Singapore and Beijing for one week in early August.

The first A380 flight to China will depart Singapore at 0830 on Saturday August 2, 2008, arriving in Beijing at 1440. On the return journey, SQ805 will depart Beijing at 1705 and touch down in Singapore at 2320 (all times local).

Thereafter, it will operate daily till Friday 8 August 2008, after which service will revert to the normal scheduled Boeing 777 aircraft.

Customers who hold ticketed bookings on flights to be operated by the A380 will be automatically accommodated on the new aircraft.

SIA to increase fuel surcharge

SINGAPORE – As a result of a sustained escalation in the price of jet fuel in recent months, Singapore Airlines (SIA) will increase its fuel surcharge for tickets issued on or after May 12, 2008.

The new levels will apply to SIA and SilkAir flights as follows: US$35 (up from US$30) per sector, for flights between Singapore and ASEAN countries; US$150 (up from US$130) per sector, for flights between Singapore and gateways in the US and Canada on a single-sector basis; and US$95 (up from US$80) per sector, on all other flights.

The new surcharge is subject to official approval in some markets, and some local variations may apply where regulatory approvals dictate.

SriLankan Airlines appoints CEO

COLOMBO – SriLankan Airlines has appointed Manoj Gunawardena as the airlilne’s chief executive officer. Gunawardena has been with the airline for over 25 years and has over 17 years of direct sales and commercial experience with SriLankan. He was appointed as Head of Worldwide Sales in May 2006 and is currently responsible for the airline’s global sales activities. Prior to being appointed Head of Worldwide Sales, he was Regional Manager UK, Europe and Americas, a position that he held from 2005.

Viva Macau roars with additional flights and new charter destination to Okinawa

(Macau) Traveling to and from Macau, Asia’s fastest-growing international destination, will become more convenient as value-for-money airline Viva Macau adds flight frequency to its Tokyo, Jakarta, and Sydney routes, as well as launching charter service to Japan’s resort destination, Okinawa.


Viva Macau, offering regular direct service from Macau to Tokyo, Indonesia, and Australia, announced expansion of frequency to its growing network.

The expansion will see the airline increasing its flights from Macau to Tokyo from two to four times a week, Jakarta from four to five times a week, and Sydney from three to four times a week.

In addition to the increase in flights to existing destinations, Viva Macau also announced its twice-weekly service to Okinawa, an international resort destination located southwest of mainland Japan. Its exotic sub-tropical climate, unique culture and breathtaking island sceneries are well-known among travelers in Macau, Hong Kong, as well as the Pearl River Delta Region.

This charter service which would open a new route for Macau not currently being operated by any airline, is subject to the approval of the Civil Aviation Authority in Macau.

Viva Macau CEO Con Korfiatis said the additional flights and Okinawa’s charter service would further strengthen Macau’s connectivity to the world.

‘The additional flights would bring in a new pool of air travelers into Macau, Asia’s hottest international destination of leisure, entertainment, events and conventions. The improved flexibility and convenience would be more appealing to those who wish to visit the booming Macau and provides a greater choice of direct access. It also provides the same flexibility and convenience to travelers from Macau and the Pearl River Delta,’ Korfiatis said.

Since Viva Macau commenced flights to Indonesia in December 2006, Australia in August 2007, and Japan in December 2007, visitor arrivals by air from these countries have grown by 71%, 290%, and 300% respectively, according to latest statistics between March 2007 and March 2008 from the Macau Government Tourism Office. The additional direct flights are expected to further promote growth in traffic between Macau and these exciting destinations.

‘The new Okinawa service opens up yet another new destination that has never been flown before out of Macau, offering more great-value travel options to travelers from Macau, Hong Kong and cities from the Pearl River Delta,’ Korfiatis added.

‘We are the only airline flying directly between Macau and our network on a regular basis. With the only direct links and value-for-money service, plus now the increased frequency and new destination, Viva Macau — together with Macau — is now an even more compelling destination,’ Korfiatis added.

The announced additional flights and new destination are ahead of further route expansion which will follow the acquisition of the airline’s third aircraft. Announcement of the new aircraft will be made in the very near future.

‘Macau’s tourism and economy will continue to prosper with more direct air links and new destinations offered by Viva Macau,’ Korfiatis said.

Libya, UAE sign air transport deal

Libya and the United Arab Emirates (UAE) have signed a cooperation agreement on air transportation and a memorandum of understanding allowing the UAE to have air links to some Libyan airports.

The agreement, signed by the head of the Libyan Office for Civil Aviation, Mohamed Chleibak, and the Emirati Ambassador to Libya, Abdallah M'Hamdi, compels both countries to accept each other's carriers.

Under the agreement, the UAE will accredit Libyan airlines (Libyan Arab Airlines and Afriqiyah Airways) while Libya will do the same for Emirati airlines (Etihad Airways, Emirat Airways, Ras Khaima Airways and Arabian Airways) as the UAE national carriers.

The two sides also signed a memorandum of understanding under which Emirati airline, Etihad Airways, will, from 2010, operate 21 flights to Libyan airports in Tripoli, Benina-Benghazi (1050 km east of Tripoli) and Sebha (800 km south of Tripoli).

Emirati Airways, on its part, will operate a Libya-UAE route with 28 flights linking Dubai to Tripoli, Benghazi and Sebha from 2009.

Boeing and Iraq Announce Aircraft Order, Discuss Support for Aviation Modernisation

Boeing and the Government of Iraq announced an order for 30 Boeing B737-800 commercial aircraft, the first step in re-establishing Iraq’s scheduled commercial aviation operations. Iraq has also contracted options for ten additional B737s. Boeing and Iraqi officials are also in discussions on how Boeing can assist with the modernisation of Iraq’s aviation infrastructure. Valued at USD2.2 billion at current list prices, the order was previously accounted for on Boeing's Orders & Deliveries Web site attributed to an unidentified customer.

In addition, Iraq and Boeing are finalising an agreement for 10 Boeing B787 Dreamliners, which will allow an Iraqi national airline to provide longer-range commercial service. The B787s will be added to Boeing's order book when the contract is completed.

"Today marks a new beginning for Iraq," Minister of Finance, Bager M. Jabor Al Zubaidy, said during a signing ceremony that was also attended by Prime Minister, Nouri al-Maliki, and Boeing Commercial Airplanes President and Chief Executive Officer, Scott Carson.

In recent months Boeing and Iraqi officials have discussed how Boeing can assist with the reconstruction of Iraq's aviation infrastructure and preparation for delivery and operation of new aircrafts. Boeing will offer advice and expertise in areas such as the planning and development of airport infrastructure throughout Iraq; helping train aviation sector personnel; aiding in the selection and acquisition of airline support equipment; and arranging for cost-effective maintenance and service solutions for used aircraft obtained prior to new aircraft deliveries.

Revised air service agreement between India and Iran

The delegations representing the Government of the Republic of India and the Government of the Islamic Republic of Iran met in New Delhi recently to discuss Air Services matters.

The following understanding was reached between the two countries with regard to capacity entitlements:

• The designated airlines of Iran shall be entitled to operate a total of 23 passenger/combination services per week in each direction, with an aircraft not exceeding the capacity of B747.

• Within the overall capacity entitlement of 23 frequencies, the designated airlines of Iran shall be entitled to operate to points in India as follows:-

Mumbai : 2 services per week

Delhi : 7 services per week

Cochin : 7 services per week

Amritsar : 7 services per week

• The designated airlines of India shall be entitled to operate a total of 23 passenger/combination services per week in each direction, with an aircraft not exceeding the capacity of B747, in accordance with the Route Schedule for the designated airlines of India.

• The designated airlines of India and Iran shall be entitled to operate any number of all-cargo services to/from any point(s) in the territory of the other side, via any intermediate point(s) and to any beyond point(s), with any type of aircraft with full 3rd, 4th and 5th freedom traffic rights.

It was agreed that Amritsar shall be granted as an additional point of call in India for the designated airlines of the Islamic Republic of Iran, and Bandar Abbas shall be granted as an additional point of call for the designated airlines of India.

The two sides have also agreed that:

• The designated airlines of India may exercise intermediate 5th freedom traffic rights via any two points of their choice on flights operated to/from Tehran and Bandar Abbas, and beyond 5th freedom traffic rights only on flights operated to/from Tehran.

• The designated airlines of Iran may exercise intermediate 5th freedom traffic rights via any two points of their choice (except points in the Persian Gulf) on flights operated to/from Mumbai, Delhi, Cochin and Amritsar, and beyond 5th freedom traffic rights only on flights operated to/from Mumbai.

Homeless Man Thwarts STL Security, Found Napping On Plane

Two contract security guards at Lambert International Airport in St. Louis, MO were suspended this week, after a homeless man was found sleeping onboard a parked regional jet.

KTVI-2 reports the man was able to slip past the two Whalen Security officers Wednesday morning, as they inspected a vehicle at a perimeter checkpoint. The 58-year-old homeless man was later found sleeping onboard a Trans States Airlines CRJ.

Local police called the incident a "hiccup" in airport security, according to KMOV-4. But airline analyst Mel Burkart said that doesn't begin to describe it.

"Obviously it was a thoughtless breach of security," said Burkart. "The potential is there. You know you have an airport like St. Louis that has hundreds of acres of ground and it has a fence up all the way around it but it's not monitored and it's not under total security vigilance day and night."

Airline employees found the man. TSA officials said the incident made clear the importance of "layered" security -- where airport, airline, and TSA officials are all watching for signs of something amiss.

"We all recognize that these layers are important because no single layer is 100 percent full proof, 100 percent of the time," said TSA spokewoman Carrie Harmon.

Viking Selects Seaplanes North As Spares Distribution Partner

Will Distribute DHC Beaver And Otter Parts In Alaskan Region

Viking Air Limited told ANN Thursday the company recently selected Seaplanes North of Anchorage, Alaska as its material sales and distribution center for DHC-2 Beaver and DHC-3 Otter parts to better serve its Alaskan customers. The decision comes as a customer service enhancement effort to facilitate faster overnight deliveries to the region and to eliminate potential customs delays.

"After much discussion, it was determined there was a good fit between our two companies to move ahead with putting this service in the Alaska", says David Curtis, Viking’s president and CEO. "We look forward to this new collaboration, improving and enhancing our customer support to the Alaskan operators."

"We are excited to represent Viking by stocking Beaver and Otter parts to support local operators", says Jeff Walker, Seaplanes North’s owner and manager. "We specialize in customer service based on honesty and fairness and we look forward to providing the same service to Viking’s customers."

In business since 2000, Seaplanes North is a well-established parts distributor and an aircraft maintenance provider located at Lake Hood, the busiest seaplane base in the world.

Viking launched the all new DHC-6 Series 400 Twin Otter last year, with over 40 orders to date and deliveries to begin in 2009. Viking also provides OEM support for the worldwide fleet of de Havilland heritage line of aircraft (DHC-1 through DHC-7).