September 25, 2007

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.

Fuselage fracture holds up China Airlines jet

Tokyo: Airport workers in western Japan found a 70-centimetre fracture in the fuselage of a China Airlines Boeing 737-800, an official said yesterday, weeks after a similar plane flown by the company exploded at another Japanese airport.

China Airlines maintenance workers discovered the hairline crack near the tail of the jet during a routine post-flight inspection on Thursday afternoon at Saga Airport, on the southern Japanese island of Kyushu, Transport Ministry official Rui Mitsuma said.

Incident-free flight

No anomalies were detected during the plane's flight from Taipei, Mitsuma said.

The fracture was found about 30 minutes before the plane's scheduled departure for a return trip to Taiwan's capital, a China Airlines spokeswoman said on condition of anonymity, citing company policy.

The airline sent another plane from Taipei to pick up the flight's 49 passengers, who left nearly 5 1/2-hours behind schedule on Thursday evening, she said.

A team of inspectors and maintenance workers had been dispatched from Taiwan yesterday, she said.

Japanese aviation officials launched an investigation, Mitsuma said.

On August 20, a China Airlines Boeing 737-800 that landed at Okinawa's Naha airport exploded in a fireball at a gate seconds after all 157 passengers and eight crew safely evacuated.

Investigators found a bolt on the right wing slat had come loose and pierced a fuel tank, causing fuel to gush out and catch fire.

The incident was a blow to the Taiwanese airline, which has been struggling to shake off its reputation for having a poor safety record. Boeing officials could not immediately be reached for comment.

The fracture was found about 30 minutes before the plane's scheduled departure for a return trip to Taiwan's capital.

Etihad set to begin Brisbane flights

Dubai: Etihad Airways, the UAE's national carrier, will launch services to Brisbane, its second destination in Australia.

Etihad is to increase its flying programme from Australia following the success of its Sydney service, the carrier said.

The airline will move in March 2008 from seven flights to 11 a week from Sydney to Abu Dhabi. The rise in flight frequency is a result of Etihad's Sydney service performing well since its launch in March.

More than 40,000 passengers have flown on the Sydney-Abu Dhabi route with a 68 per cent seat factor in economy, 85 per cent in business and 78 per cent in first class.

James Hogan, Etihad Airways chief executive, said: "Sydney has been Etihad's most successful launch since the airline began in 2003, which has resulted in us expanding our Australian operation with the launch of Brisbane at the end of September and the increase of our Sydney services next year."

The airline carried more than 1.9 million passengers in the first six months of 2007, compared to 900,000 for the same period in 2006, an increase of 111 per cent.

Positive contribution

Average seat factors of 65 per cent were experienced for the January to June period throughout the airline's global network.

Sydney Airport CEO Russell Balding congratulated Etihad on the additional services. "Since it commenced flying to Sydney Airport, Etihad has proven to be popular with passengers. Etihad has made a positive contribution to the development of the Australian aviation market. The extra flights confirm Sydney Airport as the national gateway and emphasise again the importance of Sydney Airport to the economic performance of Sydney and NSW.

"The success of Etihad, and its commitment to build its presence in Sydney, is very good news for the tourism industry and for the increasing number of Australians who want to travel internationally."

Thai Air boss slates Don Muang proposal

Proposals to reinstate Bangkok's former Don Muang Airport as an international airport have been criticised by the president of Thai Airways, Apinan Sumanaserani.

Caption: Thai Airways boss rejects proposals to reinstate Don Muang airport for international flights

Don Muang has been used only for domestic services in Thailand since the opening of Suvarnabhumi International Airport in 2006, but the popularity of Suvarnabhumi has encouraged Thai authorities to consider reinstating Don Muang as an international airport to ease congestion.

Projections suggest that passenger numbers will soon reach 45 million a year at Suvarnabhumi, but Apinan says the airport is busy during heavy traffic only and could easily cater to some 60-70 million passengers annually without problems.

He claims the number of passengers using Suvarnabhumi would not change if Don Muang was redesignated as an international airport, and passengers and airlines would face additional costs and complexities to support transfers between the two airports.

Volunteers test out Heathrow T5

Heathrow Airport is calling for 15,000 volunteers to help test facilities at Terminal 5 ahead of its opening next March. Airport operator BAA has arranged six months of tests to ensure the terminal runs smoothly when it opens. A free lunch and goodie bag are on offer to those who take part in the six-and-a-half-hour dress rehearsals, which begin today (Monday).

Caption: Construction workers handed control of the building to BAA and British Airways (BA) last week

BAA says the trials have been designed in light of the lessons learned from the security and baggage delays faced by passengers at other terminals over the past few months. A spokeswoman said: "We've been learning from the experience over the summer. We want to make sure the terminal is safe, secure and runs like clockwork before we open, and we need volunteers to help us do that."

The first four weeks, which according to the website are booked up, involve groups of 30 to 100 people being marshalled through the airport. But leading up to the building's opening, BAA will be looking for groups of up to 2,250 people to try out the facilities as if they were operating live. Each participant will be allocated an imaginary flight and then required to act out their particular passenger role.

Earlier this week, BA chief executive Willie Walsh said: "Terminal 5 is a fantastic opportunity for British Airways and will transform our operations, with less queuing, faster baggage systems and better punctuality."

Storm in a foot wash

Airport officials in Indianapolis are at the eye of a storm about the provision of washing facilities for Muslim taxi drivers in a new terminal's design. The foot sinks would be used for cleansing before daily prayers, which take place up to five times a day, but some local residents, led by a Baptist minister are objecting to the provision of such facilities on public property.

The special floor level foot sinks cost less than US$600 each and would be funded from airline revenues. They were specified because they are far easier to use for foot washing than conventional sinks, solve a potential safety hazard from wet floors and help to make the restrooms more sanitary.

Special floor-level sinks that would make it easier for Muslims to wash their feet before prayer are part of the current plans for restrooms that would serve taxi drivers in a new airport terminal due for completion next year.

Local Baptist pastor Rev. Jerry Hillenburg, who lost a son in Iraq two years ago, says he doubts whether the authority would ever install a baptistery or basins for holy water.

"I don't hate Muslims. I don't hate people who follow Islam, but I am at odds with anyone who threatens America and its citizenry, and I am at odds with anyone, period, who wants to destroy Christianity," he adds.




Beijing set for prayers

Beijing’s mighty new Terminal 3 building, which is due to open in January, will be the first in mainland China to feature prayer rooms for passengers. The prayer rooms are one of a wide range of customer services unveiled by Beijing Capital International Airport, to promote its ‘people-first’ aims for the terminal.

Besides rest rooms for mothers and infants, changing rooms, smoking rooms, first-aid rooms fitted with automated external defibrillators and the latest barrier-free security equipment, the airport will provide two prayer rooms for passengers who feel the need to pray before their flight.

The prayer rooms are located at T3B and T3C and will feature carpets, chairs and a supply of holy water.

Woman with fake bomb arrested at Logan International

BOSTON — A Massachusetts Institute of Technology student with a fake bomb strapped to her chest was arrested at gunpoint on Friday at Logan International Airport. Star Simpson, a sophomore from Hawaii, had a computer circuit board, wiring and a plastic-explosive-like substance in plain view on the front of her sweatshirt. A full-scale security operation was undertaken, revealing that the substance was in fact Play-Doh. The arrest took place at about 8 am outside Terminal C, home to United Airlines, Jet Blue and other carriers.

A Massachusetts Port Authority staffer manning an information booth in the terminal became suspicious when Simpson, wearing the device, approached to ask about an incoming flight. Simpson then walked outside, and the information booth attendant notified a nearby trooper. The trooper, joined by others with submachine guns, confronted her at a traffic island in front of the terminal.

State Police major Scott Pare, the commanding officer at the airport, said authorities had not determined a motive. Simpson was charged with disturbing the peace and possessing a hoax device. Later the student told security officials that her outfit was an art project meant to entertain career-day visitors at MIT.

"She's extremely lucky she followed police commands or deadly force would have been used," said Pare.

SITA wins third Abu Dhabi commission

SITA has been chosen to provide the check-in and baggage reconciliation system at Abu Dhabi International Airport’s new Terminal 3. The company’s equipment is already in use at the airport’s Terminals 1 and 2.

Georges Hannouche, CEO, data processing systems, Abu Dhabi, says, “We look forward to working again with SITA to complete this exciting project that will enable passengers, airport management, airlines and other partners using Terminal 3 to enjoy the benefits of the highest international standards in IT and communications infrastructure.”

SITA will install and maintain its AirportConnect CUTE (Common Use Terminal Equipment) check-in service, Baggage Reconciliation System (BRS) and Departure Control System as part of the Special Airport Systems’ package that DPS will be providing to Terminal 3, as a subcontractor to the Murray Roberts/Al Habtoor joint venture.

SITA’s AirportConnect CUTE platform, based on industry standards, will operate on 75 workstations based in Terminal 3. The shared common use check-in platform will enable every desk in the new terminal to be connected to each airline’s departure control system, helping to maximise the use of the airport’s resources.

Hani El-Assaad, SITA regional vice-president, Middle East and Turkey, says: “We are delighted to be working again with DPS on this project at Abu Dhabi International Airport and to be contributing to the development of the UAE’s transport infrastructure. We look forward to supporting Abu Dhabi International Airport in its goal of offering travellers a state-of-the-art facility that will simplify and speed up their journey.”

Maharashtra plans seven regional airports

Maharashtra’s state government is inviting proposals for the development of seven regional airports in the state and the establishment of an international airport in Pune.

The Maharashtra Industrial Development Corporation (MIDC) wants companies to present proposals for developing regional airports in Latur, Baramati, Yavatmal, Nanded, Osmanabad, Kolhapur and Amaravati.

Tender documents posted on the state government’s website call for an expression of interest from consultants to conduct the techno-economic feasibility study for the projects.

While all seven of the regional airports are operational, most are restricted to flights of government aircraft.

Cochin airport issues TV tender

Cochin International Airport (CIAL) authorities in Mumbai, India, are inviting applications from television broadcasters to display channels at 10 different locations in the airport's passenger terminals. Tender documents are available from CIAL, and cost around US$6.50 (Rupees 260).

China Eastern Shares Jolted By Bidding War Talk

Cathay Pacific Airways is set to address on Monday mounting speculation it is teaming up with Air China to buy shares in China Eastern Airlines.

Analysts and media say Cathay and Air China hope to scupper Singapore Airlines' and parent Temasek's acquisition of a near-USD$1 billion stake in China Eastern.

"China Eastern hasn't received any proposal from Cathay Pacific to date," the carrier's executive director, Luo Zhuping said.

A Cathay spokeswoman said the firm would make a statement after Monday's market close, but declined to comment on newspaper reports about a possible investment in Shanghai-based Eastern.

Cathay's CEO Anthony Tyler said he would not comment on the reports.

China Eastern has gained more than 50 percent in the past week, climbing alongside its peers as rumors flew about an impending consolidation or overhaul of the ailing Chinese aviation sector, in the run-up to an important Communist Party Congress in mid-October.

"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.

Speculation has ranged from a potential bidding war between the Cathay and SIA camps or a government-sanctioned takeover of China Eastern, to a mere share- and asset-swap between Air China and Cathay that would not involve China Eastern.

Air China owns 10.14 percent of Cathay, which in turn holds 17.3 percent of Air China. Shares in Cathay, which helmed an acquisition of mainland-focused DragonAir last year to gain access to the Chinese market, have risen 12.4 percent over the past week.

Analysts said a stake purchase could benefit Cathay by blocking SIA from grabbing market share on lucrative routes across the world's fourth-largest economy.

Foreign companies can have a combined maximum of 49 percent of a Chinese airline firm, while a single foreign company can have no more than 25 percent, according to government policy.

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

Cathay was looking to invest in China Eastern, the UK's Daily Telegraph reported without specifics. The Asian Wall Street Journal reported similar.

"Cathay has been overlooked by the market but has a role in the consolidation end-game," Cazenove said in a research note.

"What Cathay can offer is very similar to what Singapore Airlines can offer," said an analyst at another European bank.

Singapore Airlines and Temasek proposed this year to buy a combined 24 percent of China Eastern for USD$918 million to tap a booming air travel market. The deal awaits shareholder and regulatory approval.

"We're not commenting on speculation," said Stephen Forshaw, spokesperson of Singapore Airlines. (Reuters)

Record Business Jet Deliveries Forecast

Deliveries of business jets could hit an all-time high this year as strong corporate demand offsets concern about rising fuel costs, according to the industry's most closely watched forecast.

Overall deliveries of more than 1,000 business jets are expected this year, up from the previous record of 861 in 2006, according to the forecast by Honeywell International, based on interviews with corporate buyers.

Honeywell expects more than 1,300 new business jet deliveries in 2008.

The sharp rise in deliveries reflects a surge in sales for business jet makers over the past three years, benefiting companies such as Gulfstream, Cessna, Canada's Bombardier and France's Dassault Aviation.

"Order intake across most business jet categories remains very strong, with little discernable effect from recent stock market fluctuations and with backlogs exceeding two and one half years worth of deliveries, 2008 will likely be another banner year for the industry," Rob Wilson, head of business and general aviation at Honeywell's aerospace unit, said in a statement.

Honeywell is one of the main sellers of cockpit electronics, engines and power units to the business jet market.

Its forecast is derived from interviews with 1,400 flight departments at companies around the world, mixed with information from plane makers and an assessment of general economic conditions.

(Reuters)

Oman Air To Rent Six Boeing 787s

Oman Air, the country's national carrier, agreed in principle to rent six Boeing 787 aircraft for 12 years, Kuwaiti aircraft lessor Aviation Lease and Finance Co (Alafco) said on Sunday.

The first plane will be delivered in 2012, Alafco said in a statement, without giving a value for the agreement.

Alafco last month lost a USD$3 billion initial contract to sell state-owned Kuwait Airways 19 Airbus and Boeing passenger planes because the Kuwait government refused to approve the spending. (Reuters)

IATA signs agreement with Nigeria to open first office in Lagos

The International Air Transport Association (IATA) signed a Memorandum of Understanding (MOU) with the Government of Nigeria to facilitate the opening of the Association’s first office in the nation’s largest city, Lagos. The MOU was signed in Montreal, Canada on 20 September 2007 by Giovanni Bisignani, IATA’s Director General and CEO and the Honourable Diezani Alison Madueke, Nigeria’s Minister of Transportation. Both were attending the 36th Assembly of the International Civil Aviation Organization (ICAO).

The Nigeria office is targeted to open by the end of 2007 and will assist IATA’s Africa Regional Office (Johannesburg) in delivering IATA’s programmes throughout the six English-speaking countries of West Africa: Nigeria, Ghana, Sierra-Leone, Gambia, Liberia and Cape Verde.

“This MoU is an important step in the development of civil aviation in West Africa, particularly Nigeria which is the region’s largest market,” said Bisignani. “We have invested significant resources in Africa with our Johannesburg regional office. Today’s agreement gives us a valuable local presence to deliver our many programmes—from safety to industry solutions and our settlement system.”

IATA has been working closely with the Nigerian government on several issues, particularly safety. “Safety is our top priority,” said Bisignani. “The Nigerian government has taken major steps forward to build a solid foundation for safety improvement. Today’s MoU takes IATA’s commitment one step further. I look forward to the continued great cooperation from the Director General of Civil Aviation, Harold Demuren and Minister of Transport Mudueke to continue to foster the development of civil aviation in Nigeria and West Africa.”

OAG reveals world`s busiest routes

The route between Barcelona and Madrid has retained top spot on the list of 'world's busiest routes' with the highest number of flight operations (971 per week), closely followed by Sao Paulo Congonhas/Rio de Janeiro (894 per week), Jeju/Seoul Gimpo (858 per week) and Melbourne/Sydney (851 per week). These statistics have been compiled by OAG BACK Aviation Solutions, a division of flight information and data solutions company Official Airline Guide (OAG), by tracking frequency (volume of flights) on its renowned schedules database.

Europe

Analysis of European routes shows that Amsterdam/London Heathrow is the busiest international route (ranked 8th overall in the region with 350 flight operations per week), with all others in the Top 10 being domestic routes. Norway has 2 routes in the Top 10 (Bergen/Oslo and Trondheim Vaernes/Oslo.). Paris Orly features twice for its routes to Toulouse and to Nice.

North America

Topping the North American region for having the most flights per week is the route between Honolulu and Kahului, with 639 flight operations per week. The major trunk route of Las Vegas/Los Angeles is in second place with 553 per week, followed by San Diego/Los Angeles with 514 flights. New York La Guardia appears twice for the Boston and Washington Ronald Reagan routes.

Asia

Korea takes top spot in the Asia Pacific region for its route between Jeju and Seoul Gimpo (858 flights per week), very closely followed by the Melbourne/Sydney route with 851. Mumbai/Delhi takes 3rd place with 742 flights per week, and there are three routes to/from China in the Asia top 10.

Latin America

The route between Sao Paulo Congonhas and Rio de Janeiro Santos Dumont has significantly more flights than any other route in Latin America, with almost 900 per week. All routes in the `top 10 busiest` list for this region are domestic, with 3 each for Brazil and Mexico, 2 for Colombia, and 1 each for Ecuador and Belize.

Middle East

This region has the most international routes in its 'Top 10 busiest' list, with just 5 of them being domestic. The route between Bahrain and Dubai is the busiest international sector with 184 flight operations per week, although this is ranked 4th overall in the region behind Jeddah/Riyadh in Saudi Arabia (324 flights); Mashad/Tehran Mehrabad in Iran (199 flights); and Dammam/Riyadh in Saudi Arabia (184 flights).

Africa

South Africa dominates the African list with 6 of the top 10 busiest routes in the region, reflecting the highly competitive market there. Leading the way is Cape Town/Johannesburg with 831 weekly flights followed by Durban/Johannesburg with 588.

Flights & Capacity continue to increase year-on-year

The world's airlines will operate 2.47 million flights and offer a total of 295.1 million seats in September 2007 according to the latest statistics from OAG BACK Aviation Solutions, a division of flight information and data solutions company Official Airline Guide (OAG). This represents an increase of 4% and 6%, respectively, compared to the same month last year.

The number of operations within Europe will grow by 6% year-on-year and capacity will increase by 9%. As a result there will be 619,000 flights available within the European market in September with a total seat capacity of 73.5 million.

International traffic to-and-from Europe will also experience a significant increase of 8%, while capacity is expected to rise by 7%. Significantly growth to-and-from Eastern Europe will be 9% and 14%, respectively. In September 2007, airlines will operate 62,000 flights and offer 7.3 million seats to-and-from this growing market. Equally significant is the 9% increase in the number of flights and the 12% increase in available seat capacity within the European Union (EU27).

Transatlantic traffic is expected to grow by 9% in September 2007 with airlines planning to offer a total of 7.4 million seats, 655,000 more than the same period last year. London Gatwick (LGW), Madrid (MAD), Rome Fiumicino (FCO) and New York Kennedy (JFK) are among the major airports that will contribute to this growth. London Gatwick in particular will experience a 14% rise in the number of its transatlantic operations and a 9% increase in the number of seats offered to-and-from the US and Canada.

Nick Salter, Sales Director OAG BACK Aviation Solutions, commented: "Although growth between Asia/Pacific and Western Europe is more modest than other routes at just 2% overall, some hubs serving this route such as Hong Kong and Seoul show a much higher than average growth at 13% and 23% respectively. The same is true between Asia/Pacific and the US and Canada where Shanghai Pu Dong, Beijing and San Francisco are helping to drive growth in transpacific operations."

Growth in low cost sector continues to soar

Capacity on low cost airlines has more than doubled in just four years, according to latest figures released from OAG BACK Aviation Solutions. This month, budget airlines plan to offer more than 58 million seats on over 392,000 flights worldwide, compared with 47 million seats on over 326,000 flights in September 2006. This represents more than 11 million extra seats on over 66,000 more flights operated by the low cost sector - a year-on-year increase of 24% and 20% respectively.

Low cost flights now account for 16% of all flights and 20% of all seats worldwide, compared to 14% and 17% a year ago.

The figures are revealed in a special report conducted by OAG BACK Aviation Solutions in advance of the Routes Development Forum in Stockholm and the World Low Cost Airlines Congress in London this week. OAG collates data from more than 1000 airlines, on a daily basis, and tracks around 28 million departures a year.

Europe

Within Europe, low cost flights account for 22% of the total flight activity within this region for September 2007, up from 18% year on year. Low cost capacity represents 30% of the total seats available within the market, a jump of 6% compared with September 2006. Low cost carriers will offer 133,000 flights and 21.8 million seats within Europe in September 2007.

Intra-regional growth figures show that the European low cost industry is growing at a faster pace than the rest of the world by a significant margin. There are just under 31,000 additional no frills flights offering 5.6 million seats within the region this month than in September 2006, a rise of 30% and 35% respectively.

North America

Within North America, low cost flights account for 18% of the total flight activity within this market (164,000 flights), up from 17% last year. Low cost capacity represents a similarly modest rise of 1% to 27% of the total number of seats available in this region (22 million seats).

The US domestic market, although still the busiest in this sector, has shown a 7% growth in both frequency and capacity (10,700 more low cost flights and 1.3 million more seats).

Asia/Pacific

More dramatic is the growth shown by the low cost sector in Asia/Pacific, which has risen from 3,900 flights and 600,000 seats six years ago, to an impressive 61,000 flights and 9.2 million seats in September this year. As a result, the low cost market now accounts for 12% of all flights and all seats within Asia/Pacific.

Asia continues its upward trend, with 12,500 more flights (up 26%) year on year, with 2.2 million more seats (up 32%). India is making a significant contribution to this growth. The latest figures for September 2007 reveal there is a 44% growth in the number of domestic low cost flights (5,700 more flights) and 75% growth in capacity of over 1.1 million seats.

Middle East

Although comparatively small in actual numbers, the Middle East low cost sector is still booming, with a doubling of no-frills flights within the region to 2,200 offering more than 350,000 seats.

Busiest Low Cost Routes

Analysis of the busiest routes worldwide operated by low cost airlines this month, reveals no change in the top three routes with the highest number of no-frills flight operations per week compared to the rankings in September 2006. They are Dallas Love Field/Houston (372 low cost flights per week), Melbourne/Sydney (366 flights) and Denver/Las Vegas (319 flights).

There are just two 'new entry' routes in the Top 10 compared with a year ago. They are Mumbai/Delhi (in at number 4 with 318 low cost flights per week), reflecting the dynamics of the rapidly expanding Indian market, and Cape Town/Johannesburg (in at number 10 with 266 low cost flights per week). Interestingly, there are no European routes within the top ten with the highest weekly frequencies.

ASTA testifies before TSA on proposed secure flight rules

ASTA testified on Thursday (20 September) at a public meeting held by the Transportation Security Administration (TSA) on the proposed new rules for the Secure Flight Program. In his testimony, ASTA Senior Vice President of Legal and Industry Affairs Paul Ruden told Kip Hawley, administrator of TSA, and a panel of TSA officials that while ASTA supports the shift of security responsibility from airlines to the government, it is essential that the new rules be as consistent as possible with existing business practices in order to minimize retail industry costs of compliance.

Most importantly, Ruden expressed ASTA’s concern that travel agencies will not be given adequate time to comply once the details of the final rule are announced. Under proposed procedures that period will be 60 days. Ruden testified that travel agencies who maintain profiles for their clients to promote efficient booking and travel management cannot change the programming and update all the profiles for millions of customers in 60 days. He said this process may take six to 12 months.

Additionally, Ruden expressed concerns about how the Global Distribution Systems would provide specific fields and formats so travel agents could efficiently and accurately enter the information necessary to help their clients avoid screening delays at the airport. He went on to raise the issue of the rules’ impact on the use of online advance check-in by air travelers. ASTA’s specific suggestions on Secure Flight will be included in its formal written comments to be filed by the deadline of Oct. 22, 2007.

The Secure Flight Program will shift responsibility for matching air traveler names to the terrorist watch lists from the airlines to the government. To do this, additional information will be requested from the airlines, and therefore from travel agents, in each reservation.

Dubai`s road show in Korea to bring more tourists to the emirate

The successful conclusion of the first ever Dubai Road Show in Seoul, Korea held in conjunction with 12 co-participants drawn from the emirate’s booming tourism and hotel industries has been announced by the Dubai Department of Tourism and Commerce Marketing (DTCM).

Mr Saleh Al Geziry, DTCM Deputy Director, Overseas Promotions, represented the Department at the road show held at Seoul’s Westin Chosun Hotel which attracted over 150 travel trade decision-makers.

The co-sponsors of the road show were Net Group of Companies and Chelsea Hotels and Hotel Apartments, while the other co-participants were Alpha Tours, Whites Sands Tours & Travels, Oasis Adventures, Travco Travel Dubai, Bin Majid Tours, Desert Adventures Tourism, 1001 Events, Gullivers Travel Associates, Dubai For Destination Tourism and Destinations of World.

Mr Saleh Al Geziry, Deputy Director Overseas Promotions, who gave a presentation on Dubai’s new projects was quite upbeat about the response to the road show citing the overwhelming attendance of the travel trade decision-makers and media professionals at these events.

The DTCM Head Office will soon announce the Best Co-Participant Workshop Presentation Award based on the professional approach to the workshop table, its creativity, display and tidiness as well as the participant’s interaction with clients and co-participants.

Last year alone, Korea registered 11,609,879 of its citizens travelling abroad which is just a quarter of its population of 47,041,434. The UAE is expecting a larger number of Koreans in the age groups of 20s and 40s to visit Dubai in the near future.

Toronto looks forward to Emirates' arrival

Nigel Page, Senior Vice President, Commercial Operations, The Americas (left) sits with Peter Sedgley, Emirates Cargo Commercial Operations to share plans around the upcoming Toronto service at a press briefing at the Carlu in Toronto. The briefing was a scheduled part of the airline’s roadshow sales presentation hosted for hundreds of local travel and cargo agents from the area

In preparation for its anticipated arrival in Toronto, Emirates Airline hosted its roadshow event to introduce its products and services to travel and cargo agents. Emirates begins flying non-stop between Toronto and Dubai on 29th October operating its Boeing 777 -300ER aircraft on the route.

The event, which was attended by about 700 travel and cargo agents, introduced the audience to the airline’s various product and service offerings, its growing route network, tourism in Dubai, as well Emirates’ commitment to promoting Toronto as its first Canadian gateway.

“Not only do we see a great many travellers moving between Toronto and the Far and regional Middle East, we also see more and more Canadians choosing Dubai as a leisure destination,” said Nigel Page, Emirates Senior Vice President, Commerical Operations The Americas. “In addition, we expect to see more leisure travellers from our global network choosing Toronto for their vacation plans with the introduction of services.”

“Toronto looks forward to welcoming Emirates. The Toronto roadshow, hosting travel agents from across the region demonstrates a substantial commitment to the city. We look forward to working together through our promotional initiatives to enhance both inbound and outbound travel,” commented Roseanne Longo, Vice President, Leisure Trade Sales, Tourism Toronto.

The roadshow featured a multi-media presentation about Dubai and Emirates and a viewing gallery where guests have an opportunity to view a model of the Emirates’ world renowned Al Maha Desert Resort and Spa.

Emirates will fly its Boeing 777-300ER on the Toronto-Dubai three-times-weekly route, offering 12 First Class, 42 Business Class and 304 Economy Class seats: a total of 358 Seats in a three-class configuration.

Emirates currently employs more than 8,000 cabin crew representing more than 100 nationalities, including more than 100 crew members from North America. In total Emirates employs over 350 Canadians within the entire group with 168 flight deck crew and 90 cabin crew members.

Toronto will be one of six new Emirates destinations in 2007. Earlier this year, Emirates began service to Venice in July, Newcastle in September, Sao Paulo and Ahmedabad are planned in October and Houston in December.

Air Canada introduces paperless boarding pass for PDA users in Canada and overseas flights

Air Canada has introduced paperless boarding passes for its customers who check in using their PDA (personal digital assistant such as Blackberry or Treo) or cell phone. Air Canada’s mobile check-in service, has been enhanced to now offer customers the option of receiving an electronic boarding pass in the form of SMS text messages that the customer simply shows to airport security screening personnel and Air Canada gate agents, in lieu of a paper boarding pass.

Passengers with baggage to check proceed as usual to baggage drop off points prior to security screening. Air Canada’s new mobile service is currently available for boarding domestic Canada flights and departures to international (non-U.S.) destinations, including connecting flights, from 60 airports across Canada served by Air Canada and Jazz.

“Introduction of the mobile boarding pass is a key element in Air Canada’s initiatives to use the most recent and secure mobile and 2-D barcode technologies to simplify our customers’ travel experience,” said Lise Fournel, Senior Vice President E-Commerce and CIO. “In addition to the simplification of travel and business processes made possible by the replacement of paper with electronic documents, we’re particularly excited about the expanded application of 2-D barcode technology that gives our employees better tools to serve our customers more efficiently.”

Fraport`s passenger terminals go non-smoking

The State of Hesse Non-smoker Protection Act will also apply to Frankfurt Airport (FRA) effective October 1. Both passenger terminals will become non-smoking facilties and the “smoking islands” currently located in the departures and arrivals halls will be removed.

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

In the transit areas of Terminals 1 and 2, Fraport AG will initially test five glass-enclosed smoking cubicles with ventilation and carbon-filter systems – which will probably be installed in the first quarter of 2008.

Gulf Air streamlines management structure

Gulf Air is streamlining its management structure to put in place a smooth chain of command and enhance operational efficiency as the airline continues with its ongoing alignment programme. “We are well under way in implementing our plans as we continue building a successful team to see Bahrain’s flag carrier soar to new heights,” says Acting President and Chief Executive Bjorn Naf.

“It is important to have the right team in place for our plans to succeed and we are making the necessary alignments as we continue on our way forward.”

“We have some very seasoned people joining us both locally and from outside the Kingdom of Bahrain to take over certain crucial areas of the business.”

Seasoned Bahraini lawyer Nabeel Mohammed Saeed joins Gulf Air as Executive Vice President Legal and Corporate Affairs.

Another Bahraini, Ahmed Al Banna, a senior Labour Ministry official, will soon be assuming the position of Vice President Human Resources.

Gulf Air also welcomed highly seasoned executives from regional carriers, who have recently assumed responsibilities or are in the process of joining the airline’s team. These include, Mr. Christopher Cain as Vice President Flight Operations (from Emirates) and Mr. Paolo Fitze as Vice President Safety (from Etihad).

Meanwhile, Gulf Air bids farewell to its Executive Vice President Marketing Lee Shave who has the left the company.

Menzies Aviation partners with Viva Macau in Sydney

Menzies Aviation has being awarded the Viva Macau’s ground services and cargo handling contract at Sydney International Airport in Australia as the company announced. The three year contract signed on 13th August, 2007 is for services commencing on the last week of August. Viva Macau’s fleet of B767 aircraft will operate three flights a week from Sydney to Macau direct with the possibility of extending the frequency to daily towards the end of the year.

Viva Macau partners Menzies Aviation at their home base airport of Macau and with the tagline of “Simply Different” is the first international low cost carrier connecting the world with Macau. The contract in Sydney is a great extension of the current relationship enjoyed with Viva Macau within the Asia Pacific region.

Alistair Reid, Managing Director, Menzies Aviation Australia, said: “We are delighted to see new carriers coming to the Australian market and even more pleased when they partner Menzies Aviation in Sydney. The contract with Viva Macau demonstrates the great relationship established between Viva Macau and Menzies Aviation. We wish Viva Macau every success and growth in Australia.”

Banyan Tree`s first city club in Asia to launch in Seoul

Banyan Tree has signed a management contract for its first Banyan Tree branded city club development in Asia in vibrant and cosmopolitan Seoul, South Korea. Situated in Namsan, a popular tourist spot right in the heart of the city that offers a panoramic view of Seoul, Banyan Tree Club & Spa is the first branded private membership club in Korea according to the hotel operator.

“Korea has always been an important market for Banyan Tree and bringing the brand here is a significant step that we have had to be very careful about. We are delighted that with the Banyan Tree Club & Spa, Seoul, we are entering Korea in a manner that allows us to deliver the standards that have come to be expected of us to our member and guests in Korea and from around the world,” said Executive Chairman, Mr Ho Kwon Ping.

Developed by Urban Oasis Inc, the project will also include a 59-suite Banyan Tree city hotel featuring full fledged hotel facilities and F&B amenities. This will be the seventh addition to Banyan Tree’s city hotel portfolio which currently comprises of properties which are spread across various key cities in different regions such as Bangkok, Beijing, Shanghai and Dubai.

September 21, 2007

Malaysia Airlines invites submission for website development

Subang- Malaysia Airlines invites online creative agencies to submit their proposals for the development and redesign of the national carrier’s website.

The website review is in line with changes in Malaysia Airlines as it enters into the 2nd phase of its Business Turnaround Plan (BTP). The airline is moving towards becoming a Five-star airline@LCC cost, and will launch its Malaysian Hospitality brand positioning in 2008.

There will be two rounds of review. In the first round, creative agencies are invited to submit their credentials and 1 (one) case study by 25 September 2007. They should not be working with any competing full service carrier currently.

Into the second round, 3 agency partners will be short-listed. They will be required to present the proven case study based on their past experience with an international brand. The short-listed agencies will be announced at the end of September with presentations taking place in mid October.

Malaysia Airlines Senior General Manager, Communications, Ms Indira Nair said, “Customers want to do their online transactions speedily and promptly. The new website must deliver this easy-to-use experience which is critical to support our BTP goals of increasing online sales, and reducing operating costs.

“Look and feel wise, the site must reflect the currently being developed Malaysian Hospitality brand positioning in 2008. It has to be fresh, vibrant and reflects the multi-cultural facets of Malaysia and its national carrier.”

The final selection of the agency is expected to be announced in late October.

EMIRATES ACQUIRES SHARE IN ALPHA FLIGHT SERVICES AUSTRALIA

Enters In-flight Catering Partnership in Australia
DUBAI, U.A.E., – Emirates, the Dubai-based airline and travel services provider has reached an agreement to acquire a 49 per cent interest in Alpha Flight Services Australia – a leading provider of in-flight catering services in Australia.

As part of the agreement, Alpha Flight Services will provide in-flight catering for Emirates flights from Australia starting January 2008. This investment will be Emirates’ second joint venture operation for in-flight catering services. Its first, Emirates Flight Catering in Dubai, recently opened the world’s largest in-flight catering facility in terms of throughput capacity which could reach 115,000 meals per day.

Stewart Angus, Divisional Senior Vice President for Emirates Group Associated Companies said: “We are delighted to enter into a partnership with Alpha Flight Services in Australia. Alpha is a high quality provider of in-flight catering and has a strong future in the Australian market.

“Alpha has a strong and talented management team, and we look forward to working with them to expand the business and further enhance services to customer airlines.”

Peter Smith, Managing Director of Alpha Flight Services Australia said: “We are glad to welcome Emirates as a partner. They have extensive experience in flight catering and an established reputation in the aviation services arena. We believe their expertise will help us raise the bar in the market for quality services while adding value to our customers and operations.”

Alpha Flight Services Australia provides in-flight catering at nine airports in Australia, including all major international gateways, serving 16 customer airlines with over four million meals per annum. It is a 100% owned subsidiary of Alpha Airports Group Plc, a UK based company which provides in-flight catering and duty free services in 12 countries worldwide.

Iguana seized in Blackpool bra incident

Blackpool Airport- Officials at Blackpool Airport today confiscated a pet Iguana that a woman traveler attempted to smuggle through security.

Suspicions were aroused when a police officer noticed something moving under the woman's dress. She was stopped for questioning after a security guard noticed the iguana peeking out of her bra.

Police have decided not to prosecute the woman, who has agreed that her pet should go to a new home at Blackpool Zoo.

Airport spokeswoman Sue Kendrick, says, "Due to the security measures in place at the airport, we are used to confiscating many items. But we never expected to see an iguana."

Iguanas live in the wild in Central and South America and the West Indies.

Dubai World plans to develop resort in Zanzibar

Dubai, UAE- Istithmar, a Dubai World company, announced plans to invest US$ 150 million in developing a new luxury resort in Zanzibar, following a major strategic agreement between the company and the Zanzibar government. The 76-hectare site at Muyuni Beach will contain a 50-room residence and spa retreat, and a 150-room luxury hotel. Both of the developments will be operated by major international luxury hotel brands.

In addition, private luxury beach villas will be developed for sale at the resort, as well as a fisherman’s village and water-sports centre, a sports club and children’s centre. All developments will make the most of the access to the three kilometre length of Muyuni Beach.

Sultan Bin Sulayem, Chairman of Dubai World, the parent company of Istithmar, said: “Our strategy is to develop a balanced portfolio of properties across the world in markets that will deliver the returns that we and our partners seek. Zanzibar is one of the world’s upcoming destinations and we believe that this resort will become a major contributor not just to the Istithmar portfolio, but also to the local economy and local people.”

“This is the second Indian Ocean development deal completed by Dubai World this month – following our recently cemented partnership with the government of Comoros. It marks another clear step forward in our growing relationship with Africa, which is fast becoming a major focus of our investment strategy. We expect to make further announcement of acquisitions in the near future.”

Abdul Wahid A. Rahim Al Ulama, Dubai World Group Chief Legal Officer, who negotiated the deal with the Zanzibar Government, said: “A strong working relationship with the Zanzibar Government and clear shared goals have been crucial factors in Istithmar’s investment in this development. Muyuni Beach is a truly stunning location. It is our vision to create a world-renowned eco resort, with luxury facilities to match the natural beauty of the area.”

Work on the US$ 150 million project will start immediately, with completion targeted for 2009.

The announcement of the plans for Zanzibar follows an announcement earlier this month of a partnership with the government of Comoros which will see the development of a luxury Indian Ocean island beach resort. Last year, Istithmar purchased the V&A Waterfront in Cape Town, South Africa, and is also behind the development of the Djibouti Kempinski Palace Hotel in Djibouti City.

CAA steps in after collapse of Perfect Choice

Civil Aviation Authority of UK- The Civil Aviation Authority (CAA) in the United Kingdom has stepped in to protect customers booked with Perfect Choice after the company ceased trading. Perfect Choice was based in Kingston-Upon-Thames, Surrey, and operated flights and package holidays to Turkey from major UK airports.

The firm held Air Travel Organiser`s Licence (ATOL) number 6048 issued by the CAA and provided a £486,283 bond. The CAA is currently making arrangements for customers abroad to complete their holidays and return to the UK, and to refund fully those with forward bookings.

There are an estimated 500 holidaymakers currently abroad and a further 1,250 with bookings who are yet to travel.

The CAA is currently issuing the following advice to customers of Perfect Choice:

Customers due to travel

  • If you are due to travel on a Perfect Choice flight or air holiday you should submit a claim to the CAA. Claim forms are available on the ATOL website at atol.org.uk. Do not go to your departure airport as all holidays have been cancelled.
Customers currently abroad on holiday
  • The CAA will be making arrangements to ensure customers with Perfect Choice remain in their holiday accommodation and fly home as planned.

  • Information will be made available to representatives in resort, but if you have a query please contact the CAA during office hours on +44 (0)20 7453 6350.

Travel agents urged to capitalise as Asia-Pacific`s aviation market booms

Abacus International-The Asia-Pacific region is set to become the largest regional aviation market in the world within the next three years powered by rising incomes and Asia’s unique demographics, according to travel facilitator, Abacus International. Speaking at the sixth bi-annual Abacus International Conference 2007 underway in Kota Kinabalu, Sabah, Mr. Don Birch, President and CEO, Abacus International said the current period of profound change and growth in the industry was a clarion call for travel agents.

“Changing airline models including the emergence of long-distance/low-cost models and the growing markets of India and China, supported by a resurgent Vietnam, are driving unprecedented levels of investment in aircraft, airports, hotels and will require ever higher levels of professionalism from all who work in the travel and tourism industry,” Mr Birch said.

“Powered by unique demographics and the rising incomes of its 3.4 billion people, Asia-Pacific is on course to become the largest regional aviation market in the world within the next three years following a 30% increase in outbound leisure air travel in recent years.”

Boeing’s predictions through to 2025 put Asia-Pacific’s regional growth at 6.4%, second only to Latin America at 6.9%, while major carriers such as Singapore Airlines, Cathay Pacific, and many Chinese and Middle East carriers have all made substantial aircraft purchases which will come on line in the next five years, capping the 8% increase in seat capacity in Asia Pacific added during 2006 alone.

Asia’s hotels also enjoyed a stellar year in 2006, with a total of US$5.25 billion invested in new hotel developments, half of which were located in Macau, Beijing and Hong Kong. The bulging pipeline of hotel projects across Asia has spurred both governments and industry to provide diploma and tertiary courses in hospitality as the industry scrambles to find and develop enough skilled staff to manage to meet projected demand.

“Airports and governments stand to gain the most from this boom as airlines, both full-service and low-cost compete to offer more services to more passengers and connect new destinations. While the market is still prone to shocks from natural and political events, it displays an underlying resilience and relentless energy to grow which travel agents must also position themselves to capitalise on,” Mr Birch said.

Despite a positive growth outlook, Asia’s travel agents are experiencing pressure from intense price competition among themselves as well as from competing purchasing channels such as online and supplier-direct options.

Mr Birch said an Abacus survey of more than 1,000 Asian travel agents indicated that more than 20% intended to focus on high-margin, low volume customers to minimise their exposure to price wars. “While some travel agencies have adopted new competitive strategies, travel agents ultimately need to align more closely with the traveller and partner with their GDS provider to target those sectors that provide the best yields and best prospects for growth,” Mr Birch said.

Over the past year Abacus has highlighted the rise of ‘outcome based’ travel – the increase in travelling ‘to achieve something’. This has given rise to immense opportunities among sectors as varied as medical tourism, ‘grey travel’, women travellers, Chinese travellers, corporate travel, and the SMERFS – a more budget-conscious cousin to MICE travellers who travel for social, military, education, religious and fraternity reasons.

Mr Birch continued, “As these travel trends demonstrate, the future belongs to travel agents who are willing to embrace the changes and differentiate themselves whether by brand, the products they specialise in or through the unique channels used to reach out to consumers.”

“In essence, this means that in the changing travel landscape, the travel agent has to ‘own the customer’ and be his/her advocate. This means managing complexities and travel spend for companies and leisure travellers, building confidence by securing the best deals for every occasion, mining the rich customer data already available on-hand and above all, being nimble, innovative and entrepreneurial,” added Mr Birch.

Growing environmental awareness and concerns about sustainability are expected to be a major challenge for the industry going forward.

“The move towards more sustainable travel models is an area requiring discussion and collaboration within the industry, allowing us to adequately address both regulator and consumer concerns before they become a constraint on growth. The travel and tourism industry has traditionally been a major catalyst of economic growth. Alongside growth we have the responsibility to ensure that we build, and not damage, the communities that we develop.”

Looking ahead, Mr Birch expects Asia’s travel industry to continue registering strong growth in the years ahead, fuelled by LCC expansion, rising incomes, and the advent of an ever-more ‘tech-connected’ traveller.

“More of Asia will also go online in the coming years, giving rise to the information-savvy and resourceful traveller with a wealth of information and choices at their fingertips. In such an environment, travel agents need to have foresight and be agile enough to succeed, leveraging the full benefits of current and emerging tools to reach out to more customers in more locations with more content.”

IATA optimistic for 2007

A revised financial forecast for the world’s airlines have been announced by the International Air Transport Association. Globally, airlines are expected to post a US$5.6 billion net profit for 2007, up from the US$5.1 billion forecast in June. The average oil price for 2007 was revised upwards to US$67 per barrel (previously US$63). However, higher oil prices were more than offset by stronger than expected demand for passenger traffic and a general improvement in airline financial performance.

“While we are more optimistic for 2007, the continuing high price of oil combined with turmoil in credit markets is a cause for concern in 2008,” said IATA Director General and CEO, Giovanni Bisignani. The industry net profit for 2008 is forecast at US$7.8 billion, down from the US$9.6 billion predicted in June.

“The impact of the credit crunch puts some question marks over the industry’s performance next year and the continuing high price of fuel will become more difficult to mitigate with efficiency gains,” said Bisignani.

Underlying the forecast is a substantial shift in relative regional performance, primarily driven by capacity increases. Since 2001, Asia-Pacific based carriers, preparing to serve the massive opportunities in China and India, added 42% to their capacity and improved load factors by 2 percentage points. By contrast, North American carriers have added 11% to capacity and improved load factors by 6 percentage points. European carriers expanded capacity 29% with load factors showing a 5 percentage point increase.

These factors led to an increase in North American carriers’ unit revenues driving expected net profits to US$2.7 billion - the highest among the major regions. Conversely, poorer yields from Asia-Pacific carriers combined with sluggishness in cargo markets saw a decline in absolute profits from US$1.2 billion in 2005 to an expected US$700 million in 2007. Europe’s carriers continued to benefit from buoyant long-haul markets, improving profitability continually from US$1.6 billion in 2005 to an expected US$2.1 billion this year.

“We are clearly seeing the benefits of hard-won efficiency gains from restructuring. Labour productivity is up 56% since 2001 and non-fuel unit costs are down 15%. The drive for 100% e-ticketing by June 2008 as part of the IATA Simplifying the Business initiative will deliver US$3 billion in cost savings. Balance sheets are improving, but the US$200 billion mountain of accumulated debt continues to make civil aviation a fragile industry. Commercial freedom is a critical missing link. In the coming months, carriers will start taking advantage of opportunities created by the US-EU open skies agreement. We must now be looking forward to even broader liberalisation, including ownership. Only when we have the same freedoms as other industries to run our businesses as businesses will we be fully able to meet both investor and customer expectations,” said Bisignani.

“Our partners and governments must also get more serious about efficiency and the environment. For example, the UN estimates that inefficient infrastructure and air traffic management adds 12% or US$14 billion to our fuel bill. And it unnecessarily adds 73 million tonnes of CO2 to the environment. This must change - urgently,” said Bisignani.