Page 8 - Airlines

Airlines are price takers, don't have influence on prices they pay: IATA

Airlines are price takers as they do not have an influence on the prices they pay, IATA Chief Economist Marie Owens Thomsen has said and highlighted that carriers' need to diversify their revenues is complicated by slim profit margins as well as weak balance sheets. In a fast-growing aviation market like India where the air traffic demand is on the rise, there are persistent concerns about airfare trajectory and suggestions from various quarters to make air tickets more affordable. Discussing overall airfares and the costs of airlines, Thomsen said airlines do not have any influence on the prices they pay. "There are too few aircraft manufacturers and oil companies. Whatever supplies we are looking at upstream, we are price takers and downstream, we have the hyper competitive environment where all customers can see all fares from all airlines at all times. So, we always compete in price," she told PTI in an interview in Geneva earlier this week. Thomsen, who is the Chief Economist

Half of PIA's fleet grounded due to shortage of essential components

A shortage of essential components and spare parts has grounded 17 of the Pakistan International Airlines' 34 aircraft, leaving them out of service, according to sources. The position is that 17 aircraft of the PIA fleet remain out of service, a source in the airlines said. At present, seven out of 12 planes in the airline's Boeing 777 fleet are grounded. Additionally, seven out of 17 Airbus A320 planes are also non-operational. The airline's smaller ATR aircraft have not been spared, with only two of the five aircraft currently active. The grounded planes have been affected by a lack of essential components, including engines, landing gear, Auxiliary Power Units (APUs), and other vital parts. Sources in the airlines said that shortage of funds and due clearance from relevant ministries were the primary reasons for the shortage. This has severely affected the operational efficiency of the country's national flag carrier, which is set to resume flights to Europe on January 10 afte

Tata airlines overall seat capacity soars 20%, but IndiGo way ahead

Despite that the group has a long way to go even to reach half of the domestic seat capacity of rival IndiGo

Korean Air completes Asiana takeover to form one of Asia's biggest airlines

Korean Air acquired a 63.88 per cent stake in Asiana on Thursday, making it a subsidiary three years later than the smaller airline had initially anticipated

IATA chief hopeful that India will provide more bilateral flying rights

Global airlines' grouping IATA's chief Willie Walsh has expressed optimism that India will provide more bilateral flying rights as Indian carriers are set to operate more wide-body planes in the coming years. India, one of the world's fastest growing civil aviation markets, has been taking a cautious stance on increasing bilateral flying rights as efforts are on to make the country a global aviation hub. More number of wide-body planes with Indian airlines will allow them to provide direct connectivity to various overseas destinations. IATA Director General Willie Walsh has said the bilateral flying rights situation with respect to India will improve. "It (bilateral flying rights) will improve. If you look at the aircraft orders, the wide-body aircraft orders that IndiGo and Air India have, they want to see more rights available to them. They are not going to get rights to fly unless you give them reciprocal rights. "I am optimistic that it (bilateral flying rights situation) will

Air India Express-AIX Connect merger will drive long-term profitability: MD

Tata Group's low-cost carrier, Air India Express, has completed its merger with AIX Connect (formerly AirAsia India), a strategic move to create a unified budget airline under Air India with a focus on achieving sustainable profitability without straining its financials, a top company official said. Dismissing concerns regarding the merger of AIX Connect, a loss-making entity, Air India Express managing director Aloke Singh told PTI, "The merger process was completed in October. The integration of AIX Connect will expedite our path to profitability by achieving significant scale, optimising costs, and better utilising our assets. The objective is to build a robust, scalable network that supports long-term growth." Compared to a profit of Rs 117 crore in FY'23, Air India Express reported a net loss of Rs 163 crore in FY'24. This was despite a robust 33 per cent year-on-year (Y-o-Y) increase in income to Rs 7,600 crore, driven by higher passenger volumes and improved operational ...

Threat to flights: 16 cases filed in Delhi likely to be transferred to NIA

At least 16 cases registered in connection with threats to flights of different airlines operating from Delhi are likely to be transferred to the National Investigation Agency (NIA), officials sources said on Friday. It has been learnt that the Delhi Police has written to the city government's home department to transfer the cases to the NIA, they said, adding that it would be further sent to the Union home ministry for final approval. "The matter was related to national security and it has an international ramification. All these 16 cases were registered under the Suppression of Unlawful Acts against Safety of Civil Aviation (SUA SCA) Act with BNS sections and they needed deeper probe," an official source said. In the last two weeks of October, more than 510 domestic and international flights received bomb threats that later turned out to be hoaxes, causing major operational and financial distress for the airlines across the country. Most of the threats were issued through social .

Air India Express expands, defers Kolkata-Dhaka direct flight plans

Air India Express, the budget-carrier arm of Air India, is embarking on a significant expansion by increasing its fleet size and introducing new routes, as passenger growth remains robust. The airline, however, has deferred plans to launch direct flights between Kolkata and Dhaka, citing the ongoing political crisis in Bangladesh. "You would recall we had announced our operational plan for Dhaka, which is a new and significant market for us. But because of the situation there, we have deferred those plans," Aloke Singh, Managing Director of Air India Express, said. "As soon as the conditions are right, we will resume those plans," he said. The airline had initially planned to launch the Dhaka services in September with six weekly flights. Despite the deferment, Singh said the airline remains committed to expanding its presence in the eastern sector. He said its international service flights to and from Kathmandu would begin with the summer schedule, starting the end of March ...

Should you buy or sell IndiGo shares after worst airline rankings?

Technically, IndiGo stock seems to be facing resistance around its 100-DMA on the daily chart; however, the short- and the long-term trend seems favourable for the stock.

DGCA to streamline norms for Indian airlines' wet-leased plane operations

Aviation watchdog DGCA will soon come out with streamlined regulations for wet-leasing of planes by Indian airlines that will also entail enhanced oversight of the aircraft, amid airlines looking to operate more planes to meet rising travel demand. With persisting supply chain woes, there is a delay in aircraft deliveries and to meet the near-term needs, carriers are opting for planes on dry and wet leases. A senior official in the know told PTI that the efforts are on to streamline the regulations for wet-leasing of planes to assist in the growth of the aviation. "Realities of the engine problems cannot be wished away suddenly and on the other side, the possible routes are also increasing all the time," the official said. Many planes of IndiGo are on the ground due to Pratt & Whitney engine issues and the number of such aircraft is slowly coming down. Generally, wet-leasing of an aircraft involves the leasing of foreign aircraft, along with crew, maintenance and insurance. The ..

IndiGo named one of the worst airlines as global rankings are unveiled

The airline rankings methodology takes into account customer claims processed worldwide, as well as outside data tracking on-time arrival and departure performance for every plane

Most airlines not switching quickly enough to sustainable jet fuel: Study

A lack of investment by major oil players, who have the capital to build SAF processing facilities, is hampering the market's growth, the study says

Chennai Airport resumes operations after cyclone Fengal crosses TN coast

According to IMD, Cyclone Fengal, which had been stationary over north coastal Tamil Nadu and Puducherry, was classified as a cyclonic storm with wind speeds of 65-70 km/hr

India will have more than two major airlines: Air India CEO Campbell Wilson

Tata group's airlines to add 100 planes to fleet by 2027, says Campbell Wilson

IndiGo, Japan Airlines set to commence codeshare partnership next month

Japan Airlines and domestic budget carrier IndiGo are all set to commence their codeshare partnership from December 16, which will allow the Japanese carrier access to 18 destinations in India, a statement said on Monday. Currently, Japan Airlines (JAL) operates daily services between Tokyo (Haneda Airport) and Delhi, and five times weekly services between Tokyo (Narita Airport) and Bengaluru. Through this new partnership with IndiGo, JAL will be able to establish a comprehensive network across India, connecting to numerous major cities via JAL-operated flights, the statement said. IndiGo and Japan Airlines will begin codesharing on domestic routes within India that connect to Japan Airlines'-operated flights to/from Delhi and Bengaluru, it stated. Codesharing allows an airline to book its passengers on its partner carriers and provide seamless travel to various destinations. "This codeshare agreement will further strengthen business, trade and tourism-related travel between Indi

SriLankan Airlines eyes more Indian tourists with Ramayana Trail package

Seeing India as a place that offers "enormous growth" opportunities, SriLankan Airlines aims to increase flights to the country as well as attract more tourists, including with the Ramayana Trail package, according to a top airline official. The Ramayana Trail will help people connect with 20 significant locations in Sri Lanka that are linked to the Ramayana story. SriLankan Airlines CEO Richard Nuttall said growth in the number of tourists from India has been stellar this year but still below the pre-Covid numbers. He was speaking at a function in the national capital for the launch of the Ramayana Trail package on Saturday evening. High Commissioner of Sri Lanka to India Kshenuka Senewiratne was also present. Till the end of October this year, around 20 per cent of the tourists who came to Sri Lanka were from India. "We have been looking at how to lift and rejuvenate tourism from India to Sri Lanka to the next level," he said while mentioning the Ramayana Trail and added that it

Air India to offer integrated aircraft maintenance engineering programme

Air India on Friday said it will set up a Basic Maintenance Training Organisation (BMTO) that will offer an integrated aircraft maintenance engineering programme and the facility will be operational in mid-2026. The BMTO will be housed close to Air India's new 12-bay Maintenance, Repair and Overhaul (MRO) facility in Bengaluru that will be operational in early 2026. The Tata Group-owned airline has inked an agreement with Bengaluru Airport City Ltd (BACL), a subsidiary of Bangalore International Airport Ltd (BIAL), to develop a build-to-suit facility for the programme. "The purpose-built campus, spread over 86,000 square feet at Bengaluru Airport City, is expected to be operational by mid-2026," a release said. The programme will include two years of in-classroom academic course work followed by two years of practical on the job training at the MRO. According to the release, the programme is designed to meet Air India's growing fleet maintenance requirements and provides specialis

Ensure ample staff at check-in counters, govt tells airlines as fog sets in

The meeting was called on Wednesday to assess readiness of the aviation ecosystem amid the "early onset of fog/smog" in Delhi

Airline exodus leaves Israelis and companies isolated amid Hamas war

Direct routes to dozens of major cities - Washington D.C., San Francisco, Toronto, Hong Kong, New Delhi - have been suspended, reducing face-to-face business meetings

Spirit Aero talks going well, industrial challenges lie ahead: Airbus CEO

Airbus plans to take over the running of four Spirit plants associated with its A350 and A220 jetliner programmes