Hong Kong Airlines will begin operating flights between Hong Kong and Beijing Daxing International Airport every Monday, Wednesday, Saturday, and Sunday starting on March 15, 2023.
Top Copyright Photo: Hong Kong Airlines Airbus A350-941 B-LGC (msn 168) LAX (Michael B. Ing). Image: 940394.
Lufthansa has decided to transfer some of its Airbus A321s to its lower-cost leisure airline Eurowings.
The aircraft are now being painted in the full Eurowings livery.
So far three A321s have been assigned to Eurowings:
D-AIDP
D-AIDQ
D-AIDT
On February 1, 2023 Eurowings celebrated its 30th anniversary withn this message:
The mid-1970s, two pilots, one dream. Independently of each other, Hans Rudolf Wöhrl founds Nürnberger Flugdienst (NFD) and Reinhard Santner founds Dortmund Reise- und Industrieflug (RFG). The portfolio of the two companies is similar and includes air taxi services, ambulance and cargo flights, seaside resort services – so-called on-demand air transport. Today’s Eurowings was formed on February 1, 1993 from the merger of the two regional airlines. The name “Eurowings” was suggested by an employee who won an ideas competition with 500 Deutsche Mark for the winning entry. The logo introduced in the course of the launch was designed by students of the Nuremberg Academy of Arts.
Take-off with propeller aircraft
At that time, the airline started with just under 1,000 employees and ATR 72 propeller aircraft. Although 32 destinations in eleven countries were already served in the founding year, the focus was on domestic connections. For quite some time, Eurowings had to fly under the flight numbers of NFD and RFG, because the code that Eurowings needed had been assigned by the International Air Transport Association (IATA) to a subsidiary of Papua New Guinea-based Janlyn PTE. Through intensive negotiations, it was finally possible to get the EW code for Eurowings’ flights. The first flight, with the number EW733, went from Nuremberg to Paris in 1994. In the 1990s, Eurowings took over feeder flights for the Dutch airline KLM, among others, and was en route to Amsterdam with 13 aircraft at times – initially as a competitor of Lufthansa.
2001: Lufthansa acquires a stake in Eurowings
The year 2001 marks a milestone in the history of Eurowings. With the Lufthansa Group’s participation, the company’s strategy changes: the turboprop aircraft are replaced by CRJ jets, and Eurowings operates flights in the Lufthansa Regional network.
Just one year later, Eurowings launches a low-cost pioneer for Germany, Germanwings, which, in tandem with Eurowings, soon breaks the 10-million passenger mark. The great era of low-cost airlines begins (slogan: “Fly high, pay low”), to which Germanwings contributes the flexible fare model BASIC, SMART and BIZclass. The concept quickly becomes the industry standard and is still used at Eurowings today. In 2011, Eurowings moves to Düsseldorf, the largest air traffic location in North Rhine-Westphalia.
“Light Sky Blue” and “Burgundy”: Eurowings’ leading colors since 2014
In 2014, the company gets the look and brand identity it is known for today, with the leading colors “Light Sky Blue” and “Burgundy”. The new strategy includes, among other things, a significant expansion of Germanwings and Eurowings in line with growing travel: the previous Eurowings fleet of smaller CRJ aircraft will be replaced by 23 aircraft from the Airbus A320 family.
Inseparably linked to the company’s history, however, is the accident of Germanwings flight 4U9525 on March 24, 2015, which claimed the lives of 150 people. An event that will remain in collective memory forever.
Eurowings subsequently begins to expand away from German airports, soon opening a base on Mallorca and founding the Eurowings Europe flight operation for pan-European routes outside Germany. And the dynamic development continues: after the end of Air Berlin in 2017 and the takeover of a large part of the fleet, hundreds of new jobs are created – many of which are filled by former AirBerlin colleagues.
Eurowings today: the value airline for Europe
Today, Eurowings explicitly sets itself apart from the ultra-low-cost carrier segment with its clear positioning as Europe’s value carrier for private and business travelers. The Lufthansa subsidiary combines inexpensive and flexible flying with innovative and customer-friendly services – a strategy with which it is expanding its leading position in the German market. In doing so, it focuses on the core needs of today’s air travelers: more flexibility, affordable comfort and sustainability.
“There are very few airlines in Germany that have succeeded for 30 years in a difficult market environment and have repeatedly mastered dynamic changes. It is all the more wonderful that we can celebrate our 30th birthday as Germany’s largest holiday airline,” said Eurowings CEO Jens Bischof. “We owe this success first and foremost to our more than 4,000 employees from 60 nations who have found their professional home with us. This diversity makes us strong. Because what has always distinguished Eurowings is the very special team spirit and the ability to react quickly to ever new market changes. We say thank you, Team Eurowings – here’s to the next 30 years!”
The Eurowings fleet includes more than 100 aircraft that fly to 140 destinations in more than 50 countries. In addition to its bases in Cologne/Bonn, Düsseldorf, Hamburg, Stuttgart and Berlin, Eurowings also has major operations in Palma de Mallorca, Salzburg, Prague and Stockholm. This makes the Lufthansa subsidiary one of the largest leisure airlines in Europe. Every minute, a Eurowings aircraft takes off or lands somewhere in Europe.
Focus on sustainability
Eurowings combines its passion for flying with corporate responsibility for the environment. It aims to cut its carbon emissions in half by 2030 and achieve carbon neutrality by 2050. An important step towards this was the introduction of the world’s most efficient medium-haul jet, the Airbus A320neo, into the fleet in 2022. Each new aircraft of this type emits 4,500 tonnes less CO2 per year compared to its predecessor. In addition to this, more than 50 projects with the aim of conserving resources and protecting the environment are underway at Eurowings.
Carbon compensation at the click of a mouse, punctual flights, friendly services, the most flexible rebooking options in the industry or a free middle seat starting at ten euros – these are just a few of the many examples of the modern value concept with which Eurowings presents itself as young, modern and innovative, even after 30 years.
In other news, Eurowings and the Spanish airline Volotea have signed a Memorandum of Understanding (MoU) to enter into a sales partnership. The cooperation is set to cover more than 140 European routes operated by both airlines without overlap, including more than 100 routes operated by Eurowings and around 40 operated by Volotea.
The connections also include plans for eight new routes flown by Volotea, connecting German airports such as Berlin, Dusseldorf, Hamburg and Stuttgart directly with French and Italian cities. As a result, Bordeaux, Lyon, Nantes, Florence and Verona will also be reached with direct flights in the future. With this, the two airlines are significantly broadening their pan-European portfolio for customers.
Volotea is one of the fastest growing airlines in Europe: founded in 2011, the Barcelona-based company now flies to more than 100 destinations in 16 countries. In Germany, the airline has been operating the weekly Airbus-internal factory shuttle between the Hamburg and Toulouse locations since 2019. With the sales partnership, Volotea is also offering scheduled flights in Germany for the first time.
At the same time, Eurowings intends to open its distribution channels to Volotea with its focus on smaller and medium-sized destinations in France and Italy. With the planned mutual distribution agreement, both Eurowings passengers and Volotea customers would benefit from the visibility of more than 140 connections on the websites of both airlines. This way, Eurowings and Volotea would improve the offer to their passengers, providing access to a significantly wider range of travel options throughout Europe.
New connections
In the context of the planned connections, Volotea will open eight new routes to/from Germany, connecting Berlin, Düsseldorf, Hamburg and Stuttgart directly with its bases in Bordeaux, Lyon, Nantes (all in France), Florence and Verona (both in Italy). These new routes will operate twice weekly and have a capacity of around 60,000 seats.
New routes from May 26, 2023:
Berlin-Verona
Düsseldorf-Bordeaux
Stuttgart-Bordeaux
New routes from October 10-12, 2023:
Berlin-Lyon
Hamburg-Bordeaux
Hamburg-Florence
Hamburg-Lyon
Stuttgart-Nantes
Top Copyright Photo: Eurowings Airbus A321-231 D-AIDV (msn 5413) SEN (Keith Burton). Image: 960097.
Turkish Airlines and UEFA announced on September 5, 2022 announced Turkish Airlines became the official partner of the UEFA Champions League.
As part of the deal, Turkish Airlines will also partner with the UEFA Super Cup, the UEFA Futsal Champions League finals, and the UEFA Youth League finals.
This prestigious partnership, which will be one of the most important sponsorship deals in the history of Turkish sports, carries particular importance with this season’s UEFA Champions League final taking place at Istanbul’s Atatürk Olympic Stadium on June 10, 2023.
This is not the first time that Turkish Airlines has partnered with a UEFA competition. In December 2015, Turkish Airlines became the first airline to partner with UEFA as its official airline sponsor for UEFA EURO 2016, which took place in France.
Turkish Airlines joins Heineken, PlayStation, PepsiCo, Mastercard, FedEx, Just Eat Takeaway.com and OPPO as official global sponsors of the UEFA Champions League.
Now Turkish Airlines has unveiled a new UEFA Champions League logo jet.
Top Copyright Photo: Turkish Airlines Airbus A330-343 TC-JNM (msn 1212) (UEFA Champions League) ZRH (Andi Hiltl). Image: 960096.
SmartLynx Airlines has received Australian Foreign Air Transport Operator Certificate (FATAOC) granted by the Australian Civil Aviation Authority. The certification allows the airline to begin operations to, from, and within Australia.
Operating flights to Australia has been integral to SmartLynx’s strategic plans to expand its global network by entering new markets. This certificate authorizes starting operation in Australia of Airbus A330-type aircraft and the company plans to receive certification also for other aircraft types A320, A321, and B737.
To receive FATAOC, SmartLynx has fulfilled all operational requirements and submitted the necessary certificates of airworthiness and maintenance schedules for Airbus A330-type to be operated in Australia.
Latvian-based SmartLynx Airlines is the largest ACMI service provider in Europe, owning one-third of the market. Today the airline operates also in the USA, North America, Asia, and Africa. The company holds Air Operator Certificates (AOC) in Latvia, Estonia, and Malta.
The current fleet size consists of 55 aircraft and by end of 2023 is set to increase to 65 aircraft, including Airbus A320 (29), A330-300 (6), A321 (8), Airbus A321F (13), and Boeing 737 MAX (9) aircraft.
Boliviana de Aviación-BoA has introduced a new livery with its first Airbus A320-200. The new livery features native art on the tail.
The Bolivian flag carrier is adding two Airbus A330-200s to replace its Boeing 767-300s on its long-range routes, especially Miami.
The pictured N1452X (top) was formerly operated by Virgin Australia as VH-XFH. The airliner is being leased from Avolon and is expected to take on a CP- registration on delivery.
Top Copyright Photo: Boliviana de Aviacion-BoA Airbus A330-243 N1452X (msn 1452) SBD (Michael B. Ing). Image: 960090.
BoA – Boliviana de Aviación aircraft photo gallery:
United Airlines today announced an improved family seating policy that makes it easier than ever for children under 12-years old to sit next to an adult in their party for free – including customers who purchase Basic Economy tickets.
United’s new policy is made possible through a series of investments in a new seat map feature that dynamically finds available adjacent seats at the time of booking. The online seat engine first reviews all available free Economy seats and then opens complimentary upgrades to available Preferred Seats, if needed.
Customers traveling with children under 12 will start to see more adjacent seat options immediately and the complete policy change will go into effect in early March.
In instances when adjacent seats are not available prior to travel – due to things like last minute bookings, full flights or unscheduled aircraft changes – United’s new policy also lets customers switch for free to a flight to the same destination with adjacent seat availability in the same cabin. Customers also won’t be charged if there is a difference in fare price between the original and new flight.
Many airlines try and use a more manual process to seat families together that can include blocking random seats or asking agents to facilitate seat swaps at the gate. Those circumstances often result in more stress and a longer boarding process for everyone.
Today’s announcement reflects the investments United has made in its technology and tools. Since last summer, the airline has worked to improve its ability to seat families together more easily by optimizing the airline’s seat engine to prioritize families who did not have seats assigned before their day of travel and prioritize adjacent seating for families during schedule changes, aircraft swaps or irregular operations.
United Polaris®, United First Class® and Economy Plus® seats remain separate products and are excluded from this family seating policy change.
Top Copyright Photo: United Airlines Boeing 757-224 WL N14102 (msn 27292) (Her Art Here) FLL (Bruce Drum). Image: 105895.
BRA – Braathens Regional Airlines (Stockholm-Bromma) is expanding outside of its traditional Baltic service area.
The Swedish airline is celebrating its first Airbus A319 (SE-RGC). A second ex-Sundair A319 (SE-RGV) is also now operating (above).
The new additions will allow the airline to operate sun destination flights to the Mediterranean area this coming summer.
The airline can trace its roots back to Norwegian airline Braathens S.A.F.E, South American & Far East Airtransport, founded by the Norwegian shipowner Ludvig Gustaf Braathen, who also founded the company Braganza.
Current Route Map:
The company has also formed Braathens International Airways to operate the the long-range flights.
Top Copyright Photo: BRA-flygbra.se (Braathens Regional) Airbus A319-111 SE-RGV (msn 2283) (Sundair colors) BMA (Stefan Sjogren). Image: 960089.
On February 1, 2023, the last ever #QueenOfTheSkies departed from Paine Field (PAE) in Everett, Washington, and landed at Cincinnati/Northern Kentucky International Airport (CVG). 🛬This historic #Boeing747 will be operated by Atlas Air on behalf of Apex Logistics ( @apexlogisticsinternational6092 ), a Kuehne+Nagel company.
Air Mauritius made this announcement about Category 5 TC Freddy:
Flights disruptions due to intense tropical cyclone Freddy – Bulletin 2
Following the latest updates from the meteorological services with regard to the sustained approach of intense tropical cyclone Freddy in our region, the following Air Mauritius flights have been cancelled.
Date
Flight number
Routing
Status
19 February
MK 015
Paris CDG – Mauritius
Cancelled
19 February
MK 017
Paris CDG – Mauritius
Cancelled
19 February
MK 053
London Heathrow- Mauritius
Cancelled
20 February
MK 749
Mumbai – Mauritius
Cancelled
20 February
MK 014
Mauritius – Paris CDG
Cancelled
20 February
MK 042
Mauritius – London Heathrow
Cancelled
20 February
MK 218
Mauritius – Reunion
Cancelled
20 February
MK 219
Reunion – Mauritius
Cancelled
20 February
MK 238
Mauritius – Reunion
Cancelled
20 February
MK 239
Reunion – Mauritius
Cancelled
20 February
MK 646
Mauritius – Kuala Lumpur
Cancelled
20 February
MK 748
Mauritius – Mumbai
Cancelled
20 February
MK 851
Mauritius- Johannesburg
Cancelled
20 February
MK 852
Johannesburg – Mauritius
Cancelled
21 February
MK 015
Paris CDG – Mauritius
Cancelled
21 February
MK 053
London Heathrow- Mauritius
Cancelled
21 February
MK 647
Kuala Lumpur – Mauritius
Cancelled
21 February
MK 749
Mumbai-Mauritius
Cancelled
Air Mauritius wishes to inform its passengers that all its outbound flights scheduled today Sunday 19 February 2023 from SSR International Airport, Mauritius, with the exception of Rodrigues, will operate normally as follows:
Date
Flight number
Routing
Scheduled Departure Time
Scheduled Arrival time
19 February
MK 248
Mauritius – Reunion
22h00
22h50
19 February
MK 748
Mauritius – Mumbai
18h40
02h20
19 February
MK 014
Mauritius – Paris CDG
22h50
07h35
*All timings are in local time
Flight MK 249, Reunion-Mauritius, scheduled on Monday 20 February 2023 at 07h00 local time has been preponed to Sunday 19 February 2023. It will now operate as flight MK 1249 at 23h25 local time and is expected to arrive in Mauritius at 00h15 local time on Monday 20 February 2023.
All flights scheduled to/from Rodrigues on Monday 20 February 2023 are cancelled.
Air Mauritius is closely monitoring the situation with the authorities and will keep passengers informed of developments through its Call Centre on 207 7575, on its website at airmauritius.com and through regular communiques.
Air Mauritius regrets any inconvenience caused.
Air Mauritius currently operates direct flights to 10 destinations in Europe, India, Africa, Asia, Australia and the Indian Ocean islands. From Paris Charles De Gaulle airport, connections are offered to above 70 destinations in Europe with Air France.
From the Piper Navajo at its humble beginnings, Air Mauritius nowadays has one of the youngest and most modern fleet in the world, with the latest generation aircraft such as the Airbus A350-900 XWB and the A330-900neo.
Top Copyright Photo: Air Mauritius Airbus A350-941 3B-NBQ (msn 157) CDG (Jacques Guillem Collection). Image: 951615.
Allegiant Air has announced eight new nonstop routes to some of the nation’s premier vacation destinations.
The routes, launching during this year’s summer and fall travel seasons, will connect communities across the country to some of the most popular leisure hot spots, including Portland, Las Vegas, Myrtle Beach, Austin, Phoenix, Asheville, Chicago and Los Angeles.
The new route to Denver International Airport (DEN):
Allentown, Penn. via Lehigh Valley International Airport (ABE) – beginning June 15, 2023with one-way fares as low as $59.*
The new seasonal route to Portland International Airport (PDX):
Appleton, WI. via Appleton International Airport (ATW) – beginning June 15, 2023 with one-way fares as low as $69.*
The new seasonal route to Austin-Bergstrom International Airport (AUS):
Omaha, Neb. via Omaha Airport (OMA) – beginning June 15, 2023 with one-way fares as low as $49.*
The new route to Phoenix Sky Harbor International Airport (PHX):
Asheville, North Carolina via Asheville Regional Airport (AVL) – beginning May 26, 2023with one-way fares as low as $69.*
The new seasonal route to Myrtle Beach International Airport (MYR)
Akron, Ohio via Akron-Canton Airport (CAK) – beginning June 1, 2023 with one-way fares as low as $39.*
The new route to Harry Reid International Airport (LAS):
Lexington, Ky. via Blue Grass Airport (LEX) – beginning June 15, 2023 with one-way fares as low as $69.*
The new route to Chicago Midway International Airport (MDW):
Provo, Utah via Provo Airport (PVU) – beginning June 16, 2023 with one-way fares as low as $59.*
The new seasonal route to Los Angeles International Airport (LAX):
Sioux Falls, S.D. via Sioux Falls Regional Airport (FSD) – beginning June 14, 2023 with one-way fares as low as $59.*
The new nonstop routes will operate twice weekly.
Top Copyright Photo: Allegiant Air Airbus A320-214 N289NV (msn 4574) AZA (Jarrod Wilkening). Image: 957851.
Azul Linhas Aéreas has announced the expansion of its international long-haul network and the addition of its 2nd European destination.
Nonstop service from the Sao Paulo – Viracopos hub to Paris Orly airport will begin on April 26, 2023. This will be the first South American destination for Paris Orly and the only nonstop service between the two airports. The service will be flown by Azul’s modern and efficient Airbus A350-900 aircraft with seating in 3 cabins for 334 passengers: 33 in Azul Business, 118 in Azul Economy Extra and 183 in Azul Economy.
With six weekly frequencies, from Wednesday to Monday, flights depart Azul’s Viracopos hub at 23:00 enabling convenient connections from our network all over Brazil with a scheduled arrival time at Paris Orly of 15:30 local. In the return direction the flight departs Orly at 22:15 arriving into Viracopos at 4:45AM local time. On July 31, the flights will be daily.
The Airbus A350
One of the world’s most modern and efficient aircraft, the A350-900 provides the latest generation in passenger comfort, fuel efficiency and cargo capacity. The aircraft consumes 20% less fuel per seat compared to older generation A330 aircraft. In Azul’s fleet the aircraft is configured with 33 seats in Azul Business, 118 in Azul Economy Extra and 183 in Azul Economy.
Record fourth quarter passenger revenues of $4.062 billion, doubled than fourth quarter 2021 and about two per cent higher than fourth quarter 2019
Record fourth quarter operating revenues of $4.680 billion, 71 per cent higher than fourth quarter 2021 and about six per cent higher than fourth quarter 2019
Operating losses of $28 million in the fourth quarter of 2022 and of $187 million for the full year 2022
Adjusted EBITDA* of $389 million in the fourth quarter of 2022 and of $1.457 billion for the full year 2022
Adjusted EBITDA margin* of 8.3 per cent for the fourth quarter of 2022 and of 8.8 per cent for the full year 2022
Total liquidity of over $9.8 billion at December 31, 2022
Air Canada reported its fourth quarter and full year 2022 financial results.
“We are pleased with our fourth quarter and full year 2022 financial results. We reported record fourth quarter passenger and operating revenues, surpassing our results from a year ago and those of the fourth quarter of 2019. This was due to solid demand and yield environments across our network. This progress was also a result of the dedication and hard work of our employees who safely transported more than two million customers during a holiday period challenged by severe winter weather across North America, and to our entire team who successfully executed on our strategy. I warmly thank them,” said Michael Rousseau, President and Chief Executive Officer of Air Canada.
(*Adjusted CASM, adjusted EBITDA, adjusted EBITDA margin, adjusted net income (loss), adjusted pre-tax income (loss), free cash flow, leverage ratio, net debt, and return on invested capital referred to in this news release, are non-GAAP financial measures, capital management measures, non-GAAP ratios or supplementary financial measures. Such measures are not recognized measures for financial statement presentation under GAAP, do not have standardized meanings, may not be comparable to similar measures presented by other entities and should not be considered a substitute for or superior to GAAP results. Refer to the “Non-GAAP Financial Measures” section of this news release for descriptions of these measures, and for a reconciliation of Air Canada non-GAAP measures used in this news release to the most comparable GAAP financial measure.)
“Our performance is attributable to the deep resilience we have built into our company for long-term stability. We reported positive cash flows from operations in the fourth quarter of $647 million and positive free cash flow of $320 million. We exercised diligent cost control. Our adjusted EBITDA of $389 million was $367 million better than a year ago. For the full year, we reported adjusted EBITDA of $1.457 billion and an adjusted EBITDA margin of 8.8 per cent, meeting our full-year 2022 guidance. We ended the year with total liquidity of more than $9.8 billion.
“These results also validate our strategy of diversifying our revenue sources. In our core passenger business, revenue was about two per cent higher than in the fourth quarter of 2019. Revenue from our premium cabins was about 13 per cent higher, supported in part by Aeroplan. The loyalty program’s active membership is at an all-time high and continues to grow, and Air Canada Cargo revenue was up 55 per cent compared to the same quarter pre-pandemic. Similarly, Air Canada Vacations ground package revenues contributed to the growth in other revenues of $62 million, or 23 per cent higher than the fourth quarter of 2019,” said Mr. Rousseau.
“We are very encouraged with the positive outlook ahead. Our quarterly ticket sales were 102 per cent of the fourth quarter of 2019, on a lower level of capacity, and we expect a solid demand environment in 2023. In anticipation, we are building out our global network, continuing our narrow-body fleet renewal, and investing in technology and customer service. More than 36 million people chose to fly with Air Canada last year. We appreciate and thank them for their loyalty. We intend to do much more to provide them with an elevated level of customer service and continuous value from our airline in 2023 and beyond.”
Fourth Quarter 2022 Financial Results
Operating capacity, measured by Available Seat Miles (ASMs) increased about 59 per cent from the fourth quarter of 2021, representing about 85 per cent of the fourth quarter of 2019 ASMs, in line with projections in Air Canada’s third quarter 2022 earnings release, dated October 28, 2022.
Record fourth quarter passenger revenues of $4.062 billion nearly doubled from the fourth quarter of 2021, or about a two per cent increase from the fourth quarter of 2019.
Record fourth quarter operating revenues of $4.680 billion increased 71 per cent from the fourth quarter of 2021 and about six per cent from the fourth quarter of 2019.
Operating expenses of $4.708 billion increased $1.474 billion from the fourth quarter of 2021.
Cost per available seat mile (CASM) decreased to 21.1 cents from 23.0 cents in the fourth quarter of 2021.
Adjusted cost per available seat mile* (adjusted CASM) of 13.7 cents, compared to fourth quarter 2021 adjusted CASM of 16.7 cents. Compared to the fourth quarter of 2019, adjusted CASM increased about 15 per cent.
Operating loss of $28 million, significantly better than an operating loss of $503 million in the fourth quarter of 2021.
Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) of $389 million, an increase from adjusted EBITDA of $22 million in the fourth quarter of 2021.
Net income of $168 million (or $0.41 per diluted share), compared to a net loss of $493 million (or $1.38 per diluted share) in the fourth quarter of 2021. Fourth quarter 2022 net income included a foreign exchange gain of $316 million.
Adjusted net loss* of $217 million (or $0.61 per diluted share), compared to an adjusted net loss of $577 million (or $1.61 per diluted share) in the fourth quarter of 2021.
Net cash flows from operations of $647 million compared to net cash flows from operations of $508 million in the fourth quarter of 2021.
Full Year 2022 Financial Results
Operating capacity, measured by Available Seat Miles (ASMs) increased two-and-a-half times from 2021, representing about 73 per cent of 2019 ASMs, in line with projections in Air Canada’s third quarter 2022 earnings release, dated October 28, 2022.
Passenger revenues of $14.238 billion more than tripled from 2021, recovering to about 83 per cent of 2019 passenger revenues.
Operating revenues of $16.556 billion increased over two-and-a-half times from 2021, recovering to about 87 per cent of 2019 operating revenues.
Operating expenses of $16.743 billion increased $7.294 billion or 77 per cent from 2021.
Cost per available seat mile (CASM) decreased to 20.3 cents from 28.3 cents in 2021.
Adjusted CASM of 13.2 cents compared to 2021 adjusted CASM of 23.3 cents. Compared to 2019, adjusted CASM increased approximately 19 per cent, one percentage point above the high-end of the range projected in Air Canada’s third quarter 2022 earnings release, dated October 28, 2022. This increase was due to the impact of higher passenger traffic and yield (which increased sales and distribution costs), general inflationary pressures, including but not limited to higher catering and service costs, customer disruption costs greater than expected (largely due to weather-related disruptions in the fourth quarter of 2022), and higher employee benefits expense.
Operating loss of $187 million significantly better than an operating loss of $3.049 billion in 2021.
Adjusted EBITDA of $1.457 billion, compared to negative adjusted EBITDA of $1.464 billion in 2021.
Net loss of $1.700 billion (or $4.75 per diluted share), compared to a net loss of $3.602 billion (or $10.25 per diluted share) in 2021. 2022 net loss included a foreign exchange loss of $732 million.
Adjusted net loss of $988 million (or $2.76 per diluted share), compared to an adjusted net loss of $3.768 billion (or $10.74 per diluted share) in 2021.
Net cash flows from operations of $2.368 billion compared to net cash used in operations of $1.502 billion in 2021.
Outlook
For the first quarter of 2023, Air Canada plans to increase its ASM capacity by about 50 per cent from the same quarter in 2022 (or approximately 84 per cent of first quarter 2019 ASM capacity).**
Air Canada is providing the following guidance for the full year 2023 and updates to its 2024 long-term targets described below.
Metric
FY 2023 Guidance
FY 2024 Targets
ASM capacity
Increase of about 24 per cent from 2022 ASM levels (or about 90 per cent of 2019 ASM levels)**
About 100 per cent of 2019 ASM levels
Adjusted CASM
About 13 to 15 per cent above 2019 levels
About 8 to 10 per cent above 2019 levels
Adjusted EBITDA
About $2.5 – $3.0 billion
About $3.5 – $4.0 billion
Leverage ratio
N/A
Approaching 1.5 by year-end 2024
Annual Return on invested capital (ROIC)
N/A
About 15 per cent by year- end 2024
Cumulative free cash flow*
N/A
About $2.5 billion for the 2022-2024 period
Major Assumptions
Assumptions were made by Air Canada in preparing and making forward-looking statements. As part of its assumptions, Air Canada assumes moderate Canadian GDP growth for 2023. Air Canada also assumes that the Canadian dollar will trade, on average, at C$1.34 per U.S. dollar for the full year 2023 and that the price of jet fuel will average C$1.30 per litre for the full year 2023.
Air Canada provided 2024 targets via news release, dated March 30, 2022, in conjunction with its 2022 Investor Day held on the same day. The following includes updates and provides explanations for the restated targets:
For 2024, Air Canada expects a full year ASM capacity of about 100 per cent of 2019 ASM levels; up from 95 per cent of 2019 levels, as a result of securing additional interim lift.
Air Canada expects 2024 adjusted CASM to increase by about 8 to 10 per cent when compared to 2019, as compared to an increase of 2 to 4 per cent as provided at the 2022 Investor Day. The increase is due to the impact of higher passenger traffic (which increases sales and distribution costs), higher staffing levels to continuously improve operational performance and customer service levels, and general inflationary pressures.
Air Canada is withdrawing its annual adjusted EBITDA margin target of about 19 per cent for full year 2024 and is now providing an adjusted EBITDA target, which is a better indicator to assess its financial performance. For 2024, Air Canada expects its adjusted EBITDA to range between about $3.5 – $4.0 billion. This new target for adjusted EBITDA range is in line with the adjusted EBITDA reflected in the margin target communicated at the 2022 Investor Day.
Air Canada anticipates net debt to trailing 12-month adjusted EBITDA (leverage ratio)* to approach 1.5 by year-end 2024, up from 1.0 as provided at the 2022 Investor Day. The increase in Air Canada’s targeted leverage ratio is attributable to expected higher cash used for capital expenditures, mainly due to additional freighter investments than previously forecast.
The target for annual return on invested capital (ROIC) of about 15 per cent by year-end 2024 remains unchanged from prior target.
Air Canada expects cumulative free cash flow generation of about $2.5 billion for the 2022-2024 period, as compared to about $3.5 billion provided at the 2022 Investor Day. The decrease in free cash flow is due to higher cash used for capital expenditures, as described above, partially offset by higher cash from operations.
(**Air Canada will continue to adjust capacity and take other measures as required, including to account for passenger demand, public health guidelines, travel restrictions globally, inflation and other cost pressures.)
Top Copyright Photo: Air Canada Airbus A220-300 (CS300 BD-500-1A11) C-GJYA (msn 55088) MIA (Bruce Drum). Image: 105896.
Spirit Airlines has announced the launch of new, nonstop service from San José Mineta International Airport (SJC). The carrier is kicking off the new service with two daily flights to Las Vegas (LAS) and daily flights to Dallas/Fort Worth (DFW) and San Diego (SAN) on June 7, 2023.
Spirit Airlines Routes at SJC
Destination:
Flights Available:
Launch Date:
Dallas (DFW)
Daily
June 7, 2023
Las Vegas (LAS)
Twice Daily
June 7, 2023
San Diego (SAN)
Daily
June 7, 2023
The new service marks the seventh airport Spirit serves in the Golden State, joining Burbank (BUR), Los Angeles (LAX), Oakland (OAK), Orange County (SNA), Sacramento (SMF) and San Diego (SAN). Spirit first launched California service in Los Angeles in 2000 and has grown to more than 55 daily departures to 23 out-of-state destinations. In the past three years, the carrier has grown the number of flights by 41 percent and seats by 46 percent statewide.
Top Copyright Photo: Spirit Airlines Airbus A320-271N WL N950NK (msn 10769) LAS (Jay Selman). Image: 404225.
Delta will operate seasonal winter service between New York-JFK and Rio de Janeiro starting Dec. 16, the third new route announced with Joint Venture partner LATAM Group.
Route to Rio adds to Delta and LATAM’s position as the No. 1 Joint Venture partnership for service between NYC and South America.
New York’s No. 1 airline to add seasonal New York-JFK-Buenos Aires** service on Oct. 29.
New Yorkers will soon be able to jet nonstop to another city that never sleeps, Rio de Janeiro, when Delta launches seasonal service between New York-JFK and Rio Galeão Airport (GIG) in Brazil starting Dec. 16. The new route — the third that Delta and LATAM have announced since the Joint Venture was approved in September 2022 — will operate daily on Delta’s Boeing 767-300 aircraft featuring Delta One, Delta Premium Select, Delta Comfort+ and Main Cabin service.
SCHEDULE OF NEW SEASONAL SERVICE BETWEEN NEW YORK JFK AND RIO DE JANEIRO*
Flight
Departure
Arrival
DL245 JFK-GIG
8:30 p.m.
8:20 a.m. the next morning
DL244 GIG-JFK
10:20 a.m.
6:30 p.m.
*Seasonal service starts Dec. 16. Schedules subject to change.
JOINT VENTURE PARTNERSHIP WITH THE MOST FLIGHTS BETWEEN THE U.S. AND BRAZIL
Delta offers daily service between JFK and São Paulo, twice daily service between its Atlanta hub and São Paulo, and seasonal service between Atlanta and Rio de Janeiro. LATAM offers service between São Paulo and five U.S. gateways, including New York-JFK, Boston, Orlando, Miami and, starting this summer: new Los Angeles service that will operate three-times weekly beginning in the third quarter.
THE MOST SERVICE BETWEEN NYC AND SOUTH AMERICA
Delta and LATAM together are New York City’s #1 Joint Venture partnership, offering the most service between the Big Apple and South America with flights between JFK and São Paulo, Brazil; Lima, Peru; Santiago, Chile; Bogota, Colombia and soon Rio de Janeiro.
Copa Holdings, S.A. (Copa Airlines) has announced financial results for the fourth quarter of 2022 (4Q22) and the full year of 2022.
The following financial information, unless otherwise indicated, is presented in accordance with International Financial Reporting Standards (IFRS). See the accompanying reconciliation of non-IFRS financial information to IFRS financial information included in the financial tables section of this earnings release. Unless otherwise stated, all comparisons with prior periods refer to the fourth quarter of 2019 (4Q19) (which the Company believes are more relevant than year-over-year comparisons due to the significant impact of the COVID-19 pandemic in 2020 and 2021).
OPERATING AND FINANCIAL HIGHLIGHTS
Copa Holdings reported a net profit of US$88.3 million for 4Q22 or US$2.23 per share, mainly driven by the continued effect of high fuel prices as well as the negative mark-to-market effect of the Company’s convertible notes.
Excluding special items, comprised of the unrealized mark-to-market net loss of US$89.4 million mentioned above related to the Company’s convertible notes, as well as changes in the value of financial investments, the Company would have reported a net profit of US$177.7 million or US$4.49 per share.
For the full-year 2022, the Company reported a net profit of US$348.1 million or US$8.58 per share. Excluding special items, comprised of an unrealized mark-to-market net gain of US$12.7 million related to the Company’s convertible notes as well as changes in the value of financial investments, Copa Holdings would have reported an adjusted net profit of US$335.4 million or US$8.26 per share, compared to a net profit of US$336.3 million or earnings per share of US$7.92 in 2019.
In 4Q22, Copa Holdings reported an operating profit of US$219.7 million and a 24.7% operating margin.
For the full-year 2022, the Company reported an operating profit of US$450.4 millionand an operating margin of 15.2%, compared to an adjusted operating profit of US$435.5 million and an operating margin of 16.1% in 2019.
Total revenues for 4Q22 increased 30.6% to US$890.6 million, as compared to 4Q19 revenues. Yields increased 20.4% to 15.1 cents and revenue per available seat mile (RASM) increased 23.4% to 13.7 cents.
Adjusted operating cost per available seat mile (Adjusted CASM) increased 10.3% from 9.3 cents in 4Q19 to 10.3 cents in 4Q22, driven by an increase of 63.1% in the price of fuel per gallon. Adjusted CASM excluding fuel (Adjusted Ex-fuel CASM) decreased 7.0% in the quarter to 6.1 cents, as compared to 4Q19.
Passenger traffic, measured in terms of revenue passenger mile (RPMs), increased by 7.5% compared to 4Q19, while capacity (ASMs) increased by 5.9%. As a result, load factors for the quarter increased by 1.4 percentage points to 86.6%.
The Company ended the quarter with approximately US$1.1 billion in cash, short-term and long-term investments, which represent 38.3% of the last twelve months’ revenues, compared to US$1.2 billion held at the end of 2021.
The Company closed the quarter with total debt, including lease liabilities, of US$1.7 billion, compared to US$1.6 billion at the end of 2021.
During the quarter, the Company took delivery of two Boeing 737 MAX 9 aircraft, ending the year with a consolidated fleet of 97 aircraft – 67 Boeing 737-800s, 20 Boeing 737 MAX 9s, 9 Boeing 737-700s, and 1 Boeing 737-800 freighter, compared to a fleet of 102 aircraft prior to the COVID-19 pandemic.
Copa Airlines had an on-time performance for the quarter of 86.1% and a flight completion factor of 99.6%.
Subsequent Events
In January, the Company took delivery of one Boeing 737 MAX 9 and expects to receive one additional aircraft by the end of the first quarter.
In January, Copa Airlines was recognized by OAG as the most on-time airline in Latin America in 2022. Copa Airlines’ on-time performance of 87.5% for the year was the highest of any carrier in the Americas.
In February, the Company announced the commencement of services to Manta, Ecuador, Baltimore-Washington International Airport, and Austin, Texas, bringing the total number of destinations in our network to 80. All new services are scheduled to start between June and July of 2023.
Excludes Special Items. This earnings release includes a reconciliation of non-IFRS financial measures to the comparable IFRS measures.
The Company believes that comparisons with 2019 are more relevant than year-over-year comparisons due to the significant impacts in 2020 and 2021 of the COVID-19 pandemic.
Top Copyright Photo: Copa Airlines Boeing 737-9 MAX 9 HP-9912CMP (msn 44211) BFI (Brian Worthington). Image: 959983.
TAP Air Portugal brings one of its new regional aircraft to life by naming an Embraer E190 after the charming town of ‘Cascais’ – one of the country’s most popular tourist locations.
The municipality is located about 30 kilometers from TAP’s base in Lisbon and has recently become one of the biggest hotspots for international tourists looking to discover the picturesque sparkle of Portugal.
Over the course of 2023, five more of the airline’s E190 and E195 aircraft will be named after regions in Portugal, with the initiative celebrating the six-year anniversary of TAP’s successful ‘Embrace Portugal’ project launched in 2017.
Joining Portugália Airlines, part of the TAP Group, the aircraft will fly under the TAP Express brand on short and medium-haul flights.
TAP Express currently owns a fleet of 16 aircraft – 10 Embraer 190s, with capacity for 106 passengers, and six Embraer 195s, with capacity for 118 passengers.
To celebrate the naming of Portugália’s “Cascais”, (registration number CS-TPY), a ceremony hosted by TAP CEO Christine Ourmières-Widener, and the town’s mayor, Carlos Carreiras, was held in Cascais Town Hall.
An identical model replica of the E190 was presented to Carlos Carreiras as a gift from Christine Ourmières-Widener, representing a token of empowerment and domestic collaboration.
The touching gesture once again reinforces the carrier’s vital role of promoting the best of Portugal, strengthening the connection between regions, and showcasing its culture, gastronomy, and rich heritage.
The new E190 and E195 have strengthened the company’s regional operation, representing a major growth in available seats and frequency to key destinations around the country.
Spirit Airlines has announced the launch of five new, nonstop routes from Luis Muñoz Marín International Airport (SJU). The expansion adds convenient and affordable flights to Atlanta (ATL), Chicago(ORD), Dallas (DFW), Detroit (DTW) and Hartford (BDL), growing Spirit’s Puerto Rico service from 11 destinations to 16 by June 2023.
The carrier also announced it will increase flights between San Juan (SJU) and Orlando (MCO) to five flights daily and grow flights between San Juan and Baltimore (BWI), Fort Lauderdale (FLL) and Newark (EWR) to two flights daily.
Spirit Airlines Routes at San Juan (SJU)
Destination:
Flights Available:
Launch Date:
Atlanta (ATL) NEW
Daily
May 5
Boston (BOS)
Daily
Existing
Hartford (BDL) NEW
3x Weekly
June 7
Baltimore (BWI)
2x Daily
Frequency increases on May 5
Dallas (DFW) NEW
Daily
May 5
Detroit (DTW) NEW
Daily
May 5
Newark (EWR)
2x Daily
Frequency increases on June 7
Fort Lauderdale (FLL)
2x Daily
Frequency increases on April 5
Orlando (MCO)
5x Daily
Frequency increases on May 5
Miami (MIA)
Daily
Existing Service
Chicago (ORD) NEW
Daily
May 5
Philadelphia (PHL)
Daily
Existing Service
Tampa (TPA)
Daily
Existing Service
Spirit first landed on the island in 2001 with service to San Juan (SJU) and has grown its Puerto Rican route map to include Aguadilla (BQN) and Ponce (PSE). The airline will offer 21 peak-day departures in San Juan by June 2023, making it the second-largest carrier by destinations, seats and available seat miles (ASM). This adds to Spirit’s growth across the island, which represents more than 200 percent growth in the past four years.
Top Copyright Photo: Spirit Airlines Airbus A320-271N WL N971NK (msn 11222) LAX (Michael B. Ing). Image: 960077.
JetBlue Airways has announced new service between Fort Lauderdale-Hollywood International Airport (FLL) and Tallahassee International Airport (TLH) beginning in January 2024, as the airline lays out new plans for more low-fare, high-value flights in South Florida.
After its planned combination with Spirit, JetBlue expects to reach more than 250 flights a day at Fort Lauderdale-Hollywood by 2027.
Broward County’s master plan for further development of Fort Lauderdale-Hollywood International Airport would enable JetBlue to grow to more than 250 daily flights. JetBlue has already committed support for a new Terminal 5 and is ready to partner with the airport on further expansion to increase capacity.
More Routes, More Choices for South Florida
JetBlue plans to combine with Spirit and further grow its Fort Lauderdale schedule over the coming years, ultimately reaching more than 250 daily departures by 2027 and making Fort Lauderdale-Hollywood an even more compelling choice for South Florida customers. While both carriers have had success in Fort Lauderdale, the combination between JetBlue and Spirit will unlock long-term opportunities to add domestic and international markets and routes that would not be possible otherwise:
JetBlue would offer flights to approximately 30 markets not served by either JetBlue or Spirit from Fort Lauderdale today and would add more flight frequencies to approximately 30 additional markets.
Fort Lauderdale will become an even more attractive alternative to Miami on more routes. From Fort Lauderdale, JetBlue and Spirit currently serve 66 of the top 100 markets available from Miami International Airport today (within range of existing and planned JetBlue fleet). After completing its planned expansion, JetBlue would serve from Fort Lauderdale approximately 90 of the top 100 Miami markets.
With a more competitive position in South Florida, JetBlue would plan to launch service between Fort Lauderdale and Europe with its game-changing transatlantic Mint and core experiences that have brought down high fares for European travel.
The larger network would make a number of routes viable that aren’t today, with examples including destinations like as Antigua; Belize; Cincinnati; Liberia, Costa Rica; Minneapolis; Memphis, Tenn.; and Savannah, Ga.
Commitment to South Florida and FLL’s Master Plan
JetBlue’s expansion plan, which will be bolstered by its planned acquisition of Spirit, underscores the airline’s long-term commitment to Florida and signals support for the airport’s master plan to further grow and develop airport facilities.
JetBlue estimates its plan would add approximately 1,000 incremental new jobs at the airline’s Fort Lauderdale operations, and further support economic activity across the region that will lead to additional job growth. In addition, JetBlue’s no furlough policy ensures that current Spirit team members who wish to stay with the combined airline will have a role with JetBlue. Today, JetBlue and Spirit employ nearly 13,000 people in Florida, with service to 10 airports across the state. JetBlue has committed to insourcing many jobs that Spirit currently outsources to third-party providers. In addition, JetBlue maintains a focus city at MCO, support center, and crewmember training campus in Orlando.
Top Copyright Photo: JetBlue Airways Airbus A320-232 N605JB (msn 2368) (Boston Red Sox) FLL (Ian Bowley). Image: 959607.
Avelo Airlines opened its fifth base on February 15 at Raleigh-Durham International Airport (RDU). The new base enables Avelo to significantly expand the affordable, convenient and reliable air service the airline introduced to North Carolina’s Research Triangle region last May.
Especially noteworthy is Avelo’s transition to Terminal 1. RDU’s original terminal represents a substantially more convenient and relaxing airport experience than its substantially larger Terminal 2. Terminal 1 offers Avelo Customers a swift curb-to-gate experience – in contrast to the significantly longer walks and TSA lines found at RDU’s Terminal 2. When travelers return from their trip, getting from their plane to baggage claim, and on their way home will be equally fast and seamless.
With the debut of Avelo’s new base, Avelo now serves seven nonstop destinations from RDU, including six new popular Florida routes. Avelo began serving Southern Connecticut’s most convenient airport, Tweed-New Haven Airport, from RDU last year. Earlier this month, Avelo initiated service to Orlando and Tampa. Beginning tomorrow, Avelo will inaugurate service to Fort Lauderdale, Fort Myers, Sarasota-Bradenton and West Palm Beach.
Six New Nonstop Florida Destinations:
Orlando (MCO) Effective February 2, 2023 – Monday, Thursday, Friday and Sunday
Tampa (TPA) Effective February 3, 2023 – Monday, Thursday, Friday and Sunday
Fort Lauderdale (FLL) Effective February 16, 2023 – Monday, Thursday, Friday and Sunday
Fort Myers (RSW) Effective February 16, 2023 – Tuesday, Thursday and Sunday
Sarasota-Bradenton (SRQ) Effective February 17, 2023 – Monday, Friday and Saturday
West Palm Beach (PBI) Effective February 17, 2023 – Monday, Friday and Saturday
Growing Avelo at RDU
Avelo is initially basing one Boeing Next-Generation (NG) 737-700 at RDU.
Avelo is also building up its services at Wilmington, NC.
Top Copyright Photo: Avelo Airlines Boeing 737-7H4 WL N701VL (msn 36617) BUR (Michael B. Ing). Image: 955616.