UK regional airline Flybe has raised almost $260 million in fresh capital through a share flotation launched February 20 in London. The company, which has been battling to rebuild its business model with an aggressive program of cost cutting, is issuing a total of up to 141.5 million new shares to raise £155.6 million. The offer price on February 20 was 110p per share, representing a 7.2-percent discount on the stock’s 118.5p mid-market price on February 19.
A December 15 Air France flight was held on the ground in Venezuela after French intelligence officials received a credible tip that a bomb would be detonated when the flight was over the Atlantic between Caracas and Paris. An extensive search of the Airbus A340 found no explosive devices and the flight was allowed to proceed.
Facing high costs and increased competition, Air France-KLM’s management must pick its battles. Having announced plans for up to 2,800 job cuts on September 18, the European airline this week deferred a decision on whether or not it will provide further investment to plug holes in the sieve-like balance sheet of Alitalia. It holds a 25-percent stake in the Italian carrier, and Italy’s government has indicated it would be willing to see the Franco-Dutch group increase that share to 50 percent.
Encouraged by a bounty of sales commitments during the Paris Air Show, Airbus parent company EADS now predicts that the civil airframer will receive orders for 300 more aircraft than it previously projected for this year. While releasing its half-year financial results on July 31, EADS said it expects Airbus will receive orders for at least 1,000 airplanes and deliver between 600 and 610, up from last year’s 588.
Online air charter broker PrivateFly is expanding its French operation. It hired two operations assistants–Julien Molinet, who previously worked in communications at Air France, and Davide Paladino, who has a private banking and aviation background–to help PrivateFly operations controller Mehdi Dialmy, who heads the company’s French division. The company also appointed Astrid Arminjon as digital marketing executive, a role that includes reaching out to new customers in France and boosting content development for PrivateFly’s French website.
Honeywell and Safran said they have completed the first major phase of testing of their electric green taxiing system (EGTS), which is installed on an Airbus A320 that will conduct daily demonstrations at the Paris Air Show through Friday. On Monday, the companies announced a memorandum of understanding with Air France to further develop the system. The agreement “will enable Air France to analyze the potential technical, operational and financial benefits of the EGTS,” according to the companies.
Air France unveiled the name of a new regional airline in late January that it plans to form through the merger of its Brit Air, Régional and Airlinair affiliates. Plans call for the airline–dubbed HOP!–to launch operations this summer, operating point-to-point flights within Air France’s domestic network from Paris Orly and connecting service to Paris Charles de Gaulle.
A French appeals court has overturned the manslaughter verdict against Continental Airlines resulting from the July 2000 crash of an Air France Concorde soon after takeoff from Paris Charles de Gaulle Airport (CDG). The initial ruling held Continental liable for the accident on the grounds that maintenance errors caused a 16-inch piece of titanium to fall from one of the U.S. airline’s DC10s during its takeoff roll just moments before the Concorde.
In its final report into the loss of an Air France Airbus A330 over the South Atlantic on June 1, 2009, French air accident investigation agency BEA (Bureau d’Enquetes et d’Analyses) has managed to explain most–but not all–of the pitch-up inputs by the pilot who was flying the aircraft at the time of the accident during the last minutes of Air France Flight 447.
The decline of India’s Kingfisher Airlines, whose fleet has shrunk to 18 aircraft from 66, hasn’t only served to push air fares upward due to declining capacity in a high-demand market. At the same time it has reduced business for suppliers and airline service providers, such as maintenance, repair and overhaul (MRO) groups.
- Page 1