The Blue Swan Daily brings you a roundup of the most thought-provoking and interesting comments from those industry leaders in the know.
AirAsia X Malaysia to remain with 24 aircraft for rest of 2020
AirAsia X Malaysia CEO Benyamin Ismail stated (13-Nov-2019) “We will retain a strict cost discipline and we will remain committed to sustainable growth in line with consumer demand amid any challenging extraneous circumstances”. Mr Ismail added the carrier will remain with 24 aircraft for the rest of 2020 and focus on expanding capacity in the last quarter of 2020 new A330neo deliveries. [more – original PR]
American Airlines rolls out Overbooked Flight Automation tool
American Airlines introduced a tool called ‘Overbooked Flight Automation’ in 2019, designed to notify passengers when a flight has been overbooked (Phoenix Business Journal, 07-Nov-2019). The carrier previously rang passengers to inform them of the change, which American Airlines VP of customer planning Julie Rath noted was “not a great process”, as the carrier was unable “to reach as many customers as we’d like”. American Airlines CEO Doug Parker said the new tool allows the carrier to “do a better job of generating revenue because we’re able to take more risk on amount of oversells”.
Qantas CEO: Boeing has ‘put a compelling proposition on the table’ following Boeing 777-8X delay
Qantas CEO Alan Joyce reported “While the 777-8X is likely to be delayed” Boeing has “put a compelling proposition on the table” with part of the “proposal is an alternative that gives us a transition to the later delivery of the 777” (Bloomberg, 14-Nov-2019). As previously reported by CAPA, Boeing Commercial Airplanes media relations lead Paul Bergman said the company “decided to adjust the schedule” for the 777X programme following a review of the “development programme schedule and the needs of our current 777X customers”.
Gol: Business traveller makes up around 40% of the Brazil-Argentina market
Gol CEO Paulo Kakinoff commented on the carrier’s operations in the Argentina market, stating that Gol has not seen a drop in demand in the Brazil-Argentina market (Clarin, 11-Nov-2019). Mr Kakinoff added that the passenger composition is “similar to the Brazilian market, approximately 40% of business travellers and around 60% tourism”.
Air France CEO: Customers still love the A380 but ‘there is no point in keeping it’
Air France CEO Anne Rigail reportedly said although “customers still love” the A380 “there is no point in keeping it…you can only use it on the highest revenue routes” (aero.de/Up In the Sky/airliners.de, 11-Nov-2019). Ms Rigail noted Air France’s 10 A380s would require a major cabin renovation to continue deployment and “the investment for the renewal of the cabins would be huge”, costing up to EUR35 million per aircraft. She added that the cost of cabin renovations and maintenance works for the A380 “is so high that we think it’s better to renew the fleet. It will simply pay off in the coming years to have new-generation aircraft”.
IATA CEO outlines measures to ensure sustainable aviation growth
IATA director general and CEO Alexandre de Juniac outlined (11-Nov-2019) the following measures to ensure the growth of aviation is sustainable:
- Make the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) “as comprehensive as possible during the voluntary period”;
- Hold governments accountable for their CORSIA commitments. Mr de Juniac commented: “Too many states – particularly in Europe – are introducing aviation carbon taxes that could undermine CORSIA. This must stop”;
- Governments must focus on driving the technology and policy solutions that will make aviation more sustainable. This includes focusing on sustainable aviation fuels, which Mr de Juniac said have the potential to reduce aviation’s carbon footprint by up to 80%;
- Industry leaders must better communicate with customers and governments on the measures being taken to reduce aviation’s climate impact. [more – original PR]