The Blue Swan Daily brings you a roundup of the most thought-provoking and interesting comments from those industry leaders in the know.
IAG Cargo CEO Lynne Embleton on its commercial revenues increasing 7.2% year-on-year:
“2018 saw our business delivering record revenues in a market that became more challenging as the year went on. Growth in our Constant Climate and Critical products contributed to a notable year for the business and helped differentiate IAG Cargo’s customer offering”. She added: “2019 looks set to be a more challenging year, with airfreight capacity growth outpacing growth in demand”.
Grupo Viva Aerobus CEO Gian Carlo Nucci on the Mexico DGAC reporting a 10.6% year-on-year increase in domestic passenger traffic carried by Mexican airlines in 4Q2018. Viva Aerobus had the highest growth in both domestic (19.6%) and total passenger traffic (+23.1%):
“We have become an industry benchmark in terms of growth for our sector… We stood out as the airline with the highest load factor (90%) and largest increase in total passengers” in 2018.
Gol Linhas Aéreas CEO Paulo Kakinoff on Avianca Brazil’s legal process to maintain guardianship of its aircraft fleet:
“It’s really hard to predict what’s going to happen over there… I believe that the Cape Town [convention] is, legally speaking, a sovereign issue… The Cape Town Agreement is senior, it’s sovereign over any other legal aspect”.
Gol Linhas Aéreas CEO Paulo Kakinoff on Gol’s capacity planning flexibility:
“The company is prepared to either grow or reduce capacity by 4ppts in a very short term. We do not believe that it will be needed… [but] we’re fully prepared to fast react”.
Australian Airports Association (AAA) CEO Caroline Wilkie called on the Federal Government to address the regional airport infrastructure deficit with the introduction of a new funding model in its pre-budget submission:
“There is no dedicated fund for regional airports not classified as remote and yet the costs of ensuring their safe and compliant operation continue to grow… We simply cannot expect local councils to draw on limited ratepayer funds to subsidise airport operations in their towns at the expense of other much needed community services”.
Munich Airport CEO and president Michael Kerkloh on future development plans:
“By 2030 we plan to be the first airport in Germany to achieve carbon-neutral operations. To implement this ambitious climate protection programme, we are investing a total of EUR150 million”.
Swedavia president and CEO Jonas Abrahamsson on a report submitted by Swedish lawmaker Maria Wetterstrand on the implementation and use of biofuel in aviation through the introduction of a reduction quota scheme, as opposed to a national aviation tax:
“Introducing a reduction quota scheme as an alternative to the national aviation tax is thus a step in the right direction since it both reduces emissions and contributes to Swedish, large scale production of biofuel… If Sweden takes the global lead regarding biofuel production, we can create a brand new industry and many new jobs in Sweden”.
Abu Dhabi Airports CEO Bryan Thompson said the company does not expect “huge growth” over the next 12 months but forecast a “return to growth” once Etihad Airways “has reset itself”:
“The market has been slightly different for the past two years because of the changes predominantly the home carriers, both Etihad and its partner airlines, have gone through a time where they have to structurally reset. So our growth as an industry within Abu Dhabi has been fairly challenged because of the structural reset within the industry”. He also commented: “We think 2019 will be no higher than what we’ve done in 2018. It’s a fairly flat year for us in terms of the consolidation of the market”.
IAG CEO Willie Walsh on the lack of progress in Brexit negotiations:
“I think it is inevitable that Brexit will have a greater impact in the months ahead… It has been quite shocking to get so far in the political process without having any real clarity about the future. All the credible forecasts I’ve seen predict that Brexit will have a negative economic impact in the short to medium term that is likely to damage consumer confidence and act as a further drag on business investment”.