US Court Imposes 10-Year Ban on American Airlines and JetBlue Alliances, IAG Confirms Orders for Boeing, Airbus Aircraft, and More
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US Court Imposes 10-Year Ban on American Airlines and JetBlue for NEA-Like Alliances
A Massachusetts District Court has issued a ten-year ban, preventing American Airlines and JetBlue Airways from entering any alliances, partnerships, joint ventures, or agreements resulting in revenue sharing or coordination of routes and capacity, similar to their now-terminated Northeast Alliance (NEA).
This ruling follows JetBlue's notice of termination of the NEA on June 28, which took effect on July 29. The court's decision does not prohibit agreements that comply with antitrust laws, but the airlines must notify the U.S. Department of Justice and respective state Attorneys General before entering any new agreements with each other. source
Southwest Airlines Seals Deal with Mechanics Union Following Strong Q2 Profit
Southwest Airlines has approved a new collective bargaining agreement with its mechanics union after reporting a Q2 profit of $638 million. Members of the Aircraft Mechanics Fraternal Association accepted the updated contract, which includes a more than 20.5% raise over three years.
The agreement puts Southwest mechanics' wages above other major carriers and covers over 2,800 mechanics and related employees. While this contract has been settled, Southwest continues to negotiate with unions for pilots, flight attendants, and ground workers, with some negotiations being contentious. source
Qantas Refutes Sydney Airport's Allegations of Slot Hoarding
Qantas has responded to allegations of "slot hoarding" by Sydney Airport’s CEO Geoff Culbert, who blames the airline for suppressing domestic travel demand through steep airfares and high cancellation rates.
Culbert urges a change in landing rights, while Qantas refutes the allegations, arguing that they use over 90% of their allocated slots and are in favor of reforms to deal with weather-related delays.
Qantas also suggests Sydney Airport’s criticism might stem from a desire to accommodate more international planes, which could increase terminal revenue. source
Finnair Expands New Premium Cabins to 14 Routes, Including Asia
Finnair is expanding its new premium economy and business class cabins to 14 routes this summer, covering destinations in the US, Asia, and the Middle East. The cabins will be introduced on flights from Helsinki to cities including Los Angeles, Tokyo Narita, Seoul, and Osaka.
The move is part of a €200 million ($220 million) refurbishment program, with the majority of Finnair's A330s and A350s being retrofitted by the end of 2023. The new cabins provide enhanced comfort, with business class featuring cocoon AirLounge seats and premium economy offering 50% more space. source
IAG Confirms Orders for Boeing, Airbus Aircraft to Boost Long-Haul Capacity
International Airlines Group (IAG) has converted options for six Boeing 787-10s and one Airbus A350-900 into confirmed orders, and added six more Boeing 787-10s to its existing options.
This move is part of a strategic decision to restore capacity in the long-haul fleets of its subsidiaries, British Airways and Iberia, to meet increasing demand. Delivery of these aircraft is scheduled between 2025 and 2026.
IAG's CEO, Luis Gallego, emphasized that the new aircraft will be among the most fuel-efficient in the fleet, aligning with IAG's commitment to net-zero carbon emissions by 2050. source
Saudi Arabia's New Aviation Strategy Aims to Surpass Regional Competitors
Saudi Arabia is focusing on aviation expansion as part of its Vision 2030 initiative, aiming to increase income from tourism and transportation.
The kingdom's plan includes showcasing tourist destinations, simplifying entry requirements, and constructing King Salman International Airport to replace Riyadh's King Khalid Airport, which will allow the city to accommodate 120 million passengers annually by 2030.
Additionally, Saudi Arabia plans to launch Riyadh Air, a second national airline. These strategies are intended to not only compete with but surpass leading Gulf Cooperation Council airports and contribute to the kingdom's non-oil GDP, aligning with efforts to diversify the economy. source
Embraer E-Jet E2 Family Receives Certification from Malaysian Authorities
The Civil Aviation Authority of Malaysia (CAAM) has granted type certification to Embraer's E-Jet E2 family, specifically the E190-E2 and E195-E2. This certification follows previous approvals by the FAA, EASA, and ANAC and lays the groundwork for the entry of the E195-E2 in Malaysia in 2024.
The certification is particularly significant for SKS Airways, a regional Malaysian airline, which announced an order for 10 E195-E2s to assist in its growth plans. The E2 jets are seen as ideal for expanding regional connectivity within Malaysia and South East Asia, offering efficiency, comfort, and economic benefits. source
Boeing Delays Delivery of B737-7, 10 Models to 2024 Following FAA Certification Process
Boeing anticipates beginning deliveries of its smallest and largest B737 MAX variants, the B737-7 and B737-10, in 2024, according to a recent SEC filing.
The delay is attributed to more stringent FAA requirements, with the certification process intensifying following the worldwide grounding of the MAX aircraft.
The B737-7 model, which was originally planned to fly for Southwest Airlines in 2022, has 245 orders, while the larger B737-10 has 1,018 orders across 19 customers. The FAA emphasized that safety will determine the certification timeline. source
Air New Zealand Foresees Minimal Impact from Pratt & Whitney Engine Issue
Air New Zealand is assessing the impact of a recent issue with Pratt & Whitney (P&W) Geared Turbofan (GTF) engines that requires inspection for potential microscopic cracks.
Out of 3,000 GTF engines built between 2015 and 2021, around 1,200 need inspection. Air New Zealand's Chief Flight Operations Officer, David Morgan, confirmed that only one of their engines is affected, and they don't anticipate any disruptions to their schedule.
Globally, up to 200 engines will need immediate inspection, with 1,000 more checked within the next year, potentially pressuring other airlines using the affected engine type. source
New U.S. Rule Mandates Accessible Lavatories on Single-Aisle Planes
The U.S. Department of Transportation is finalizing rules to require new single-aisle commercial aircraft with 125 or more seats to have accessible lavatories for passengers with disabilities.
Previously, only planes with multiple aisles were mandated to have such facilities. The change responds to the growing use of single-aisle planes for longer flights, accounting for 86% of flights between 1,500 and 3,000 miles in 2021.
The new regulations will phase in over several years, with various accessibility features required three years after implementation, and larger, fully accessible lavatories required for planes ordered 10 years or delivered 12 years after the effective date. source