Weekly Digest - February 13th, 2012
2011 in Numbers
Etihad reports its first-ever full year profit - $14 M for 2011.
SAS posted greater-than-expected net loss of $312 M on Spanair bankruptcy.
Air Canada posted a Q4 loss of C$80 M.
Finnair Q4 net loss widens to $43.27 M. The carrier is seeking partners for a joint venture in order to reduce costs.
Expedia reported a decline in revenue growth which combined with technology investments pushed profits down to $70.3 M from $71.3 M a year earlier.
MakeMyTrip announced its fiscal 2012 Q3 results. The agency made $3 M in profits on $53.8 M in revenues.
European safety regulators asked for a safety check on all flying Airbus A380. The action was triggered after Qantas had to ground one of its jumbo planes because of the appearance of the infamous cracks. The regulators will check all 68 A380 aircraft worldwide as failure to do so at this point presents a safety risk.
The Chinese government officially forbade its carriers to participate in the emissions trading scheme which the EU launched on Jan 1st. The payments for 2012 are not due until 2013, however, and the European Commission remains confident that the Chinese airlines will decide to participate by then.
Meanwhile, a group of 26 countries strongly opposing the scheme will meet in Moscow on Feb. 21st to decide on a course of action against the legislation. The participants, which include the governments of Russia, India, China and the US, believe the EU regulation violates the Chicago Convention on international aviation and some provisions under the World Trade Organisation. The latest meeting of the group took place in New Delhi in September 2011 where it issued a joint declaration against the scheme and a formal complaint with UN's ICAO.
Irish low-cost carrier Ryanair announced plans for opening 26 new routes from Budapest in a move to capitalize on the demise of Hungarian flag-carrier Malev. Ryanair initially announced 5 new routes from Budapest in January, which will now increase to 31 and will start in April. http://reut.rs/z3GX3Y
Hungarian-based WizzAir also indicated its intentions to expand Budapest operations. The carrier will invest $100 M and add 2 Airbus A320 aircraft hoping to expand passenger traffic to 2 M from a previous estimate of 1.4 M.