1. Jetstar confirms new Gold Coast-Japan link
Qantas offspring Jetstar has scrubbed Brisbane off its destination list for flights to and from Japan, in favour of the Gold Coast. The budget airline hopes to launch daily flights between Osaka, Japan's second biggest city, and the Gold Coast from October 1 to cater for an expected rise in demand. Brisbane will no longer be part of Jetstar's Japan route. Since March 2007, Japanese customers have been able to fly return to the Gold Coast via Brisbane. Strong trade industry support in Japan and Australia led to the change, Jetstar spokesman Simon Westaway said. "The reason we've done this is very straightforward - it's market driven," he said. "Over 75% of the Japanese customers who fly on this route, their end destination is the Gold Coast." He said the new route would be heavily marketed in Japan. Ticket sales for the new flights will start on May 22, pending regulatory approval.
Source: Economic Times;22.5.2008

2. Abu Dhabi buys London’s ExCel
The Abu Dhabi National Exhibition Company (ADNEC) has bought the UK top events venue – ExCel in London’s Docklands, home of the annual World Travel Market. It paid US$62 million. The government-backed company, which owns the Abu Dhabi National Exhibition Centre, aims to become the world’s leading exhibition venue developer. It has flagged further acquisitions to create a global network of exhibition centres. “This very important acquisition is designed to directly support the Abu Dhabi government’s economic diversification strategy,” said Shaikh Sultan Bin Tahnoun Al Nahyan, Adnec chairman. “This demonstrates our serious commitment to London, the UK and the international events industry,” he added. ExCel’s existing commitments, including its role in staging the 2012 London Olympics, will not be affected by the acquisition.
Source: Economic Times;22.5.2008

3. Etihad signs Malaysia Airlines partnership
Closer ties between Etihad Airways and Malaysia Airlines are planned. The two airlines plan to add destinations to their international networks and offer frequent flyer benefits offered to their respective passengers. A memorandum of understanding has been signed to pave the way for closer co-operation on joint initiatives which are likely to include a future code-share agreement as well as collaboration on frequent flyer programmes, ground handling, customer support, cargo and airport lounge access. Abu Dhabi-based Etihad currently runs six weekly Boeing 777 flights to the Malaysian capital.   Kuala Lumpur is one of seven destinations served by Etihad in the Asia-Pacific region. The airline also flies to Bangkok, Jakarta, Manila, Singapore, Brisbane and Sydney. Etihad chief executive James Hogan said: "Asia is one of our strongest markets and there is huge appetite amongst our customers to travel beyond the Malaysian capital.” This partnership will hopefully give us an ideal opportunity to expand the number of Asian destinations we offer our customers and we anticipate that it will result in increased traffic and more revenue opportunities for both our airlines." Etihad has eight other codeshare agreements with Yemen Airways, Saudi Arabia Airlines, Brussels Airlines, Sri Lankan Airlines, Royal Air Maroc, Philippine Airlines, Middle East Airlines and bmi.
Source: Business Standard;21.5.2008

4. OpenSkies releases ticket price details
British Airways new transatlantic subsidiary has confirmed prices for the start of services on June 19.The first flight by OpenSkies will be between Paris Orly and New York on a refitted 82-seat Boeing 757.Prices range from 2,269 euros return in ‘Biz’ featuring fully lie-flat beds, 1,159 euros in ‘Prem+’ with seats giving a 52” pitch and 830 euros for the 30 seats in the economy section. Rates include fuel, insurance and security surcharges but have limited availability and require seven days advance purchase.OpenSkies claimed its pricing approach is designed to provide "true value for money" compared with what has been traditionally offered by the long-time incumbent carriers on the Paris-New York route. Managing director Dale Moss claimed the Prem+ cabin "will compete with what our competitors offer as business class but at a much more compelling price point”. Economy fares valid for peak summer travel season.  Prem+ fares must be booked by June 16 with travel completed by August 31. 2008.  A Saturday night stay is required for Biz and economy fares. Tickets for the “premium” flights go on sale today (Thursday) on www.flyopenskies.com with travel agents and the BA.com website.
Source: Financial Times; London;20.5.2008

5. BA to improve New York facilities
British Airways is to spend $30 million improving its ground facilities at New York JFK. The 18-month project is scheduled to begin in June and will see the creation of a new premium check-in pavilion with a dedicated curb side drop off for First and Executive Club Gold customers. The airline will also build an enhanced and dedicated check-in area for Club World and Executive Club Silver customers and renovate its lounges. It will be build to Leadership in Energy and Environmental Design (LEED) certification. "In a time of rapidly increasing and robust competition, British Airways will now raise the competitive bar far higher than any of its JFK competitors," said Robin Hayes, executive vice president Americas. "Our premium customers in the new premium pavilion also will have the opportunity to take advantage of ‘Quintessentially,’ the luxury lifestyle group that specializes in fulfilling extra-special needs or services – hotels, clubs, spas, restaurants – anytime, anywhere in the world, however extraordinary or difficult they may be." He said the redevelopment project comes as BA launches subsidiary OpenSkies, operating between Paris and New York. BA will also start a new service between JFK and Gatwick in the autumn, and plans to begin flights between New York and London City Airport next year.
Source: Financial Times; London; 20.5.2008 

6. Virgin Blue joins Qantas in new call for second Sydney airport
A report in The Australian says that Virgin Blue has joined Qantas in urging the Rudd Government to move quickly on a second Sydney airport, warning that the existing facility is becoming a bottleneck. Virgin and other airlines are becoming increasingly vocal about problems at Macquarie Airports-controlled Sydney Airport and the need to start planning for a second facility. Chief executive Brett Godfrey called on the Government to be courageous and make a decision on where a second airport should go. He said he did not accept MAp's assertions that there was adequate opportunity to expand Sydney Airport. "I just feel that's what governments are meant to do, aren't they - take courageous decisions? So someone has to stand up and do it," he said. "It will (introduce) some competitive tension, it will mean lower airfares, less congestion and it will provide an economic stimulus not just for this state but for travelers." Mr Godfrey said on-time performance for all airlines had declined 5 to 10 percentage points in the past 18 months as a result of congestion He said Sydney - both the airport and air traffic control - were the major culprits as they struggled to handle the volume. Virgin had already run out of space at Sydney Airport. "Slots are not the issue, it's actually infrastructure and whether Sydney's got the capacity, as they've alluded to, to be able to meet the demands," he said. "I think they're talking the next decade or 20 years where they believe they have enough, but I don't think they do." "Their argument is that everyone's just going to be forced into taking bigger aeroplanes and we can't fly big aeroplanes on the facilities we have today." "There are no category D gates that we can operate from so we can't go with wide-bodies, and why force us into that position?" Mr Godfrey also confirmed that Virgin had talked with the owners of Bankstown Airport about the possibility of operating its smaller Embraer regional jets from the facility. He said Bankstown operations would draw on travelers in the vicinity, but he emphasized Virgin was not actively lobbying for the change. "At the end of the day, if the political will isn't there, we're not interested," he said. "We think there is a consumer will that also should be considered."  "We have spoken to them and we would be keen, I think it would be a good Embraer market."
Source: Business Standard;21.5.2008

7. Jet Quay reveals key JAL deal
Jet Quay Pte has announced its first comprehensive arrangement with an airline to facilitate airport services for Japan Airlines’ premium passengers through the JetQuay CIP Terminal at Singapore’s Changi Airport. “We are proud to welcome Japan Airlines and congratulate them on their service enhancement, as the first airline to devote JetQuay’s facilities to their elite passengers”, remarked Barry Nassberg, Executive Vice President and Chief Operating Officer for Worldwide Flight Services, a majority shareholder in JetQuay. Nassberg made his comments following a JAL media conference this afternoon at JetQuay. He said that, “Premium customers are no longer content with the traditional features of separate check-in desks and a pass to a lounge. In order to compete, increasingly, the trend world-wide is for airlines to offer premium customers a separate, discrete, airport terminal with luxurious facilities, which is quite apart from the mainstream”. He added that “The JetQuay CIP Terminal is the only such facility at Changi Airport”. The exclusive CIP terminal is designed to maximise privacy and provide outstanding service levels that passengers are accustomed to at fine hotels and in the air, but rarely experience at the airport. “JetQuay is not specific to any airline and it was purpose-built for individuals that value their time and appreciate exclusivity”, Nassberg said. “We welcome airlines to follow JAL’s example and offer an outstanding level of service to their elite passengers at Changi airport”. JetQuay offers three levels of service, Jetside, Quayside and Gateway. The Jetside service includes limousine transfers from the plane to the CIP Terminal on the tarmac. The Quayside service transfers passengers between the air-bridge and CIP Terminal via a buggy. Both services utilise the CIP Terminal facilities and include expedited baggage handling, check-in services and private immigration clearance. The Gateway service is an assisted meet-and-greet service for passengers conducted within the main terminal. All tiers may include in-transit transfers. Key advantages for passengers using the CIP Terminal include private driveway and direct kerbside access to the lounge, secure on-site parking, short check-in close-out times, facilitated baggage handling, a complete absence of queues, private meeting rooms, spa, gym, showers and state-of-the-art business facilities.
Source: Financial Express;20.5.2008

8. Qantas adds Premium to LA service
Qantas’ new Premium Economy cabin is now available for sale on flights from Australia to Los Angeles. Qantas Executive General Manager John Borghetti said Premium Economy would be available on selected services from Sydney to Los Angeles from 14 November 2008 and Melbourne to Los Angeles from 19 December 2008, with return fares (including taxes, levies and charges) starting from $3,999 ex Sydney and $4,080 ex Melbourne. Mr Borghetti said the introduction of the new cabin on the Pacific Route followed its successful introduction on Qantas services to Bangkok, Hong Kong, Singapore, Johannesburg and London. “We have been delighted with the complimentary customer feedback on Qantas’ Premium Economy cabin, which demonstrates a clear place for a product of this type and quality. Forward bookings show high levels of demand,” Mr Borghetti said. Qantas Premium Economy offers: superior recline and leg room – nine inch seat recline and up to 42 inch seat pitch; extra wide 19.5 inch seats designed by Qantas Creative Director Marc Newson and manufactured by Recaro, with ergonomic cushioning and an adjustable headrest; in-arm touch screen video monitor; Neil Perry inspired menu with premium wines; and pre-take off refreshments – Champagne, orange juice and water. “The new service also includes priority check-in, dedicated cabin crew, an additional hand baggage allowance, and priority boarding and disembarkation,” Mr Borghetti said. Mr Borghetti said Premium Economy would be added on Qantas services to Buenos Aires, New York and San Francisco during 2009. Qantas currently operates six B747-400 aircraft offering Premium Economy, with 18 expected to be in operation by the end of the year. All Qantas A380s will also include a Premium Economy cabin.
Source: Financial Express;20.5.2008 

9. Jet Air defers results to June
Jet Airways has deferred its fourth quarter and annual results for 2007-08 to June as the audit for the same period is not complete, it informed the Bombay Stock Exchange on Thursday. Earlier, Jet had fixed May 23 as the date. “The company has informed that audited financial results of the company for the fourth quarter and the financial year ended March 31, 2008, and also the consolidated financial results for the financial year and recommendation of dividend, if any, on the equity shares will be considered by the board at their meeting scheduled to be held on or before June 30,” the notice said.
Source: Business Line;22.5.2008

10. GMR Infrastructure entering corporate jet business
GMR Infrastructure, the Bangalore-based company would soon be diversifying into corporate jet business and would be investing Rs 800 crore for the same. The company currently owns two aircraft which it utilises for captive need. “Around 70-75 per cent of the capacity that we have at the moment is for our own use and the rest 25 per cent was for outside people,” Mr Amarthaluru Subbarao, Chief Financial Officer-corporate integration, told on sidelines of the announcement of GMR’s quarterly and financial results.Mr Subbarao said that the company will be buying three Faulkner and two Hawker aircraft along with one Bell helicopter for commencing charter operations by end of current financial year. The company has also placed an order for one more aircraft which would be delivered only by 2010-2011, he said. Earlier, in a meeting held on Tuesday, GMR Infrastructure’s board of directors approved the proposal of amalgamation of GMR Aviation Pvt Ltd with the company. In a notice sent to the Bombay Stock Exchange, the company also said that it will widen the objects clause of memorandum of association of the company by including the aviation and other businesses. “After the annual general meeting, the decision would come into effect and the corporate jet business would be run under GMR Infrastructure,” said Mr Subbarao.
Source: Business Line; 21.5.2008

Prepared by
Jennifer Kumar, BBA (NAU) Alumni
Skyline Business School
Hauz Khas Enclave, New Delhi 110 016
Tel: 2686 4848, 2652 4399
http://www.skylinecollege.com