Alaska Airline’s First Flight Using Biofuel to Boeing 737 and Bombardier Q400

November 12, 2011 | Aviation

Alaska Airlines will operate 75 scheduled domestic flights partially powered by biofuel derived from used cooking oil. The first of the these flights, to be operated with Boeing 737s and Bombardier Q400s, will occur Wednesday when two aircraft fly from Seattle-Tacoma to Portland, Ore., and Washington National, respectively.

The fuel, a blend comprising 20% biofuel, is being supplied by broker SkyNRG and made by Dynamic Fuels, which is a joint venture between Tyson Foods Inc. and Syntroleum Corp. AS emphasized the fuel “meets aviation and military safety, sustainability and performance standards.”

The carrier said that it and regional affiliate Horizon Air “will continue to operate select flights between Seattle and the two cities over the next few weeks.” AS and Horizon parent Alaska Air Group chairman and CEO Bill Ayer said, “Commercial airplanes are equipped and ready for biofuels. They will enable us to fly cleaner, foster job growth in a new industry, and can insulate airlines from the volatile price swings of conventional fuel to help make air travel more economical. What we need is an adequate, affordable and sustainable supply. To the biofuels industry, we say: If you build it, we will buy it.”

AAG said it estimated that the 75 flights would emit 10% fewer carbon dioxide emissions compared to its traditionally powered flights. AAG and Boeing were among the group that last year formed Sustainable Aviation Fuels Northwest.

Delta Air Lines Traffic Fell 3.8 percent as Airlines Reduce Capacity

November 5, 2011 | Airline Flight

Delta Air Lines traffic fell 3.8 percent in October at the sharpest pace since the beginning of last year as the airline reduced capacity.

Traffic fell 3.8%, the sharpest drop since the company reported a 5% decline in January 2010. Legacy carriers have encountered more difficulty in sustaining traffic gains recently. The carriers have kept fares up as they face higher fuel prices.

In addition, the traffic figures are going up against tougher comparisons to last year’s revival in travel demand. In the year-ago month, Delta reported 8.6% higher traffic, its strongest gain since the recession.

Delta also it decreased capacity 3.1% in October. As fuel prices climb, airlines are tightly managing their capacity to keep costs in check.

Load factor–a measure of plane fullness–fell to 82.8% from 83.4%, as worse occupancy on international flights outweighed better domestic travel.

Last month, Delta reported its third-quarter profit jumped 51% despite pressure for higher fuel costs as it improved the top line. However, fuel hedging effects kept core earnings lower than expected.

Shares were down 0.2% at $8.24 in recent trading, while the wider market was up broadly.

Cheap Flights to Brazil: Good Deals Flying to Rio de Janeiro

September 27, 2011 | Air Travel

Ever fantasized about flying down to Rio de Janeiro? Here’s your chance to explore one of the planet’s most fascinating, forever fun-loving cities. Cruise Copacabana Beach. Take a breath-taking cable car ride to the top of Sugar Loaf Mountain. Hop a train to the extraordinary statue of Christ the Redeemer, which overlooks what Brazilians call ‘The Marvelous City.’

Just now, at least a couple of airlines are offering good deals to the Brazilian metropolis. Consider breaking out of your traditional travel rut and give Rio a try.

US Airways’ deals are quoted round-trip, and do not include taxes or fees.

- New York LaGuardia flights to Rio de Janeiro are $978.
- Tampa flights to Rio de Janeiro are $1,362.
- Boston flights to Rio de Janeiro are $1,441.
- Philadelphia flights to Rio de Janeiro are $1,446.
- Detroit flights to Rio de Janeiro are $1,502.
- Los Angeles flights to Rio de Janeiro are $1,539.
- Orlando flights to Rio de Janeiro are $1,622.
- Chicago flights to Rio de Janeiro are $1,622.
- Charlotte flights to Rio de Janeiro are $1,642.

US Airways’ flights to Rio connect via the carrier’s Charlotte hub. From CLT the carrier flies Boeing 767-200 twinjets on the longish 4,712-mile run.

Meanwhile, fast-growing TAM Airlines is selling cheap flights from the United States to a number of Brazilian cities, specifically Rio. Again, taxes and fees are not included.

- New York Kennedy flights to Rio de Janeiro are $1,303 round-trip.

TAM’s flights from JFK are one-stop affairs. The airline flies A330 twinjets on the Rio route.

Before you start to plan your Brazilian getaway know this: you’re going to need a visa.

Saudi Arabia Consider Allow Gulf Airlines to Operate Domestic Flight Service

September 18, 2011 | Airlines News

saudi arabia aviation industryMove by kingdom’s aviation authority will help improve the country’s domestic air transport services. Saudi Arabia’s General Authority of Civil Aviation (GACA) unveiled plans to open the kingdom’s skies to Gulf airlines.

Khalid Al Khaibary, spokesman for the GACA, has said that the authority is seriously considering allowing the GCC-based airlines to operate domestic services in the kingdom.

The GACA’s move came at a time when there were rumours that the authority would not allow Gulf airlines to operate domestic flights here.

There are several factors attributed to this move. Most important among them is that the kingdom’s airlines are not in a position to compete with other Gulf airlines as the latter enjoy the full support of their respective governments.

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Improving transport

Al Khaibary said in a statement carried by the Saudi Press Agency that the opening of Saudi skies would help improve domestic air transport services and boost the kingdom’s social and economic development.

“The top officials of the authority are seriously considering various aspects of the matter. The new move would be helpful to both citizens and expatriates,” he added.

Meanwhile, Prince Fahd Bin Abdullah, Assistant Minister of Defence and Aviation at the Civil Aviation Affairs and deputy chairman of the GACA board of directors, said that the authority has not received applications from any Gulf airline seeking a licence to operate domestic services in the kingdom.

He noted that the domestic airline sector here was more attractive compared to that of some other countries in the region. The charges are stable and cheaper than in countries such as Sudan and Yemen, he said.

It is also noteworthy that the Shoura Council earlier approved a study proposing to grant licences to Gulf airlines to operate domestic services in the kingdom.

The Council had also directed Saudi Arabian Airlines, the national flag carrier, to re-start services to some local airports following the travel crisis as a result of discontinuation of services stopped by budget airlines Sama and Nas Air.

Sama withdrew from the market last year.

The Saudi aviation market makes up about 29 per cent of the aviation sector in the Middle East.

Budget offer

Saudi Arabia’s budget airline Nas Air has introduced new offers of reduced ticket prices starting at 279 Saudi riyals (Dh273), including taxes. Turki Al Juaiwani, deputy chairman of the airline for the commercial sector, said that the offers are available until August 20.

There are 50,000 tickets at discounted rates that can be used between September 15 and October 20, he said, adding that the tickets can be bought from the airline’s retail sales outlets or through their online purchase.

Spring Airlines Allowed to Serve Shanghai-Beijing Flight Route

August 20, 2011 | Airlines Companies

spring airlines flight Shanghai-BeijingWell, we sure didn’t see this one coming. Budget carrier Spring Airlines has finally been allowed to fly the highly lucrative Shanghai-Beijing route.

This will no doubt be welcome news to frequent travellers between the two cities as flight ticket prices on the sector have sprung back to pre-high speed rail rates in the aftermath of the Wenzhou train crash.

Still, by giving the airline the rights to only one round trip per day, the civil aviation authority seems to be only willing to take baby steps. Spring Airlines will depart from Shanghai daily at 6am and return to the city at 12pm.

Ticket prices will cost as low as RMB399 (all taxes in), but as is the case with budget airlines, you’ll need to book early to enjoy those special rates.

Russia Largest Airlines Rise Airline Prices Tickets Starting June, 2011

May 10, 2011 | Airlines News

Russia’s largest airlines Aeroflot and Transaero made a decision to raise fuel surcharges by the amount of 40 to 80 currency units starting June 1, 2011. Tourist operators have already received official notification in this regard. Experts attribute the rise in prices to the increase of jet fuel price and expect a reduction of the volume of Russian air transportation.

In the near future the airfares may increase by 1.5-5 thousand rubles, Vesti.ru reports. The largest Russian companies Transaero and Aeroflot have notified their partners about the upcoming price increases. Experts of the Association of Tour Operators of Russia noted that “the cost of jet fuel has increased by 35%, fuel surcharge will be increased from June 1 by 40-80 currency units per person, depending on the destination (in the calculations tour operators use currency units – dollars or Euros, depending on the country of destination, plus an average of 2% to the Central Bank rate). According to the newspaper “Izvestia”, the company Tez Tour and Vand International confirmed receipt of the letter.

Communications Director of Transaero Sergei Byhalo explained that the tickets that are sold at the box office will not be affected by the increase, as the increase will only affect the internal relationships between tour operators. The increase in the price of tickets, he said, is due to the fact that since November of last year fuel prices have increased by 25% and continue to grow, while the profitability margin of civil aviation is 2-3%.

The remaining carriers have not yet made a decision in this situation. The leadership of “Russia” airline cannot say whether they will do it or not.”UTair” at the same time announced its readiness to reduce fuel surcharges as soon as the pricee of jet fuel goes down. ATOR analysts believe that the fees will rise for the most popular destinations in Europe and Turkey with an average length of flight of 3-4 hours. This is not a whim of the players of the aviation industry buy an objectively grounded process. Recently, the price of jet fuel at the Moscow aviation hub actually rose by approximately 25-30%, while the average world market price of kerosene increased from $770 per ton to $1,100.

This price increase, according to “Vesti.ru,” may lead to the decrease of air traffic volume. Previously, based on the projected growth of the Russian economy in 2011, the air traffic was expected to increase in volume by 12-15%. In the first quarter, it increased by 10%. In recent years, domestic air carriers have already taken steps to reduce fuel costs, for example, by buying modern, more efficient planes, reducing the expense of fuel consumption by a quarter. In the future, the reduction of taxes on products of the refiners will be considered as well as an increase of the competition between them on the ground and return to the discussion of the Economic Development Ministry about the introduction of zero VAT on domestic flights.

At the moment, prices for air travel in Russia already can be compared with the prices of the European carriers. In comparison with 2002, the cost of a two-hour trip for passengers has dropped today from $400 to $230. Additionally, during the crisis, Russian airlines have been forced to lower the ticket prices by approximately 20%. Thus, the current rise in prices is inevitable. Head of Press Service of Transaero Airlines Sergei Byhalo in this regard stressed that “in the fall of last year due to a spike in the price of aviation kerosene Transaero was forced to raise prices on airline tickets. However, later, due to the intervention of the government leadership fuel suppliers have lowered their prices. Our company has also reduced prices for tickets. In the current situation we can only rely on rising prices and consumers’ ability to pay.”

According to the first vice-president of the Association of Tour Operators of Russia Vladimir Kantorovich, now the price of tickets for popular destinations amounts to approximately half of the cost of the tour. “If fuel prices rise by 20%, then the price of the tour will rise by 10%,” said a representative of ATOR. Only those who bought tours in advance will manage to avoid a significant rise in prices for airline tickets.

Summer Airfares Increase 15 percent as Rising Demand for Flight

April 24, 2011 | Airlines News

Higher fuel costs and rising demand for flights are expected to push up the average fare for domestic travel to nearly $390 by the time the season peaks.

As the summer travel season approaches, airline industry experts predict that soaring fuel prices and a sharp pickup in passenger demand will push airfares up 15% over a year earlier — to levels not seen since before the economic downturn.

Fare hikes have already begun, with six of the nation’s largest airlines each raising rates at least five times since Jan. 1 for nearly all routes.

By the time the peak summer travel season rolls around, travel industry experts predict, domestic airfares may reach an average of nearly $390, up from a low of $302 two years ago.

“We are definitely getting higher and higher and higher fares,” said Tom Parsons, who runs the popular website BestFares.com. “They’ve been going up once or twice a month, a nickel here and a dime there.”

It adds up. A round-trip ticket from Los Angeles to Baltimore now costs at least $380, up from about $200 in summer 2009, Parsons said.

Passengers may see the biggest hikes in the price of international flights, partly because of less competition among airlines for those routes.

For example, the cheapest round-trip flight from Los Angeles International Airport to Frankfurt, Germany, in the first week of May 2009 was $499, including taxes and surcharges, Parsons said. Last week, he said, the least-expensive flight for the same time period on the same route was $1,067.

Frequent travelers say the higher prices will affect their summer travel plans.

For Carolyn Ziegler-Davenport, a retiree living in Frazier Park, Calif., the higher fares mean no more flights for weekend visits to Northern California. Instead, she and her husband will make other plans this summer, such as taking in concerts at the Hollywood Bowl or short trips in their camper trailer.

“The prices certainly won’t encourage spur-of-the-moment trips,” Ziegler-Davenport said. “Price is often the deciding factor, and often the decision is to forget it.”

Airfares have been on a roller-coaster ride since summer 2008, when crude oil prices reached a record $145 a barrel and the average airline ticket for travel within the U.S. shot up to $359 in the three months that ended in September — the highest in decades, according to the federal Bureau of Transportation Statistics.

Along with all the hardship it brought, the recession led to a steep drop in demand in summer travel, pushing the average domestic airfare as low as $302 in the three months that ended in June, down 13% from $347 a year earlier, according to federal statistics.

But as the economy improved last year Americans began to travel again, pushing ticket prices up again.

In recent months, tensions in the Middle East and North Africa have increased fuel prices. That has spurred most of the nation’s major airlines to adopt half a dozen airfare hikes, each increase adding about $10 a flight.

Airline representatives said the increases were needed to respond to a 49% increase in average jet fuel prices this month compared with April 2010. Fuel is the airline industry’s biggest expense, accounting for 25% to 30% of all operating costs.

“At the end of the day, airlines are trying to keep pace with the rising cost of doing business,” said Steve Lott, a spokesman for the Air Transport Assn., the trade group for the nation’s airlines.

Airline officials decline to comment about future airfares, saying they don’t want to divulge such information to their competitors. But industry analysts predict fares probably will reach prerecession levels of 2008 by this summer.

“I think anyone who expects airfares to not increase is going to be very disappointed,” said Robert Herbst, a former pilot and independent airline consultant who expects fares to rise 15% this summer from a year earlier.

In addition to the higher fares, airline passengers often must pay extra fees to check bags, change reservations and request a pillow or blanket in the plane. In the first nine months of 2010, the nation’s airlines collected more than $2.5 billion in checked-baggage fees alone, according to the federal Bureau of Transportation Statistics.

Since the start of the recession, the airline industry has responded to the slump in demand by eliminating unprofitable routes and mothballing unneeded planes in desert airfields.

As the economy improved and travel demand grew last year, most airlines resisted the temptation to add routes or expand their jet fleet. Instead, they packed planes at record levels, with an average of more than 80% of airline seats filled for every flight, according to federal statistics.

“As a whole, the airline industry has acknowledged that it needs to make money and it can’t keep losing any longer,” said Christa Degnan Manning, the research director at American Express Business Travel’s Global Advisory Services, a division of the credit card company.

And with greater demand for airline seats, prices began to soar. The added fuel surcharges in the last four months only hastened the price increases.

With higher prices and crowded airports has come rising passenger frustration.

Gregory White, a medical equipment sales executive from Laguna Niguel, said several years ago he flew nearly 250,000 miles in one year with Delta Air Lines to meet with clients. But now he said he conducts most of his business by phone or over the Internet to avoid the higher fares and the hassles of flying.

“If they really were the friendly skies, I would be there,” he said. “It’s not only from an expense standpoint but also it is just such a hassle.”

Even so, demand for airline tickets remains strong, and travel experts predict the nation’s air carriers will continue to raise fares.

“They are going to continue to try to put through fuel-based hikes, and they will have some hits and misses,” said Rick Seaney, the founder of the travel website FareCompare.com. “Will they try to sneak a few more as we get closer to summer? I think so.”

Air India Express to Offer Discounted Domestic Flight Tickets January 26 and March 26, 2011

January 10, 2011 | Airline Flight

Thirty-seven of the 168 weekly flights that AI Express operates, will offer five free seats and passengers will have to pay only the taxes. The free seats will be available between January 26 and March 26, 2011.

In order to promote its domestic operations, Air India Express has decided to offer free tickets in the domestic leg of its international flights. The airline is also planning to get into some kind of a partnership with all the leading travel portals.

Thirty-seven of the 168 weekly flights that AI Express operates, will offer five free seats and passengers will have to pay only the taxes. The free seats will be available between January 26 and March 26, 2011.

Air India Express has finalized a blueprint to launch cheap-fare domestic routes from April. The plan includes shifting base from Mumbai to Kochi, rebranding to Express India and improving utilization of its 21-strong fleet from nine hours to 12.5 hours daily.

The airline will start operations for Kochi-Hyderabad-Bhubaneswar-Kolkata and Kochi-Ahmedabad-Jaipur. It plans to include smaller cities while flying between major hubs. The fares in the domestic leg are 40 per cent cheaper than full service carriers and will compete with low-cost carriers.

As of now, Air India Express only sells tickets through it’s websites but the Airline is planning to sell its tickets through various travel portals in the near future.

The airline is also upgrading its ticketing system to a web-based dynamic fare system to make it competitive. As of now, the fares are calculated manually.

Frontier Airlines Launches Five-Day Big Sale Cheap Flights for Winter Season

January 6, 2011 | Airlines News

Denver-based regional carrier Frontier Airlines has launched a five-day sale on flights targeted for this winter. One-way fares from Denver start at only $39 with destinations targeting Albuquerque, Salt Lake City, Chicago, L.A. and more.

To purchase these cheap tickets from Frontier, you need to buy them between 9:59 pm MT on January 7 and March 10.

Non-Colorado residents can also take part of they book their flights with a layover in Denver. One could book a flight in Chicago, have a small lay-over in Denver and fly Frontier to their destination. Consumers can save nearly $400.

Frontier’s flights originate from Denver International Airport (DIA). Here’s a listing of some example destinations:

  • $99 to Boston, Bozeman, Dayton, Des Moines, Detroit, Louisville, Milwaukee, Newport News, San Francisco, Steamboat Springs.
  • $49 to Salt Lake City.
  • $59 to Aspen, Austin, Kansas City, Las Vegas, Omaha, Phoenix, Tucson.
  • $69 to Long Beach, Los Angeles, Minneapolis-St. Paul, Oklahoma City, Orange County, San Diego, Spokane, Wichita.
  • $79 to Chicago, Durango, Indianapolis, New Orleans, Portland, San Antonio, St. Louis.
  • $84 to Seattle-Tacoma.
  • $89 to Billings, Branson, Houston, Nashville, Sacramento, Santa Barbara.
  • $39 to Albuquerque, Colorado Springs.
  • $109 to Atlanta.
  • $114 to Fort Lauderdale.
  • $118 to Cleveland.
  • $119 to Columbus, Dallas, Tampa.
  • $129 to Mazatlan, New York, Orlando, Philadelphia, Puerto Vallarta.
  • $139 to Newark, Washington.
  • $149 to Cozumel, San Jose (Costa Rico).
  • $159 to Cancun, Ixtapa-Zihuatanejo.
  • $169 to Cabo San Lucas.

Cost of Air Travel : New Air Passenger Duty Effect Flight Tax Rises

November 1, 2010 | Aviation

air travel industry - airlines flight taxSome passengers will see the cost of air travel soar from Monday 1 November, when new Air Passenger Duty (APD) rates come into effect.

APD applies to all flight routes out of the UK, and under the new rules passengers will fall into one of four different tax bands depending on how far they will be flying. Those taking long-haul flights will be hit hardest, and may see the cost of their flight tax hiked by as much as 50%.
Ensure APD is included in flight prices

The introduction of the new APD bands and rates has stirred controversy in the travel industry, raising concerns that it will prevent some families from taking foreign holidays – particularly to far-flung destinations. APD applies to all passengers including children over the age of two, so large parties of travellers will face the biggest combined price increases.

Holidaymakers are being urged to ensure that the price they are quoted for any flight is inclusive of APD before they buy. Many travel deals advertise prices exclusive of tax, so passengers could find that apparently cheap flights rocket in cost once APD is taken into consideration.
New air passenger duty rules

There has also been criticism of how different flight destinations have been categorised for APC.

Because a country’s APC band is worked out based on how far its capital city is from London, there will be anomalies in the system – as in the case of large countries such as the United States.

Flights to the USA, whose capital is Washington D.C., fall into Band B under the APD rules, whereas Cuba – which is much closer to the UK than parts of the USA such as Hawaii – falls into the more expensive Band C.
APD on economy, premium, business and first class flights

Each APD band encompasses two different rates of flight tax – one for economy (or ‘lowest’) class passengers, and one for ‘others’ – premium, business and first class passengers. Airlines’ ‘other’ class passengers will face the sharpest flight tax increases, though anyone upgraded to premium, business or first class from an economy seat will not have to pay extra.

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