Short Takes
May 15th 2020
China Southern Airlines (CSA) will issue a 16 billion yuan (US$2.25 billion) bond to fund aircraft and engine acquisitions and MRO. Read More »
CSA has reported a 300% drop in profit for the first quarter of its fiscal year.
Australian carrier, Regional Express (Rex), told the Australian Securities Exchange (ASX) this week it was in talks with potential equity partners to expand its operations to domestic services, such as flights between the major capital cities, from March 1, 2021. The regulatory filing, published on Wednesday said the equity required to mount these flights, would be "in the vicinity" of A$200 million (US$129 million), with the board to decide whether to proceed "within the next eight weeks".
Boeing had no new orders and delivered six aircraft in April - 737-800A P8-A Poseidon (1), 777F freighter (1), 787-8 (1), 787-9s (2) and a 787-10 - the manufacturer's website said this week. It also reported 108 cancellations for the grounded 737 MAX.
Airbus said this week it delivered 14 aircraft in April: six A320neos, six A321neos, one A350-900 and one A330-200. It received orders for eight A320neos and one A321neo. There were no cancellations for the month, the Airbus website showed.
Embraer said this week it delivered five commercial aircraft in the three months to March 31, 2020: E175s (3), E190-E2 (1) and an E195-E2. While the first quarter was a seasonally quiet time for deliveries, Embraer said in a statement its commercial aircraft output was negatively impacted by the conclusion of the separation of Embraer's Commercial Aviation unit in January ahead of the now terminated joint venture with Boeing.
The Air Carriers Association of the Philippines (ACAP) has asked the Philippines government for an 8.6 billion peso (US$171 million) support package to cover wage subsidies, relief from air navigation charges, landing and take-off fees and working capital. ACAP vice chairman, Roberto Lim, told Filipino lawmakers this week government support was needed to ensure airlines would survive the impact of the coronavirus pandemic. ACAP members include AirAsia Philippines, Cebgo, Cebu Pacific, PAL Express and Philippine Airlines.
