Air New Zealand (Air NZ) chair, Dame Therese Walsh, told shareholders at the airline's annual general meeting, held virtually today, there was still a "huge degree of uncertainty, both in terms of how long this crisis will continue and what the landscape will look like" when it emerged from COVID-19.Read More » Dame Therese said the airline had drawn down NZ$110 million (US$72 million) of its NZ$900 million government loan facility and had about NZ$1 billion in total available liquidity at September 25. Its expected average monthly cash burn was NZ$65 million-NZ$85 million in the period ahead. The chair said Air NZ was expected to post a second consecutive annual loss in 2020-2021.
The airline's CEO, Greg Foran, reported some 3,500 people at the airline had lost their jobs in response to COVID-19. Another 600 staff had taken voluntary redundancy and 400 had accepted a significant reduction in work hours. "We are consciously aware of the impact of these decisions on all Air New Zealanders and have been doing everything we can to assist, including offering CV services, financial assistance programs and helping to find redeployment opportunities," Foran told shareholders in prepared remarks.
GE Aviation said overnight the U.S. Federal Aviation Administration (FAA) had certified its GE9X engine following a test program that involved eight test engines, 5,000 hours and 8,000 cycles. The GE9X is the power plant for Boeing's in-development 777X. GE Aviation said it was conducting another 3,000 hours of testing for extended operations (ETOPS) approval. "I want to congratulate the entire GE9X team and thank Boeing, our partners and suppliers for their collaboration on this incredible achievement," GE Aviation CEO, John Slattery, said in a statement.
Japan's Peach Aviation has taken delivery of its first A320neo. The aircraft, powered by two CFM LEAP-1A engines and equipped with 188 seats in an all-economy configuration, took off from Airbus headquarters in Toulouse overnight and was scheduled to land at Osaka Kansai Airport today after a technical stop in Astana, Kazakhstan. Peach, which has 28 A320neo and six A321LRs on order, said on Twitter the first A320neo was expected to enter commercial service by the end of October.
Singapore Airlines (SIA) today unveiled three new activities offering unique experiences for individuals seeking a taste of the skies while staying on the ground. The initiative, "Discover Your Singapore Airlines", includes two dining sessions on board an A380 on October 24 and 25, the opening of SIA's training centre to the general public for four behind-the-scenes tours in November and the opportunity to have an SIA business or first class meal recreated at home.
Asiana Airlines late last week began selling tickets for two A380 sightseeing flights around the Korean peninsula on October 24 and 25. The 140 minute joy rides in the air will fly over Gangneung, Pohang, Gimhae and Jeju, the Asiana website said. Fares start from 205,000 won (US$175) for economy, rising to 305,000 won for a business suite.
Royal Brunei Airlines (RBA) has announced it plans to maintain a minimum network of six destinations until at least January 2021 as a result of COVID-19 and travel restrictions from various governments. The schedule from October 25, 2020 to January 31, 2021, posted recently, is nine return flights a week to Hong Kong, Kuala Lumpur, Manila, Melbourne and Singapore from its Bandar Seri Begawan hub and one return service a month to London Heathrow from November to January. "This retains vital connectivity for services, supplies and the small number of guests who must and are able to travel onto other destinations," RBA said on its website.
Japan Airlines (JAL) has signed a cooperation agreement with Volocopter GmbH to work on permanent sustainable commercial operations of air taxis in Japan. "By establishing local partnerships, jointly approaching Japanese cities and prefectures and working on market demand and social acceptance, JAL and Volocopter will prepare for commercial launch in Japan in the next three years," JAL said in a statement. JAL's innovation fund was an investor in Volocopter, as was Mitsui Sumitomo Insurance and MS&AD InterRisk Research and Consulting. The trio also has announced collaboration with the air mobility company to "accelerate Volocopters entry into the Japanese market.
The Australian government has extended two subsidies designed to support domestic flights. The government said yesterday the domestic aviation network support subsidy, which offered support for airlines to maintain a minimum network around the country, would run until January 2021. The regional airline network support program, designed to maintain a "basic level of connectivity on regional routes”, is extended to next March.
