Fleets

Iberia increases African presence with services to Accra and Nouakchott

Iberia’s planned service to Accra and Nouakchott will give Spain its first routes to the West African nations of Ghana and Mauritania. The services, to be operated with A319 and A321 equipment, respectively, will provide links for business travellers into the economic centres of each country. Iberia’s presence in Africa is strongest in the north and west, so the new services continue that strategy as the African market grows.

Norwegian's orders make it a candidate for first LCC to join a global alliance - or a Gulf carrier

In a distorted and fast changing airline world where partnerships and mergers are key to future survival, Nordic LCC, Norwegian is fast making itself one of the most attractive unattached propositions in the market.

Norwegian’s steady move towards becoming a long-haul Boeing 787 operator, alongside a growing European short-haul distribution system, promises to make it a serious low-cost network airline. The carrier’s recent deal to lock in access to a large fleet of 222 fuel-efficient short-haul aircraft over the second half of the decade (and at opportunistic prices) will transform a successful local LCC into a global force.

The order announcement therefore does a lot more than promise a bigger airline. Its potentially strong position now propels it into a new sphere where it becomes a candidate to be the first LCC member of one of the big three global alliances – until now the exclusive realm of legacy network airlines.

Asia Pacific airlines' "ambitious fleet plans" threaten excess capacity, lower load factors in 2012

Asia Pacific airlines are coming off a difficult 2011, thanks to stubbornly high fuel prices and weaker yields in a challenging global economic environment. But not all the problems are necessarily external. Overcapacity is looming as a threat in 2012 as the region's full service airlines gear up for a period of growth and change in the coming decade. Balancing capacity and demand in choppy and unpredictable economic times is not easy and the coming year looks like being one in which at least temporary oversupply is very likely.

Record aircraft delivery levels are being maintained even as traffic growth slows. The upshot of that combination of factors is lower load factors and reduced yields, made more notable as the finance sector - a key user of premium services - is undergoing sometimes savage staff cutbacks. That in turn implies damage to airlines' bottom lines in what is now an intensely competitive market, with low cost airlines, Gulf carriers and Chinese airlines each vying for larger shares of markets which were historically the territory of the region's flag carriers.

Vueling grows its low cost Barcelona hub role as Iberia Express focusses on Madrid premium traffic

Vueling's growth this year, the largest since its merger with rival Clickair in 2009, underscores the airline's role as a cost-effective hub carrier with connecting flights at Barcelona's El Prat Airport, a status Iberia concluded it could not achieve in Barcelona, largely pulling out of the market in favour of specially-formed LCC Clickair. After the Clickair-Vueling merger, Iberia retained part ownership (46%, now controlled by Iberia parent International Consolidated Airline Group) while the merged carrier continued its focus on Barcelona. The partnership appears to be working well for both Iberia and Vueling.

That focus has been re-affirmed by the airline's intention to grow summer destinations served from El Prat by a further 10, bringing the total to 70, 23 more than served last year, and representing a 17% seat increase at El Prat. The growth is supported by the addition of four A320s and a single A319.

Lack of liberalisation in the Caribbean poses major roadblock to REDjet expansion

REDjet, the first and only Caribbean low-cost carrier, is aiming to pursue dramatic expansion in 2012 with up to eight new destinations. The ambitious and pioneering carrier, which launched services in May-2011, plans to add three destinations by early April, giving it a total of nine. The carrier aims to end the year with a network of up to 14 destinations throughout the Caribbean, northern South America and potentially Central America.

LOT Polish Airlines continues Asian growth with Beijing as 787s eyed for further expansion

LOT Polish Airlines is progressing with its new “east meets west” network strategy in 2012 as it prepares to launch service to Beijing, its second Asian destination, in June. Another milestone for LOT will be reached in 4Q2012, when the carrier is slated to become the first European operator of the Boeing 787. Privatisation is also a possibility for LOT in 2012 although given current market conditions this is looking increasingly unlikely.