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Kuwait

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Kuwait

IATA Code
KW
Airlines
International Airlines serving this country (excluding codeshares)
Airports

As Kuwait serves as a centre for the oil industry and a logistics hub for the rebuilding of Iraq, government and military business dominate the aviation sector. The national carrier is the government-owned Kuwait Airways, which until 2005 had a monopoly on aviation operations in Kuwait. Kuwait Airways operates scheduled international services throughout the Middle East, to the Indian subcontinent, Europe, Southeast Asia and North America. Since 2005 and the liberalisation of air services in Kuwait, the sector has opened up to two new carriers, Wataniya Airways and the LCC Jazeera Airways. The gateway to Kuwait is the Kuwait International Airport.

Location of Kuwait

Source: CAPA - Centre for Aviation and Google Maps


 
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620 total articles

6,131 total articles

Yield enhancement the key to Jazeera’s 2011 performance

6-Dec-11 6:23 PM

One of the outstanding factors in Jazeera Airways’ turnaround over the past 15 months has been the dramatic jump in the yield levels achieved by the carrier. Having shrunk into profitability, the Kuwait-based carrier has fewer routes and less aircraft but has reported five consecutive quarters of record profits and is set to report its best-ever full-year result for 2011.

At the end of 3Q2011, the carrier reported yields of 52.3 Kuwaiti fils, up 42% over 3Q2010 and a remarkable 91% above 3Q2009 levels. Increasing yields are expected to continue through the final quarter of 2011 and into 2012. This provides a tremendously strong platform for the carrier to develop from, as it puts in place its strategic development plan over the next few years.

ALAFCO ups order for A320neos

17-Nov-11 9:17 AM

Kuwait’s Aviation Lease and Finance Company (ALAFCO) has finalised a purchase order for 50 A320neo family aircraft and took options for 30 more aircraft to be finalised by year-end. The aircraft will be powered by Pratt & Whitney’s PW1100G engine. The order is another big step for the Middle East’s largest leasing company, which now has a fleet of 48 owned and managed aircraft.

The order kicks off what is expected to be another successful year for the leasing company. ALAFCO recently reported a net profit of KWD47 million (USD171.2 million) for the year to 30-Sep-2011, a 335% increase over the KWD10.8 million profit in the previous year. Profit per share also more than quadrupled, up from 14 Kuwaiti fils per share to 60 fils per share. The profits were driven by a combination of the lessor’s expansion and exceptional gains realised through the adjustment of purchase agreements with aircraft manufacturers.

Kuwait Airways reverses strategy as it suspends privatisation plan

3-Nov-11 4:48 PM

It is a hard ask to sell a product that is losing money, but that is what the Kuwait Government has been attempting to do with the privatisation of Kuwait Airways Corporation (KAC). Despite the carrier’s inherent potential – a potential amplified by its position as the national carrier of one of the Gulf regions’ riches oil states – the airline was always going to be a tough sell to investors.

Legislation for the privatisation has been in play since Jul-2008, but privatisation appeared to be largely stuck in red tape. In concert with this, the delays to the valuation and financial analysis of the airline, the state of competition in Kuwait’s local air market and the general global economic situation and the ongoing operational and structural problems at the carrier, all conspired against the process.

Jazeera Airways reports another record quarterly profit with yields up 45%

2-Nov-11 5:28 PM

Jazeera Airways, Kuwait’s privately owned low-cost carrier, has reported another record quarterly profit for the three months to 30-Sep-2011. The airline reported an operating profit of KWD7.5 million and a net profit of KWD6.1 million, its fifth consecutive profitable quarterly result since it launched its turn-around programme. The third quarter is the airline's peak period for business, where it usually records the majority of its profits.

The airline handled 337,629 passengers over the three-month period, generating KWD19.3 million in operating revenues, up 38% year-on-year. Load factors were “just over” 70%, stronger than other quarters but slightly lower than other LCCs in the region such as Air Arabia and flydubai.

Jazeera Airways CEO, Stefan Pichler Jazeera Airways' turnaround continues to show results

16-Aug-11 12:20 PM

A slimmer Jazeera Airways has reported record profits for the three months (second quarter) to 30-Jun-2011, reversing the losses suffered in the same period last year. The carrier achieved a KWD2.2 million net profit, compared to a net loss of KD4.7 million in 2Q2010, despite battling the unrest in the Middle East and higher oil prices.

Who will buy in to Kuwait Airways?

2-Aug-11 10:16 AM

The drawn out privatisation of Kuwait Airways Corporation (KAC) may be entering a new and decisive phase, with reports emerging that the carrier could enter talks with potential investors for a 35% stake in the carrier and management rights as early as this week. Citigroup, Seabury and Ernst & Young have been advising on the privatisation since Aug-2010. Submissions of expressions of interest are due by 25-Aug-2011.

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