General Electric Co, the world's biggest jet-engine maker, agreed to buy Smiths Group Plc's aerospace business for US$4.8 billion amid record demand for commercial aircraft.

General Electric is close to an agreement to buy the aerospace division of British industrial firm Smiths Group PLC for about 2.5 billion pounds, The Wall Street Journal reported on its website.

On January 16, Qantas announced it would reduce its domestic fuel surcharges and further reduce some of its international surcharges for tickets issued on or after Tuesday 23 January 2007.

Qatar Airways added an Airbus A300-600 plane to its cargo fleet and plans to start cargo flights between Doha and Madrid next month.

Japan Airlines Corp, Asia's largest carrier, plans to seek 60 billion yen (US$498 million) in loans by March 31 to help pay its debt.

Former executives of Swissair and leading lights in Switzerland's financial establishment will go on trial for their role in the spectacular collapse of an airline that was once a watchword for excellence.

Singapore Technologies Engineering Ltd said its unit won a US$130 million contract from AirAsia Bhd to provide maintenance services for plane components.

U.S. Airways Group Inc. announced on January 10 that it had raised its offer by almost 20 percent to 10.4 billion dollars to merge with Delta Air Lines Inc.

Lufthansa turned in another record year in 2006. The number of passengers and of operated flights as well as capacity and sales all ended the year at an all-time high.

Singapore Aircraft Leasing Enterprise (SALE), owned by Bank of China Ltd, will buy 40 planes from Airbus SAS and Boeing Co, as it expands its fleet to meet demand from low-cost carriers and other airlines.