- Delta Seeks to End Pilots' Pension Plan[Jun. 19, 2006]
Delta Air Lines said on Monday that it is notifying the federal pension insurer, the Pension Benefit Guaranty Corporation, that it intends to end its pilots' pension plan, a spokesman said.
- Re-regulation Won't Save the Pension[Jun. 19, 2006]
Re-regulating the US airline industry in order to avoid future pension defaults by airlines would reverse the benefits to consumers of deregulation "and would not save airline pensions," according to a new study by the US Government Accountability Office, the research and investigation arm of Congress.The study was undertaken at the request of the House of Representatives. After filing for Chapter 11 protection, United Airlines and US Airways defaulted on their defined benefit pension plans, "costing the Pension Benefit Guaranty Corp. nearly $10 billion and pension beneficiaries $5 billion," GAO noted. Delta Air Lines also is expected to default on its pension obligations. In total, active and frozen airline plans were underfunded by almost $15 billion at the end of 2005, the agency said.
- Europe Lays Down the Law on Air Marshals[Jun. 19, 2006]
The European Parliament last week called for a "strict" regulation on the use of Sky Marshals onboard aircraft.MEPs are insisting that weapons "shall not be carried onboard an aircraft, unless the required security conditions have been fulfilled, and authorization has been given by the state granting the operating license to the air carrier concerned." They are demanding prior approval by the state of departure, the state of arrival and, where applicable, "any state which is overflown or where intermediate stops are made." No member state will be obliged to accept inflight security officers.
- Lukou Airport Attracts Int'l Investors[Jun. 13, 2006]
On 12th June, China-CBN learned that, Nanjing Lukou International Airport (short for "Lukou Airport"), which meant to introduce strategic investors, were partially purchased by Changi Airport in Singapore and Amsterdam Airport Schiphol NV, which both ranked as one of the five largest airports worldwide. Jiangsu Provincial Government and State-owned Assets Supervision and Administration Commission of the State Council of People's Republic of China, hoped to introduce several airports with foreign capital as strategic investors and speed up the development of Lukou Airport, through sales of 40%-45% total shares in Lukou Airport.
- EVA Invests in Shanghai Airlines' Cargo Unit[Jun. 13, 2006]
Graph: Taiwan investment groups headed by Taipei-based China Airlines signed a contract with Hainan Airlines in Haikou to become a shareholder of Hainan Airlines' Yangtze River Express on 12th September 2005. China Airlines got 25% holdings, three Taiwan transportation enterprises such as Yes Logistics Corp., Yang Ming Marine Transport Corp., Wan Hai Lines Ltd. got an average of 8% holdings. This action was the first example of cross-strait joint investment in airline operations. Photo: Wang Xinli (Xinhua)
- US Airlines Can Find Capital for Deal[Jun. 15, 2006]
A Bush administration plan to ease restrictions on foreign investment in US airlines could help a struggling industry, but analysts and consultants say there is plenty of money at home for the right deal, recently reported Reuters. (6/15/2006)
- Kunming's New Airport Project Faces Delay[Jun. 13, 2006]
The first stage of Kunming's new airport project, which was designed to launch the operation in 2008, is now difficult to be realized now. "It's not bad to construct the project's first stage and launch the operation at the end of '11th five-year'. " Yesterday (12) morning, an knowledged source of Yunnan Airport Group told the reporter of Life New Journal. The key problem on hand is, official itemization problem of the airport project needs to be approved by State Council of P.R.China at last.
- Northwest&Flight Attendants Resume Talks[Jun. 13, 2006]
Northwest Airlines and the Professional Flight Attendants Assn. agreed to resume contract negotiations Wednesday after union members last week voted overwhelmingly to reject a tentative agreement between the airline and union negotiators (ATWOnline, June 7).
- Air Macau Will Become the "Orphan" ?[Jun. 10, 2006]
Cathay Pacific Airways Ltd. succeeded in purchasing Dragonair with 12.29 billion Hong Kong dollars, and increased 10% holdings of Air China Ltd to 20%. Because Air China Ltd's sudsidiary China Aviation (Macau) owns 51% holdings of Air Macau, Cathay Pacific Airways Ltd. increased the holdings of Air Macau indirectly in this way.
- Distribution-Unchained or Unchanged?[Jun. 12, 2006]
For the first time, airlines are negotiating GDS agreements unfettered by government regulation. But some complain that the deck still is stacked against them.