Aviation Concepts (FL)’s Post

Breaking News: Fastjet Embraces Zimbabwe's Local Currency, ZiG, for Booking Payments. Accepting ZiG for booking payment can be seen as a positive move for Fastjet and can potentially boost the use of the newly introduced local currency. Overall, the decision to accept ZiG for booking payment can be viewed as a strategic move by Fastjet to cater to the local market in Zimbabwe. However, it's important for the airline to carefully assess the advantages and potential challenges associated with operating in ZiG. NB: But in general, it is viewed as a major boost that will benefit the local currency, especially if other companies start to follow suit.

Air France-KLM turn out to be the best #investment ever for French government Air France-KLM a not only repaid €4 billion in state-guaranteed loans (PGE) to 2 years ahead of schedule but also paid around €650 million in interests to the French government. Though costly, these financial conditions imposed by the EU encouraged quick repayment. The state's participation in Air France-KLM's capital increase in 2022 could yield future gains. Despite stringent terms, the airline's profitability and continued debt reduction (sell of #FlyingBlue and part of cargo operations to Apollo Global Management, Inc. )are likely to boost stock values higher. External acquisition such as SAS - Scandinavian Airlines Airlines and potentially TAP Air Portugal in coming years will help the group to become a key player amongst airlines major players. The government also benefits significantly from annual taxes paid by the airline, amounting to nearly €1.5 billion in 2022, crucial revenue that would have vanished if Air France had gone bankrupt in 2020, highlighting the positive impact on public finances..in that case. For records AF marketcap is today 3,4 billion € under evaluated according to financial analysts consensus in Europe and in the US. #aviation #deal #finance

More Questions Than Answers as Canada Jetlines Goes Belly Up Canada Jetlines has gone under, leading to more questions about Canada’s troubled airline industry. A number of pundits weigh in on what went wrong. #canadajetlines #airlinenews #airlineindustry #travelnews

One of 99 Ways to Save Money: Book flights on Sunday Airfares vary not just based on when you fly but also when you book. Data from Airline Reporting Corp. shows that booking your trip on a Sunday instead of Friday will save you an average of 15 percent on international flights and 5 percent on domestic flights 🤑 #waystosave #savemoney #savingtips #tipstosavemoney #investing #invest

📊#MarketRoundup: Latam extends lead in Brazilian skies Latam extends lead in Brazil amid Gol crisis Chile-based airline LATAM Airlines broadened its lead in Brazil last year, according to data from the National Civil Aviation Agency (ANAC - Agência Nacional de Aviação Civil). The company has led the domestic aviation segment in Latin America’s largest economy since 2021, when it overtook local rival Gol, which is now in financial trouble. ♟️State of play: Latam emerged from its pandemic-related bankruptcy proceedings in late 2022, reducing its debt by approximately USD 3.6 billion (a 35 percent reduction from pre-filing levels), while Azul completed a broader restructuring in 2023. Gol is also struggling financially and has just filed for Chapter 11 bankruptcy protection in the U.S. 🔗Read more in the full article by Fabiane Ziolla Menezes here 👇 https://lnkd.in/dHdizFRR #Airlines #Bankruptcy #Travel #AirlineCarriers #Logistics #Infrastructure #Business #Economy #AirTravel #BrazilianReport #DomesticAviation

WestJet CEO feels it is unfair that passengers pay for airport use, but the alternative is that everyone does (or airports close). Let's focus on making airports more efficient and controlling the costs that are charged to passengers. Not everyone needs to fly, and those that don't shouldn't pay for those that do, but those that must (travel for healthcare, workers in remote areas, etc.) should not be penalized by unfair rents, inefficient operations, and overly burdensome regulation. #fixitfirst #westjet #airports #regulatoryfail

If you're booking online on our website www.flysolomons.com, you can now do so in 20 currencies. Our website will automatically present airfare search results based on where you access the website from or you also have the option to change the currency, by selecting your country from a dropdown box on the website homepage, so you can now book online with us in AUD, SBD, CAD, NZD, EUR, FJD, XPF, HKD, IDR, JPY, MYR, PGK, PHP, WST, SIN, KRW, TWD, GBP, USD and VUV. “Recently we launched Solomon Airlines Strategic Plan and within that document one of our very clear objectives is to focus on improving digital capability at the national carrier. This change is the first of a number of digital improvements we are working on, to ensure that bookings and communications with Solomon Airlines are easier for our customers." -- Napoleon Padabela, Acting CEO, Solomon Airlines Read more here: https://lnkd.in/gTVbmuaC Australia's Strongim Bisnis #solomonislands #airline #airlinenews #airlinewebsite #aviationindustry #airlineindustry #aviationindustrynews #airlineindustrynews #aviationdaily #supportlocal #keepournationflying

Hunter residents and incoming travellers benefit from the competition and additional routes Bonza provides. The grounding of the airline carrier as it moves into voluntary administration is a huge blow for the region, passengers and workers now facing an uncertain future. Newcastle Airport Pty Limited is a major economic anchor to a diversified economy as coal industries change. As the airport prepares to spread its wings internationally with an expanded terminal and runway upgrade, now is the time to underwrite this investment with complementary actions to secure Hunter’s global future. The Hunter Joint Organisation's Airports Strategy outlined priorities for immediate attention. The Committee doubled down on these in our NSW Budget submission including a $15M attraction fund to secure international carriers and a $27M cargo terminal. Regional stakeholders must also work together with governments to promote and support utilisation of Newcastle Airport for passengers and freight. The Committee also advocates for improvement of public transport services for a better visitor experience. There is a national conversation to be had on aviation competition, supportive settings for new entrants servicing regional communities. Clearly challenging times for the aviation industry. Through targeted investment, policy and collaboration, we will build the airport the Hunter region needs and deserves. Hunter Airports Strategy here: https://lnkd.in/gW9u3kZy https://lnkd.in/gCTr6xga

We are still walking on thin ice when it comes to volumes traded and positioning, and not just only for “Managed Money” but for commercial hedgers as well, although there is some interest in the airline sector trying to lock in these Jet prices specially in Asia where Jet/kero is abundant. East/West arb (Singapore vs North West Europe) is wide open, likely to entice western buyers. https://lnkd.in/dawSZy8T

Just a brief update/edit on my previous article after discussions with an airline. The first graph below is a modified version of the graph I presented in my previous article (I have also added a few more airlines to be more complete). All of the CASKs in the figure are converted from the local currency of the airline to US cents using a US dollar exchange rate. The figures therefore depend heavily on the exchange rate that is used. The weaker the exchange rate against the US dollar, the lower the CASK estimate appears. Over the past ten years the Australian dollar has depreciated by 56% against the US dollar. This depreciation lowers the JQ CASK estimate, artificially in my view, by 56%. In terms of the other CASK estimates in the graph, the only other estimates similarly affected are Azul, Norwegian and Air Asia Indonesia. Included in the new graph that is the first graph below, are three estimates of Jetstar CASK under 4 different exchange rate assumptions. The four different exchange rates generate Jetstar rankings of 13th, 12th , 8th and 1st highest LCC CASK in world aviation. In my view, this still indicates that by world LCC standards Jetstar CASK is relatively high and there is an opportunity for an Ultra LCC to enter the Australian domestic market and operate at a lower cost (in the mould of a Spirit, a Frontier or even better a Ryanair). The second graph below presents the 2023 global LCC CASKs with a sector length adjustment. CASK is often adjusted for sector length because there are some costs that are not a function of distance. Jetstar has the 12th highest sector length-adjusted CASK out of 26 assuming the exchange rate used is the 2023 average exchange rate. The third graph calculates the sector length adjusted CASK for 2019. This avoids the problem of the 2023 CASK being lower for some airlines because they have more than recovered from Covid. Jetstar has the 12th highest sector-length adjusted 2019 CASK out of 27 LCCs worldwide.