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The much expected decision by Northrop-Grumman to withdraw from the KC-X competition has hit Alabama hard explains George Talbot from the Mobile-Register. The region put all its aerospace eggs in this one basket. The seven year saga of selecting a new USAF tanker now seems to be a shoo-in for Boeing. But Michel Merluzeau from G2 Solutions does not think it is going to be so easy. There are any people at the Pentagon and in Congress who have long memories. Boeing's actions and activities will be under the finest of scrutiny. As both guests explained after the call, the only thing we know with any certainty is that a phase of the process is completed - the story is not over yet.
Posted on 9 March 2010 | 11:24 am
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Allegiant announced odd news on Friday - it has secured rights to six 757s for service to Hawaii. It would seem the consensus among analysts is that this is a rather radical step. It is a move that adds considerable complexity. But is it really so radical? The day before Allegiant made its announcement, an contract airline Omni Air International put out a press release explaining how airlines should consider using services like theirs to undertake route tests at low risk. With Allegiant's news the day after, it seemed a bit propitious. So we spoke with OAI's VP Marketing Richard Ziskind to get his insight. He explains the idea has merit - and we then discussed why, say Southwest Airlines might want to enter the Hawaii market using OAI as a stopgap to prove the route.
Posted on 8 March 2010 | 2:24 pm
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Not too many people know the name Gordon Autry. He was the man who created Rocky Mountain Airways. Back in the days before deregulation. When it was as tough as today, but in many ways even tougher. This recording is part of a more lengthy conversation in which Mr Autry tells the story of his little airline. As you hear, he was instrumental in developing the regional aircraft as we know it today. We will be speaking with Mr Autry more to get the rest of the story.
Posted on 3 March 2010 | 3:22 pm
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It our podcast Episode #303 - and we're amazed, we are still talking about tankers. This may be our sixth podcast on tankers.
Meanwhile the USAF put out its latest request and the two pugilists are getting ready to face off again. Except there's a twist this time. One of the two may not even turn up. This is potentially complicate the fight - a lot. Stephen Trimble from FlightGlobal and George Talbot of the Mobile-Register explain the implications of a decision not to bid by Northrop Grumman. Although the deal looks more than ever like its Boeing's to lose, Northrop Grumman can spoil the selection process.
The drama goes on.
Posted on 25 February 2010 | 12:46 pm
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The picture says it all - unhappy crews again. This week it was Lufthansa, who knows which airline is next. Brett Snyder, airline blogger at Crankyflier, explains that while this week was Lufthansa's crews, there has been a lot of airline labor unrest across the EU. Moreover, another big strike is threatened at British Airways - again.
Air Travelers must be growing increasingly frustrated with the labor unrest. After all, air travel has become so crucial to business that disruptions play significant impacts in an economy as a whole. No developed economy can survive a long aviation system strike without the disruptions affecting most of the economy. Labor knows this and is trying to roll the dice for better pay and protection. It may be a bet they lose in the long term. Because just as travel has become global, so has the industry. Airline managers have options they did not have before. But in the meantime the traveler has to deal with all sorts of disruption planning.
Posted on 23 February 2010 | 2:16 pm
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Justin Meyer is KCI's (Kansas City Int'l) Manager of Air Service Development. That means gets to sell the airlines on serving his airport. And its a tough job when the industry is in the doldrums and consolidating to boot. Justin explains the types of challenges he faces in this market and some of the new routes he is looking at. Persuading airlines they can make money is complex - circumstances change quickly. Being nimble and having an ability to turn on a dime with a new story is crucial.
Posted on 18 February 2010 | 2:35 pm
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What do you say to an entrepreneur who is starting an airline, ever? What do you say to him now? Despite the unfriendly environment, Kai Holmberg from Oslo, Norway is deep into starting an airline. Focused on leisure travel no less. His plans are to serve leisure travelers living in Scandinavia with service to New York and Thailand, every other day.
These are long routes and his airline will utilize A330s with 307 seats - all economy. But pitch is 32 inches at the tightest. Expect one flight attendant per 50 passengers. As Kai says, Ryanair views on costs, Virgin is the model for people and AirAsiaX is the model on operations. He admits that, in the end, this is a hybrid model - ticket sales through all channels for example - the idea is to figure out how to get his target customers to go the either destination for a weekend.
He plans on selling food and drink but is uncertain about how he feels about customers binging their own victuals. He plans on in seat power for free, but will charge for IFE. He definitely wants connectivity in the future - to sell of course. Kai is confident his model will work. We certainly wish him success.
Posted on 16 February 2010 | 12:47 pm
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The Latin American/Caribbean region's airline sector has had a pretty good recession. Unlike the North American situation, this region saw growth in 2009. Although Mexico was the source of the recent flu epidemic, the region saw good growth rates and things are looking up from there explains ALTA's Executive Director Alex de Gunten. ALTA is the acronym for the Latin American Airlines Association.
Like more mature regions, ALTA's members are also consolidating - 60% of the region's capacity is now in the hands of five airline groups. The region's airline and entire aviation system has a bio-fuel powerhouse in Brazil where crop dusters have been running on bio-fuels for some time. In terms of concerns, ALTA is focusing on fuel costs and safety. Another concern is the way that airport privatization is being handled. Overall though the region appears to have a bright aviation future.
Posted on 9 February 2010 | 12:43 pm
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Its sad when an airline brand dies. First because it happens too often these days. But it also means the end of something people within the company invest themselves in. After all, what is a brand other than a vision a team buys into, executes and builds? The demise of an airline, or any brand, is the end of something valuable. The demise of Lynx Aviation means communities who were served by it now have to get used to a new airline - will they be the same, better or worse? The closure of Lynx also means a special airplane whose heritage started in Denver now also goes away. The seemingly small event at Lynx does represent something bigger as Dan Webb (highly regarded blogger) and aviation industry veteran Doug Abbey explain.
Posted on 5 February 2010 | 12:42 pm
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The world's leading airplane leasing firm, ILFC, saw its founder retire this week. It was expected but still. Here is a man who is an industry pioneer who started out in the business while he was still a student. His influence in the industry is legendary. To say he is one of the aviation world's characters is no understatement. His visions were grand and he built a portfolio of 1,000 aircraft.
Taking a look at what this retirement could mean are George Hamlin from Hamlin Transportation Consulting and Scott Hamilton from Leeham Co.
Posted on 5 February 2010 | 9:34 am
