Tuesday , October 15 2019
Home / Tag Archives: airlines

Tag Archives: airlines

The September Airline Massacre in Europe

And these are still the good times, with growing passenger traffic. By MC01, a frequent commenter on WOLF STREET: Today, Adria Airways, three years after being privatized. On September 24, Slovenia’s Adria Airways, which has long been dogged by insolvency worries, “temporarily” suspended all operations as it is “intensively searching” for new capital from unidentified “potential investors.” On September 20, two planes had been grounded after the airline defaulted on the lease...

Read More »

Thomas Cook Collapses, up to 600,000 Travelers Stranded in Hotel & Airline Chaos, Triggers “Biggest Peacetime Repatriation in UK History”

Rescue deal fell through at the last moment. China’s Fosun and other shareholders are toast. Creditors get to fight over the debris.  By Nick Corbishley, for WOLF STREET: Thomas Cook, the global travel & vacation-giant with its own airline and hotels, with 21,000 employees globally — 9,000 of them in the UK — and a 178-year history, ceased operations with immediate effect early Monday morning after failing to raise the £200 million of additional funds being requested by its main...

Read More »

Who’ll Rescue Thomas Cook, the Collapsing Vacation-Travel-Airline Giant with 21,000 Employees?

Shareholders are already toast. Would China’s Fosun conglomerate follow the time-honored principle of throwing good money after bad? By Nick Corbishley, for WOLF STREET: Following yet another bleak week of trading, the shares of 178-year-old British global travel & vacation-giant and airline Thomas Cook, with 21,000 employees globally — 9,000 of them in the UK — are down to 5 pence, down 96% from 130 pence in May last year. At that time, Thomas Cook Group was worth £2.5 billion....

Read More »

The Airline Fiasco in Argentina as Peso Collapses and New Plan Goes Awry

The curse of pushing volume by selling tickets below cost became an even bigger curse with the peso massacre. By MC01, a frequent commenter on WOLF STREET: On 27 December 2016, the Federal Government of Argentina, under new President Mauricio Macri, launched the “Revolución de los aviones,” the brainchild of the Minister of Transports, Guillermo Dietrich, an ambitious plan aimed at overhauling the stagnant airline industry in Argentina. While often called “deregulation,” it was...

Read More »

Boeing, Airbus and Airline Overcapacity in Asia & Europe

And 200 miracle orders — well, just a letter of intent — for the Boeing 737 MAX at the Paris Air Show. By MC01, a frequent commenter on WOLF STREET: Airlines and aircraft manufacturers usually announce large deals during the big air shows to add an air of glitz and glamour to their dealings. With the growing importance of Asian markets, air shows such as Aero India and the Dubai Airshow have gained in importance over the past decade. But the most important worldwide are still the Paris...

Read More »

The Engines of Large Airliners and the Costly Challenges Manufacturers Face

Rolls-Royce’s debacle for the Boeing 787 Dreamliner. And China is learning it the hard way. By MC01, a frequent commenter, for WOLF STREET: During a scheduled engine inspection in April 2016, an All Nippon Airways (ANA) maintenance crew discovered early corrosion and fatigue cracks on several turbine blades of a Rolls-Royce Trent 1000 “Package C” installed on one of the company’s Boeing 787 Dreamliners. Despite Rolls-Royce’s spending over £30 million in 2017 to design and manufacture...

Read More »

Vacation Giant & Airline Thomas Cook Verges on Collapse

Citi Group analysts slashed their price target to zero. By Don Quijones, Spain, UK, & Mexico, editor at WOLF STREET. The shares of 178-year-old British global travel company Thomas Cook are in free fall, tumbling 10% on Thursday and another 40% today, after it issued a zinger of a profit warning for the second half of its fiscal year — the third profit warning in less than a year — and announced a £1.46 billion loss before taxes for its fiscal first half, ended March 31. It also...

Read More »

More Airline Woes: Avianca Brazil Gets Dismembered, Korea’s Asiana Airlines Gets Taxpayer Bailout, Air India Gets Rumors of Default

It Just Doesn’t Let Up With Airlines. By MC01, a frequent commenter, for WOLF STREET: Here’s an example of what should happen to an airline which has become unprofitable and failed to turn around its financial situation. On May 7, the assets of Avianca Brazil, formerly Brazil’s third-largest airline, will be auctioned off to pay creditors. To streamline sales and maximize proceeds, Avianca Brazil has been broken up in seven lots. The best assets are prime slots at the Congonhas and...

Read More »

More Airlines Collapse: Jet Airways India, Alitalia, WOW Air

And the 217 planes that Jet Airways has ordered from Boeing? By MC01, a frequent commenter, for WOLF STREET: Today, another major airline collapsed. Jet Airways, India’s largest private airline, announced “with immediate effect” that it was “compelled to cancel all its international and domestic flights.” It suspended operations on a “temporary” basis. It said: “Since no emergency funding from the lenders or any other source is forthcoming, the airline will not be able to pay for fuel...

Read More »

Next Chapter in Bankruptcy & Restructuring Saga of European and Asian Airlines

The fate of the A380 is sealed. By MC01, a frequent commenter, for WOLF STREET: On February 5, German low-cost carrier Germania announced it has filed for insolvency in Berlin and that all flights will be suspended indefinitely. According to the press release, this was due to unfulfilled “short-term liquidity needs,” meaning the company was struggling to raise the cash needed to pay for obligations coming due in the short term, such as fuel bills/hedging, landing fees, maintenance...

Read More »