Britain’s biggest airline easyJet announced that the chaotic shutdown of London Gatwick airport following sightings of drones last month cost the airline £15mn — a significant hit to the airlines’ finances, as a result of the airports’ unprecedented 33-hour shutdown before Christmas, leaving over 100,000 travellers stranded. While the army and police tried to find the perpetrator, until now — both the drone, and the person controlling the drone, are yet to be found.
Norwegian Air’s new Boeing 737 MAX is now in its sixth week of being stuck in Iran, following last month’s emergency landing. The aircraft has been stuck in Shiraz for over one month, as severe US sanctions against Iran means Norwegian and Boeing are both currently unable to import any spare parts in order to fix the broken jet.
In Asia, Japan’s largest airline ANA is set to purchase a 10% stake in Filipino flag carrier, Philippine Airlines — good news for the Filipino airline, which is hoping to close an agreement with a potential foreign investor by the first half of 2019. Japanese airline ANA wants to gain a foothold in faster-growing markets, and if the deal proceeds, it’s estimated to be valued at around $90mn.
In the Middle East, Qatar Airways CEO has said the airline boost services to Gothenburg, after ‘excellent performance’ on the new Swedish route. While the route is currently served by the 787 Dreamliner, at around 2,500 nautical miles between Doha and Gothenburg, the route could very well become a ‘middle-of-market’ aircraft route, whereby the airline would benefit from better economic efficiency from the Airbus A321neo or A321LR, which will join the Qatar Airways fleet from 2020.
In Doha, Hamad International Airport confirmed it is continuing with ‘Phase 2’ of its expansion, which will enable the airport to accommodate more than 53mn passengers annually by 2022, the year Qatar will host the FIFA World Cup. Crucially for Qatar Airways Cargo division, a new cargo terminal is also being constructed, increasing the HIA’s capacity to 3mn tonnes per year.
Elsewhere in the Gulf, the Sultanate of Oman is the latest country that will have its aviation industry affected by the worldwide engine shortage, delaying Airbus A320neo deliveries. In an exclusive conversation, CEO of SalamAir Mohammed Ahmed told me that the carrier will face “several challenges” this year as a direct result of A320neo delivery delays from Airbus.
SalamAir is a new Airbus customer, with five Airbus A320neo equipped with CFM International Engines on order. With a remaining four A320neo aircraft on order, SalamAir’s CEO originally expected the second jet (on lease from Kuwait’s ALAFCO) to be delivered in February 2019. Ahmed told me: “Airbus has said this week that our second aircraft due in February will now be delayed by two months, and our third aircraft due in March will be delayed by three months.”
While Ahmed acknowledged SalamAir isn’t alone with A320neo delays, he said: “Our expectations now is that all of our remaining A320neos on order will be delayed, similar to other customer airlines.”
Back in Europe, Brexit uncertainty continues. As a ‘no-deal’ exit looks increasingly likely, airline caterers have started stockpiling in-flight meals, for fear of an immediate shortage when Britain leaves the EU on March 29 this year.
Irish airline Ryanair is also preparing for a ‘no-deal’ Brexit by establishing a UK airline, protecting Ryanair’s UK domestic routes — for example: London to Edinburgh — in the event of ‘no-deal’ outcome.
Finally, in the US — the Trump’s government shutdown is now into its second month, and airline stocks are continuing to fall. United is down 2.63%, Delta fell 2.1% to near its year low, and American Airlines fell 3.62%.
The author is an aviation analyst. Twitter handle: @AlexInAir
Alex Macheras
