Jetstar Japan takes delivery of its first Airbus A320 aircraft

Jetstar Japan, one of Japan’s newest low-cost carriers (LCC), has taken delivery of its first Airbus A320 aircraft in Toulouse, France. The Japanese carrier will start commercial services in July operating from Narita to Kansai, Fukuoka, Sapporo, and Okinawa with an initial fleet of three aircraft. This fleet will grow to 24 aircraft within three years.

Jetstar Japan’s A320s are configured in a high comfort all economy layout with 180 seats. Each aircraft is powered by IAE V2500 engines.  

“We are extremely happy to take delivery of our brand new Airbus A320. With its wider seats and more spacious cabin than the competition, we are positioned to provide better value that our customers will appreciate as well as fast turnarounds, which is key to our business model,” Jetstar Japan President Miyuki Suzuki said. “We aim to become the number one LCC in the Japanese market, and the A320 will help us achieve our goals.” 

“We are delighted to welcome Jetstar Japan as our newest Airbus operator. The A320 has the widest most comfortable cabin and the best performance of any single-aisle aircraft. Passengers love it and operators love it too,” said Airbus Chief Operating Officer, Customers John Leahy. “The A320 is already the aircraft of choice in Asia with some 80 per cent market share in the LCC market.”

Jetstar Japan, established in 2011, is a joint venture between the Qantas Group, Japan Airlines (JAL), Mitsubishi Corporation and Century Tokyo Leasing Corporation. Jetstar Japan’s Airbus fleet is from an order for 110 A320 Family aircraft placed by the Qantas Group in October 2011.

As of today, nearly 8,400 Airbus A320 Family aircraft have been sold to more than 340 customers and operators worldwide, making it the world’s best selling commercial jetliner ever. With proven reliability and extended servicing periods, the A320 Family has the lowest operating costs of any single-aisle aircraft.

Airbus Media

Japan's Peach Aviation launches first flight

Japan's low-cost carrier Peach Aviation started operations on 1 March, with the launch of two commercial domestic services. The first flight, MM101, departed from Osaka's Kansai International Airport at 07:17 local, landing at New Chitose Airport near Sapporo at 09:09. There were 162 passengers on board, a spokesman said.

The carrier launched its second flight, on the Osaka-Fukuoka route, about 20 minutes later carrying 168 passengers. Peach Aviation will operate three daily round trip flights on the Osaka-Sapporo route and four daily round trip flights on the Osaka-Fukuoka route.

Two new routes will begin in April - a twice-daily Osaka-Kagoshima service on 1 April and a twice-daily Osaka-Nagasaki service on 25 April - to be followed by the carrier's first international serivce which is scheduled to begin on 8 May from Osaka to Seoul's Incheon airport, the spokesman said.
It is planning to add three new routes within the next three months to Okinawa, Hong Kong and Taipei, he added.

Peach Aviation was set up in February 2011 with Y30 million in equity commitments from three investors: All Nippon Airlines owns 33.4%, Hong Kong First Investment Group holds a 33.3% stake and investment firm Innovation Network Corporation of Japan owns the remaining 33.3% stake. The airline operates a fleet of three Airbus A320s and has another seven on order.

Flight Global

IAG determined to press ahead with Iberia Express

International Airlines Group (IAG) has "no other option" for turning around Iberia's struggling short- and medium-haul business than to press ahead with the launch of low-cost subsidiary Iberia Express, despite fierce opposition from pilots, according to chief executive Willie Walsh.

The parent company of British Airways and Iberia continues to face "stubborn resistance to reality" from pilots and each day of strike action to protest against the new carrier is costing it €3 million ($4 million). However, the expected €100 million positive impact of launching Iberia Express "outweighs the cost of the disruption", Walsh told analysts today during a conference call to discuss the group's full-year results.

Iberia's short-haul revenues remain well below 2008 levels, and the Spanish carrier as a whole performed significantly worse than BA during 2011. "This requires major surgery and that major surgery comes in the form of Iberia Express," said Walsh. The low-cost subsidiary plans to launch operations at the end of March with an initial fleet of four Airbus A320s, rising to 13 A320s by the end of the year.

Iberia Express "will give an opportunity to reverse the trend witnessed on short- and medium-haul at Iberia", said Walsh, and "will allow Iberia to create an efficient feeder airline into its long-haul hub in Madrid".
Iberia's pilots have so far carried out 12 days of strike action to voice their opposition to the new carrier. Iberia chief executive Rafael Sanchez described this as "a disgrace", adding: "We are absolutely determined to get this through - there is no way we're not going to do it. Reality will eventually get them to sit down at the table."

Flight Global

AirAsia to add 20 A320s in 2012

Low-cost carrier AirAsia will add 20 Airbus A320s to its fleet this year as it looks to raise capacity and launch operations at two regional associate airlines in Japan and the Philippines.
Seventeen of the aircraft will come from the group's backlog with Airbus, said chief executive Tony Fernandes, with the remainder leased in.

The group will take the first three A320s in the first quarter, with one each for its Malaysian, Thai and Philippine operations, said the group in its full-year financial statement.
AirAsia Thailand's fleet will grow by a total of two aircraft in the first half, with the new aircraft used to launch five new routes and increase frequencies on "other strongly performing sectors".

Its Indonesian associate airline, AirAsia Indonesia, will launch three new domestic services - Bandung-Surabaya, Surabaya-Denpasar and Jakarta-Semarang - in the first quarter of 2012.
"These new routes form part of the IAA strategy to re-enter the Indonesian domestic market which has high growth potential given the rapidly rising incomes of the Indonesian middle classes," it said.
Frequencies will also rise on the existing routes from Jakarta to Denpasar and Penang. Two further routes will be launched from Malaysia to Semarang in Indonesia and Surat Thani in Thailand.

Operations will begin at its Philippine associate in March or April, said the carrier, following the grant of its operator's licence, with AirAsia Japan to follow in the second half of 2012. The latter represents "a significant [low-cost carrier] opportunity" given the low penetration of low-cost carriers in the market, said Fernandes.

"Our proven track record and strong brand of low fares shall pave the way for exponential growth in both markets," he said.
Forward bookings for the three operational airlines show passenger demand "remains positive". January load factors fell slightly in Thailand and Indonesia, against the same period a year earlier, while Malaysia showed a load factor increase.

Average fares were higher in all three countries, it added.
AirAsia Thailand and AirAsia Indonesia remain on course for their IPOs this year, said Fernandes.

Flight Global

Atlanta, at Last! Southwest Airlines Launches Service from Georgia

First Flights Usher in Era of Lower Last-minute Fares, No Change Fees, and Bags Fly Free™ Value for Atlanta Travelers.

The People of Southwest Airlines (NYSE: LUV) today delivered an early Valentine's gift to travelers who have long-awaited the Atlanta arrival of the carrier's legendary low fares and positively outrageous Customer Service.  Continuing the 40-year mission to serve in its communities, Southwest also announced the launch of LUV Grants for Good, making available $150,000 in grants to nonprofit organizations from across the State of Georgia. 

"Our service from Atlanta brings greatly reduced fares with new flexibility and value for both leisure and business Customers," said Gary Kelly, Southwest's Chairman, President, and CEO, at a news conference Monday afternoon in the airport's main terminal. Employees of Southwest Airlines celebrated the milestone in a LUV-themed ceremony featuring congratulations from Georgia Governor Nathan Deal, Atlanta Mayor Kasim Reed, Aviation General Manager Louis Miller, and a cadre of excited Southwest Customers and airport employees.

"Southwest Airlines will significantly expand the tradition of excellent customer service and low fares that we have come to expect from AirTran Airways over the past 15 years," said Atlanta Mayor Kasim Reed. "Hartsfield-Jackson Airport prides itself on serving more than 90 million passengers every year, and Southwest's presence will further assure our airport remains as the busiest passenger airport on the planet."
Following on months of community service performed around Greater Atlanta even prior to the August 2011 announcement of Southwest service, Kelly also announced the launch of an online essay and video contest to award $150,000 in LUV Grants for Good across the State.  The contest is open to 501(c)(3) nonprofits which meet guidelines and rules, available at southwest.com/luvgrants.

The public will have an opportunity to vote and select the winning six organizations from a pool of finalists that produce videos on how they would use money to show love to the communities they serve.  Those finalists will have been selected from essays submitted online and judged by the Georgia Center for Nonprofits and Southwest Airlines. In accepting the gift on behalf of all Georgians, Governor Deal said, "Southwest Airlines has established itself as a first-rate corporate citizen in our State by creating LUV Grants for Good to celebrate their arrival in our community. This program will benefit the people of Georgia, who welcome Southwest, their good works, and the wonderful opportunities they bring to our great State."

Today's initial schedule of 15 flights to five nonstop destinations, with additional same-plane and connecting service to 48 destinations across the country, is just the beginning of a beautiful partnership between the world's busiest airport and the largest airline in the nation, as measured by the U.S. Department of Transportation in terms of originating passengers boarded.  Daily nonstop service between Atlanta and Austin, Baltimore/Washington, Chicago Midway, Denver, and Houston (Hobby), will grow next month with the addition of nonstop service to and from both Las Vegas and Phoenix starting March 10.

 Southwest also will add nonstop service beginning June 10 between Atlanta and Los Angeles and will offer additional nonstop service connecting Atlanta to Louisville, Norfolk/Virginia Beach, and Seattle starting August 12.  All flights are available for sale now at southwest.com.

Read more at  Southwest Media 

Low-cost airline with familiar name hopes to fly

NORFOLK, Va.—The name PeoplExpress conjures up thoughts of cheap fares, packed planes and bare-bones service. If regulators agree, the name will be back this summer, attached to an airline that hopes to borrow from the old playbook while avoiding some of the mistakes that doomed one of the pioneers of the no frills airline business.

PeoplExpress Airlines announced Monday that it will be headquartered at Newport News-Williamsburg International Airport in southeastern Virginia. The airline plans to offer flights on the East Coast this summer. But a successful launch is far from a sure thing. It still needs approval from the U.S. government. And it still needs to secure financing.

Initial destinations are expected to be Pittsburgh, Newark, N.J. and West Palm Beach, Fla. Chief Operating

Officer Michael Morisi, who worked at the original airline, says the airline won't ever fly to large cities served by other airlines. The original PeoplExpress called overexpansion one of its fatal mistakes. At the time, Morisi was responsible for opening up several domestic and international destinations, including London and Los Angeles.

The old PeoplExpress was once the country's fifth largest airline. It flew from 1981 to 1987 and was known for offering fares for as low as $19 while turning a profit. But once American introduced "Ultimate Super Saver" fares in 1985 the airline struggled. Continental Airlines eventually swallowed it up. Since then, more than 100 airlines have filed for bankruptcy or stopped operating altogether.

Continental did not maintain the name to PeoplExpress, allowing Morisi to register for it.

Morisi says he intends to serve niche markets that are currently underserved or those that have lost service altogether because of industry consolidation. A number of bigger airlines have pulled out of smaller markets since the recession because flying there wasn't profitable.

"I think we can build a very nice operation serving dozens of cities and never really encroach on some of the major hub cities that other carriers are dominant in," he said in an interview.

Newport News is losing AirTran service next month as AirTran's parent Southwest Airlines Co. redirects flights to other cities. The region has also offered financial incentives for new airlines to roost.

But although some bigger carriers have left room for new airlines to start service, the industry remains highly competitive. If one airline sees another building up business, it's likely to target those cities, and try to win them back.

"New airlines tend to underestimate the degree and gravity of that competitive response." airline consultant Robert Mann said. Morisi, who lives in Chesapeake, Va., said he thinks PeoplExpress can beat the odds and become successful through a combination of factors. Among them, he said the airline aims aiming to have a non-union workforce of employees -- a strategy employed by the old PeoplExpress.Continued...

Boston News/Aviation