Category Archives: Aviation

Malaysia Airlines might have to shut down if its lessors decide not to back its latest restructuring plan, said Izham Ismail, Group CEO, Malaysia Airlines. According to reports, a group of leasing companies have turned down the airline’s restructuring plan, which has brought the state carrier closer to a showdown over its future. Ismail said that the group would have “no choice but to shut it down” if lessors decide against backing the restructuring plan. “There are creditors who have agreed already. There are others still resisting, and another group still 50:50. I need to get the 50:50 ones (on board) with those who have agreed. I understand quite a sizeable amount of creditors have agreed.” He revealed that the plan was to restructure the airline’s balance sheet over five years, achieving break-even in 2023 on the assumption that demand in the domestic and Southeast Asian markets returns to 2019 levels by the second and third quarters of 2022. Under this plan, a fresh cash injection will be required from its major shareholder, the state fund Khazanah Nasional, which will be user to aid the airline for the next 18 months. According to a report, lessors who claim to represent 70% of the airplanes and engines leased to the group, have called the plan ‘inappropriate and fatally flawed’ and pledged to challenge it. Izham has revealed that the lessors will need to come to a decision by Sunday, so that the airline can decide whether to proceed with its restructuring plan or “execute Plan B”, which could involve shifting Malaysia Airlines’ Air Operator’s Certificate (AOC) to a new airline under a different name, or using the certificates of sister airlines …

The Pune airport will remain shut during night for a year due to recarpeting work of runway which starts from October 26 and will be on for around one year. Flight operations will remain suspended between 8 pm  and 8 am. All the night flight services, including take-offs as well as landings, have been spread out in the day time.

The Airport Authority of India (AAI) will develop a greenfield airport at Arunachal Pradesh’s Hollongi, near Itanagar. This airport is expected to be completed by November 2022. With an area of 4100 sqm and estimated cost of Rs 650 crore, the new domestic terminal building of the airport will be able to handle 200 passengers during peak hours. Equipped with eight check-in counters, the terminal building will have all modern passenger facilities. The terminal will be an energy-efficient building provisioned with a Rain Water Harvesting system and sustainable landscape.

British Airways has announced it is replacing its chief executive Alex Cruz as the airline navigates “the worst crisis” facing its industry. Cruz, who has been with BA since 2016, will be immediately replaced by Aer Lingus boss Sean Doyle. Cruz will stay on as non-executive chairman for a transition period before Doyle takes on the role.

Hardeep Singh Puri, Minister of Civil Aviation, has said that the extension of travel bubble arrangement till March is only under the realm of speculation. However, he adds, “I would like to plan as we go towards the end of the year, but whether it happens till March depends on whether there is a readily available vaccine, as countries will feel more confident when frontline warriors or other people have access to the vaccine.”

Pradeep Singh Kharola, Secretary, Civil Aviation, has said that in the last few months, the ridership for domestic operations has increased from 29,000 on first day to almost 1.8 lakh, which is a jump of virtually six times. This increase validates that all the safety measures taken by airlines and airports have worked, and indicates that the second phase of operations will see us rapidly grow from 50% to almost near normal.

COVID-19 has shrunk flight booking lead times across the Asia Pacific region since March 2020, with last-minute booking trend led by India and Thailand. As per Amadeus’ first COVID-19 Travel Insights bulletin, flight bookings across the region have been made 17 days later on average compared to the same period in 2018 and 2019. Indian travellers appear to be the most last-minute in the region with an average of only 10 days before their departure date between March-July 2020. This is followed by Thai and Singaporean travellers, who have been making bookings on average 21 and 25 days prior to departure during the pandemic.

Hardeep Singh Puri, Minister of Civil Aviation, has said that domestic airlines may soon increase their capacity to 75 per cent and it may reach more than pre-COVID levels in the first quarter of 2021. “I had earlier said that pre-COVID domestic numbers will be achieved between Diwali and New Year. Now I am confident that by the first quarter next year, we will be able to surpass the pre-COVID number,” the civil aviation minister said. Currently, the capacity is around 65%.

Kapil Kaul, CEO, CAPA India, has suggested that leadership and governance will be essential in making structural changes in tourism. “Since tourism is going to be very dynamic going forward, we may require a specialised Tourism Administrative Service, which has policymakers on the lines of IAS. Since tourism covers so many aspects, unless we have policymakers who specialise in tourism, institutional foundations can’t be fed. There is also a need for a legally empowered tourism council on the lines of GST council, which can comprise of union minister of tourism, state tourism minister, secretaries and all other experts whose job should only be focused on policy and regulatory effectiveness, competitiveness, ease of doing business, financing, education and training,” he recommended.

Hemant Mediratta, Founder, One Rep Global, has said that Indian travellers are optimistic and are already booking charters for future trips. “There has been a surge in the number of queries in the past four weeks for flights to Europe and island destinations where guests are travelling with their family. Queries just short of half a million USD are in different stages of fruition. Savvy Indian travellers are also buying 30 to 50 flying hours valid for the next 12 months,” he says.