Lufthansa Group orders 22 widebodies
March 03, 2023
Lufthansa Group has placed orders for an additional 22 long-haul aircraft, consisting of 10 Airbus A350-1000s, five A350-900s and seven Boeing 787-9s, in a deal worth $7.5 billion at list prices. The aircraft are set for delivery from the mid-2020s onwards and will enable the retirement of older, less fuel-efficient units, Lufthansa says. It adds that the group is in “advanced negotiations” to acquire further long-haul aircraft that could be available at shorter notice. “With our purchase of 22 further Airbus A350s and Boeing 787s, we have secured the delivery of more than 50 latest-generation long-haul aircraft for the member airlines of the Lufthansa Group since the pandemic began,” states chief executive Carsten Spohr. “These aircraft will be equipped with our new long-haul cabins, including the latest-generation seats in all classes of travel.” In total, the company is due to take delivery of 108 latest-generation aircraft, such as the A350-900 and -1000, 787-9 and 777-9, over the coming years. This will give the group “the quietest, most profitable and most economical long-haul aircraft that are currently in service”, it says, with a 30% fuel burn saving per passenger compared with previous aircraft types. It will also enable the company to retire older aircraft over “the medium term”. It cites six sub-fleets, such as the four-engined 747-400, A340-300s and -600s, and the twin-engined 777-200s, 767-300s and A330-200s. This will reduce the number of quad-jet units within the company’s fleet to under 15% from over half before the pandemic. In total, including short-haul aircraft, Lufthansa Group currently has over 200 firm orders for delivery over the coming years. This includes 36 new 787-9s and 33 A350-900s, a type of which it already operates 21. Furthermore to the agreement for new aircraft, Lufthansa has signed a memorandum of understanding with Airbus “to further strengthen their co-operation in the field of sustainability and future technologies”. This will seek to intensify the use of sustainable aviation fuels, optimise flight management, and explore the use of hydrogen.
Virgin Atlantic joins SkyTeam alliance
March 03, 2023
UK long-haul carrier Virgin Atlantic has formally joined the SkyTeam alliance. The move means Virgin Atlantic becomes SkyTeam's only UK member airline, enhancing the alliance's transatlantic network and services to and from Heathrow and Manchester airports, the carrier says. With this, customers can conveniently book every SkyTeam member flight on a single ticket, checking in with baggage just once through to their destination. "Virgin Atlantic's entry into the alliance builds upon the success of its transatlantic joint venture with Delta and Air France-KLM, each already long-established SkyTeam members," it adds. In association with Delta and Air France-KLM, Virgin Atlantic currently operates to 12 American destinations. Last year, the airline launched services to two new USA destinations, Austin and Tampa. The airline is planning a new service to the Maldives from October. Virgin Atlantic also operates an extensive Caribbean portfolio including Antigua, Barbados, Jamaica, The Bahamas and from November, to the Turks and Caicos Islands. Virgin Atlantic also operates services to China, India, Israel, Nigeria and South Africa. Codeshare agreements are already in place with Aeromexico and Middle East Airlines, with options for more codeshares to follow later this year, it notes.
Korean Air gains UK approval for Asiana takeover
March 02, 2023
The UK's Competition and Markets Authority has approved Korean Air's acquisition of Asiana, following the flag carrier's offer to co-operate with Virgin Atlantic on services to Heathrow. Korean and Asiana currently offer the only direct services between the UK and South Korea. British Airways withdrew from the market amid the pandemic. "The CMA's approval is evidence that the proposed remedies submitted by the airline have resolved competition restriction concerns," says Korean. "As part of the remediation effort, Korean Air will enter into a co-operative partnership with Virgin Atlantic's operation on the London Heathrow-Seoul Incheon route.” Virgin Atlantic has never before operated to Seoul, and has not yet officially announced the new route. Korean Air is a member of the SkyTeam airline alliance, which Virgin Atlantic is set to join on 2 March. On 28 November, the CMA said it had accepted the proposed remedies proposed by Korean but would consult the market before giving final approval. The transaction now requires approval from regulatory bodies in the EU, Japan and USA, having already received clearance from 11 competition authorities globally, including the UK. European Commission regulators said on 20 February that they would carry out an in-depth investigation into the proposed merger, citing concerns that the deal may reduce competition in both passenger and cargo markets between Europe and South Korea. The two carriers both operate from Seoul Incheon to Paris, Frankfurt, Rome and Barcelona, together commanding a 63% share of the market between Incheon and Europe by number of flights. Korean has said it believes the acquisition will complete this year, despite the delays in securing regulatory approval.