ARC NEWS
​European countries impose Covid tests for Chinese arrivals
January 04, 2023
A slew of European countries have enacted Covid-19 testing procedures for arrivals from China, as the country opens up despite surging case numbers. Currently, EU members France, Italy, and Spain are enforcing testing on arrivals from China. Negotiations are expected to restart this week on a common EU position on testing, after officials were unable to reach agreement before Christmas, according to Euronews. France is urging the block to follow its lead of testing arrivals from China, measures that will take place until at least the end of the month. Italy announced that arrivals from China would require testing on 28 December, followed by Spain three days later. The US has imposed similar requirements, as have several countries in Asia. Over half of arrivals on one flight arriving from China to Italy on the first day of the new rules were found to be positive for the disease, Sky News reported. The UK government says that passengers flying from China to the country must present a negative PCR result before boarding, but that testing upon arrival in the country will be optional, reports the Independent. The relaxation of some of the tightest anti-virus regulations in the world in China coincides with Beijing’s efforts to reverse an economic downturn. Restrictions on overseas travel will be loosened on 8 January, allowing more citizens to return to the skies. The concern among health authorities globally is that an abrupt loosening of restrictions will raise the possibility of new variants emerging.


Cebu Pacific takes delivery of ninth A320neo
January 04, 2023
Philippines-based carrier Cebu Pacific on 1 January took delivery of its ninth Airbus A320neo. The aircraft, powered by used sustainable aviation fuel, took its maiden flight from the Airbus Hamburg facility in Germany to the Ninoy Aquino International airport in Manila, the low-cost airline says. This aircraft delivery is first of the 11 expected new Airbus neo deliveries for the year and include three A320neos, four A321neos, and four A330neos. Chief strategy officer Alex Reyes states: "This SAF-powered aircraft delivery supports our sustainability strategy in shifting to a more fuel-efficient neo fleet by 2028." To date, the airline's fleet consists of 21 A320ceos, nine A320neos, seven A321ceos, 10 A321neos, four A330ceos, four A330neos, 14 ATR 72-600s, six ATR 72-500s and two ATR freighters.


Mesa slips to loss in latest quarter
January 03, 2023
Mesa Air Group made an operating loss of $141 million during its fiscal fourth quarter ended 30 September, slipping from a profit of $5.08 million in the same period a year earlier. The parent company of Mesa Airlines says it generated $125 million in operating revenue during the quarter, a figure down about 4% year on year. Contract revenue decreased about 5%. These decreases were driven by lower block-hours, offset by the expiration of temporary rate reductions related to payroll support programme, the US group adds. In its fourth quarter, 48% of total revenue was derived from Mesa's contracts with United, 45% from American, 2% from DHL and 5% from leases of aircraft to a third party. The fourth-quarter net loss of $115 million compares with one of just $7.5 million in 2021's equivalent period. Operating expenses grew to $266 million, from $125 million a year earlier. During its latest fiscal fourth quarter, Mesa agreed to sell 18 Bombardier CRJ550s to United Airlines, closing 10 during the period. Since quarter-end, it initiated and concluded a wind-down agreement with American Airlines, reached deals with United Airlines for capacity-purchase expansion for CRJ900 flying and rate increase, a loan, and an engine purchase; renegotiated certain aircraft debt and lease obligations; and agreed to sell 11 CRJ900s in 2023's first quarter. For the full year, Mesa made an operating loss of $189 million, down from a profit of $63.1 million. Operating revenue increased to $531 million from $503 million. A net loss of $182 million compares with a profit of $16.5 million a year earlier. Mesa ended the quarter with $57.6 million in cash and equivalents, down from nearly $121 million at 30 September 2021. The group had $599 million in total debt, secured primarily with aircraft and engines. "We believe our strong relationship with United will provide significant opportunities for growth in the future," states Mesa chief executive Jonathan Ornstein. Deals with that US major, he notes, "allow us to expand United's reach into cities that have seen reductions or loss of flight service created by the industry-wide pilot shortage", and Mesa will be "the only exclusive regional carrier for United operating large regional jets". Ornstein adds: "In particular, we believe Mesa's participation in the Aviate programme, combined with United's industry-leading growth plan, will provide the most reliable, fastest path for aviators to transition to a major commercial carrier. "Combined with the significant liquidity United is providing, this agreement represents a transformational step for our business as we aim to resolve the impacts of the industry-wide pilot shortage that we faced in fiscal 2022."


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