China Airlines finalises order for up to 24 Boeing 787s
September 29, 2022
China Airlines on 28 September disclosed that it had finalised its existing order of 16 Boeing 787-9 aircraft, adding options for eight additional jets as deliveries of the widebody resume. The Taiwan-based carrier first disclosed its order in August as part of its plan to replace its ageing fleet of Airbus A330-300 aircraft. This fleet modernisation is “the cornerstone” of its sustainability efforts, China Airlines chairman Hsieh Su-Chien states. “The 787's best-in-class efficiency and low operating costs will allow us to expand our network for years to come," Hsieh says. The carrier has 22 A330-300s, including 19 that are leased and three of which that are parked or in storage, Cirium fleets data shows. Its widebody passenger fleet also includes 14 A350-900s and 10 777-300ERs. The airline also has six 777 freighters on order. Boeing gave no target date for when shipments could begin. The airframer seeks to accelerate its aircraft delivery speed now that the US Federal Aviation Administration allowed 787 shipments to resume following a halt that lasted 15 months.
Garuda files for US Chapter 15 bankruptcy protection
September 28, 2022
Garuda Indonesia on 23 September filed for recognition of its debt-restructuring proposal under the US Chapter 15 process in the Southern District of New York. The carrier is pursuing a Chapter 15 filing to "provide certainty for debtors and all creditors, especially those under the jurisdiction of the United States", president director Irfan Setiaputra states in a filing to the Indonesia Stock Exchange. Under the US bankruptcy code, Chapter 15 is a mechanism for dealing with insolvency cases involving debtors, assets, creditors and other parties from more than one country. "With hundreds of creditors including foreign creditors, we understand that various steps are needed to ensure the peace agreement as agreed by more than 95% of creditors through PKPU can be implemented properly," Setiaputra adds. Garuda first entered a court-supervised restructuring in December 2021, when a Jakarta court upheld a suspension of debt-payment obligations (PKPU) petition. The airline's debt restructuring plan was greenlit by the Central Jakarta District Court at a 27 June hearing, following creditors' approval of the plan. Garuda had proposed to settle existing liabilities to creditors with a package of new bonds and stocks worth $1.13 billion.
Virgin Atlantic to join SkyTeam alliance
September 28, 2022
UK long-haul carrier Virgin Atlantic will join the SkyTeam alliance early next year, aligning it with transatlantic joint-venture partners Delta Air Lines and Air France-KLM. The move will make the airline SkyTeam's only UK member, bolstering the alliance's presence in London Heathrow and Manchester and increasing its reach to the USA and Caribbean in particular. In conjunction with Delta and Air France-KLM, Virgin Atlantic currently operates to 12 American destinations. Together, the four airlines' main base in London will be Heathrow's Terminal 3, alongside fellow SkyTeam members Aeromexico and China Eastern Airlines. Chief executive Shai Weiss states that "2022 marks the year Virgin Atlantic gets back to its best for our customers and people and joining SkyTeam is an important milestone". He adds: "Our membership will allow us to enhance established relationships with our valued partners at Delta and Air France-KLM, as well as opening up opportunities to collaborate with new airlines. It will enable a seamless customer experience, with an expanded network and maximised loyalty benefits." SkyTeam notes that codeshare agreements are already in place with Aeromexico and Middle East Airlines, "with options for more codeshares to follow". Virgin Atlantic in May launched a brand-new service to Texan capital Austin and will start daily flights to Tampa in Florida from November. In the Caribbean, it flies to Antigua, Barbados, Jamaica, and the Bahamas. It also serves destinations in China, India, Israel, Nigeria, Pakistan and South Africa. The carrier is 49% owned by US major Delta.