Heathrow warns of ‘uncertain’ demand outlook
October 12, 2022
London Heathrow airport has warned that growing economic headwinds, a rebound in Covid cases and the ongoing situation in Ukraine mean that the outlook for passenger demand could deteriorate into the winter. Yet it expects peak-season travel through the Christmas period to be "very busy" as it continues to bounce back from the operational difficulties faced earlier in the year as passenger demand surged. Having imposed a cap of 100,000 departing passengers per day through the summer in a bid to improve service levels, the airport reports that supply and demand have since been "in balance", adding: "As a result, the vast majority of passengers travelling through Heathrow this summer had a very good experience." As capacity has been rebuilt, in particular at service providers such as baggage handlers, Heathrow now says it will remove the passenger cap at the end of October, replacing it with a "more targeted mechanism, which protects passenger service during peak periods". Chief executive John Holland-Kaye asserts that Heathrow "has grown more in the past 12 months than any airport in Europe. and we've delivered a great passenger experience to the vast majority of travellers". He adds: "I'm proud of the way our team has worked with airlines and their ground handlers to get 18 million passengers successfully away this summer. "While we face many economic headwinds, as well as the legacy of Covid, our aim is to get back to full capacity and the world-class service people should expect from the UK's hub airport as soon as possible." The airport is currently awaiting a long-term funding settlement from the UK government that will decide how much it can charge airlines for the period to 2026. It had previously been instructed to reduce its charges to airlines from its current level of £30.19 ($33.40) per passenger to £26.31 by that point, having sought an increase as high as £43 – a request that came in for heavy criticism from airlines. Data for September shows that Heathrow processed around 5.8 million passengers during the month, 15% fewer than three years previously but up from 2.6 million last year.
Loganair put up for sale
October 11, 2022
Loganair, the UK's largest regional carrier, is being offered for sale by its owners after a decade under their control. The Scottish carrier, which has its main base in Glasgow but operates across the UK, is being put up for sale “for the best of reasons”, writes chief executive Jonathan Hinkles. The joint owners, brothers Peter and Stephen Bond, are seeking to step back from the business as Stephen Bond heads for retirement. "What is very clear is that Stephen and Peter Bond are committed to finding the right future owner for Loganair – very much its keeper for the next generation, just as they themselves have been," Hinkles adds in a LinkedIn post. Loganair has had mixed fortunes over recent years, in line with much of the industry, and has benefited from the wider recovery out of the pandemic. For the full year to end-March 2021 it posted revenue of £81 million ($110 million) and a pre-tax loss of £5.6 million. In the year to end-March 2022, the carrier doubled annual revenue to £161 million and made profit of £9 million, reports The Sunday Times, and forecasts this to rise 150% to £240 million this year, generating earnings of more than £15 million. "With Loganair performing strongly as the UK's largest regional airline, our fleet renewal programme entering the home straight and soon to publish annual results which surpass those of any other UK airline which has reported thus far, our airline is firmly set on the most positive of paths for the future," writes Hinkles. Loganair has a fleet of 46 aircraft, data shows, with its 14 Embraer ERJ-145s and 12 ATR turboprops forming the backbone of its passenger fleet. The fleet is part leased and part owned or managed directly by Loganair. As well as offering scheduled passenger services, the airline performs mail transport services and contracts to connect oil and gas terminals with the mainland.
Bamboo Airways adds new A321neo ACF
October 11, 2022
Bamboo Airways has taken delivery of a new Airbus A321neo ACF, bringing its fleet to 30 aircraft, including three widebodies from Boeing, 22 narrowbodies from Airbus and five regional jets from Embraer. The Vietnamese carrier says its A321neo is equipped with CFM International Leap-1A32 engines and features 223 seats including eight business seats and 215 economy seats. Bamboo Airways aims to operate a fleet of 42 aircraft by 2023 and 100 by 2030 "if favourable conditions allow". Board chairman Nguyen Ngoc Trong states: "Expanding the fleet scale is among our prioritys targets to serve a vigorously expanding international flight network to countries in Europe, Australia, Northeast Asia, and the USA. At the same time, this contributes to improving our service quality, meeting market demands, and boosting Bamboo Airways' competitiveness because the global aviation industry is strongly recovering from the epidemic." Bamboo Airways says it is also focusing on developing long-haul nonstop international routes and connecting major continental gateway airports.