Cebu Pacific is ramping up its domestic network by resuming services to more destinations and adding more flights to key hubs. The Philippine low-cost carrier says it is recommencing flights to Siargao and Surigao via Manila, Calbayog via Cebu, Iloilo and Zamboanga via Davao, and General Santos via Iloilo. Starting 27 March, the carrier will operate up to 16 daily flights from Manila and Boracay and up to seven times daily to Bohol. It will also fly to Cagayan de Oro up to 10 times daily, up to 18 times daily to Cebu, 10 times daily to Davao and three times daily to Iloilo.

Lufthansa Group is forecasting a strong bounceback in traffic for the middle of the year, as capacity on short and medium haul routes approaches pre-pandemic levels and bookings even surpass them. Announcing its full-year 2021 results, Lufthansa has revealed that capacity will be increased to 85% of 2019 levels for the summer and 95% on short- and medium-haul routes, up from a low of around 21% at this point last year and 60% in December. Low-cost unit Eurowings will raise capacity above pre-pandemic levels, while across the group it should reach around 70%. “In February, our customers have booked more flight tickets than at any time since the beginning of the pandemic,” it notes. “The number of bookings for the Easter and summer holiday periods has almost reached the level of 2019. To some destinations, the number of bookings has even tripled (compared to 2019).” Sales to the USA and Mediterranean have been particularly strong, it adds. Annual losses for the full year 2021 reduced to €1.8 billion ($2 billion) from €5.2 billion in 2020. The group attributes this to its efforts to slash costs and “renew itself” with greater efficiency. Compared with pre-crisis performance, a reduction of 30,000 in staff count, plus other measures, will reduce overall costs 15-20%, it estimates, efficiencies of 10% having already been achieved. “We have decisively and consistently advanced and implemented the transformation and restructuring of the company,” states group chief executive Carsten Spohr. “Today, the Lufthansa group is more efficient and more sustainable than before the pandemic.” He adds: “We are very certain that air traffic will experience a strong upswing this year. Our strategy of expanding the private travel segment has proved successful and is paying off. People want to travel.” Revenues came in at €16.8 billion, an increase of nearly a quarter on 2020. The group returned to profit for the summer months before being blown off course by Omicron. Cargo earnings rose to €1.5 billion, ”the best result of its history”, on the back of an ongoing lack of passenger freight capacity and shipping supply-chain problems. Potential threats include higher air traffic and airport charges, as well as fuel costs. “However, the group expects to be significantly less affected by this cost inflation than its competitors. It has, for example, started to hedge at an early stage against rising fuel prices and the increase in the cost of emissions certificates.” Mark Simpson, an analyst at investment firm Goodbody, highlights revenues slightly above consensus and liquidity of €9.4 billion, also above medium-term targets. “Overall, the beat at sales level is reflective of the recovery dynamics which we expect the sector to benefit from this summer. However, we still favour exposure to the LCC sector over flag carriers.”

The US Federal Aviation Administration and the UK Civil Aviation Authority in a joint statement on 3 March said they “are engaged in a range of bilateral and multilateral discussions” to support the development of electric vertical take-off and landing (eVTOL) aircraft as companies in both nations aim to certificate their aircraft for passenger flights. The talks between US and UK regulators are focused on certification, production, continued airworthiness, operations, and personnel licensing. “As these aircraft enter into the aviation ecosystem, we must continue to maintain the high safety standards that the public expects,” according to the statement. “To streamline and expedite integration, this technology should use existing regulatory frameworks on which that strong safety record is founded.” Numerous companies developing eVTOLs are based in the USA, including Archer Aviation and Joby Aviation. Both of those firms are based in California and are publicly traded on the New York Stock Exchange. UK-based Vertical Aerospace, which is also publicly traded, aims to certificate its eVTOL with both the CAA and the European Union Aviation Safety Agency by 2024. Both the FAA and NASA are also studying urban air mobility with the aim of producing data and guidelines to assist the emerging industry.