Qatar Airways has unveiled plans to gradually increase its network with a view to serving 80 destinations by the end of June. The Oneworld carrier says it will initially focus on connecting its Doha base with the global hubs of partner airlines, including London Heathrow, Chicago O'Hare, Dallas Fort Worth and Hong Kong. Business and leisure destinations such as Madrid and Mumbai will also be reopened. Qatar Airways says it has maintained flights to "at least 30 destinations" throughout the coronavirus crisis. It aims to increase this to 50 destinations by the end of May – with the resumption of services to cities such as Amman, Manila and Nairobi – and to 80 by the end of June, subject to regulatory approvals. This would represent about half of the airline's pre-pandemic network. Qatar Airways normally operates to 165 destinations with a fleet of 246 aircraft. The Middle Eastern airline plans to operate flights to 23 European cities, four destinations in the Americas, 20 in the Middle East and Africa, and 33 in the Asia-Pacific region by late June. It says many of the routes will be served with "daily or more" frequencies. "With entry restrictions constantly evolving, accurately predicting future travel is challenging," states Qatar Airways chief executive Akbar Al Baker. "However, while the expectation is that short-haul travel will rebound first, business between large global cities will pick up more gradually and there will be a move towards visiting family and friends following months of lockdowns." The airline's announcement comes on the heels of revealing that it plans to make a "substantial number" of job cuts amid what Al Baker describes as a "grim" outlook for the global aviation industry.

Source: Cirium

Mitsubishi Heavy Industries (MHI) intends to close its $500 million purchase of Bombardier’s CRJ aircraft programme on 1 June. The Japanese industrial company, parent of Mitsubishi Aircraft, confirms the pending closing date, quelling speculation that the deal might fall through amid the coronavirus pandemic. The companies “agreed that all closing conditions have been met and the transaction… will close on June 1, 2020,” says MHI. The deal calls for MHI to buy the CRJ’s maintenance, support, refurbishment, marketing and sales activities, including support and service assets in Mirabel, Toronto, Bridgeport (West Virginia) and Tucson (Arizona). MHI is not acquiring CRJ production, which the companies have said will conclude when Bombardier produces all remaining CRJs on order. It still holds orders for 18 CRJ900s, according to data. Analysts have said the acquisition will give Mitsubishi Aircraft the global support network it needs to secure major sales. In selling the CRJ, Bombardier will divest its only remaining commercial aircraft programme, leaving the company with its business aviation unit and train business. After closing, a newly created Mitsubishi entity called MHI RJ Aviation Group will operate the CRJ programme. That company “will provide a holistic servicing and support solution for the global aircraft industry, including the CRJ series aircraft, and eventually for the Mitsubishi SpaceJet family of next-generation regional jets,” MHI says.

Source: Cirium

South African carrier Comair has become the latest operator in the country to enter business rescue, as it aims to restructure to deal with the coronavirus crisis. Comair made a pre-tax loss of R645 million ($35 million) for the six months to 31 December. “While we had started making good progress to fix the financial situation six months ago, the crisis has meant we have not been able to implement it as we intended,” says chief executive Wrenelle Stander. Comair is a British Airways franchise partner and also operates the budget brand Kulula. The airline has been badly affected by the South African government’s lockdown in response to the outbreak. It has been unable to operate passenger flights since 26 March. “We completely understand and support the government’s reasons for implementing the lockdown, however as a result we have not been able to operate any flights,” Stander says. “Now that the phased lockdown has been extended the grounding is likely to endure until October or even November. These extraordinary circumstances have completely eroded our revenue base while we are still obliged to meet fixed overhead costs.” Stander says applying for business rescue is the “only responsible decision”, adding that Comair “remains solvent”. Joint business rescue practitioners Shaun Collyer and Richard Ferguson have been appointed as of 5 May, and Comair is suspending trading on the Johannesburg stock exchange with immediate effect. “Through this process we intend to right-size our operations to be more efficient, agile and customer-centric,” says Stander, adding that it means rejigging the airline’s network, fleet and reviewing other aspects of its operation. South African Airways and regional carrier SA Express have previously entered business rescue.

Source: Cirium