Avianca has confirmed that it is no longer interested in buying Mexican regional operator Aeromar, as the Colombian carrier focuses on executing a strategic plan to restore profitability within its core business in its home country and Central America. German Efromovich, Avianca's previous controlling shareholder, had embarked on an ambitious international expansion strategy under which airlines operated under the Avianca brand in Ecuador, Peru, Brazil and Argentina. However, Avianca Brasil and Avianca Argentina both filed for bankruptcy and went into liquidation while Avianca Peru pulled out of most domestic markets. Mexico was the latest territory Avianca intended to conquer by acquiring a majority stake in ATR turboprop operator Aeromar. However, Avianca's new chief executive Anko van der Werff, formerly Aeromexico's commercial chief, makes clear that expanding into Mexico through an Avianca-controlled local carrier is no longer an option. "I never considered [acquiring Aeromar] a good idea [for Avianca] nor is this going to happen with the current leadership team," says van der Werff. "We already have a codeshare agreement with Aeromexico, which is much larger and offers more frequencies. Investing in Aeromar would not give us any benefits," he argues.

Source: FlightGlobal

Thai Airways International's chairman has stepped down amid continuing pressure over the loss-making airline's financial performance. Ekniti Nitithanprapas resigned from his position on 1 November, the flag-carrier states. Thai has named vice-chairman Chaiyapruk Didyasarin to take up the duties in the interim. Didyasarin had only been appointed to the vice-chairmanship in mid-October. The carrier has not specified a reason for Nitithanprapas's sudden departure. But the airline had been forced to assure last month that the airline was not facing the possibility of closure, while stating that its president had been pointing out to personnel that competition in the industry was proving strong.

The president had spoken to staff to "motivate them to take immediate action" to cut costs and lift profits. Thai's half-year financial statement shows that carrier turned in a consolidated pre-tax loss of Bt6.1 billion ($205 million) for the first six months, four times the previous interim loss. The airline's revenues declined sharply and could not offset expenditure, despite a lower fuel bill and reduced impairment losses on aircraft. Its balance sheet also shows that its current liabilities of Bt87.1 billion exceed its current assets of Bt50.6 billion. Thai's overall assets of Bt262 billion are nevertheless greater than its overall liabilities of Bt245 billion.

Source: FlightGlobal

Italian civil aviation regulators have limited the authorisation of Iranian carrier Mahan Air, cutting off its route permits just a month and a half into its winter schedule. National regulator ENAC states that the airline will only be allowed to operate until 15 December. The winter season is supposed to run to 28 March 2020. ENAC has not given a reason for its decision, stating only that Mahan Air flights are authorised "only for a limited period". The regulator says this will give the carrier time to rebook affected passengers. Mahan Air operates to Milan Malpensa and Rome Fiumicino from Tehran's Imam Khomeini airport. It had previously been serving Milan but only commenced the Rome service in early July, the airline says. Schedules data indicates the airline uses Airbus A340-600s on the twice-weekly flights. Mahan Air had also been serving Germany before the civil aviation authority withdrew the carrier's operating licence. It continues to fly to Barcelona in Spain. The carrier has been under pressure from the US government which has repeatedly accused it of weapons transport and shipping illicit cargo to support Iranian government activities. Mahan Air has previously insisted it is a company that adheres to international principles. The carrier was formerly blacklisted by the European Commission in 2007, over safety concerns, but freed from the prohibition the following year.
It operates a mixed fleet primarily comprising Airbus A340-300s and -600s, A300-600s and A310-300s, as well as Boeing 747s.

Source: FlightGlobal