INTERNATIONAL AIR TRAFFIC UP 6.8 PCT

Air transport volumes could suffer turbulence in coming months due to unrest in the Middle East and the euro crisis, IATA said on Thursday when reporting a rise in volumes for May.

International Air Transport Association data showed passenger traffic rose 6.8 percent in May from a year ago.

Air freight -- an important measure of world trade -- fell 4 percent, IATA said. But freight volumes rose 1.2 percent on April, which, IATA said, would help alleviate pressure on airline profit from continued high fuel prices.

"There are risks associated with political unrest in the Middle East and the European currency crisis," IATA director general Giovanni Bisignani said.

Political unrest in Egypt and Tunisia has had a dramatic impact, with flights to the two destinations down about 20 percent, according to IATA.

European carriers saw air traffic expand 10.9 percent, boosted by increased economic activity in northern Europe and a weaker euro encouraging trade and inbound travel, it said.

Passenger traffic in Asia grew 4.7 percent in May, well below the global average, due to continuing weakness in Japan's market following the earthquake, tsunami and nuclear crisis, it said.

"We still expect the industry to make USD$4 billion this year. That is a pathetic 0.7 percent margin and another shock could alter the industry's fortunes dramatically. It is another tough year for a very fragile industry," Bisignani said.

IATA has forecast 8 percent annual growth in revenue this year to about USD$600 billion. Air cargo revenue was seen increasing 9 percent to USD$72 billion.

International air travel in first and business class has slumped because of Japan's nuclear crisis, weakening world trade and Middle East turmoil, IATA said last week in a monthly report on premium travel in April.

The Geneva-based body represents carriers accounting for 93 percent of international flights.

(Reuters)

Volcanic Ash Threatens Patagonian Tourism

On the eve of the winter tourist season, the Argentine resort town of Villa La Angostura should be blanketed white. Instead, its log cabins and forests are carpeted in grey volcanic ash.
A volcano across the border in Chile's Puyehue-Cordon Caulle chain erupted on June 4 after being dormant for decades, sending a towering cloud of ash into the air and forcing the cancellation of hundreds of flights as far away as Australia.
Air traffic is gradually getting back to normal, but many residents of hard-hit Patagonian towns are without electricity and water, fearing for livestock left without grazing pasture and for the start of the southern hemisphere's winter season.
Officials in Villa La Angostura, which lies 1,600 km (990 miles) southwest of Buenos Aires, have asked for the area to be declared an emergency zone to free up aid, and the Health Ministry has deployed psychologists to counsel anxious residents.
"When you're faced with a natural disaster, the only option is to bear it and deal with it," Mayor Ricardo Alonso told local television.
Local airports remain shut and hotels have few guests in San Carlos de Bariloche, one of Argentina's most important tourist destinations and a favourite with Brazilian visitors.
"Tourist arrivals have been badly affected, including Brazilians, other Latin Americans and Americans. Tourism's down 80 percent," said Viviana Risso, manager of a Bariloche hotel.
The town sits on the shores of the Nahuel Huapi lake, tinged grey in contrast to its habitual deep blue. "People are saying this could last for a couple of years," Risso said.
The airline havoc of recent days caused losses of between USD$2.8 million and USD$3.5 million to state-run Aerolineas Argentinas and Chile's LAN, leading daily La Nacion said, citing an unnamed industry source.
ASH 'FOR A WHILE'
Winds that have been blowing the ash cloud eastward since the eruption almost two weeks ago are forecast to change direction over the coming days, bringing some relief to Villa La Angostura but raising the risk of raining ash over Chile.
Volcanology experts think the volcano could disrupt air travel sporadically for some time.
"They're calculating we could have three weeks of strong activity and then three months when the volcano's going to remain active," said Marcos Arretche, a civil defence worker in Villa La Angostura. "We're going to have ashes for a while."


(Reuters)

Air Canada Customer Agents Go On Strike

The union representing customer service and ticket sales agents at Air Canada has gone on strike after failing to reach a new agreement with the country's biggest airline.
Air Canada said on Tuesday that a collective agreement had not been reached with the Canadian Auto Workers union, which represents 3,800 employees in call centres and at airports across Canada.
Air Canada, however, will continue to operate its full schedule despite the strike and said it was ready to resume discussions at any time to achieve a negotiated settlement.
"In the interim, we have implemented a contingency plan involving more than 1,700 managers to assist at airports and call centres. We will continue to operate our full schedule, and all bookings will be honoured," chief operating officer Duncan Dee said in a statement.
More than 22,000 Air Canada employees remain on duty, including over 1,700 managers to help customers, the carrier said.
CAW had served Air Canada with 72 hours notice of a strike on Friday after 10 weeks of negotiations failed to produce a deal.
The union said in a statement on Tuesday that a key sticking point in negotiations was Air Canada's proposed changes to the company's pension plan.
The carrier wants to do away with its defined benefit pension plan for new hires as it looks for ways to reduce its deep pension deficit, which stood at CAD$2.1 billion (USD$2.14 billion) at the start of 2011.
Air Canada is also in talks with four other unions, including its pilots, flight attendants and maintenance workers, after their contracts expired earlier this year.
It reached a tentative agreement with the pilots' union earlier this year, but its members last month rejected the deal, sending the union and airline back to the bargaining table.
Air Canada's proposal to start up a low-cost carrier to fly to destinations in Europe and elsewhere has also met with resistance from some employees who oppose the lower pay scale the carrier wants to create at such a venture.


(Reuters)

Ash Cloud Again Grounds NZ, Australian Flights

A cloud of ash from an erupting volcano in Chile disrupted air travel in New Zealand and Australia for a second day on Monday, causing scores of flights to be cancelled and grounding thousands of people.
Flights between New Zealand and Australia, and some domestic routes in both countries, were disrupted as the cloud, which has travelled around 10,000 km (6,000 miles) across the Atlantic and Indian oceans, drifted over their southern air space.
Air New Zealand kept in the air by rerouting flights and flying at lower altitudes to avoid the ash, but was monitoring developments closely.
"We may well be affected later on today and tomorrow because if we can't exit or operate across the Tasman (Sea) and get to 20,000 feet before we enter into controlled air space then we will have issues in the next few days," said Air NZ chief pilot David Morgan.
Air NZ flights have been operating at around 18,000 feet (5,800 metres) although it is more costly in fuel consumption.
The volcano in the Puyehue-Cordon Caulle chain in Chile has been erupting for the past week, throwing South American air travel into chaos as it spews ash high into the atmosphere.
Virgin Australia, which had cancelled services on Sunday, said it was resuming flights.
"Overnight we have been monitoring closely the situation and we now believe that conditions are safe to operate," said Sean Donohue, Virgin Australia's executive operations manager.
However, Qantas and its budget offshoot, Jetstar, maintained a ban on flying out of the southern city of Melbourne and the southern island state of Tasmania until mid-afternoon local time at least.
All flights within and to and from New Zealand were also still suspended, and Qantas cancelled three services to Argentina and the United States because of the ash cloud.
Qantas said the outlook was unpredictable.
"It is really difficult to say because it's so hard to predict the behaviour of the ash cloud. We can only look 12 hours ahead at the most and even then it is difficult to say with any certainty," said Qantas spokesman Tom Woodward.
Despite the disruptions, airports in both countries reported little chaos at terminals On Monday, with many affected passengers having abandoned their travel plans for now.
New Zealand's Civil Aviation Authority (CAA) said there was no need for an official ban on flights and airlines would be left to make their own decisions.
"At the moment the ash is basically trapped in the stratosphere, it's not falling below that, so the air space below the ash cloud is viable for operations," CAA meteorological manager Peter Lechner said on Radio New Zealand, adding the effects of the volcano could last for weeks.
The fine ash particles, which pose a danger to aircraft bodies and engines, were carried east by the prevailing winds to sit between 20,000 and 35,000 feet across southern parts of Australia and New Zealand.
Air travel in northern Europe and Britain was disrupted last month after Iceland's most active volcano at Grimsvotn sent a thick plume of ash and smoke as high as 25 km. This was worse than the Chilean fall-out because it spread ash throughout the air column, from ground level to the upper atmosphere.


(Reuters)

BA TO PAY USD$89.5 MLN TO SETTLE CARGO SUIT

British Airways said on Tuesday it will pay USD$89.5 million to settle a class-action lawsuit accusing it and more than two dozen other airlines of conspiring to fix the price of air freight shipping.

Plaintiffs in the same litigation have also reached a USD$66 million settlement with LAN Airlines, LAN Cargo and Aerolinhas Brasileiras, all South American airlines.

The settlement offers are still subject to approval in the Brooklyn federal court where the lawsuits have been consolidated. No date has been set yet for the fairness hearing before US District Judge John Gleeson.

A spokeswoman for British Airways, which merged with Spain's Iberia last year to form International Airlines Group, said the company was pleased to have reached a settlement.

Michael Hausfeld, co-counsel for the plaintiffs, said the two settlements represented "yet another excellent result" for the class plaintiffs.

"We will continue our efforts to pursue recoveries for the huge number of victims of this cartel both in the US and around the world," Hausfeld said. "It is long overdue that the companies found to have engaged in price-fixing by public enforcement agencies make restitution to all of their victims, everywhere in the world."

US INVESTIGATION

In 2006, more than 90 civil lawsuits were filed against more than two dozen airlines accusing them of conspiring to raise air freight rates. In all, 42 airlines have been named in the suits.

So far, nine similar civil settlements have been reached with the class-action plaintiffs, for a total of USD$367.9 million to direct purchasers of air cargo services. Five of those settlements have been approved; the others are still awaiting court approval.

The civil complaints originated from a US Department of Justice investigation into a number of airlines suspected of violating antitrust rules with the air cargo industry. So far, 20 airlines have reached plea agreements with the DOJ, worth more than USD$1.7 billion.

(Reuters)

Take off or Landing - Our fear can climb and descend just as Quickly

Lots of us love not only traveling to other countries but the actual flight that gets us there, the *free movies, drinks, being served, tuning out, watching immaculate passengers wake up with bald spots, crumpled and disheveled. Fantasizing about our holiday or business trip also plays a part.

Of course there is also the discomfort, blanket not warm enough, seats to small, legroom not happening, passenger beside you hogging the arm rest, smells you dont care for, being jammed between 2 sleepers on a full bladder.

Above and beyond all of our loves and hates there is one thing which unites many of us, we know who we are, we have looked into each others eyes and smelt the fear...

Those of us rational under other circumstances who fear the take off or the landing or dammit both.

Fear can come from all sorts of stuff,  we know that. There's the movie you saw when you were 7 (or last week) the plane crashes on the news or worse the re- enactment you saw on late night which all the technical facts of exactly how and why this happened and how bloody vulnerable we are up there etc etc.

The reaility is of course people fly every day, thousands and thousands and they do ok, . Boeing says flying is 22 times safer than driving but when that flight leaves the ground aghhhghgh the voice in my head takes over the controls "Why am I doing this?" "Do I really want to go anywhere on a plane today" "Am I going to burn, drown, get eaten by sharks, freeze to death, be stranded on the roof of the plane?"

We finally get up at the altitude the pilot sees fit to turn the seatbelt light of, then and only then do I remove my fingers grip of the seat arms, I relax, I get up, I grab some water, smile at other passengers and even engage in conversation with strangers. Oh oww, its time to land... "Oh my god, why is it so bumpy, why are we on this angle, are we swaying? Why is the plane going so fast/slow, how can the pilot see out the window? "

Both take off and Landing are demanding for pilots, most will tell you they are both equally as risky, both are different and I dont know that you'll get every pilot to agree on which is harder or  poses more danger.

What makes you uncomfy or downright terrified - Give the Poll a go and lets see if its just me..


Insight Inflight

COURT TELLS AMERICAN TO PUT AIRFARES BACK ON ORBITZ

June 2, 2011

American Airlines must reinstate its fares and flight schedule on Orbitz after it pulled content in December during a spat over how Orbitz Worldwide publishes the carrier's fares, an Illinois court said on Wednesday.

The decision grants Orbitz and Travelport, which owns nearly half of Orbitz, injunctive relief that was denied late last year by a different judge. Travelport later appealed that initial ruling.

"The court should have preserved the status quo and should have ordered American Airlines to refrain from terminating any of the Orbitz agreements until the case was decided on the merits," said Judge Lee Preston in his ruling.

Although the matter is far from its final resolution, Orbitz was quick to declare victory.

"This reinstatement of American Airlines' full schedule of flights on Orbitz and Orbitz for Business is a win for transparency, consumer choice and for all of our mutual customers," Orbitz said in a statement.

American Airlines said it was evaluating its options but would comply with the court order.

"We want to underscore that this is the exact opposite conclusion than that of the judge who heard the evidence," American said in a statement.

Orbitz, which competes with Expedia, Priceline and Travelocity in the online travel space, has never said exactly how much revenue it would lose by not selling American Airlines tickets.

Chief executive Barney Harford has said Orbitz has replaced about half of its American Airlines bookings with bookings on other airlines.

American Airlines pulled its content from Orbitz in December after Orbitz refused to adopt American's new technology that would let consumers price their trips based on other factors besides just fares. Airlines commonly charge fees for ancillary services such as food and bag checks.

American Airlines is involved in multiple legal disputes with third-party ticket sellers as its attempts to lower its distribution costs. Travel industry analysts say the disputes have the potential to upset the business model of travel agents.

American Airlines filed a lawsuit this year claiming Orbitz and airfare data provider Travelport made American's fares look higher to consumers than they were.

American Airlines on Wednesday said it added Sabre, a global distribution system, to its federal antitrust lawsuit originally filed against Travelport, which seeks to stop "exclusionary, anti-consumer and anti-competitive" practices.

(Reuters)

Airline drops salads from Europe flights

June 2, 2011 5:46 p.m. EDT




(CNN) -- Salads are off the menu for all American Airlines flights departing from Europe.


In light of the recent E. coli strain scare, American Airlines is pulling "green salads, lettuce and tomato garnishes" to alleviate any concerns its passengers may have.


"We are replacing the salad menu items with other menu options to pre-empt any risk and alleviate concerns," reads an alert on the airline's website.


"We will closely monitor and take direction from the local health authorities and the World Health Organization and return to the original menu when we believe it is safe to do so," American Airlines said.


Other airlines are monitoring the situation. Delta Air Lines has no plans to stop offering salads on flights out of Europe, but the airline is talking to European caterers daily, Delta spokeswoman Chris Kelly Singley said.


Sixteen deaths have been linked with the outbreak: 15 in Germany and one in Sweden. According to the World Health Organization, more than 1,000 people in 10 countries have been sickened by the strain.


Russia also announced Thursday that it would be banning any fresh vegetable imports from the European Union in an attempt to combat the deadly outbreak.


Although the source is still unknown, the outbreak has been traced to cucumbers that were imported to Germany from Spain. Authorities are advising that people avoid raw cucumbers, tomatoes and lettuce in Germany and other European countries.




Ashley Strickland, Special to CNN

F-16S ESCORT UNITED AIRLINES FLIGHT AFTER ONBOARD FIGHT

June 1, 2011




Fighter jets escorted a United Airlines plane back to Washington's Dulles Airport after a fight broke out between a two passengers on the flight bound for Ghana, officials said on Tuesday.


Police met the two passengers at the gate when flight 990 landed back at Dulles early Monday morning, but neither passenger was injured and they were not arrested, said airport spokesman Rob Yingling.


The two F-16 fighter jets were dispatched from Andrews Air Force Base after the pilot reported the disturbance, said US Navy Lieutenant Commander William Lewis.


They shadowed the flight all the way back to Dulles, where it landed safely, Lewis said. "They were just following typical procedures when you have disturbances. It's pretty commonplace whenever there's an airspace violation," he said.


It was unclear how many passengers were aboard the United flight, which took off from Washington late on Sunday night, and what arrangements were made for them to reach their destination.


(Reuters)