Showing posts with label Delta Air Lines. Show all posts
Showing posts with label Delta Air Lines. Show all posts
| 0 comments ]

Firstly, many thanks to all the Bangalore Aviation readers who participated in last week's trivia question - Which is the longest scheduled commercial airline flight ?

For the purpose of definition I placed four criteria for an ultra long-haul non-stop flight:

  1. Operated by a commercial airliner with a definite schedule
  2. No intermediate stop-over point within its scheduled duration
  3. More than 12,000 km in route length
  4. Over 15 hours of scheduled flying time
The correct answer is Singapore Airline's flight SQ21 from Newark to Singapore, 16,600km (10,314 miles, 8,963 nm), 18 hours 40 minutes scheduled flying time. Congratulations to Dominik from Poland for the right answer.

Incidentally Singapore Airline's SQ22 from Singapore to Newark follows a "great circle" route of 15,700 km, while SQ21 follows a "polar" route which is 16,600 km.

The second longest route is also by Singapore Airlines. SQ37 (formerly SQ19) from Los Angeles to Singapore takes 18 hours 10 minutes to complete the 14,033 km (8,771 mile, 7,577 nm) trip.

Both these flights are operated by the Airbus A340-500.

Delta operates India's longest flight, the world's fourth longest from Mumbai to Atlanta using the Boeing 777LR. DL185 takes 17 hours to cover the 13,739 km (8,537 mile, 7,395nm) journey. This is also the longest currently scheduled flight by the Boeing 777LR. For a full list click here.

On 10 December 2005, a Boeing 777-200LR completed the world's longest non-stop passenger flight, travelling eastwards from Hong Kong to London a 21,602 km (13,422 miles) in roughly 22 hours and 40 minutes. This was not a scheduled flight and although the airplane seats 301, there were only 27 passengers aboard this flight, I guess the balance weight being made up by fuel.

This is not, however, the record for longest time staying aloft for an airliner. This record is held by the 1939 Berlin-New York non stop flight of a reciprocal piston powered Focke-Wulf Fw 200 built for Lufthansa (flight time 24 hours and 56 minutes). Now that would be a very painful flight.

Image courtesy Singapore Airlines

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

Virgin Blue’s international airline V Australia and Delta Air Lines have negotiated and signed an Australia-U.S. interline agreement on the networks of each carrier and across the trans-Pacific route.

An interline agreement allows the partner airlines to carry passengers or freight on behalf of each other and also enables luggage to be checked through.

Effective immediately, the agreement allows travellers to purchase a single ticket from their Travel Agent, V Australia or Delta for travel between the U.S. and Australia on either carrier.

The agreement leverage's each airlines' domestic connectivity strength. Virgin Blue has domestic connectivity to all major cities in Australia while Delta has extensive domestic services to virtually every city in the United States. This agreement competes head-on with the One World Qantas American Airlines pairing.


V Australia commenced flights between Los Angeles and Sydney on February 27, 2009, and is planning direct flights from Los Angeles to Brisbane on April 8, 2009 and to Melbourne in September 2009.

Delta is expected to commence daily non-stop services on the Sydney - Los Angeles route from July 1, 2009.


Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

Following the recent warning by British Airways chief Willie Walsh, Delta Air Lines CEO Richard Anderson and President Edward H. Bastian issued a warning to all the airline's employees today in a memo.

To: Delta Colleagues Worldwide

From: Richard Anderson and Ed Bastian

Subject: Responding To A Worsening Global Economy

The worsening global economy continues to place additional pressure on the airline industry. In just the few months since we last announced capacity reductions, revenues have weakened, particularly in international markets. Once again, we must move quickly to adjust our capacity and stay in front of demand changes.

This morning at an investor conference in New York, we will announce plans to reduce international capacity an additional 10% beginning in September. These reductions will be targeted to areas where we’ve seen the most revenue weakness – the Atlantic and Pacific networks. Trans-Atlantic capacity this winter will be down 11 – 13% and trans-Pacific down 12 – 14% compared to winter 2008. To achieve these capacity changes, we will exit low performing markets, down-gauge certain routes, adjust frequencies, and move some markets to seasonal service.

We remain focused on our goal to build a diversified, profitable worldwide network. To this end, even as we reduce our Atlantic and Pacific capacity, our Latin America capacity will be up slightly in the fourth quarter, as we take advantage of targeted growth opportunities through new routes and increased frequencies.

These reductions are in addition to the December announcement to reduce systemwide 2009 capacity by 6 - 8% year over year. As a result of the voluntary programs just concluded, nearly 2,100 of our colleagues will be voluntarily leaving over then next several months. While these voluntary reductions met our overall target, there are certain positions and geographic locations where we fell short of achieving the goals of the voluntary programs. With the additional capacity reductions noted above, we again must reassess our staffing needs. As in the past, voluntary programs are always our first consideration to adjust staffing needs.

Our merger provides the silver lining to these turbulent economic times as we begin to see tangible evidence of the benefits of our integration and understand how the merger positions Delta ahead of our competitors. Above all, your focus on executing the Flight Plan and providing superior customer service is our most prized attribute.

We will continue to make decisions that are in the long-term interest of employees, customers, shareholders and the communities we serve. Remaining focused on our 2009 Flight Plan will be key to our success. This will require teamwork from all divisions and departments working toward this common goal. Thank you for the incredible work you do for our customers every day. Together, we are building a stronger Delta.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

Delta Air Lines (NYSE: DAL) today lowered business and leisure fares in domestic markets served from its Cincinnati hub. The reductions offer more than 80 percent of customers flying to or from Cincinnati a significant savings on advance-purchase leisure and business fares to the hub’s most popular destinations, including select cities in Florida, the Northeast and along the West coast.

Sample reductions, effective immediately, include:

Market

Previous 21-day advance-purchase fare**

Reduction

New sample 21-day advance-purchase fare**

Charleston, S.C.

$185 one-way*

56%

$82 one-way*

St. Louis

$180 one-way*

53%

$84 one-way*

Philadelphia

$149 one-way*

38%

$92 one-way*

Los Angeles

$310 one-way*

58%

$130 one-way*

Boston

$205 one-way*

26%

$152 one-way*

Hartford, Conn.

$180 one-way*

12%

$159 one-way*

Seattle

$305 one-way*

43%

$173 one-way*

Salt Lake City

$270 one-way*

20%

$217 one-way*


*One-way, based on a round-trip purchase. Additional taxes/fees/restrictions/baggage charges may apply.
**Comparison based on published fares as of Jan. 27, 2009 for the same travel period.

This new pricing structure is not a sale and applies to both leisure- and business-oriented travel. In addition to reductions on the lowest available fares, customers also will see reductions on other advance purchase and walk-up fares.

Visit Delta website for full terms, conditions and details.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

Delta Air Lines today reported financial results for the quarter and year ended Dec. 31, 2008.

Delta’s 2008 net loss was $503 million, or $1.08 per diluted share. When all charges are added Delta reported a net loss for 2008 of $8.9 billion, or $19.08 per diluted share.

Total revenues for the 4th quarter ending December 31, 2008, stood at $7.768 billion. $6.657 billion from passengers, $285 million from cargo, and $826 million from other sources.

A sectoral break-up of passenger revenue :


Key points for the 4th quarter include:

  • Delta’s net loss for the December 2008 quarter was $340 million, or $0.50 per diluted share, excluding special items described below, and the impact of out-of-period fuel hedges. Results include $0.12 per diluted share from the negative non-cash impact of purchase accounting.
  • Delta would have reported a $167 million net profit excluding special items in the December 2008 quarter, if fuel had been purchased at market prices.
  • Delta’s reported net loss for the December 2008 quarter was $1.4 billion, including an over $900 million charge related to broad-based employee equity awards, and a $91 million loss on out-of-period fuel hedges.
  • Delta completed its merger with Northwest on Oct. 29, 2008, creating the world’s largest airline.
  • As of December 31, 2008, Delta had $6.1 billion in total liquidity and cash collateral posted with hedge counterparties.
Sectoral comparison of revenues 4th quarter 2007 vs. 2008.


Comparing 4th Quarter 2007 vs. 2008 combined revenues of Northwest and Delta, key points include
  • Passenger revenue is down 1% to $6.657 billion due to a capacity decrease of 4%;
  • Cargo revenue is down a whopping 24%, to $285 million, primarily due to reductions of Northwest freighter capacity;
  • Other revenue is up 17%, to $826 million, thanks to the increases in baggage fees;
  • Passenger performance measured in Revenue Passenger Miles or RPKs is down 2.7%;
  • Capacity measured in Available Seat Miles or ASKs is down 3.8%;
  • Passenger load factor is up 0.8% to 80.6%.
Year on Year, 2008 vs. 2007, Delta reports some improved performance.
  • Passenger performance measured in Revenue Passenger Miles or RPKs is up 1.1%;
  • Capacity measured in Available Seat Miles or ASKs is up 0.4%;
  • Passenger load factor is up 0.4% to 82.4%.
Merger with Northwest
Delta completed its merger with Northwest during the fourth quarter, creating the world’s largest airline, and expects the merger to generate $500 million in synergies in 2009 and $2 billion in annual run-rate synergies by 2012.

Key points include:
  • Delta placed its code on over 90% of Northwest routes, creating thousands of additional connecting opportunities for its customers;
  • Delta extended its exclusive co-brand credit card partnership with American Express through 2015, which provided the company over $1 billion in immediate liquidity and is expected to provide an additional $1 billion in contract enhancements over the next two years;
  • Delta and Northwest pilots, represented by the Air Line Pilots Association, achieved a single seniority list for the combined group. More than 25 percent of Delta’s total workforce has now resolved seniority integration, including pilots, flight dispatchers, meteorologists, aircraft maintenance technicians and other TechOps employees;
  • The National Mediation Board ruled that Delta and Northwest now constitute a single transportation system for representation purposes under the Railway Labor Act. This is an important milestone toward resolving representation issues, which will allow alignment of pay, benefits and work rules for all employees of the new Delta;
  • Elite members of both airlines’ loyalty programs gained immediate complimentary upgrade reciprocity;
  • Delta completed the re-branding of approximately 50 of the airports in which Northwest operates and began a program to paint all Northwest mainline aircraft in the Delta livery by the end of 2010.
2008 Highlights
In addition to completing its merger with Northwest Airlines, other key points in 2008 include:
  • Investing throughout the year in its employees through almost $500 million in pension and other retirement program contributions for Delta and Northwest employees, $56 million in combined Shared Reward and Incentive Program payments, pay raises and merger-related equity awards issued in 2008;
  • Investing in new technology and process re-engineering, resulting in a reduction of mishandled bags at Delta and Northwest by 20% and 30%, respectively, year-over-year in the December quarter;
  • Launching its joint venture with Air France, further strengthening the SkyTeam alliance and filling a key position in Delta’s portfolio by connecting its international gateways in Atlanta and New York to one of the world’s premier business airports at London-Heathrow;
  • Receiving antitrust immunity for six-way alliance activities in trans-Atlantic markets for SkyTeam members Air France, Alitalia, CSA Czech Airlines, Delta, KLM Royal Dutch Airlines and Northwest Airlines, enabling the carriers to offer customers more choice in flight schedules, travel times, services and fares;
  • Implementing an expanded marketing alliance with Alaska Air Group, allowing the companies to offer customers more departures along the West Coast than any U.S. airline and the enhanced ability to connect passengers to Delta’s growing global route system;
  • Continuing its international expansion to unique destinations and announcing new service from Los Angeles to Sydney, Australia to begin in July 2009, making Delta the only U.S. carrier to serve six continents;
  • Taking delivery of two new B777-LR aircraft to support Delta’s international expansion and five B737-700 aircraft that allow the addition of service into airports requiring high-performance aircraft such as in Tegucigalpa, Honduras;
  • Providing SkyMiles members with more ways to redeem their miles by initiating a “Pay with Miles” program in partnership with American Express, expanding access to Medallion® Marketplace, growing the SkyMiles online auction program, and enhancing the Award Travel search calendar on delta.com;
  • Announcing plans to add new flat bed seats on Boeing 767-400 aircraft to offer customers the comfort of a 180-degree full flat bed on every Delta flight between the United States and London’s Heathrow Airport by the summer of 2009;
  • Joining with Aircell® to announce that Delta customers traveling throughout the continental United States will experience the convenience of broadband Wi-Fi on board Delta’s domestic fleet of more than 330 mainline aircraft by the summer of 2009;
  • Earning the prestigious 2008 Green Cross for Safety Medal from The National Safety Council, which recognizes organizations and their leaders for outstanding achievements in safety and health, community service and responsible citizenship.
2009 Guidance
2009 is going to continue to heap misery on the airline. System capacity is going to further decrease by 6% to 8% with domestic capacity cuts (10% to 12%) exceeding international services (3% to 5%). Passenger revenue is expected to further decline by 4%.

Read the full release of results here.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

Delta Airlines which recently commenced its Atlanta - Mumbai non-stop is feeling the pinch of the economic slowdown affecting India's IT industry.

Effective March 29, it will reduce the frequency of its service from a daily to five flights a week.

The service will not operate on Tuesdays and Sundays ex-Atlanta, and Mondays and Wednesdays ex-Mumbai. In my opinion, it is a very sensible move. Monday, Tuesday, and Wednesday are the slowest days of the week.

Service will continue to operate with the ultra long range Boeing 777-200LR.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

Effective June 1, 2009, Delta Air Lines will change the aircraft and flight number on its Amsterdam to Mumbai service.

The current NW34/NW33 service operated by an Airbus A330-200 will be replaced by NW792/NW791 operated by a Boeing 767-300.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

Nathan Hurst at The Detroit News has written a good article on how Detroit Metropolitan Airport is fast loosing ground as the United States' gateway to Asia.

The airport is facing a slew of delayed introductions, reduction in frequencies, and in some cases outright cancellations of flights to a variety of Asian cities.

Detroit is the home of the automotive industry, one of the most depressed sectors globally, thanks to a slowing economy. Northwest's acquisition by Delta is only adding to the gloom.

Read the article.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

In 2009, Delta Air Lines will add its first-ever daily nonstop service between Los Angeles and Sydney, Australia* effective July 1; three-times weekly service between Los Angeles and Sao Paulo, Brazil* beginning May 21; and increased service between Los Angeles and New York-JFK starting March 2.

The current seven daily flights between Los Angeles and New York-JFK will increase to eight in an effort to improve connections for New York and Northeast customers on long-haul international flights via Los Angeles. Additionally, Delta customers in the Southeastern U.S. will benefit from same-plane service between Atlanta and Sydney via LA.

Delta’s focus on Los Angeles is being supported by the recently announced expanded marketing agreement between Delta and Alaska Air Group that will make the two companies preferred partners on the West Coast.

Starting July 1, 2009, DL17 will depart Los Angeles at 2240 and arrive Sydney at 0640 two days later (after crossing the international date line).

Starting July 3, 2009, DL16 will depart Sydney at 0915 and Los Angeles at 0600 the same day (time saved by crossing the international date line).

The flight is expected to be 14 hours in one direction and 13 in the other.

The Sydney service will be operated on Delta's new Boeing 777-200LR in a two class configuration, fitted Delta's latest seating including fully flat-bed seating in business class in a herringbone layout.

Currently, the route is operated by Boeing 747-400's of Qantas and United in a 3 class configuration, but United is upgrading its aircraft, and Qantas is planning to introduce the Airbus A380 super jumbo with a 4th class, premium economy, on this route. More competition also coming in the form of Virgin Australia commencing operations with a Boeing 777-300ER in a three class configuration.

With this addition of capacity, fares are bound to head south (sorry for the pun), which while good news for the passengers, is not for the airlines. Will Delta or any of the other three airlines suffer the same fate as American and Continental and withdraw ? Only time will tell.

With the Sydney flight Delta will become only U.S. airline to fly to six continents, and is good news for the SkyTeam alliance, which is severely under-represented down-under. The Sydney service adds the crucial and missing Australia-North America link for the alliance.

Delta will operate Sao Paulo with a Boeing 767-300ER, in a two class configuration.

Starting May 21, 2009, DL233 will depart Los Angeles at 2100 Tue, Thu, Sun, and arrive Sao Paulo at 1320 the next day.

Starting May 22, 2009, DL234 will depart Sao Paulo at 2225 Mon, Wed, Fri, and arrive Los Angeles at 0730 the next day.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 4 comments ]

Delta Air Lines plans to commence nonstop flights between Detroit Metro Airport and Rome Leonardo da Vinci-Fiumicino Airport from June 4, 2009 (subject to government approvals), using Delta's subsidiary Northwest.

This service will be in addition to Delta’s existing nonstop daily service between Rome and Hartsfield-Jackson Atlanta International Airport and twice daily nonstop from New York’s John F. Kennedy-JFK International Airport.

Northwest will operate the service in cooperation with Northwest’s joint venture partner, KLM Royal Dutch Airlines, using an Airbus A330-300 aircraft with a two class configuration. 34 seats in business class and 264 seats in economy.

The plane is equipped with World Business Class lie-flat seats featuring a privacy canopy, 60 inches of space between seats, and personal laptop computer power, and an on-demand in-flight entertainment with a wide selection of movies, games and on-board shopping in both classes.

NW50 departs Detroit at 19:45 and arrives Rome 11:00 the next day.
NW49 departs Rome at 13:00 and arrive Detroit 17:50 the same day.
(All times local)

To celebrate the new flight between Detroit and Rome, Delta is offering a one-way special fare of $699 from Detroit to Rome (based on a round-trip purchase) for travel through July 3, 2009. For full details and restrictions of this special offer visit the Delta website.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

Agreement provides Delta with more than $2 billion in combined incremental liquidity and contract enhancements

Agreement to result in expanded opportunities for American Express across Co-brand credit card, Membership Rewards, merchant services and travel


Delta Air Lines and American Express announced a multi-year extension of their exclusive Co-brand Credit Card partnerships, which commenced in 1996.

The companies also agreed to extensions of their other partnership arrangements, including American Express Membership Rewards, merchant acceptance and travel.

As part of the broad-based partnership agreement, Delta will receive an immediate $1 billion boost to its liquidity from a purchase of SkyMiles. Delta expects to receive an additional $1 billion from contract improvements through 2010.

In return, American Express will be able to grow the value of its Co-brand Cards and the Membership Rewards program. American Express Cardmembers will be offered expanded options for booking travel on the world’s largest airline. In addition, American Express will have the opportunity to increase merchant acceptance in more places in the Midwest region of the United States.

In late 2009, Delta plans to merge Northwest WorldPerks with SkyMiles to create the world’s premier airline loyalty program and a consolidated Co-brand Credit Card program. Northwest WorldPerks Co-brand Cardholders can continue to earn WorldPerks miles just as they do today on their U.S. Bank issued cards, and all WorldPerks miles earned prior to integration will be safe and transferred in full to Delta SkyMiles when the two programs are integrated.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

Delta Air Lines is taking another step in aligning and combining its frequent flier program with recently acquired, Northwest Airlines' WorldPerks program: It will let SkyMiles members earn elite status by flying a certain number of segments.

Delta announced elite and reward changes to both the Delta SkyMiles® and Northwest WorldPerks® programs to better align member benefits.

Beginning in 2009, the programs will offer segment qualification, currently a WorldPerks benefit, to allow members to reach elite status by flying a designated number of flight segments on either Delta or Northwest operated flights.

Additionally, SkyMiles and WorldPerks members will continue to earn a minimum of 500 Elite Qualifying Miles and base miles per flight, making Delta the only major airline to maintain this minimum for all customers.

Jeff Robertson, Delta’s vice president of Loyalty Programs said :

“Delta’s merger with Northwest creates a unique opportunity to build the world’s premier loyalty program for our customers, including providing access to more frequent flyer destinations around the world and adding new benefits,”.

“Delta’s 2009 loyalty programs will distinguish themselves from the industry with the return of segment qualification for Delta SkyMiles members, the availability of complimentary upgrades on both airlines for SkyMiles and WorldPerks members, and valuable Elite Threshold Rewards.”

Qualification requirements for Elite status in 2009 will be as follows:

Level

2009 Qualification Requirements

Silver

25,000 Elite Qualifying Miles or 30 Qualification Segments

Gold

50,000 Elite Qualifying Miles or 60 Qualification Segments

Platinum

75,000 Elite Qualifying Miles or 100 Qualification Segments

As usual, elite status enables members to receive additional program benefits, including complimentary upgrades, mileage bonuses, priority boarding and preferred seating.

SkyMiles and WorldPerks elite members now have the ability to receive complimentary upgrades on both airlines.

SkyMiles members will qualify for Medallion® Threshold Rewards when they surpass Platinum Medallion status. As members reach designated thresholds (to be published in early 2009), they will earn additional bonus miles and/or other exclusive benefits or gifts. Northwest WorldPerks members will continue to enjoy similar Elite Extra Perks program benefits when they surpass the Platinum qualification requirements.

In an effort to closely align the two loyalty programs’ benefits, Northwest WorldPerks will introduce three-tiered award availability and SkyMiles and WorldPerks members will have the ability to transfer miles between their respective accounts in early 2009.

Delta plans to merge both programs to create the world’s premier loyalty program in late 2009. More information on these and other SkyMiles benefits is available at delta.com/skymiles. Details on the Northwest WorldPerks program are available at nwa.com/worldperks.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

While airlines have seen one of their biggest expenses, fuel, come down in price, they are still struggling to find demand as the world's major economies contract, and tis the season of industry consolidation.

British Airways on Tuesday said it's holding merger talks with Australian national carrier and fellow OneWorld alliance partner, Qantas Airways, in a deal that could combine two of the world's best-known international carriers.

British Airways, in a brief statement, said

In response to recent media speculation, British Airways Plc confirms that it is exploring a potential merger with Qantas Airways Limited via a dual-listed company structure.

The discussions between British Airways and Iberia are continuing.

There is no guarantee that any transaction will be forthcoming and a further announcement will be made in due course, if appropriate.
British Airways shares shot up 12.1% in London. Qantas shares ended 4.3% lower in Sydney.
Iberia shares added 5.3% in Madrid.

British Airway possessed a 25% stake in the early 1990s which it sold in 2004. The British Airways talks with Iberia have languished because of Iberia's concerns about the U.K. airline's pension liabilities.

British Airways has been a very busy airline lately. In addition to the Qantas and Iberia negotiations, it is seeking antitrust immunity, from U.S. and European regulators, on its proposed partnership with American Airlines for which it is seeking. A proposal vehemently opposed by arch rival Virgin Atlantic.

Virgin has a presence in Australia in the form of low cost carrier, Virgin Blue. It will be interesting to see how the rivalry will carry over down under.

Like in the United States, Australia limits foreign ownership of domestic carriers. But the BBC was reporting that that may change:
It [the merger statement] follows indications from the Australian government earlier in the day that it may be prepared to relax the rules on foreign ownership.

Under current Australian law, Qantas must be at least 51% Australian-owned.

Any individual foreign airline can only own up to 25% of it and only a total of 35% may be owned by foreign airlines.

Transport Minister Anthony Albanese proposed earlier on Tuesday that the rules be changed so that while 51% must still be Australian-owned, the remaining 49% may be owned by a single foreign airline.
The Australian government recently released a key industry blueprint that would cap foreign ownership at 49% in a bid to keep Singapore Airlines out of the lucrative U.S-to-Australia route.

The possible BA-Qantas link-up occurs as the industry consolidates. Delta has recently merged with Northwest, and on Monday, Ryanair Holdings launched a fresh offer for fellow Irish carrier Aer Lingus, which was rejected by the Aer Lingus board.

The Air France-KLM combine have shown the aviation industry how to combine functions while maintaining separate brands.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 2 comments ]

As a regular flier around the world, I would always experience the mental shock of coming down the levels as I transited from my Singapore Airlines flight, on to a domestic US carrier. It did not matter whether it was American, Continental, Delta, United, or US Airways, it did not matter if the transition was from economy to economy, or from Business class to domestic First class, it was a always a jarring, thud of a drop. Never mind that I was probably the only person in the domestic First class who had actually paid a First class fare, compared to my upgraded cabin mates.

In my life, with over a million flown miles on Singapore Airlines, and the highest level of frequent flier (Solitaire PPS) achieved after 5 continuous years of loyalty, I have been upgraded only once.

I am not complaining. It was this fanatical devotion to non-dilution of their premium classes, and slavish offering of the best customer service, that put the premium classes of foreign airlines like Cathay Pacific, Emirates, Etihad, Singapore Air, Virgin Atlantic, and others, way way above, their full service "cheap" US carriers, even on international routes.

The US "full service" carriers led the world in, to the glamorous world of air travel, and also in, to the decline of mediocrity, with their generally poor service, all the way from the reservation till baggage collection, or in many a case, attempted baggage collection. Distributing free class upgrades like candy, only lowered the quality of service in the premium classes, and with it, brand equity, even further.

Twice, I have faced drinking water rationing on an international flight, both with a US carrier, both in Business or First class. Once with United ex Heathrow to JFK, and once on Delta from LAX to Tokyo. 8 or 10 hours with one small bottle of water ?!?! Why ? The catering department forget to load enough water!!!! Compare this with Emirates which offers its First class passengers showers on-board its Airbus A380.

Global road warriors will agree that Emirates and Singapore Airlines are the two airlines which epitomise the highest levels of commercial aviation passenger comfort and customer focus, in all classes. If Emirates is the King of full service carriers, Singapore Airlines is surely the Queen.

Photo by : Lianhe Zaobao
I was shocked to read, the queen has decided to move its guests out from her full service 5 star palace. On November 4, Singapore Airlines announced it has decided to start charging passengers a US$50 surcharge for confirmed exit row seats in economy class. On the same date the same airline also announced it was lowering its fuel surcharges.

This follows most US airlines deciding to charge for "options" like check-in baggage, flight attendants are resisting US Airways' moves to charge for soft drinks, US Airways even charges for pillows and blankets. What aspect of these airlines' actions would even remotely, make us consider them "full service" ? "Full dis-service" may be.

Many of us have seen this spoof of an airline announcement by MAD TV. In 2007 we all laughed at the ludicrousness of this announcement. No more.


In India, in their quest to show low "airfares", airlines have taken "componentisation" of the total fare to extremes. Basic airfare, fuel surcharge, congestion surcharge, transaction fee, and the list goes on. Gentlemen, we know our basic math, and can total up all the charges. Treat us as adults.

Coming back to Singapore Airlines. Previously, the economy class exit rows were normally occupied by the Krisflyer members. At a time when company budgets are shrinking and executives are required to fly economy, the additional legroom of an exit seat is one of the soft perks the loyal, but harried traveller, can look forward to.

With only 2 to 8 seats per flight, even Singapore Airlines' spokesman Stephen Forshaw will agree, it is not a revenue raiser. My question to CEO Cheong Choong Kong, why risk the alienating your passengers by this move ?

There could be logic in this move, but customer perceptions do not follow logic. Either you are a "5 Star" airline or you are not.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 1 comments ]

Customers can expect ‘business as usual’ with no immediate changes in operations

Delta Air Lines, Inc. (NYSE: DAL) announced, it and Northwest Airlines, Inc. merged, creating a premier global airline with service to nearly all of the world’s major travel markets.

The new airline, called Delta and headquartered in Atlanta, will begin its first day as a combined company with a commitment to delivering excellent service to customers in 66 countries and more than 375 worldwide cities – more than any other airline; with a dedicated base of approximately 75,000 worldwide employees; and with a best-in-class cost structure and strong liquidity balance that better positions the company to adapt to the weakening global economy.

“The airline industry faces a very difficult economic environment around the world and this merger gives Delta increased flexibility to adapt to the economic challenges ahead,” said Delta CEO Richard Anderson. “With much of the work to bring our airlines together well under way, the new Delta will be at the front of the pack in achieving the benefits of consolidation and is well positioned to navigate the tough waters ahead in a difficult economy.”

With the completion of the merger, Northwest Airlines is now a wholly owned subsidiary of Delta. Customers should continue to check-in and do business directly with the airline operating their flight just as they did before the merger. Delta will continue operation of the airlines’ separate Web sites, www.delta.com and www.nwa.com, as well as the two airlines’ reservations systems and loyalty programs.

The companies will be integrated through a thoughtful process with customer benefits rolled out over the next 12-24 months, including:

  • The addition of Delta’s code to nearly all of the Northwest system by the end of 2008, creating thousands of additional connecting opportunities.
  • Immediate complimentary upgrade reciprocity for elite members of both airlines’ loyalty programs, with airport lounge reciprocity continuing as usual.
  • The launch of a fully consolidated worldwide flight schedule in advance of summer 2009;
  • The introduction of elements of Delta’s brand throughout the Northwest system beginning in spring 2009, including Delta’s popular Richard Tyler designer uniforms, Delta’s livery, “signature cocktails,” enhanced in-flight entertainment and other onboard amenities.
  • The consolidation of the Delta and Northwest loyalty programs, ultimately including the ability to combine miles from SkyMiles and WorldPerks accounts at a one-to-one ratio.
  • The full integration of Delta and Northwest Web sites, kiosks, and customer-facing technology to ensure a consistent worldwide travel experience.
Delta has already invested significant resources to ensure a seamless transition for customers, including receiving clearance from the Federal Aviation Administration (FAA) of the airline’s plan to achieve a Single Operating Certificate over the next 14-16 months; adding extra staffing and technology at check-in counters and kiosks to provide added customer assistance beginning today; and posting complete merger information at www.delta.com and www.nwa.com to provide customers added assistance.

Employees share in success of combined company with equity stake, platform for future growth

As a result of the merger, employees will share in the success of the new company through an expanded ownership share in the combined company. In the coming days, Delta will distribute an equity stake to substantially all U.S.-based employees with international employees participating through cash payments in lieu of stock.

"Ensuring our employees are able to share in the benefits of the merger from the beginning is a prime example of the Delta Difference," Anderson said. "By sharing ownership with Delta’s people, we are not only recognizing the critical role employees will play in successfully integrating two customer-focused companies, we are also making good on a longstanding commitment that our employees will share in the success of the company."

Delta also has completed other key steps to ensure that employees benefit from the merger and are protected as the two companies’ workforces are combined. Specifically, Delta:
  • Completed an unprecedented agreement with the Delta and Northwest units of the Air Line Pilots Association, Intl. (ALPA) on a joint contract that unifies both pilot groups under one pilot working agreement effective tomorrow. Additionally, the two pilot groups have agreed to a collaborative process that will achieve a combined seniority list;
  • Committed that no frontline employees will be involuntarily furloughed as a result of the merger and that no hubs will be closed; and
  • Implemented a seniority protection policy that ensures that frontline employees of both airlines will be provided seniority protection through a fair-and-equitable process.
Financial footing strengthened, providing increased flexibility to adapt to challenging global economic conditions

The closing of the Delta-Northwest merger brings together two of the industry’s most financially secure airlines to produce a best-in-class cost structure and an industry-leading balance sheet. The transaction is expected to generate $2 billion or more in annual revenue and cost synergies from more effective aircraft utilization, a more comprehensive and diversified route system, and cost synergies from reduced overhead and improved operational efficiency. The company expects to incur one-time cash costs not exceeding $600 million to integrate the two airlines.

As approved by both companies’ stockholders earlier this year, Northwest stockholders will receive 1.25 Delta shares for each Northwest share they own. Based on Delta’s closing stock price on Oct. 29, 2008, this exchange ratio is the equivalent of $9.99 per Northwest common share.

“In today’s economic climate, this merger makes even more sense because we can capture $2 billion in annual synergies and build the foundation for profitable growth through improved revenues, a best-in-class cost structure and a strong liquidity position,” said Edward Bastian, Delta’s president and chief financial officer, and the new CEO and president of NWA. “As we have proven, this is a different type of merger for the industry thanks to the complementary nature of the two airlines and the caliber of the people who will make this the most successful merger in airline history,” Bastian continued.

Delta closed the merger after receiving notice from the United States Department of Justice (DOJ) that it would not challenge the merger after reviewing its competitive impact. Earlier this year, the merger also received clearance from the European Commission.

Delta today also announced the members of its new Board of Directors, effective immediately. Delta Chairman of the Board Daniel Carp remains chairman while Northwest Chairman Roy Bostock becomes vice chairman. Other directors will include seven from Delta’s Board – Richard Anderson, John S. Brinzo, Eugene I. Davis, David R. Goode, Paula Rosput Reynolds, Kenneth C. Rogers, and Kenneth B. Woodrow, and four from Northwest’s Board – John M. Engler, Mickey P. Foret, Rodney E. Slater and former Northwest CEO Douglas Steenland. Delta had previously announced the structure of its new Board during the merger announcement last spring.

With its acquisition of Northwest Airlines, Delta Air Lines is now the world’s largest airline, and also becomes the only US airline offering a full global network.

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook



| 0 comments ]

Longest range commercial jetliner will connect Atlanta to one of world’s fastest-growing economies

Boeing 777-200 Long Range aircraft features lie-flat seats in Delta’s BusinessElite class

ATLANTA, Aug. 7, 2008 – Delta Air Lines (NYSE: DAL) today announced a new daily nonstop flight between Hartsfield-Jackson Atlanta International Airport and Mumbai, India, starting Nov. 1, 2008*. The new flight will connect the world’s largest airport with one of the world’s fastest-growing economies.

Delta’s recently acquired Boeing 777-200 Long Range (LR) aircraft will make the 17-hour, 55-minute westbound nonstop flight possible. The world’s longest range commercial jetliner bolsters Delta’s ability to connect customers and cargo between virtually any two cities around the globe, nonstop.

Delta’s first two 777-200LRs joined the fleet earlier this year as the first of 10 such models to be delivered through 2010. Since April, these aircraft have been serving the New York-JFK-Mumbai route, which will be discontinued with the start of nonstop service between Atlanta and Mumbai.

“The size and scope of Delta’s operations at our Atlanta hub are best suited for the capacity of the 777-200LR in terms of cargo and passenger lift,” said Glen Hauenstein, executive vice president – Network and Revenue Management. “Serving Mumbai from Atlanta will allow us to optimize the route thanks to the approximately 150 U.S. destinations to which Mumbai customers will be able to connect, as well as the more than 30 easy connections available to and from Latin America and the Caribbean.”

With the new service, Delta will offer customers nonstop service to 78 international destinations from Atlanta, including service recently announced or inaugurated between Atlanta and Shanghai, China; London-Heathrow, England; Stockholm, Sweden; and Kuwait City, Kuwait (effective Nov. 7).

Delta’s schedule between Atlanta and Mumbai will be:

Flight

Departs

Arrives

Frequency

DL 184

Atlanta at 7:15 p.m.

Mumbai at 10:35 p.m.**

Daily

DL 185

Mumbai at 1:05 a.m.

Atlanta at 8:30 a.m.

Daily

** arrives the next day


The 777-200LR is the flagship aircraft for Delta’s global product, including fully horizontal personal sleeper suites in BusinessElite®, next-generation, more comfortable seats in coach, and Delta’s on-demand entertainment system on larger screens at every seat.

BusinessElite customers flying on the 777-200LR enjoy:

  • Reclining seats that adjust to multiple comfortable positions, including a completely flat 6-foot 3-inch bed;
  • Privacy screens incorporating pull-out meal table, fold-out 10.6-inch personal video screen, integrated footrest and personal stowage compartment for bags, shoes or blankets;
  • Immediate access to the aisle so customers do not have to disturb another passenger when exiting their seat; and
  • USB ports offering charging ability for laptops and MP3 players.

Customers flying BusinessElite on any Delta international aircraft enjoy Delta on Demand featuring first-run and popular classic movies, music, TV programming and video games – all available on demand; a five-course menu offering culinary creations by celebrity chef Michelle Bernstein, including an appetizer, soup or salad, and choice of four entrees (including a vegetarian selection); a reinvented wine program launched in February by Master Sommelier Andrea Robinson featuring wines from around the world; new full-size pillows, duvets; modern and stylish dinnerware; and in-seat power outlets that allow customers to recharge their laptops.

Delta’s 777-200LR aircraft offers customers flying in coach comfortable new, all leather slim-line seats each with on-demand music, movies, games and television on individual 9-inch video monitors. Delta is the first airline to offer the sleek, new, leading-edge seats from Weber Aircraft LP, offering up to 1.5 inches of increased personal space, additional under-seat storage, and ergonomically-designed cushions.

Delta Air Lines operates service to more worldwide destinations than any airline with Delta and Delta Connection flights to 312 destinations in 61 countries. Delta has added more international capacity than any major U.S. airline during the last two years and is the leader across the Atlantic with flights to 44 trans-Atlantic markets. To Latin America and the Caribbean, Delta offers 393 weekly flights to 47 destinations. Delta's marketing alliances also allow customers to earn and redeem SkyMiles on more than 16,000 flights offered by SkyTeam and other partners. Delta is a founding member of SkyTeam, a global airline alliance that provides customers with extensive worldwide destinations, flights and services. Including its SkyTeam and worldwide codeshare partners, Delta offers flights to 500 worldwide destinations in 105 countries. Customers can check in for flights, print boarding passes, check bags and flight status at delta.com.

*Subject to foreign government approval

Share this article
If you liked this article please share it with your friends    Bookmark and Share
Digg Stumble Delicious Technorati Twitter Facebook