Cruising heights november 2014 by Ethen Lagus

EXCLUSIVE: CASE OF CHENNAIâ&#x20AC;&#x2122;S BAGGAGE X-RAY SYSTEMS

CRUISING HEIGHTS www.cruisingheights.in

NOVEMBER 2014 I `90

THE NEXT

GAME CHANGERS

AL SPECI and

t Repor from iews interv utes 2014 Ro World icago Ch

Unfazed by the slow moving economic environment, ambitious entrepreneurs have ventured to start airlines

General aviators up in arms DGCA directive stopping nonscheduled operators with less than three aircraft raises hackles

Up, up and away An infographic look at the upbeat IndiGo that created aviation history when it ordered 250 narrowbody aircraft

Prepare for departures from the norm. With our E-Jets E2 program well under way, it is time for a look inside, where well-conceived design for a new generation allows passengers to enjoy their own personal territory. This “space within a space” is achieved through clear delineation, advanced ergonomic engineering, and meticulous attention to detail throughout the sumptuous cabin. All to ensure each seat – and every crew station – is a great destination in itself. Leaving normal expectations far behind.

EDITOR-IN-CHIEF’S NOTE

THE ‘FOREIGN HAND’ AT PLAY? K Srinivasan

ome years back when the Kingdom of Qatar demanded an enhancement of their bilateral agreement with India, the Civil Aviation Ministry baulked. They had been severely criticised earlier for the open season it had given Emirates, Air Arabia and Etihad. They didn’t want another round of criticism by giving into the Qatar demand. But it didn’t work. A special delegation flew to Doha to conduct the bilateral negotiations and it was led by the Principal Secretary to the Prime Minister, T K A Nair. One of the members of that delegation was the then Chairman and Managing Director of Air India, Arvind Jadhav. To cut a long story short, Qatar was given additional flying rights into India (they are now expecting some more and don’t be surprised if they mount the A380 into India like Emirates is doing so at present). Qatar was supplying huge amounts of LPG to India and that could not be risked. Their wide-bodied jets have load factors in excess of 85 per cent as they disgorge their passengers at Doha and from there fly them across the globe. Ditto for Emirates and Etihad (and whatever is left is mopped up by Fly Dubai and Air Arabia). In an equal world the multiple bilaterals to Dubai, Sharjah and Abu Dhabi is a travesty. After all if it is one country, it has to be one bilateral. But with the huge Indian population in the Gulf, the complexities of our relation with the UAE, the Indian government had no option but to buckle to the pressure from there. Of course, it was helped by the fact that Emirates and Air Arabia did some spectacular lobbying in Delhi. In a recent interview to Mail Today, Civil

CRUISING HEIGHTS November 2014

Aviation Minister Ashok Gajapati Raju said: “My predecessors (Ajit Singh and Praful Patel) have given away flying rights to foreign carriers knowing fully well that the Indian players are not able to perform and would not get any benefit in return. While foreign carriers are contributing to the growth of their respective countries, we are not.” How these rights were given away and whether it was fair or unfair is something debatable and the Minister may have a point. But what is revealing is the second part of the answer where he says, “Indian players are not able to perform and would not get any benefit in return.” That is really a shocker! Should the distribution of bilaterals be decided on the ability of our carriers to perform or on the basis of what is best for the paying passenger? After all, at the end of the day if Emirates, Etihad, Qatar, Air Arabia and Fly Dubai are choc-a-block with passengers, it is obvious that they are providing a service that pleases the paying public. The only way to take this on is with an inspired performance in the air and on the ground. For starters, maybe the Minister would like Air India to make sure that all its aircraft are fit to fly. With over 10 aircraft grounded for want of engines, what competition can it take on? Or, is it that the bilaterals are to blame for that, too?

srini@newsline.in

contents AIR PEGASUS

This is an offering that an air passenger longs for — and Heathrow Airport has done exactly that by launching its nextgeneration passenger service. The airport has deployed a team of trained helpers known as Heathrow Helpers, who will assist travellers with any request: from handing out tissues to relatives, waving-off loved ones in the departure lounge to sharing the latest restaurant openings in key destinations. Each of the helpers has been intelligently selected by the airport on the basis of their special skillsets. Said Heathrow Airport’s Chief Operating Officer, Normand Boivin: “At Heathrow, we see a wide range of passengers travelling through the airport daily, and with this comes a variety of needs and demands that must be catered for. That is why our latest trial highlights Heathrow’s endeavour to provide a unique and bespoke service to everyone using the airport. Our Heathrow Helpers will be present all week, providing passengers with that extra special treatment.” Sporting purple uniform, these assistants will be positioned all around the airport. These helpers will also be carrying tool belts that would hold the necessary equipment to cater to popular passenger needs including soft toys for younger audiences and technology chargers for business travellers. Specially, the belt will contain an iPad/iPhone charger, snacks, packets of tissues, phrasebooks, lovable toys, seafood bar champagne vouchers, caviar house, Starbucks vouchers, a copy of London A-Z, colourful tags for fliers to recognise their bags and sim cards. Other services that the team will provide are: weather updates, sports news, games to keep children amused, destination advice, charging devices, calming down nervous flyers, sunbathing advice and basic language support.

NEWBIES IN THE INDIAN SKIES p32 The Indian skies are suddenly seeing a wave of airline operators. One such airline which recently got the nod is the Bengaluru-based Air Pegasus. The airline is focused on regional scheduled air transport in the southern region covering Kerala, Tamil Nadu, Karnataka, Andhara Pradesh, Telangana and Goa. Along with Air Pegasus, other airlines are also in the fray such as AirOne and MSD aviation.

H C TIWARI

Off the cuff

Help at Heathrow

NEWS DIGEST

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Is AirAsia Group CEO, Tony Fernandes calling the shots at AirAsia India? Recent developments at the carrier are pointing to that direction. Air Costa completes one year of scheduled operations even as Virgin Atlantic presents its first Boeing 787-9 aircraft, Birthday Girl.

CRUISING HEIGHTS November 2014

SPECIAL REPORT

p26

Brussels Airports topped the charts at World Routes 2014 by emerging as the overall winner of the World Routes Awards 2014. Changi Airport Group emerged as winner in the 50 mn passengers’ category. Other airports which were also applauded at the event were Amsterdam Airport Schiphol and Frankfurt Airport.

contents ARTICLES NEWS VIEWS EDITS INTERVIEWS CLIPPINGS PROFILES NEWS DIGEST

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A recent seminar on choppers exploring its utility in oil and gas exploration and production brought some key issues to the fore. Plus: A helicopter service was recently inaugurated for the Himani Chamunda Devi Temple in Kangra district, Himachal Pradesh.

NET EXPRESS

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CRUISING HEIGHTS VOLUME IX n NO 6

Editor-in-Chief

K SRINIVASAN Managing Editor

TIRTHANKAR GHOSH

Group Consulting Editor

SITA

CHOPPERS

R KRISHNAN

According to the latest SITAATW Passenger Survey, more than 75 per cent fliers are comfortable with wearable technology that helps them in their journey. Plus: Air India gets a Twitter account. Air Vistara embraces Amadeus Altea Suite of technology solutions.

Consulting Editor

NANDU MANJESHWAR Senior Sub-Editor-cum-Reporter

PUNIT MISHRA

Correspondents

ANJANA TANWAR, NAVEED ANJUM, CHARCHIT SINGH Designers

MOHIT KANSAL, NAGENDER DUBEY Picture Editor

PRADEEP CHANDRA

SNIPPETS CARGO

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JANIN STÖTZNER

The latest figures by aviation industry body IATA shows a robust growth in air cargo volumes in August while DHL embarks upon its drone project. Boeing, meanwhile, forecasts a humongous demand for freighters; Tiruchi Airport unveils plans to export more cargo and Cathay Pacific ferries more cargo in September 2014.

HEMANT RAWAT

Director (Admin & Corporate Affairs)

RAJIV SINGH

Director (Marketing)

RAKESH GERA

Legal Advisor

IndiGo announces 10 new domestic daily non-stop flights connecting Delhi, Bengaluru, Hyderabad, Goa and Vizag. Air India starts a direct flight from Delhi to Pantnagar in Uttarakhand. In the international section, KLM Royal Dutch Airline celebrates 95 years of its glorious journey.

CRUISING HEIGHTS www.cruisingheights.in

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Recently, Lufthansa Cargo turned a couple’s wedding into a truly memorable one. The freighter let out its cargo room, the cockpit and even the engine as locations for pictures of the young couple who work for Lufthansa, one as a pilot and the other as a cabin crew.

HC TIWARI

Staff Photographer

EXCLUSIVE: CASE OF CHENNAI’S BAGGAGE X-RAY SYSTEMS

BACK PAGE

Photo Editor

NOVEMBER 2014 I `90

THE NEXT

GAME CHANGERS Unfazed by the slow moving economic environment, ambitious entrepreneurs have ventured to start airlines

General aviators up in arms DGCA directive stopping nonscheduled operators with less than three aircraft raises hackles

Up, up and away An infographic look at the upbeat IndiGo that created aviation history when it ordered 250 narrowbody aircraft

COVER DESIGN NAGENDER DUBEY

The total number of pages in this issue: 64+4

CRUISING HEIGHTS November 2014

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All information in CRUISING HEIGHTS is derived from sources we consider reliable. It is passed on to our readers without any responsibility on our part. Opinions/ views expressed by third parties in abstract or in interviews are not necessarily shared by us. Material appearing in the magazine cannot be reproduced in whole or in part(s) without prior permission. The publisher assumes no responsibility for material lost or damaged in transit. The publisher reserves the right to refuse, withdraw or otherwise deal with all advertisements without explanation. All advertisements must comply with the Indian Advertisements Code. The publisher will not be liable for any loss caused by any delay in publication, error or failure of advertisement to appear. Owned and published by K Srinivasan 4C Pocket-IV, Mayur Vihar Phase–I, Delhi–91 and printed by him at Nutech Photolithographers, B–240, Okhla Industrial Area, Phase–I, New Delhi–110020.

Endless possibilities

PERISCOPE

“There is huge potential demand in some of these smaller Indian cities. But there’s always a danger from increased competition.” DHIRAJ MATHUR, Executive Director (Aerospace and Defence), PwC India, on the potential of smaller Indian cities enhancing air travel in India

Future hub “I see India in a different way than most people see India … there’s no reason why India cannot be a hub into Europe and Africa.” TONY FERNANDES, Chief Executive Officer of AirAsia forecasting India to be a hub same as those of Europe and Africa

Super sleuth

LETTERS TO EDITOR The story, Add spices and serve… (CH, October 2014) made pleasurable reading. Low-cost Carrier (LCC) SpiceJet has staged a comeback, thanks to the stewardship of its Chief Operating Officer (COO) Sanjiv Kapoor, who took the reins of the carrier when it PACEMAKER FOR THE was in dire straits. Kapoor has taken AIRLINE WITH A HEART some very bold decisions such as better customer service, a new business model and many other measures that have ultimately helped the carrier on the road to recovery. WORLD ROUTE DEVELOPMENT FORUM FORGES CONNECTIONS

CRUISING HEIGHTS www.cruisingheights.in

OCTOBER 2014 I `90

Low-cost carrier SpiceJet needed major surgery to stop its downward spiral into oblivion and CEO Sanjiv Kapoor and his team have begun the process

GE’s got a best-seller GE9X engine for B777X will feature the composite fan blade design

Choppers turn life-savers Helicopters performed yeomen’s service to help the flood-affected in J&K

Prasad Dutta, Ranchi The Blowout at Bombardier (CH, October, 2014) was an eyeopener. I was not aware that the C-Series aircraft, bragged as the next kid on the block, would witness such a disaster. The fact that it has garnered a sizeable number of orders is proof that the airline companies believed that the aircraft would be perfect. It is also important to note that when the aircraft was launched with much fanfare: it was admired for its features such as clean-sheet design, advanced materials and latest-generation aerodynamics. Bombardier will really have to work hard for the C-Series aircraft in future if it wants to see sales of this aircraft. For the moment, however, the glitches which it witnessed do not augur well for the future of the aircraft manufacturing company. Ram Sundar Das, Hoogly Kudos to the helicopters and the pilots who played an important part in rescuing the lives of thousands who were stuck in the recent Jammu & Kashmir floods as illustrated in the story, Choppers to the rescue (CH, October, 2014). The heroics of the choppers cannot be underestimated as they played their part well. It was also heartening to know that Indian Air Force (IAF) inducted MI-26, the world's biggest helicopter, to help in the relief operations. The deployment of the MI-26 helped in the speedy repair of road bridges and other essential infrastructure, in addition to supply of essentials. Ritesh Modha, Surat All correspondence may be addressed to Editor, Cruising Heights, 20, Nizamuddin West Market, Nizamuddin West, New Delhi -13, OR mail to cruisingheights@newsline.in

“The no-fly list works for the known universe of people, but my concern is as much on the unknowns — about people who just haven't come up on anybody's radar...That's part of the challenge.” JOHN PISTOLE, US Transportation Safety Administration Administrator on security of air travellers in the US

Still possible “MH370 remains one of the great aviation mysteries. Personally, I have the concern that we will treat it as such and move on. At the most, it might then make an appearance on National Geographic as one of aviation's great mysteries. We mustn't allow this to happen. We must know what caused that airplane to disappear.” SIR TIM CLARK, Emirates CEO and President, exhorting the airline industry not to rubbish the MH370 episode as one of the great aviation mysteries

Unfit job “I’ve no interest in flying and never had. One of the great problems with the airline industry is that too many bosses are former pilots. It would be better off if they were former accountants.” MICHAEL OLEARY, Chief Executive, Ryanair, taking a jibe at airline CEOs who happen to be former pilots

Shining armour “Operating a budget airline successfully is all about execution. IndiGo has delivered on that count flight after flight, day in and day out.” KAPIL KAUL, Head the South Asian arm of airline consultancy CAPA, on the overall good show that budget carrier IndiGo has put up over the years

CRUISING HEIGHTS November 2014

Ancillary revenues: a huge draw for airlines derived from Passenger Usage Charge 30 per cent. Revenues from Advance Seat Selection stood at 9 per cent and revenue from sale of frequent flyer programme (FFP) miles was 5 per cent. Also revenues from other items stood at 13 per cent. Here is the list of top ten airlines with the percentage of ancillary revenues in 2013: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

Spirit: 38.4 per cent Wizz Air: 34.9 per cent Allegiant: 32.6 per cent Jet2.com: 27.7 per cent Ryanair: 24.8 per cent Tigerair : 23.6 per cent Jetstar: 20.6 per cent AirAsia X: 19.6 per cent easyJet : 19.2 per cent AirAsia Group: 17.6 per cent

COLD STATS

According to 2014 CarTrawler Yearbook of Ancillary Revenue by IdeaWorksCompany, Spirit Airlines topped the charts garnering higher percentage of revenue, 38.4 per cent, from ancillary services in 2013 than any of the other 58 airlines around the world that disclosed their ancillary revenues in the Yearbook. IdeaWorksCompany defines ancillary revenue using these categories: frequent flier activities, a la carte features, commission-based products and advertising sold by the airline. IdeaWorksCompany first tracked ancillary revenue activity seven years ago. Spirit emerged as a surprise package zipping past other airlines such as Wizz Air, Allegiant, Jet2.com, Ryanair, Tigerair, Jetstar, AirAsia X, easyJet and AirAsia Group. It was also evident from the Yearbook that most of the airlines that were low-cost carriers (LCCs) featured at the top. Ancillary revenue sources of Spirit Airlines were divided evenly. The airline derived most of the ancillary revenue from Checked and Cabin Baggage at 43 per cent while 30 per cent was

LOOKING GLASS

SLUGGING IT OUT – FOR A PLACE IN THE SKIES Strong diktat “EU state aid rules allow public authorities to grant support to airports where it is justified. However, duplicating unprofitable airport infrastructure or unduly favouring certain airlines wastes taxpayers’ money and distorts competition in the single market.” JOAQUÍN ALMUNIA, EU’s antitrust chief demanding that Ryanair repay illegal airport subsidies paid to Germay’s Zweibruecken airport in the form of lower fees.

Brushing aside “Ryanair has carried over 136mn passengers at the 10 airports where our commercial arrangements have been confirmed by the EU compared to just 50,000 passengers at Zweibrücken airport where the Commission suggested that the airport agreement did not comply with State aid rules.” JULIUSZ KOMOREK, Ryanair’s Director of Legal and Regulatory Affairs, questioning the EU verdict about Zweibrücken airport

CRUISING HEIGHTS November 2014

STOP PRESS

The queer case of X-ray machines For reasons best known to it, the Airports Authority of India is keen to foist dual view cargo Xray baggage inspection systems from a US-based manufacturer at Chennai Airport without following the globally accepted practice of technical evaluation of the equipment or even looking at the two other manufacturers who had bid in the tender. CRUISING HEIGHTS investigates…

wo major X-ray baggage giants – ECIL Rapiscan Ltd and Smiths Detection – have strongly protested against the violations of tender conditions with respect to a tender for supply, installation, testing and commissioning of dual view cargo X-ray baggage inspection systems for Chennai airport. Both have sent strong representations to the Airports Authority of India (AAI) and if reports are to believed they have also brought the matter to the attention of the Central Vigilance Commission with a copy to the Prime Minister’s Office. The matter assumes some importance if one takes into account the discovery of an empty grenade in the Prime Minister’s 747 and the strict instructions for a thorough pre-boarding screening both at the gate and in the baggage area. The background to the whole issue is a tender that closed in April 2014. The tender was suddenly pre-poned for no specific reason. It may be mentioned here that other tenders of a similar nature are still hanging fire and have not been finalised by AAI for over 18 months but in this case they de-

IN SIGHT: (Top) Baggage carrousel at one of the country's airports; (left and right on next page) copies of Airports Authority of India's Factory Acceptance Test document that is with CRUISING HEIGHTS which points out the non-compliance of the Tender clause on Resolution; and, (right, on next page) passengers waiting to retrieve their baggage from the carrousel

cided that this was one tender they had to turbo-charge ahead at full speed. There were three bidders to the process. Apart from the above mentioned two, a third bidder was M/s Astrophysics of the US. For this particular tender, AAI strangely decided to do away with the globally-

CRUISING HEIGHTS November 2014

accepted practice of technical evaluation of the equipment. This was a condition that the AAI has been insisting on in all previous tenders and is a critical element of the tender process that top notch security outfits like the NSG and the SPG scrupulously follow. In fact the standard operating process has always been to get the trials done before opening the financial bid in an open, fair and transparent manner. All the bidders are asked to bring their equipment to one place

ing the tender deposit with AAI. No surprise that M/s Astrophysics won the tender hands down. Rapiscan in its representation to the AAI said: “Astrophysics neither has a firm service set up in India nor has a long term contractual agreement with any service partner. This becomes more significant as we understand from the commercial bid; M/s Astrophysics has quoted the annual maintenance cost of these machines completely free of cost for the next five years. The price of the offered equipment

the AAI.” Harish Kapoor, who is the Sales Head at Smiths, said that they too had complained about the whole ‘vitiated` process and believe that “in the interest of national security, AAI must go back to the stringent process of technical evaluation that is time tested and approved and above board”. This second FAT test is a blatant violation of the tender conditions that stipulates that under no circumstances will a second test be conducted in case the first one is a failure. Not just that the BCAS (Bureau

and the Combined Test Piece (CTP) of any one of the bidders is used as for testing the machines of other vendors and vice versa. All this is done in the presence of all the bidders and nothing is hidden. Anyway to cut a long story short, AAI decided that the best way forward was to fast track the process by opening the financial bids and then conducting a factory acceptance test for the equipment of the lowest bidder. It was not there in the original tender document and AAI issued a corrigendum to its tender outlining that only a single FAT would be undertaken and any failure to clear the FAT would mean losing the contract and forfeit-

is almost one-third the cost of the other two lead bidders…” The FAT was conducted from June 9 to June 13 at the Factory Premises of Astrophysics in California by Ajai Kumar Sangal, Executive Director (IT) and M Venkateshan, Deputy General Manager (Electronics). They recorded: “Equipment was found to have several deficiencies” and in the concluding note that due to various non-compliances, “the machine could not be declared pass during FAT.” An immediate casualty of the honest assessment during the FAT test was that ED Sangal was posted out of the IT department and replaced as acting ED (IT) by P N S Khushwaha who is now scheduled to visit the US along with Venkateshan for a fresh FAT at the factory premises. Speaking on the issue, Ashish Upadhyaya, Vice President at Rapiscan said: “We are distressed at the turn of events. Obviously someone is trying to play favourites and we have presented about this to

of Civil Aviation Security) that had taken part in several meetings where efforts were made to tweak the conditions was categorical that it could not be a party to such violations. In fact, an internal record of the discussions issued in the last week of September said: “BCAS was requested to issue the suitable clarification so that the issue of testing of resolution parameters of standalone machines gets resolved. Shri B B Dash, Joint Commissioner Security (CA) reiterated that it was not possible to issue any amendment…” What the AAI wanted was for BCAS to formally approve FAT as an option and not limit the technical evaluation to real-time transparent single location process. The tender also provides for the forfeiture of the bank guarantee in case the FAT is a failure. In the present case not only is a second test being conducted there has been no forfeiture of the bank guarantee. Queries to the AAI elicited no response till the time of going to press.

CRUISING HEIGHTS November 2014

NUMBERS

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CR UNCLAIMED PROPERTY AT AIRPORTS

The Central Industrial Security Force (CISF) engaged for security cover of all airports in India, every year auctions `10 crore worth of laptops, mobile phones and handbags and other items as unclaimed property. CISF now has also begun uploading details of all lost items at airports on its website on a daily basis. “With an integrated security system in place at most airports, we are now able to quickly find lost items and even trace sto-

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As much as `100 crore was shelled-out on the construction of a modern airport at Saifai, the native village of the Samajwadi Party (SP) Supremo, Mulayam Singh Yadav in Uttar Pradesh’s Etawah district. This startling revelation was recently made public under the Right to Information Act (RTI) application filed by a

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CR SAVING ON ATF PRICE CUT

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Airline industry experts have estimated that due to the four per cent reduction in aviation turbine fuel (ATF) prices, the Indian carriers will save about `800 crore this year. As a result, the airlines which are already offering steep discounts on air fares will slash ticket prices further. Reduction of ATF has been on the radar of Indian carriers for a long time as jet fuel accounts for the highest chunk of operating costs in India. Also, fuel

CR COVER FOR VISTARA PLANES

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len ones. Unfortunately, only half of these items are restored to passengers as most do not come back to claim lost belongings. There is lack of information among passengers that they can easily get their belongings. Also many who have travelled out of the city after losing something find it cumbersome to enquire. That is why we have started putting up information on our website. People can check if their lost belongings have been found and thus stake a claim,” said Director General, CISF, Arvind Ranjan. Passengers can go to the “lost and found” section and look at all the possessions which have been found left behind at a particular airport on a certain day. CISF not only lists items but also puts up their description.

CR SPENT ON AIRPORT USELESSLY

eral Bank, in the presence of Senior Executives of CIAL and Federal Bank signed the pact.

KITCO.IN

Cochin International Airport Ltd (CIAL) recently secured a term loan of `500 crore from Federal Bank for the construction of a new international terminal next to the existing airport complex. Federal Bank has been partnering the growth of CIAL from inception. The New International Terminal, coming up next to the existing airport complex, would enhance the traffic handling capacity of the airport to meet its future requirements. V J Kurian, Managing Director of CIAL, and Shyam Srinivasan, MD and CEO of Fed-

`10

`100

CR LOAN FOR CIAL

Upcoming airline Vistara, a TataSIA joint venture, recently declared that it had secured its insurance cover from public sector insurer, New India Assurance, for `5 crore. “We have provided insurance cover to both the aircraft of Vistara. We are hopeful of providing cover to three more planes the airline is likely to bring in by next March,” a New India Assurance Official was quoted as saying. The premium amount fixed for providing the insurance cover to the five aircraft is `5 crore. The insurance cover per plane under the hull segment is $100 million, whereas it will be up to $350 million under the liability segment, the official added.

CRUISING HEIGHTS November 2014

WIKIMEDIA

`500

costs rise due to high level of taxes levied by different states. CEOs of Indian carriers recently demanded that ATF should be brought under the declared goods category.

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LAKH PEOPLE FERRIED

IndiGo, low-cost airline once again emerged as market leader ferrying 19.07 lakh passengers during the month of September, 2014 followed by SpiceJet (10.82 lakh), according to latest passenger data aviation regulator Directorate General of Civil Aviation (DGCA). Jet Airways ended up on the third spot carrying 9.72 lakh passengers ahead of Air India which carried 9.67 lakh passengers. Overall, domestic airlines ferried 58.22 lakh passengers during September as compared to 45.55 lakh passengers flown during the same period last year. An increase of close to 28 per cent. According to the data, over 10, 000 passengers were affected by cancellations and airlines had to shell `58.50 lakhs as compensation. Out of which, `27.59 lakhs was disbursed to 935 passengers who were denied boarding during September this year.

29 PIB

growth in passenger demand and revenue during the three-month period once again outstripped the airline’s capacity increase, highlighting the strength of its long-term growth strategy. Etihad Airways remains on track to achieve its strongest ever annual results, having carried 10.5 million passengers and almost 415,000 tonnes of cargo between January and September 2014.

BN FOR US BIZ AVIATION

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WWW.SOUTHAFRICA.TO

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Irish-based global register of assets, International Registry of Mobile Assets, recorded over $500bn in deals. Irish Aviation Finance acts as a legal ownership guarantee for the aviation leasing and finance industries. The company has received over 500,000 registrations involving over 110,000 aircraft, engines and helicopters. Under the terms of the Cape Town Convention, an international treaty, all aircraft-related leasing or finance agreements from 120 countries are recorded on the register. The company Aviareto, responsible for managing the register, forecasts the total value of assets involved at $500

James Hogan

BN IN DEALS

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Etihad Airways, the national airline of the United Arab Emirates, reported total revenues of $1.8 billion for the third quarter of 2014, an increase of 29 per cent year-on-year. James Hogan, President and Chief Executive Officer of Etihad Airways, said, “Our focus on organic growth, codeshare partnerships and minority investments in other airlines has continued to produce strong results, despite the prevalence of industry challenges such as volatile oil prices, economic and political instability, overcapacity in the market, and access constraints.” According to Etihad Airways, the

Lucknow based RTI activist Sanjay Sharma. `9,249.42 lakh has been spent on the construction, beautification and renovation of Saifai airport so far, the RTI revealed. “It is sheer wastage of the public money. Such a huge amount of money was wasted only to satisfy the ego of the ruling family. The common citizens of the state have not in any way benefitted from the airport,” said Sanjay Sharma.

$500

PER CENT SURGE IN REVENUES

billion. Regarding the registry, Rob Cowan, Aviareto’s Managing Director said, “It plays much the same role in the aviation finance industry as the Registry of Deeds does for the property business, and it provides a legal basis for ownership claims over aircraft. We don’t register the aircraft themselves, we register the leases and loans against aircraft.”

CRUISING HEIGHTS October 2014

US Export-Import Bank’s President Fred Hochberg said that the bank was mulling to double its $1 billion target to support general aviation through the end of its 2014 fiscal year. “We could possibly even hit $2 billion over that three-year period, which would be double the goal we set for ourselves,” said Hochberg. “Mostly, it was to make sure that smaller aircraft manufacturers and, not just commercial, also understood that we were in the game to support them globally. ” The bank recently declared that it had authorized $1.7 billion in financing to support US exports of business jets, agricultural aircraft and helicopters since 2012.

NEWS DIGEST/ALLIANCES

Star mulls tie-up with two carriers in India S tar Alliance CEO Mark Schwab recently said that Star Alliance was willing to welcome the second Indian carrier apart from Air India into its family. However, he also made it clear that the global airline alliance was not in active discussion with any airline in India. In an interview to a business daily, he said, “We have said from the very beginning that we have a two carrier policy in a market the size of India. We have many examples of large market places where we have more than one carrier. If you consider the European Union (EU) which is one big market we have many carriers operating here. Our intention in

oneworld is best alliance – again

neworld was once again adjudged as Best Airline Alliance for the second straight year in the 2014 Business Traveller awards. Besides the Business Traveller title, oneworld also has Skytrax’s World Best Airline Alliance 2014 for the second year running; Global Traveler magazine’s Best Airline Alliance in its GT Tested Reader Survey 2013 Awards for the fourth year running; World Travel Awards' World's Leading Airline Alliance 2013, for the 11th year running; Premier Traveler’s Best of 2013 Readers Survey Best Airline Alliance; and, Air Transport News' Best Airline Alliance 2013. oneworld member airlines also flew high in Business Traveller’s 2014 awards individual airline categories. While British Airways took three trophies — Best Airline, Best Short-haul Carrier and Best Frequent Flyer Programme — American Airlines was named Best North American Airline and Qatar Airways received the award for Best Business Class.

the long-term is to have two carriers at least within the Star family in India.” He said that the alliance was keeping a five-year period to bring another carrier into its fold. “I would say within the five-year horizon. I think the right way to put this is to say that we continue to have a desire to have a second carrier but right now we are not actually having any active discussion with any carriers in India,” he explained. Schwab was also quoted saying that Star Alliance had also decided to hold the meeting of its Chief Executive Board (CEB) in Delhi in December, this year. “The CEB (meet) will remain in Delhi,” he declared. The declaration of Star Alliance’s CEB meet in Delhi has put an end to the speculations that Star is snapping ties with Air India as the carrier, according to reports has not put in place the services which the alliance was asking for.

Fourth airline alliance unveiled

tihad Airways recently took a major leap diversifying its equity alliance concept when it announced a new alliance by the name of Etihad Airways Partners. The alliance comprises six airlines: airberlin, Air Serbia, Air Seychelles, Jet Airways, Darwin Airline, and Etihad Airways. Through Etihad Airways Partners, Etihad Airways aims to offer customers more choice through improved networks and schedules and enhanced frequent flyer benefits. Any airline can become an Etihad Airways partner even if it is part of an existing alliance, such as airberlin, which is a member of oneworld. Unveiling the alliance, James Hogan, President and Chief Executive Officer of Etihad Airways said, “We are broadening our business model to articulate and define a partner proposition for like-minded airlines which will result in synergies and efficiencies for participating airlines on the one side, and enhanced network choice, service and frequent flyer benefits for the consumer on the other.” “The Etihad Airways Partners logo is a seal of excellence and global cooperation. It will be displayed on aircraft and on branded materials by a group of airlines working together to connect travellers around the

CRUISING HEIGHTS November 2014

world, and increasingly to harmonise standards in the air and on the ground,” Hogan stated. Brandishing Etihad Airways Partners as totally different from legacy airline alliances, he explained that the customers would have more benefits. “The potential for network alignment to maximise flight connectivity for passengers, together with a shared passion for superior service, are central to the ethos of the Etihad Airways Partner concept. Frequent flyers will benefit from the formation of Etihad Airways Partners as it will remove the complexity and confusion that exists within the global alliances. We’re aiming to deliver a consistent experience for frequent flyers when they travel, as well as a consistent framework for earning and using their miles.” This will include standardised mileage and tier benefits across all partners, no blackout periods and priority services. Etihad Airways Partners will also have access to economies of scale and operational synergies such as centres of excellence, shared sales teams in certain destinations, joint procurement of services and supplies, and shared pilot and cabin crew training at the Etihad Airways facilities in Abu Dhabi.

Star mulls Indian airports as its hubs

tar Alliance is mulling to develop Delhi and Mumbai airports as its hubs. The project is slated to go on the floors next year. “We are looking at developing Delhi and Mumbai as our seamless hubs for transferring passengers with ease from international to domestic flights, domestic to international and international to international,” said Star Alliance Vice President (Customer Experience and IT) Justin Erbacci.

Elaborating more on the project, Erbacci stated, “Facilities like lounge access for Star Alliance business or first class travellers, through check-in to final destination, airport signages and streamlining of baggage handling would be provided at these hubs as “customer satisfaction is the topmost priority.” Erbacci said that Star Alliance would need Air India's support for establishing a hub at its home country adding that a decision on whether Delhi or Mumbai airport would be developed first was expected to be taken by the year end. He also said that six to eight months would be required for the seamless hub project. The Star Alliance is also planning to expand its 'seamless hub' project next year in cities such as Narita, Sao Paulo, and Los Angeles, apart from Delhi and Mumbai, Erbacci informed. The alliance already has hubs at airports like Chicago, San Francisco, Houston, Newark, Toronto, Frankfurt, Johannesburg, Istanbul and Cairo, besides Beijing and Bangkok in Asia. Justin Erbacci also praised Tata Consultancy Services (TCS)'s contribution in developing database which will help Star Alliance recognise customers who are gold and silver members more easily than in the past. “This application makes it much easier for passengers to get their miles quicker and with more accuracy than before,” Erbacci said.

Code-share Air Costa enters into pact with VietJet I n the backdrop of recent visit of the Prime Minister of Vietnam Nguyen Tan Dung to India, Air Costa and VietJet have entered into a MoU to initiate discussions on exploring future opportunities of working together. Lingamaneni Ramesh, Chairman of Air Costa wished good for the occasion and said that MoU will entail exploring opportunities such as code-sharing, partnership and financial collaboration.The signing of MoU took place during the India-Vietnam Trade and Investment forum at New Delhi, which was organised by CII, FICCI and ASSOCHAM.

AI code-shares with Air Astana A ir India entered into the 'free flow' code-share pact with Kazakhstan's national carrier Air Astana. According to the Air India release, under the free-flow code-share pact, Air India would codeshare as a marketing carrier on flights operated daily by Air Astana on the DelhiAlmaty-Delhi route. With this code-share agreement, Air India has opened its second gateway to CIS countries after it launched flight services to Moscow, making inroads into the Russian market, the release said. “As a state-run airline and Star Alliance member carrier Air India feels honoured to enter into this code-share agreement with Air Astana. This agreement has

enabled Air India to reach out to the CIS and eastern European market,” said Rohit Nandan, CMD, Air India. This code-share agreement would also facilitate strong flow of corporate traffic from professionals working in the oil and gas, pharmaceutical and information technology sectors, besides Indian students studying in the Central Asian Region, the release further added. Air India already has code-share partnerships with 14 other airlines across the globe and Air Astana would be its 15th such partnership.

SriLankan, Qantas tie up A

new code-share agreement between SriLankan Airlines and Qantas Airways which was announced in September 2014, came into effect from October 26. Passengers travelling to/from Australia on Qantas will have the opportunity of connecting to/from SriLankan Airlines’ thrice daily service from Singapore to Colombo. SriLankan will offer its customers travelling to Australia via its common gateway in Singapore, the benefit of connecting to Qantas’ daily services between Singapore and Brisbane and Melbourne and its double daily services to Sydney. Passengers can now enjoy the convenience of a single ticket, interlined luggage and earn frequent flyer miles CRUISING HEIGHTS November 2014

all the way in both directions. The new code-share agreement is expected to be a boon for the large Sri Lankan expatriate community in Australia, who could avail themselves of the enhanced connectivity and convenience of travel when visiting friends and family in Sri Lanka. SriLankan has recently increased flights to Singapore from twice daily to thrice daily and as a result passengers to/from Australia will now have very good connectivity when they choose to use these code-share flights.

NEWS DIGEST/SMALL

SAA goes the AI way S

eroflot will name its new low-cost airline Pobeda, or Victory, a symbol of defiance against Western sanctions over Ukraine that grounded the budget carrier's predecessor. Aeroflot’s previous attempt at a low-cost airline, Dobrolyot (Good Flight), suspended operations in August, just two months after its first flight. Its aircraft lease agreement was cancelled under European Union sanctions because it flies to Crimea, which Russia annexed from

Ukraine in March. Aeroflot vowed to register a new airline and a person in the company said it will be called Pobeda, a word associated in Russia with victory in World War Two, a source of national pride and a symbol of the country's military might. Aeroflot plans to launch Pobeda ticket sales on November 1 and begin flights mid-month. The carrier will fly from Moscow to eight Russian cities but not to Crimea.

AEROFLOT

SOUTHAFRICA.TO

outh Africa would consider a strategic partner for struggling state-run airline SAA. South African Airways, which has received two government bailouts totaling ZAR10 billion rand ($ 910 million), was recently rebuffed for another cash injection. Privatisation is considered a dirty word among many of the ruling party’s Labour and Communist alliance partners, and Africa’s second-largest economy has trodden carefully around the issue in its economic policies since the end of apartheid in 1994.

Fourth airline alliance unveiled A

Pilots complain about Drones

n organisation representing thousands of commercial pilots in the US and Canada says it is concerned about the safety implications of Amazon flying drones at a site near Seattle. The Air Line Pilots Association (ALPA) says because the test site is close to densely populated areas with large amounts of commercial air traffic, the likelihood of an accident is increased. Amazon is exploring the use of drones for package delivery and has asked the Federal Aviation Administra-

tion for permission to test them near its headquarters in Washington state. The company said it might be forced to take drone research and development overseas if the FAA doesn't grant its application. The ALPA comment came in a letter sent to the FAA recently that demanded Amazon provide specific details of every planned drone operation and the efforts it is taking to minimise the risk of an accident, if the flights were to go ahead. “If the FAA were to grant this exemption for a private test site facility, the FAA's oversight task is increased,” it said. Drones currently fall within a grey area of US law. The FAA has claimed regulatory control over them and given private pilots and hobbyists many of the same freedoms they enjoy with model aircraft while prohibiting businesses from using drones for commercial use.

Back to business in Iran B oeing has ended a 35-year break in business with Iran, supplying the country’s national flag carrier with a cargo of aircraft-related items. But the sale did not include spare parts for Iranian aircraft as promised by Washington following last year's nuclear deal between Iran and six world powers.“During the third quarter of

2014, we sold aircraft manuals, drawings, and navigation charts and data to Iran Air,” Boeing said in its quarterly report. This is the first time that the American company has sold safety items to Iran Air since the 1979 Islamic Revolution. The business deal brought Boeing $120,000 in revenue, the report added.

CRUISING HEIGHTS November 2014

Qantas says off with the iMacs Q

antas has removed most of the Apple iMacs from its three Sydney airport domestic lounges as part of a month-long trial to see if today's laptop-lugging and tablet-toting business travellers really need desktop computers. The Qantas Club, Qantas Business Lounge and even the invitation-only Qantas Chairman's Lounge are now largely desktop-free zones, except for a handful of iMacs. The lounges, all have wireless printers which can be accessed on any Windows or Mac laptops as well as from iPads. In addition, there are five Apple iPads available for short-term loan at each lounge. Qantas says the trial will run until late November, after which the airline will evaluate if other lounges around Australia should have most or even all of their iMacs carted away.

‘Heathrow expansion good for business’ H SIA laps up Tigerair S

ingapore Airlines (SIA) raised its stake in Tiger Airways Holdings from a previous 40 per cent to 55 per cent implying a bail-out for the loss-making Tigerair Group. The move by Singapore Airlines comes close on the heels of the Tigerair’s group loss of $177 million in the year ended March 31, 2014. “Many of the issues (leading to Tigerair’s losses) came from JVs (joint ventures) which simply didn’t work,” said Tiger Airways’ CEO Lee Lik Hsin. “That is about to change.” Another major plan which is believed to prove instrumental for the bail-out of Tigerair is the sale of the remaining 40 per cent of Tigerair Australia to Virgin Australia. Tigerair Australia has not seen profits for the last two years. Said Virgin Australia CEO John Borghetti: “Given the ongoing subdued consumer demand in the Australian domestic market, the growth of the Tigerair Australia domestic fleet is likely to be reduced.”

Visionary airport: Adelaide

ROBERT FROLA/FLICKR

eathrow’s expansion plans got a push recently when a lobby representing over 40,000 businesses from across the UK emphasised the John Holland-Kaye unique benefits that a stronger hub at Heathrow would bring to businesses in Britain. Heathrow CEO John Holland-Kaye said, “More and more people across the UK are recognising the critical role Heathrow plays in the success of the British economy. Business is telling the Commission that Heathrow is geographically in the best location, is the only airport that can deliver flights to the world's growth markets and the only option that has exports front and centre of its expansion plans.”    “With over 25 per cent of all British exports going through Heathrow, compared to only 4 per cent at Gatwick, businesses up and down the country are making it clear that Heathrow is the only option that can help Britain with the race for growth,” Kaye noted.

n an ambitious plan, Adelaide Airport disclosed its 30-year vision to emerge as business hub for the Asia-Pacific region. Said Mark Young, Managing Director of Adelaide Airport Ltd, “Adelaide Airport's vision is to be a top tier airport business centre in Asia Pacific, recognised for delivering exceptional outcomes to our customers, partners, shareholders and community. The investment will be spent on tripling aerobridge capacity, an expanded business district and an embedded hotel.” Enumerating Adelaide Airport’s achievements, Young stated, “For us, top tier doesn't mean being the biggest. Our international services are up by 23 per cent in 2013-14 – more than three times our nearest competitor. Over the past three years our international seat capacity has increased by almost 70 per cent.”

A toolkit for aviation cyber security A

Four in a row I

n what is believed to be an unprecedented event, Qatar Airways took delivery of four Boeing widebodies on the same day towards the end of October. “On Monday (27 October), we took delivery of four Boeing aircraft – three 787s and a 777,” said Qatar Airways Group Chief Executive Akbar Al Baker, speaking at Flightglobal’s Aviation Partnership Summit in Madrid. “Each of them was on their way to Doha at 15min

management as well as technologies for electronic flight bags, e-enablement of aircraft and air traffic management. “The aviation industry depends on essential IT infrastructure functioning reliably. While the industry has put in place best practices to protect its IT infrastructure, the threat is ever-evolving. The Aviation Cyber Security Toolkit provides guidance to help airlines and their partners stay one step ahead of those with intent to do harm through cyber-attacks,” said Carolina Ramirez, IATA’s Global Director of Aviation Security and Facilitation.

intervals.” Al Baker said the simultaneous acceptances were unprecedented: “Never in the history of an airline have so many aircraft been taken in just one day.” Qatar Airways holds orders for 94 777s and 30 787s. Later this year, the oneworld carrier will become the first customer to receive the Airbus A350, with deliveries due to commence in December this year.

CRUISING HEIGHTS November 2014

QATAR AIRWAYS

viation Cyber Security Toolkit — a new product launched by International Air Transport Association (IATA) — will help the air transport industry, including airlines, airports and air traffic management, to identify, assess and mitigate, among others, cyber risks in IT infrastructure across their operations. The toolkit provides a detailed analysis of the current cyber threats and helps airlines and aviation security stakeholders identify ways to protect their critical IT infrastructures. These include reservation systems, departure control, aircraft maintenance, crew planning and flight

PANORAMA

MOOD

INDIGO

There is only one carrier that has dominated the domestic aviation scene for well over eight years and it is IndiGo. As the largest and fastest growing airline in the country, the InterGlobe Aviationoperated IndiGo stands out for three things: on-time performance, affordable fares and a hassle-free travel experience. CRUISING HEIGHTS takes an infographic look at the IndiGo journey on the heels of its history-creating order of 250 planes from Airbus

2006 4: IndiGo announces launch of operations with its 44August inaugural flight from Delhi to Guwahati.

December 8: Expands route network from Delhi and introduces flights to Goa, Jaipur and Kolkata.

14: Announces grant of CAT-111 from DGCA to 44December operate in fog conditions.

44December 22: Takes delivery of its sixth brand new A320. 2007

44June 20: Creates Indian aviation history by acquiring 10th aircraft in a period of 10 months.

2008 10: Announces promotional offer of `500 (one way 44January fare).

2009

44April 16: Launches flight status service on mobile. June 18: Achieves best on-time performance among national airlines.

2010

44August 12: Is ‘Best Low Cost Airline’ at TAAI Travel Awards, 2010.

16: Partners with fashion designer Rajesh Pratap Singh 44August for the uniform and stylist Ambika Pillai for the make-up, hair, and “model looks” for crew.

44September 2: Wins NDTV Profit Business Leadership Award 2010.

44September 3: Takes delivery of 25th A320. 44September 18: Named ‘Best Low Fare Airline - Domestic’ by Air Passengers Associations of India (APAI).

18: Notches third spot in terms of marketshare 44November among domestic airlines; exactly a month later is in second spot in marketshare.

Kapil Bhatia

Rahul Bhatia

R Gangwal

INDIGO TWEAKS SHAREHOLDING PATTERN IndiGo is in the process of restructuring the shareholding model ahead of its upcoming initial public offering (IPO). Rakesh Gangwal, one of the company’s promoters will be converting his shareholding, now held through Caelum Investment Llc, a foreign company, into NRI or non-resident Indian holding. IndiGo has listed Caelum, which means its stake is considered as foreign direct investment (FDI). Gangwal holds a stake of 47.883 per cent in InterGlobe Aviation, the company which owns and operates IndiGo. While Rahul Bhatia, another promoter owns a majority stake in the airline at 51.2124 per cent. He also owns 0.013 per cent in the airline in his individual capacity. Shobha Gangwal, wife of Gangwal holds 0.473 per cent stake, Asha Mukherjee, Gangwal’s sister holds 0.488 per cent stake. Rohini Bhatia holds 0.003 per cent (Rahul Bhatia’s wife) and Kapil Bhatia (father of Rahul Bhatia) owns 0.016 per cent stake. Indian law lets foreign airlines to invest up to 49 per cent in an Indian airline. Also, according to the Indian law, a foreign company can also own up to 49 per cent in an airline. And most importantly, NRI is allowed to hold 100 per cent in an airline.

(L-R) IndiGo created industry history twice in four years: the first by placing an order for 180 planes and the latest for 250 A320neo jets. “Ordering more A320s was the natural choice to meet India’s growing flying needs. The opportunity to reduce costs and to further improve our environmental performance through the A320neo were key to our decision.” said Rakesh Gangwal and Rahul Bhatia, co-founders of IndiGo, on the commitment to 180 A320s, largest jet order in aviation history (January 11, 2011); Artist impression of IndiGo's A320neo aircraft; To cater to the rising demand for aviation training facilities in India, InterGlobe Enterprises and CAE, a Canadian civil and military aviation simulation training company, launched the country’s largest pilot simulation training facility in Greater Noida, Uttar Pradesh; and, IndiGo crew pose with their hip and youthful uniforms.

2011

44January 13: Creates history by placing order for 180 single-aisle A320s.

INDIGO’S GIANT LEAP FOR INDIAN SKIES

IndiGo again demonstrated its dominance in Indian skies by ordering 250 Airbus A320neo aircraft recently. Touted as the largest aircraft order in the history of Airbus, the order comes close on the heels of IndiGo’s initial public offering (IPO) next year. The order is valued at $25.5 billion at list prices. “By 2026, all the remaining 431 aircraft will also be delivered,” said Aditya Ghosh, President of IndiGo. “The first 180 will be delivered over a period of seven to eight years from 2015 and these 250 between 2018 to 2026.” Before this, IndiGo had made two mega orders for Airbus aircraft — for 100 A320s in 2005, and 180 planes (30 A320s and 150 A320neos) in 2011 at Paris airshow. IndiGo currently operates 83 Airbus aircraft. It commands the marketshare of 32.6 per cent and it operates 534 daily flights. It garnered the net profit of `317 crore in the fiscal year 2014. IndiGo has performed consistently ahead of its Indian counterparts. In 2011, the company introduced first foreign flight to Dubai from Delhi. In 2012, it introduced more flights to foreign destinations such as Bangkok and Singapore along with Dubai also. In 2013, it expanded its domestic network by launching 14 new flights including first new daily non-stop flight between Bengaluru and Guwahati; between Bengaluru and Agartala via Guwahati.

15: Goes international by starting services from Delhi to 44June Dubai.

2012

44February 10: Takes delivery of its 50th A320. 44March 28: Achieves highest passenger load factor in March. 44June 28: Becomes first airline in India to implement Required Navigation Performance (RNP).

7: Wins best low-cost airline in Central Asia/India for the 44July third time in a row in World Airline Awards 2012 at Farnborough Airshow.

44July 9: Inks agreement with Pratt & Whitney for PurePower

PW1100G-JM engines for 150 Airbus A320neo family aircraft.

14: Rajesh Pratap Singh designed IndiGo pilots uniform 44November launched.

2013 12: Emerges as most Trusted Airline in India by Trust 44February Research Advisory that ranks India's Most Trusted Brands.

44March 1: Launches 8 new flights on domestic network; adds new frequencies on Dubai and Singapore routes.

44June 18: Adjudged ‘Best Low Cost Airline in Central Asia & India’ at the World Airline Awards 2013, four years in a row.

44November 18: Adds Bagdogra as its 30th domestic destination. 44December 2: Trumps Jet Airways as Most Preferred Domestic Airline in third edition of India Airline Experience Survey 2013.

2014

44February 10: First Indian airline to partner with Fair Climate Network for Low Carbon Rural Development.

44May 22: Awarded for ‘Best Operational Excellence Worldwide 2012-2013’ by Airbus.

44October 15: Creates history by signing MoU for 250 A320neo aircraft; it is single largest Airbus aircraft order to date.

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Vistara’s ready for the show

PHOTOS: VISTARA

arking the 82nd anniversary of JRD Tata’s first commercial flight from Karachi to Mumbai, Vistara recently welcomed its first A320 aircraft painted with the airline's livery. The aircraft landed at Delhi’s Indira Gandhi International Airport and was welcomed with the traditional water cannon salute. This was followed by a reception at the airport lounge attended by officials from Delhi International Airport (P) Limited (DIAL) and Vistara. The arrival of the aircraft was a significant milestone that took Vistara closer to its operational launch. The logo in aubergine and gold reflects the core values and philosophy of brand Vistara i.e. excellence, innovation, thoughtfulness, teamwork and trust. Commenting on the occasion, Prasad Menon, Chairman, Vistara, said that there could be no better way to celebrate the 82nd anniversary of a significant milestone in Indian aviation – the first commercial flight of Tata Airlines that was piloted by the legendary JRD Tata. “Each step in this journey brings us closer to the realisation of Vistara, an airline that will redefine the air travel,” he said. Dr Mukund Rajan, Director on Board,

IMPORTANT MILESTONE: Top brass of Air Vistara and Delhi Airport during the unveiling of Air Vistara's first A320 aircraft with livery; (inset) Phee Teik Yeoh (in the middle), CEO, Air Vistara showing the victory sign after taking delivery of the Air Vistara's first A320 aircraft with livery

TSAL mentioned that Vistara’s partnership with GMR/DIAL stemmed from the common belief in the highest standards of service and would play a key role in shaping great customer experiences. “Having chosen Delhi as our home hub, I am pleased that Vistara has commenced a wonderful working relationship with GMR/DIAL,” he said. Phee Teik Yeoh, CEO, Vistara, was happy to see “the first painted aircraft here. The fact that it coincides with the 82nd anniversary of JRD Tata’s first commercial flight in India makes it even more historic”. He also said that the team at CRUISING HEIGHTS November 2014

Vistara had been working hard and it was heartening to see a physical manifestation of the efforts. “With this, we are a step closer to realizing our dream of getting the airline off the ground,” he pointed out. Srinivas Bommidala, Chairman, GMR Airports and I Prabhakara Rao, CEO, GMR thanked the Vistara leadership for reposing their confidence in DIAL and GMR and for having chosen Delhi as their base and hub of operations. The presence of Vistara would provide more full service carrier options to passengers and would positively contribute to the growth of traffic at Delhi International Airport.

HC TIWARI

Tale of two CEOs: Who's the boss?

FROM OUR FILES: AirAsia Group CEO Tony Fernandes along with AirAsia India CEO Mittu Chandilya addressing mediapersons during a press conference in August last year

irAsia India's CEO, Mittu Chandilya, and Group CEO, Tony Fernandes, are known to continually change the airline's plans, strategy, and forecasts. Fernandes, who was earlier at Mumbai, announced publicly AirAsia's plans of flying to Tier-I cities of Mumbai and Delhi, effectively discarding their earlier strategy of keeping away from mature markets while tapping virgin routes which held much promise. This was announced by Tony Fernandes — not Mittu Chandilya — raising eyebrows on who really has been running the show at India. With most of Mittu's tweets focused on his personal life, or the parties and functions he attends, today he hardly comes across as the airline's CEO on the social media front — making everyone turn their heads to Fernandes for some real airline news. Chandilya recently announced that the airline was profitable on four out of five routes it flies, implying Bengaluru-Goa, Jaipur, Chandigarh and Cochin — and loss making on the Bengaluru-Chennai route. This was published in Cruising Heights, with market information and intelligence pointing to dismal load factors on the Chennai route.

He also stated that the airline would A320-216SL aircraft, registered VT-ATD, break even next year with the sixth aircraft, at Toulouse. This time however, AirAsia effectively discrediting his earIndia seems cautious about announcing lier stand on a self-imposed its routes early, fearing a swift four month break even response from competitors like target. Difficult times IndiGo. Judging by IndiGo's are reflected in the new routes, it seems like Chandilya airline's low domesAirAsia's next few desrecently announced tic load factors in tinations over the comthat the airline was September — the ing months may include profitable on four out lowest — of 68.7 Pune, Vishakhapatof five routes it flies, per cent while all nam, Delhi, Guwaimplying Bengaluruother operators hati, Hyderabad and Goa, Jaipur, Chandiwere at or above 75 Trivandrum. The 5/20 per cent. The trick to (Five Years of Operation garh and Cochin LCC sustainability is and Twenty Aircraft) rule targeting load factors in implemented by the Ministry lean seasons and maximising of Civil Aviation is hoped to be yields in the peak season. SpiceJet, dissolved, but AirAsia's competitors are in contrast, recorded a load factor of 85.9 fighting to keep it. Tony Fernandes is undeper cent in the same period. terred and he is confident of flying internaThe break even forecast also means that tional out of India with Malaysia AirAsia the airline will end CY2014 with between 4 and AirAsia Thailand. The bigger question, and 5 aircraft, with the third aircraft expecthowever, is: If the 5/20 rule is dissolved, ed by October-end followed by two aircraft AirAsia India and AirAsia Malaysia/Thaitowards November-end. Earlier targets for land could together usurp a major share of a larger fleet by the end of the calendar the bilaterals — from both sides — giving year stand revised downward. Apparently, AirAsia an unfair advantage in dominating a fuel leak issue is keeping the third Airbus lucrative international routes? CRUISING HEIGHTS November 2014

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ABOVE GROUND LEVEL 

AIRASIA.COM

UNLICENSED PILOTS IN THE DRIVER'S SEAT

Are the Indian skies safe? As many as 350 commercial pilots have been flying with invalid licences. The pilots, it is believed, have failed to appear in exams that have to be taken after every few months to remain qualified to operate in the cockpit. A senior official close to the development said recently that “all Indian carriers — Air India, Jet, SpiceJet, GoAir and IndiGo (in this order)—have some pilots who have not completed all checks required to keep their flying licences valid”. While Jet and AI have 131 and over 100 such pilots, respectively, the three low-cost carriers have almost 100 cases. In fact, AirAsia India and Air Costa have also been asked to inform if they had such pilots. The incident has led aviation regulator Directorate General of Civil Aviation (DGCA) to chart out a plan of action against carriers by asking them to first finish the required training of pilots in a time-bound manner. Heads of training department of these airlines will also have to face action from DGCA. According to the DGCA guidelines, Pilot Proficiency Check (PPC) test is required to be given every six months and pilots are not supposed to fly without a valid PPC. SAAB DEPLOYS A-SMGCS AT FIVE AIRPORT Airports Authority of India (AAI) has selected SAAB, a Defence and Security company, to deploy Advanced–Surface Movement Guidance and Control Systems (ASMGCS) at five airports in India. The Saab A-SMGCS will enhance situational awareness and runway

TIME TO CELEBRATE: Top brass of Air Costa addressing mediapersons during the press conference held on the eve of Ist anniversary of the carrier recently

Year old Air Costa’s ready to streamline operations and fly abroad

ir Costa completed one year of fly to Delhi and Mumbai in the first finanscheduled operations on October cial quarter of next year. The airline's fifth 15, 2014. In a period of one year, aircraft is expected in March, and a deeper the airline has grown its fleet size to four focus on pilot training and pilot retention aircraft, comprising two 112 seat Embraer will ensure there are more than sufficient E190 and two 67 seat E170 — all crew to fly five aircraft. leased. At the end of SeptemAir Costa's strength lies in its ber, the airline had flown ability to both open up and 3,90,000 passengers economically-viably operIn a period of since January 1, 2014. ate between long and thin At a small press city pairs that do not one year, the airline conference held have sufficient demand has grown its fleet by the airline at to cater to a 180-seat size to four aircraft, Vijayawada, Air jet. The airline pulled comprising two 112 Costa's Chief out of Madurai – a short seat Embraer E190 Financial Officer distance destination, and two 67 seat E170 Vivek Choudhary and recently inaugurated — all leased presented the airline's a direct Chennai-Jaipur performance indicators return service. Air Costa and other figures, includbecomes the only airline to ing the airline's present headoperate a direct service between count of 741 people, which breaks these two city pairs, connecting two citdown to a headcount-airplane ratio of 185. ies of economic importance with a right This number includes around 80 pilots, of capacity aircraft. which around 40 are flying the airline’s The airline is pinning its hopes on the four aircraft. The other 40-odd pilots 5/20 rule being abolished, so that it can include trainee pilots and other first officers fly international. The airline is said to be who will soon fly online. Eventually, as the considering a ‘Boeing or an Airbus’ to fly airline grows, the headcount per aircraft the international routes. Air Costa managewill fall, to around 100 or lesser. ment is successfully and gradually stabilisHaving survived the first year of operaing the airline. tions, despite numerous up and downs, and Load factors for the month of Septemplacing a firm order for 50 second generaber stood at 76.4 per cent, a more than 10 tion E-jets seem to reinforce the promoters’ per cent jump over the figures in July and commitment to the airline. Further reinAugust, and beating AirAsia India's figures forcing their vision, Ramesh L, Chairman for the first time since the competitor-ofof Air Costa, said that the airline planned to sorts’ launch. CRUISING HEIGHTS November 2014

SpiceJet load factors on upward trail

piceJet's Q2 FY15’s results are much awaited. Analysing data from the last five financial years, it is evident that the net profits (or loss) of SpiceJet move in sync with the airline's passenger load factors, although by a nonconsistent factor. This is primarily due to the net profits being affected by factors external to the airline, such as cost of fuel, and yields associated with lean and peak seasons. The generally observed trend is that the positive difference between SpiceJet's average quarterly load factor and the entire domestic airline industry’s average quarterly load factor has an effect on strengthening profits or softening losses. Where the airline’s load factors have been below industry average, the airline has recorded significant losses. It may also be observed that Q3 and Q1 are strong quarters for the airline, with Q3 being the stronger of the two. Q2 and Q4 are lean seasons, with Q4 being the leaner of the two. The exception to these observations are seen in Q3 ‘13 and Q1 ‘14. Q3 ‘13 was when Kingfisher Airlines collapsed, and this allowed airlines to charge high airfares, positively impacting yields even at lesser loads. The vacuum left behind by Kingfisher was evident in Q1 ‘14 as well. Q2 ‘14 saw the airline picking up some extra-ordinary costs due to maintenance. Focusing on Q2 ‘15 — the quarter that just passed us — the average load factor for SpiceJet stood at 82.5 per cent, or 8 per cent above industry average — the highest in the five-year window under consideration. This 82.5 per cent is also the third highest in the window, and the highest

ABOVE GROUND LEVEL 

HC TIWARI

SpiceJet's COO Sanjiv Kapoor

among Q2s across the history of SpiceJet, which started operations in May 2005. Considering certain one-time costs associated with aircraft return, other restructuring expenses, effects of previous losses, and the low-yield effect of a lean season, the airline may not report a profit in Q2, but may report a low, three-digit loss. Based on the observed trend, the airline's load factor in Q3 may touch or exceed 90 per cent in December, leading to very high average load factors. The load factors, combined with the high yields of Q3, and low fuel prices, may see SpiceJet posting a profit in Q3. Says Sanjiv Kapoor, Chief Operating Officer of SpiceJet, “In the low season it is load factor-driven strategy, while in the high season it is a yield driven approach to maximise RASK.” RASK — revenue per available seat kilometre — is a true measure of profitability, assuming a fixed cost base. CRUISING HEIGHTS November 2014

safety at these growing airports. Saab will be deploying its A3000 A-SMGCS, Saab multilateration and SR-3 Surface Movement Radars (SMR) to Ahmedabad, Amritsar, Guwahati, Jaipur, and Lucknow Airports. The A3000 ASMGCS will fuse multilateration and SMR surveillance data to provide air traffic controllers with precise surveillance of the airports’ runways and taxiways, along with the identification of aircraft. In addition, the A-SMGCS will feature Safety Logic runway incursion detection and alerting algorithms to provide controllers with advanced warnings of potential runway incursions. The A-SMGCS will also include functionality for AirportCollaborative Decision Making (ACDM) initiatives. Previously, Saab had deployed A-SMGCS to Chennai, Kolkata and Mumbai Airports and an A-SMGCS, multilateration and SMR to Indira Gandhi New Delhi Airport. V Somasundaram, Board Member (Air Navigation Services), AAI, said, “In our continuing focus on upgrading ANS Infrastructure to meet the anticipated air traffic growth, AAI has taken up the installation of A-SMGCS at 5 airports which will enhance the ground surveillance leading to improved access and enhanced safety of aircraft operations at these airports.” BULLET-PROOF PODIUMS AT TIRUCHI AIRPORT Tiruchi International Airport has upgraded the security with the installation of bullet-proof podiums at the terminal building. The portable podiums have been placed

for the Central Industrial Security Force (CISF) personnel to guard the airport from any outside armed attack. In total, four bullet-proof po-

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ABOVE GROUND LEVEL  diums have been installed with two equipped cabins placed at the entry points of the departure and arrival sides and the other two deployed inside the terminal building. Every podium has three minor openings for the CISF armed personnel to position his weapon directed towards the ‘target’ in kneeling position. The six-foot high podiums with bulletproof glass have been made with thick metal through which bullets cannot pierce. AVIATION SECURITY EQUIPMENT AT INDIAN AIRPORTS SOON An agreement has been signed between Airports Authority of India (AAI) and US Trade & Development Agency (USTDA) for development of Aviation Security Equipment Testing and Evaluation Programme. This

TOP FLIGHT: Sir Richard Branson speaking after 'Birthday Girl' landed at Atlanta and (below) interior of the Virgin Atlantic's Dreamliner's Upper Class cabin with mood lighting

Sir Richard’s Birthday Girl flies high irgin Atlantic’s first Boeing 787 aircraft, Birthday Girl took to the skies on October 23, flying from London to Atlanta on a special celebration flight. Guests on board included BRIT Awardwinning 4-piece Rudimental and hit-makers Gorgon City. The two London based bands performed the first ever gig to be live streamed from over the Atlantic Ocean to the world and a plane packed full of VIP guests and an exclusive audience of super fans who won spaces on the flight. CRUISING HEIGHTS was invited for the inaugural journey. Also on board was TV chef Lorraine Pascale. Best known for her hit TV series and recipe books, Pascale worked with the team at the airline to create signature dishes for Virgin Atlantic’s Upper Class pas-

AAI

V (Centre) V Somasundaran, Secretary, MoCA, John Mccaslin, Minister Councillor, US Embassy, during signing of agreement between AAI and USTDA for development of ASETP

will enable AAI and Bureau of Civil Aviation Security (BCAS) to create clear standards, specifications and testing procedures specific to India’s own standards of aviation security and also in alignment with international best practices for three types of aviation security equipment that are designed to scan carry-on luggage, checked baggage and aircraft passengers i.e. checkpoint X-ray, Computed Tomography Xray explosive detection system and body scanner technologies. MYSORE AIRPORT GETS ‘THIRD EYE’ Mysore Airport at Mandakalli is going to install TV cameras to help the security personnel keep a better watch on the airport complex. The Airports Authority of India (AAI) recently launched the works on installing 35 local circuit TV cameras at the airport. The work launched recently at the terminal centre, at

CRUISING HEIGHTS November 2014

sengers along with a variety of children’s meals to be served throughout every cabin. Dishes on-board will include Lorraine’s “Marvellous” mac’n’cheese with pancetta, Sweet & sour pork balls with sunshine rice and “Mum’s” chili con carne with calypso rice. Her new menu was officially launched on services leaving the UK from October 28 but as a special one-off all guests on board the celebration flight to Atlanta had the chance to experience her new dishes in every cabin. Birthday Girl started her first commercial flight to Boston on October 26 and other Dreamliners will be deployed on other key London to US East Coast market initially, with subsequent services between Heathrow and Washington, Heathrow and Newark and Heathrow and New York JFK scheduled to start in the following five months. The first flight from London Heathrow to Boston signaled the arrival of the airline’s new £2bn fleet of 16 aircraft. Bringing a unique design and customer experience offering as well as commercial and environmental benefits, the new 787s will be delivered over the next two years. Reuben Arnold, Brand and Customer

ABOVE GROUND LEVEL  an estimated cost of `one crore, are at final stage. The installation of the cameras is expected to be completed by December. Of the total cameras, around 20 of them will cover the lounge, 12 will be installed at the terminal building, followed by the main gate and parking lot. They will cover a radius of three km to five km within the boundaries of the airport.

WHAT A PARTY!: Country singers regale the specially-invited fliers at Gatwick Airport prior to the departure for Atlanta and (inset) 'Birthday Girl' shows her nose

Experience Director commented: “These new aircraft have given us a real opportunity to look at the design and customer proposition on-board. We really wanted to showcase the sense of spaciousness that the 787 offers and to reflect Virgin Atlantic’s unique style and flair. We have introduced a clean finish along with a sophisticated colour palette and installed full RGB mood lighting that brings atmosphere and drama to the cabins. Customers will also find a few Virgin touches throughout including the design of the Flying Lady and our new Wander Wall, a new social space in Premium Economy”. The first aircraft has been named “Birthday Girl” in celebration of the 30 years since the airline’s inaugural flight across the Atlantic from London Heathrow to New York, Newark on June 22, 1984. Birthday Girl features some very special paintwork — for the first time ever, customers will see the face of the iconic Virgin Atlantic Flying Lady as she is now displayed face on and carrying a celebratory champagne coupe. The first Virgin Atlantic 787 Dreamliner has a suite of new technologies onboard. Dave Bulman, Director of Technology commented: “The 787 is a revolutionary aircraft and new technology allows it to perform more efficiently than any other aircraft of its size. We recognise that technology is an extremely important part of a customer’s journey, whether they are flying for business or pleasure, and this aircraft has

given us a fantastic opportunity to look at what we can offer our customers onboard. We have been working really hard with our partners at Boeing and Panasonic to bring connectivity across all our cabins as well as updating our revolutionary touch screen inflight entertainment.” The 787 Dreamliner saw Virgin Atlantic roll out Vera Touch 2 in-flight entertainment system throughout all cabins, boasting over 400 hours of carefully curated, on demand award-winning entertainment. The cutting-edge next generation eX3 system from Panasonic features a widescreen smart monitor at all seats with a capacitive touchscreen interface allowing passengers to access content in just a few swipes and clicks. The IFE also boasts a new Skymap from Betria Interactive delivering a captivating 3D experience, infused with interesting and detailed point-of-interest content that can engage the passenger in a rich and informative interactive experience. All seats boast an integrated USB port allowing passengers to power their own devices. New to the Upper Class cabin is a 24” touchscreen monitor over the bar showing looped animations that complement the cabin environment, as well as the option to view the innovative map on a larger screen. Virgin Atlantic also introduced the ultimate #SkyhighSelfie, which offers customers the opportunity to update Facebook free of charge from the air. Developed in conjunction with Wavealot, this bespoke application allows customers to check in on Facebook and share their location with their friends and followers mid-flight. CRUISING HEIGHTS November 2014

AEROBRIDGES AT INDORE AIRPORT The two aerobridges at Devi Ahilya airport, Indore recently became operational before the recent Global Investors’ Summit. In September, the Madhya Pradesh government requested the Airports Authority of India (AAI) to ready the aerobridges early so that one of them could be installed at the airport before the summit. Sanjay Agrawal, Airport Director, said, "We have tested the first aerobridge with Air India’s passengers from AI flight. Aerobridge was found technically sound and fit to carry passenger load.” Earlier, the passengers had to wait in queue to board the buses and the aerobridge have made it easier for the passengers to board the plane. He added the two aerobridges will be operational for aircraft including Boeing and Airbus, smaller planes will not be able to utilise the facility. Two pushback vans have also arrived to help tow away aircraft from the aerobridge. The `6-crore aerobridge project took almost six months for completion. HELP DESK AT CHENNAI AIRPORT Air Customs has opened a help desk at the arrival section of the in-

ternational terminal at Chennai airport. The help desk facility will clear

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ABOVE GROUND LEVEL  passengers’ doubts before proceeding to the customs check. It will be manned by Customs officials trained in soft skills. S Ramesh, Chief Commissioner, Customs, who inaugurated the help desk at the airport, said, “We have arranged soft skills training for Customs Personnel so that they will be able to talk to passengers in a polite and courteous manner at the airport. Customs is going to give a lot of importance to such help desks all over India as it will help passengers abide by rules and regulations.” Another help desk will be set up at the departure terminal soon, which will help passengers know about the rules to the followed returning after a trip abroad, Ramesh added. Air customs have also brought out a booklet – Guide Book for Travellers – containing baggage rules, duty free allowances for Indians and foreigners residing in India, special allowances for professionals returning to India, duty free allowances for tourists, prohibited and restricted goods, penal provisions and rules passengers should know. GOA LAUNCHES TENDER FOR SECOND AIRPORT The State Government of Goa recently issued a tender document for a public-private partnership (PPP) concession to develop and operate a greenfield airport at Mopa, which will

be the second airport in the state. Mopa is located approximately 35km North of the state capital, Panaji. The new airport will complement the existing facility at Dabolim, which will continue to operate after the Mopa airport opens, providing enhanced air connectivity to the state. Tourism is one of the largest industries in Goa, with the state attracting 2.63 million domestic and 492,000 international visitors in 2013. Ease of access is critical to achieving sustained growth in visitor numbers.

urrently in its eleventh year, the Aviation Festival Asia is a premium conference for international delegates to gather and share insights on the aviation industry in Asia Pacific. Attracting over 500 event attendees from more than 36 countries in 2014, the conference has continuously succeeded in attracting the top business players of the industry year-on-year. In 2015, Aviation Festival Asia (February 12-13, 2015 at Suntec Convention & Exhibition Centre, Singapore) will be co-located with five events: the 11th annual World Low Cost Airlines Congress 2nd annual Aviation IT Show Asia, the 2nd annual AirXperience Asia, The Air Retail Show Asia and The Aviation Interiors Show

platform where senior executives from airlines and airports across Asia Pacific and the Middle East convene to network and share ideas on how to boost profits, improve passenger experience, gain intelligence and source for products, services and solutions pertaining to the aviation industry. In 2015, the show expects to see 1000+ attendees, 150+ booths, 100+ airlines and 40+ airports. Among the speakers who have confirmed for the 2015 show are Keisuke Okada, Senior Advisor, ANA Holdings Inc, Steven Dickson, Group Head – Ground and Inflight Operations, AirAsia, Eric Fong Hio Kin, Director of Marketing Department, CAM-Macau International Airport, Lim Ching Kiat, Senior Vice President, Market Development, Changi Airport, Dinesh Bhrushundi, Chief Quality Officer, Delhi International Airport, Manish Sinha, Chief Operating Officer, Hyderabad International Airport, Sanjay Kumar, Chief Commercial Officer, Indigo Airlines, Kamal Hingorani, Senior Vice President & Head of Inflight Services & Customer Experience, SpiceJet and many more.

Get set for Aviation Festival Asia

Asia (NEW!). From accessing the latest IT developments and strategies in enhancing operations and passenger travel to the latest air retail strategies and concepts in interior cabin designs, this mega event is a one-stop

CRUISING HEIGHTS November 2014

EYE-CATCHING: The stunning Budapest Airport booth at the World Routes 2014 exhibition

Route to Chicago

World Routes held in the windy city of Chicago on September 21 and 22 alongside the World Routes Strategy Summit was truly a remarkable gathering of airport and airline heavyweights. The annual event that was being hosted for the second straight year in the United States (last year, it was at Las Vegas) brought together CEOs and senior leaders from the world’s leading airlines and airports as well as senior government officials. It was the sort of platform that saw not just non-stop networking but a sparkling exchange of ideas and new initiatives to take the aviation business one step forward. K SRINIVASAN was in Chicago and met with a wide cross-section of airline and airport leaders to file this report

hen somebody like Sir Timothy Clark travels thousands of miles to attend a conference in Chicago you can be sure that it has got to be something important and worth his presence. In essence that sums up World Routes 2014 Chicago. Well, it was not just the Vice Chairman and CEO of Emirates, but dozens of airport CEOs who gravitated to the windy city for what one of them described as “the most important conference each year for every serious player in the airport business”. So what is that makes for World Routes getting bigger and better each year? Sub-

hash Goyal, the indefatigable and peripatic founder of STIC Travels who was there at the Chicago summed it up nicely in Hindi: “Sub mil jate hain.” In other words, it’s the best platform to meet everyone and greet everyone, start conversation or resume conversations, not necessarily conclude them, but get a thread going. It’s something that the high-profile outgoing Aviation Commissioner at Chicago, Rosemarie Andolino, called the “most prestigious aviation event in the world”. And as for the sessions between the airlines and airports seeking to establish new routes she described it as “speed dating”. Andoliono

CRUISING HEIGHTS November 2014

was enchanted with World Routes at Vancouver that she attended five years back on the persuasion of colleagues at O’Hare Airport in Chicago. She said Chicago picked up 19 new routes since she attended her first World Route forum then in Vancouver. “Those routes have since produced $2.3 billion in annual economic activity for our region,” she added. Like it or not it’s the “speed dating” concept that’s the biggest hit at any Routes event, more so at World Routes. Where on earth can you mingle with 3000 people at Continued on page 28

‘Route development is a 365 days’ a year process’ Katie Bland, Director Routes, is delighted at the success of the World Routes at Chicago. Taking time out from her grinding schedule, she spoke about the highs of the Chicago event and what to expect at Durban next year This has been a highly successful World Route event. Please sum it up… The largest commercial event in the world, 3000 executives from the world’s airlines, airports and tourist authorities; 300 airlines from all over the world represented and 1000 airports and destinations are here to discuss new route developments and do business. Its evolution? … Well since I joined in 2005, the event has roughly doubled in scale, certainly in terms of the number of attendees coming, and another thing that we have seen is growth from the tourism sector where we are seeing tourist authorities and stakeholders are getting behind their airports and supporting them in talking to airlines and attracting new air services into their gateways. We are also seeing increased attendance across Asia, China, South Asia, also from the ASEAN nations, too. We are also seeing good growth from Latin America and, of course, for the last two years, we have seen a sharp increase in attendance from United States having been hosted in Las Vegas and Chicago last year and this year. And we are going to carry on that momentum by taking this to America’s Denver, from 1st to 3rd of February, next year… and which will be the first time that our regional American event is taking place in the US. You are taking the conference to Durban next year? There is less representation here from Africa. You expect that will… Yes, absolutely. I mean for us coming to Africa, we felt 2015 was the right time. Also, South Africa had recently joined the BRICS. And in fact, Durban hosting World Routes 2015 was announced at the BRICS summit two years ago, and so yes, we have increased participation from Africa over the last five to six years. We also have a regional African event this year. What is the fundamental spinoff from Routes for airports? For the airports, the essential takeaway is that they have the opportunity to present their business cases to multiple potential new airline partners in a space of three days. So, if you look at that from a time and cost perspective for them to fly to the headquarters of each of those carriers, they may

do. And they then score them. So the scores then essentially generate the results. And what do we do then? We bring the judges together, we go through the scores, and we make sure that everybody is happy with the outcome… everybody is on the same page and we agree (with the results).

So, fundamentally, you are only a platform Absolutely, we are the platform facilitating these business discussions. it’s the carriers and it’s the airline to decide.

have 20 meetings over the course of twoand-half days really in terms of the meeting scheduling. So, that is the takeaway. And not forgetting that the business discussions here are not only about new air services, but there are also meetings with existing airline partners to talk about adding frequencies and… Route development is a 365 days’ a year process. Routes Events offer touchpoints for people who update their contacts because people move around and also to talk to their airline partners or potential new airline partners about changes in developments in their markets.

How rigorous is the process of selecting the award winners? We have a very rigorous process and just to give a kind of overview, essentially it is the airlines who vote to generate the shortlist, to generate the nominations. So, we do that via digital platform — Routes online — and once we generated those, we then also add in to the next at the world event, the winners from each of the region of these events. So they then form parts of the nominated shortlist per category and the categories are decided by annual passenger throughput. So what happens then is we ask the nominated airports to submit submission documents. Each of them submit that and then we have a panel of ten judges from a range of carriers from around the world and we then ask them to review them, which they CRUISING HEIGHTS November 2014

Going forward, what are you going to do with Routes now? What is the next level? We are going to Africa. For the first time with World Routes. We are going to the US for the first time with Routes Americas. And we are going back to China with the regional event next year. So we are also going into the Middle East. We are holding a Routes Middle East and Africa in May next year in Bahrain, and we are also looking to grow our Route Silk Road COMSAT, that was hosted in Tbilisi, Georgia this year. So we are hoping that we are going to able to grow that COMSAT next year as well. Any new interesting additions to the speaking sessions next year? Well for next year, for sure, tourism will be high on the agenda given that the event is being hosted by KwaZulu-Natal province and they have an ambitious tourism development strategy. We also expect cargo as a freight to be high on the agenda. We will also be asking our community what they would like to hear about — return some first-time customer initiatives this year, specifically looking at the summit and the contents that we cover. So we are asking the community about what they would like to hear in our summits next year. You are attracting big ticket speakers like Tim Clark. In that sense it has become a big event. We are very fortunate that we have been able to secure some excellent names and leaders in aviation and Tim Clark was certainly one of them also… Scott Kirby and many other very knowledgeable and experienced leaders in aviation. So in that respect, we were very fortunate. We are grateful for them taking the time to come and talk to our community.

SPECIAL REPORT Continued from page 26

Surprisingly, none of the airports in the US or Europe are worried about the great Asian hubs hurting them. On the contrary, as World Routes proved, there was excitement and an eagerness to know what next at Changi or Dubai or Incheon

one go, pick and choose who you want to talk to, give them your juice and understand their perspective? Apart from the meet and greet routine, the firm has over the years also acted as a catalyst for airports seeking to absorb best practices from across the globe. They look at what others are doing and try and learn on how those elements could be useful in their own airports. There were also some most interesting revelations, most of all a big thumbs-up for the next generation widebodies that have entered service or on the verge of getting LOOKING AHEAD: Chicago Department of Aviation (CDA) Commissioner Rosemarie S Andolino (extreme right) with Mayor of Chicago Rahm Emanuel (second from right), poring over the development plans for O'Hare and Midway airports at the World Routes 2014 exposition

‘A dollar more for me is a dollar less for you’ Lim Ching Kiat, Senior Vice President, Market Development, at Changi Airport speaks about the iconic Singapore Airport On the competition There are two main ways that we are keeping ahead. One is development works. So, we are building a new terminal — Terminal 4 — that will take out the capacity of, its current capacity is 66 million passengers a year, and three years on it will bring 85 million passengers a year. We are firm believers of the potential of aviation in Asia. We are constantly getting ready for what’s next and building up capacity for the next level. And after Terminal 4, we are currently in the process of developing the master plan: Terminal 5. Beyond that, we are also preparing for Terminal 4 and making out plans for Terminal 5. That is on the supply side and on the demand side, as we are working closely with airlines and with tourism organisations, travel agents… we are trying to develop together new markets for new routes working hand in hand with airlines in market development efforts. On land and expansion Yes, we have been planning for many years. Currently, we have two runways. The third runway is actually already in

place. But now it is just for military use. So we are converting it for civilian use. And the land has been identified for future expansion.

On being cost-effective At the end of the day, airport cost is only a small percentage of the airlines’ operating cost. If you will look at various measures they will be typically around 5 per cent of the airlines total opex (operation expenses). Actually in the grand scheme of things, we are a small component. But, of course, in aviation industry, the margins are so lean, every drop matters. On the other hand, we also have costs to bear … things are not getting cheaper for us and the capex (capital expenditure) and opex of running an airport are also hefty. We are trying to think of a dialogue beyond dollars and cents, because one dollar more for me is one dollar less for you. But we are trying to do other things together.

‘Airports are economic generators for jobs’ Chicago Department of Aviation (CDA) Commissioner Rosemarie S Andolino manages one of the world’s busiest airport systems comprising of O’Hare and Midway International Airports. Chicago’s airports handle more than 85 million passengers and one million operations each year and have an annual operating budget of $1 billion. Excerpts from an interview: You are leaving soon (in end-October). Why is that? Well, I’ve been with the city for 24 years now. I’ve been Airport Commissioner going on six years and I’ve been part of the airport environment which started with the O’Hare Modernisation Programme almost 11 years now. And it’s been an amazing opportunity. I’ve been exposed to so much but I’ve received an offer to move into the private sector — to stay within the aviation industry, work on national and global aviation issues.

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‘We believe in the strength of the LA market’ Excerpts from a conversation with Samson Mengistu, Deputy Executive Director, Administration at the Los Angeles International airport How is it competing with others hubs in the US? We have advantage being on the West coast; we are the premier gateway to Asia. But we don’t take it for granted. We have to bring our facilities up to compete and to be ready to provide customerservices to attract airlines. You have to keep the cost of operations low. We recently built a brand new terminal for $2 billion. We are trying to renovate, we are trying to modernise, we are trying to provide what airlines and customers need. We are focused on that, not so much on competing with airports.

You got a lot of Chinese, Japanese, Korean… all the airlines are coming? Los Angeles has the largest ethnic population. After China, there are more Chinese in LA. More Vietnamese than anywhere except in Vietnam and lots of Indians as well. India is an emerging market. We have been talking to some Indian airlines.

You are the farthest into the US, does it bother you? Not really. We believe in the strength of the LA market. It is not connecting two different places. They like to come to Los Angeles and spend time so the LA market is strong — so long as we provide customer service and what the people need at the airports. It does not concern us about those 16 hours or 16-plus hour flights.

The difference between LAX and SFO? First, the volume. SFO, I think they may be like 60-70 per cent of the traffic volume of LAX. We have a lot more diversified services to a number of destinations and also in terms of airlines. At the end of the year we will hit a record number at LAX: we will hit 70 million passengers. Internationally, we will have 20 million passengers. San Francisco has half of them.

You are lucky… you don’t have the problems of Heathrow. Yes. Well, a lot of that is because of leadership. I mentioned Mayor Daley and Mayor (Rahm) Emanuel, they are both great leaders…they make the decisions. Mayor Daley made the original decision to move forward and make the investment in the O’Hare Modernisation Programme. It was — along with the business community who find access in and out of our city via our major airport — extremely important to its growth and success in a global economy. Mayor Daley then led the political charge with the support of the business community and Mayor Emanuel has continued that and it makes my job real easy because I just have to get it done. Leadership is the key in terms of making that type of a critical and major infrastructure investment because there are pros and cons. How tough have been the complaints from neighbourhoods on the expansion? Well, some people complained, but yes, we did a lot of community engagement at the beginning, 11 years ago and it was a constant

In the last year, we have introduced two new services, probably the longest in the system: one for Jeddah and another to Abu Dhabi. So, it is not stopping anyone coming to Los Angeles.

communication. Again, we had great support from our business community as well as Chambers of Commerce and others that can realise the true benefit that an airport brings and in Chicago, we are a city that’s fortunate not only to have one airport in this city, but to have two major airports. That’s huge. And Midway (Chicago’s second airport), being one square mile, the homes are basically almost on the runway. We also know how to deal with communities about noise. One of the programmes that Mayor Daley had introduced and continues is called the Noise Commission. So we have a Commission for Midway and a Commission for O’Hare and what it does is bring the community to the table and help decide how to sound insulate homes and schools around the airport. If you really think about it, airports are economic generators for jobs. Most of the people around the airport, work at the airport. For us: the two airports generate 540,000 jobs for our region and our state through logistics, through entertainment, through hospitality and tourism. So there are huge economic gains for our cities and

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into action. The talk was about the B787, A350 and the next in line A330neo. “Of the approximately 200 city pairs operated by the B787 today, 33 are brand new,” said Alex Heiter, Boeing Executive Director, Airline Network and Fleet Planning, and added: “With the B787, we are doing for the trans-Pacific network what the B757 and the B767 did on the transatlantic network some 20 years ago.” Also, the fact that the new jets give a 15 per cent fuel saving means a route goes quickly from being unprofitable to profitable. Surprisingly, none of the airports in the US or Europe are worried about the great Asian hubs hurting them. On the contrary, as World Routes proved, there was excitement and an eagerness to know what is next at Changi or Dubai or Incheon. This was in sharp contrast to some of the downright

The Indian presentation at World Routes at Chicago was abysmal. The Airports Authority of India had a regular stand that reflected circa 1970. Both GVK and GMR had their contingents apart from the airlines - Air India and Jet Airways - but no floor space

for our state.

Are government-run airports nimble? Yes and no — it depends on the issues. Most private airports are run with the promise of bottomline profits and losses — mostly profits and no losses! It’s all about increasing non- aeronautical revenues. Government, although they want to offer different types of amenities for the customer, which ultimately, in many cases, increases our non-aeronautical revenue. It’s just that that’s not the driver. The driver is the balance of the airports and to the community. Like, we recently put in a yoga room at Midway. We put one in at O’Hare last year. We put in a Mother’s room at Midway. Those are amenities that don’t bring us revenue but enhance the customers’ journey through our airports. That is the ultimate difference, I think in the drivers between government and privatisation: one focuses on the bottomline, the other one can be a little bit more flexible in terms of their looking at the bigger picture in the overall experience and not just the bottomline.

SPECIAL REPORT

CROWD PULLER: (Top) Emirates' President Tim Clark talking to Aaron Heslehurst, News Anchor and Presenter, BBC World News at Chicago at what was named the Fireside Chat; and (right) 'Joe and the Juice!' The most popular hub at the conference and the most popular fruit juice outlet at Oslo Airport and venues across Europe

World Routes is something that the high-profile outgoing Aviation Commissioner at Chicago, Rosemarie Andolino, called the "most prestigious aviation event in the world". And, as for the sessions between the airlines and airports seeking to establish new routes she described it as "speed dating"

hostile comments that one elicits at events like the IATA's AGM where there is much hostility between region and region and every little benefit is viewed as a transgression and a stab in the back. Any disappointments? A few. The Indian presence, rather the Indian presentation was abysmal. The Airports Authority of India (AAI) had a regular stand that reflected circa 1970. Both GVK and GMR had their contingents apart from the airlines — Air India and Jet Airways — but no floor space. What a pity! One of them said that in earlier events the Indian contingent had jointly bought space and put up a collective, thematic presentation. Not so this time. It’s a bit of a surprise considering all the major gateways have been modernised, each of these airports is desperate to become a heavy duty hub and are crying for business all the time. Hopefully by the time they start planning for next year’s conference in Durban, they will realise the wisdom of setting up shop in the most important network show in the world. The strategy summit did produce some great fizz, but it can be far more imagina-

‘Birmingham is going to be 70 miles closer to London in ten years’ Paul Kehoe, Chief Executive Officer, Birmingham Airport, makes a compelling case on why his airport is really the future Why would be Birmingham more attractive to passengers to India? For a variety of reasons: From the airlines’ point of view, you have got the Diaspora in Birmingham that wants to get to India. You have got this home traffic and that is very compelling. The other factor is that you have other communities around in Birmingham that are closer to Birmingham than Heathrow – therefore, you can suck those in as well. So, Birmingham is the centre of the UK road network and rail network. (It) Has none of the delays you get at Heathrow, circling around. It (Heathrow) is a very expensive airport to operate from. So all these factors put together, I think it (Birmingham) represents a compelling opportunity for airlines in India. And Air India has demonstrated that by operating, Boeing 787 which has got 20 per cent fuel efficiency. With all these factors, you can get a very successful operation. Compared to other airports in UK, how are you cost-wise? It is interesting in the UK from Southampton in the south to Leeds in the north, in the Southern half of England, that’s about 300 kms, there are 27 airports competing. So our process is competitive. It is a shark’s market. You know we can’t charge more than the market rate. Market rate is very low at the moment. Only airport in UK that can command a pre-

CRUISING HEIGHTS November 2014

mium is Heathrow. That means 40-50 pounds extra per passenger. That’s very expensive. We have an introductory scheme for airlines, sometimes a tenth of that. So, as compared to that we are very competitive. On the cost side we are incredibly competitive. Something that was said ten years ago against us was that we were very expensive. We have had to change with the market. Today, I think we are as good as the rest now.

England is losing because Heathrow is not expanding. How can yon help? I would dispute the argument that London is losing its status as a hub. I think there is runway capacity issue at Heathrow and opportunities at Gatwick. But I have got to say, as someone who works in Birmingham but lives in London, London is the premier city to do business. Not because it is a great city which it is. It sits on the zero meridien on the Greenwich Mean and, therefore, it can operate to the east and also to the west on the same day. It has also the language opportunity that is English. What’s going to happen in the next ten years is that Birmingham is going to be shifted 70 miles close to London. And that’s because of the arrival of high-speed trains which is going to make the journey from London to Birmingham instead of being one hour is going to be 30 minutes.

‘We want to be the best we can for the world’ DFW Airport Vice President Luis Perez and Senior Manager Navin Bandla tell us why Dallas Fort Worth is the best hub in North America the airport stays at the airport. You cannot give it to the city, you cannot build a hospital or park, you cannot loan it, nothing, and it has to be spent at the airport. If you are a private company, you will be very profitable. An airport is a monopoly by nature…at the same time the airports are very careful not to compete with the cities that own them. Because their specialty is the airport business and one sticks with that. It’s a very efficient way of doing it. In the US, there are three models: a state-run airport like Hawaii; we have the municipal airports, that are city-owned airports and you have authorities or quasigovernmental authorities like DFW airport that is governed by the cities of Fort Worth and Dallas but is administered and managed by an independent board. They are appointed by the Mayor that they have the ability to take decisions on their own.

America is one of the few places where most of the airports work under the government system. How efficient are they? Navin Bandla: Even though lot of airports are quasi government-run, there is lot of flexibility on the part of the airports to find solutions. DFW airport is a great example. We are owned by the cities of Dallas and Fort Worth, so we are technically a government entity but we are run as a quasi private organisation. So there is lot of flexibility to act and react quickly. What you mean is you are completely free? Navin Bandla: Exactly. For example, until last year a lot of things were out of our control like Customs and border protection officers were under-staffed. So we had really had long wait time at immigration. We as an airport can’t wait for Washington to add more staff…so we as an airport went ahead and the executive team decided to put in 50 more automated kiosks which processes your passport. We as an airport have independently solved pretty much the problems of long lines compared to the process of the government to take any decision. So, in that sense you are nimble enough to be able to take challenges? Luis: Also, in most situations in the United States, the money that is generated at

The other thing is: You are in a unique situation that you have to compete with other airports in America. How does that work? Navin Bandla: Well, you know, it is like any industry. We as DFW airport, our charter is to really grow, to be the economic engine of north Texas. So, what we can do is bolster the economy and the best way to do is by bringing in new service. The fact is that we compete with other airports in the US. It is just normal like any industry you are competing with in your sector. It doesn’t mean that you are any less of a competition. We compete with Atlanta just the same way we are competing with Beijing or Delhi. What are the advantages at DFW? Luis Perez: It also helps to have based in the airport the largest airline in the world, which is in the new American. So, all the airports have advantages as there are a few airlines left. You know Delta is in Atlanta, American is in Dallas/Fort Worth, United is in Chicago and all the airports that have a hub carrier that really helps to grow. Our real competition is not other US airports, it is Dubai, Changi, it is Beijing, it is with major hubs in the other side of the world. Because that’s how we think we are. We are a super hub and that’s our preference. We want to emulate, we want to be the best we can for the world not only for the US.

CRUISING HEIGHTS November 2014

Where on earth can you mingle with 3000 people at one go, pick and choose who you want to talk to, give them your juice and understand their perspective? Apart from the meet and greet routine, the firm has over the years also acted as a catalyst for airports seeking to absorb best practices from across the globe tive. It was a pleasure to hear Tim Clark, just as it was a revelation to listen to Jim Compton, Chairman and Chief Revenue Officer at United and Scott Kirby, President of American Airlines. Almost every US airline is experiencing a remarkable period of growth and renewal after years of stagnation. Both Compton and Kirby gave a vivid presentation of this turnaround. But there was need for more airport stories. How do the four great neighboring hubs in Asia — Incheon, Beijing, Changi and Hong Kong — manage their business? What do great city pairs do next? What can airports in other parts of the world learn from the American experience of managing their airports? The five great new elements in the airport business. How has the digital matrix transformed the business? There were some excellent presentations and debates as well. Getting passengers efficiently through airports is a perpetual issue and there was a scintillating presentation from the US Customs and how moving their Customs to home countries like Abu Dhabi or Shannon in Ireland had dramatically altered both the throughput as well as the security aspect of getting passengers into the US. There could be more of such sessions at future Routes summits. The Tourism Summit was a bit of a letdown and frankly one reason was that the one-day package of round table discussions needed to be fleshed out better. But it is a good idea to incorporate tourism into the format. It has a critical role to play in routes development or, for that matter, a destination and their import in the overall value chain cannot be underestimated. Overall, World Routes 2014 was an excellent “feel good” conclave that had everything that one looks for in an event like this: first rate management, an excellent host city (Rosemarie Andolino and her team were brilliant), a fairly good summit programme and plenty of opportunities to meet and greet. Next year it will be Durban, in the rainbow nation of South Africa. That, be assured, should be another exciting edition.

COVER STORY

MOTIVATOR-IN-CHIEF: SpiceJet CEO Sanjiv Kapoor beside an aircraft with the new livery depicting the carrier's crew An ATR72-500 taking off from Moffett Field in Mountain View, California. Similar aircraft will be used by Pegasus. PHOTO CREDIT: ROGER HALUNEN/ FLYAWAYSIMULATION.COM

CRUISING HEIGHTS November 2014

The winged

horse flies – again

It has taken more than two years for Pegasus, the mythical winged horse, to start flying again after its slow death at Kingfisher. This time around, the flying horse is making a quiet entry under the leadership of Shyson Thomas with Air Pegasus, a carrier that has received a regional operator’s permit. VASUKI PRASAD takes a look at the newest airline on the block

irst, it was the Bengaluru-registered Kingfisher Airlines of the UB Group that employed the flying horse of Greek Mythology – Pegasus. The horse stopped flying when Kingfisher Airlines ceased operations in October 2012, and is expected to take to the skies again, in October 2014, as Air Pegasus, another Bengalurubased airline, which has nothing to do with Dr Vijay Mallya or his group. Air Pegasus was an official idea since October 2007, and is till the time of going to press, a yet-to-become operational airline with 25 per cent shares held by Decor Aviation — a ground handling agency with its headquarter at Bengaluru, reportedly employing 4000 people across 11 airports in India, that used to provide ground support to Air Deccan and Kingfisher, and still supports low-cost airlines SpiceJet, Go Air, and IndiGo. Shyson Thomas, the Managing Director and CEO of the airline, is the largest single shareholder in Air Pegasus, with 30 per cent, and also the largest shareholder in Decor Aviation. The other shareholders are his family members — his wife, son and daughter — rendering total and effective control in the hands of Shyson. It was on October 8, 2007 when Air Pegasus Private Limited was registered, but there were no visible developments in the ‘airline’. Bengaluru’s HAL airport in the heart of the city ceased operations for scheduled carriers at the stroke of midnight of May 23, 2008, and all airlines started operating out of the Greenfield airport, the Bengaluru International Airport at Devanahalli, recently renamed Kempegowda International Airport. Two months earlier, Hyderabad’s GMR-Hyderabad International Airport Limited started operations at Shamshabad, while Begumpet airport in the heart of the city no longer was an airport for scheduled carriers. Both airport shifts had one effect: it dissuaded travellers, albeit for a short period, from opting for air travel to cities in the region that were just an overnight bus journey away. In short,

CRUISING HEIGHTS November 2014

COVER STORY

VASUKI PRASAD

Air Pegasus is focused on regional scheduled air transport in the southern region, which extends from the southernmost tip of India and includes almost all airports in all six southern states of Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Telangana and Goa

towards the end of 2011, and planned to start operations in 2012. Shyson was yet undecided on the aircraft to operate with, but had narrowed down to either of two turboprops: the ATR 72-500, and the Bombardier Q400. According to sources, however, Shyson was trying to arrange the necessary funds for these aircraft, without which lessors were not ready to lease aircraft, especially after the collapse of Paramount Airways in 2010, when a very appealing and seemingly well performing airline started defaulting on lease payments. According to a source, ‘Air Pegasus was ready to go with anyone who offered any aircraft’. The airline got its break towards late 2013, when two ATR 72-500s in Israel were available for lease. The airline issued

SHINING ARMOUR: (L-R) Embraer 145 aircraft and Air Pegasus' ATR72-500 aircraft

EMBRAER

RUSHAB BAFNA

regional air travel prospects dimmed. Shyson’s Air Pegasus is focused exclusively on regional scheduled air transport in the southern region, which extends from the southernmost tip of India and includes almost all airports in all six southern states of Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Telangana and Goa. When regional air travel started picking up once again, Shyson was reignited to start working towards the airline. The Empowered Committee setup by the Ministry of Civil Aviation, in its 154th meeting held on September 14, 2011, recommended Air Pegasus’ proposal for the grant of the initial no-objection-certificate (NOC) to operate ‘Scheduled Air Transport Regional Services in Southern Region’. The airline received its initial NOC

CRUISING HEIGHTS November 2014

an advertisement calling for expat captains, Indian captains, first officers, cabin crew, cabin crew instructors, and a quality manager. Most of the applications were from former Kingfisher Airlines’ employees, as the airline, when merged with Air Deccan, was one of the largest operators of ATR turboprop aircraft. Interestingly, the advertisement was copied from Air Costa’s initial advertisement, changed only to reflect the appropriate aircraft type. Political issues, delays from the DGCA, and global Israeli embassy closures affected the import of the aircraft, although the airline staff had worked hard towards aircraft specific documentation. Only four out of seven aircraft in operation in Israel are less than 15 years of age – the age limit imposed by the DGCA for import of aircraft. Shyson abandoned the deal. To keep costs under check, Shyson still isn’t paying his employees salaries, rather a stipend, which he justifies and his employees have accepted, on the surface at

least. Paramount Airways’ legal fiasco and the collapse of Kingfisher Airlines exposed the ugly side of Indian jurisdiction: the inability of lessors to re-possess their aircraft. Two defaulters have made leasing companies wary about India, forcing extreme precautionary measures. The advance payment per aircraft lease, which used to be three months, has been increased to 36 months. At typical ATR 72-500 lease rates, this translates to about US$ 5.4 mn, or `32.4 crore for a single aircraft — much higher than the paid up capital requirement of `12 Crores for the first three sub-40,000 kg aircraft of an airline, to be awarded a regional Air Operator Permit (AOP). Shyson managed to secure an exKingfisher and an ex-Deccan ATR 72-500, which have been in storage since 2012, unable to find a new operator. The lease terms, after negotiation, were reduced to a nine month advance, and a monthly lease rate that could have been further negotiated, but overlooked in the light of finally securing an aircraft. “In the long run, we will have to get them reduced,” says Shyson. These two ATR 72-500 aircraft have different cabin configurations – 66 and 72 seats — based on the brand difference between the erstwhile Kingfisher and Deccan. The letter of intent (LoI), for the lease was signed on August 4, 2014, and the airline had hoped to receive the aircraft in India between the August 11 and 20. The airline’s first ATR 72-500 flew into Bengaluru’s Kempegowda International Airport from Kuala Lumpur, Malaysia, on September 27 and later flew to Hosur for its paintjob. The airline applied for an AOP on January 28, 2014, and it has been nine months since. In that period, the airline had to

Cashing-in on the India potential egasus apart, there are a point vehemently denied handful of new kids on by the Air One promoter. the block willing to test Going by the problems the Indian skies and take adthat Sahara faces today, vantage of the growing Indian it is hardly possible that market. One of those who it would invest in another have received a no objection airline at this point of certificate (NOC) from the time. However, it is a fact aviation ministry to start a rethat Air One does chargional airline is Alok Sharma. ter trips from Mumbai Best remembered as the face to Amby Valley between Alok Sharma of Air Sahara till Jet bought it October and May. In fact, over in 2007, Sharma is now the Promoter the Air One website opens with the bookof Air One Aviation Private Limited, an ing page for Amby Valley. Air One mainintegrated aviation company that, accordtains a fleet of six aircraft for its domestic ing to its website, currently has six distinct and international operations. The website divisions. Air One is into regular flights, lists these: A Cessna Citation 560 XLS, charters, airport management services, holan Embraer Lineage 1000, two brand new iday, aero sports club and consulting. The Legacy 650s and three twin-engine hewebsite also mentions that the core objeclicopters. All the fixed wing aircraft are tive of the company is to promote aviation, brand new, positioning Air One as the only tourism, employment and assist in develnon-scheduled airline with such latest and oping new economic centres in the country. top of the line fleet being offered in the Air One Aviation’s paid-up capital for market. the start-up airline is well over `100 crore, Another NOC has been received by Sharma was quoted saying to a daily. He the Delhi-based MSD Aviation – but this went on to inform that the fleet for the carone is for air cargo services. Very little is rier – “that will be a full service airline Inknown about the outfit and repeated atdia will be proud of -- would comprise eitempts by Cruising Heights to get in touch ther Boeing 737s or Airbus A-320 aircraft. with those involved in the organization The number of aircraft could be around six proved futile. The company’s website proor seven. Apparently, Sharma will try to vides little insight except to mention that get a foreign investor, and if industry exit has partner offices at Hong Kong and perts have to be believed, it could be an airIndonesia. It claims that it is India's ‘first line. The simple reason is that it is cheaper of its kind company’ to lease Flight Crew for an airline to invest in start-ups than go internationally, majorly Ab-initio First Offor an existing carrier. ficers. “Our programmes have given pilots Market reports suggest that Sharma’s from many countries the opportunity to Air One has something to do with Sahara, a obtain the airline first officer experience during actual commercial flight operations and being hired during or shortly after completion of their programmes by airlines worldwide”, says the website. The efforts by the likes of Air One would benefit India’s aviation scenario that is one of the most under-penetrated markets in the world. Our country has only 422-odd aircraft for a population of 1.2 billion while China has 1,981, for 1.3 billion people. According to the Centre for Asia Pacific Aviation, the per capita domestic airline seats in 2012 was 0.07. The per capita domestic airline seats for Australia, for example, was 3.35, 2.49 for the US, 1.38 for Canada and 1.05 for Japan. Considering the fact that domestic fliers in the country would go up to 175 million annually by 2021, start-ups like Pegasus and Air One would be a welcome change.

CRUISING HEIGHTS November 2014

BOMBARDIER

COVER STORY

NOT IN THE FRAY: Bombardier's Q400 aircraft was also considered by Air Pegasus for the operations

abandon plans for two aircraft, and go with two other. Documentation for the AOP has, however, been underway, with the International Air Transport Association (IATA) and the International Civil Aviation Organization (ICAO) awarding the airline its codes. With aircraft-specific documentation reportedly completed, which will be followed by inspections and meetings, the last phase – proving flights were expected in late October or early November. These were optimistically claimed by Shyson to happen towards end-August, but Indian aviation has been consistent in milestone slips. With the AOP certificate taking a week or two, the airline may have a launch in late November, and possibly start commercial flights in December this year. As of August, the airline has 19 pilots — two expat captains who will serve as examiners, six Indian captains, and 11 first officers. The airline also has 20 cabin crew. In total, the airline has 10 sets of pilots and cabin crew — sufficient for two aircraft. The second batch of pilots, comprising six captains and nine first officers, have been recruited. The airline presently does not have a Chief Operating Officer (COO), but former Jet Airways ATR 72-500 captain Murali Sundaram serves as the Deputy COO. Shyson is clear on being regional. With two aircraft, the airline plans to serve six to eight destinations out of Bengaluru, the airline’s base. The airline’s website, still under development, lists proven destinations: Hyderabad, Chennai, Cochin, Trivandrum, Tuticorin, Hubli, Mangalore, Coimbatore, Rajmundry, Vijayawada, Vishakapatnam, Madurai, Tirchi, Calicut, Goa, Belgaum, and Tirupati. The destinations out of Bengaluru will rise to 13 with

the third aircraft, and expand thereafter to cover all viable routes in the region, with a final fleet strength of 10 aircraft. Within the first year of operation, the airline plans to have four aircraft, thereafter adding two aircraft a year. Should the airline be pleased with its performance over two or three years, Shyson may start Phase-II of the airline, which involves setting up ‘Pegasus East’, a regional carrier based, perhaps, at Kolkata, catering to the north east and east region. The region, being smaller in both demand, may see a smaller fleet size, perhaps six to eight ATR aircraft. Plans beyond Phase-II include a Phase III and IV — setting up ‘Pegasus West’ at Ahmedabad and ‘Pegasus North’ somewhere in Punjab, catering to the respective regions. A far-sighted plan is to link these regions with Airbus A320 aircraft, to ensure a hub and spoke model for a pan-India Tier II and Tier III connectivity. Being regional and yet having a presence outside the region may require the airline to either upgrade the AOP to a pan-India license, or float new airline subsidiaries under different AOPs. Shyson, who admits that the choice of aircraft was entirely his and a ‘monopoly decision’, had, reportedly, been eyeing the Q400 turboprop and even the Embraer 145 regional jet. With many US carriers retiring their older, out-of-production Embraer aircraft, some airplanes, are available at attractive lease rates: as low as US$ 50,000 per month against the typical US$150,000 for a not-too- old ATR 72-500. AkashGanga was another airline to have leased the E145s, but the airline delayed the import, and now the aircraft are more than 15 years old – in fact, too old for import. CRUISING HEIGHTS November 2014

The turboprop, and specifically the ATR 72-500, is a wise choice, considering the purposes the airline wishes to use these aircraft for. Air Pegasus is keen on flying sectors the distance of which correspond to less than one-and-a-half hours on the ATR. An ATR is optimised for flights of upto 350 nautical miles (NM), and with this distance, the entire southern region may be covered. The ATR 72-500 not only consumes the lowest fuel for a given sector but falls under the sub-40,000 kg aircraft weight category, which entitles it to a flat four per cent sales tax, as against as much as 30 per cent in some parts of the country. An ATR 72-500 can comfortably fly eight 300 nm sectors in a 16-hour window, fly upto 74 passengers, and operate into and out of airstrips that are either too small for certain larger, mainline and regional jets, or too weak (in surface strength) to bear their weight. Due to the aircraft’s overall low cost of operation, the sales tax reduction and landing waiver, the airline will be able to open up routes with attractive pricing, without adversely affecting the net cash flow. Further, being in the 70-seat category, flying on short, low demand routes may be viable. Air Pegasus is purely regional; it has no plans of flying out of the region — for the time being, at least. This will give the airline an edge — no other airline will have as strong a southern connectivity out of Bengaluru, when the airline operates with ten aircraft. The flip-side to this approach is that the airline will be able to bring regional traffic to Bengaluru, its hub, but provide very limited or no forward options out of the region, unlike what SpiceJet can offer with its Q400 turboprop fleet for regional and the Boeing 737 fleet for pan-India connectivity. In short, SpiceJet can fly a passenger from a Tier II city in a region to another Tier II city in another region: something Pegasus will not be able to offer on its own. Air Pegasus plans to tie up with a mainline carrier to feed traffic to, and extract from its regional network. Air Pegasus has more credibility today than it had back in 2011 or early 2014. There are pilots ready to operate the aircraft, and most important, it has received its first aircraft. While many have wondered the real source of funding for a capital intensive venture that an airline is, many industry insiders do believe that there are investors silently watching, waiting for the carrier to kick off before they bet their money on Air Pegasus. November and December, then, will be interesting periods for the airline. As one Pegasus fades away, another rises.

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COLUMN

INDIAN AVIATION

The road ahead Palash Roy Chowdhury

The ingredients are perfect for growth: Passenger traffic stands at more than 160 mn per year; billions of dollars are being invested by the government and the private sector on world-class airports, Indian operators have ordered more than 350 aircraft, which will double the size of the flying fleet today, etc. All this will put India among the top aviation markets by 2020. But behind these megatrends, cautions Palash Roy Chowdhury, there is a serious need to bring about fundamental structural changes in the civil aviation sector to keep pace with growth

A India’s legendary bureaucracy has been a major impediment to investment. The bureaucracy extends timelines and consequently the risk involved with investments… after an operator negotiates hurdles of land acquisition and numerous clearances, they are further burdened with cost and operational challenges 38

viation is a key infrastructure sector that is instrumental in an economy’s development. It increases the pace of urbanisation and technology enhancement that leads to employment opportunities. The Indian aviation sector has been one of the fastest growing aviation sectors globally and has grown three times in the last decade. The total passenger traffic stands at more than 160 mn per year. Billions of dollars are being invested by the government and the private sector on world-class airports and billions more are being invested by airlines in state-of-theart aircraft. In just the last three years, Indian operators have ordered more than 350 aircraft, which will double the size of the flying fleet today. These megatrends continue to drive growth and the sector is expected to triple in size once ZOOMING AHEAD: Check-in counters at the Delhi Airport

CRUISING HEIGHTS November 2014

again to 450 mn passengers in the next decade. According to industry estimates, India may emerge as the third largest aviation market by 2020. India continues to add more than 10 million people on an average to the workforce every year. A million Indians are migrating to urban centres every month on an average. These megatrends leading to an unprecedented growth in the urban middle class, coupled with planned infrastructure investments and the advent of low cost airlines are some of the key drivers of growth in travel and aviation sectors. The Centre had set aside an investment of US$ 12.1 billion in the airports sector during the 12th Five-Year Plan period, of which US$ 9.3 billion is projected to come from India’s private sector for construction of new and low-

cost airports and development of existing ones. However, beneath these spectacular numbers lies a sector that needs fundamental structural change to keep pace with growth. Today, a large number of key sector participants — airport operators, airlines, MRO operators — are making losses, a situation that is not sustainable in the long term. In the Maintenance, Repair and Operations (MRO) and manufacturing segments for instance, out-dated regulations are stumping growth. Misclassification of MRO under ground handling, tariffs for import of aircraft materials and components, low priority in allocation of hangar space, licensing norms for dual use components, lack in interoperability of DGCA (Directorate General of Civil Aviation) certification with FAA (Federal Aviation Administration), caps in FDI (Foreign Direct Investment) are some impediments that continue to prevent investment. Add to this an unfriendly tax environment and you have a five-star recipe for disaster. The loss to the nation is colossal. It is estimated that of the $700 mn in MRO spend last year, over 90 per cent went offshore. This not only impacted local MRO players, but the nation lost out on tax revenues, technology and capacity development and employment opportunities, and airlines were further exposed to long supply chains and global currency risks. Airline tax policies including ATF taxes and airport tariff policy are areas that need immediate focus and rationalisation if airlines are expected to run profitable. General aviation, including rotorcrafts, is another area that needs particular attention. A robust policy framework around general aviation is conspicuously lacking which has led to the overall neglect of this important element of the aviation sector. In a vast country such as India that has remote areas with limited access, helicopters can play an important role in last mile connectivity. Helicopters also play a crucial role in emergency medical evacuation, disaster response, homeland security, tourism, traffic control and law and order. Under a proper regulatory framework, the helicopter fleet in India can easily multiply manifold in the next ten years. India’s legendary bureaucracy has been a major impediment to investment. The bureaucracy significantly extends implementation timelines and consequently the risk involved with investments. For instance, after an operator negotiates initial hurdles of land acquisition and numerous clearances, they are further burdened with cost and operational challenges of dealing with restrictions in airport security, airport navigation, land development, etc. that ensures that regional airports have unacceptably long payback on investments. India needs to build or upgrade 200 regional airports and an equal number of heliports to en-

BUSY TRAFFIC: Air India planes lined-up at one the Indian airports

able countrywide air coverage. To attract private investments in this area, the government should consider establishing an inter-ministerial body which is empowered to provide single window clearances on a priority basis. In addition, technology should be leveraged to optimise the throughput of existing airports. A comprehensive updated policy framework that addresses these deficiencies under the domain of a Civil Aviation Authority with larger autonomy and flexibility in financial and operational matters is the need of the hour. Skills development and employment in the aviation sector is an area where the government can engage and incentivize private players to establish world class centres for skills development. This will not only address the talent gap to support the projected industry growth but will enable India in developing critical high technology intellectual property. Countries, such as Singapore, that have successfully transitioned from trading and tourism to high technology manufacturing and increasingly into a regional knowledge based economic powerhouse should be benchmarked. The current government has successfully raised business sentiments in the first 100 days. A proactive Civil Aviation Ministry under the gentleman leader, Ashok Gajapathi Raju has been established that is actively engaging with the industry. These are good signs. Decisiveness and speed of execution will determine the growth of the aviation sector in the coming years.

(The writer is the Chairman of the Civil Aviation Committee – AMCHAM, Co-Chair of the Civil Aviation Committee – FICCI and Country Manager – India, Pratt & Whitney, United Technologies. The views expressed in the article represent his personal opinion.) CRUISING HEIGHTS November 2014

India needs to build or upgrade 200 regional airports and an equal number of heliports to enable countrywide air coverage. To attract private investments in this area, the government should consider establishing an inter-ministerial body which is empowered to provide single window clearances on a priority basis 39

ENGINES

GE AVIATION

begins to P A EL test!

Now that the LEAP has “behaved well” on its first flight, narrow body operators can look forward to giant leap forward in their operations with planes that will have the new engines

TESTING WATERS: General Aviation aircraft with Leap1C engine during the flying testbed in October, 2014

he first of the three new Leap engines that will herald the next phase of the narrow body revolution took its first flight on October 9 when the new turbofan took off on a modified Boeing 747 flying test bed from GE Aviation’s flight-test operations centre in California. Called the LeapIA (for the A320neo), Leap1B (for the Boeing 737Max) and Leap1C (for the Chinese Comac C919). The Leap1A that is still to test is the alternative to Pratt & Whitney’s PW1100G geared turbofan, which recently powered the A320neo’s first flight. All variants are on track for certification in 2015, said CFM. “The engine behaved well” during the three-hour flight over California, CFM International said in a statement and added, “(it) completed multiple aeromechanical test points at various altitudes during the nearly three-hour first flight. Over the next several weeks, the engine will complete a comprehensive test schedule that will gauge engine operability, stall margin, per-

formance, and acoustics. The LEAP-1A/1C variants are on track for engine certification in 2015.” “The LEAP engine behaved like a real veteran as we took it through its aerodynamic clearance points,” chief test pilot Steven Crane said in a news release. “The durability and reliability one expects from a CFM product is clearly there. The flight test data also showed the benefits this engine has gained from leveraging GEnx core technology. I think this flight was a very positive foreshadowing of great things to come for the LEAP engine family,” the statement said All three Leap variants will fly on the 747 test bed. The configuration now being tested is the Leap1C and including the nacelle and thrust reverser developed by Snecma’s Safran group sister company Nexcelle. Both Comac and Airbus will closely monitor progress on the engine for the 1A and 1C are almost identical. The LEAP-powered version of A320neo is expected to enter service some six months behind the Pratt & Whitney version in CRUISING HEIGHTS November 2014

mid-2016, but CFM claims it has the larger share of the pie. CFM’s total programme for all the three engines includes 28 ground and CFM flight test engines – the most extensive ground and flight test certification in CFM history. This will be separate to the 32 flight test engines for Airbus, Boeing and COMAC aircraft. Both CFM and rival Pratt & Whitney vouch their engines will produce doubledigit percentage fuel savings. CFM believes the three variants will help it consolidate its position as the top seller of aircraft power plants — a position it enjoys four decades after it was born as a French-American JV. Of course, it has also been helped by Boeing’s 737 MAX that will be powered exclusively by LEAP engine known as LEAP1B, maintaining an exclusive supply deal between the CFM venture and Boeing's most popular model. The LEAP1B version for Boeing will start flying in early 2015, followed by certification about a year later and entry into service in the second-half of 2017.

PurePower PW800 scores

PRATT & WHITNEY

ratt and Whitney continues to climb the charts in General Aviation and it proved recently with the PurePower PW800 engines that are the power behind the new Gulfstream G500 and G600 business jets. The rollout took place at Gulfstream Aerospace Corp’s Georgia headquarters. A 16,000-pound-thrust-engine, the PurePower PW800 engine is optimised for long-range business jets and is based on the same proven, tested core technology used in the PurePower family of geared turbofan commercial engines. The engines have been chosen for five other applications demonstrating the performance, flexibility and robustness of this technology. Many believe that Gulfstream has taken a big big chance with this change in power plant. They have traditionally gone with Rolls Royce (they have worked together since the G1 in 1958), and Pratt & Whitney engines power the G200 and Honeywell engines the G280. But the larger Gulfstream aircraft have always been powered by RollsRoyce engines. Many brokers believe that Gulfstream owners associate their aircraft with RR engines and the relationship was further consolidated with the RR maintenance programme Corporate Care. In fact, some years back with the Gulfstream 650, the final choice was between Rolls-Royce and General Electric. GE was desperate for the project and Jeffrey Imelt, GE’s Chairman and CEO lobbied hard for the project. In the end, Gulfstream decided to stick with Rolls-Royce. But that has obviously changed and the new decision is to go with Pratt & Whitney. It may be the right decision. But it will take time to see what existing customers feel about the change. The PurePower PW800 was launched in 2008 after Cessna selected the engine to power the Citation Columbus, the engine remained in a limbo after the programme was cancelled in 2009. But P&WC ran several demonstrators of the core technology, which is derived from the PurePower PW1000G geared turbofan family for the commercial market. Although the PW800 is in the same thrust class as the PW1200G that powers the Mitsubishi Regional Jet, it is different in several ways. It has no fan drive gear system that decouples the rotation speeds of the low pressure turbine and the inlet fan in the PW1200G. Typically in a long-range business jet the optimization is around high altitude cruise as

SHOWING OFF SKILLS: PurePower PW 800 on display at one of the events

opposed to other turbofan engines that focus on optimised take-off climb and lower altitudes and lower speeds. Rolled out towards the end of October with their flight-test power plants installed, it marks a significant win for the Canadian manufacturer having beaten longterm Gulfstream supplier Rolls-Royce to the deal. Certification of the PW814GA and PW815GA engines that will power the Gulfstream G500 and G600, respectively is expected before the end of 2014. It is anticipated that by the time the PurePower PW800 engine enters into service, the engine family will have accumulated more than 1.5 million hours of service. Building on this, the PurePower PW800 engine, with its proven core, best-in-class availability, technology innovation, and comprehensive service plan, will be uniquely positioned to serve business aviation. The PurePower PW800 engine incorporates the latest generation of technologies in every aspect, from advanced design technologies and state-of-the art manufacturing processes to innovative maintenance functionality. Features include a high efficiency and low maintenance single-piece fan, the latest full authority digital engine control (FADEC) system with advanced diagnostics, as well as lightweight, advanced materials such as titanium and composites to deliver a superior CRUISING HEIGHTS November 2014

performance and availability. The PurePower PW800 engine delivers exceptional fuel efficiency with double-digit improvements over the previous generation of engines in this thrust class. It also incorporates an advanced TALON X combustor which sets a new “green” engine standard with respect to future environmental regulations, including double-digit margin to anticipated CAEP/8 (Committee on Aviation Environmental Protection) regulations for reduced nitrogen-oxide (NOx) emissions and ultralow levels of unburned hydrocarbons and smoke. From a maintenance perspective, the PurePower PW800 engine sets the industry standard, requiring 40 per cent less scheduled maintenance and 20 per cent fewer inspections than other engines in its class. Among the many unique design elements are innovative features such as steps incorporated into the nacelle cowl doors and large access panels in the engine bypass ducts allowing mechanics to quickly and efficiently access the engine core. In addition, the accessory suite has been carefully designed so that most accessories can be replaced in under 30 minutes. To accompany the PurePower PW800 engine, P&WC is defining an entirely new engine service plan that will deliver one of the most comprehensive coverage packages on the market.

ENGINES

Rolls Royce’s CTi fan he CTi fan blades are in business — at least in testing. To be fitted in engines of the future – Rolls-Royce’s Advance and UltraFan engine – the blades have undergone their first flight test. Fitted on a Trent 1000 engine, the composite carbon/titanium blades successfully completed a test flight on a 747 at Tucson, Arizona. Rolls unveiled the designs for the two new jet engines, which are both more fuelefficient and environmentally friendly than anything it has made before and much lighter than conventional blades — with a promise that when combined with a composite engine casing, they can reduce the weight of an aircraft by 1,500lb. “The equivalent of carrying seven more passengers at no cost”, the company said in a news release. What this will do is help the Advance offer at least 20 per cent better fuel-efficiency and carbon emissions and the UltraFan 25 per cent more efficiency than the first generation of Trent engines ever made. Simon Carlisle, Rolls-Royce’s Executive Vice-President for Strategy and Fu-

ROLLS-ROYCE

ture Programmes in Civil Large Engines, said: “This first flight is another major milestone for our Advance and UltraFan engine designs. The CTi fan set will now undergo a range of flight tests.” Rolls-Royce test pilot Mark Lewis said: “The flight went very well and the demonstrator engine containing the CTi fan set performed perfectly, just as expected. “We look forward to testing the system

even more rigorously in the next phase. “Advance and UltraFan, which will later adopt the Trent engine name, could potentially sustain that order book well into the next decade.” The lightweight fan blade, along with a planned composite engine casing, will be part of propulsion system that will be up to 1,500 pounds lighter than current engines, said company spokesman Joel Reuter in a news release.

Engine retrofit programme by GE Honda, Sierra Industries G

With the first production ship set delivered in May, assembly and delivery of the HF120 is continuing from GE’s Lynn facility in Massachusetts. Preparation to transition production to Honda Aero’s new state of the art facility in Burlington by year-end is also progressing as planned. As part of the readiness validation for Burlington, six engines are progressing through various stages of the assembly and test process, including three fully completed engines. The local

test cell has been validated for FAA testing including complete cell correlation and acceptance test plan verification. To date, the HF120 program has accumulated close to 20,000 cycles and more than 10,000 hours demonstrating maturity prior to entering service in early 2015. Rated at 2,095 pounds of thrust, the HF120 engine has set new standards of performance in fuel efficiency, durability, and low noise and emissions.

GE HONDA

E Honda has announced a joint project with Sierra Industries, of Uvalde, Texas, to develop an engine retrofit programme for the legacy Citation Jet platform using the recently certified HF120 engine. This new project, known as the Sapphire programme can be applied to all CitationJet, CJ1 and CJ1+ models. The HF120 engine will provide the CitationJet with improved performance and enhanced productivity. The Sapphire retrofit plan would include FADEC engine management, and a comprehensive suite of upgrades to modernise these aircraft “It’s been a landmark year for the HF120,” said Masahiko Izumi, Executive Vice-President of GE Honda Aero Engines. “Our goals have included supporting the HondaJet certification programme while pursuing new applications for the HF120 – we’re pleased with the progress we have accomplished on both goals this year.” Following the US Federal Aviation Administration’s (FAA) Part 33 certification of the GE Honda HF120 turbofan engine obtained on December 13, 2013, initial European Aviation Safety Agency (EASA) familiarisation sessions have been completed earlier this year. GE Honda expects to achieve EASA validation of the HF120 certification in the first quarter of 2015.

CRUISING HEIGHTS November 2014

VIRGIN ATLANTIC

Partnership to develop low carbon fuel

FROM OUR FILES: (L to R) Jennifer Holmgren, LanzaTech CEO; Richard Branson, Chairman, Virgin Atlantic; and Steve Ridgway former Chief Executive, Virgin Atlantic showing off low carbon fuel

irgin Atlantic recently announced that the UK’s largest bank, HSBC, was joining its partnership with LanzaTech in preparation for a world-first flight using a ground-breaking low carbon fuel. LanzaTech is developing a revolutionary fuel that sees waste gases from industrial steel production being captured, fermented and then chemically converted for use as jet fuel. LanzaTech and Virgin Atlantic have been working together for three years on the fuel’s development, but the addition of HSBC’s vital support to the partnership, along with Boeing and other technical partners, means a proving flight of the new technology will take place within the next year. The support of HSBC will allow production of this innovative new fuel to move from sample size to demo scale – and will produce a sufficient amount of fuel to conduct the proving flight. These are vital steps in the process to achieve American Society

for Testing and Materials (ASTM) certification of the alcohol to jet production pathway. ASTM certification is a significant step towards commercialisation of LanzaTech’s sustainable fuel solution, which is expected to have half the carbon footprint of petroleum jet. Richard Branson, President of Virgin Atlantic, said that Virgin Atlantic was the first commercial airline “to demonstrate the potential of a bio-fuel flight back in 2008 and today we are leading the way again as we work towards cleaner, more sustainable air travel”. He went on to point out that with “the support of HSBC, we are investing in the long term, sustainable future of air travel and we are excited about the carbon savings that this technology could help us to achieve, especially when combined with our super fuel efficient new Boeing 787-9 Dreamliners” (see story on page 22-23). Using the Roundtable on Sustainable Bioma-

terials methodology and assumptions based on commercial production, it is estimated that ethanol from LanzaTech’s process may reduce life cycle greenhouse gas emissions by 60 per cent compared to petroleum fuel. Sir Richard was speaking at the launch event of Virgin Atlantic’s new Boeing 787-9 Dreamliner, an aircraft which uses over 20 per cent less fuel on a per flight basis than the aircraft it replaces. The Dreamliner, which will soon make up 40 per cent of Virgin Atlantic’s fleet, will join the LanzaTech fuel solution as a major contributor towards the airline’s commitment to reduce its carbon footprint by 30 per cent per revenue tonne km between 2007 and 2020. LanzaTech estimates that its process can apply to 65 per cent of the world’s steel mills, allowing the fuel to be scaled up for worldwide use. It will be a commercially viable option for airlines as it is a ‘drop in’ fuel, requiring no modifications to engine or aircraft technology, and will be produced at a cost comparable to conventional jet fuel. Dr Jennifer Holmgren, Chief Executive of LanzaTech, speaking about the technology, said: “Together with our partners, we understand the need to have a fully sustainable fuel that is economic and has no impact on water, land or food resources. From mill to wing-LanzaTech’s carbon recycling platform challenges the status quo. Today, we recycle glass, paper and metals so why not carbon?” Simon Martin, Global Head of Sustainability for HSBC, mentioned that the bank wanted to “support really innovative projects that accelerate the shift to a low-carbon economy. This partnership reflects our commitment to work with suppliers and customers alike to help address climate change, creating an environment in which businesses can be sustainable in the long term.”

A350 secures ETOPS capability up to 370min

CRUISING HEIGHTS November 2014

AIRBUS

irbus’s A350-900 will initially be approved for extended operations up to 370min.The European Aviation Safety Agency (EASA) has cleared the aircraft to enter service with beyond-180min ETOPS (Extended range Twin Operations). Airbus says this marks the first time that a new aircraft type has received such broad approval before service entry. “This means that operators will benefit from the most efficient, reliable and direct long-range routings of any two-engined aircraft,” said Airbus Customers will be able to take the A350-900 with a basic 180min ETOPS capability or opt for 300min and 370min alternatives. The maximum capability potentially enables the aircraft to fly on a single Rolls-Royce Trent XWB engine, during diversion, for some 2,500nm. Airbus said this will give carriers the flexibility to use the type on routes between Australia, South Africa and South America.

BUSINESS AVIATION

Two luxe jets from Gulfstream sways fliers The Georgia-based firm has introduced two new business jets with extra wide cabins, a cruising speed of Mach 0.9 and the updated materials for the interior that make the aircraft a terrific way to fly around the world

he battle between the world's largest business jet manufacturers heated up on October 14 as Gulfstream unveiled two new luxury planes to challenge Bombardier – the G500 and G600 large-cabin aircraft that will enter into service in 2018 and 2019. The first flight of the G500 is scheduled for 2015. Gulfstream estimated it will receive type certification from the US Federal Aviation Administration (FAA) and European Aviation Safety Agency (EASA) in 2017 and will begin deliveries in 2018. The G600 will follow about 12 to 18 months behind, entering service in 2019. “This is another extraordinary day in the storied history of Gulfstream,” said Larry Flynn, Gulfstream’s President. “I could not be more pleased to announce the next generation of Gulfstream aircraft,” he said while formally launching the two new jets. Both versions will be powered with Pratt & Whitney new PWC800 engines assembled in Quebec, Canada and will fly faster and farther than older models while offering some of the features of Gulfstream's largest plane, the G650. According to Gulfstream, the G500 can fly long distances at high speed, including from New York to Geneva at 685 miles (1102 kilometers) per hour. The larger G600 can fly further, the company said, including a potential non-stop flight from Los Angeles to London at 685 miles per hour, or from Los Angeles to Shanghai at 647 miles per hour. Both will be able to carry up to 19 passengers, with multiple living spaces.

Pampering the new kids

ower for the two new models will come from Pratt & Whitney’s new PW800 engines. The 16,000-pound-thrust PW814GA and PW815GA powerplants have the same core technology used in the company’s family of geared turbofan commercial engines. The new engine was on display at P&WC’s NBAA exhibit along with the company’s PW600, PW300 and PT6A engines. Nordam will design, engineer, develop and manufacture the inlet, nacelle and thrust

reverser for the new engines. “This is the largest integrated powerplant system and thrust reverser Nordam has ever built,” said Meredith Siegfried, CEO, Nordam. The new Nordam technology for the project includes an all-composite, asymmetrical pivot door thrust reverser; cowl doors constructed using automated fiber-placement (AFP); a onepiece, composite, double-degree-of-freedom acoustic inlet-barrier liner; and use of AFP “out of autoclave” vacuum-bagged cured material. Honeywell’s new Primus Epic avion-

CRUISING HEIGHTS November 2014

ics with touchscreen technology is being incorporated into the new Symmetry flight decks on the G500 and G600. The five touchscreens mounted in the cockpit will be used for systems controls, flight management, communications, checklists and monitoring weather and flight information. The Honeywell avionics feature the SmartView synthetic vision system, eight-inch diagonal LCD screens for controllers, 2-D and 3-D airport moving maps, cockpit display of traffic information and flight deck connectivity via wireless data loading.

Not only do the two planes optimise comfort (with a wider cabin) and speed (the maximum operating speed for both aircraft is Mach 0.925, the same speed as Gulfstream’s G650 and G650ER), but they come with a touchscreen cockpit display and industry-first active control sidesticks. The G500 has three living areas while the G600 can have up to four, in addition to an optional crew rest area. The new Symmetry Flight Deck system includes active control sidesticks, touchscreen controllers, an enhanced vision system and Honeywell Primus Epic avionics, allowing the pilot and co-pilot to “see and feel each other’s control inputs”, according to the company, “which helps improve pilot coordination in the cockpit”.

In reply to the Gulfstreams, Bombardier said: "It is an evolution in the marketplace that we had anticipated. We have the right airplanes to respond to our customers' needs and continue to be the manufacturer with the largest portfolio in all segments." Bombardier sells small cabin Learjets, medium-sized Challengers and high-end Globals. Gulfstream last year overtook Bombardier as the world's largest business jet maker by revenue, thanks to the success of its G650 long-range large business jet. Bombardier's response, the Global 7000 and 8000 aircraft, aren't slated to be delivered until 2016 and 2017. Bombardier’s delays in introducing new aircraft is giving competitors a several-year advantage. The new Gulfstream planes have list

prices of $45.5 million and $54.5 million, compared with $50 million and $62 million for Bombardier's Global 5000 and 6000 planes. Flexjet, a provider of fractional aircraft ownership services, is the launch customer for the two jets. Flexjet signed an order for up to 50 Gulfstream aircraft, including the existing G450 as well as the new G500 and G650, Gulfstream said. A separate agreement with Qatar Airways includes the purchase of up to 20 aircraft, with orders for the G500 and G650ER, an extended-range version whose first delivery is expected in 2015. Gulfstream did not provide details on the number of specific airplanes or the financial terms involved in the Flexjet and Qatar Airways agreements.

Countdown for HondaJet H

Superior plans for aviation town in Beijing S uperior Aviation Group – the Chinese firm that unsuccessfully tried to buy Hawker Beechcraft in 2012 – is preparing to build an 8 sq km town on the outskirts of Beijing, dedicated to the country's expanding business and general aviation industry. Speaking at NBAA, Tim Archer, Superior Aviation Group chief executive said that the project was a response to the frustration felt by many western manufacturers and businesses about the slow pace of investment in China’s infrastructure to support business aviation. “When completed, this will be the only

town in China to be centred around a modern executive airport — with a 2,400m runway — and designed to meet the needs of general and business aviation aircraft manufacturers, maintenance providers, owners, sellers, and pilots,” said Archer. Superior is currently in negotiations with three undisclosed manufacturing companies to locate their new facilities in the town. The community — situated 20km east of the Chinese capital — will also have a training school, completion centre as well as a hospital, housing development and hotels, said Archer.

onda Aircraft Company recently announced progress and HondaJet programme achievements during a press conference at the 2014 National Business Aviation Association (NBAA) Convention and Exhibition in Orlando, Florida. The HondaJet has begun a demonstration tour for customers as Honda Aircraft and the HondaJet dealer network continue final preparations for entry into service. Honda Aircraft Company President and CEO Michimasa Fujino pointed out that many customers had experienced their first flight in the HondaJet during a special demonstration tour, and “we have enjoyed seeing their excitement as we showcase the aircraft’s capabilities”.

Aerion’s new supersonic business jet

irbus Group and Aerion Corporation have agreed to collaborate on technologies associated with the future of high-performance flights. The collaboration will advance the development and commercialisation of the Aerion AS2 supersonic business jet. To further their mutual objectives, both companies will exchange knowledge and capabilities in design, manufacturing and certi-

fication. Under the agreement, Airbus Group, through its Defence and Space Division, will provide technical and certification support, which will include the assignment of senior engineering staff to Aerion’s expanding development organisation. Aerion and Airbus Defence and Space professionals will work together at Aerion’s new engineering offices in Reno, Nevada.

CRUISING HEIGHTS November 2014

WORLD'S SUPERSONIC JET: Airbus and Aerion collaborate to bring the Aerion AS2 supersonic business jet

BUSINESS AVIATION

Bombardier unveils updated Challenger B ombardier launched a long-expected avionics, interior and propulsion upgrade for the large cabin Challenger 605, but had no plans to announce a similar refresh to the Global 5000 and 6000 despite recently unveiled competitive threats from Dassault and Gulfstream. The recent public launch of the Gulfstream 500 and 600 and the Dassault Falcon 5X and 8X in the past year has raised speculation that Bombardier would reply with a similar product announcement at NBAA. However, Brad Nolen, Bombardier Director of Product Strategy and Market Development, said the company was focused in the near-term to bring the Challenger 650 to the market. It belongs to a segment where Dassault had recently introduced the Falcon 2000LXS. Although Bombardier was aware of what its competitors were doing, the timing of the Challenger 650 was driven by the positive customer response to the Challenger 350 in the super mid-size segment, according to Nolen. The upgrades

show a hike in the list price over the Challenger 605 by $500,000 to $32.35 million. The new avionics suite was already in flight test, with the engines and cabins arriving later. The first delivery will come in the second quarter of 2015. Bombardier delivers first EASA registered jet: Bombardier recently celebrated the delivery of its first EASA-registered Learjet 75 aircraft to the Roullier Group, a company based in France. The aircraft was delivered during a special ceremony at Bombardier’s facility in Wichita, Kansas and will be operated out of France.

The Learjet 75 aircraft, along with the Learjet 70 aircraft, received full type certification from the European Aviation Safety Agency (EASA) on September 12. On the occasion, Simon Burrows, Regional Vice President, Sales, Western Europe, Bombardier Business Aircraft, said, “We are delighted to see the first Learjet 75 aircraft enter into service in Europe, and we are confident that its performance and efficiency, combined with its completely new interior, will allow the Roullier Group to optimise their business missions.”

Just sell jet W

hen times are bad, the first to go out of the door is the business jet. So it is with Tesco, the multinational grocery and general merchandise retailer headquartered in England. The company has put up one of its luxurious aircraft on sale at $34,950,000. It is one of the four jets put on the market after new Chief Executive Dave Lewis took over the troubled grocery giant. The seven-year-old jet (see picture) is one of two Gulfstream G550s owned by the company. The interior of the jet shows large beige, cream leather armchairs, with plenty of space to stretch out. For entertainment, the plane has two DVD players and several TV screens. The Hollywood-style jet was put up for sale in August to make way for a brand new £30 million model. But now that is also on sale. The Gulfstream – flies up to 580mph and boasts full-length beds – ferried bosses between Tesco businesses in Europe and Asia, as well as taking them to visit suppliers. The jet is the perfect amalgamation of beauty, luxury and comfort ability.

CRUISING HEIGHTS November 2014

Small charter operators run into DGCA wall New rule by Directorate General for Civil Aviation (DGCA) redesignates all non-scheduled operators with less than three aircraft as ‘private’ airlines

n its bid to get back to Category 1 after the downgrading to Category 2 by the US Department of Transportation’s Federal Aviation Administration (FAA), the Directorate General for Civil Aviation (DGCA) has delivered a body blow to the country’s air charter industry. Within a span of the next 12 months, around 70 per cent of the country’s air charter operators – and these include Zest Aviation and Freedom Services and Invision Air – will have to close down their ‘commercial‘ operations. Reason: the DGCA’s new rule that re-designates all nonscheduled operator’s permit (NSOP) holders with less than three aircraft as ‘private’ airlines. Incidentally, corporate houses that own aircraft – and they are all NSOP holders – cannot use them to ferry fare-paying passengers. According to the DGCA website, there are 120 NSOP holders but only 39 have three or more aircraft. The DGCA notice, in fact, said that “as part of the process of resolution FAA IASA findings and sustainment initiatives, DGCA reviewed the NSOP categorisation as most NSOP holders fall under the general aviation category or perform limited charter operations mostly for company executives.” The change in rule has obviously raised a lot of dust. The Business Aircraft Operators Association (BAOA) representing the country’s air charter companies is especially concerned. After a thorough assessment of views of all operator members, non-members and other stakeholders, BAOA shared its response in a letter to the DGCA. The letter pointed out that the proposed amendment would severely retard the growth of

Regional/Remote connectivity as it was contrary to the MoCA’s policy. A majority of NSOPs operate only one aircraft and were looking forward to deploying them on remote routes. “It would be in the best interest of the aviation industry to frame regulatory requirement in conformity with the policy of MoCA,” the letter stated. The proposed amendment, said the letter to the DGCA, sought to convert NSOPs into a private category which is “neither a workable nor a practical preposition. In the long-term, this would harm India domestic GA/BA industry, as international companies will take advantage of shortage of small aircraft in commercial category and dominate the charter business in India”. BAOA said that the DGCA needed to study the economic impact of such an order and how it would affect the related sectors of the economy.

Dassault honoured for pollution prevention efforts D

assault Falcon Jet’s Little Rock facility in the US has been presented with a nationally recognised award for its commitment and achievements in pollution prevention. The award was presented in Washington, D.C. by the National Pollution Prevention Roundtable (NPPR), the largest organisation in the United States devoted solely to pollution prevention. Specific examples of reduction in hazardous waste included the transition to reusable ballast

material, the virtual elimination of lead use and the switch to environmentally friendly anti-corrosion coating agent. Antoine Ajarrista, Senior Vice President and General Manager of the Little Rock Completion Center, commented, “We are very proud that our efforts to reduce pollution, while simultaneously increasing efficiency and production capacity, have been recognized with this prestigious award.

CRUISING HEIGHTS November 2014

Further, the letter said that the FAA rules of the USA, the UK and Canada, considered as a benchmark globally, had no such limitations. “These rules facilitate flexibility of operations and encourage the concept of aircraft management, allowing small operators, owning one or two aircraft, to exercise the option of either operating independently or join a bigger operator, as dictated by own business needs. No regulation in a democratic setup can deny such an option to an entrepreneur,” said the BAOA. Increasing the fleet strength from one to three aircraft required financial commitments, which was beyond the reach of most NSOPs. “There is very little business sense to invest in more aircraft at a time when demand in General and Business aviation has been sluggish over the past many years,” said the letter. The BAOA, as the voice of the GA/BA industry in India, urged the DGCA that “the proposal be completely dropped and not pursued any further because it would adversely affect growth of our industry in India”. According to industry pundits, the change in NSOP rules has been prompted by the FAA. The downgrade to Category 2 had happened because the FAA on the basis of its International Aviation Safety Assessments (IASA) programme felt that the DGCA lacked adequate safety oversight capabilities. Once the new rule takes effect, reducing the number of NSOPs considerably, the DGCA’s few airworthiness officers would be able to keep track of the maintenance of the many types of aircraft owned by the NSOPs.

CRUISING HEIGHTS

Net Express D I G I TA L T R E N D S F O R T R AV E L L E R E X P E R I E N C E

Bettering air travel with technology

INSIDE

VISTARA PARTNERS Vistara partners with Amadeus for its Altéa Suite solution

More than 75 per cent fliers are comfortable with wearable technology that helps them in their journey, according to the latest SITA-ATW Passenger Survey

EASY CHECK Alaska Airlines to make check-in process easy

VIDEO WALLS Hyderabad Airport gets video walls at the airport

VIRGIN ATLANTIC

Air India takes off on Twitter

MODERN FLYING: Virgin Atlantic crew in a test to wear Google Glass while checking in passengers

he aviation industry has a collective vision to make air travel a more personal and relevant experience for passengers in the near future. One that is fast and seamless, with no unpredictable processes, no uncertainty or stress. That was the vision encapsulated by the International Air Transport Association’s (IATA) Chief Executive Tony Tyler at its 2013 World Passenger Symposium: “A smooth and hasslefree journey where passengers do not have to break stride from the curb to the gate unless they choose to is the goal. That would deliver tremendous value to passengers and our vision is to work with our airport and technology partners to make it a reality by 2020.” Initiatives have been underway across the air transport community to help realise this vision, reported SITA in the latest edition of the SITA/Air Transport World Passenger Sur-

vey. The Airports Council International (ACI) launched the regional airport collaborative decision-making initiatives. More important, there has been a recognition that greater industry collaboration is crucial to further improving the passenger journey. This was demonstrated by the recent agreement between ACI and IATA to jointly develop Smart Security, which aims to reduce the inconvenience of security checkpoints for passengers, while optimising security screening resources and asset utilisation. The initiative has also included implementing new procedures to facilitate riskbased screening and decision-making. The collective aspiration, the survey pointed out, was summed up by Angela Gittens, Director General, ACI World: “Airports, airlines, control authorities and system suppliers all have a role to play in making the process more ef-

CRUISING HEIGHTS November 2014

ir India recently launched a Mobile App to make bookings quick, simple and convenient while on the go. It also took off on the micro blogging site Twitter. The App is initially available on the Android platform but will soon be extended to the iOS platform as well. The Air India Mobile App allows the user to book tickets, manage the booking, check-in for a flight, look up fare details and also make special requests for meals and wheelchair. Other features like checking flight status, schedule, baggage information, special offers and concessional fares, will be introduced shortly. While launching the Mobile App, Rohit Nandan, Chairman and Managing Director, Air India said that the App will provide the user with ease of booking and check-in with a safe and secure tool. The Mobile App will also help the airline in reducing costs.

D I G I T A L

T R E N D S

F O R

T R A V E L L E R

E X P E R I E N C E

Net Express

InterGlobe hypes its quiet and efficient services

fective, efficient and pleasant for the passenger. Smart Security brings these stakeholders together with the shared goal of transforming the security checkpoint for the benefit of all the traveling public.” However, underpinning future improvements to the passenger journey, and best working practices between industry stakeholders, are two key areas of evolution. One is the ability of airlines and airports to make the fullest use of the latest intelligence inherent in their operational and passenger systems. An example is improving the quality of the passenger’s journey, while maximising the value that they represent to the business. This requires everimproving solutions to the collection and retrieval of data and make it available in a meaningful way. The other area of evolution is the rise of intelligent airports. These airports will be the ones with the ability to track, manage and share in real-time key information about all of their assets. They will have the capacity to quickly make changes to airport processes to optimise the passenger journey. The survey goes on to mention that passengers have no problem with airline or airport staff using wearable technology, such as smartwatches and glass. This SITA/Air Transport World Passenger Survey reported that nearly 77 per cent of the 6,277 passengers surveyed would be comfortable with the use of wearable tech to help them on their journey. The annual global survey, which sampled passengers travelling through the world’s top 30 airports, highlights the growing importance of the tech-savvy passenger. Among the passengers interviewed, almost every passenger (97 per cent) carries a smartphone, tablet or laptop when they fly, and one in five travels with all three. Passengers want to be able to use technology at every point of the journey, and many already do. In total, 76 per cent are using airline apps, and 43 per cent say this has made

a definite improvement to their travel. More than half (53 per cent) want personalised alerts about any delays sent directly to their phones, and 57 per cent want airport maps and directions. Half would like to use their smartphone for boarding. Francesco Violante, Chief Executive Officer, SITA, said: “Travel is better with technology. And tech-savvy passengers expect more personalised apps and services consistently delivered on the web, to their phone or tablet. As new technologies such as wearable tech, NFC and iBeacons become commonplace, they present a great opportunity for airlines and airports to engage directly with their passengers to provide efficient services throughout the journey.” With almost all passengers surveyed carrying a mobile device or computer, the demand for services in-flight is also changing. An increasing number of passengers (56 per cent) want connectivity so that they can use their smartphone, tablet or laptop for in-flight entertainment. Fifty-four per cent want to be able to send and receive emails and text messages and make and receive phone calls inflight. And 45 per cent would use their connected device to purchase food and drinks or browse a virtual duty-free shop. Where once passengers were unwilling to share personal or location information with service providers, 72 per cent are now willing to do so in order to get more personalised services. There is still a reluctance to share information to receive commercial offers, with less than a third of passengers interested in this. But when it comes to improving their journey, for example to reduce queues at the airport, some 40 per cent said they were willing to share their location information. The ninth annual SITA-ATW Passenger Survey was conducted across 15 countries worldwide with nearly 6,300 participants. The 15 countries involved in the survey represent 76 per cent of total global passenger traffic.

CRUISING HEIGHTS November 2014

nterGlobe, recently unveiled its advertising campaign on the occasion of its 25th anniversary. The campaign showed the company’s operations across travelrelated businesses with a film that featured animated characters that go about their work in a quiet and efficient manner, much like the shoemaker’s elves or secret service agents who work behind the scenes in delivering the best. The film was reflective of the 16000-strong employees who strive round the clock to create a seamless travel experience, be it on-board India’s IndiGo; at ibis, a contemporary, international chain of hotels developed by InterGlobe Hotels; or through its technology and airline management business that transforms the way customers get serviced, airlines get managed and pilots get trained. On the occasion of the Company’s milestone, Rahul Bhatia, Group Managing Director, InterGlobe said, “When we started in 1989, we were a handful of individuals with sketchy thoughts and virtually empty pockets. Since we understood the travel industry, we were able to leverage opportunities and create new segments in this sector.”

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Vistara is first with Altea Suite in India

istara has become the first airline in India to enter into a partnership with Amadeus, a technology partner for the global travel industry, to implement the Amadeus Altéa Suite of technology solutions. The Amadeus Altéa Suite is already used by more than 120 airlines worldwide, including Singapore Airlines. Reflecting Vistara’s belief that technology is pivotal to providing a seamless, personalised service, Amadeus technology will power Vistara’s travel reservations, inventory management, airport departure control systems, as well as revenue accounting and revenue management. Vistara CEO Phee Teik Yeoh said that Vistara was all set to transform the Indian aviation landscape. “Our technology partnership with Amadeus will be a key differentiator offering advanced features and an integrated platform for our customers across

multiple channels including mobile and web,” said Yeoh. Vistara has also committed to Amadeus’ e-commerce and loyalty solutions to drive online bookings and optimise their frequent flyer programme. These will also help Vistara derive maximum operational efficiencies, reduce unnecessary waiting times at airports and ensure a seamless experience for its customers. Welcoming Vistara, Julia Sattel, SVP, Airline IT, Amadeus IT Group said that at Amadeus “we are committed to connecting, serving and managing the needs of both our customers and the evolving 21st Century traveller. At the same time, I would like to place on record how pleased we are to sign an agreement which marks the first airline in India to adopt our Altéa solution”. AirAsia India signs agreement with Amadeus: Amadeus and AirAsia India recently an-

Goibibo.com releases air booking app G

oibibo.com has registered a growth of 200 per cent, year on year, on its international air category. On the back of its promise of ‘getting bookings done fastest and in a simplest manner’, the company recently released an all-new international booking application with features such as: Aircraft layout, seat pitch information, alerts such as Late Night Flight and Long Lay Overs; Fare Calendar and a sleuth of super refiners. This makes the user more comfortable and confident while choosing the airline for his international travel. From many differentiated features, a late night flight alert small icon is also available that informs the customer that the option is a late night flight to help in making an informed decision. These are refiners that enable consumers to refine basis transit airports, time bands and more.

CRUISING HEIGHTS November 2014

nounced a new agreement making AirAsia India’s content available to Amadeus-connected travel agencies worldwide. AirAsia India is the most recent member of the AirAsia group to make their content, schedules and fares available through Amadeus. AirAsia India will benefit from Amadeus’ light ticketing technology allowing travel agencies to view and compare AirAsia India fares in the same screen as full-service carriers. Mittu Chandilya, CEO, AirAsia India, said, “In the fiercely competitive Indian aviation industry, Amadeus will help set us apart from the competition. With their unmatched global network of travel agencies and industry expertise, we are confident that Amadeus will be the ideal partner to support our ambitious growth targets.” Ryanair partners with Amadeus: Ryanair and Amadeus have announced a breakthrough new agreement that will bring a wide range of the carrier's fares and full ancillary services content to Amadeus subscribers for the first time in over a decade, via Amadeus' innovative light ticketing technology. The airline's ancillary services content will also be made available. The agreement also means that Ryanair's new Business Plus fares will be made available to Amadeus subscribers, offering business and corporate travellers a tailored package, including flexible ticket changes, a 20kg baggage allowance, fast-track at airports, priority boarding and premium seating.

RezNext tie-up with Cleartrip

ezNext, a true real-time distribution company, and Cleartrip, an online travel portal, have partnered to provide Cleartrip’s customers a real-time hotel booking service. RezNext’s distribution technology connects the Cleartrip platform with the hotel’s system for real-time and faster exchange of data. Amit Taneja, Director-Hotels, Cleartrip said, “Discerning Indian travellers today look for honest and competitive rates, exhaustive choices, room availability and last minute deals. We’re confident of bringing unparalleled convenience to our growing customer base. This is just another step at Cleartrip to showcase to all its partners and users, the ability to make travel simple, with comprehensive content, innovative technology, responsive customer service, and a travel platform that strives to just work better.”

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Nok Air’s free Inflight WiFi service N

the first in Asia to offer free inflight WiFi to our passengers on top of our other free services. This is a testament to our promise of being proactive in bringing new and innovative services to our passengers. Inflight WiFi

will provide our passengers with a whole new travel experience, as they can still connect to what is important to them at 35,000 feet in the air,” stated Patee Sarasin, CEO of Nok Air.

NOK AIR

ok Air has officially launched its free inflight WiFi connectivity solution, becoming the first airline in Asia to provide this service. Satellite connectivity is provided through Thailand's satellite leader, Thaicom PLC. The airline views free broadband Internet access as a value-added service for its passengers to enhance their travel experience. Nok Air is the first airline to benefit from a partnership between Global Eagle Entertainment (GEE) and Thaicom Public Company Limited (Thaicom). In addition to Nok Air, GEE and Thaicom will jointly develop, implement and support inflight connectivity solutions for airlines in Thailand and the surrounding region. “We're very excited to be

Net Express

eBooks for inflight entertainment G

lobal Eagle Entertainment (GEE) has signed an agreement with Le French Book to sell its mystery and thriller novels to airline companies worldwide. Currently, GEE serves over 150 airlines internationally. Airline passengers are ideal audience. According to the 2014 digEcor Passenger Survey report, reading is one of the most popular forms of inflight entertainment, with inflight reading ranking third, after sleeping and watching videos, for flights lasting longer than eight hours. Alexis Steinman, SVP of Software Development and Products at GEE said, “We’re delighted to provide our airline customers with popular full-length books from Le French Book. These titles are a great addition to our extensive catalog of regional and international inflight digital publications.”

Scan your thumb to check-in W

ith new technologies coming in, Alaska Airlines is exploring a novel way to enter the airline’s member-only lounge by scanning thumbprints rather than showing IDs. America's seventh largest airline, Alaska Airlines recently began testing the new identification system for access to its Board Rooms across the country. Travellers scan their index finger at the front desk and an algorithm then converts unique reference points of the fingerprint into a string of numbers associated with that person’s Board Room membership. Around 8,000 people have checked in to the Board Room at the Ted Stevens Anchorage International Airport since the programme began in mid-September. According to the airlines’ officials, 91 per cent of the members who have accessed the club via fingerprints have rated the system ‘good’ or ‘great’.

For free unlimited wi-fi, it’s Schiphol A

Hyderabad Airport live on social media

yderabad’s Rajiv Gandhi International Airport (RGIA) has launched its social media initiative by going live on Facebook along with Twitter and YouTube. After its continuous efforts to provide facilities and services of international standards to the passengers, RGIA has now entered the digital arena aiming to bring its passengers and customers updated information on new services and latest developments at the airport along with creation of a platform for engaging with them, all in real time through social media. Passengers can now remain connected and have access at all times to information on special offerings, retail options, F&B and duty free shopping at RGIA. Speaking on the occasion SGK Kishore, CEO-GHIAL said, “We are happy to announce RGIA’s social media initiative. The increasing use of social media throughout the world has changed the way people communicate and share information. Through social media, we intend to provide an opportunity for better communication with our passengers and customers. This is yet another initiative of RGIA and based on the inputs received, we believe that we can further improve the passenger experience.”

msterdam Airport Schiphol recently announced that it was offering free unlimited wi-fi access from anywhere in the airport terminal. Wi-fi access in the airport terminal is available 24 hours a day, 365 days a year. Users have to simply select Schilphol Airport_WiFi on the login page. Schiphol had been offering free Wi-Fi access for a maximum of one hour since December 2010.

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Video walls @ RGIA T

RGIA

he Rajiv Gandhi International Airport (RGIA), Hyderabad has launched video walls and Automated Voice Announcement System (AVAS) at the airport. According to the airport, four video walls have been installed at the airport with each having 12 screens, driven by high-performance multi-HD output media players for 24/7 performance. The video walls are installed in all high-traffic customer areas within the departures area, and in the airport village at the arrivals, thereby ensuring an all-encompassing experience for passengers along with visitors who come to receive their near and dear ones. Focusing its environmentfriendly initiatives, the RGIA has also launched Automated Voice Announcement System (AVAS) at the terminal. The state-of-the-art display allows passengers to know about flight timings, information on transport to and from the city, retail and F&B environment details like shopping, dining and other facilities/services available at the terminal. In addition, the walls also display multiple modes of information ranging from sports to news.

Watch it to board

Edinburgh Airport tests Google Glass tech

beria, the flag carrier of Spain, and Samsung have teamed up to offer customers something new to the market: the boarding pass on their wearable devices, Samsung smartwatch Gear 2 and Gear Neo. Customers can bring their boarding pass on their wrist and simply board their flight. To download the app, customers have to enter the app store Samsung Galaxy Apps and get the Iberia application compatible with Gear 2 and Gear Neo. Miguel Angel Henales, Director of Digital Business Iberia, said, "In iberia. com we are continually adding new services and technologies. We believe that this innovative boarding pass will have a very well received by our customers.”

dinburgh Airport, UK, has been testing the new Google Glass. Google Glass can display digital information in a handsfree format and enables communication through the internet using voice commands and take pictures by winking. Until the end of the year, the airport's customer welcome team, Blackjack, a division of Omniserv, will use Google Glass to provide up-to-date flight information, foreign language translations and responding to general airport enquiries. Introduced at Heathrow earlier in 2014, the eyewear technology is currently undergoing testing in the check-in hall to help assist passengers in the best possible

way. Gordon Dewar, Chief Executive at Edinburgh Airport, said: “We’re always looking for new and innovative ways to improve the airport experience for our passengers and Google Glass trial is a great example of how we're thinking out the box.”

Lufthansa welcomes initiative to allow electronic devices

LUFTHANSA

light modes for passengers’ personal electronic devices will be a thing of the past and passengers will be able to leave their smartphones, tablets and laptops switched on from gate to gate, according to Lufthansa. This will be made possible by an initiative introduced by the European Aviation Safety Agency (EASA) in Cologne. Jens Bischof, Member of the Lufthansa German Airlines Board – Sales, Product and Marketing, said, “We welcome this logical step and hope that it will get a green light soon from the aeroplane manufacturers and the German Federal Aviation Authority. For our guests who already value our broadband internet on all long-haul routes, this is a practical addition.” The company is also working to offer internet on short and medium-haul routes and an international call for tenders has already been put out. Exactly, when and for which aircraft types the new regulations will apply, has not been determined yet. The technical basis for the global easing of restrictions on the use of electronic devices is that the board systems of commercial aircraft have been proven to be well shielded.

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FOCUS ON ‘COPTERS P54

P55

AIRBUS' MISSION

BELL AT NBAA

Airbus Helicopters and Priority 1 on Air Rescue mission

Bell Helicopters displayed Bell 429 at the show

NEW MISSION: Xavier Hay, Managing Director of Airbus Helicopters in India and Mickael Melaye, Head of Operational Marketing for Airbus Helicopters with the mock-up of EC225

Choppers in critical role play As the country‘s oil and gas exploration and production moves farther out into the seas, helicopters become the sole means of transport. A recent seminar discussed the unique challenges faced by the industry

he demand for oil and gas in India is rising at a matching rate. Not only is the country’s market potential huge, but in recent years India has emerged as one of the most prospective regions in the world with major oil and gas discoveries, both onshore and offshore. The oil and gas sector offers a considerable opportunity for investors and shows healthy development in conformity with the escalation of the economy. The New Exploration Licensing Policy (NELP), which was envisaged to deal with the increasing demand-supply gap of energy in India, has confirmed to be successful in attracting the interest of both domestic and some overseas players. As oil and gas exploration and produc-

tion moves farther in the seas, the industry is faced with unique challenges as offshore driling and production platforms are among the world’s most extreme places in the world to work. In most cases the crew can only reach their workplace by helicopters and any emergency plan pivots around helicopters. Helicopters play a vital role in all the stages of an offshore project. From the initial stages of seismic scanning and exploration to development and production, they enable movement of crew and material in a safe and efficient manner. The utility of helicopters in emergency assistance during an offshore project is unparalleled due to maneuverability and speed. These missions are very demanding and are often performed in

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adverse weather conditions depending on the area of operation. Twin-engine helicopters with the following characteristics are usually required for such missions: • Wide range of dedicated mission equipment • Protection against corrosion and lighting • All Engine Operative (AEO) and One Engine Inoperative (OEI) performance • Large access and comfortable cabin with emergency accesses to reach rows of passenger seats • Extremely high availability rate to answer to a huge number of flight hours Helicopters have been used in offshore oil and gas missions in India for a long time

FOCUS ON ‘COPTERS

HELI WORLD: A section of participants at the seminar in Mumbai on use of helicopters in the Indian oil and gas industry

now. As the oil and gas indsutry in the country grows, the demand for helicopters and the complexity of the offshore missions too are growing. To take a look at the current scenario, Airbus Helicopters India, a part of the Airbus Group and a global pioneer in aeronautics, space and defence-related services, recently organised a one-day seminar on use of helicopters in the Indian oil and gas industry at Mumbai. The seminar was inaugurated by Xavier Hay, Managing Director of Airbus Helicopters in India. He emphasised that the “O&G sector is a pillar of development for the Indian economy and helicopters have played a major role in its development. Helicopters have proved to be a critical asset in the entire lifecycle of an offshore oil and gas project”. He also added that Airbus Helicopters was actively involved in India for offshore missions for several years now. “A winning combination of advance technology, simplicity and reliability makes Airbus Helicopters’ aircraft a machine of choice for offshore operators,” said Hay. The seminar brought together the oil and gas companies, helicopter operators and International Leasing companies in a setting that encouraged dialogue among all stakeholders. The unique platform enabled the stakeholders to exchange ideas and share their experiences in the area of helicopter operations in the oil and gas sector in India. During the seminar, participants discussed key topics such as the future of oil and gas sector in India, role of helicopters, unique challenges in India and regulatory mechanism among others. It was noted that due to the increasing demand for safer and more effecient offshore operations, drilling

companies were now looking for helicopters with higher performance levels, better safety standards and latest technology. Participants learnt that to answer the increased requirements of the drilling companies and helicopter operators, Airbus Helicopters was introducing its latest and most advanced products — EC175, EC145 T2 and EC225e — in India. Mickael Melaye, Head of Operational Marketing for Airbus Helicopters was the spokesperson at the seminar and

shared his rich and extensive experience in the helicopter industry. Introducing Airbus Helicopters’ new products, EC175, EC145 T2 and the evolved EC225e in the Indian market, he said, “ I came in India in 2011 to introduce the EC225 and here I am again to introduce these new machines to the Indian market. We believe that the Indian industry will benefit tremendously by the latest technology that Airbus Helicopters brings to India with these new machines.”

Airbus Helicopters, Priority 1 SAR team up T he teaming of Airbus Helicopters and Priority 1 Air Rescue for Search and Rescue (SAR) mission training was highlighted by the two companies’ joint presence at the Helitech International Exposition and Conference in Amsterdam. With courses for both pilots and crew, this mission training combined the full resources of Airbus Helicopters as one of the world’s leading rotorcraft manufacturers with the emergency response instruction capabilities of Priority 1 Air Rescue, a leader as well in its domain. Courses offered included SAR mission planning, hoist operation, flood/ swift water rescue, mission mountain/ vertical surface cliff rescue, maritime boat/vessel rescue, basic mission fastrope, basic mission rappelling/abseiling, air medical evacuation, and basic utility external load operations/aerial firefighting missions.

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EC135 T3 receives EASA certification: The European Aviation Safety Agency (EASA) certified the new EC135 T3 by Airbus Helicopters. “Following in the footsteps of the successful EC135 T2+/P2+, the EC135 T3/P3 again sets new standards in terms of performance, safety and reliability for the EC135 family of helicopters. This new version, like the previous ones, will offer the most competitive operating costs in this helicopter class. The nearly 1,200 EC135 helicopters delivered have clocked up over three million flight hours world-wide”, said a company statement.

Bell Helicopter showcases luxury at NBAA B

NBAA

ell Helicopter displayed the Bell 429 in corporate/VIP configuration at the National Business Aviation Association (NBAA) 2014 conference, in Orlando, Florida. In addition, Italy-based Mecaer Aviation Group featured a mockup of the Bell 429 MAGnificent interior. The Bell 429 is one of the advanced light twin helicopters, offering a fully integrated glass cockpit with advanced drive system and best-in-class WAAS navigation and IFR capability. Additional safety features include a collective mounted throttle, damage tolerant hub and rotor system, and energy attenuating seats. It is the first helicopter certified through the MSG-3 process, resulting in reduced maintenance costs for operators. Danny Maldonado, Bell Helicopter's Executive Vice President of Sales and Marketing said, “This aircraft and particular configuration have proven to be a popular choice, making up more than 40 per cent of our Bell 429 customer base worldwide.”

A file photo of Chetak Helicopter

ttar Pradesh government has decided to sell off two choppers — a Chetak and a Bell 230 helicopters and a plane owned by the government. The Chetak helicopter was assembled in 1994 by Hindustan Aeronautics Limited (HAL). With over 3,000 flying hours, the chopper was in use during the previous Mayawati government. It was only

after 2009 that the helicopter was parked in the hangar. On the other hand, the Bell helicopter was last flown till June this year. The seven-seater chopper was in use by the Akhilesh Yadav government until the Lok Sabha elections and is still said to be in serviceable condition. The state government recently decided to buy a brand new chopper and an aircraft. In July, the civil aviation department had floated a global tender for purchase of two flying machines to be used for VIP operations. According to sources in the civil aviation department, the chopper and the aircraft will have twin turbine engines for better safety. Costing around `45 crore each, the two will be used for travelling by the Chief Minister, cabinet/state ministers and state officials.

Chopper service for Chamunda Devi Temple New chopper for AP Chief Minister TELUGUDESAM.ORG

rivate chopper firms operating the Char Dham Yatra are now winding up their services due to poor turnout of pilgrims. Earlier, the firms had to end operations due to heavy rains. The companies had resumed chopper services on September 15, expecting a large number of pilgrims. However, of the three private firms, only one is offering the chopper rides presently. In May, when the portals of the Char Dham Yatra were opened, the state government had given licences to over six firms to offer chopper services. In the peak season, over 500 pilgrims were flown to Kedarnath via choppers on a regular basis. The number of pilgrims opting now has come down to around 30, that is commercially not viable for the firms to continue the services.

UP's two choppers to go up for sale

HAL

Poor turnout hits services P

helicopter service was recently inaugurated for the Himani Chamunda Devi Temple on the hilltop of Dhauladhar ranges in Kangra district, Himachal Pradesh. The heli-taxi service, from Chamunda Temple to Himani Chamunda Temple, was inaugrated by Himachal Urban Development Minister Sudhir Sharma. The service will be a 15-minute journey by helicopter operated by a private player, according to the Minister. “The Himani Chamunda Devi Temple is to be developed as a tourist destination as the government has a plan to connect the highaltitude place with a motorable road,” Sharma said. He said he had directed officials to prepare a project report for constructing a road to the temple site which is located at an altitude of over 10,500 feet. “The Himani Chamunda temple will be developed on the pattern of Vaishno Devi temple in Jammu and Kashmir. As the old temple now gets linked by air, the Sidh Peeth Adhi Himani Chamunda Temple shall become a very attractive tourist and pilgrimage centre of the area,” said Sharma.

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ndhra Pradesh Chief Minister N Chandrababu Naidu will soon get a helicopter and a private jet to tour various parts of the state. The government will spend over `150 crore to buy the helicopter and the plane. After the fire accident two years ago in which an Agusta Helicopter AW 139 was destroyed at the Begumpet airport hangar, the Andhra Pradesh government had not purchased a new helicopter. Telangana state has also decided to acquire its own helicopter for the use of its CM K Chandrasekhar Rao. Meanwhile, the National Insurance Company released `68 crore for the destroyed Agusta helicopter. This money will be divided between Andhra Pradesh and Telangana state since the state has been bifurcated. The insurance money would be distributed in 58:42 ratio between AP and Telangana.

AIR CARGO

Airfreight volumes go up

lobal air freight markets showed continued robust growth in air cargo volumes in August, according to the latest data from the International Air Transport Association (IATA). Measured by freighttonne-kilometers (FTKs), volumes rose 5.1 per cent in August 2014, compared to August 2013, while capacity grew at a slower pace of 3.4 per cent from the previous year. This is the second consecutive

e-AWB penetration sets record

strong month for cargo volumes, following the 6.1 per cent year-on-year rise recorded in July. “The outlook for air cargo is clearly getting better. However, there are some limiting factors on the extent of potential gains. Demand for air cargo is growing more slowly than global economic activity. Businesses are reported to have more confidence in the future, but the list of political and economic risks continues to moderate how that confidence translates into actual activity,” said Tony Tyler, IATA’s Director General and CEO. Carriers in all regions reported an expansion in volumes. African airlines led the pack with the strongest growth of air cargo demand – 9.2 per cent year-on-year – with capacity growth of 4.2 per cent. Although this was the second consecutive month of strong growth, the volatility of African data, coupled with the slowdown in key African economies such as South Africa, IATA said it was too soon to understand the extent to which this represented a real and sustainable acceleration.

Saudia appoints ECS as GSSA

audi Airlines Cargo Co. appointed ECS Globe Air Cargo India Pvt. Ltd as its General Sales and Services Agent in India. “We look forward to working jointly with ECS to further develop our business in India. I am confident that together with their efforts, our clients in India will benefit from this exclusive partnership,” said Keku Gazder, Regional Director for the airline in the Indian SubContinent. “ECS India is honoured and happy to be the GSSA for Saudia Cargo in India,” said Rajendra Dubey, ECS Globe Air’s Director of India. “We have a young and dynamic team who will put forth their best efforts for the continued growth of Saudia Cargo,” he added. ECS operates 10 offices at major domestic and international airports in India, including New Delhi, Mumbai, Lucknow, Bengaluru, Hyderabad, Chennai, Cochin and Calicut. The company supports two freighter flights and 54 passenger flights for the carrier.

DHL plans pilot drone project

ugust set the record for the fastest month for e-AWB growth: at 2 per cent globally. Adoption speed is now four times that of the same period last year. There are now 20 airlines that have achieved over 20 per cent e-AWB penetration, compared with only seven at the start of the year. In airports such as Hong Kong, Singapore, Doha, Addis Ababa and Dubai, eAWB penetration now exceeds the 50 per cent mark, while many other airports show penetrations in the range of 30 and 40 per cent. The top 10 airlines that contributed to the sharp rise include South Africa Airlines, Saudi Arabia Airlines, EgyptAir, SriLankan, Delta Airlines, United Airlines, China Airlines, Air France, Air Canada, and IAG. Contributing to this acceleration were the joint industry initiatives launched in the Nordics, India, USA, Germany and others helped in accelerating the e-AWB adoption. It is expected that e-AWB adoption will even grow further as more than 77 airlines and 1,300 freight forwarders already signed up for the initiative. Meanwhile, Qatar Airways Cargo and Qatar Customs also signed a Memorandum of Understanding (MoU) for the use of eAWB.

HL Parcel has announced plans to trial a project on the North Sea island of Juist, where it will fly medicine and other urgent items by parcelcopter, the company’s name for its drone. The project will be the first time in Europe that a flight by an unmanned aircraft vehicle (UAV) will be operated outside of the pilot's field of vision in a real-life mission. The parcelcopter had its maiden flight in December last year. Since then it has been modified to better withstand the wind and marine-weather conditions of the North Sea. The flight route to the island of Juist is roughly 12 km and the flight will be completely automated at an altitude of

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50 meters. The parcelcopter can travel up to 18 meters per second depending on wind speed. “Our DHL parcelcopter2.0 is already one of the safest and most reliable flight systems in its class that meets the requirements needed to fulfill such a mission,” said Jürgen Gerdes, CEO of Deutsche Post DHL's Post - eCommerce - Parcel Division. “We are proud that this additional service can create added value for the residents of and visitors to the island of Juist and are pleased with the support we have received from the involved communities and agencies,” he added.

Boeing forecasts growth in airfreight lobal air cargo traffic will double in the next 20 years, enjoying annual growth of 4.7 per cent as international trade picks up after a long period of stagnation, US aerospace giant Boeing predicted. Boeing also said it expects its air freight traffic to more than double by 2033. Carriers will buy 840 new freighter planes valued at $240 billion in the next 20 years on a revival in air-freight traffic, Boeing said in a statement. Airlines will also convert 1,330 passenger planes to freighter versions in that time. The US plane manufacturer also expected 70 per cent of the 840 new air freighters to be large planes, such as the 747-8 and 777, which can carry more than 80 tons of cargo in a single takeoff. Major airline operators were severely hit by the global financial crisis in 2008 and, despite a rebound in 2010, worldwide air cargo traffic has remained flat in recent years. But Boeing, in its biennial World Air Cargo Forecast released at the industry expo in Seoul, said traffic had grown 4.4 per cent on-year from January to July this year. “We see strong signs of a recovery as air

freight traffic levels continue to strengthen after several years of stagnation,” said Randy Tinseth, Vice President of Marketing at Boeing's Commercial Airplanes. “The air cargo market is now growing at nearly the long-term rates,” he said in a statement. The new Boeing forecast shows AsiaNorth America and Europe-Asia will continue to be the dominant world air cargo markets with the most traffic volume. In-

Tiruchi to export more cargo iruchi International Airport is all set to export more cargo as Malaysiabased Malindo Air has started its cargo operations from the airport with daily flights to Kuala Lumpur from Tiruchi. The first shipment of 115 kg of conch shells was dispatched to Penang recently. The airline is now the fifth international carrier to carry cargo from the Tiruchi airport after Sri Lankan Airlines, Tiger Airways, Air Asia and Air India. Airport sources said to a daily that the uplift capacity from Tiruchi had been added with Malindo Air’s decision to lift cargo. The available belly space in the airline’s 737-900 ER series aircraft would be utilised to export cargo from Tiruchi. It is expected that 1.5 to two tonnes of

cargo could be loaded in the available belly space for export. Officials hope that the cargo movements would get a further push once Malindo Air establishes the Kuala Lumpur-Singapore connection. “We are expecting in the days to come more cargo from Tiruchi market which looks better,” Nagalakshmi Vijayan, Manager-Cargo, Malindo Air said. Ninety per cent of cargo exported from the Tiruchi airport are perishable commodities such as vegetables, flowers and fruits. Ever since the air cargo terminal was commissioned in 2011, the volume of exports has increased gradually. Exports rose from 2,891 metric tonnes in 2012-13 fiscal to 4,715 tonnes in 2013-14.

AAI

tra-Asia, domestic China and Asia-North America markets are expected to have the fastest rates of growth over the next 20 years. Air cargo traffic increased 4.5 per cent in the first eight months of this year, according to the International Air Transport Association. Asia-Pacific carriers, which make up for 39 per cent of the global airfreight market, posted a 5.2 per cent rise in demand.

BOEING

CRUISING HEIGHTS November 2014

Cargo movement to be automatic

ale’s Airport cargo management software, Galaxy has been enhanced to handle the complex domestic airport cargo movements. The enhanced system which has been live for more than 18 months, completely automates the Domestic Air Cargo Handling operations spanning outbound & inbound cargo processing, EDI, Agent/Airline invoicing and Management Information System (MIS) reports. Galaxy has several unique features in providing complete automation for the Domestic Air Cargo Handling including — a web enabled system, an end-toend outbound cargo processing consisting of acceptance, loading and departure (manifest) process, Inbound process support consisting flight arrival, segregation, finalisation and locating to the warehouse. It also covers transshipment and direct delivery processes. The pricing and invoicing engine allows automatic generation of invoices at AWB level for the charge-line set. The airport cargo handling community benefits by way of a web portal which provides them online cargo status update and enables data exchange between the handler, airlines and agents.

AIR CARGO

Cathay Pacific cargo up athay Pacific Airways recently released combined Cathay Pacific and Dragonair traffic figures for September 2014 that show an increase in the amount of cargo and mail uplifted compared to the same month in 2013. The two airlines carried 147,307 tonnes of cargo and mail last month, an increase of 14.5 per cent compared to September 2013. The cargo and mail load factor rose by 2.9 percentage points to 62.2 per cent. Capacity, measured in available cargo/ mail tonne kilometres, rose by 10.8 per cent while cargo and mail revenue tonne kilometres (RTKs) flown were up by 16.3 per cent. For the year to the end of September, tonnage rose by 11.7 per cent while capacity was up 11.3 per cent and RTKs increased by 14.5 per cent. Cathay Pacific General Manager Cargo Sales & Marketing Mark Sutch said: "Demand out of Hong Kong and the key manufacturing regions in Mainland China and Southeast Asia continued to be strong in September, with traffic spurred by the launch of new consumer IT products in the market. Demand on the North American lanes remained strong and the Americas will remain the key focus of our cargo business as we move deeper into the peak season for airfreight. Demand to and from Europe con-

TAP PortugalCHEP ties up for fuel savings

tinued to fall short of expectations." Wine Lift launched: Cathay Pacific has launched a new aerial freight service specially designed for shipping wine around the world. The latest in the carrier’s specialised air lift series, “Wine Lift” has been introduced to reflect Hong Kong’s “increasing status as a hub for the global wine trade. The service provides wine merchants and customers with a service specifically tailored to meet their requirements for transporting wine in a safe and timely manner, company said. As well as speed, Cathay is also offering temperature controlled shipping and storage at most destinations in the airline’s network.

AP Portugal has signed a four-year outsourcing agreement with CHEP Aerospace Solutions to upgrade the flag carrier’s unit load devices (ULDs) to newer models that are expected to reduce the airline's fuel costs by as much as €2.5 million over the length of the contract. Under the agreement, Zurichbased CHEP will assume control and maintenance of TAP’s 3,500 aluminum ULDs and galley carts and add them to their pool of cargo containers, which are serviced by 50 repair stations worldwide. Over time, CHEP also will replace TAP’s ULDs with lightweight containers that will require less fuel to transport, thus reducing carbon emissions by 11,000 tonnes over the next four years. “We were looking for a fully outsourced solution from a hands-on ULD management company that will provide us with significant cost savings and minimal intervention from our staff,” said Jorge Pi Massip, Director of TAP Por-

Emirates SkyCargo launches new LD3

mirates SkyCargo has launched an internally developed LD3 container that keeps temperature sensitive cargo cool when transported on the ground and in the air. Called the “White Container,” it’s the latest addition to Emirates SkyCargo’s Cool Chain portfolio, and has been designed specifically as an intermediate temperature control solution which is ideal for generic healthcare products and food perishables. The inside of the White Container is coated with thermal insulators, which prevents the transfer of outside heat into the container, and uses coolant trays allowing handlers to add or replenish dry ice or coolants without disturbing the packaging. It can be used for shipments requiring temperatures between 2°C-8°C and 5°C-25°C and is a reliable solution for time and temperature sensitive cargo that do not fall into the very high sensitive category. “After two years of intensive research and development by our team, we are introducing a new cool chain of-

fering to the air freight market. The White Container is an affordable option and does not replace Emirates SkyCargo’s high-end Cool Chain Premium solution. Instead it offers an intermediate solution that is cost effective for commodities, such as generic

CRUISING HEIGHTS November 2014

healthcare products and food perishables. It’s also environmentally friendly and meets all regulatory requirements,” said Moaza Al Falahi, Emirates Vice President Cargo Product Development and Local Affairs.

tugal’s Lisbon hub. “Our in-depth due diligence process and analyses confirmed that a partnership with CHEP will reduce TAP Portugal’s ULD fleet size by approximately 15 per cent, and we can benefit from the synergies with CHEP’s global ULD pool,” he added. SIA Cargo signs deal with CHEP: Singapore Airlines (SIA) Cargo has appointed CHEP Aerospace Solutions to maintain and repair its fleet of ULDs. Under the five-year contract, CHEP will provide repairs for 16,000

APPOINTMENTS

containers for SIA, as well as Scoot, SIA's medium- and long-haul low-cost subsidiary. CHEP will expand its operations in Singapore to support the new business. The ULD management company recently won a contract with Cathay Pacific, and American Airlines also renewed its contract. Repairs will be carried out across CHEP's extensive global network, including stations in Europe, North America and Asia-Pacific. CHEP Aerospace Solutions will also be expanding its operations in Singapore to support this new business. CHEP Aerospace Solutions President, Dr. Ludwig Bertsch, said: "Following our recent ULD management contract win with Cathay Pacific and retaining ULD repairs for American Airlines as subcontractor to their recently announced ULD outsourcing arrangement we are very pleased that the great momentum continues and Singapore Airlines Cargo has selected CHEP to maintain and repair its global fleet of ULDs. We are committed to providing world-class levels of service to all our business partners and welcome Singapore Airlines Cargo to our ever-expanding customer portfolio."

@Cathay Pacific

Sandhya Suraj Kankanady has been appointed as Cathay Pacific Airways’ Assistant Regional Corporate Sales Manager - South Asia. Kankanady will oversee Corporate Sales for South Asia based in Bengaluru. She joined Cathay Pacific in 1998 through a GSA representation and continued till 2006 as a Customer Sales Officer. In 2010, she rejoined Cathay Pacific as an Account Manager, Karnataka, overseeing both trade and corporate sales. Abhijit Abhyankar has been appointed Regional Marketing Communications Manager-South Asia. In his new portfolio, Abhayankar will be responsible for the development and execution of all marketing communications’ activities for Cathay Pacific and sister airline Dragonair, in South Asia based in Mumbai. Abhijit Abhyankar began his career in the Hospitality Industry in 1999 and has worked with Ambassador Hotel, Le Meridien & Holiday Inn. He joined Cathay Pacific Airways in November 2009 as Corporate Sales Manager and in October 2010 he was appointed Area Sales Manager – Northern India.

Rajesh Menon has been appointed Regional Sales & Marketing Manager - South Asia and will be responsible for overseeing the sales and marketing for Cathay Pacific Airways in the South Asia region from Mumbai. Menon has been with Cathay Pacific since 2005. He joined the airline as Assistant Airport Services Manager at Mumbai Airport. Thereafter, he moved to Chennai as Airport Services Manager. In July 2010 he was appointed Area Sales Manager – Tamil Nadu & Kerala. In 2013, he was instrumental in setting up Cathay Pacific Airways operations in Qatar in 2013. He replaces Rakesh Raicar who has taken up his new role as Country Manager, South Africa & Indian Ocean based in Johannesburg. CRUISING HEIGHTS November 2014

Jettainer manages ULDs for AA

merican Airlines (AA) Cargo has appointed Jettainer to manage the fleet of containers and pallets across the American network. Jettainer will equip the airline with eco-friendly lightweight containers for the next five years and therefore make a significant contribution to reducing the airline’s carbon dioxide emissions and provide fuel cost savings. American currently uses more than 15,000 ULDs (unit load devices) to transport both air cargo and baggage on board its aircraft. Lightweight containers will replace many of the airline’s existing units by March 2015. The lightweight container change will provide over 500,000 gallons (1.9 million litres) in fuel savings and a reduction of more than 5,000 metric tonnes in carbon dioxide emissions per year. This initiative adds to the other efforts at American with a goal of reducing their overall carbon footprint. “We’re very proud that the world’s largest airline is now one of our customers. It’s our aim to continue to grow in the Americas and further expand our market leadership by using our innovative solutions,” said Carsten Hernig, Managing Director of Jettainer GmbH. At Dallas/Fort Worth International Airport, the airline’s largest hub, Jettainer will soon open a new office to support the management of American’s ULDs as well as five other operational bases in the U.S. In addition to the new support locations, Jettainer specialists have developed the “JettApp” application to log ULD movements. This innovative technology provides an advanced solution to manage and administer container fleets by efficiently logging ULD data quickly and accurately. The container fleet for American’s hubs and their most important international destinations will benefit from this technology.

SNIPPETS

DOMESTIC AIRLINES

IndiGo flies Delhi to Vizag non-stop I

ndiGo recently announced 10 new domestic daily non-stop flights connecting Delhi, Bengaluru, Hyderabad, Goa and Vizag. Effective October 10, IndiGo announced the first daily non-stop flight between Delhi-Vizag, third daily non-stop flight between Hyderabad-Vizag and sixth daily non-stop flight between Mumbai-Hyderabad. From October 26, IndiGo has started to operate fourth daily non-stop flight between Delhi-Goa and ninth daily non-stop flight between Delhi-Bengaluru. Elaborating on the launch of the new daily flights, Aditya Ghosh, President and Executive Director, IndiGo said, “It is a reason for us to celebrate as we at IndiGo are absolutely excited to launch the daily non-stop flights on Delhi-Visakhapatnam route. Passengers can now have the same day return flight to state of Andhra Pradesh. The recent progressive step by State Government to reduce ATF taxes will help airline to offer even lower fares and improve connectivity from state of Andhra Pradesh.”

Air India starts service to Pantnagar I

n an initiative to connect smaller cities and towns, Air India started a direct flight from Delhi to Pantnagar in Uttarakhand, effective October 14, 2014. In the recent past, Air India launched flights to six regional stations, viz to Bhuj from Mumbai, to Lilabari, Tezpur, Silchar, Guwahati and Shillong from Kolkata. The airline also operates flights from Port Blair to Car Nicobar under charter agreement with the Andaman Nicobar Island Administration. Air India's regional fleet of 8 ATR and CRJ aircraft covers 28 stations in India. The four times a week flight operates with an ATR aircraft. The flights provide quick and convenient connection to government officials, business travellers, students and tourists, among others.

Juhu-Girgaum Chowpatty by seaplane M

umbaikars' wait for the intra-city seaplane flights between Juhu and Girgaum Chowpatty ended as the city recently witnessed the successful trial of the Juhu to Girgaum-Chowpatty flight. MEHAIR along with Maharashtra Tourism Development Corporation (MTDC), has been working on the project for nearly two years and has already obtained crucial clearances from several authorities including the nod from the Ministry of Defence, Coast Guard, Indian Navy, and Mumbai Police, urban development department, Brihanmumbai Municipal Corporation (BMC), Mumbai Port Trust, Mumbai Police, environment department and the Airports Authority of India (AAI), etc. Speaking on the occasion, Siddharth Verma, Co-founder and Director, MEHAIR, said, “With the commercial launch of the service, Mumbai will become one of the few cities in the world that have a seaplane service originating in the heart of the business district. We are confident that

the public at large will see the value of the service and take full advantage of it.” The company is all set to launch flights to Gangapur Dam (Nasik) and Dhoom Dam (Mahabaleshwar) next. A seaplane offers the public at large the 'last mile connectivity’. Essentially a seaplane service begins where normal airliners end and offers connectivity from the last airport to areas even beyond which are remote but have suitable water bodies that can accommodate seaplane operations.

JetAirways’ JetPrivilege introduces MYFAMILY+ J etPrivilege, frequent flyer programme of Jet Airways, recently announced the launch of a novel programme enhancement, MyFamily+. This new programme feature allows JetPrivilege members to connect and link their nominated family member’s accounts into a single MyFamily+ association. The pooled JPMiles can then be redeemed for award tickets on Jet Airways or any of its

20 airline partners that span over 6000 destinations. To set up a MyFamily+ association first need is to become a JetPrivilege member and then decide who will be the Head of the Family (HOF). The HOF can then initiate the MyFamily+ association by inviting up to seven members of the immediate family. Children (ages two to eleven years) can also join the JetPrivilege programme with CRUISING HEIGHTS November 2014

the introduction of this new feature. The HOF will have the sole authority to pool-in JPMiles from the individual family member’s accounts at the time of redemption and can add or remove Members or change the home address. The Members of the family (MOF) will continue to collect Tier Points and move through the tiers of the JetPrivilege elite status individually.

INTERNATIONAL AIRLINES

KLM marks 95 years of its journey

LM Royal Dutch Airline celebrated 95 TRULY SPECIAL: KLM Royal Dutch Airline family years of its glorious journey in the avi- celebrates 95th anniversary of the airline ation industry on October 7, 2014. To mark this milestone, the airline connected with its customers and acquainted them with the spirit of KLM during check-in and on board services from India. For the KLM flight of October 7 ex-Delhi, the airline welcomed riLankan Airlines recently brought the all its passengers with delectable eggless 100,000th tourist from China into the pastries and gave away special souvenirs. island. Yong He and his spouse Huihua To create the birthday atmosphere, checkChen arrived at the Bandaranaike Interin counters on ground were seen decorated national Airport, Colombo via SriLankan around the symbolic ‘blue spirit’ of KLM. Airlines on October 11, 2014, as the travIn addition, the airline in India launched ellers from China to accomplish this siga 10-day social media campaign on Sepnificant number ever since the signing of tember 28, 2014, highlighting KLM’s inthe Approved Destination Status in 2002 credible journey so far. The airline shared between Sri Lanka and China, enabling nine short movies, one each day, reflecting the promotion of tourism between the two KLM’s illustrious past and a preview of the countries. They were welcomed by the Srifuture. Lost and found services: KLM recently inLankan airport staff and the officials of the troduced a unique Lost and Found service SriLankan Tourism Promotions Bureau. SriLankan’s athletes participate in at Amsterdam Airport Schiphol. A dedicatchampionship: SriLankan Airlines’ 13 ed team has been appointed on a mission to award winning athletes were among the return items, found by cabin crew on board team of 100 that represented Sri Lanka in or by KLM airport staff, to their legitimate the 18th Asian Masters Athletics Champiowners — as soon as possible. Every week, onship held at Kithakami, Japan with the KLM receives 40,000 questions via social participation of over 18 countries. Out of media. One of the most asked questions is 13 athletes, veterans Lanil Kulathunga, about getting lost items back. This inspired Deepthi Fernando, Susantha Mawela and KLM to set up a dedicated Lost and Found Gerald Gunasekara made it to the Top team that uses all available information like Eight of their respective events; Javelin seat number, phone numbers and public throw, High Jump and 5000m- Race Walk, social media details to reunite passengers

with their belongings. AF-KLM’s La Premiere service on Bengaluru route: Air France introduced La Premiere, an exclusive and personalised first class service during the winter schedule. Starting October 27, 2014, till March 2015, the first class service will be available on Bengaluru-Paris-Bengaluru route. The aircraft operating on this route is state-of-theart Boeing 777-200. Additionally, with the help of the revised flight timings, Air France brings the west coast closer to Bengaluru, which means that this winter customers can enjoy the shortest flying hours to return back home for travel from San Francisco, US to Bengaluru. The Air France first class journey begins on arrival at the airport, where the passengers are personally received and accompanied by an Air France staff member throughout the trip even during connections for an unperturbed journey. The onboard experience begins with a warm welcome to the elegantly designed seats in subdued hues of pastel shades.

SriLankan flies 100,000th tourist

CRUISING HEIGHTS November 2014

which won them Diploma Certificates for their participation. Susantha Mawela, a winner of the Airlines’ colours this year, has been taking part in the Asian Masters Athletics Championships since 2006 and has won a total of one gold medal and three silver medals.

ANOTHER MILESTONE: Yong He and his spouse, the 100,000th tourist from China with SriLankan Airlines' crew members

SNIPPETS

INTERNATIONAL AIRLINES

BA 787 lands at Chennai B

ritish Airways recently announced Chennai as its latest route to benefit from Boeing 787 Dreamliner aircraft. The city saw an increase in service to daily direct flights between Chennai and London from six weekly flights, as per the current schedule. Effective October 27, the airline started its daily service between Chennai and London to cater to the growing customer demand and provide more convenient options to business and leisure travellers from the city. Christopher Fordyce, Regional Commercial Manager, British Airways, South Asia, said, “Expanding our service from Chennai and bringing our Boeing 787 Dreamliner is fantastic news for British Airways’ customers, offering them even greater choice, along with our range of highly competitive fares, and great on board service. Golfing star Justin Rose tees off: Following his pivotal role in the European Team’s win at Gleneagles, the former US Open champion Justin Rose continued to soar high by demonstrating his shot making skill from the wing of a British Airways Boeing 747. Standing on the wing of a British Airways 747, which has a wingspan of 64m and average height of 6.1m above the ground, Rose hit a succession of balls at a target 180 yards away to secure flights for the charity. Celebrating the partnership between British Airways and the 34-year-old Englishman, the airline helped to raise funds and awareness for the Kate and Justin Rose Foundation, which was set up by the golfing star and his wife to inspire children through nutrition, education, and experiences.

KEEN GOLFERS: (L-R) Gary Lineker, Jamie Redknapp, Justin Rose, Ian Wright and Jodie Kidd practicing their swing before trying to emulate Rose’s success aiming at the 160 yard target

airberlin appoints AVIAREPS G ermany-based airberlin recently appointed AVIAREPS, an aviation marketing and public relations firm, as General Sales Agent in India to mark the next step in developing its presence in the Indian market. AVIAREPS India will work closely with airberlin to strengthen its relationship with the Indian travel trade, enhance airberlin awareness leading to increase sales from India. AVIAREPS will conduct Sales calls to top travel agents and corporate customers, trainings for the travel trade, and will also function as airberlin’s press and marketing office in India.

San Francisco airport honoured T he San Francisco International airport (SFO) has been recognised with 2014 Environmental Achievement Award by the Airports Council International-North America (ACI-NA). In the Mitigation Award category, San Francisco International Airport was honoured for its Recovery Action Plan, which ensures the protection of two endangered species on a 180-acre undeveloped area of the Airport. John L Martin, Airport Director, said, “As an environmental leader in the aviation industry, we are continually focused

FOR BETTERMENT: The San Francisco International Airport (SFO) honoured with a 2014 Environmental Achievement Award for its Recovery Action Plan

on the sensitive use of our land to ensure that protected species can thrive. We are proud to be recognised by the Airports Council International-North America for our mitigation efforts.”

CRUISING HEIGHTS November 2014

American Airlines appoints World Connect merican Airlines has appointed World Connect Pvt. Ltd. as the company’s sales representatives in India effective November 1, 2014. A team of 10 will include a Product Manager, Operational Manager, three Reservation Agents and two Sales Executives based in Delhi plus two Sales Executives located in Mumbai and one Sales Executive in Chennai. American can also call upon additional field staff in other major cities across India. Craig Dewey, American Airlines’ Managing Director Sales, EMEA and India commented: “India is the fastest growing market for travel to the US with nearly 1 million passengers expected to have completed journeys by the end of 2014. India is an important market for American Airlines and World Connect Pvt. Ltd. will help us increase our presence across the country.”

An outside view of American Airlines Centre located in the Victory Park neighborhood, near downtown Dallas, Texas

Cathay Pacific sponsors Sports Day T

he Cathay Pacific Airways Delhi team recently joined hands with Butterflies and sponsored their sports day to support the ‘Right to Play’ initiative of the organisation, as part of their Corporate Social Responsibility. Over 200 under privileged children from different areas of Delhi participated in the event. The team also organised and conducted the games along with the Butterflies team and ensured that the day was enjoyable for the children. Charlie Stewart-Cox, General Manager South Asia, Middle East and Africa, Cathay Pacific, said, “We are a socially responsible company and are committed to contributing towards the community in whatever possible way we can. It is our pleasure to join hands with organisations like Butterflies and support their noble cause. We look forward to working together closely with Butterflies in the future as well.” Cathay releases combined traffic figures: Cathay Pacific Airways recently released combined Cathay Pacific and Dragonair traffic figures for September 2014 that show an increase in both the number of passengers carried and the amount of cargo and mail uplifted compared to the same month in 2013. Cathay Pacific and Dragonair carried a total of 2,489,445 passengers in September – an increase of 4.6 per cent compared to the same month last year. The passenger load factor fell by 0.4 percentage points to 81.0 per cent while capacity, measured in available seat kilometres (ASKs), increased by 8.0 per cent. For the year to the end of September, passenger volumes were up by 5.7 per cent compared to a 5.9 per cent increase in capacity. Patricia Hwang, General Manager, Revenue Management at Cathay Pacific, said, “As anticipated, leisure traffic eased off after the highs of the sum-

mer peak, though demand was still generally robust in all our key markets. Loads to Europe were high while both the UK and Southwest Pacific routes were boosted by returning student traffic. We have put a lot of new capacity into North America, but the growth in passenger numbers and load factors has yet to keep pace. We saw a steady pick-up in demand in the premium cabins in September as we moved into the traditional peak period for business travel.” Satyavir Singh, Head of Street Project, Butterflies said, “We strongly believe in the Right to play campaign. The huge gathering of 200 plus students further strengthens our belief in this initiative. The involvement of Cathay Pacific members in organising games, participating in them and assisting with food distribution added to the spirit of the day and children exhibited more enthusiasm.”

CRUISING HEIGHTS November 2014

SOCIALLY RESPONSIBLE: Cathay Pacific Delhi team with the children, for Butterflies' 'Right to play' initiative

SNIPPETS

INTERNATIONAL AIRLINES

Qatar Airways is Best Business Class airline

atar Airways has been named ‘Best Business Class Airline’ second time in a row, at the Business Traveller Awards 2014, held in London recently. The award follows major recognition in July, at the Farnborough Air Show, where Qatar Airways was again named ‘Best Business Class Airline’ by Skytrax. At the Business Traveller Awards 2014, Qatar Airways was named as a finalist in several other categories – Best Airline, Best Long-Haul Airline, Best Economy Class, Best Middle Eastern Airline and Best Cabin Staff. The Business Traveller Awards are voted for by readers of the magazine with the results authenticated by an independent auditing company and are widely recognised as the airline industry’s benchmark for excellence. Readers base their voting on the strength of the airline’s customer service, its route network and services. Official sponsor of football club: Qatar Airways recently announced a partnership of three seasons with the Al-Ahli Football Club in Saudi Arabia, as official club sponsor. Fahd bin Khaled bin Abdullah, the Chairman of Al-Ahli Football Club said: “Al Ahli Football Club is renowned for its pioneering role in the promotion of the sport in Saudi Arabia. Our partnership with Qatar Airways will support us in our continued journey to be the best in the Kingdom, and beyond.” Akbar Al Baker, Group Chief Executive of Qatar Airways, said: “Since its in-

A STEP AHEAD: (L-R) Fahd bin Khaled bin Abdullah, Chairman of Al-Ahli Football Club, and Akbar Al Baker, Group Chief Executive of Qatar Airways after signing the agreement

ception 77 years ago, the Al-Ahli Football Club has represented a key pillar in the community in Saudi Arabia. Like Qatar, Saudi Arabia has a long heritage of sporting excellence, and we are pleased to be supporting our neighbours as they use sport to strengthen their communities with the positive foundation that sport provides. Celebrating seventh US destination: Qatar Airways recently hosted a signature event at the Ritz-Carlton Dallas, to celebrate the rapid success of its seventh US destination, Dallas/Fort Worth (DFW). Launched on July 1, the DFW to Doha route has greatly expanded connectivity to India, the Middle East, East Asia, and Australia. The event, attended by over 150 guests from the Corporate and Travel Trade spheres, featured exciting entertainment from Grammy award nominee and Texas country music legend, Pat Green, Jazz vocalist and a rising star in the Dallas music scene, CRUISING HEIGHTS November 2014

Hale Baskin, and Texas’ guitar hero Rhett Butler. Marwan Koleilat, Chief Commercial Officer, Qatar Airways said, “This event is in celebration of a long-standing relationship between Qatar Airways and the State of Texas. Our success in Houston paved the way for further expansion within Texas. Dallas/Fort Worth’s response to our award-winning five-star service has been overwhelmingly positive so far.” Partnership for handball championship: Qatar Airways has been named the Official Airline Sponsor for the 24th men’s handball world championship tournament to be held in Doha from January 15 until February 1, 2015. The contract was signed by Ehab Amin, Qatar Airways Senior Vice-President Commercial and Thani Abdulrahman Al Kuwari, Director General of the Qatar 2015 Organising Committee (MWHCOC), at a press conference. As the Official Airline Sponsor, Qatar Airways will play a key role for the Championship, as international teams and sports fans will travel to Doha with 24 participating countries qualified for the tournament including the host nation of Qatar. Qatar launches Frankfurt as first A350 route: Qatar Airways has announced Frankfurt as the first route for its highly anticipated A350 Xtra Wide Body (XWB) aircraft. As the global launch operator of the A350 XWB, the programme will achieve another major milestone once the airline receives its first aircraft before the end of this year. Frankfurt will be operated non-stop daily with an A350 XWB starting from January 2015. The airline has chosen the European city for its first route for the Xtra Wide Body service because of the significant capacity the aircraft provides for the comfort of its business and leisure travellers. Akbar Al Baker, Chief Executive Officer of Qatar Airways remarked, “This year has truly been a Year of the Fleet for Qatar Airways. The airline has demonstrated its commitment to quality and comfort offered onboard and to providing passengers with the leading technology available in the aviation industry. Qatar Airways looks forward to inaugurating our first A350 on the Doha-Frankfurt route, and to very soon introducing this next-generation aircraft on many other cities offered on the airline’s extensive network.”

DYNAMIC GROUP: Air Arabia named 'Global Growth Companies' 2014 by the World Economic Forum

Air Arabia named GGC 2014 A

ir Arabia has been named among the World Economic Forum’s prestigious Global Growth Companies (GGCs) for 2014. Air Arabia joins 27 other GGCs across Europe, Eurasia and the Middle East, representing a broad cross section of industry sectors. The announcement took place at the recently concluded World Economic Forum Special Meeting on Unlocking Resources for Regional Development held in Istanbul, Turkey. Adel Ali, Group Chief Executive Officer, Air Arabia, said, “With this distinction, Air Arabia joins an elite group of fast-growing industry leaders. We have always been considered an innovator and path breaker in the field of aviation, and it is gratifying to be recognised for our efforts and contribution to the MENA economy.”

Above Ground Level Lounges at KIAL he Bird Group, founded in 1971 with the incorporation of Bird Travels, broke new ground by announcing their foray into airport lounges under the brand name ‘Above Ground Level’. The first two lounges are situated in the international and domestic terminals of Kempegowda International Airport (KIAL), Bengaluru. The launch of Above Ground Level Lounges places the Bird Group amongst the few Indian companies to venture into airport lounges in India. Above Ground Level represents young, eccentric and hip lounge where the traveller is guaranteed to experience a feeling of peace while indulging in the various comforts of the lounge. Spread across over 13,000 square feet, with over 250 comfortable seats at domestic terminal and 4,445 square feet at international terminal, Above Ground Level Lounges will play host to around 14-15 million passengers passing KIAL annually. Rajat Maharishi, Chief Operating Officer, Bird Catering and Lounges Pvt. Ltd. said, “Our lounges in Bengaluru will definitely bring a whole new level of comfort and convenience to travellers. Improving passenger experience has always been the key driver of Bird Group. The lounge is designed with seamless flexibility to allow guests to revitalise their mind, body, and spirit, as they relax in the plush comfort of an especially designed seating systems and beautifully fashioned interiors.”

AirAsia connects Hyderabad to KL irAsia recently announced the recommencement of its international route from Hyderabad to Kuala Lumpur, Malaysia. The route will be serviced with daily flights, marking another enhancement to the airline’s extensive route network, connecting more Indians to Kuala Lumpur, which is also one of AirAsia’s Fly-Thru hubs. Spencer Lee, AirAsia Berhad Head of Commercial, said, “We are very pleased to recommence this route, our latest flight service which is set to stimulate and encourage more travel and enhance the international market from our Kuala Lumpur hub, and strengthen our position in India.”

Mittu Chandilya launches Tennis League team

ittu Chandilya, CEO, Air Asia India recently unveiled plans for Bangalore Raptors, his Champions Tennis League team. Inga Chandilya, Mittu Chandilya’s wife and co-owner Bangalore Raptors and Vijay Amritraj, Indian tennis legend were at the press meet in Bengaluru. Bought in his personal capacity, Mittu recently acquired the Champions Tennis League franchise for Bengaluru, the city which is also home to him and the airlines. Champions Tennis League is India’s first international tennis league jointly launched by Vijay Amritraj and All Indian Tennis Association. Sharing his plans for Bangalore Raptors, Mittu Chandilya, said, “This is the first sports venture that my wife Inga and I are getting together as co-owners, the team is like our fourth child. We have put in a lot of thought in choosing the team colours, designing the logo and jersey. Blood Red and Midnight Black, signify the ferocity of the Velociraptors, our team and the vibrant nature of the game. The three claw scratches in the logo symbolize our three sons, who are growing up to love the game of tennis.” CRUISING HEIGHTS November 2014

THE RAPTORS: (L-R) Vijay Amritraj, Inga Chandilya, Mittu Chandilya unveiling the Bangalore Raptors Jersey

BACK PAGE

SHOT … IN A PLANE! I

f ever Alexander and Nadja Laue are asked about the memorable event in their lives, they would, without any doubt, point to their wedding photos. Why? Simply because the shots, according to both of them, were taken in the most romantic of places: an aircraft and an airport. The dramatis personae: Alexander and Nadja Laue. The gentleman’s a pilot and the lady a flight attendant. The two got acquainted with each other – of all places, in the air! It was on a A320 to Yekaterinburg. While First Officer Alex-

Berlin’s five-star hotels. Speaking about the love affair, Alexander said he fell in love with Nadja, since she was the only female flight attendant in the crew. And then came the decision to get married. But before everything else, the two decided that their wedding would be a memorable one. Their only wish: get themselves clicked at a location that would speak volumes about them. So, Lufthansa Cargo chipped in to help the young couple. Named Charlie Bravo and Charlie November, Lufthansa Cargo selected the backdrop for the photos: the

cargo room, the cockpit and the engine. The deed was completed in two hours by photographer Janin Stötzner. He commented that “this is by far the most unusual location, where I have taken wedding pictures so far”. An expert photographer, she set the tone by draping the bride’s train over the engine, or placing the bouquet so that they create the magic of romance. The shoot happened on a sunny Saturday morning last September before the actual ceremony at Schloss Alsheim but when it did, it turned eyes. Visitors

v waved out excitedly and some even took photos of the couple. Technicians, ground handlers and security staff were surprised when they saw the young pilot in a suit and a tie and the beautiful lady in white. The icing on the cake came when the photos were applauded not only by the couple and the photographer and all those who saw them at the airport, but also by thousands of Lufthansa Cargo Facebook fans who sent in comments like “Love storm”, “Wow…awesome…!!”, “Best… Wedding....Photo...Ever”.

TOGETHER IN LIFE AND LOVE:(Clockwise from top) Alexander and Nadja Laue pose in the engine after their marriage vows, in the cockpit, in the cargo hold and on the runway. Photographer Janin Stötzner can be seen focusing her camera for a classic shot.

ander Laue has been flying A340s for two and a half years, Nadja is a flight attendant in First Class after having completed an apprenticeship as a management assistant in hotels and hospitality in one of

CRUISING HEIGHTS November 2014

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