ITALY: Government Will Not Save Alitalia

Alitalia’s staff rejecting a last minute restructuring bid to keep the airline afloat, has not only pushed the European airline to begin bankruptcy proceedings for the second time in a decade, but has also put Abu Dhabi-based Etihad’s European future in question.

Etihad paid €560 million for its 49 percent stake in Alitalia in 2014, the largest individual share of companies invested in the airline, and part of a larger €1.76 billion deal to recapitalise and restructure the company.

At its shareholder meeting on Thursday, the airline has indicated it will stick to its stated position: no more funds to prop up Italy’s struggling national airline.

Staff at the struggling airline are hoping for government intervention.

But Italy has said it will refuse to in and save the company by nationalising it.

And it isn’t hard to imagine that Alitalia going under will have a much bigger affect on Etihad’s business than it will on Italy’s economy, thus putting more pressure on the UAE’s national airline to act to save its investment.

Etihad is invested via equity in Alitalia, Airberlin, Jet Airways, Air Serbia, Air Seychelles, and Virgin Australia.

But it is its European investments are its biggest source of concern.

With Air Serbia, Etihad invested $200 million in 2013 for a 49 percent stake and management rights for five years.

Air Serbia has managed to eke out profits that have grown to one percent of revenue over the last two years. But its profits come from a market where it is unimpeded from the threat of much low cost competition.

According to the Centre for Aviation, low cost carrier Wizz Air, with much smaller unit costs of operation, is beginning to make an entry in the Balkans which could increase the level of competition Air Serbia is currently facing.

Meanwhile, Etihad’s investment in Airberlin has yet to bear fruit.

Etihad has invested into the company four times since 2011, from raising its ownership from 2.99 percent to 29.21 percent, to buying the European carrier’s frequent flyer program for €70 million, all of its Austrian operations NIKI, as well as putting up €300 million in bonds.

Yet despite its shrink to survive strategy, the haemorraging airline reported a loss lost year that had widened 16 percent to €447 million from 2014.

Earlier this year, long time foe, Lufthansa, became a saviour of sorts when it announced a $100 million multi-faceted agreement with Etihad to streamline its European business and wet-lease 38 aircraft from Airberlin’s Niki for its Eurowings subsidiary.

The deal will help stem some of the loss that is expected to bear in on Airberlin’s results which will come out..

It has been suggested Etihad’s European debacle is what prompted the shakeup that will lead to CEO James Hogan and CFO James Rigney’s departure come the summer.

The airline is also speaking with turnaround specialist Christoph Mueller, who revived Ireland’s troubled Aer Lingus before moving on to bringing back Malaysian Airlines a year after two crashes crippled its business.

If Mueller is appointed, he will work with a new airline equity investment chief, Robin Kamark, to help draft a new strategy to save its European carrier business, after the previous appointee departed for personal reasons.



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INDIA: Jet Airways Suspends Pilot Over Assault And Racisim

Jet Airways says it has suspended a foreign pilot from flying duty over allegations he assaulted a woman and hurled racist abuse at another passenger on a domestic flight.

The Mumbai-based airline confirmed the incident took place on April 3 on a Chandigarh-Mumbai flight, adding the pilot in question had been taken off the flying roster soon after and an apology had been extended to the victim.

“As regards the said incident, Jet Airways has noted guest feedback with concern and regrets the incident,” Jet Airways said in a statement on Wednesday.

The airline has, as per policy, initiated a full-fledged investigation, based on specific inputs from guests, concerned departments and agencies.

Cricketer Harbhajan Singh has weighed in on the scandal, although he clarified that he had not witnessed the incident first-hand.

“Not only was he racist, but physically assaulted a lady and abused a physically challenged man ... absolutely disgraceful and shame on @jetairways,” said India’s out-of-favour spinner on Twitter, urging Prime Minister Narendra Modi to reprimand the airline and its pilot.

Strict action must b taken &such things should not be allowed or tolerated in r country.. #proudtobeindian let's get together and sort this
— Harbhajan Turbanator (@harbhajan_singh) April 26, 2017

Scandals have dogged the airline industry in recent weeks, particularly in the United States after United Airlines drew global outrage for forcefully dragging a passenger off an overbooked flight.

Footage of the April 9 incident captured by fellow passengers went viral on social media and caused a public relations calamity for the carrier and airport officials.

Etihad Airways, the national airline of the United Arab Emirates, and strategic partner Jet Airways, India’s full-service, premium international carrier, have signed a groundbreaking agreement with the Government of Maharashtra to promote tourism to the western Indian state.

The partnership will enable both airlines to capitalise on their strong links with Maharashtra and further propel domestic and international arrivals into the state capital Mumbai and beyond. It is the first time an Indian state has signed a tourism collaboration agreement with airlines.

The Honourable Chief Minister of Maharashtra Shri Devendra Fadnavis presided over the signing of the Memorandum of Understanding in Mumbai today. The agreement was signed by Valsa Nair Singh, IAS, Principal Secretary, Tourism and Culture, Government of Maharashtra; Neerja Bhatia, Vice President, Etihad Airways Indian Subcontinent; and Jayaraj Shanmugam, Chief Commercial Officer, Jet Airways. It followed months of discussions between the leadership of both airlines and the state government on exploring ways to collaborate in promoting tourism.

Under the agreement, the three entities will pool marketing resources to participate in travel-trade events in key international markets such as the UK and the UAE, jointly promote ‘Destination Maharashtra’ through advertising campaigns, and organise inbound familiarisation trips for media and travel agents.

Etihad Airways and Jet Airways are key contributors to India’s thriving travel and tourism sector carrying the biggest combined share of international traffic to and from India with one in five travellers choosing either carrier.

Collectively, they operate five flights a day between Abu Dhabi, the UAE carrier’s operational hub, and Maharashtra’s main international gateway of Mumbai with domestic connections across the country. In addition, Jet Airways flies daily between Maharashtra’s second largest city of Pune and Abu Dhabi.

Maharashtra, the third largest state in India, is one of India’s most popular tourist destinations. Mumbai ranks second after the Indian capital Delhi in terms of first port of entry for foreign tourist arrivals into India, and fifth in domestic tourist visits.

Commenting on the association, Shri Jaykumar Rawal, Hon’ble Minister of Tourism, Government of Maharashtra stated, "We are honoured to welcome this opportunity to strengthen our cooperation with Etihad Airways and Jet Airways.

This MoU is the beginning of a strategic partnership with two leading and most important international airlines to attract as many international tourists as possible. Together, we can create benefits for travellers and shareholders.

Our aim is to jointly put in place the best strategies and practices to increase Maharashtra’s marketing footprint and position it as the most preferred destination."

Smt. Valsa Nair Singh, IAS, Principal Secretary, Tourism and Culture, Government of Maharashtra added, "We’re delighted to further strengthen our relationship with Etihad Airways and Jet Airways.

This is a landmark agreement that will provide valuable support for Maharashtra Tourism’s global campaigns and marketing activities, as well as some of the industry’s most important trade and business events. This unique and important partnership between Maharashtra Tourism, Etihad Airways and Jet Airways will boost the state’s image exponentially."

James Hogan, Etihad Aviation Group President and Chief Executive Officer, said, "Being part of one of the world’s largest economies, Maharashtra has plenty to offer to business and leisure travellers.

We are therefore delighted to expand our links to promote tourism to this vibrant state, which we have been serving with dedicated flights for 13 years."

"This agreement represents the first time a state government has ventured into such a tourism partnership with the airline industry, hence we appreciate the opportunity to work with our strategic Indian partner Jet Airways on this breakthrough agreement.

Our combined operation with Jet Airways between Abu Dhabi and Mumbai, complemented by Jet’s widespread domestic services, is further testament to the importance of Maharashtra on our route map."

Naresh Goyal, Chairman, Jet Airways, said, "It is a moment of both pride and honour that the Government of Maharashtra has chosen to join hands with Jet Airways and our strategic partner Etihad Airways in this unique initiative of leveraging our collective resources and impact for strengthening travel and tourism to the state."

"Mumbai is Jet Airways’ home hub and the airline shares a warm and emotional bond with Mumbai and the state of Maharashtra.

We operate our highest number of flights from the city and have always positioned and promoted Mumbai as the gateway to the state and the country. Our mutual network represents a huge market that can be potentially accessed in support of this initiative."

Maharashtra is home to a diverse range of tourist attractions, from beaches, caves, forts, wildlife, tiger reserves, national parks and hill stations, to monuments, palaces, festivals, places of worship, and adventure sports. Mumbai, the international gateway to Maharashtra, is the country’s financial hub and home to numerous museums, architectural heritage and Bollywood, the world’s largest film industry in terms of movie production.

Since Jet Airways began operations from Mumbai in 1993, the airline has flown millions of guests to and from its main hub over the past 24 years.

Mumbai was also the first Indian city to be served by Etihad Airways with the launch of daily flights in September 2004. A second daily service was introduced in November 2013, followed two years later by a third daily frequency.

Etihad Airways has carried more than two million guests on the route over the past 13 years with key inbound markets including Abu Dhabi, London, New York, San Francisco and Chicago.

Etihad Airways’ Indian network to and from Abu Dhabi covers 11 cities that also includes Ahmedabad, Bengaluru, Chennai, New Delhi, Hyderabad, Jaipur, Kochi, Kolkata, Kozhikode and Thiruvananthapuram.

Jet Airways offers the additional Indian cities of Pune, Lucknow, Mangalore and Goa to Abu Dhabi, as well as numerous domestic connections.

During 2017, Jet Airways is scheduled to launch flights from Kannur and Chandigarh to Abu Dhabi, subject to appropriate regulatory approvals and completion of operational readiness at these airports.

Combined, both carriers operate over 250 flights each week between Abu Dhabi and 15 Indian cities.
About Maharashtra Tourism Development Corporation (MTDC)

Tourism is one of the fastest growing sectors in the state, which generates substantial foreign exchange and has culminated in significant employment prospects. Maharashtra Tourism Development Corporation (MTDC) was established with the aim of promoting tourism in the state.

Since its foundation, MTDC has been at the forefront of development and maintenance of various tourist sites and at present owns and maintains resorts in these regions.

To aide tourists, MTDC has opened information centres at all popular destination, which provide travel information about various tourist spots in Maharashtra along with travel maps, Maharashtra tourism guides and travel books at affordable prices.

Maharashtra is one of the most popular tourist destinations in India offering a diverse range of experiences from pristine beaches, wildlife sanctuaries, hill stations, natural caves, waterfalls, to imposing forts, colourful festivals, ancient pilgrimage shrines, museums, and historical monuments. For further details, please visit: maharashtratourism.gov.in
About Etihad Aviation Group

Etihad Aviation Group (EAG) is a diversified global aviation and travel group comprising five business divisions – Etihad Airways, the national airline of the United Arab Emirates, Etihad Airways Engineering, Etihad Airport Services, Hala Group and Airline Equity Partners.

The group has minority investments in seven airlines: airberlin, Air Serbia, Air Seychelles, Alitalia, Jet Airways, Virgin Australia, and Swiss-based Darwin Airline, trading as Etihad Regional.

From its Abu Dhabi base, Etihad Airways flies to, or has announced plans to serve, more than 110 passenger and cargo destinations in the Middle East, Africa, Europe, Asia, Australia and the Americas.

The airline has a fleet of over 120 Airbus and Boeing aircraft, with 204 aircraft on firm order, including 71 Boeing 787s, 25 Boeing 777Xs, 62 Airbus A350s and 10 Airbus A380s. For more information, please visit: etihad.com
About Jet Airways

Jet Airways is India’s premier international airline which operates flights to 65 destinations, including India and overseas. Jet Airways’ robust domestic India network spans the length and breadth of the country covering metro cities, state capitals and emerging destinations.

Beyond India, Jet Airways operates flights to key international destinations in South East Asia, South Asia, Middle East, Europe and North America. The Jet Airways Group currently operates a fleet of 112 aircraft, comprising Boeing 777-300 ERs, Airbus A330-200/300, Next Generation Boeing 737s and ATR 72-500/600s.

Jet Airways, together with airberlin, Air Serbia, Air Seychelles, Alitalia, Etihad Airways, Etihad Regional operated by Darwin Airline, and NIKI, participates in Etihad Airways Partners.

Etihad Airways is part of the Etihad Aviation Group, which also holds minority investments in each of these airlines. Visit jetairways.com

Etihad, Partners to Support Nearly 425,000 Jobs in Africa

Etihad Aviation Group (EAG) and its equity airline partners will support almost 425,000 jobs and are expected to contribute $3.6 billion GDP to the African economy in 2016, as Abu Dhabi becomes a key hub for business travel both into and out of the continent.

A report released by leading international research organisation Oxford Economics Group reveals that EAG and its partners make a substantial contribution to economic prosperity in Africa and throughout the global economy providing vital connections between leading commercial centres and emerging markets.

EAG and its partners will deliver a core economic contribution of $1.1 billion and a tourism contribution of $2.5 billion, said the report.

In turn, they will support 117,000 jobs through core operations, with another 308,000 jobs supported through the tourism contribution.

In 2016, Etihad Airways operates services to 117 passenger and cargo destinations around the world, and is expected to carry 19 million passengers on over 100,000 flights, among which almost 8,300 flights will be to and from Africa serving some 1.1 million passengers in the continent.

Since launching its first service to Egypt in 2004, Etihad Airways has expanded its operations across the African continent with the opening up of outstations in a further eight countries including South Africa, Morocco, Libya, Sudan, Kenya, Nigeria, Uganda and Tanzania.

The core contribution of $1.1 billion includes the impact of EAG’s global operations, its capital spending in Africa, and the operational impact of its partners.

Among this, EAG’s global operations alone will make a $400 million contribution to the economy and sustain 39,700 jobs in 2016, mainly through purchases of products and services from African-based suppliers.

James Hogan, President and Chief Executive Officer of Etihad Aviation Group, said:

“Many jobs across the supply chain in hotels, ground transport companies, freight forwarders, catering, manufacturing, and throughout the tourism industry, all benefit from the presence of the Etihad Aviation Group, with suppliers in these sectors creating tremendous employment opportunities for emerging markets such as Africa.

“These contributions to economies in Africa are substantial. They are also an indication of the continued increase in travel into and out of Africa via our hub in Abu Dhabi, signalling the possibility for even more growth and prosperity across the continent in the future.”

The economic contribution of tourism facilitated by Etihad Airways and its partners is also quantified in the report.

The spending of the 1.1 million international visitors carried into Africa on Etihad Airways and its partners’ flights in 2016 will leave a considerable economic footprint.

This is estimated to contribute $2.5 billion in GDP for the continent, supporting some 308,000 jobs.

By 2024, the number of visitor arrivals carried into Africa by Etihad Airways and its partners is projected to rise to over 3.2 million.

As a result, the GDP contribution grows to $5.6 billion, sustaining 596,000 jobs in the continent’s economy. In addition to the economic contribution, the report also recognises the positive economic impact of the air connectivity Etihad Airways and its partners bring to the continent.

Together, Etihad Airways and its partners will provide a boost to African productivity equivalent to $1.1 billion in 2016. This level of activity is equivalent to 72,200 jobs in the economy.

The productivity boost rises to $2.2 billion by 2024, equating to an estimated 145,000 jobs. EAG was established in 2014 and comprises four business divisions – Etihad Airways, Etihad Engineering, Hala Group and Airline Equity Partners. The group owns minority investments in seven airlines: airberlin, Air Serbia, Air Seychelles, Alitalia, Jet Airways, Virgin Australia, and Swiss-based Darwin Airline, trading as Etihad Regional.

Hogan said: “Our partners play a vital role in driving our business in Africa. Thanks to their networks and infrastructure, we have been able to service Africa more efficiently. Our investment in partner airlines has driven our growth around the world and in Africa.

Chinese Hainan Airlines Flies To “Palestinian Territories”

A passenger aboard a flight of Chinese Hainan Airlines from Beijing to Israel was shocked to notice that the airline was sending him to the “Palestinian Territories” instead of Israel..

According to the report, the passenger wrote on Facebook that he described during the flight that Israel was not featured on the in-flight navigation map and that instead, “Palestinian Territories” was listed.

“I wanted to see how the plane was progressing toward its destination and thus took a look at the in-flight navigation map. I was surprised when I saw that the plane’s destination on the screen was listed as the ‘Palestinian Territories’ and not Israel,” wrote the passenger.

The passenger attached a photograph of the screen, which displayed Syria, Cyprus and Lebanon but only Tel Aviv and Jerusalem without Israel’s name.

In response, Hainan Airlines said, “We thank you for contacting us and turning our attention to this regrettable technical mistake. The airline is working to fix the maps as soon as possible along with the external software supplier.

“We would like to mention that the word ‘Israel’ clearly appears on the maps in the zoomed-in view. We will continue to promote Israel as a tourist destination in China just as we have always done with a lot of pride,” added the airline’s statement.

Hainan Airlines started flights to Tel Aviv’s Ben Gurion Airport half a year ago. The airline currently operates three Tel Aviv-Beijing flights per week which will soon be increased to four. The airline is also considering introducing other flights from Israel in the future.

The incident marks the third time in the last few months that an airline has said it is sending its passengers to “Palestine” while ignoring Israel.

In late August, several Israeli passengers refused to board an Air Serbia flight from Belgrade to Tel Aviv after it was announced the plane was headed to "Palestine", while an Air Serbia representative explained to the passengers that "the flight is to Tel Aviv, not to Israel.”

Air Serbia's CEO later expressed shock at the incident and called it completely unacceptable in a conversation with Israel's ambassador to Serbia, Alona Fisher-Kamm.

Last October, Israelis returning home from Madrid on an Iberia Airlines flight were shocked when the pilot announced that in a few minutes the plane would land in Tel Aviv, in "Palestine."

The startling announcement, delivered in Spanish, was followed by a similar in message in English, albeit without the mention of "Palestine" or of Israel.

The Spanish airline initially apologized for the incident, but later changed its tune and denied it ever occurred.

SERBIA: Air Serbia Takes Delivery Of Its First A330

Air Serbia has taken delivery of its first Airbus A330, which will be deployed in its forthcoming five-weekly Belgrade-New York service, set to start next June 23, thus reconnecting Serbia and the United States with a direct air service for the first time in 24 years.

The aircraft, (A6-EYC / MSN 885) arrived yesterday at the airline’s base at Nikola Tesla Airport in Belgrade, where it was greeted by the customary water cannon salute, together with a delegation of airline representatives.

Onboard the historic flight commanded by Captain Davor Mišeljić, Chief Operations Officer of Air Serbia, there was a group of VIP stakeholders led by Siniša Mali, Chairman of Air Serbia, who highlighted that the milestone was “massive for both the airline and the country.

“Watching our newly-painted Airbus A330 land at its new home in Belgrade for the very first time was a proud moment for us all, showing that Air Serbia is continuing to invest in the future of the airline and Serbia itself,” Mali said.

The arrival of the A330 to Air Serbia is the latest step to modernize the airline, which now largely relies on Airbus aircraft as the core of its fleet. The airline, now 49 per cent owned by Etihad Airways, operates 10 A320 family aircraft and a half a dozen of ATR 72s for its regional operations.

After its arrival at Belgrade, the aircraft will receive is permanent Serbian Registration (to be YU-ARA), and it will be ferried to Abu Dhabi for a final cabin outfitting. The aircraft will be configured with 18 business and 236 economy class seats.

“In the coming weeks the aircraft will be completely refurbished with new Business and Economy cabins which, coupled with our fantastic service offering, will provide guests with an unparalleled travel experience over the Atlantic,“ Dane Kondić, Chief Executive Officer of Air Serbia said in a statement.

SERBIA: Air Serbia

Air Serbia stylized as AirSERBIA is the flag carrier and largest airline of Serbia. The airline was formerly known as Jat Airways until it was renamed in 2013. Air Serbia commenced operations under its new name on 26 October 2013.The airline has its hub at Belgrade Nikola Tesla Airport.

Air Serbia draws its heritage, including the airline code JU, from flag carriers of former Yugoslavia: Aeroput was established in Belgrade in 1927, and was replaced by Jugoslovenski Aerotransport (JAT) in 1948 as the national airline of the Socialist Yugoslavia. After the breakup of Yugoslavia in 1990s, JAT became a flag carrier of Serbia and Montenegro (FR Yugoslavia) and was renamed Jat Airways in 2003. However, the aging fleet and lack of investments caused the company to record financial losses year after year, and several Serbian governments were looking after a strategic partner for the company.

On 1 August 2013, Jat Airways and Etihad Airways entered into an agreement of strategic partnership. Under the agreement, Etihad acquired a 49% stake in Jat Airways and management rights for a period of five years. The Republic of Serbia would retain the remaining 51% and hold five of nine monitoring committee seats in the company.Jat Airways was reorganized and renamed Air Serbia in October 2013 and launched its inaugural flight under its new name on 26 October 2013, from Belgrade to Abu Dhabi.

Air Serbia's logo is a stylized double-headed eagle inspired by the Serbian coat-of-arms. The airline's branding was based on work undertaken by Tamara Maksimović, a 25-year-old graphic designer from Novi Sad.

Serbian tennis player Novak Đoković gave his name to the first Airbus A319, and will be part of the series titled Living legends of Serbia which will appear on the new fleet of the airline. Serbian professional basketball player Vlade Divac gave his name to the first Airbus A320.

The first flight under the new Air Serbia brand operated for promotional purposes on 26 October 2013 initiating the service to Abu Dhabi, with the first revenue flight taking place the following day from Abu Dhabi to Belgrade. Since the launch Air Serbia has introduced services to Banja Luka and Prague on 1 December 2013, Ljubljana and Bucharest on 10 December 2013, Budapest, Sofia and Varna on 30 March 2014 with Warsaw and Beirut on 29 May 2014 and 1 June 2014 respectively.

Plans for Cairo and Kiev have been postponed until further notice. On 5 June 2014 the airline announced the opening of a line to Tirana in the near future. Following an agreement with Turkish authorities reached in Ankara on 16 June 2014, the airline will resume its flights from Istanbul Atatürk Airport on the European side of the city, replacing those from Sabiha Gökçen which it had been required to switch to.

Codeshare agreements
- Aegean Airlines (a number of destinations radiating from Athens)
- Aeroflot (a number of destinations radiating from Moscow)
- airBaltic
- Air Berlin (a number of destinations radiating from Berlin, Düsseldorf, Stuttgart and Vienna)
- Air France (Belgrade-Paris-Belgrade)
- Air China (Beijing-Vienna-Beijing)
- Alitalia (a number of destinations radiating from Rome-Fiumicino)
- Etihad Airways (a number of destinations radiating from Abu Dhabi)
- Etihad Regional (Geneva–Belgrade, Geneva–Lugano)
- KLM (Amsterdam–Manchester-Amsterdam)
- LOT (Warsaw–Tallinn–Warsaw, Warsaw–Vilnius–Warsaw, Warsaw–Riga–Warsaw)
- Bulgaria Air
- TAROM (Bucharest–Belgrade–Bucharest, Bucharest–Chisinau–Bucharest)

From 26 June 2014 till 25 September 2014, Air Serbia entered into a cooperation with Darwin Airline from Switzerland (operating under the brand Etihad Regional following their recent acquisition by Etihad Airways) and leased from them a Saab 2000 aircraft and cabin crew which were used on its route to Banja Luka.

On 22 October 2013, Deputy Prime Minister Aleksandar Vučić said that the possibility of Air Serbia transatlantic flights was discussed, claiming the first flight could be in three years time or earlier, to two destinations in North America, referring to Toronto and Chicago, or possibly New York City,which all would be operated with an Airbus A330-200. On 16 May 2014 Serbia and China signed a new ASA opening the way for future long-haul flights between the two countries.

On November 9, 2015, CEO Dane Kondić and the Serbian Prime Minister Aleksandar Vučić confirmed that Air Serbia will begin operating weekly flights to New York City in the summer of 2016. They will be operating with an Airbus A330-200, which will be likely leased from another Etihad partner. The Serbian Government is awaiting a decision on its application for these flights to be approved

Air Serbia switched operations from Istanbul Atatürk Airport to Sabiha Gökçen Airport on 27 October 2013, after being given unfavourable slot timings at Atatürk Airport. The move was seen as protectionism by the Turkish government of their national carrier Turkish Airlines. On 27 March 2014 the Turkish carriers flying to Belgrade, including Turkish Airlines, were issued only two months temporary permit by the Serbian Civil Aviation Directorate, thus being at risk of having their rights revoked right in the middle of the summer season unless a compromise was found.

During the month of June the dispute intensified with highest level diplomatic representatives from both countries being involved and Turkish Airlines being under threat to be forced to reduce their flights to Belgrade from seventeen to four weekly.

Finally, following a series of meetings in Belgrade and Ankara, on June 16 an agreement has been reached that will see Air Serbia switching its operations from Sabiha Gokcen back to Atatürk Airport while Turkish will have to limit its number of flights from seventeen to fourteen weekly thus ending the row. Soon after Air Serbia officially announced the resumption of operations to Atatürk airport starting August the 1st 2014.

Renamed from SU-Port and shortened as ASGS, Air Serbia Ground Services was the first officially certified supplier of ground handling services in the Republic of Serbia, which has obtained a ground handling certificate issued by the Civil Aviation Directorate. ASGS has been certified to provide ground handling operations which include handling of passengers, baggage, aircraft, cargo and mail.

Since its foundation in 2002 and up to the present day, Air Serbia Ground Services annually provided ground handling services to more than 1 million passengers, on 8500 flights, on behalf of the national air carrier – Air Serbia and other companies.

On 28 May 2014 Air Serbia announced the creation of its technical division, providing services of line-maintenance at Belgrade Airport to Air Serbia and its partner airlines.

In May 2014 Air Serbia launched a new charter brand called Aviolet, which uses Air Serbia's Boeing 737-300 fleet under Air Serbia's JU code with a four digit flight number. Their first service operated on 24 May 2014 to Antalya.

SERBIA: Enhance Air Serbia Travel Experience With Sabre

Air Serbia is introducing a new technology platform to support its growth strategy and enhance the Air Serbia travel experience.

To support this vision, Air Serbia has selected global technology provider Sabre Corporation to provide a full suite of technology solutions and consulting services including Sabre’s industry-leading SabreSonic® Customer Sales & Service (CSS) passenger reservations system.

The agreement will see Air Serbia move to a single, connected platform for passenger reservations, check-in and boarding, and all other critical airline operations including flight operations and network management. In addition, the airline will implement Sabre’s leading-edge airport technology to enhance the service offered by Air Serbia Ground Services at Nikola Tesla Airport.

By migrating to Sabre’s software, Air Serbia will be able to streamline daily operations, reduce operating costs, strengthen revenue generation and retailing, and drive more ancillary revenue opportunities, enabling the airline to provide guests with a personalized service and a better and more consistent travel experience.

“Air Serbia has had phenomenal business growth over the past two years and the shift to Sabre will not only support our continued growth but revolutionise the guest experience,” said Dane Kondić, Air Serbia’s Chief Executive Officer.

“SabreSonic CSS is an integrated, customer-focused platform that will simplify business operations at Air Serbia and provide us with more information about our guests and their preferences, allowing our team to deliver a more individual service. Guests will also benefit from more control and freedom when booking tickets and flying with Air Serbia. For example, we recently rolled out Sabre web check-in as part of the first phase of this agreement, and have processed thousands of passengers in three short months, showing how popular e-Commerce capabilities are for the modern traveller.

“Many of our partners, such as airberlin, Alitalia and Etihad Airways, already use or are planning to migrate to Sabre, and having a common platform will enable Air Serbia to improve customer service for guests on codeshare flights.

“Technology plays a critical role in the ongoing development of Air Serbia and we are happy to work with Sabre, a global technology leader, to ensure we have the right tools to continue growing in a sustainable and innovative way,” said Kondić.

Sabre will provide strategic consulting services across all Air Serbia business areas during the migration process, which is scheduled to be completed by the second quarter of 2017.

“Air Serbia has a bold vision, clear growth strategy, and the opportunity to serve a fast-growing region,” said Hugh Jones, President, Sabre Airline Solutions. “We are very proud to be selected as Air Serbia’s technology provider, and we look forward to supporting their evolution from a national carrier to one of the region’s most admired and successful airline retailers. Europe is a key growth region for Sabre, and we will continue to invest in innovative technology capabilities that meet the region’s specific needs.”

Air Serbia is one of a growing number of European carriers to select Sabre’s technology and passenger reservations system.

Globally, Sabre’s technology is used by 225 airlines, including most of the world’s largest carriers. Its flexible and scalable software solutions allow airlines to operate how they want to and adapt their business to changing needs and requirements.

Sabre’s solutions optimise day-to-day airline operations and ultimately help airlines solve their biggest challenges – driving increased revenues, reducing costs and delivering better travel experiences.

Etihad Airways Named Air Transport World’s Airline Of The Year 2016

Etihad Airways, the Abu Dhabi-based national airline of the United Arab Emirates,waslast night named Airline of the Year 2016 by the prestigious US-based aviation industry publication Air Transport World (ATW).

Leading international industry publication honours Abu Dhabi carrier for its unique growth strategy.

Etihad Airways was chosen for the top honour by ATW’s editorial board in a highly contested competition, with entries from more than 100 airlines around the world. The award recognises Etihad Airways’ clearvision;its successful organic growth supplemented by a unique partnership strategy; its commercial focus which has delivered net profits in each of the last four years; the rapid growth of its highly motivated workforce; its development of innovative products and services, including The Residence by Etihad™; and the airline’s strong executive leadership.

Air Transport World Editor-in-Chief Karen Walker said: “I am absolutely delighted to recognise Etihad Airways as ATW’s Airline of the Year 2016. In a fiercely competitive market where much ends up looking the same, James Hogan and his team prove that you can set your airline apart through innovative thinking, creative customer products and a fierce adherence to delivering against a clear vision. I congratulate Etihad Airways for a most deserving achievement.”

James Hogan, Etihad Airways’ President and Chief Executive Officer, said: “I am pleased to accept this award on behalf of the 27,000 employees of the Etihad Airways group around the world. I applaud their commitment, dedication and hard work in pursuit of our goal to be the world’s best airline.”

ATW’s Airline Industry Achievement Awards were created in 1974 to recognise excellence across a broad range of airline operations and are widely considered as the most coveted in the aviation industry. The magazine is based in the United States with an editorial team that reaches across the world.

News of the award was announced during a reception hosted in New York last nightby Etihad Airways to mark the arrival of its award-winning Airbus A380 daily service from Abu Dhabi to America’s financial capital.

Following a carefully planned strategy of organic growth and strategic investments in selected airlines around the world, Etihad Airways has rapidly developed into an airline of choice, setting benchmarks in service and hospitality, with innovation at the core of its business.

Etihad Airways was recognised by ATW’s editorial board for “fast but thoughtful growth, consistently delivering against its targets and always thinking ahead.” The airline was also applauded for its “excellent numbers on financials, cargo and safety”; its unique partnership strategy that was paying dividends; a willingness to be bold in equity tie-ups boosting the number over the past 12 months to include Etihad Regional and Alitalia;and its strategy of developing ground-breaking strategic contracts with suppliers.

ATWalso spoke highly of Etihad Airways’ “consistently diplomatic, dignified and assured response to attacks by US airlines on Gulf carriers” in which Etihad Airways had developed a powerful defence of its business model and strategy. ATW said Etihad Airways’ executive team, led by President and Chief Executive Officer James Hogan, had maintained the high road and, in doing so, demonstrated industry leadership beyond the company mandate.

James Hogan added: “There have been attacks on our business model but we have chosen to let our service, our routes and our competitive offer do the talking.

“Etihad Airways is not about being the biggest – it is about being the best. It has been a long road to success but we have shown it is possible to change the aviation landscape. I thank ATW for this award, the most highly-regarded in our industry.”

Mr Hogan said Etihad Airways constantly shifted the goalposts in service and product offerings, as demonstrated by last week’s arrival of the airline’s first US service featuring its award-winning Airbus A380s, now flying to New York’s JFK International Airport. The A380, which made its US debut on 23 November, features The Residence by Etihad™ – the commercial airline industry’s only three-room suite with its own butler. And this week, Etihad Airways opened a new lounge for First and Business Class passengers at JFK International Airport – the airline’s second premium facility in the United States – reinforcing its commitment to investing in theguest travel experience on the ground.

Over the past 12 months, Etihad Airways also launched its new Boeing 787 Dreamliner – the first of 71 on order – and inducted the first of 10 Airbus A380 aircraft into its fleet.

A key part of Etihad Airways’ unique growth strategy has been to strike equity partnerships with other airlines. This year, it took a 49 per cent stake in Italian carrier Alitalia in a game-changing deal. This added to minority stakes in airberlin, Jet Airways, Virgin Australia, Air Serbia, Air Seychelles and Etihad Regional.

The airline launched six new routes on three continents during 2015taking its global network of destinations to 116 with a fleet of 120 aircraft. More than 17 million guests are expected to travel on Etihad Airways by the end of 2015, up from almost 15 million last year, while the airline maintain sits focus on profitability.

Air Transport World is an authoritative monthly magazine serving the needs of the global airline and commercial air transport manufacturing communities. Its renowned editors have been nominated for nearly every major aviation journalism award available thanks to their balanced coverage of the airline industry and incisive reports on trends.

The Airline of the Year award will be presented at a Gala Dinner at the 42nd edition of the annual ATW Airline Industry Achievement Awards taking place during the Singapore Air Show on 15 February 2016.

Etihad Airways’ CEO, James Hogan Among Influential Business Travel Executives

James Hogan, President and Chief Executive Officer of Etihad Airways, the national airline of the United Arab Emirates, has been recognized as one of the 25 most influential business travel executives by Business Travel News (BTN), the premier industry publication for corporate travel news. The 2015 list of industry honorees was announced last night at The BTN Group’s Business Travel Trends & Forecasts conference in New York City.

This year’s publication marks the 32nd annual list of Business Travel News’ most influential business travel executives. This prestigious listing recognizes those who have most influenced the business travel industry over the past year.

“BTN identified Mr. Hogan early in the year as a person to watch,” said Elizabeth West, Business Travel News’ Editor-In-Chief. “Completing Etihad’s purchase of a 49 percent stake in Alitalia last December underscored his dedication to a bold equity alliance strategy. This, along with his continued effort to place downward pressure on long-haul airfares, have earned him a spot on our annual list.”

James Hogan, President and Chief Executive Officer of Etihad Airways, said: “Etihad Airways and our 27,000 employees worldwide are reinventing the air travel experience, bringing competition, world-class hospitality and revolutionary new products to our guests, while providing access to parts of the world that would otherwise go underserved or unserved.”

Mr. Hogan continued: “We are not about being the biggest – Etihad Airways has always been about being the best and, through our three-prong strategy of organic growth, codeshares and equity partners, Etihad Airways has been able to compete effectively with carriers much longer established and much larger in size. I thank Business Travel News and I extend my congratulations to my fellow honorees.”

Mr. Hogan was appointed President and Chief Executive of Etihad Airways in September 2006 and has more than 30 years of travel industry expertise. He has since overseen the rapid growth of the airline, which included the launch of six new routes on three continents during 2015, taking its global network of destinations to 116 with a fleet of 120 aircraft with more than 200 aircraft on firm order. The airline operates an expanding network of passenger and cargo destinations in the Middle East, Africa, Europe, Asia, Australia and the Americas.

A key part of Etihad Airways’ unique growth strategy has been to take equity stakes in other airlines. This year, it took a 49 per cent stake in Italian carrier Alitalia, adding to minority stakes in airberlin, Jet Airways, Virgin Australia, Air Serbia, Air Seychelles and Etihad Regional.

In the past few years, Etihad Airways has made significant advances including introducing innovative services that span the globe, including its signature Airbus A380 and Boeing 787 aircraft which offer unparalleled comfort and luxury, such as The Residence by Etihad™, the only three-room suite in the sky (A380), First Class Apartments (A380), First Suites (B787) and Economy Smart Seats (A380 and B787), for its guests – of which more than 17 million are expected to travel on Etihad Airways by the end of 2015, up from almost 15 million last year.

From Abu Dhabi to the United States, Etihad Airways serves New York’s John F. Kennedy International Airport with a twice daily service, including the new A380 service with The Residence™ and a daily B787 flight to Washington’s Dulles International Airport. The airline also operates flights to Chicago, Dallas/Fort Worth, Los Angeles and San Francisco.

In addition to this recognition for Mr. Hogan, Etihad Airways was just named 2016 Airline of the Year by Air Transport World. Other recent awards include Best First Class Product by Ultratravel U.S.A. readers in the 2015 Ultimate Luxury Travel Related Awards (ULTRAs) and Best Airline – Business Class by TTG Travel Awards 2015 — among many others.

SERBIA: Air Serbia Reintroduces Belgrade-Zagreb Sector

Zagreb Airport welcomed with a special event the resumption of Air Serbia’s flights from Belgrade following a 23-year hiatus.

While the sector will be served twice-daily utilising the airline’s ATR 72s, the inaugural flight was operated by Air Serbia’s A319 “Novak Đoković” aircraft, named after Serbia’s most famous tennis player and piloted by Air Serbia’s COO, Davor Mišeljić, while the First Officer was Biljana Savić, one of Air Serbia’s three female pilots.

Air Serbia, formerly known as JAT Airways, increased its European offering with the addition of a new destination on 12 December – Zagreb (ZAG), from its Belgrade (BEG) hub.

The 348-kilometre sector to the Croatian capital was resumed following a 23-year hiatus, and will be served twice-daily utilising the airline’s 62-seat ATR 72s.

No other carrier serves this airport pair. Commenting on the route launch, Dane Kondić, CEO, Air Serbia, said: “Zagreb is Air Serbia’s fourth destination in Croatia, after Dubrovnik, Split and Pula, which have thus far operated as seasonal routes. Just this past summer, we were pleased to have carried close to 50,000 guests to these attractive summer destinations. With the introduction of Zagreb, our intention is to further develop year round inbound tourism, by offering our guests all of these destinations in Croatia, especially through our equity partner Etihad Airways.”

SERBIA: Air Serbia Is Double The Size Of Its Predecessor Jat Airways

At the end of last year, Air Serbia received the Route of the Week Award in recognition of the airline’s launch of services between its hub in Belgrade and Zagreb in Croatia. Dane Kondić, CEO, Air Serbia commented on the award win by saying: “This award is highly symbolic for us, as it recognises the importance of the Belgrade-Zagreb route from the perspective of an international industry expert and for this we are thankful.” Currently, the link between the two cities is the carrier’s 12th largest route.

After its first full year of operations in 2014, Air Serbia recorded a net profit of €2.7 million, while total revenue increased by 87% to €262 million, and passenger traffic grew 68% to 2.3 million. During 2014 the carrier also introduced eight new A319s and two A320s into its fleet, and refurbished five existing ATRs. Formerly called Jat Airways from 2001-2013, and Yugoslav Airlines before that, Air Serbia was born when the former agreed a strategic partnership with Etihad Airways and the Government of the Republic of Serbia on 1 August 2013 as a direct result of the then ailing carrier trying to find economic support. Etihad signed a five-year contract for management of the newly founded airline, in which the MEB3 carrier would obtain a 49% equity share of the now Air Serbia. The aim of the new carrier is to become a regional leader, and to resume its place among the world’s best airlines.

Air Serbia is twice as big as Jat
Over the past 12 months, Air Serbia has only recorded a growth in capacity of 1.6% based on OAG data. However, between 2013 and 2014 for the same time period analysed, the carrier grew by 48% meaning that over the past two years, the financial support of Etihad has helped the airline double in size in relation to its predecessor, Jat Airways. Overall, Air Serbia has nearly a five times bigger operation than Serbia’s second largest carrier Wizz Air, whereas two years ago, the then Jat Airways was only 1.8 times bigger. The result demonstrates just how much of an effect Etihad’s financial support has had in making sure that Air Serbia has reached its aim of becoming the regional leader in Serbia.

Zurich zooms to #1 position
With a total of nearly 8,500 monthly seats on offer from Belgrade, services to Zurich have become the number one route for Air Serbia, helped by Paris CDG, which was number one last year, seeing a decrease in capacity of nearly 13% which is approximately just over 1,000 seats. Of the top 12 routes, the number one for growth was Ljubljana which now has an extra 1,700 seats a month according to OAG Schedules Analyser data. Overall, Air Serbia’s capacity is up 1.6% when compared to the same time period of last year, with Zagreb being the only new route.

Budapest and Larnaca services to end
Despite a major turnaround and rebrand, it’s still not enough to make services to Budapest and Larnaca financially viable, with both routes ending on 25 October. In a statement about the cancellation of both routes, Dane Kondić, Air Serbia CEO, commented: “Air Serbia continuously evaluates its network to ensure it is in line with passenger demand and is commercially sustainable. These decisions will enable us to place greater focus on key areas of the business that demonstrate the strongest potential for sustained long-term growth”. Services to Budapest launched on 30 March last year, while Larnaca operations were inherited from Jat Airways’ network, where it had been a main feature for more than a decade.

Croatia is the best performing market for growth
After recording growth in seat capacity of nearly 55%, Croatia is the best performing country market for Air Serbia in relation to growth this October. The only country market to see a growth close to this percentage is Albania. The 25th most popular country market for the airline from Serbia has recorded a growth over the past 12 months of 54%. At the other end of the spectrum, the worst performing country markets for growth are Macedonia and Romania, both of which are down 65% and 73% respectively. The only two country markets which see over 10,000 seats a month on offer from Serbia are Germany and Montenegro. Last year Greece, which then was also the second most popular country market, was also served by 10,000 plus seats per month based on OAG Schedules Analyser data. However by witnessing a nearly 14% decline in seat capacity, the country market with Serbia is only served by 9,600 seats.

Services to Budapest, which launched on 30 March 2013, will cease to operate after 25 October. The short 303-kilometre service was operated daily using the carrier’s 62-seat ATR 72-200s. The airline Belavia will continue to operate services between the Hungarian capital and Belgrade according to OAG Schedules Analyser data.

SLOVENIA: Ljubljana Airport Passenger Growth Of 11% In 2015

Ljubljana Airport, owned by the Fraport Airport group, serves the capital of Slovenia. Located at the middle of an old trade route between the northern Adriatic Sea and the Danube region, it was the historical capital of Carniola, a Slovene-inhabited part of Austria/Hungary.

Now the city is home to 277,000 people, and in 2014 over one million on-night stays were had by international visitors, with Italy, Germany and the US being the three largest countries for tourists visiting Ljubljana according to the Statistical Office of the Republic of Slovenia. So far this year, the city’s airport is reporting growth of 11% with July seeing passenger numbers surpass the 170,000 mark for the first time.

Ljubljana witnesses growth again
After seeing a period of traffic decline between 2009 and 2012, the airport recorded positive growth for 2013 and 2014 respectively. So far in 2015, the airport has witnessed growth in five of the seven months where data is available, with the months from April through to July recording double digit growth, most notably in May when passenger numbers were up 16% when compared to the same period last year. At this rate Ljubljana Airport might be able to reach 1.5 million by the end of the year. Nonetheless, this is still well below the 1.67 million achieved in 2008.


2015 growth much faster than in previous years
When comparing the same time periods of the past three years between the months of January and July, growth in 2015 has been much faster than that experienced in the previous two years. 2013 and 2014 both showed average growth results of 3.7% and 3.1% respectively. However 2015 has witnessed over double that of 2013 with an average monthly growth rate of 7.8%. The higher growth rates in the most recent summer months means that overall passenger numbers are up 11% in the first seven months of 2015.
SVID says “Good”

When analysing the passenger statistics of 2014 for Ljubljana, the result shows that the airport achieved a SVID score of 8.69 (“Good”). For a comparison, an analysis was also carried out for Zagreb and Belgrade airports. The reason that these two airports were chosen was because of them both also being capitals, and also due to the close proximity that both have to Slovenia in relation to other European capitals. Zagreb achieved a score of 6.46 (“Good”) and Belgrade achieved a score of 8.77, also (“Good”).

Adria Airways runs the show
After reporting a growth when compared to last September of nearly 14%, Adria Airways maintains the number one carrier position out of Ljubljana. One noticeable change from last summer is that Turkish Airlines has now overtaken easyJet to become the airport’s second largest carrier, helped in part by the Star Alliance member reporting a growth in seat capacity of over 25%, making it the third fastest growing carrier out of the Slovenian capital after Montenegro Airlines (+39%) and Air Serbia (+49%).

With SWISS also serving the airport, it means that Star is the major alliance at Ljubljana with three carriers present. SkyTeam and oneworld are also both present at the airport. However, each is only represented by one airline; Air France and Finnair respectively. One airline that is also climbing up the table is Wizz Air, after recording growth in seat capacity of 16% when compared to last summer, the LCC can expect to overtake easyJet (+7.6%) for third spot in 2016 if the rate of growth for both airlines continues at current levels.

LOT Polish Airlines to resume Warsaw
From 2 March next year, LOT Polish Airlines is to resume services to Ljubljana with an initial five times weekly service from Warsaw Chopin operated by E170s, meaning that the airline will help grow the Star presence in Ljubljana to four carriers. From 26 March, the service is expected to increase to six times weekly, with Q400s also being introduced onto the sector alongside the currently planned E-Jet operations.


Zurich now #1 route
After recording a growth of nearly 36%, the 470-kilometre sector to Zurich has become the number one route from Ljubljana, helped by Adria Airways increasing its capacity on the city pair by 9.8%, and SWISS introducing services on the sector in March, according to OAG Schedules Analyser. Although Frankfurt, also run by the Fraport group, witnessed an increase of 0.4% in seat capacity, Zurich’s larger expansion pushes the German hub down to become the second most popular destination in S15 in relation to capacity. What is interesting to note however is that the top four routes from the Slovenian capital are to the large Star Alliance hubs in Europe, with services to Stockholm Arlanda and Copenhagen (both SAS hubs) not appearing in the top 12 routes, but served by Adria Airways, with the former launching on 23 April. The fastest growing route in the top 12 is Belgrade (highlighted in light green), which is new to the list after witnessing a growth of 49%, helped by the increase in services by Air Serbia. Another new route to the list is London Luton (also highlighted in light green), after seeing a seat capacity increase of nearly 24% by operating carrier Wizz Air. As a result of growth witnessed on these two routes, it means that Moscow Sheremetyevo and Skopje both leave the top 12.