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March 21, 2025

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March 21, 2025

Air India returns retrofitted A320neo to service

Belinda Borg March 21, 2025 14:09

Air India has returned the first refurbished A320-200N to scheduled service after a six-month refurbishment. According to a press release from the airline, the aircraft, registered VT-EXN, completed its first commercial flight on March 1, 2025. The aircraft was operated on the Delhi-Bhubaneswar route and will operate both domestic and short-haul international routes. The refurbishment is part of a comprehensive $400 million program by Air India to modernize a total of 27 A320neo aircraft. The goal of this program is to refurbish the entire fleet of A320 and A321 aircraft, as well as wide-body aircraft. These aircraft mostly date from before the airline's privatization. The refurbishments include equipping the cabins with new seats, fresh carpets, and new interior trim, as well as repainting the fuselages. The converted A320neo aircraft will fly in a three-class configuration, consisting of eight business class seats, 24 premium economy seats, and 132 economy seats. Completion of the conversion of the narrow-body aircraft is scheduled for the third quarter of 2025. However, Air India is struggling with seat supply constraints, particularly in the business and first class categories. The airline has indicated that the delivery of the required seats has been delayed by up to 12 months due to production bottlenecks. As part of its comprehensive fleet modernization plan, Air India expects all older aircraft to be converted by mid-2027. The airline's CEO, Campbell Wilson, expects the global aircraft market to continue to be affected by shortages in the coming years.

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Sri Lanka's government undecided on financing strategy for Sri Lankan Airlines

Amely Mizzi March 21, 2025 13:45

The government of Sri Lanka continues to face the challenge of how to finance the planned expansion of the national carrier, SriLankan Airlines. As the Daily Mirror newspaper reports, the government is currently focused on restructuring the state-owned airline's debt rather than establishing a clear strategy for financing its expansion. In 2024, the privatization plans for SriLankan Airlines, which had already been advanced, were scrapped after potential buyers failed to materialize. With the installation of a new government following the elections, these plans were abandoned entirely. The new government recognizes the importance of SriLankan Airlines to the country's tourism sector and acknowledges that the airline plays a key role in transporting tourists. Instead of privatization, the government is betting that it can better position the company to profit from the tourism sector by retaining control of the airline. SriLankan Airlines currently has debts of approximately US$1,2 billion, of which the government has pledged to cover about half. However, the government is rather reluctant to support the airline's ongoing operating costs. Although SriLankan Airlines reported a profit in 2023, it expects a loss in 2024. CEO Richard Nuttall had previously stated that the company's high debt levels would hamper growth. The company has presented several financial restructuring options to the government, including plans for fleet and route network expansion. However, a final financing strategy has not yet been determined.

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Wizz Air expands route network from Chişinău: Six new European destinations from October 2025

Belinda Borg March 21, 2025 13:30

Low-cost airline Wizz Air announces a significant expansion of its route network from Chişinău, the capital of the Republic of Moldova. From the end of October 2025, six new European destinations will be served, strengthening the country's connectivity to key European destinations and offering expanded travel options for both business and leisure travelers. From October 26, 2025, Wizz Air will commence four weekly flights to Bergamo, Italy. The following day, October 27, three weekly flights each will start to Billund, Denmark, and Karlsruhe/Baden-Baden, Germany. From October 28, a further three weekly connections will follow to Athens, Greece, Bari, Italy, and Maastricht, the Netherlands. This expansion underlines Wizz Air's commitment to strengthening its presence in the Republic of Moldova and providing passengers with affordable and convenient travel options within Europe. The launch of these new routes significantly increases the number of destinations accessible from Chişinău, improving regional connectivity and potentially boosting tourism and economic relations between Moldova and the destination countries. Details of the new routes Wizz Air's commitment to the region Wizz Air has continuously invested in expanding its route network and strengthening its presence in Eastern Europe over the past few years. The decision to launch six new routes from Chişinău reflects the company's confidence in the growth potential of the Moldovan market and its commitment to offering passengers diverse travel options. Wizz Air's announcement of six new European destinations from Chişinău marks a step in improving Moldova's international connectivity.

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Slovenia launches eighth call for tenders for airlines

Belinda Borg March 21, 2025 13:08

Slovenia has launched its eighth call for tenders to encourage airlines to launch new routes to the country. This initiative follows the seventh call for tenders, which received no applications. Under the new call, only airlines registered and based in the European Common Aviation Area (ECAA) can benefit from the subsidies offered. The ECAA covers the member states of the European Union as well as Albania, Bosnia and Herzegovina, Serbia, Iceland, Macedonia, Norway, Kosovo, and Montenegro. The aim of the Slovenian government is to expand the country's air connections and improve connections to major European cities. Flights to Vienna, Copenhagen, Madrid, Prague, Berlin, Rome, Stockholm, Oslo, Barcelona, ​​and Lisbon are particularly in demand, although in principle all destinations in the ECAA are eligible for the subsidies. Interested airlines have until April 14, 2025, to submit their applications. The opening of tenders will not be public but will be carried out by the responsible commission within 15 days of the application deadline. The call for applications is part of the Slovenian government's efforts to strengthen the country's air transport connections, which is intended to promote both economic development and tourism. It remains to be seen whether more airlines will show interest in the subsidies this time than in the last call.

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Tuzla plans public tender for subsidies for new routes

Stephen Steiner March 21, 2025 12:46

The Tuzla Canton Ministry of Trade, Tourism and Transport has announced plans to launch a public tender for subsidies to airlines to launch new flight connections from Tuzla Airport. A total of €615.000 will be made available to promote flights to destinations such as Eindhoven, Hahn, Vienna, Berlin, Malmö, and Gothenburg. The Tuzla Canton Government is expected to approve this proposal next week, after which the tender will be published. Airlines will then have 15 days to apply. The initiative is seen as an important measure to promote tourism in the region and strengthen the local economy. Minister Almir Žilić stated that establishing connections between Tuzla Canton and European Union cities will significantly increase tourist arrivals and have a positive economic impact. This approach is also being followed in other countries in the region, as well as in the EU, where financial incentives are offered to encourage airlines to launch new connections. According to rumors, the tender could be aimed specifically at Wizz Air. The airline had closed its base at Tuzla Airport in 2023, but recently announced plans to launch a new service between Vienna and Tuzla starting in mid-June. These flights could also benefit from the subsidies. Furthermore, Tuzla Airport has held talks with Wizz Air about possible new connections to Malmö and Gothenburg. Since closing its base, Wizz Air has maintained its presence in Tuzla, but with significantly reduced flight frequencies, which has led to a sharp decline in passenger numbers. There have been several unsuccessful attempts in the past.

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CMA CGM aims to take over Air Belgium's cargo business

Amely Mizzi March 21, 2025 12:31

The French logistics and shipping giant CMA CGM has officially submitted a takeover offer for the cargo operations of the Belgian airline Air Belgium. This offer will be examined by the Walloon Brabant Commercial Court on March 27. The future of Air Belgium is therefore at a crucial turning point. Air Belgium has been experiencing financial difficulties for some time. In September 2023, the airline filed for judicial reorganization to protect itself from creditors and facilitate restructuring. As a result, scheduled passenger flights were suspended and the focus shifted to more profitable areas such as ACMI leasing for passenger and cargo transport. Despite these measures, the financial situation remained strained, and the company recorded an annual loss of €22 million. In addition, the suspension of passenger flights led to a 40% drop in revenue. The CMA CGM takeover offer CMA CGM, a major player in the maritime logistics sector, has expanded its activities in the air cargo sector in recent years. In 2021, the company established the CMA CGM Air Cargo division and acquired four Airbus A330-200F freighters. These were operated in partnership with Air Belgium, with Air Belgium acting as operator and CMA CGM Air Cargo assuming commercial responsibility. CMA CGM's current takeover offer focuses exclusively on Air Belgium's cargo operations. It includes the acquisition of the cargo business, the retention of the Air Belgium name and brand, and the integration of the airline's four aircraft into its own fleet. The impact of this offer on employment is currently unclear. Competition from Air One Belgium Parallel to CMA CGM, Air

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Ljubljana Airport records a decline in passenger numbers in January 2025

Belinda Borg March 21, 2025 12:06

Ljubljana Airport recorded a decline in passenger numbers in January 2025 compared to the previous year. Air France's performance was particularly striking, with the largest negative change, a decline of 604 passengers. This is related to the airline's reduction in flight frequencies, which saw an average load factor of 76,9%. Similarly, Wizz Air experienced a decline of 584 passengers on its Skopje route, with fewer passengers. In contrast, Lufthansa and Swiss, both part of the Lufthansa Group, recorded the largest increases. Each of the two airlines recorded over 2025 additional passengers in January 1.000 compared to January 2024. However, Lufthansa, with its two connections to Ljubljana, recorded a smaller increase than Turkish Airlines, which welcomed more passengers on board with only one connection. The total number of passengers at Ljubljana Airport nevertheless decreased. This was primarily due to seasonal adjustments and the cancellation of some winter services. British Airways suspended its flights to Ljubljana during the winter, while Wizz Air also discontinued its London service. Overall, there was a noticeable decline in passenger numbers in January 2025, due to reduced frequencies and the cancellation of certain connections. Despite the negative development in January, some airlines achieved stable results. For example, Air Serbia remained almost at the previous year's level despite reducing capacity, and Air Montenegro even recorded 313 additional passengers.

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Embraer presents itself at the Avalon Airshow 2025 in Australia

Jan Gruber March 21, 2025 11:47

Brazilian aircraft manufacturer Embraer will be present at the Avalon Airshow 2025 in Australia from March 25-30. This participation underscores the company's long-standing presence and importance in the Australian market. A particular focus will be the expansion of its existing E-Jet fleet: Virgin Australia will receive eight new Embraer E190-E2s as part of its fleet renewal program. Delivery of these aircraft is scheduled to begin in the second half of 2025, with the aircraft being based at the Perth site in Western Australia. Approximately 50 E-Jets and 20 Embraer business jets are currently in service in Australia and the surrounding region. Major operators of Embraer aircraft include Alliance Airlines, Airnorth, National Jet Express, and Air Kiribati. Alliance Airlines, the country's largest E-Jet operator, operates numerous domestic flights on behalf of Qantas. In the business aircraft sector, the Phenom 300 series, which has been the best-selling light aircraft worldwide for 13 consecutive years, is particularly noteworthy. In addition to civil aviation, Embraer will also be showcasing its military solutions, including the KC-390 Millennium multi-role transport aircraft. Since its introduction into the Brazilian Air Force in 2019, the KC-390 has distinguished itself through its high reliability and operational readiness. The armed forces of Portugal, Hungary, the Netherlands, and several other countries now also rely on this model. The aircraft boast a mission availability of 93 percent and a mission completion rate of over 99 percent. Embraer has been present in the Australian market since 1978 and will celebrate its 2025th anniversary in the region in 47. The first aircraft type, the Bandeirante, marked the beginning of the company's history in Australia. With its current presence at the Avalon Airshow,

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Europcar: Restructuring and possible future scenarios

Belinda Borg March 21, 2025 11:38

The car rental company Europcar is facing significant financial challenges. A comprehensive restructuring plan is intended to get the company back on track. Insiders are also speculating about a possible sale by majority shareholder Volkswagen. Europcar, one of Europe's leading car rental companies, is facing a serious financial crisis. In the first half of 2024, the company recorded a loss of €170 million. This development has increased the pressure on management to take effective measures to stabilize its financial situation. To counteract this, the management consultancy AlixPartners was commissioned to develop and implement a restructuring plan. As part of these measures, several hundred jobs are to be eliminated. The goal is to optimize the cost structure and improve the company's profitability. Volkswagen's role and possible sales plans: In 2022, a consortium led by the Volkswagen Group acquired Europcar for €1,7 billion. This acquisition was part of Volkswagen's strategy to expand its mobility offering. However, given Europcar's current financial difficulties, the question arises as to how Volkswagen will respond to these challenges. Insiders report that a complete sale of Europcar by Volkswagen is no longer ruled out. Such a step could allow the group to focus on other strategic goals while reducing the financial burden posed by Europcar. Historical perspective: Volkswagen's relationship with Europcar Volkswagen's connection with Europcar has a longer history. The German carmaker acquired the car rental company back in 1999, but sold it to the investment firm Eurazeo in 2006. The renewed takeover in 2022 was intended to strengthen Volkswagen's position in the mobility sector. However, current developments raise questions about the company's long-term strategy.

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Japan Airlines expands fleet with additional Boeing 737 Max 8

Jan Gruber March 21, 2025 11:07

Japan Airlines (JAL) has announced that it will expand its fleet with 17 additional Boeing 737 Max 8 aircraft. This order follows a previous order for 21 Boeing 737 Max 8 aircraft in March 2023. The new aircraft will replace the Boeing 737-800s currently used on Japan Airlines' domestic routes. The decision to purchase additional Max models underscores the airline's commitment to modernizing its fleet and increasing efficiency on its domestic routes. In addition to the Boeing 737 Max 8 order, Japan Airlines has also ordered eleven Airbus A321neo aircraft for the domestic market. These aircraft will replace the Boeing 767, which is also currently used for domestic flights. With the expansion of its fleet, the airline is focusing on more modern and fuel-efficient models to meet the demands of the aviation market and further optimize operations. The investments in new aircraft are part of Japan Airlines' larger strategy to advance fleet modernization and secure capacity for future growth and increasing passenger numbers. The focus on domestic routes demonstrates JAL's commitment to remaining competitive in the domestic market.

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