Air New Zealand news

Air New Zealand held their annual Investor Day Presentation on Tuesday and the presentation is now online at the NZX website as can be seen HERE  I have scrolled through all 94 slides and here are some of the key points

The new strategy for this year seems to have been entitled go beyond and features heavily in the presentation

© Air New Zealand

Air New Zealand seem to have focused their route strategy onto the Pacific Rim and will focus on direct flights

© Air New Zealand (slide 10)

When looking for new markets within this region Air New Zealand will focus on

1. Market size to support 2-3 weekly services
2. Higher yielding traffic mix >Bus/VFR
3. Strong historical and projected growth
4. Strong point-to-point market
5. Focused markets (1-2 main cities)
6. Structural advantage, mostly outbound
7. Conduct advantage - network, cost or product

From this there are four main conclusions

1. Playing in the right markets
2. Working with the right partners
3. Australasian business portfolio
4. Pacific Rim network focus

From the following slide I get the impression that the new B787 fleet (or at least the first B787-9) will feature the All Black livery

© Air New Zealand (slide 46)

Further to the fleet news, in 2013 Air New Zealand will see 3 new A320s as well as 2 ATR 72-600s and over the next 3 years the fleet additions will look like this

© Air New Zealand (from slide 89)

During this time Air New Zealand expect the B747 fleet to have been fully retired by 2014, with the B737 & B767 fleet retired by 2015, although the B767 exit is under review.  So by 2016 the Air New Zealand long haul fleet will comprise B787 & B777 aircraft while the short haul jet fleet will be all A320 

Air New Zealand are also looking at focusing on the following

• B787 entry into service
• B777-200 upgrades
• Lounge upgrades (CHC, AKL, LAX)
• New ATR72-600s on regional + upgraded existing 72-500s
• Improved check-in experience
• Seamless journeys through our integrated network

Virgin earnings downgrade

On Wednesday evening after the ASX had closed Virgin Australia announced an earnings downgrade expecting its full year result to be lower than last year although still positive.

The Virgin Australia share price fell eight cents to 38 cents on the news, wiping more than 17 per cent, or more than $200 million from its market capitalisation.

The price and capacity war being waged between Virgin and Qantas in the domestic market has been the catalyst for the downgrade and has also impacted the profit forecast of Qantas.

Read more on the news from Business Speculator writer Stephen Bartholomeusz HERE

'New' QF B717s & return to CBR

Qantas have announced that the 5 'new' Boeing 717 aircraft to enter their QantasLink fleet, operated by Cobham Aviation, will have Business class and will operate on Canberra routes to and from Brisbane, Sydney & Melbourne.

"QantasLink will introduce a full Business experience on these aircraft, including market-leading seats, premium food and drinks and exceptional onboard service," Mr Gissing said.

The 'new' aircraft are expected to enter service from late 2013 once the new interiors are fitted. The new flights from Canberra will mark the return of the B717 to Sydney & Melbourne skies, after having previous been seen there in Impulse then Jetstar colours.

Cobham operate the current fleet of 13 aircraft in QantasLink colours in predominantly Western Australia supporting the mining industry, but also operate some regional routes out of Brisbane (as seen below)

©nzompilot 2013 Boeing 717 VH-NXM departing YBBN

Read the full Qantas press  release HERE

Please switch off all electronic equipment

Ever wondered why in 2013 airlines are still asking you to turn off your electronic transmitting devices such as mobile phones when you are in flight?  Well Bloomberg have published a great article on the subject

The regional airliner was climbing past 9,000 feet when its compasses went haywire, leading pilots several miles off course until a flight attendant persuaded a passenger in row 9 to switch off an Apple iPhone.

Everyone in this day in age has a smart device and expects to be able to use it in all situations including on an aircraft, and most cant understand why with all the advances in mobile technology and also aircraft technology why there is still an interference issue, especially when some airlines have trialed and offer in flight wi-fi systems, but what punters don't seem to realise is;

Inflight Wi-Fi systems are safe in part because devices connect to them at low power levels, according to Carson, who was co-chairman of an RTCA panel that produced testing standards.

This is a touchy issue with most people and there will always be people who object to the official views of the regulating bodies and the airlines, but this issue doesn't look likely to be solved anytime soon, so its an issue that needs to be kept at the forefront of peoples minds.

Laboratory tests have shown some devices broadcast radio waves powerful enough to interfere with airline equipment, according to NASA, aircraft manufacturer Boeing Co and the U.K.’s Civil Aviation Authority. 

Read the article for yourself HERE and see if you agree with the thoughts of the FAA/CAA/CASA/Manufacturers/Airlines or you agree more with some of the comments from readers.

Ridge Air BHE-CHC

Ridge Air is a small 3rd level operator based out of Omaka Aerodrome in Blenheim with a fleet of 2 aircraft - former Vincent Aviation Cessna 402C ZK-VAD, Piper PA-34-220T Senica IV ZK-BJM

Ridge Air also advertise Robinson R44 ZK-HDD but this is owned & operated by Tasman Helicopters & used when required.

I found berried in a business buzz article in the Marlborough Express a report that Ridge Air will start a daily return Blenheim-Christchurch flight targeting business customers.  The flight will depart Blenheim at 7am arriving in Christchurch at 8.10am, witht he return departing Christchurch at 4.30pm arriving in Blenheim at 5.40pm

I do not know whether these flights will operate from Woodbourne or from Omaka, or where they will operate from at Christchurch.

Read more on Ridge Air's fleet at Steve's 3rd Level New Zealand blog HERE or Dave Paull's NZ Civil Aircraft blog HERE

YBBN spotting pt2

Some more of the pics I like from my spotting trip on tuesday

I'm kicking off today with an international flavour

Etihad Airways Airbus A330-243 A6-EYF departing YBBN for Abu Dhabi via Singapore

Air Niugini Boeing 767-336 P2-ANA as ANG4 departing YBBN for Port Moresby

Thai Airways Boeing 777-3D7ER HS-TKC departing YBBN as TK474 to Bangkok

Now moving back to an Australian focus

Tiger Airways (Australia) Airbus A320 VH-VNB departing YBBN as TT435 to Melbourne

 I'm not sure what it is about the TT birds, but I find them amazingly photogenic

Jetstar Airbus A321 looking gorgeously golden int he late afternoon sun, while also looking equally patchy is seen departing YBBN as JQ817 to Sydney

Alliance Airlines Fokker F100 VH-XWM is seen departing YBBN as UTY2366 to Rockhampton

And finally Qantas Boeing 767-336 VH-ZXF is seen departing YBBN as QF537 to Sydney

News round up - QF, VA, TT

Australian Aviation are reporting Qantas will lease a Boeing 747-400ERF freighter to operate its RTW cargo flights, which are currently contracted out to Atlas Air.

To be branded in the distinctive new Qantas Freight livery, the 747-400ERF is expected to enter service by the end of 2013, subject to regulatory approval. It will be operated by Express Freighters Australia, a wholly-owned subsidiary of Qantas Freight.

I assume there will actually be a "new" freight livery not just the same livery as the Qantas freight B767-200F wears

Read more on the new QF B744ERF HERE

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The ACCC have cleared Virgin Australia to take a 60% controlling stake in rival Tiger Airways, effectively returning Australia to a state of duopoly.  There will now be two groups operating the Qantas group with Qantas & Jetstar and Virgin + Tiger.

“Essential to reaching this view was the ACCC’s assessment, made after thorough and extensive testing of the issue, that Tiger Australia would be highly unlikely to remain in the local market if the proposed acquisition didn’t proceed. Absent this conclusion the acquisition raised considerable competition concerns,” ACCC chairman Rod Sims said.

 Read more on the approval via Australian Aviation HERE

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Virgin Australia who had previously only offered free meals and drinks on their transcontinental flights and some of their 'capital connection' flights are now offering free meals and drinks to all economy passengers on flights over 2hrs 45mins in duration.

Virgin Australia's flights to Denpasar and Phuket are the first routes on the ‘free food’ schedule, with the airline planning to “progressively roll out the service on all flights over 2h 45m by the second half of this year”, a Virgin Australia spokeswoman confirmed to Australian Business Traveller.

Of course this probably wont apply to SYD-BNE flights that are delayed by air traffic control measures and often turn a seemingly simple 1 hour flight into something closer to 3 or 4.

Read all about the new offerings HERE

YBBN Spotting

I recently had the opportunity to spend an afternoon out spotting at Brisbane (YBBN/BNE) and here are the first fruits of that spotting trip.

Vincent Aviation currently have their BAe 146-200 ZK-ECO in Brisbane, its seen here operating as VIN810 to RMA

Virgin Australia are well represented at their home base - here we see Virgin Australia/Skywest ATR 72-500 VH-FVL operating as VA667A to Moranbah (MOV)

Seen departing for Newcastle (NTL) as VA1106 is Boeing 737-8FE VH-VOQ

The final Virgin bird in this post is another Boeing this time B737-8BK VH-VUM departing for SYD as VA954

Qantas Boeing 737-838 VH-VXO wears special Share the Spirit titles and is seen here departing for Townsville (TSV) as QF974

And just to prove that no matter how well you frame a shot and prepare - often nature intervenes and something photobombs you (Q400 VH-QOJ)

This has to be my favourite photo of the ones I have edited so far, its Tiger Airways A320 VH-VNF rotating off 01 bound for SYD as TT802

Good news for NZ pax transiting at LAX

Its good news for passengers on NZ1/2 transiting between AKL and LHR at LAX with US Customs approving a move that will allow NZ transit pax to avoid having to go through standard security queues to access the terminal during transit.

The system, which has been trialled for several months, still requires transit passengers to complete the standard US visa. But they're then issued with a special 'token' and can forego the usual security queue.

This should make the transit process a lot nicer for passengers who are now able to access the Air New Zealand lounge or the general (airside) terminal including shops/amenities etc, instead of previously being forced into a gate lounge during transit.

Read the full story on the changes at ausbt.com HERE

NZ/VA announce CHC-PER trial

To celebrate the official opening of the new terminal at Christchurch, Air New Zealand in conjunction with alliance partners Virgin Australia will launch a 21 week trial on the CHC-PER route with a twice weekly Boeing 767-319ER service.

The Air New Zealand flights will operate twice a week from December 3 to April 26, and if they prove popular, they will become permanent.
Christchurch Airport CEO Jim Boult says that's more than 19-thousand seats over 21 weeks and an outstanding boost for Christchurch and the South Island.

The official Christchurch International Airport press release also says CHC will benefit from B763 services on the SYD route which points to the 763 operating a AKL-SYD-CHC-PER-CHC-SYD-AKL routing.

Check out the offical CIAL press release HERE or the Christchurch Press article HERE

From the archives - P2-ANA

Here is a quick snap I took two years ago on my way home to Classic Fighters 2011.

Air Niugini Boeing 767-336ER P2-ANA seen taxiing in to the International terminal at Brisbane

P2-ANA at YBBN 22-04-11 © nzompilot 2011-2013

NZ in the money + fleet news

Profit News
Air New Zealand have reported a strong half year interim profit with normalised earnings to 31-December-2012 up 300% on the previous year.

Earnings pre-tax were $139M NZD up from $33M NZD in the previous year, with normalised after tax profit of $100M NZD up $62M on the previous year.

Air New Zealand's media release lists the following

Key points:

• Normalised earnings¹ before taxation of $139 million, up more than 300 percent

• Statutory net profit after taxation of $100 million, up $62 million

• Operating revenue of $2.4 billion, up 3.4 percent

• Operating cash flow more than doubles to $343 million

• Gearing improves by 4.3 percentage points to 41.8 percent

• Fully imputed interim dividend of 3.0 cps, a 50 percent increase

Air New Zealand have credited the strong program of change they have been implementing in the past year or two as the reason for the strong profit result.  This includes the Seats to Suit fare structure on trans-Tasman and Pacific Island routes, as well as the alliance with Virgin Australia on trans-Tasman and domestic Australian and New Zealand routes.  Air New Zealand's cargo business has also grown and seen a 9% boost to revenue during the period. Air New Zealand have also seamlessly changed CEO's at the end of 2012

“We have a new leadership team with deep industry experience fused with fresh perspectives from world class leaders who have joined us from other sectors. The focus and energy within Air New Zealand is quite remarkable.  We are stepping it up in all areas of the business to drive improved operational and financial performance while further enhancing our award-winning customer experience,” Mr Luxon says.

Fleet News
Air New Zealand are confidant of the future and one thing this allows Air New Zealand to do is to grow, with the company announcing it will introduce two new leased Boeing 777-319ER aircraft to the fleet before the end of 2014.  These aircraft will be for expansion with the Boeing 787-9 still expected to begin entering the fleet from 2014.

Although when looking at the aircraft capital commitments slide from the Air New Zealand 2013 Interim Result Analyst Presentation you can see the B773ER deliveries will occur one before 30-June-2014 and one after 1-July-2014, while it appears the B789 deliveries wont happen until after 1-July-2014, despite Boeing confirming EIS is currently on track to happen in mid 2014.  You will also notice the A320 deliveries ramp up with 4 delivered in FY14 & 3 in FY15, while the AT76 deliveries continue to plod along at 1 per year

Air New Zealand 2013 Interim Result Analyst Presentation © Air New Zealand 2013

You can read the full press release from Air New Zealand HERE or read any of the documents that Air New Zealand supplied to the New Zealand Stock Exchange (including the above mentioned presentation) HERE

Air NZ: The bear essentials of safety

Air New Zealand have released the next installment of their popular in flight safety videos this time featuring international adventurer and survivalist Bear Grylls.  The video also features some familiar Air New Zealand crew faces as well as New Zealand Entomologist Ruud Kleinpaste who is well known in NZ for his television appearances.

The video blends the usual fun of Air New Zealand safety videos, with the "reality" adventure of Bear Grylls to get its message across.  It builds on the magical New Zealand scenery that was featured heavily in the previous Hobbit safety video, and is a big selling point for the country and airline.  Although at times I find Bear's to camera pieces a little unsettling as he seems a little out of place not filming reality and playing up to the camera.

In true Air New Zealand nature they have embraced the social media opportunities this video brings, prominently using the #airnzbear hash tag.

Have a look at the video below and let me know what you think of the latest iteration of the Air New Zealand in flight safety video series.

A few BNE movements from 23.02.13

Following on from my last post, aircraft pics are back baby!

My friend Tim was out at BNE on Saturday 23-February-2013 and captured some of the departures from runway 01.

You can find Tim on twitter @timstewartnz

Cathay Pacific Airbus A330-342 B-LAH operating CX146 BNE-CNS-HKG

Qantas Boeing 767-338ER VH-OGH operating QF525 BNE-SYD

 Qantas Boeing 747-438ER VH-OEJ operating QF15 BNE-LAX

Air New Zealand Boeing 777-319ER  ZK-OKN operating NZ136 BNE-AKL

 Etihad Airbus A330-243 A6-EYH operating EY473 BNE-SIN-AUH

EK435 overhead pics

Its been far to long since we've seen aircraft photos on this blog so recently I've captured a couple of Emirates Boeing 773ERs operating EK435

EK435 AKL-BNE-DXB often overheads my house when in bound to BNE from AKL in the pattern for runway 01

First up was Emirates Boeing 777-36NER A6-EBY which was captured on Wednesday 12-February-2013 

A6-EBY Boeing 777-36NER 12.02.13 

And secondly tonight Saturday 23-February-2013 saw Emirates Boeing 777-31HER A6-ECI

A6-ECI Boeing 777-31HER 23.02.13

Commerce Commission chide Wellington Airport

The New Zealand Commerce Commission have found what Air New Zealand have long complained about, that Wellington International Airport Limited is charging too much in landing fees at WLG/NZWN.

The report, released today has found the current pricing regime meant there was nothing stopping the airport from making "excessive profits".
"We have found that the information disclosure regime is effectively promoting innovation, quality and pricing efficiency by the airport," Commerce Commission deputy chairwoman Sue Begg said.

Sue Begg also goes on to say the commission believed 7.1%-8% was an acceptable return however WIAL is expecting a return of 12.3% to 15.2% over the next 5 years.

WIAL, owned by Wellington City Council and investment company Infratil, is currently challenging the commissions report and methodologies in the High Court.

On a complete side note it is interesting to see that despite the fact both news organisations got correct pictures of WIAL, they are both of one off events and not common everyday shots of the airport.  The NZ Herald depicts an RNZAF B757 sitting outside 'the rock' terminal, possibly at its offical opening in 2010, while the stuff.co.nz article depicts a Qantas A333 sitting at the terminal.

Read more from stuff.co.nz HERE or from nzherald.co.nz HERE

TAIC report into Q300 emergency landing released

©2011 Blair Ensor Marlborough Express/Fairfax Media

The Transport Accident Investigation Commission (TAIC) have released their report into the Emergency landing made by Air Nelson Q300 ZK-NEQ at Woodbourne/Blenheim after diverting from Wellington in February 2011.

TAIC found there was nothing mechanically wrong with the plane.
"The nose landing gear did not extend because the pilots did not pull hard enough on the handle that should have released the uplock," it said.
"If the uplock had released, the nose landing gear would have lowered under gravity and locked down."   

The article reports that while training in the simulator for gear failure it took a much lighter pull than it did in reality to release the landing gear.  Air Nelson have since modified their simulators to match the actual force required, while the TAIC have recommended the director of NZ CAA talk to his counterpart at Transport Canada to discuss the possibility of making  training simulator performance there match real life situations.

Sadly for avgeeks in NZ and also for the pilots involved in this incident, despite this report clearing them personally of wrong doing due to the inadequate training received the headline and first paragraph of this stuff.co.nz article insinuates that this incident was their error.

Read the full stuff.co.nz article HERE

ACCC approve Virgin's acquisition of Skywest

The Australian Competition and Consumer Commission (ACCC) have given Virgin Australia approval for their take over of regional operator Skywest as mentioned on this blog back in October.

The Australian Competition and Consumer Commission (ACCC) today cleared the deal, saying it was unlikely to lead to a substantial lessening of competition.
"The message that we received from the market was broadly supportive of the proposed acquisition," ACCC chairman Rod Sims said.

The move will see Skywest rebranded as Virgin Australia and take on Qantas' own regional operation, QantasLink, flying secondary routes including the resources sector and charter services.

Skywest are based in Perth with the bulk of their offering in the major mining regions of Western Australia, they also have a link to South Australia, while also operating the Virgin Australia ATR fleet on the east coast.

At the same time Virgin announced they wanted to take a 60% stake in Tiger, the ACCC will report back on this next week (Feb 7th)

This can only be good for the airline as it will expose them to the lucrative mining contracts that Skywest hold in Western Australia with stable financial backing also giving them an edge to challenge for more contracts through out all the resource rich areas of Australia

Read more on the ACCC approval from either Australian Business Traveller HERE or The Daily Telegraph HERE