CITILINK will operate AIRBUS A320 in July 2011

Strategic business unit of PT Garuda Indonesia Tbk, Citilink will use its new fleet, the Airbus A320 in July 2011. The aircraft will be brought up to six units until the end of this year.

Finance Director of Garuda Indonesia, Elisa Lumbantoruan said, the procurement of modern aircraft are needed for business competition in the segment of low-cost airlines or low cost carrier (LCC).

Elisa explains, the arrival of the aircraft starting in July of two units, August and the remaining two units are expected to come until the end of the year. "Procurement done gradually," Elisa said.

The former boss of PT Hewlett Packard Indonesia, said the reason the election as a fleet of Airbus A320s which will be operated in the near future because of availability of aircraft and crew that is possible than the Boeing 737-800 NG. In addition, with a capacity of Airbus A320 can be maximized to 188 passengers, will be more efficient for Citilink. While competitors have been operating the fleet with the latest type and has a maximum capacity.

WINGS Air open MALANG-DENPASAR flight route

The Indonesia airline company, Wings Airs, a subsidiary of Lion Air is starting open their flight route service from Malang - Denpasar, as an answer for the market need for this on the tourist route of these two destinations.

Wings Air uses ATR 72-500 aircraft with a capacity of 72 seats, which is said to have equipped with modern cabin.

Andi Burhan, Wings Air general manager explained, the flight is seven days a week, departing from Abdul Rachman Saleh Airport, Malang at 14:25 with flight number IW 1841, and departed from the Ngurah Rai Airport, Denpasar at 14.00.
This ATR aircraft is a new aircraft purchased from Avions de Transport Regional (ATR) manufacturer, which also manufactured turboprop-powered aircraft in France.

The number of aircraft would be ordered and will be operated by Wings Air is 30 aircrafts, has started operation since January 2010. "Up to February 2011 has been received and operates ten aircrafts, and five more planes is planning arrive until August 2011," said Andi Burhan.

The Malang-Denpasar route had been waiting since 2005, when the Civil Airport Abd Saleh Malang re-operated facilities that utilize the Air Force at Air Field Saleh Abd. "Malang always expect there is a direct route to and from Denpasar flight, as well as to and from Yogyakarta," said Head of Transportation Department of Malang Regency, Nasarudin Selian.

This is to confirm the Malang ambition along with it’s satellite city Kota Batu and Malang regency to assert its identity as a city or region of national and international tourist destination, besides Yogyakarta and Denpasar.

"We always hope that overseas tourists will travel  the Malang - Denpasar flight route, before entering Yogyakarta city, after entering Indonesia through the door of Denpasar. Similarly, on the contrary, from Yogyakarta or Jakarta to Denpasar via Malang," said Nasarudin.

picture: google.com

IATA: Soaring fuel costs will cut 2011 airline profits nearly 50pc

THE International Air Transport Association (IATA) has cut industry 2011 profit 2011 forecast to US$8.6 billion from last's year's $16 billion because of high oil prices.

"Today oil is the biggest risk. If its rise stalls global economic expansion, the outlook will deteriorate quickly," said Giovanni Bisignani, IATA's director general and CEO.

IATA raised its average oil price forecast to $96 per barrel, up from $84 in December, factoring in the impact of fuel hedging which is roughly 50 per cent of expected consumption.

"This year the industry is performing a balancing act on a very thin tight-rope of a 1.4 per cent margin. It is a structural problem that the industry has faced with an average margin of just 0.1 per cent over the last four decades," he said.

Oil prices could still damage the industry despite global GDP forecast increase of 3.1 per cent and demand in both passenger and cargo sectors, up 5.6 per cent and 6.1 per cent respectively. Cargo yields are up by 1.9 per cent from previous forecast of zero growth.

Regional winners continue to be Asia-Pacific at $3.7 billion collective profit although much reduced from the previous year's $7.6 billion through its exposure to low hedging on fuel price. Inflation fighting measures in China are also slowing trade and air cargo demand.

Middle East carriers are expected to return a profit of $700 million, much better than the $400 million previously forecast, but down from the $1.1 billion profit that the region posted in 2010.

source: shippingazette.com / picture: google.com