Continental rejects United as merger partner

photo by Drewski2112Well, it was a bit of a surprise. After the linkup between Delta and Northwest a few weeks ago, many (myself included) expected to see continued industry consolidation. And a merger between United and Continental was seen as a likely one; rumors floating around pointed to an announcement as soon as this week. The merger would have created an airline that might rival Delta/Northwest in size, as well as international coverage...

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Eos Airlines shuts down

New York-based premium transatlantic carrier Eos Airlines filed for Chapter 11 bankruptcy protection yesterday and operated its last flights earlier today. The airline flew Boeing 757-200s between New York-JFK and London's Stansted Airport, but had plans to expand to other destinations.Eos' shutdown was not necessarily expected, but given the current state that the industry's in, it wasn't too surprising, either. MAXjet, another premium transatlantic...

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US Airways CEO mentions mergers

photo by caribbIn a letter sent to employees yesterday, US Airways CEO Doug Parker said that "airlines are going to have to make dramatic changes" if they want to survive. Although he said that he couldn't "comment on any specific discussions or transaction," he said that the media have suggested that US Airways is in merger talks with United and that American would make a good match as well. "Rest assured," said Parker, "if US Airways chooses...

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Delta and Northwest announce merger

It's official: the long-anticipated merger of Delta Air Lines and Northwest Airlines has finally been announced. The combined carrier - already billed as "America's premier global airline", will be known as Delta and will be based in Atlanta. Delta CEO Richard Anderson would head up the new airline.A press release by the airline touted the benefits of the merger; it "creates a company with a more resilient business model that is better able to withstand...

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Virgin America gets more support

photo by Drewski2112Even after a wave of airline bankruptcies has recently shaken the US airline industry, Virgin Group chairman Richard Branson said on Thursday that he is "extremely pleased" with the airline's performance and that it is "well ahead of budget". He was also predicted that "in three or four years time, it'll be flying to all the major American cities."In addition, the Wall Street Journal reported today that British and American...

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Frontier files for bankruptcy

photo by Drewski2112Denver-based Frontier Airlines filed for Chapter 11 bankruptcy protection earlier today, citing a move made by its credit card processor, First Data Corporation, which has started withholding a larger percentage of proceeds from ticket sales."To be clear, we filed for very different reasons than those of other recent carriers, and our customers and employees can be confident that we intend to keep on flying and providing...

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American cancels more flights

photo by caribbOnly a few weeks after canceling hundreds of flights, American Airlines today canceled over 900 flights, affecting an estimated 100,000 travelers. The airline also canceled 460 flights on Tuesday and nearly 1,100 yesterday. The cancellations, which affected American's 300 MD-80s, are in response to an FAA directive involving the covers of wire bundles for the MD-80's fuel pump.The problem was first identified back in 2006, and if American...

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Austrian's 50th anniversary colors

photo courtesy of Austrian AirlinesTo celebrate its 50th anniversary, Austrian Airlines has painted an Airbus A320 (OE-LBP) in a "retro" colors. Austrian's first flight was on March 31, 1958, from Vienna to London (via Zurich) on a Vickers Viscount. Austrian is the latest European airline to commission such a livery - others, such as Lufthansa and SAS, have done so as we...

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Skybust: Skybus ceases operations

photo by OZinOHSkybus, the Columbus, Ohio-based no-frills carrier that famously started flying last May with $10 fares, announced on Friday that it will stop flying on Saturday, April 5. It becomes the fourth US carrier in less than a week to shut down (joining Aloha, Champion Air, and ATA). The news only broke late on Friday night, surprising both customers and employees."Skybus struggled to overcome the combination of rising jet fuel costs...

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ATA ceases operations

photo by Drewski2112ATA Airlines announced today that after filing for Chapter 11 bankruptcy, it has "discontinued all operations and cancelled all current and future flights". "Following the loss of a key contract for our military charter business, it became impossible for ATA to continue operations," the airline said in a statement. "Unfortunately, we were not in a position to provide our customers or others with advance notice."When...

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Branson launches V Australian

As an Open Skies agreement between the United States and Australia takes effect, Richard Branson's newest addition to the Virgin fleet was announced earlier this week. V Australia, a division of Australian carrier Virgin Blue, will fly from Sydney to Los Angeles starting in December, competing with Qantas and United (which are the two airlines that currently fly the route). Branson said that "there is going to be very fierce competition, as there...

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Champion Air to cease operations

photo by Drewski2112Minneapolis-based charter carrier Champion Air has announced that it will end operations on May 31, after 11 years of flying. “This is a sad day for the entire Champion family,” said Champion President and CEO Lee Steele. He went on to say that Champion's "business model is no longer viable in a world of $110 oil, a struggling economy and rapidly changing demand for our services" and that "the management team and our board...

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