Iberia plans to purchase Air Europa's stake for €500 million, marking a significant shift in the European aviation industry following the coronavirus pandemic. The acquisition is valued at €500 million and is expected to be completed in 2024. IAG has proposed strategic concessions to increase competition, including surrendering routes and slots to competitors like Ryanair, Volotea, and World2Fly. The merger aims to convert Madrid-Barajas into a competitive hub for intercontinental flights, boosting passenger traffic and improving connectivity. The merger is expected to create between 1,250 and 1,800 direct jobs, augment Madrid airport's earnings by €30 million, and enhance air cargo traffic by 16,000 tons.

(Source: Aerovalue. Read article here)

Welcome to Aerovalue's Weekly Aviation Briefing, your go-to source for the latest in the skies. From the bustling runways of global airports to the dynamic operations of airlines and the ever-evolving world of air cargo, we bring you the most up-to-date and insightful news. Dive in with us as we explore the latest trends, breakthroughs, and developments shaping the aviation sector. Stay informed, stay ahead – with Aerovalue.

(Source: Aerovalue)

Turkish Airlines and Riyadh Air have signed a Strategic Cooperation Memorandum of Understanding to offer benefits to guests traveling between the Kingdom, Türkiye, and points beyond their Riyadh and Istanbul hubs. The agreement will allow customers to use each carrier's worldwide network through a comprehensive interline and codeshare agreement. The partnership will also allow loyalty program members to earn points or credits when traveling on codeshare services operated by the other.

(Source: CARGO TRENDS. Read article here)

The International Air Transport Association (IATA) predicts that the airline industry's net profits will reach $23.3 billion in 2023 and $25.7 billion in 2024, overcoming three years of losses due to the COVID-19 crisis. The number of passengers is expected to reach 4.7 billion in 2024, setting a historical high that exceeds the pre-pandemic level of 4.5 billion recorded in 2019. The number of flights will rise to 40.1 million, but this peak in revenue and passengers will not translate into record results for the companies due to narrowing margins. However, the profits reported are well above the forecasts given by IATA last summer, when it predicted a profit of $9.8 billion for 2023. Passenger revenue is expected to reach $717 billion in 2024, up 12% from $642 billion in 2023. The load factor is estimated to reach 82.6% in 2024, slightly better than in 2023 (82%) and equal to 2019. The aviation industry is expected to increase the use of sustainable aviation fuels (SAF) to reduce its carbon footprint.

(Source: Ramón Muñoz - EL PAIS. Read article here)

Four significant airlines now dominate the U.S. airline industry: American Airlines, Delta Air Lines, Southwest Airlines, and United Airlines. Eight big airline mergers since 2000 have reshaped the industry, with storied names like Continental Airlines, Northwest Airlines, and US Airways disappearing into other brands. Two more mergers are proposed: JetBlue Airways wants to buy Spirit Airlines for $3.8 billion, and Alaska Airlines has agreed to buy Hawaiian Airlines for $1.9 billion. These mergers have shaped the industry, with American Airlines, Delta, Southwest, and United now flying 78% of all seats in the U.S. market. Two more mergers are proposed, with JetBlue Airways attempting to block Spirit Airlines and Alaska Airlines agreeing to buy Hawaiian Airlines.

In 2011, Southwest and AirTran merged to form Southwest-AirTran, which would combine the largest U.S. airlines by seats. In 2013, US Airways and American merged to form American, which would be the market leader. In 2016, Alaska announced a deal to buy Virgin America, bringing together the country's sixth and 11th largest airlines. In 2022, JetBlue and Spirit merged to become the fifth-largest U.S. airline by seats. Alaska and Hawaiian recently announced a deal to buy Hawaiian for $1.9 billion, with the combined airline operating with two customer-facing brands. The merger is expected to close by June 2025.

(Source: Edward Russell - SKIFT. Read article here)

Welcome to Aerovalue's Weekly Aviation Briefing, your go-to source for the latest in the skies. From the bustling runways of global airports to the dynamic operations of airlines and the ever-evolving world of air cargo, we bring you the most up-to-date and insightful news. Dive in with us as we explore the latest trends, breakthroughs, and developments shaping the aviation sector. Stay informed, stay ahead – with Aerovalue.

(Source: Sean Lewis - WGN News. See video here)

Welcome to Aerovalue's Weekly Aviation Briefing, your go-to source for the latest in the skies. From the bustling runways of global airports to the dynamic operations of airlines and the ever-evolving world of air cargo, we bring you the most up-to-date and insightful news. Dive in with us as we explore the latest trends, breakthroughs, and developments shaping the aviation sector. Stay informed, stay ahead – with Aerovalue.

(Source: Aerovalue)

Infrastructure investors in Europe are preparing to sell their stakes in European airports, leveraging the recovery of travel following the COVID-19 pandemic. Edinburgh, one of the largest airports, may see a change of ownership as soon as 2024. Global Infrastructure Partners (GIP) is working on the sale of its majority stake, potentially valued at over 2.5 billion euros ($2.72 billion). AGS Airports, owned by Macquarie and Ferrovial, may follow suit. Investors in 2i Aeroporti are also weighing a sale.

(Source: Emma-Victoria Farr, Andres Gonzalez, Elisa Anzolin, Joanna Plucinska, Mathieu Rosemain, Anousha Sakoui and Elaine Hardcastle - REUTERS Read article here)