Lufthansa Group announced plans for an "Economy Basics" fare, which adds a new spin to the 'fighting between 'passengers over size restrictions on carry-on luggage. The German airline group announced on Thursday that those who want to bring more baggage can add it as an add-on. The new low-cost fares will be available online from May 19, for all brands including Lufthansa and?SWISS. The "entry-level" fare is designed to complement the existing "Economy Light", which would then be enhanced with a rebooking option for a small fee. Lufthansa said that the enhanced fare structure allows for a "clear and transparent"...

The German airline 'Lufthansa' lost its appeal against a court ruling on Thursday that invalidated EU approval for state aid it received during the COVID epidemic. This confirmed a victory for Ryanair, the rival. The European Union Court of Justice rejected Lufthansa’s appeal. It upheld a General Court decision that invalidated the European Commission’s decision to clear recapitalisation of the airline. In a?statement, the court said that the Court of Justice dismissed Lufthansa’s appeal today and upheld the General Court’s ruling. The original ruling was made in 2023, following a legal challenge by Ryanair. "We note the European Court of...

?U.S. Airlines are experiencing their highest passenger numbers, packing more people on their planes, and boosting revenue. Yet, in a cruel contradiction, a war thousands miles away is torching profit through a crushing burden of fuel costs. United Airlines has cut its full-year forecast of profit by about a third in the last week. Alaska Air retracted its entire outlook. Delta Air Lines canceled?planned growth? for the quarter while Southwest Airlines refused to update their full-year forecast, saying that it "wouldn't be productive at this point." Fuel costs have risen faster in each case than airline fares. This is the...

American Airlines and Alaska Air Group are in initial discussions to expand their partnership. This could include bringing Alaska into American's transatlantic or transpacific joint business agreements. Sources said that the talks are still in the early stages and may change. They center around allowing Alaska Airlines to join American's global joint ventures, such as those with British Airways, Iberia, Finnair, and Finnair, a Finnish airline, across the Atlantic and Japan Airlines, across the Pacific. These joint ventures are popular with airlines because they enable partners to coordinate schedules, fares and share revenue for international routes. This so-called "metal neutral"...

A number of U.S. legislators expressed concern about a possible federal government rescue of bankrupt Spirit Airlines. The Republican chair of the Senate Commerce Committee called it a "terrible idea." Ted Cruz, a senator from Texas, said in a social media post that "this is an absolutely horrible idea." He said that "the government knows nothing about running a failing budget airline." Reports said that the Trump administration was close to a deal that would save low-cost airline Spirit Airlines. The deal could include up to 500 million dollars in government-backed funding to help Spirit Airlines exit bankruptcy. This is...

Southwest Airlines predicted a second-quarter loss below analysts' expectations on Wednesday as rising jet fuel costs due to the war in Iran have pushed up costs and reduced margins. In extended trading, the shares of?company fell 2.9%. According to data compiled by LSEG, the Texas-based carrier is expecting a profit per share between $0.35 and $0.65 during the April-June period. This mid-point is below analysts' expectations, which were for a profit of 55 cents. After U.S. and Israeli strikes on 'Iran,' the Strait of Hormuz was closed. This caused a rise in jet fuel prices for airlines worldwide. Jet fuel...

Scott Kirby, CEO of United Airlines, played down speculation on Wednesday about a possible tie-up with American Airlines. He also declined to comment on reports that he floated the idea at the White House. We've seen lots of media coverage about consolidation rumors. Kirby stated on United's earnings conference call that the company has not made any comments on these reports. He said that his comments were a reflection of long-held opinions about the airline industry, but they had been interpreted differently after the merger reports. Kirby raised the possibility of merging with American Airlines during a late-February meeting with...

United Airlines CEO Scott Kirby stated on Wednesday that ticket prices could rise as much as 15 to 20% in order to offset the surge in jet fuel costs. This is a test for consumers to see if they are willing to pay higher prices as the oil industry struggles to deal with volatile prices. Kirby stated that United aims to recover all fuel cost increases "as soon as possible". It also expects to move towards a 100% pass through,?as the company targets double-digit margins before taxes next year. Kirby stated that "yields must increase by approximately 15% to 20%"...

Wall Street Journal reported on Wednesday that the Trump administration is close to a deal with Spirit Airlines. The Wall Street Journal quoted people who are familiar with the matter. According to a report, the U.S. Government will loan Spirit up to $500 million in exchange of warrants that would allow it to potentially take a stake in the airline. After U.S. and Israeli strikes on Iran, global carriers are now dealing with a?surge in jet fuel prices? after the disruption of?traffic along the Strait of Hormuz. Spirit Airlines has stated that it will'shrink their fleet to approximately one-third the...

On Wednesday, the German and French defence ministers gave 'differing' timelines for a decision to be made on the Franco-German FCAS Fighter Jet Project. One said that the leaders of the two countries would decide soon. The other stated that mediators wanted more time to discuss this matter. The plans to create a futuristic system of air combat with Spain hang by a thin thread due to a public disagreement over the control between France's Dassault and Airbus which represents Germany?and Spain on the 100 billion euro ($117billion) project. The mediators tried to resolve the 'dispute' by April 18 but...

The global air travel industry is still severely affected by the Iran War. Many people are unable to reach their destinations as planned after major Middle Eastern hubs such as Dubai, Doha, and Abu Dhabi were closed. The latest flight information is listed below alphabetically: AEGEAN AIRLINES Greece's biggest carrier will resume its flights to Tel Aviv on?April 28. Flights from Heraklion, Rhodes and Larnaca will be available on May 3, May 3, and May 21, respectively. Thessaloniki-Tel Aviv flights are cancelled up until June 26. The airline has canceled flights to Beirut, Riyadh, Amman and Dubai until June 28....

Boeing reported on Wednesday a smaller first-quarter profit than analysts expected. This is a sign that the U.S. aircraft manufacturer continues to recover from the pandemic, and the 'years' of crises which have damaged its reputation and left a mountainous debt. The company reported a net loss of $7 million for the third quarter. This was lower than the $31 million loss in the same period last year. According to LSEG, the core loss per share was 20 cents. This is much lower than analysts' average losses of 83 cents. Boeing shares rose by 3% on premarket trading. Boeing CEO...