Latest News
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GE Aerospace sees no airline pullback in engine maintenance despite fuel spike
GE Aerospace CEO Larry 'Culp stated on Wednesday that despite higher fuel prices and softer flight departures, airlines have not slowed down on orders for engine parts or maintenance, indicating continued strength in GE Aerospace's high-margin aircraft engine aftermarket business. Culp, speaking at the Bernstein Investor Conference, said that departures have dwindled over the last eight weeks and growth is now "relatively stagnant." He said GE Aerospace did not see any operational impact, or any change in the commercial behavior of airline customers. Culp stated that "we feel very good about second quarter." He cited a?continued strong performance in spare-parts, engine removals, and shop visit activity. The comments indicate that GE Aerospace’s engine?services are holding up despite the Iran War-driven 'fuel spike, which is slowing flight growth and putting pressure on airline margins. Last month, the engine manufacturer said it was on track to meet the highest end of its profit forecast for 2026, but warned that higher oil prices, fuel shortages and slower growth in the global economy had made the backdrop more uncertain. The company forecasts a profit adjusted of $7.10- $7.40 per share in 2026. The company said in April that its outlook was based on the assumption that Brent crude prices will remain elevated through the third quarter, before declining by year's end, as well as near-term fuel shortages. As more people fly, the need for maintenance and engine wear increases. GE Aerospace said that the impact on services revenue and profits this year should be limited because much of their 2026 maintenance work is already set in stone and demand for spares continues to exceed supply. (Reporting and editing by Nick Zieminski, Rajesh Kumar Singh)
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Boeing increases 737 production following consultation with FAA
Boeing will increase 737 production from 42 to '47' jets per month, following consultation with the Federal Aviation Administration. Boeing CEO Kelly Ortberg announced this on Wednesday. At the Bernstein Annual Strategic Decisions Conference,?Ortberg stated that "we're off and running?at the rate of 47 and we should be there within the next two months." Boeing's fourth 737 production facility in Everett (Washington) will allow the company to produce 52?jets per month by early next year. Ortberg stated, "I believe the entire world is watching to ensure we make (rate) 47 or 52." The FAA capped 737 production at '38 per month after a midair panel failure on a 737 MAX that was almost new in 'January 2024. This revealed significant quality issues at the U.S. aircraft manufacturer and drew intense scrutiny from 'customers. The FAA?removed? the cap?in October. Reporting by Dan Catchpole from Seattle and Shivansh Twary from Bengaluru. Chizu Nomiyama edited the article.
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Source: Apex Service Partners is close to selling minority stakes at $10 billion valuation
According to a source with knowledge of the situation, Apex Service Partners, a home services company, is close to selling a minority stake that could be valued at $10 billion including debt. Source and two other people said that the?company was backed by the private equity firm Alpine Investors. They worked with Goldman Sachs to complete the deal. It was not possible to determine the identity of the new investor or the size of the minority stake. Goldman declined comment. Alpine and Apex didn't immediately respond to our requests for comments. In recent years, private equity firms have targeted the residential service sector more and more. They are attracted by the steady cash flow, as well as the high potential of valuations on fragmented, local markets. Apex, headquartered in?Tampa provides HVAC, plumbing, and electrical services. According to its website, it operates in almost every state of the United States and has more than 7,800 skilled tradespeople. Alpine launched?Apex? in 2019 and converted it to a single asset continuation vehicle with a $3.4billion transaction in?2023, a structured that allows private equity firms to retain ownership, while giving existing investors the opportunity of cashing out. Blackstone Strategic Partners was one of the participants in this deal. Alpine is based in San Francisco in California. It manages assets worth nearly $19 billion. Abigail Summerville reports from New York. (Editing by Mark Potter and Echo Wang)
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Uganda closes its border with Congo in an attempt to contain Ebola
Uganda's government announced on Wednesday that it has closed Uganda's?border? with the Democratic?Republic of?Congo?with immediate affect to try and limit the spread Ebola. Senior health official Diana Atwine said at a press briefing that the border would be closed for a period of four weeks - except for Ebola response team, humanitarian and security operations and food and cargo transportation. Uganda reported seven Ebola patients and one death. The outbreak's epicenter is located in?Congo’s Ituri Province. World Health Organization reports that the Congo has more than 900 suspected Ebola cases, and 220 deaths. The WHO has declared this outbreak of the rare Bundibugyo Ebola strain a public-health emergency of international concern. Last week, Uganda's government announced a?first set of?measures to try and limit the?cross-border spread?of the virus. This included suspending?public transport services with Congo. Atwine announced on Wednesday that anyone?authorized to enter Uganda via the?Congo?would be required to undergo mandatory self isolation for 21 days.
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SEFE, a German company, and Ksi Lisims Liquefied Natural Gas (Canada) Ltd. have agreed to a long-term supply of LNG
The German state-owned gas company SEFE announced on Wednesday that it had agreed to buy 1 million tonnes of liquefied?natural?gas from Canada's Ksi Lisims?LNG to diversify its supply amid unstable global energy markets. According to the memorandum signed on Wednesday deliveries will begin in early 2030s and last up to 20 years. Katherina Reiche, German Economy Minister, said that the deal was a sign of a "strategic energy partnership" with Canada. She added, "By working together more closely, we diversify our supply chain and make our economies more resilient to global risks." The Ksi Lisims Project is backed by a consortium of Canadian natural gas producers, namely the Rockies LNG Consortium. They also own the land. The facility will be Canada's second largest LNG export facility, with a capacity of 12,000,000 tonnes per year. SEFE, which was formerly owned by Gazprom, has been nationalised by Germany after the Russian invasion of Ukraine in 2022. The company, like Uniper is also tasked with diversifying the energy supply following the cessation of Russian 'pipeline' deliveries and the recent war in Iran that further disrupted the energy markets. SEFE has already signed several LNG contracts, including with Venture Global in the U.S., Southern Energy S.A. of Argentina, and Turkey's BOTAS state energy company. Last month, it was reported that European buyers, such as Uniper, were 'interested in LNG from Canada’s Pacific Coast, which would be shipped via the Panama Canal to diversify energy supply. (Reporting and Editing by Madeline Chambers).
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American Airlines' resilient demand cushions fuel price hit
American Airlines has maintained its full-year profit forecast despite a sharp rise in fuel costs, according to CEO Robert Isom at the Bernstein Investor Conference on Wednesday. He said that higher revenue, corporate travel and premium demand helped cushion the blow of rising oil prices. Isom stated that there is "no doubt" the demand for travel?is K-shaped, with high-income customers outpacing lower- and middle-income customers. He said that travel is growing for all income levels, with American Airlines about 80% booked in the second quarter. Corporate travel has increased 13% over the past year, and leisure travel is "incredibly" high. American Airlines shares rose 2% in the morning. Last month, the carrier cut its profit forecast for 2026 due to rising jet fuel prices. It said it expected its fuel bill this year to increase by over $4 billion. It predicted a range of '2026 results from a loss between 40 cents and $1.10, down from the previous forecast of a profit between $1.70 and $2.70. Isom stated that the airline expects second-quarter revenues to increase 15% from a year ago, on a capacity growth of?about 5%. This would imply?roughly a 10% growth in unit revenue. Reporting by Rajesh Kumar Singh from Chicago and Shivansh Twary from Bengaluru, with editing by Gus Trompiz.
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Sources say American Airlines will double the number of employees at its India tech hub.
Two people with knowledge of the matter said that American Airlines Group, the U.S. carrier, plans to double its headcount at its India technology center to 800 by early next year. Southwest Airlines, a rival airline, announced last week that it plans to expand the global capability center in Hyderabad to 1,000 employees within the next few decades. JPMorgan Chase and Walmart, McDonald's and Nvidia, along with Eli Lilly, have also expanded their technology operations in India, to tap into its talent pool. These hubs, which were formerly mainly back-office functions, now handle core functions such as engineering, R&D and finance. American Airlines will set up its Hyderabad hub in 2024, and it employs 400 people, who are mainly focused on "software engineering, artificial intelligence and cybersecurity," according to the sources. The airline stated that it plans to continue hiring, but didn't share any specifics on the headcount. It only said that the hub is home to "several hundreds" of employees and is part of the global technology network along with U.S. teams. The company said that teams in Fort Worth, Phoenix, and Hyderabad worked closely with the business on digitizing processes, deploying new tools to improve'speed to market and outcomes for business, and building a more resilient airline and better experience for both team members and customers. It added that the airline has increased its IT investment and U.S. technology headcount each year since 2021. According to a report by 2026 Nasscom and Zinnov, India is the largest GCC hub in the world, with more than 2,100 centers that employ?about 2.36 millions people, generating revenue of?nearly 100 billion dollars.
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Airline cancellations in response to Middle East conflict
Middle Eastern carriers increased capacity following the disruption caused by the Iran War, and airlines outside the Gulf have rerouted flights between Europe?and Asia away from major hubs in that region. The latest flight information is listed below alphabetically: AEGEAN AIRLINES On May 21, Greece's biggest carrier will resume flights from Heraklion to Tel Aviv, as well as Rhodes and Larnaca. Thessaloniki-Tel Aviv flights are cancelled up until June 26. Erbil, Baghdad and Dubai flights are all cancelled until August 31. AEROFLOT The Russian flag carrier announced that it will resume flights to?the United Arab Emirates? from June 1. AIRBALTIC AirBaltic, a Latvian airline, has announced that flights to Tel Aviv are cancelled until the 28th of June. Dubai flights are canceled until October 24. AIR CANADA The Canadian carrier has canceled flights to Tel Aviv, Dubai and Abu Dhabi until September 7. AIR EUROPA Spanish Airlines has cancelled all flights to Tel Aviv up until the 28th of June. AIR FRANCE-KLM Air France has suspended Tel Aviv flights up until June 7. Air France has suspended its flights to Tel Aviv until June 7. KLM suspends flights to Riyadh, Dammam and Dubai until August 2 and until July 12. CATHAY PACIFIC Hong Kong Airlines has suspended flights to Dubai, Riyadh and cargo services to Dubai, Riyadh and Dubai until May 31, and the Hong Kong airline will continue to operate all scheduled flights beyond June. The airline plans to continue all scheduled flights after June. The U.S. carrier extended the suspension of service for the Atlanta-Tel Aviv routes through December 18, and plans to resume New York JFK-Tel Aviv flights starting September 6. The launch of the Boston-Tel Aviv flight, originally scheduled for late October, has been postponed until further notice. EL AL ISRAEL AIRLINES All flights to Dubai have been cancelled until 31 May. FINNAIR It has cancelled all flights to Doha until July 2 and continues to avoid the airspaces of Iraq, Iran Syria, and Israel. The airline will not resume Dubai flights until October. IAG-owned, British Airways has delayed the resumption of flights to Dubai and Doha until August 1. It also plans to reduce Middle East flights when services resume and permanently drop Jeddah from its list of destinations. The carrier also plans to reduce service to Dubai, Doha and Riyadh to just one flight per day. Iberia Express, the Spanish low-cost carrier of IAG, has cancelled all flights to Tel Aviv until May 31. JAPAN AIRLINES Japan Airlines has suspended its scheduled Tokyo-Doha and Doha-Tokyo flight until July 31, and until August 1. The Polish airline has suspended its flights to Tel Aviv till May 30. The airline has also cancelled its flights to Riyadh up until June 30, and to Beirut between March 31 and June 27. LOT will operate its winter route from Dubai to Riyadh in October. LUFTHANSA GROUP Austrian Airlines plans to restart flights to Tel Aviv on June 1. SWISS, ITA Airways, and Lufthansa plan to resume flights in July. Brussels Airlines suspended its operations until October 24, ITA Airways, SWISS, and Lufthansa will continue to suspend flights to Dubai through September 13. Until October 24, SWISS, Austrian Airlines, Brussels Airlines, Lufthansa and SWISS have suspended their flights to Abu Dhabi and other destinations, including Amman, Beirut and Dammam as well as Riyadh. Erbil, Muscat, Tehran and Riyadh are also affected. Eurowings, a low-cost carrier, has suspended flights from Tel Aviv to Beirut and Erbil to June 22, as well as Dubai to Abu Dhabi until October 24. ITA Airways has also extended its suspension of flights to Riyadh through June 30. MALAYSIA Airlines will resume limited service to Doha on July 2. NORWEGIAN AIR The low-cost carrier has delayed the launch of its Tel Aviv & Beirut services until June 15 PEGASUS Pegasus Airlines, Turkey's national airline, has cancelled all flights to Iran, Iraq Kuwait, Bahrain, Dammam Riyadh Abu Dhabi Sharjah until June 1. QANTAS Australia's flag-carrier has added flights to Rome, Paris and London to meet a?increase in demand for European destinations. The number of flights to Paris will rise from three to five weekly return flights, and the Perth to Singapore service will go from daily to 10 per week. A new schedule will be implemented gradually for flights starting in mid-April. It will run through late July. ROYAL MAROC Moroccan carrier announced that flights to Doha and Dubai will be cancelled until 30 June. SINGAPORE Airlines In order to meet increased demand, the?carrier extended their Singapore-Dubai flight cancellation until August 2. They also added?services along the Singapore-London Gatwick route and Singapore-Melbourne route from late March until 24 October. TURKISH AIRLINES SunExpress, Turkish Airlines joint venture with Lufthansa has cancelled flights until June 30, including to Dubai, Bahrain and Erbil. WIZZ AIR Low-cost airlines will resume their flights to Tel Aviv from May 28, but flights to Dubai and Abu Dhabi, as well as flights to Amman in Jordan remain suspended until the middle of September. All flights to Medina have been suspended permanently. (Compiled by Josephine Mason and Jamie Freed. Elviira Loma, Tiago Branao, Agnieszka Olenka, Bernadette HOG, Boleslaw LaSocki, Romolo Tosiani. Matt Scuffham and Alexander Smith edited by Milla Nissi, Susan Fenton, Jonathan Ananda, Milla Nissi-Prussak, and Jonathan Ananda.
COSCO products tanker leaves Strait of Hormuz; oil traffic still restricted
Shipping data revealed that an oil products tanker owned by the Chinese shipping group COSCO was on its way to cross the Strait of Hormuz, following the passage of two crude oil tankers the previous day. However, oil traffic was still 'limited', according to the shipping data.
Prior to the start of the war against Iran on February 28, the shipping traffic through this Strait was 125-140 daily passages. 20,000 seafarers are still stranded on hundreds of ships in the Gulf due to the conflict.
According to data analysts SynMax, the Chinese-flagged Hua Lin?Wan was crossing the?Strait Wednesday with a cargo of petroleum products.
COSCO was not available for comment after normal business hours in China.
According to data from ship tracking, at least two more COSCO crude oil tanks have passed through the strait since 13 May.
According to an analysis by ship broker Clarksons, the average daily?transits has been around?11 ships. This number has been constant since February 28.
Separate Kpler and LSEG data revealed that two crude tankers operated by Greek and Singaporean companies sailed Tuesday through the strait.
The number of tankers that transit the Strait has increased, but the flow of oil and other products remains at a low level, as Iran and the U.S. are both fighting for control, according to a report by a tanker broker.
There are a number of conditions that must be met before pre-war traffic can resume. These include security guarantees, the removal of mines, and an updated insurance framework.
In the last day, the volume of shipping traffic through the Strait, which normally carries around a fifth of the world's oil and energy, was at the same level as it had been in recent days. According to SynMax and Kpler's analysis, nine more ships entered and left the Gulf via the Strait.
Data showed that the vessels were mostly smaller cargo and container ships, and one chemical tanker. The data showed that the vessels were mainly smaller container and cargo ships, with one chemical tanker.
(source: Reuters)