Hurricane Sandy closed the major New York City metropolitan area airports and forced the cancellation of more than 20,000 flights as it swept the Northeast region of the U.S. last week, leaving widespread flooding in its wake. The Category 1 hurricane, combined with cold fronts from the north and west, also disrupted operations at airports in Boston, Philadelphia, Baltimore and Washington, D.C. Other airports nationwide and internationally felt the ripple effect of the cancellations.
AIN Air Transport Perspective » November 5, 2012
Adverse oil prices and cut-throat rivalry have left airlines scrambling to limit losses with the increasingly attractive option of jet-fuel hedging. Although a complex exercise, hedging essentially involves locking in a forward fixed price, allowing an increasing number of airlines to avoid surprises from unforeseen cost fluctuations. Today, jet-fuel hedgers trade contracts in Singapore, Rotterdam, the U.S. Gulf Coast or New York, as well as crude and heating oil or gas oil in London and New York, the two most liquid swaps and options markets.
International air travelers still pass through a relatively small number of “metropolitan gateways” or areas in the U.S., which over the last two decades have supported a dramatic increase in the number of passengers entering or leaving the country. But federal aviation policies “do not prioritize these metro areas,” according to a Brookings Institution report.
The ever-increasing use of composites in aerospace has given rise to technological advances not only in aerodynamics but in so-called green disciplines. Engineers have studied different processes for decades, and recycled composites from Boeing 787s have already found their way onto recreational products such as kayak paddles.
Dubai’s importance as a hub for carrier Emirates Airline continues to increase, along with its proportion of connections to total traffic. Connecting passengers now account for 70 percent of all traffic into and out of Dubai, Emirates reported last month. For example, on September 5, the airline’s Dubai-Glasgow flight, EK27, attracted passengers from 39 points on the globe, from Accra and Cape Town in Africa, Christchurch in New Zealand, and Tokyo and Seoul in Asia.
AIN Air Transport Perspective is AIN’s e-newsletter focused on the air transport industry. It is distributed once a week and is FREE to all subscribers. Simply fill out the subscription form, which is accessed by clicking on the button below. You can also use this button to update your current account information.