Ailing Scandinavian carrier SAS will reduce its workforce by 6,000 employees, sell off its Widerøe regional subsidiary and centralize administrative functions in Sweden in return for an increased credit line from major shareholders and banks of 3.5 billion Swedish kronor ($525 million) through March 2015. The new revolving credit facility has yet to be approved by the parliaments of Sweden and Norway.
European Regions Airline Association
Austria’s Farnair Training began operating a new Axis full-flight simulator for the ATR 42-300 and ATR 72-500 last month at its facility in Neusiedl am See, near the Hungarian border. Situated 25 nm from Vienna and 16 nm from Bratislava, the facility offers easy access to both those cities’ airports.
Warsaw-based Eurolot has converted options on six Bombardier Q400 turboprops to a firm order worth $190 million based on list prices, the Canadian manufacturer announced last month. Once delivered, the new airplanes will increase the size of Eurolot’s Q400 fleet to 14 while replacing aging ATR 42s and 72s. Eurolot placed a firm order for eight Q400s with options on another 12 in early March and took delivery of the first in mid-May.
Kazan International Airport (Russia)-based Tulpar Technic has been named a Bombardier-authorized service facility for the CRJ100 and CRJ200 regional jets. “Tulpar Technic is emerging as a leader in the region and will provide Bombardier operators with much needed access to quality maintenance services,” said Éric Martel, president of Bombardier Customer Services & Specialized and Amphibious Aircraft. “The Russian market is extremely important to Bombardier, and our team continues to accelerate the expansion of our international services offering, here and around the world.”
Two years after entering bankruptcy protection, restructured Irish regional operator Aer Arann has embarked on a fleet-replacement program. Last month it neared a resolution to negotiations to acquire eight ATR 72-600s, reflecting expectations for rejuvenation of a business that has fought valiantly to escape the ravages of the Irish economic collapse.
Embraer delivered 55 jets in the second quarter, composed of 35 airliners and 20 executive jets. Of the business jets, Embraer shipped 17 light jets and three large jets. Total deliveries for the first six months reached 89 aircraft–56 commercial and 33 executive jets–13 more than for the same period last year.
ATR announced more than $600 million worth of firm orders at the show yesterday, led by an eight-unit deal with Taiwan’s TransAsia for ATR 72-600s. Meanwhile, the Franco-Italian manufacturer logged a separate pair of orders, each for two ATR 72-600s, from Air Lease Corporation and Lao Airlines.
Latvian carrier Air Baltic has signed a letter of intent for 10 Bombardier CSeries CS300 twinjets worth $764 million (at list prices), with purchase rights for 10 more. Deliveries are to start in the first quarter of 2015.
Air Baltic currently has eight Bombardier Q400s in its fleet, along with 10 Fokker 50s, 16 Boeing 737-300/500s and two Boeing 757s.
Chinese prime minister Wen Jiabao announced at the Rio+20 conference in Rio de Janeiro on Thursday that his country’s Aviation Industry Corporation of China (Avic) has signed an agreement to build Embraer Legacy 650 executive jets in Harbin, China. The project will use the infrastructure, financial resources and workforce of their joint venture, Harbin Embraer Aircraft Industry, which began operations in 2002 building Embraer ERJ145 regional jets.
International Airlines Group (IAG) has signed a binding agreement to sell Aberdeen, Scotland-based BMI Regional to Sector Aviation Holdings for £8 million ($12.9 million) in cash. The sale includes all BMI Regional’s fixed assets and long-term liabilities, including owned and leased aircraft.
BMI Regional flies a fleet of 18 Embraer ERJ 145s and ERJ 135s throughout the UK and Northern Europe. IAG chief executive Willie Walsh said the deal “should” secure some 330 jobs.