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New York CNN —The strike at Boeing by 33,000 members of the International Association of Machinists union, which reaches its seventh day today, has already cost the company and workers $572 million, according to an estimate from Anderson Economic Group. “The first week of losses for Boeing are substantial, but they’ll pale in comparison to what comes in the following weeks,” Anderson told CNN. The strike at Boeing (BA), on the other hand, has yet to have a measurable economic impact on airlines so far, Anderson said. The losses for workers, primarily the 33,000 union members who have gone on strike, as well as for suppliers come to about $117 million in the first week. The strike will also cost about $10 million in local losses, including at businesses near the plants, according to Anderson.
Persons: Patrick Anderson, , ” Anderson, Anderson, Kelly Ortberg, Boeing’s, Max Organizations: New, New York CNN, Boeing, International Association of Machinists, Anderson Economic, CNN, General Motors, Max, Federal Aviation Administration, FAA, Airbus Locations: New York, Michigan, South Carolina
Bloomberg | Bloomberg | Getty ImagesThe aviation industry still sees so-called "sustainable aviation fuel" (SAF) as the only viable way to meet its decarbonization targets, even as opposition and the potential for higher costs for passengers pose obstacles to the fast-growing sector. SAF is a broad term describing fuel that is burned by an aircraft engine, but instead of using kerosene is derived from more sustainable sources. The planemaker said it is collaborating with producer HIF Global on the development of methane-based fuels, and investing in alcohol-to-jet fuel producer LanzaJet. But IATA's own forecast for SAF production to triple in 2024 to 1.9 billion liters would cover just 0.53% of aviation fuel demand for the year. "The truth is, it's going to be more expensive, you can't really sugarcoat that," said HIF Global's Clara Bowman.
Persons: Neste, HIF, Buzz, Lauren Riley, Riley, Rick Nagel, You've, Clara Bowman, Bowman, United's Lauren Riley, HIF Global's Clara Bowman Organizations: SAF, Bloomberg, Getty, United Airlines, Chicago O'Hare International, Labour, Airbus, Farnborough Air, CNBC, International Air Transport Association, Acorn Capital Management, Porsche, HIF, Union's Renewable Energy Directive, Biden, Boeing, Google, Embraer Locations: Singapore, Chile, Texas, U.S, America
How long the strike lasts will determine how serious the problems are for Boeing. Boeing has a long way back to profitability, no matter how long the strike lasts. So as bad as the strike might be for Boeing, it has plenty of other problems to deal with. So even with financial problems that might kill another company, Boeing isn’t going anywhere. The strike could last a whileNegotiations between Boeing, the union and federal mediators are expected to resume early this week.
Persons: Brian West, Boeing’s, Fitch, Moody’s, Poor’s, Richard Aboulafia, ” Aboulafia, ” Jim Bloomer, Max, , you’ve, Organizations: New, New York CNN, Boeing, Federal Aviation Administration, Airbus, CNN Locations: New York, Washington, Renton , Washington
Wizz Air announced its first route for the Airbus A321XLR from London to Jeddah. Go to newsletter preferences Thanks for signing up! AdvertisementEuropean ultra-low-cost carrier Wizz Air announced Tuesday its first route for the Airbus A321XLR. The A321XLR could be a game changer for budget airlines because it can fly up to two hours further. By opening longer routes with the XLR, budget airlines could compete with legacy carriers operating widebody jets.
Persons: Organizations: Wizz Air, Airbus, British Airways, Boeing, Service, Business Locations: London, Jeddah
CNN —In travel news this week: odd room service requests, the cruise passengers stranded for months at their departure port, plus how a rogue bag of Cheetos caused havoc in a New Mexico cave. Unusual guest requestsFar be it from us to say folks are getting a little entitled, but a new report from Hotels.com has revealed the oddest room service requests made to its hotel partners around the world. There’s the separate requests that were fielded for burnt toast, fresh goat milk and 2 kilos of bananas. And finally there’s the demand for a high-five from a team member to ensure their room service request was read. The nine-month itinerary of Royal Caribbean’s Ultimate World Cruise was considerably less ambitious, but at least it successfully completed its journey this week.
Persons: Hotels.com, it’s, there’s, , CNN Anne Marie Hagerty Organizations: CNN, Service, Atlanta, Delta Airbus Locations: New Mexico, York, Carlsbad, Hawaii, Oahu, Georgia, England, Argentina, British, Italy,
Thomas d'Halluin, Managing Partner of Airbus Ventures, at Hangar One of NASA Ames Research Center's Moffett Field in California. Airbus VenturesAirbus Ventures, one of the most prolific investors in space startups, has raised a $155 million fund that it plans to deploy across the burgeoning space sector, as well as the broader "deep tech" ecosystem. "This fund is designed to unlock new possibilities, and space is one of them," Thomas d'Halluin, managing partner of Airbus Ventures, told CNBC. Historically, deep tech is a classification for companies working on technologies that face steep scientific or engineering obstacles. Airbus Ventures currently has $465 million under management, with Fund-Y marking its fourth fund to date.
Persons: Thomas d'Halluin, d'Halluin Organizations: Airbus Ventures, NASA Ames Research, Moffett, Airbus Ventures Airbus Ventures, CNBC, Spaceflight, SpaceX Locations: California, European
Boeing should be kicked out of the Dow
  + stars: | 2024-09-11 | by ( Chris Isidore | ) edition.cnn.com   time to read: +6 min
The United States is no longer primarily an industrial economy, and the changes in the index over the last 126 years reflect that evolution. Beyond that, there are two other major issues indicating that Boeing no longer belongs in the Dow. Trying to stay relevantBoeing obviously wasn’t an early component of the Dow — the index started seven years before the first plane flew at Kitty Hawk, and 20 years before Boeing was incorporated. In 2020, the Dow dropped ExxonMobil, then struggling with low oil prices during the pandemic, and added tech company Salesforce, then on a tear. Boeing declined to comment when asked about its membership in the Dow.
Persons: , Ron Epstein, Dow, Max, That’s, Sam Stovall, Kitty Hawk, , ” Stovall, Stovall, Organizations: New, New York CNN, Dow Jones, New York Stock Exchange, Nasdaq, Boeing, Bank of America, Steel, Disney, Dow, Alaska Airlines, Federal Aviation Administration, CFRA Research, Electric, Lockheed, GE, GE Aerospace, ExxonMobil, Airbus Locations: New York, United States, Alaska, Ukraine
Wizz Air announced its first A321XLR route will be about seven hours between London and Saudi Arabia. "You kind of suffer the pain, if you wish, for the economic benefits," said Wizz's CEO. Go to newsletter preferences Thanks for signing up! AdvertisementAs it introduces longer flights, ultra-low-cost carrier Wizz Air isn't planning any upgrades to its no-frills offering — hoping passengers will "suffer the pain" for cheaper tickets. Wizz announced Tuesday that its first Airbus A321XLR route will be between London Gatwick and Jeddah in Saudi Arabia, starting next March.
Persons: , Wizz Organizations: Wizz Air, Service, Wizz, Airbus, London, Business Locations: London, Saudi Arabia, Saudi, Jeddah, London Gatwick
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailAirbus' growth will come from size of backlog, says CEO Guillame FauryGuillaume Faury, Airbus CEO, joins CNBC's Phil Lebeau on 'Squawk on the Street' to discuss where Airbus is expecting growth, where the biggest supply chain challenges are, and more.
Persons: Guillame Faury Guillaume Faury, Phil Lebeau Organizations: Airbus
Beond, an all-business-class airline, launched in November 2023 with a 21-year-old Airbus A319 plane. The Maldives-based airline flies to Europe and Asia and aims to expand routes with an Airbus A321. Go to newsletter preferences Thanks for signing up! AdvertisementMaldives-focused airline Beond is a largely unknown startup. This story is available exclusively to Business Insider subscribers.
Persons: , Beond Organizations: airline, Airbus, Service, Business Locations: Maldives, Europe, Asia, Bangkok
U.S. passenger airlines have added nearly 194,000 jobs since 2021 as companies went on a hiring spree after spending months in a pandemic slump, according to the U.S. Department of Transportation. It’s a departure from the previous years when airlines couldn’t hire employees fast enough. U.S. airlines are usually adding pilots constantly since they are required to retire at age 65 by federal law. Then, travel demand snapped back faster than expected, climbing in earnest in 2022 and leaving airlines without experienced employees like customer service agents. “We will be hiring for the foreseeable future at levels like that,” he said at the time.
Persons: Kit Darby, they’ll, Raymond James, Savanthi, Tammy Romo, Robert Isom, , , Ken Byrnes Organizations: U.S . Department of Transportation, Airlines, Boeing, Airbus, U.S, American Airlines, United Airlines, Delta Air Lines, Southwest Airlines, JetBlue Airways, Spirit Airlines, Pratt & Whitney, Frontier Airlines, Dallas, , ” United Airlines, , FedEx, UPS, American, Embry, Riddle Aeronautical University Locations: U.S, ” United
The planes replace aging widebodies and come with upgraded business and economy cabins. Go to newsletter preferences Thanks for signing up! download the app Email address Sign up By clicking “Sign Up”, you accept our Terms of Service and Privacy Policy . AdvertisementVirgin Atlantic Airways has spent $17 billion to modernize its fleet and better compete with other airlines across the Atlantic. This story is available exclusively to Business Insider subscribers.
Persons: Organizations: Virgin Atlantic Airways, Airbus, Service, Business
Europe’s air safety regulator ordered inspections on engines of a flagship Airbus jet on Thursday, after a fire broke out during a Cathay Pacific flight. The move affects the larger of two models of twin-engined A350, the A350-1000, which represents 15% of the A350 fleet or 86 jets. Video Ad Feedback Cathay Pacific grounds dozens of flights amid worries over Airbus A350 engines 01:54 - Source: CNNRolls-Royce and Airbus said earlier they were working closely with authorities to comply with the planned directive. EASA said the fire had caused heat damage to the engine housing, including ducts used for reverse-thrust on landing. Airbus and Rolls sought to address airlines’ questions on Thursday during their first closed briefings since Monday’s incident.
Persons: Florian Guillermet, EASA, ” Guillermet, Rolls Organizations: Airbus, Cathay, European Union Aviation Safety Agency, Royce, CNN, Reuters, Boeing, Airlines Locations: Hong Kong, Cathay Pacific, Cathay, Zurich
It's all piling up, and aircraft engine shops around the world are overflowing. American Airlines ' solution is to do more of the work itself. "We just have one customer and that's American Airlines doing our work," American's chief operating officer, David Seymour, said. GE Aerospace brought in $11.7 billion from engine maintenance, repairs and overhaul in the first half of 2024, making up 65% of its revenue. An airplane engine at American Airlines' test cell in Tulsa, Oklahoma.
Persons: David Seymour, Tulsa , Oklahoma Erin Black, It's, France's Safran, Seymour, Leslie Josephs, Thomas Toepfer, Kevin Michaels, Martin Gauss, Pratt, that's, Advisory's, Erin Black, Michaels Organizations: Boeing, Airbus, Alton Aviation Consultancy, GE Aerospace, GE, Pratt & Whitney, Royce, American Airlines, Airlines, CFM, CNBC, Tulsa International Airport, American, JetBlue Airways, Spirit Airlines Locations: TULSA, Okla, Tulsa , Oklahoma, Tulsa, American's, Riga, Latvia
"Our research infers that fliers are doing more research to understand and potentially avoid Boeing aircrafts," she said. "First of all, there are more discount carriers operating Airbus (A320s) than Boeing (737s) particularly in Asia," he said. watch nowThe study is a historical analysis of commercial flight safety, which does not predict how Boeing's issues may play out in the future. But Barnett indicated he's confident about the future of commercial aviation. Why avoiding Boeing is difficultThough competition among airlines is fierce, aircraft manufacturing has long been dominated by the United States' century-old Boeing company and its European competitor, Airbus.
Persons: Danielle Harvey, Brendan Sobie, Arnold Barnett, Barnett Organizations: Boeing, Alaska Airlines, Sobie Aviation, Massachusetts Institute of Technology, of Air Transport Management, MIT, U.S . Federal Aviation Agency, National Transportation Safety Board, European Union, New Zealand, United Arab Emirates, CNBC Travel, Airbus, Airlines, Max Locations: Asia, United States, Europe, Australia, Canada, China, Israel, Japan, New, Bahrain, Bosnia, Brazil, Brunei, Chile, Hong Kong, India, Jordan, Kuwait, Malaysia, Mexico, Philippines, Qatar, Singapore, South Africa, South Korea, Taiwan, Thailand, Turkey, Alaska
Where are low-cost airlines cutting back now? New planes
  + stars: | 2024-08-30 | by ( Leslie Josephs | ) www.cnbc.com   time to read: +5 min
In this article SAVEULCCJBLU Follow your favorite stocks CREATE FREE ACCOUNTJetBlue Airways, Spirit Airlines and United Airlines airplanes proceed to gates after landing at Newark Liberty International Airport in Newark, New Jersey on May 30, 2024. Airlines flooded the U.S. with flights this year, driving down fares particularly in the domestic market, where low-cost carriers concentrate, and weighing on carriers' revenue while costs have gone up. Spirit Airlines , JetBlue Airways and Frontier Airlines last posted annual profits in 2019, while larger carriers have returned to profitability. Now, some of those same airlines are dialing back their growth plans and deferring deliveries of new aircraft. Some airlines, like Frontier, have been active in sale-leasebacks, in which they sell planes to generate cash and lease them back.
Persons: Gary Hershorn, Cash, Barry Biffle, Biffle, Joanna Geraghty, , AerCap, Gus Kelly, Eddy Pieniazek, Pieniazek, Alwyn Scott Organizations: JetBlue Airways, Spirit Airlines, United Airlines, Newark Liberty International Airport, Corbis, Getty Images Airlines, Frontier Airlines, roundtrip U.S, Airbus, New York, Pratt & Whitney, JetBlue, Airlines, Aircraft, Boeing, Max, Air Lease Locations: Newark , New Jersey, U.S, Mobile , Alabama
British Airways is upgrading its short-haul cabins as part of a huge investment. I flew on one of the older A320s, then toured a brand-new A320neo at the Farnborough Airshow. Go to newsletter preferences Thanks for signing up! download the app Email address Sign up By clicking “Sign Up”, you accept our Terms of Service and Privacy Policy . You can opt-out at any time by visiting our Preferences page or by clicking "unsubscribe" at the bottom of the email.
Persons: Organizations: British, Farnborough, Service, British Airways, Business
A man was arrested after opening a plane's emergency exit upon arrival in Melbourne. A video shared by Australian media shows the man walking on the plane's wing. Go to newsletter preferences Thanks for signing up! AdvertisementA man was arrested after climbing out of a plane's emergency exit on Thursday, airline Jetstar confirmed to Australian media. "We can confirm that a passenger opened the emergency exit door after arrival into Melbourne, which automatically deployed the slide," Jetstar said in a statement to Sky News.
Persons: Organizations: Jetstar Airbus, Australian, Service, Jetstar, Airbus, Sky News, Business Locations: Melbourne, Sydney
The embattled aircraft maker reported it took in gross orders for 72 new planes in July, compared to the 59 reported by Airbus. And many were tied to the Farnborough Air Show in July, which is the site of many commercial jet sales. The July orders brought full-year gross orders to only 228 commercial jets. Subtracting canceled orders, Boeing had only 186 net orders in the first seven months of the year. Airbus has delivered 400 jets through the first seven months of this year.
Persons: doesn’t Organizations: New, New York CNN, Boeing, Airbus, Farnborough Air, Alaska Airlines, Federal Aviation Administration Locations: New York
SAO PAULO — Families of victims of an airliner crash in Brazil are gathering Sunday at a morgue and hotels in Sao Paulo as forensics experts work to identify the remains of the 62 people killed in the accident. Brazilian media said another four people were identified at the Sao Paulo morgue, which did not confirm the information. Metsul, one of Brazil’s most respected meteorological companies, said Friday there were reports of severe icing in Sao Paulo state around the time of the crash. Sao Paulo state government said 26 families have already attended the morgue for identification efforts, with more expected on Sunday. The ATR 72, which is built by a joint venture of Airbus in France and Italy’s Leonardo SpA.
Persons: Danilo Santos Romano, Humberto de Campos, e Silva, Voepass, Ratinho Júnior, Liz Ibba dos Santos, Luna, Tânia Azevedo, Tiago, , , Lito Sousa, ” Sousa, Marcelo Moura, Italy’s Leonardo Organizations: SAO PAULO —, Sao, Guarulhos, Airlines, ” Police, American Eagle, U.S . National Transportation Safety Board, U.S . Federal Aviation Administration, Associated Press, Airbus, Aviation Safety Network Locations: Brazil, Sao Paulo, Paulo, Vinhedo, Portuguese, Paraná, Venezuelan, Nepal, Guarulhos, Cascavel, Brasilia, France
Aerospace veteran Robert “Kelly” Ortberg becomes Boeing’s new CEO on Thursday with a singular mission: restoring the reputation of a U.S. manufacturing icon. Boeing's new CEO, Robert "Kelly" Ortberg. Ortberg’s Day 1 activity is walking the floor of Boeing’s factory in Renton, Washington, where it builds its bestselling but problematic 737 Max. The airline’s CEO hinted at the big feat Ortberg has ahead of him. “We look forward to working with Kelly Ortberg in his efforts to return Boeing to its place as the leading American aerospace company,” CEO Bob Jordan said in a written statement.
Persons: Robert “ Kelly ” Ortberg, Robert " Kelly, Ortberg, , Rockwell Collins, Richard Aboulafia, ” Ortberg, Boeing’s, Butch Wilmore, Suni Williams, Ron Epstein, , isn’t, ” Jon Holden, Dave Calhoun, Calhoun, Dennis Muilenburg, Max, Chicago —, Kelly Ortberg, Bob Jordan, , Michael Sheetz Organizations: Boeing, AFP, Getty, Ortberg’s, National Transportation, Air Force One, NASA, SpaceX, International Space, Airbus, Bank of America, International Association of Machinists, Aerospace Workers, Arlington , Virginia —, , Southwest Airlines Locations: U.S, Renton , Washington, Portland , Oregon, , Washington state, Oregon, Arlington , Virginia, Chicago, Seattle, American
On Thursday, investors in Asia will assess trade data from Japan and interest rate decision from the Reserve Bank of India. Global equities and currencies plunged earlier this week after the Bank of Japan hiked interest rates to their highest levels since 2008, and the U.S. released weaker-than-expected employment numbers. Asia-Pacific markets were mostly down in choppy trading on Thursday after U.S. stock benchmarks fell overnight, while investors assessed trade data from Japan and awaited India's rate decision. "Assuming that the price stability target will be achieved in the second half of fiscal 2025, the Bank should raise the policy interest rate to the level of the neutral interest rate toward that time," the summary read. Japanese technology investor SoftBank Group said in a statement on Wednesday that it would buy back up to 500 billion yen ($3.4 billion) of its shares as part of its efforts to boost shareholder returns.
Persons: Shinichi Uchida, Lasertec, Korea's Kospi Organizations: Reuters, The Reserve Bank of, Reserve Bank of India, Global, Bank of Japan, Dow Jones, Nasdaq, Nvidia, Nikkei, Bank, SoftBank, Semiconductor, Isuzu Motors, China's CSI, Cathay, Hong Kong's, Airbus Locations: The Reserve Bank of India, Asia, Japan, U.S, Pacific, Hong, Cathay Pacific
A Delta Airlines Airbus A319-114 aircraft taxis at Los Angeles International Airport after arriving from Las Vegas on May 5, 2024 in Los Angeles, California. Delta Air Lines on Thursday said last month's CrowdStrike outage and subsequent mass flight cancellations cost it some $550 million and reiterated that it is pursuing damages against the company as well as Microsoft . Delta struggled more than its competitors to recover from the July 19 outage, which took millions of Windows-based machines offline around the world. "Since the incident, our people have returned the operation to an industry-leading position that is consistent with the level of performance our customers expect from Delta." The U.S. Department of Transportation last month said it is investigating Delta's response to the outage and flight cancellations.
Persons: Ed Bastian, CrowdStrike Organizations: Delta Airlines Airbus, Los Angeles International Airport, Delta Air Lines, Microsoft, Delta, U.S . Department of Transportation Locations: Las Vegas, Los Angeles , California, Atlanta
Qatar Airways' new CEO told reporters in July that the airline is keeping its beloved A380s. Sign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. Go to newsletter preferences Thanks for signing up! download the app Email address Sign up By clicking “Sign Up”, you accept our Terms of Service and Privacy Policy . This story is available exclusively to Business Insider subscribers.
Persons: , Akbar al Bakar, Badr Mohammed Al Meer Organizations: Qatar Airways, Boeing 777X, Service, Airbus, Farnborough, Business Locations: Qatar
A new Maldives-based airline called Beond launched in 2023 with an all-business-class Airbus A319. I flew the airline, and while it faces hurdles, it has a great product that is cheaper than competitors. Go to newsletter preferences Thanks for signing up! download the app Email address Sign up By clicking “Sign Up”, you accept our Terms of Service and Privacy Policy . The Maldives-based carrier launched in November and has one single plane flying to the nation's capital, Male, from cities like Zurich and Riyadh, Saudi Arabia.
Persons: , you've Organizations: Beond, Airbus, Service, Business Locations: Maldives, The Maldives, Zurich, Riyadh, Saudi Arabia
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