Amely Mizzi

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Amely Mizzi

El Al and Gulf Air sign cooperation agreement

There is a diplomatic thaw between Bahrain and Israel. This is now also reflected in aviation, as El Al and Gulf Air have signed a letter of intent for cooperation. Together they want to offer scheduled flights between the two states, which were once enemies. The contract includes a codeshare cooperation that will enable passengers to transfer on the other's route network. The Bahrain-Tel Aviv route will be operated jointly and the flight schedules will be coordinated. Gulf Air is currently planning to fly to Tel Aviv from January 7, 2021. Formal approval from both governments is still pending, but is expected in the next few days.

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Lufthansa travel agencies sell PCR test kits

The franchise travel agency chain Lufthansa CityCenter now also offers to arrange private PCR tests. These cost 99 euros and should provide a bilingual test result within 24 hours. Buyers are given a test kit. The sample must then be sent to Cegat in Tübingen. The price of 99 euros includes shipping costs. The result should be sent by email from the laboratory within 24 hours of receipt of the sample. If the test is positive, the regional health authority will be informed. In this case, those affected should also be contacted by telephone.

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Evelop and Orbest become Iberojet

Evelop Airlines and its subsidiary Orbest recently announced their entry into scheduled airline business. Now the two carriers are giving themselves a new brand identity. In future they will operate as Iberojet. Evelop and Orbest belong to the Barceló Group. The group operates hotels in numerous countries and wants to become more independent of the charter business by selling individual seats in the future. Up to now, the group's own airlines have been almost exclusively in the wet lease and in the air for tour operators. Now the name change to Iberojet has been announced.

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Greece introduces 10-day quarantine

Greece is drastically tightening its entry regulations from December 18, 2020. Regardless of their origin, passengers must undergo a ten-day quarantine. The measure is initially limited to January 7, 2021. Anyone wishing to enter Greece must take a number of things into account: In addition to the electronic PLF form ("QR code"), a negative PCR result that must not be older than 72 hours must be carried with them. In addition, a rapid antigen test must be completed immediately after arrival at the airport. A ten-day quarantine must then be undertaken. Entry is refused at the land borders if the rapid test is positive. If you travel by air, you will be immediately isolated.

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SAS flies a loss of 838 million euros

Due to the corona pandemic, the Scandinavian airline SAS is deep in the red. Sales fell by 55 percent to 20,5 billion Swedish kronor. The recently concluded 2020 financial year is therefore deep in the red: the carrier posted a loss of the equivalent of 838 million euros. The company does not expect a rapid improvement in 2021. Demand will remain subdued. It is currently not foreseeable whether and when individual countries will relax or lift their entry and quarantine regulations. This makes planning for SAS and other airlines almost impossible. "Although we are encouraged by recent progress in the development and distribution of Covid-19 vaccines, demand remains uncertain and makes it impossible to provide a forecast for the financial result for the coming financial year. However, we expect weak operating cash flow in the first quarter of 2021 due to low demand during the winter season combined with accelerated refunds. We continue to believe that the ramp-up phase for the aviation industry will last until 2022 before demand can reach more normalized levels, with a return to pre-Covid-19 levels a few years thereafter,” SAS CEO Rickard Gustafson said in a statement.

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VC demands: “State aid must not be used to downsize Tuifly”

The German pilots' union Vereinigung Cockpit is calling on politicians in connection with the recent increase in state aid for the Tui Group to ensure that this must not be used to downsize the subsidiary Tuifly. Marcel Gröls, head of collective bargaining at VC, says: "TUI needs further help in this crisis for which it is not responsible. We expressly welcome the willingness of politicians to continue to support the group. However, we are also expressly calling for political support for employees. Further financial aid must not be misused for a structural downsizing of the TUIfly fleet, which has nothing to do with the current situation. The employees are absolutely aware of the company's precarious situation. They have therefore already repeatedly reaffirmed their willingness to make deep and painful cuts. In return, however, operational layoffs must be ruled out. This is the only way we can create prospects for the company and the workforce alike. It is important that German taxpayers' money helps to protect German companies and German jobs. In any case, the relocation of jobs abroad must not be financed with taxpayers' money! Politicians must now ensure that state funds are not misused, but instead benefit the thousands of loyal employees."

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ECJ has to decide: is AUA landing in Schönefeld instead of Tegel liable for compensation?

The European Court of Justice is currently dealing with the question of whether airlines are liable to pay compensation if the flight is diverted to a nearby airport. The Advocate General is of the opinion that only the costs of the onward journey must be borne. Austrian Airlines is specifically affected, as it landed in Berlin-Schönefeld rather than Berlin-Tegel due to a delay. The company would no longer have been able to land at the inner-city airport at the time due to the night-time flight ban. A passenger is therefore demanding compensation of 250 euros from AUA. The Berliner's apartment is eight kilometers from Tegel and 24 kilometers from Schönefeld. The ECJ must deal with this matter under the reference number C-826/19. The Advocate General recommended that in this case no compensation payment is due within the meaning of EU Regulation 261/2004. However, the airline must pay for additional travel costs from Schönefeld to Tegel. The Advocate General's plea is not yet a judgment. In many cases, the judges follow this, but are completely free to make their own decisions and have often ruled differently in the past. The ECJ will announce its ruling in the coming months.

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Montenegro Airlines: Financial situation is coming to a head

The financial situation at Montenegro Airlines is getting worse. The company confirmed that it has still not been able to pay wages for October 2020. In addition, there are arrears with various suppliers and service providers. If the state does not provide help, management can no longer rule out grounding. "Since the beginning of the winter season, the crisis has accelerated and the small income we had has been further reduced. To date, we have not been able to pay the October wages. We also have outstanding payments for aircraft leasing, engines and debts to suppliers. We are doing everything we can to reduce expenses. However, the reduction in income and expenses is not proportional to each other," a spokesman told the daily newspaper "Vijesti". "Under these circumstances and without state aid, we cannot continue operations even in the short term. If a company like Lufthansa has applied for and received state aid, what can you say for us? We have not received any state funds since August 31."

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Turkish plans to found a cargo subsidiary

This year, Turkish Airlines was able to achieve strong growth in the cargo sector. The company is now planning to outsource the sector to a subsidiary, which will then have its own certificates. While cargo played a minor role a few years ago, Turkish Airlines has now established itself as an important player in this segment. It currently operates ten A330-200Fs and eight Boeing 777Fs itself. In addition, four Boeing 747Fs, operated by AirACT, and two A310Fs, operated by ULS Airlines, are in the air for the company on wet lease. The financial figures published for the third quarter of 2020 show that revenue from cargo flights increased by 55 percent in the first nine million. This currently stands at 1,881 billion US dollars. In order to be able to expand the sector further, a separate cargo subsidiary is now to be created. The AOC and the operating license of Turkish Airlines are currently being used. The new company is to be completely owned by the carrier, although the entry of a partner is also conceivable.

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Belgrade: Government is budgeting Air Serbia subsidies for 2021

The Serbian government intends to continue to support the partially state-owned Air Serbia with subsidies next year. But this is also for tactical reasons, because if Etihad Airways does not go along with it, the Gulf carrier's 49 percent shareholding will be diluted. The provisional budget is just under 151 million US dollars, which will be divided between ten companies that the government has classified as particularly important. The airline Air Serbia is also on the list. However, the amount that will be transferred has not yet been determined. Since the government has been quite unhappy with the minority shareholder Etihad Airways for some time, the Serbian government has been considering taking over the Gulf carrier's share. The latter holds 49 percent. If Etihad does not participate in the planned capital grant from the state, the current shareholding of 51 percent could increase by diluting Etihad's share. This is also a tactical move in the talks with the Gulf carrier.

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