Your weekly travel and aviation Quote-a

2 December, 2022

At a time of crisis, it is important that we share our insights and experience, helping each other to contain and mitigate the impact of COVID-19. CTC – Corporate Travel Community each week brings you a roundup of the most thought-provoking and interesting comments from those industry leaders in the know.

Adelaide Airport MD calls for Govt to 'put tools in place' to address future border closures

Adelaide Airport MD Brenton Cox said foreign aviation investors fear future border closures in Australia, outlining "the assumption now from investors is that there is a state-driven sovereign risk that then drives costs". Mr Cox called for the Federal Government "put the tools in place now for next time" to enable it to prevent states from closing their borders.

Cathay Pacific sees pax yield declining to 'more normalised level'

Cathay Pacific chief customer and commercial officer Ronald Lam, in Cathay Pacific's 3Q2022 analyst briefing, stated it is "quite hard to predict" passenger yield at the moment, but said the carrier is adding capacity "as fast as we could, in a measured and responsible way". As a result, he believes yield will decline to a more normalised level.

Ryanair Group CEO: ‘The most optimistic time... in air travel for the last 25 years’

Ryanair Group CEO Michael O'Leary labelled the current demand climate as "the most optimistic time... in air travel for the last 25 years", adding: "Everybody's been locked down for two years. Tourism is getting back, hotels are filling up again, beaches are filling up again. Everyone's getting moving again". He also entered discussions with authorities in Egypt and Libya about operating services to the countries for the first time.

A4E MD: Destination 2050 roadmap a 'workable and achievable plan'

Airlines for Europe (A4E) MD Thomas Reynaert labelled the destination 2050 roadmap a "workable and achievable plan" to ensure aviation can remain central to how Europeans move about in a sustainable manner. Mr Reynaert said European aviation decarbonisation targets can be achieved through "improvements in aircraft and engine technologies, the development of sustainable aviation fuels (SAF), improvements in air traffic management and aircraft operations, as well as through efficient economic measures". Mr Reynaert added effective policy, regulatory and financial framework is needed at European level for aviation to support and accelerate the sector's transformation.

airBaltic CEO: War in Ukraine significantly changes market conditions

airBaltic CEO Martin Gauss stated the war in Ukraine and its consequences changed market conditions significantly, with supply chain issues, growing fuel prices and rescheduling operations. Mr Gauss added: "But we remain consistent, and our core goal remains the same - airBaltic will continue expanding its market share, by further improving connectivity between the Baltics and the rest of the world".

easyJet achieves all time record EBITDAR in 4Q2022, set to thrive in 'high-cost environment': CEO

easyJet CEO Johan Lundgren reported the carrier posted a headline EBITDAR of GBP674 million in Q4FY2022, its "highest ever earnings for a single quarter". Mr Lundgren also reported a growth in ancillary revenue of 59% compared to FY2019, adding that easyJet holidays is "well on its way to" a target of GBP100 million profit before tax. Mr Lundgren stated: "easyJet does well in tough times. Legacy carriers will struggle in this high-cost environment. Consumers will protect their holidays but look for value and across its primary airport network, easyJet will be the beneficiary as customers vote with their wallets".

NACC president: Canadian airlines must ensure 'safe and efficient travel experience' post-COVID-19

National Airlines Council of Canada (NACC) president and CEO Jeff Morrison stated the "top priority" for Canadian passenger airlines post-COVID-19 is to ensure "a safe and efficient travel experience for the millions of passengers who rely on Canada's airlines for their travel needs". This follows NACC's participation in the Air Sector Recovery Summit, led by Canada's Minister of Transport Omar Alghabra. Mr Morrison added NACC "looks forward to continuing to work with Minister Alghabra, the Government of Canada, and other stakeholders to put into practice the key recommendations heard at today's Summit".

Transavia CEO expects previously low fares will not return

Transavia CEO Marcel de Nooijer said "it is clear tickets are more expensive than last year [2021]", and he expects fares previously advertised by the carrier for EUR25 will not be seen again. Mr de Nooijer added "we pass on the higher costs in the rates" and highlighted increases in airport charges paid to Schiphol, the increase in the Dutch eco-tax from EUR7.85 to EUR26.45 per ticket, as well as higher fuel, salary and handling costs.