Traffic And Capacity Statistics - October 2000

Summary of the headline figures
Capacity, measured in Available Seat Kilometres, fell by 4.1 per cent in October. Traffic, measured in Revenue Passenger Kilometres, fell by 4.8 per cent comprising a 1.2 per cent growth in premium traffic and a 5.9 per cent decline in non-premium traffic. This reflects the fact that the strong recovery in premium traffic began in October 1999 and the adverse weather conditions on Monday 30 October. Premium traffic also continues to be affected by the suspension of Concorde services. Passenger load factor fell by 0.5 points to 71.5 per cent. Cargo traffic was virtually static.


Market conditions
Market conditions continue to be firm. While traffic volumes may slow with capacity reductions into the winter season, the pricing environment currently appears to be favourable.


Strategic developments
British Airways announced significant changes to its flying programme for Summer 2001. The effects of the changes will reduce capacity, measured in Available Seat Kilometres, by a further 2 per cent on top of the previously planned 8 per cent reduction for the summer programme. However, in terms of flying hours, the changes will mean a 1 per cent increase versus Summer 2000. The changes include the transfer of two longhaul routes from Gatwick to Heathrow, the suspension of one loss-making longhaul route and increased frequencies on some core routes.


British Airways announced that all seven of its daily services between Heathrow and New York JFK now feature the new World Traveller Plus cabin. Seats in the cabin offer an additional seven inches of legroom for a small premium to the World Traveller fares.


Following the completion of the Club Europe embodiment on its aircraft, British Airways announced an increase in baggage allowance for passengers travelling in that cabin. Passengers will now be able to take two pieces of hand baggage, weighing up to 18kgs on board, doubling the previous allowance. This change completes the major improvements to Club Europe, which includes refurbished cabins on all European flights, a new menu offering more choice and healthier dishes. The European schedule will continue to be improved, with more early morning departures from Heathrow than ever to the most popular business destinations returning the same day.

ADVERTISEMENT

The founders of AirNewco, an airline-led B2B initiative which includes British Airways, and MyAircraft, a B2B exchange led by aerospace manufacturers, announced their intent to combine their efforts into one venture. The deal brings together both buyers and sellers in the $500 billion aviation industry. The exchange, which will be open to all industry participants, will link buyers with sellers via the Internet, and aims to produce supply chain initiatives in five key operational areas: maintenance and engineering, fuel and fuel services, catering and cabin services, airport support services, and general procurement.


British Airways has launched a new corporate rewards programme for small to medium sized businesses, called On Business, following a successful nine months trial period. Each time an employee of the company books an eligible fare with British Airways, the company earns points, which can be exchanged for a range of business travel rewards, such as free flights, chauffeur drives to or from UK airports, Heathrow and Gatwick Express train tickets and hotel vouchers.


British Airways and Iberia announced further code-sharing agreements on five routes from the UK, two routes in Spain and one longhaul route. BA codes will be added to Iberia services between Gatwick and Oviedo, Palma and Ibiza and between Palma and Mahon. The IB code will be added to BA flights between Gatwick and Faro, Oporto, Palma, Tenerife and betwen Heathrow and Faro. British Airways’ flights between Gatwick and Bermuda will also adopt an Iberia flight code, marking the beginning of co-operation between in the two carriers in this region.


——-