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Low-cost carrier Firefly, a subsidiary of Malaysia Airlines, has started commercial operations with ticket prices as low as $US2.60 ($3.19).

Its first passengers flew out of the island resort of Penang, officials said.

Firefly, Malaysia’s second low-cost airline after AirAsia, will use two 50-seater Fokker Friendship aircraft.

Initially, the airline will fly from its base in Penang to the Malaysian cities of Kota Baru, Kuala Terengganu, Kuantan and Langkawi. From April 13, the airline will also fly daily to the Thai resort islands of Phuket and Koh Samui.

source: theage.com.au

The Dallas-based low-cost carrier said it flew 6.1 billion revenue passenger miles last month compared to March 2006 when the airline flew 5.8 billion revenue passenger miles. A revenue passenger mile is one paying passenger flown 1 mile.

Load factor, however, dropped in March as its percentage of seats filled slipped to 73.3 percent from 75.5 percent a year ago.

The European Commission has stepped up efforts to protect air passengers facing delays and cancellations, giving airlines and EU member states a six month ultimatum to fall in line with EU law or face legal action.

“‘We must make sure that airlines and member states fully comply with their obligations,'” EU transport commissioner Jacques Barrot said on Wednesday (4 April), stressing “‘the commission will give them six months to make the air passengers regulation work.'”

The legislation – meant to protect passengers in cases of denied boarding, cancellations, long delays and involuntary downgrading – came into force two years ago but airlines keep dragging their feet on implementation.

source: EU Observer

Air Pacific we revert to its scheduled Nadi/Honolulu/Vancouver flights from 06 April following the cancellation of a code-share deal with Canada’s Harmony Airlines.

Harmony Airways, a five-year-old Canadian full-service airline, announced it would end scheduled flights, blaming rising costs and competition from larger rivals, and only operate chartered flights.

source: MICE BTN

LAN, continually rated as the region’s best airline, dominates the domestic market – last year 78 percent of Chile’s domestic passengers chose LAN, 17.6 percent flew Sky and 7.6 percent chose Aerolíneas del Sur.

LAN continues to challenge the competition, with promotional deals cutting ticket prices up to 20 percent in the past month.

LAN has recently shown interest in the lucrative Brazilian market, the company attempted to acquire the defunct Varig airline, but the Brazilian budget airline Gol beat them to it. Shares of Lan stock fell nearly 3 percent only minutes after the buyout was announced.

source: Mercopress