Annex 1: News AIR TRANSPORT: QUARTERLY REPORT NO.12 3rd QUARTER 2006 (July to September) A EU/REGULATORY ............................................................................................................................................................... 2 Commission approves public financing for six regional airports in Ireland.......................................................................... 2 High-level conference discusses future of aviation regulation ............................................................................................... 2 EU – African Union aviation seminar: meeting the needs of modern aviation...................................................................... 2 Commission approves changes to social aid for Martinique.................................................................................................. 2 EU and the Republic of Korea seal their agreement on GALILEO ........................................................................................ 2 Commission opens formal enquiry into restrictions to air services to Sardinia..................................................................... 2 Commission wants to strengthen the Single Market for Aviation ........................................................................................... 3 Cooperation agreement with the USA on modernising air traffic management..................................................................... 3 Proposed Regulation on common rules for air services in the EU......................................................................................... 3 Passenger Rights & Air Safety - a Commission priority......................................................................................................... 3 European air traffic management systems and a Single European Sky.................................................................................. 3 B AIRLINES ............................................................................................................................................................................ 3 LCC routes announced for next quarter.................................................................................................................................. 3 Flybe considers charge for offline check-in ............................................................................................................................ 4 LCCs main drivers of aviation growth .................................................................................................................................... 4 German regulator clears Air Berlin's takeover of DBA.......................................................................................................... 4 Ryanair launch mobile in-flight telephony .............................................................................................................................. 4 Ryanair pressing ahead with baggage charges....................................................................................................................... 4 EasyJet to charge for extra baggage as restrictions continue ................................................................................................ 5 TUI outlines expectations from carrier merger....................................................................................................................... 5 Online travel makes further inroads into package arena........................................................................................................ 5 Avion to boost traffic with French tour operator deal ............................................................................................................ 5 ATOL failures nearly doubled ................................................................................................................................................. 5 Turkey's Fly Air drops scheduled domestic operations........................................................................................................... 5 MyTravel admits UK business will make £10-£15m loss this year......................................................................................... 6 Thomas Cook releases trading update .................................................................................................................................... 6 Air Plus Comet to restructure as long-haul low-cost carrier ................................................................................................. 6 Omni to acquire TAP's White charter carrier for $6.5m ........................................................................................................ 6 Royal Caribbean acquires Air Pullmantur from Grupo Marsans .......................................................................................... 6 FlyNordic turns to charter to counter losses........................................................................................................................... 6 Kuoni reports half-year profits amid chairman's resignation................................................................................................. 6 Internet and budget airlines fuel package holiday decline ..................................................................................................... 7 Ski market sees highest growth in five years ........................................................................................................................... 7 Mirpuri Group disposes of Portuguese carrier Air Luxor...................................................................................................... 7 ERA members report growth ................................................................................................................................................... 7 Actuarial valuation sees BA pensions deficit reaching £2.1b................................................................................................. 7 Lufthansa board approves order for up to 65 Airbus.............................................................................................................. 8 Air France axes flights due to new train link .......................................................................................................................... 8 Iberia's new budget carrier to operate as 'Clickair'................................................................................................................ 8 Alitalia patience wears thin as conditions tied to Volare approval........................................................................................ 8 Air France-KLM to begin RFID baggage-tag trials ............................................................................................................... 8 C CARGO AND INTEGRATORS ................................................................................................................................................ 8 Italian startup Cargoitalia receives US rights ........................................................................................................................ 8 Lufthansa offers $85m to settle cargo cartel civil lawsuits..................................................................................................... 9 Greek carrier Sky Express to start cargo flights ..................................................................................................................... 9 Sweden's West Air to launch CRJ200 freighter....................................................................................................................... 9 Air Foyle winding down after split from Antonov: founder .................................................................................................... 9 D AIRPORTS ........................................................................................................................................................................... 9 EasyJet CEO criticises airport development........................................................................................................................... 9 Expansion at Tallinn airport.................................................................................................................................................... 9 Ferrovial to take over Peruvian airports............................................................................................................................... 10 Privatisation at Leeds-Bradford ............................................................................................................................................ 10 Aena to expand Valencia airport........................................................................................................................................... 10 E AIR TRAFFIC MANAGEMENT............................................................................................................................................ 10 Balkan region to discuss functional airspace block strategy................................................................................................ 10 Joint French-Swiss airspace scheme could extend to Italy................................................................................................... 10 EC adopts 'Single Sky' ATC interoperability regulations ....................................................................................................