Kindergarten Co-Pilots : An Airplane transformed into kids' School

A headteacher in the Georgian city of Rustavi has found an unusual way to get children's early education off the ground -- by transforming an airplane into a kindergarten.
Gari Chapidze bought the old but fully functional Yakovlev Yak-42 from Georgian Airways and refurbished its interior with educational equipment, games and toys but left the cockpit instruments intact so they could be used as play tools.

Jet Airways, Air India resume flights to storm-hit US Economic Times Air India would operate AI-101 Delhi-New York and AI-191 Mumbai-Newark (EWR) flights in the wee hours tomorrow, while Jet Airways would operate its flights 9W-228 and 9W-227 to and from EWR via Brussels, spokespersons of both the airlines said. See all stories on this topic » Economic Times

Airlines in India fix prices, Federation of Indian Airlines works as cartel ... Times of India MUMBAI: In a scathing attack against domestic carriers on price manipulation, GR Gopinath, entrepreneur and founder of India's first low-cost airline Air Deccan saidairlines in India fix prices and the Federation of Indian Airlines or the FIA which is ... See all stories on this topic » Times of India

Kingfisher Airlines to vacate hangars at Chennai, Kolkata airports NDTV Debt-laden Kingfisher Airlines will not be allowed to resume operations until the carrier submits a plan that's acceptable to the Airports Authority of India (AAI), the chairman of the airport regulator told NDTV Profit today. The chairman, V.P ... See all stories on this topic »

AMR's American Airlines Settles Litigation With Sabre Bloomberg (AAMRQ)'s American Airlines settled litigation with Sabre Holdings Inc., the flight data and reservation business that American spun off in 2000 and later accused of trying to crush competition from its former parent. The companies renewed their ... See all stories on this topic »

Airlines will take time to recover from storm Hindustan Times Air travelers are facing days of frustration as disruptions from the virtual shutdown of the air travel system in the US East Coast, ripple out nationally and across the world, airlines struggle to put the pieces back together. Airlines have cut so ... See all stories on this topic »

Hurricane Sandy's force hits European airlines, insurers and markets Economic Times PARIS: Hurricane Sandy, which hammered New York again on Tuesday, has had an economic impact well beyond the limits of its already impressive physical size, with European stock and oil markets, airlines and insurance companies all affected. See all stories on this topic » Economic Times

Singapore Airlines-Virgin Australia Deal: Defending the Kangaroo Wall Street Journal (blog) Singapore Airlines Ltd.'s decision to buy a 10% stake in Virgin Australia Holdings Ltd. Tuesday is a smart move at protecting its prized “Kangaroo route,” analysts say. According to Bank of America Merrill Lynch, the Kangaroo route, which flies the day ... See all stories on this topic » Wall Street Journal (blog)

FIIs increase shareholding in Kingfisher Airlines, cut in Jet Airways and SpiceJet Economic Times CHENNAI: In a speculative bet, foreign institutional investors have increased their shareholding in debt-ridden Kingfisher Airlines while cutting their exposure in seemingly better-placed rivals Jet Airways and SpiceJet. The latest shareholding data... See all stories on this topic » Economic Times

NY, NEWARK AIRPORTS REOPEN: Airlines face big task returning travel to ... Malaya NEW YORK –– Superstorm Sandy grounded more than 18,000 flights across the Northeast and the globe, and it will take days before travel gets back to normal, but limited air travel is expected to return to the New York City metro area on Wednesday. See all stories on this topic »

Lufthansa steps up Cost Cuts as results beat forecasts

Deutsche Lufthansa will widen its cost-cutting drive to counter rising fuel prices and sluggish growth in its core market, it said on Wednesday after announcing better-than-expected results.

Lufthansa shares gained 6.6 percent to the top of Germany's blue-chip DAX index after cost savings helped its third-quarter operating profit rise to 648 million euros, beating the consensus of 479 million euros in a Reuters poll.

Lufthansa warned some of the additional cuts it plans would be "painful", which some analysts said could indicate more job cuts. The carrier said it would not provide details before the end of the year.

"The environment in which we have to operate is getting more and more demanding," said the German airline's Chief Executive Christoph Franz.

Lufthansa has already frozen investments, announced job cuts and is combining its loss-making European short-haul unit with its low-cost carrier Germanwings to improve its earnings.

But recent economic data shows business sentiment in its core markets in Germany, Austria and Switzerland - so far relatively robust in the crisis - is deteriorating as companies struggle with a bleaker economic outlook.

"The climate is becoming rougher," Franz said.

Europe's biggest airline by revenue had already warned in September that gains from its cost-cutting programm - dubbed SCORE - would be offset by high jet fuel prices and a slowing economy, as well as fees and materials costs.

COST OF FUEL

Fuel costs, which gobble up a third of traffic revenues, surged in the third quarter after jet fuel climbed back above $1,000 per tonne in September, or 14 percent higher than last year. A stronger U.S. dollar also makes it more expensive for Lufthansa to buy fuel.

Lufthansa said it expected its fuel costs to rise 1.1 billion euros to about 7.4 billion this year.

Europe's established airlines, hit by competition from discount carriers and Gulf rivals, are restructuring to reduce costs. Among others, Air France-KLM is shedding about 5,000 jobs, with Lufthansa cutting 3,500.

Analysts expect IAG to announce a new restructuring plan for Iberia on Nov. 9, having completed one for British Airways last year. Loss-making Scandinavian airline SAS said on Tuesday it would slash costs and sell assets.

For Lufthansa, a focus on slimming down its cost base is already paying off. In the third quarter, its operating profit exceeded forecasts thanks partly to a strong performance by its revamped Austrian Airlines business, recovering from years of losses.

Revenues rose 6.2 percent to 8.31 billion euros, above a consensus of 8.229 billion.

DZ Bank analyst Robert Czerwensky said the figures were very good but that they could weaken Lufthansa's position in talks with cabin crew, who went on strike in September, causing more than 1,000 flight cancellations.

Rival Air France-KLM also reported a rise in operating profits for the quarter on Wednesday. The third qurter is traditionally strong a period for European airlines which usually benefit from summer travel.

Lufthansa reiterated its 2012 forecast that operating profit would be in the mid-hundreds of millions of euros. That does not include restructuring costs, which it said it now expects to be no more than 100 million euros this year as talks with unions on some measures planned as part of SCORE are dragging on.

Lufthansa steps up Cost Cuts as results beat forecasts

Air France-KLM Earnings Beat Estimates With Lufthansa Businessweek Other European airlines are also cutting costs. SAS Group, the biggest Nordic airline, said yesterday it plans to sell assets worth 3 billion kronor ($450 million) and shave the same amount from costs. That's on top of steps including 300 job cuts ... See all stories on this topic »

UPDATE 2-Lufthansa steps up cost cuts as results beat forecasts Reuters "The environment in which we have to operate is getting more and more demanding," said the German airline's Chief Executive Christoph Franz. Lufthansa has already frozen investments, announced job cuts and is combining its loss-making European ... See all stories on this topic »

SAS Lifts Profit, Seeks $900 Million in Cuts, Disposals Businessweek Other European airlines are also cutting costs. Regional No. 1 Air France-KLM (AF) Group is eliminating jobs, merging units and boosting no-frills flights to head off a fourth straight annual loss. The plan helped pare its second-quarter operating loss ... See all stories on this topic »