EgyptAir to calculate optimal flight routes with IT from Lufthansa Systems

EgyptAir has selected Lido/Flight from Lufthansa Systems to benefit from more efficient flight planning processes and significant cost savings.

Lido/Flight uses a number of parameters to calculate the optimal route regarding flight time, fuel consumption or costs for each flight. This can lead to fuel savings of up to five percent. EgyptAir will also use the Traffic Flow Restrictions (TFR) add-on of Lido/Flight, which achieves additional fuel savings by taking the highly complex issue of temporarily restricted airways into account.

"Our modernization strategy focuses not only on fleet renewal but also on IT. In order to increase the efficiency of our operational flight planning, we need a powerful and proven dispatch system. Lido/Flight will add value to us because of the high degree of automation and strong route optimization capabilities. We expect substantial fuel and air traffic control charge savings," said Captain Alaa Ashour, Chairman of EgyptAir.

According to the German systems company, Lido/Flight covers all aspects of flight planning.

The automatic calculation of routes takes flight-related information into account such as weather data and all current aeronautical restrictions like NOTAMs. The TFR functionality automatically considers even partly restricted airways, suggesting by-passes where legally permitted, for the most effective combination of airway segments. Benchmark analyses have shown that the tool can generate savings of up to two percent in fuel burn.

"Lido/Flight is one component of our highly integrated IOCC Platform. We are proud that EGYPTAIR decided to expand our trustful cooperation and relies on our know-how also in their flight operations. With our comprehensive portfolio, we are able to support our customers with all of their airline processes and provide the optimal IT solution", said Stefan Auerbach, Senior Vice President Sales EMEA at Lufthansa Systems.

EGYPTAIR has been cooperating with Lufthansa Systems since 2006. The airline already uses the Sirax AirFinance Platform for its revenue accounting and SchedConnect to automatically calculate the optimal codeshare assignments based on the current flight schedules.

Source

Egyptair sees full-year profit up, no IPO for now

CAIRO (Reuters) - Egyptair, Egypt's flag carrier and one of Africa's largest airlines, aims to boost full-year profit by nearly a third as it rebounds from the global economic downturn, a senior executive said on Sunday.

"We are making a profit," said Hussein Massoud, chairman and chief executive officer of the Egyptair holding company. "We are planning to see more this year."

The firm aims to make a profit of 750 million Egyptian pounds in the year to June 2011, up from 573 million pounds in 2009/10, he said.

Egyptair, a member of the Star Alliance network, is pressing ahead with plans to expand its fleet, Massoud told reporters on the sidelines of a press conference to announce plans for an international airshow in Egypt.

"We turned the crisis into an opportunity and have advanced our receiving of aircraft," he said, adding the firm has received an Airbus A330 one year ahead of schedule.

The firm was expecting four Boeing 737-800 aircraft by the end of 2010 and two 777-300 aircraft in November and December.

The firm also said an initial public offering (IPO) was not being planned, but was an option for the future.

"Three to four years ago we thought about an IPO, but now our status is healthy and we are in no need of such things. But no one knows the future," Massoud said.

Egyptair recently started flights to Dar es Salaam in Tanzania and Abuja in Nigeria and plans to add more destinations and more frequent services in Africa.

Asked whether the company planned to set up a new operation to face up to new, low-cost rivals, he said: "There may be some planning but there is no project for now. We are thinking what is the solution for facing low cost carriers".

Source

EGYPTAIR launch Alexandria – Khartoum October 2010 service

EGYPTAIR from 01OCT10 begins 2 weekly Alexandria – Khartoum on board Airbus A320 aircraft. Currently service operates for the month of October 2010 only.

Schedule below:

MS861 ALY0730 – 1130KRT 320 25
MS862 KRT1230 – 1430ALY 320 25

Source

Great article about EgyptAir

Interview: Egyptair group chairman Hussein Massoud

By Graham Dunn

With the end of a renewal phase in sight, EgyptAir Group chairman and chief executive Hussein Massoud is turning the focus onto capitalising on its key geographic advantage

For EgyptAir the pieces of the jigsaw are coming together. There is group profitability, Star Alliance membership, a new dedicated terminal at its Cairo base and investment in new aircraft, bringing its fleet and onboard product bang up to date. Indeed, by the time IATA's annual general meeting rolls into Cairo next summer, itself another sign of EgyptAir's growing presence on the global stage, the carrier will have all but renewed its fleet.

Yet this is just the start. Current fleet plans largely focus on renewal, but growth is on the long-term horizon. "EgyptAir has to be bigger," says Hussein Massoud, chief executive and chairman of EgyptAir's holding company. "We have ambitious plans from 2014 to 2020 and from 2020 to 2025. These will be decided by the end of the year, but I think it will be a very ambitious plan. The key opportunity for us is that we will enlarge our network, either by adding new destinations or by increasing frequencies. We have a special chance concerning Africa. I think we have a good product, with more cause for customer satisfaction."

All pics Billypix

Like the country itself, EgyptAir has a long history. The airline dates back nearly 80 years. But it is the transformation begun in the first half of the last decade that has laid the foundations for today's strategy. This created a holding structure in which the airline is the largest of nine subsidiaries, and a change in ethos to focus more on business traffic. The airline was previously built around leisure and ethnic traffic, reflecting the dynamic tourism and population of Egypt. Its network was revamped, fleet modernisation initiated with Airbus A330-200s and a path began that ultimately led to alliance membership. By October 2007 EgyptAir was Star Alliance bound and just nine months later it formally joined. It has since emerged as one of the more enthusiastic alliance members.

Nowhere is this more evident than at Cairo's Terminal 3, which opened just under two years ago and helps drive EgyptAir's hub aspirations. Cairo became the first Star Alliance home carrier airport to feature a dedicated Star Alliance-branded lounge. EgyptAir still owns and operates it, but brands it Star Alliance. "One of the priorities of Star Alliance is its move-under-one-roof concept," says Massoud. "With a dedicated EgyptAir and Star Alliance terminal, we had a very good opportunity from day one.

"With Star Alliance we think we are the gate to Africa," he adds. The carrier works closely with Star member South African Airways to connect Africa to other Star hubs through Cairo - and could develop this further with a connection in central Africa if Ethiopian Airlines' Star Alliance interest comes to fruition. EgyptAir, which has just added flights to Dar es Salaam in Tanzania, Nigerian city Abuja and most recently to Juba in southern Sudan, now has 17 destinations in Africa. "We are looking to double this over the next five years, or maybe four," says Massoud. "This is where we will grow."

This role builds on Egypt's location, straddling the top of Africa and the Middle East, with Europe above it. It puts much of the three continents firmly on its radar within a five hour flight time and its location is a recurring theme when Massoud talks of the strength of the carrier. "We have a very competitive geographical location," he says.

To build on this position and with its Star role in mind, EgyptAir adjusted its network and fleet strategy accordingly. "We give more attention to short- and medium-haul routes and we increased our single-aisle fleet," he explains. It replaced part of its Boeing 777-300 order to take eight more 737-800s. "Our plan is more destinations in the medium- and short-haul market. We will also increase frequencies to key destinations like London Heathrow, Paris, Amsterdam and Istanbul."

New 737-800 flights to Copenhagen will begin in October, marking a return to the Danish capital after six years. "This time the game has changed," says Capt Alaa Ashour, chairman and chief executive of the EgyptAir mainline operation. "The route has changed, the partner [now Star Alliance member SAS] has changed, the whole elements have changed."

HOLDING FIRM
EgyptAir's holding group includes operating airlines EgyptAir, EgyptAir Cargo and regional unit EgyptAir Express. Its ground, in-flight and engineering services subsidiaries support these operations, while tourism, duty free and medical services are among its other interests. "Each is a profit centre and we get the benefits from synergies," says Massoud, crediting this as contributing to turning from a loss-making to a profitable operation. It netted profits of 573 million Egyptian pounds ($100 million) to June 2009 and aims to lift profits for the year ahead. "EgyptAir is our black horse, it represents around three-quarters of revenues, but we rely on synergies between the subsidiaries. We have to grow all the subsidiaries to get better results," he says, adding there are no plans for any sell-offs. "If we think any are not of benefit to the others, we will get rid of it. But for the time being, that is not in our thinking."

On long-haul the carrier serves a number of routes and is likely to add to its North American destinations - currently it serves New York JFK - when it adds its last two 777-300ERs next year. North American Star Alliance partner hubs in Chicago, Toronto and Washington are all candidates. "We are concentrating our long-haul operations on the profitable and prestige routes," says Massoud. "And we use the huge network of Star Alliance for routes we couldn't, or wouldn't want to, operate ourselves.

"The main objective of Star Alliance is to offer better services for the passenger so we'd like to use much [of the new 737-800 capacity] to Africa. We want the passenger of Star Alliance not to feel any different when travelling from Cairo to Africa. Our objective is to enhance our in-flight service with a new product to match the requirements of Star Alliance."

While many carriers slowed capacity plans in the crisis, EgyptAir sped up its fleet renewal. August saw the first of five A330-300s arrive - a year earlier than planned. The remainder follow next year. The A330s are part of a swathe of deliveries which has already seen two 777-300s arrive this year. Four more 777-300s and eight 737-800s will follow over the next 18 months. "We have got the benefits of the recession," says Massoud of the new arrivals. "We signed the contract with Boeing [for 737-800s] last July and we receive the first aircraft within 13 months." The timing looks opportune, given the swelling of the manufacturer orders book at the recent Farnborough air show.

There is also an enhanced onboard product. The carrier, which offers a two-class cabin system, is focusing on raising standards in the business cabin. Its new A330-300s feature lie-flat seats in business class, a new Panasonic in-flight entertainment system and OnAir's in-flight wi-fi service and mobile connectivity. Its 737-800s will feature an enlarged business cabin, with 24 seats in a generous 48in (122cm) pitch to create wider cabin feeling, in a bid to increase its premium revenues.

"All our marketing campaigns, everything we invest is in the business class, which then feeds into the economy cabin," explains Ashour. "People know they get a premium class product and that they will get value for money in business class. This is how we are trying to be competitive with the aggressive competition in the market."

Massoud adds: "We have enhanced and upgraded our product; this gives us a chance to increase the yield. We have restructured our pricing system and we have not forgotten about the cost-cutting side. That remains very important. We identify the big areas of cost and then we decide how to apply cost savings." Distribution is one potential area where the carrier hopes for savings by increasing online bookings by upgrading its website.

Ashour and Massoud have been in their current positions since September last year, although both were already established figures at the carrier. Ashour has been a pilot at the airline since 1988 (see box story) while Massoud - after a 20-year career in the Egyptian air force and heading aviation companies Smart Aviation and Mitrage - was vice-chairman of the holding company for a year and a half before taking on the top job.

Massoud says his objective on taking the role has been to "keep, but enhance and upgrade" the company's reputation. But before he could look at the long term, he faced a more immediate issue. EgyptAir in the summer of 2009 was given a warning by the European Commission that it risked being placed on its blacklist of international carriers banned from operating in EU airspace because of safety concerns in several areas of its operation. "It's the first challenge I faced because EgyptAir was confronting a very bad situation," says Massoud. "Concerning safety, we did not have a problem," he says, characterising the problems as smaller issues that reflected a different cultural approach. "This had to change to be with international norms. We had a misunderstanding between our

WALKING THE TALK
Heading the airline since September 2009 is Capt Alaa Ashour, who as a pilot with EgyptAir for more than 20 years has flown just about every type it has operated during that period. As the carrier strives to enhance service levels to ensure it remains competitive and meets business travellers requirements, he stresses the need for the leadership to set an example in attention to detail. Indeed while the carrier is state-owned, he stresses it is run as a private business. "Managers from the top level show how much they care about the detail. Nothing is left unturned, everything has been reviewed," Ashour explains. "The employees started to feel that everything matters, everything was important and that the customer is number one. Employees must trust management. People know that the management is on top of everything and there is a very well defined vision and good communications. This is how we drive the change. We walk the talk." Ashour himself remains a regular on the EgyptAir flight deck and hopes there will be more opportunities to fly now that much of the heavy strategy work on EgyptAir's long-term plan has been finalised. "Maybe I will have more time to fly," he says. "I try to do one flight a week, or at least every two weeks." And besides a love of flying, he believes there are strategic benefits to him continuing to fly. "It is an advantage being chairman and chief executive and at the same time flying. I get to see what is going on day to day. It keeps me in touch with everything, because I do it myself and I know what is going on. I work with everybody - pilots, cabin crew, ground staff."

culture and the culture [of the EU]."

Continued dialogue between the EC and the Egyptian authorities has helped allay concerns, evident by the absence of EgyptAir from subsequent EC safety updates. In March this year the EC reported the Egyptian air safety authorities were carrying out its responsibilities correctly and that it would it continue to co-operate closely with the Egyptian authorities to ensure the proposed improvements could be implemented. "Since last October we didn't have a single significant remark," says Massoud of the monitoring of the airline. He also highlights IOSA certificates for 2004, 2006 and 2008 and European Aviation Safety Agency reports in 2006, 2008 and this year.

Neither was the issue damaging to its customer proposition, as passenger numbers jumped 8% to 7.2 million in 2009. This, in part, also reflected Africa and the Middle East being relatively unscathed from the economic crisis. "EgyptAir was not affected as much by the recession because of our geographic location, traffic seasonality, large number of expatriate workers and our increased destinations," says Massoud. "We still saw yields down, but were still profitable."

Massoud identifies the economy as the biggest factor in the year ahead. "The improving economic situation of Egypt undoubtedly affects the situation of Egypt. There is a direct relation between GDP and the air transport industry," he says. But while the economic picture is relatively bright for Africa and the Middle East, the carrier is not untouched by Europe's economic woes. "Around 30% of our revenues are attached to Europe. So we'll be affected. But I think next year Europe will start growing again and will recover much faster than anyone thinks."

He also sees a number of challenges aside from economic factors, with Massoud highlighting fuel price fluctuations and the increased presence of low-cost carriers among them. The fledgling low-cost carrier sector in the Middle East continues to grow, and in Egypt was stepped up in June when Air Arabia Egypt launched flights. The carrier, established by Air Arabia in co-operation with Cairo travel firm Travco Group, is operating flights out of Alexandria. "We have to change our structure a little bit, we have to react," acknowledges Massoud, pointing to the growing share of low-cost carrier traffic in the market. He does not give specific plans, but notes: "We have to get non-traditional solutions."

Ashour also points to the challenge the carrier will ultimately face from Open Skies developments, low-cost carriers for example are still to gain access to Cairo International airport. Ashour says the carrier must prepare and plan to be ready for Open Skies and the new competition and opportunities this brings.

The challenging competitive landscape, together with the opportunities its location, Star membership and new fleet brings, will drive EgyptAir's development. Work on the new long-term strategy is being finalised and should be complete by year-end. The expansion could see a 72-aircraft fleet in 2012 expand by a quarter in the next strategic phase, building an operation capable of both tapping the potential from its location, while defending its market. Just as Egypt's most famous landmark the Pyramids has for centuries brought both


Source

EGYPTAIR W10 Operation Update 6: Latest W10 Changes summary

As per 10AUG10 GDS timetable display, EGYPTAIR from Janaury 2011 further adjusts planned aircraft operation on Cairo – Dubai, Cairo – London Heathrow and Cairo – Paris CDG service.

Details of aircraft changes, and the latest summary of other routes being adjusted to date, as follows:

Cairo – Dubai
Previously mentioned 27JUL10, EGYPTAIR is introducing Airbus A330-300 aircraft on this route. The Star Alliance carrier is to increase A330-300 operation from January 2011.

MS910/911
31OCT10 – 03JAN11 333 Day x15 738 Day 15
04JAN11 - 333 Day x1 738 Day 1

MS911 departs DXB following day
MS912/913 332 Daily

Cairo – London Heathrow
MS777/778 aircraft change from Airbus A330-300 back to Boeing 777-300ER from 01JAN11
31OCT10 – 31DEC10 333 Daily
01JAN11 - 77W Daily

10 weekly service is being maintained in W10, increase from 8

Cairo – Paris CDG
MS799/800 eff 01JAN11, Airbus A330-300 replace -200. Also, planned 9 weekly service in Winter season remains unchanged (Daily in W09)

Other previously mentioned changes:

Cairo – Abu Dhabi 10 weekly service in Summer maintained in Winter (Daily in W09)
Cairo – Accra Schedule change from night-time to day-time
Cairo – Almaty Contrary to the post mentioned on airliners.net (reply number 5) claiming this route to be canceled, which appears to be falsehood as EGYPTAIR is still taking reservation for this route in Winter 2010 season as of 09AUG10. There will be operational changes, however
Cairo – Benghazi Reduced 5 weekly service in Summer maintained (Daily in W09)
Cairo – Casablanca Boeing 737-800 replace Airbus A320
Cairo – Copenhagen NEW 3 weekly service from 01OCT10
Cairo – Frankfurt A330-200/B737-800 mix operation: 330 Day x13 738 Day 13
Cairo – Khartoum – Juba New 2 weekly service introduced from August 2010 maintained in W10
Cairo – Kuwait City Service operates 2 Daily (10 weekly in W09)
Cairo – Mumbai Increase from 4 to 5 weekly
Cairo – New York JFK Boeing 777-300ER aircraft enters operation eff 31OCT10
Cairo – Osaka Kansai eff 01MAR11 service increase from 4 to 5 weekly. Inbound flight via Luxor in Winter 2010 season maintains 2 weekly
Cairo – Tokyo Narita Increase from 6 weekly to Daily from 01MAR11, 777-300ER operating
Hurghada – Geneva Winter seasonal service canceled

source

EgyptAir sets course for raised profits

EgyptAir, in spite of a tough environment with declining profits, is pressing ahead with the expansion of its fleet and is adding destinations in a bid to lift market share and entrench Cairo as a gateway to Africa – one of the world’s fastest-growing markets.

The Egyptian flag carrier posted profits of $100m in the financial year ending in June 2009, a 20 per cent drop over the year before. Figures for the year ending June 2010 have yet to be released.

Profits, however, are likely to have have been affected by lingering effects of the global downturn, swine flu hitting the hajj season and the eruption of the Icelandic volcano.

But Hussein Massoud, the chairman of EgyptAir said that with the world emerging from recession, profits should reach $130m this year on revenue of $3bn.

“We are expecting a better performance also because our fleet has increased and our product has improved,” he told the Financial Times. “We have new aircraft and our network has expanded in two ways: we are adding new destinations and we are increasing frequencies to existing destinations.”

He said the company had taken advantage of the recession to bring forward delivery slots for aircraft to enter service earlier.

EgyptAir has undergone an overhaul during the past few years with a corporate re-engineering in 2002, a doubling of its fleet from 32 to 66 aircraft and upgraded standards in maintenance and service. The company is run independently and does not benefit from state subsidies. It raises its own finance to pay for the modernisation of its fleet.

These changes earned EgyptAir an invitation to join Star Alliance, which it has been a member of since 2008. The alliance is the biggest grouping in global aviation, comprised of 28 international airlines including Lufthansa and Singapore Airlines, which code share – book space on the flights of other partner airlines – so giving passengers a vast network flying to destinations worldwide.

The Egyptian carrier, which has been adding destinations in Africa, most recently Dar es Salaam in Tanzania and Abuja in Nigeria, wants to turn Cairo into a gateway to the continent, benefiting from passenger traffic generated by its alliance partners.

“It is a coup for EgyptAir to become part of Star Alliance, with whom it can code share significantly and offer more to their travellers,” said Fadi Majdalani, partner in Booz & Company, the global management consulting firm. “It will also be a positive pressure in the sense they will need to upgrade all their services.”

He said that joining the alliance can help maintain profits and market share as competition intensifies.

“National carriers like EgyptAir are facing competition from the top and the bottom of the market,” said Mr Majdalani. “From the bottom there are low-cost carriers [such as Air Arabia and Jazeera] and at the top there are the premium companies offering services of a much better quality like Etihad and Emirates.”

Mr Massoud acknowledged that EgyptAir is feeling the competition, which is “fierce and likely to get even more so. This is a tough market with slim profit margins,” he said. “It is a battle for existence.”

To protect its national carrier, Egypt has been hesitant about opening up its skies. Low-cost carriers are allowed to operate from some airports, but not Cairo, where EgyptAir accounts for half the traffic.

“We can debate the pace of liberalisation, but it should happen,” said Mr Majdalani. “If you don’t liberalise, you constrain the whole economy. Egypt is a low-income country with a growing per capita income. Low-cost airlines will not necessarily compete with EgyptAir, but they will create their own market.”

Source: FT.com

Egyptair to fly to Juba, eyes African expansion

CAIRO July 27 (Reuters) - Egyptair, the country's flagship carrier and one of Africa's largest airlines, will begin flying twice a week to south Sudan next month as Egypt seeks improved ties ahead of a planned 2011 referendum on secession.

The state-owned airline's flights to the southern capital Juba, will start on August 6, the company said on Tuesday, adding to its 26 flights a week to Khartoum.

"Expanding in Africa comes in line with a strategy to offer more services and investments in this continent, one of the fastest growing markets in the world," Hussein Massoud, chairman and chief executive officer of the Egyptair holding company, said in an emailed statement.

Egyptair, a member of the Star Alliance network, has also recently started flights to Dar es Salaam in Tanzania and Abuja in Nigeria.

"We have ambitious expansion plans and we will continue to seek new destinations in Africa and increase the frequency of flights," said Captain Alaa Ashour, chairman of the airline.

Egypt has been looking to improve ties with south Sudan ahead of a planned 2011 referendum that would determine whether the largely Christian and animist south can secede from the Muslim north.

The referendum was promised in a 2005 peace deal that ended Africa's longest civil war -- a decades-long conflict between north and south Sudan in which an estimated 2 million people were killed and 4 million forced to flee their homes.

Egypt said in July it would give the government of south Sudan a non-refundable grant of $300 million for water and electricity projects as it seeks to build goodwill among Nile Basin countries, the source of almost all its water.

Source

EgyptAir eyes more presence in Africa

Egypt Air is seeking to extend its network in Africa and is looking for partners in the central or western regions of the continent with which it can cooperate, Chairman and CEO Hussein Massoud told ATW.

MS is evaluating several options, including potentially basing aircraft together with Star Alliance partner South African Airways and even starting a new airline. The new airline or joint aircraft base could be ready for operation as early as next year, Massoud said.

He believes it is possible for MS to open one or two new destinations in Africa every year (ATW Daily News, Oct. 16, 2009). It currently serves 16 destinations in Africa (excluding Egypt) and will add Lusaka this fall.

Massoud confirmed that the MS fleet is expected to grow from 66 to 72 aircraft by the end of 2013 or early 2014. The carrier is already planning its future fleet through 2020. “Early next year it will be clear" which type of aircraft it will purchase for its future fleet, he said, declining to give details on how many aircraft will comprise a new order.

Source

Egypt's airlines flying far

By Oxford Business Group July 27, 2010, 4:26 pm

CAIRO: The year 2010 is shaping up to be a banner one for Egypt’s air transport sector. Thanks to a worldwide industry rebound, steady passenger growth throughout the Arab world, continuing development of the country’s airport infrastructure and the recent entry of a host of low-cost carriers (LCCs) into the market, the months ahead look bright. Earlier this month, the International Air Transport Association (IATA) revised its global forecast for the year. Whereas just three months ago it projected a $2.8 billion loss for the worldwide airline industry, it now projects a $2.5 billion profit. It expects Middle Eastern carriers to net $100 million, their first profit since 2005, which is a marked improvement over the $600 million they lost last year. According to Brian Pearce, the IATA’s chief economist, Egypt is particularly well positioned to benefit from this turnaround. As he pointed out to Arabian Aerospace, the country’s overall economic growth “has been relatively robust. The Egyptian economy slowed down to a 4.7 percent [growth rate] last year, which is lower than we’ve seen before, but there was growth during a global recession.” That growth has been reflected in the airline sector, where Egypt has proved to be something of an exception. Whereas most of the region’s national carriers fared poorly in 2009 — a year that many insiders have called the worst in the sector’s history — Egypt saw a 4 percent increase in scheduled departures. With the H1N1 pandemic behind them and with Egypt’s airport infrastructure continuing to develop, Pearce projects further growth in the months ahead. On the basis of its actions, national carrier EgyptAir seems to agree with this assessment. It has recently taken delivery of its second Boeing 777-300 aircraft, and it intends to take delivery of two more 777s, as well as two A330s, later this year. It is also expanding its routes, adding non-stop service to Dubai in June and to Copenhagen in October. Moreover, it recently announced a new code-sharing agreement with Turkish Airlines, which is itself expanding in the Egyptian market by adding service to Alexandria. More important than EgyptAir’s growth, particularly in the medium to long term, is the recent entry of LCCs into the Egyptian market. First was Al Misria Universal Airlines, which began service in late 2009. Hassan Aziz, the company’s president and CEO, said that he wanted to take advantage of low prices during the global financial downturn to found a company that could tap growing demand in Egypt, the Arab world’s most populous country. Al Misria took possession of its first A320 in April 2009 and hopes to expand the fleet to 10 planes in five years. Other investors agree with Aziz’s assessment. Two other new carriers, Nile Air and Nesma Airlines, plan to begin operations in the near future. Foreign LCCs have also begun to move into the Egyptian market. Flydubai has begun offering service to Alexandria, Luxor and Assiut, and Gulf Air has announced that it will begin serving Alexandria later this month. But the biggest news is Air Arabia’s decision to add a third hub in Egypt. UAE carrier Air Arabia, the Arab world’s largest listed airline, formed a joint venture with Travco, the Egypt-based travel and hospitality group which is the biggest in the Middle East, in late 2009. “Linking up with [an] established travel company like Travco rather than another airline made sense given the size of the international tourist market” in Egypt, said Air Arabian’s CEO, Adel Ali. The plan is for Air Arabia to handle operations while Travco provides access to its network of tour operators, helps with marketing and assists with government relations. The new carrier, which started operating this month with two A320s based out of Alexandria, plans to serve Europe, the Middle East and Africa and hopes to expand quickly. It expects to have four to six planes by the end of the year, and is already in discussions about adding another hub in Egypt by the Red Sea. “Low-cost air travel represents 25 percent of the market in Europe, [and] a miniscule 7 percent in the Middle East,” Ali said. Furthermore, incomes are lower in the Middle East, making such travel particularly attractive. Given this market structure, Ali anticipates steady expansion of the LCC sector. There will obviously be struggle over market share between the LCCs and incumbents, but, Pearce said, “because Egypt has a fast-growing economy I think there’s a scope to stimulate the market overall. It certainly means there’s more pressure for innovation and cost-cutting.” While additional hurdles remain, including a dispute with Saudi Arabia over sharing airspace and the need to formulate a true “open skies” policy, much progress has been made so far and Egypt is well on its way to realizing its ambition of turning Cairo into a major air hub. –This article was published by Oxford Business Group on July 26, 2010. Source

EGYPTAIR launch Juba service

EGYPTAIR from 06AUG10 is starting 2 weekly service to Juba in Sudan, its 2nd destination to the country. Service operates as Cairo – Khartoum – Juba with Boeing 737-500.

Schedule below:

MS859 CAI0900 – 1235KRT1320 – 1520JUB 735 3
MS859 CAI0915 – 1250KRT1335 – 1535JUB 735 5

MS860 JUB1605 – 1805KRT1850 – 2020CAI 735 3
MS860 JUB1620 – 1820KRT1905 – 2035CAI 735 5

Source