<center>Adria flies into profit despite fuel prices</center>

GLOBAL AVIATION NEWS

Condor makes Airbus order

German leisure airline Condor said it would order sixteen Airbus A330neo jets to replace its existing wide-body fleet of Boeing 767 aircraft. "The first aircraft is expected in autumn 2022, whilst the replacement of the entire long-haul fleet is scheduled to be completed by mid-2024. As the German launch customer for the Airbus A330neo, Condor is thus focusing on latest technology, maximum efficiency and the highest level of customer comfort", Condor said. It did not say how it would acquire the planes but market sources said it was expected to buy an unspecified number from Airbus with the rest to be rented from leasing companies. The deal comes a day after EU regulators approved 525.3-million euros in German aid for Condor that will help the airline restructure after an earlier decision was annulled by a European court. It follows a competition between Airbus and Boeing to provide the A330neo or Boeing 787 to Condor, the sources said. Condor has a mixed fleet of planes from both planemakers but relies solely on its ageing 767s for long-haul needs. The A330neo is an upgraded version of the A330 passenger plane with recent Rolls-Royce RR.L engines. It competes with the newer but more expensive Boeing 787 Dreamliner. Sources said the deal will provide a home for undelivered A330neo jets originally earmarked for Indonesia's Garuda or Malaysia’s AirAsia. Both carriers are debt-strapped and their finances have worsened during the pandemic, raising doubts over A330neo deliveries. Airbus is also in talks to replace Boeing jets at another European leisure carrier, British airline and holiday group Jet2. If confirmed, the deal could involve the purchase of around 50 Airbus jets, worth some $5 billion before industry discounts of at least 50%. But while Airbus is seen as a front-runner, talks between Jet2 and suppliers are said to be ongoing.
Source: Reuters

Adria flies into profit despite fuel prices

Despite gloomy predictions earlier in the year with announcements that Slovenia’s national carrier, Adria Airways was in a financial crisis, the airline managed, in the first 8 months to improve its profit by 20% compared to last year. This was achieved by cutting costs in other sectors in order to allocate expenditure for rising fuel prices which has destabilised the aviation industry. This way Adria managed to bring its operating profit to just over 1 million Euros. In total, without including any expenditure the airline would have achieved a profit of 21 million Euros. Adria’s management was less optimistic a few months ago when it predicted it would finish the year with a loss. Now the management believes the airline will just manage to make a profit by the end of December 2008.

The positive financial result comes as the airline transported 907.761 passengers in the first 8 months of the year. Adria is hoping for good financial results as next year expenditure will rise with the airline forced to redirect some of its flights from Ljubljana to Maribor due to an airport construction project which means Adria will have to provide free transportation between the two cities.

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