Airlines grounding fleet to cut cost

[lastdon]

More pain......

BA to ground flights unless fuel costs fall

03.06.08
British Airways is ready to ground flights in an attempt to deal with the soaring cost of oil, Willie Walsh, the airline's chief executive, told delegates at the summit of the International Air Transport Association (IATA) yesterday. He said that BA will examine flights on a ‘route by route basis’.
Mr Walsh made clear that BA is prepared to follow the example of Qantas - and Ryanair who announced that they would ground 20 planes this winter today - and mothball aircraft if necessary. He said: ‘We will be looking at some routes to see if we can take out some frequency. We are in uncharted waters. I see no option but to take capacity out.'
'It doesn't make sense with oil at $130 a barrel to operate flights that have not made a contribution to our cash situation. We have a healthy balance sheet. But we can't afford to be complacent.’
Mr Walsh told Reuters: 'We will take capacity out during the winter so I think for the current year we'll probably be looking at flat capacity versus last year.' He said it was too early to say whether the airline would cut destinations as part of the move to reduce capacity, but said cutting the frequency of flights was more likely in the winter period which starts at the end of October.
The Telegraph reports that BA is trying to cut its fuel bill by making planes as light as possible. Following the lead of other airlines including American. The airline has cut the amount of ‘tap water’ it carries in its tanks, because of passengers' preference for the bottled alternative. It has also reduced the number of oxygen cylinders it keeps on board - although it still complies with the minimum set by standards set by the CAA.
BA has also decided to strip all paint off planes brought in for a refit, before respraying. According to an airline, this sheds 400 kilograms of the weight of a Boeing 747.