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NOVEMBER/DECEMBER 2010


SEPTEMBER/OCTOBER 2012


News AIRPORTS


LIBERAL DEMOCRATS DISMISS ‘BORIS ISLAND’ AIRPORT PLAN


Liberal Democrats dismiss ‘Boris Island’ airport plan


THE LIBERAL DEMOCRATS want to rule out any new runways at the south east’s major airports, as well as plans for a new hub in the Thames estuary. The coalition’s junior partner will call for plans for a so-called Boris Island airport in the Thames to be “firmly rejected” as well as no extra runways at Heathrow, Gatwick or Stansted. The government has already twice delayed its planned consultation process into how to expand airport capacity in the south east, amidst reports of rows between the coalition’s two parties over the issue. The Lib Dems have now drawn up a new airport strategy which will be put before the party’s annual conference later this month (September). Key proposals include: • Pushing for better use of existing capacity in the south east and at regional airports.


• Firmly rejecting Boris Johnson’s Thames estuary airport. • No new runways at Heathrow, Gatwick or Stansted.


• No airport capacity expansion which could allow for aircraft movements above the carbon emissions cap set by the independent Committee on Climate Change.


The driving force behind the party’s aviation policy is Julian


Huppert, who is co-chair of the Lib Dem MPs’ committee on transport. “Liberal Democrats have always opposed a new runway at Heathrow because it is in an appallingly bad location,” said Huppert. “You can’t have one of the world’s noisiest and busiest airports in the heart of west London’s suburbs.” The Lib Dems’ aviation policy will be discussed and voted upon during the party’s conference in Brighton from September 22-26.


EVENTS IN CONVERSATION…


Roberto Abbondio, UK head of sales and marketing, Cathay Pacific


Rob Gill talks to Roberto Abbondio about Cathay Pacific’s strategy for business travel.


picks up. We are switching to Boeing 777s on the London route from early next year and hope it will be all B777s by the end of 2013.


Roberto Abbondio


What’s your reaction to Hong Kong


Airlines’ decision to suspend its service from Gatwick in September? It just shows how difficult the aviation industry is. London-


Hong Kong is a very busy route, and we are the biggest player with 50 per cent of the market. What we are concentrating on is doing well and being better than we were yesterday.


How has your new premium economy


seat been received by the corporate market? From London, premium economy is doing well and currently it’s on


two of our four daily services – by the end of the year we will have it on all four flights. From a corporate sales point of view, it’s very useful to have it – especially as a lot of corporates in the UK have policies that only allow premium economy to be booked rather than business class.


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ITM & Europcar golf day tees off


THE ITM/EUROPCAR GOLF DAY, in partnership with Buying Business Travel, takes place on Friday September 14 at Woburn Golf Club, on its renowned championship Marquess course. Guests will enjoy coffee and bacon rolls before teeing off at 10.30am. The 18 holes will be followed by a three-course lunch. This exclusive event is by invitation only – for information contact diane.steed@itm.org.uk


Where are you in the roll-out of your new


business class seats? It’s already on some aircraft on the London route and will definitely be on all London flights by the first quarter of next year. We think it’s very important to still be investing in our product, even with all the financial uncertainty, so we can become stronger when the economy


How are your business travel sales from the UK so far in 2012 – what sales patterns or trends are you seeing? There’s no doubt that it’s a tough year with the downturn in


Europe and continuing financial crisis, but the reality is that over the last three to five years it’s been very up and down. The business is still there as companies need to travel but, maybe, they are looking to get more out of each trip, so instead of taking 12 trips a year they can cut it down to nine or ten. But they are still flying in the same cabins and doing fewer trips rather than trading down.


How much are cost rises, such as the price of fuel and increased taxes, affecting your UK business? Costs have been sky-rocketing for all airlines and fuel prices


have been a killer. That’s one of the reasons we are renewing our fleets, as it will cut our fuel bill. We have put a big order in for 48 Airbus A350s, which will start arriving in two years’ time. This will also help corporates who are now asking about our ‘green’ credentials in their RFPs. We will never be carbon neutral but B777s are 23 per cent more efficient, and the A350s are even better. APD has also had a big impact for us, then ETS on top of that – it all means the small margin airlines make is being squeezed even more. The only things we can do are to try to be more efficient and keep costs under control at the same time as bringing in revenue more effectively.


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