This week’s featured link:
Brazil to raise foreign ownership in local airlines – Reuters
Brazil is in a world of hurt. The economy has tanked, air travel demand has dropped, and airline revenues have disappeared. Carriers have slashed service with American most recently announcing it would pull out of Porto Alegre. But it’s the airlines within Brazil that are hurting the most. Up until now, foreign carriers could only take 20 percent stakes in Brazilian airlines. Delta took advantage with Gol. United and HNA Group each took stakes in Azul. But it hasn’t been enough. So now Brazil is upping the foreign ownership limit to 49 percent, pending approval internally.
This is good news for Delta and United, both of which have shown clear interest in growing their presences in Latin America. And with Gol and Azul struggling, this is a cheap way to get in. Look for some more action down there if this goes through.
Two for the road:
Cleveland Hopkins rebounds from United cuts, sees passenger increase in 2015 – Cleveland Plain-Dealer
Another former hub comes back from the dead. This isn’t a surprise at all. United pulled out and the ultra low cost carriers swarmed over the carcass. No, travelers can’t fly nonstop to Albany anymore, but they can get much cheaper flights to Florida. That’s good for some and bad for others.
The co-pilot who survived the Tenerife aircraft disaster – BBC Witness
Here’s a 4 minute interview with one of the pilots of the Pan Am 747 that was struck by a KLM 747 in Tenerife back in 1977. That accident remains the worst in terms of casualties in the history of aviation. Though the Pan Am pilots were not at fault, it seems like he’s still haunted by ghosts.