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Alaska Airlines Expands International Reach

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Alaska Airlines Expands International Reach

Alaska Airlines Plans to Ride Wave of High-End Travel Demand

Alaska Air Group expects to grow profits by $1 billion through 2027, and plans to ride the wave of high-end travel demand to get there. The airline closed its $1.9 billion acquisition of Hawaiian Airlines in September, less than a year after inking the deal, which gives it access to routes across the Pacific and wide-body airplanes such as the Boeing 787 Dreamliner. The two brands are operating separately.

New Routes and Services

The airline will launch nonstop service between its home hub of Seattle-Tacoma International Airport and Tokyo’s Narita International Airport in May on Hawaiian’s Airbus A330-200s, and between Seattle and Seoul, South Korea’s, Incheon International Airport in October. Tickets for the new Tokyo flights go on sale Tuesday, while fares for the latter route go on sale in early 2025.

International Expansion

By 2030, Alaska plans to serve at least a dozen international destinations from Seattle using wide-body planes.

Premium Seat Offerings

Alaska is launching a new "premium" credit card with its partner Bank of America, the latest co-brand deal designed to bring in revenue from customers even when they are not flying. The airline is also evaluating its premium seat offerings across the fleet. Chief Financial Officer Shane Tackett said the airline is looking to upgrade options specifically on Hawaiian’s Airbus A330s, with more customers willing to pay up for more space and comfort during travel.

First Class and Premium Economy

More seats than ever in first class and premium economy are being bought outright by customers rather than being filled with free upgrades, Tackett said. Seattle’s rival Delta Air Lines, whose 24% domestic-passenger market share is second to Alaska’s 55% in Seattle, has also noted that shift in demand for its first-class seats.

Lounge Expansion

Alaska said it plans to offer a new lounge at San Diego International Airport. On Wednesday, Delta said it is opening its Delta One Lounge in Boston, its third after locations in New York and Los Angeles, dedicated to customers traveling in its highest-tier cabin.

Boeing Deliveries

Tackett told CNBC that he expects more shifts in Alaska’s deliveries from Boeing. A door plug blew off one of Alaska’s nearly new Boeing 737 Max 9s in January after it left the manufacturer’s factory without key bolts in place. The near catastrophe and stepped-up quality checks have slowed Boeing’s output and deliveries to airline customers such as Alaska, United, and Southwest.

Conclusion

In conclusion, Alaska Airlines is poised to ride the wave of high-end travel demand, with plans to launch new routes, services, and premium seat offerings. The airline’s acquisition of Hawaiian Airlines and its partnership with Bank of America are expected to bring in significant revenue, while its focus on quality and comfort is likely to attract more customers.

FAQs

Q: What are Alaska Airlines’ plans for international expansion?
A: Alaska plans to serve at least a dozen international destinations from Seattle using wide-body planes by 2030.

Q: What is Alaska’s plan for premium seat offerings?
A: The airline is evaluating its premium seat offerings across the fleet and is looking to upgrade options specifically on Hawaiian’s Airbus A330s.

Q: How is the demand for first class and premium economy changing?
A: More customers are willing to pay up for more space and comfort during travel, with more seats being bought outright rather than being filled with free upgrades.

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Global Trends and Politics

Boeing Dreamliner Crash Overshadows Paris Air Show Amid Military Escalations

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Boeing Dreamliner Crash Overshadows Paris Air Show Amid Military Escalations

Introduction to the Paris Air Show

The Boeing 787-9 civil jet airplane of Vietnam Airlines performs its flight display at the 51st Paris International Airshow in Le Bourget near Paris, France. Kelly Ortberg’s first Paris Air Show as Boeing CEO was set to be relatively upbeat. Under his leadership that began in August, the company has made strides in ramping up production of its bestselling 737 Max jets, increasing cash-generating deliveries of new planes, and indicating that it’s turning a corner from a series of manufacturing and safety crises and years of lost ground to rival Airbus.

Recent Developments and Challenges

Shares are up more than 13% this year, outpacing the S&P 500. But after an Air India flight crashed on Thursday, marking the first fatal air disaster of a Boeing Dreamliner, Ortberg canceled plans to go to the massive air show that begins on Sunday. The trade event is a big draw for the industry and is held every other year, alternating with the Farnborough Air Show in the U.K. Boeing, Airbus and other aerospace giants host champagne-flowing parties, hold flashy deal-signing ceremonies with executives flanked by model planes, and show off their new aircraft with extreme maneuvers for spectators below.

The Air India Crash and Its Aftermath

All but one of the 242 people aboard Air India Flight 171 were killed when the more than 11-year-old Boeing 787-8 Dreamliner that was headed for London on a sweltering day crashed into a medical student dining hall seconds after takeoff from Ahmedabad in western India. The sole survivor was an India-born British national in seat 11A. The cause of the crash is unknown and will take weeks or months to determine. Questions focus on how the plane so quickly and evenly lost altitude, appearing to glide into a fireball crash. Cockpit voice and data recorders, known as "black boxes," will provide key information.

Geopolitical Tensions and the Air Show

The crash isn’t the only outside factor changing the gathering in Paris. Shortly before the Paris Air Show was set to begin, Israel launched overnight missile strikes on Iran. Hours later, Iran launched drones toward Israeli territory. Airlines canceled flights, with jets in the air diverting or returning to their destinations, while hundreds of others skirted the airspace. The escalating tensions will make military budgets and spending an even bigger focus for the air show, but they also raise concerns about how conflicts and geopolitical tensions could impact demand for commercial air travel.

The Show Goes On

Despite the crash and other external concerns, Boeing, Airbus and Embraer are expected to lock in hundreds of airplane orders. Wait times for popular new aircraft models already stretch into the next decade with demand still strong. Boeing forecast on Saturday that the world will need 43,600 commercial airplanes over the next two decades, with emerging markets driving growth. It expects those markets will account for more than half of the world’s fleet in 2044, up from a 40% share last year.

Orders and Demand

Some of the order signings could come from previously undisclosed customers, though there are many new orders on the line, aviation analysts say. Ongoing issues, such as a lack of trained workers, have delayed deliveries of new planes, while on-again, off-again tariffs have raised concerns about more expensive aircraft and components. Pricing has also firmed up. A new Airbus A321neo was going for $65 million as of the end of April, up from $58 million at the start of 2023, while a new Boeing 737 Max 8 cost about $55.5 million in April, compared with $50.25 million in early 2023.

Return of the Big Jets

Airplane customers are going bigger as international travel continues to bring in money. "It used to be all about single-aisle orders," said Richard Aboulafia, managing director at aerospace consulting firm AeroDynamic Advisory. Now, "everyone is booking these monster twin-aisle orders for international traffic." He said major international airlines like Turkish Airlines, Gulf carriers and others have expanded in recent years, competing for more global travelers, "slicing the pizza into smaller pieces."

Conclusion

The Paris Air Show is a significant event for the aviation industry, with major manufacturers like Boeing, Airbus, and Embraer expected to announce new orders and showcase their latest aircraft. Despite the challenges posed by the Air India crash and geopolitical tensions, the demand for commercial air travel remains strong, driven by emerging markets and the need for more efficient and capable aircraft.

FAQs

Q: What is the Paris Air Show?
A: The Paris Air Show is a major international aviation event held every other year, where aircraft manufacturers, airlines, and other industry players gather to showcase their latest products and announce new orders.
Q: What happened to the Air India flight?
A: An Air India Boeing 787-8 Dreamliner crashed on takeoff from Ahmedabad in western India, killing all but one of the 242 people on board.
Q: How will the crash affect the Paris Air Show?
A: The crash has led to the cancellation of plans by Boeing’s CEO to attend the show, and may impact the tone and focus of the event.
Q: What are the geopolitical tensions affecting the air show?
A: The escalating conflict between Israel and Iran has raised concerns about the impact of geopolitical tensions on demand for commercial air travel.
Q: What is the outlook for the aviation industry?
A: Despite challenges, the demand for commercial air travel remains strong, driven by emerging markets and the need for more efficient and capable aircraft.

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Global Trends and Politics

WNBA, Scripps Renew Media Rights Deal

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WNBA, Scripps Renew Media Rights Deal

Introduction to the WNBA Media Rights Agreement

The WNBA and E.W. Scripps announced a new multiyear media rights agreement to carry Friday night WNBA matchups on Ion. This agreement also includes the "WNBA on Ion" studio show, the first weekly broadcast show dedicated exclusively to WNBA coverage.

Details of the Agreement

The value of the deal was not disclosed, but media reports peg the original deal that expires at the end of the 2025 season at an average of $13 million annually. The WNBA has been airing games on Ion since 2023. This season, the network will broadcast 50 regular season games. Ion is available on pay TV and streaming platforms in more than 128 million homes.

Growth and Popularity of the WNBA

The new agreement comes after Ion has seen huge growth with the WNBA and as the league gains in popularity thanks to stars such as Caitlin Clark and Angel Reese. The network said WNBA Friday Night Spotlight viewership grew 133% year over year and more than 23 million unique viewers tuned into the coverage.

Statements from WNBA and Scripps Executives

"Our robust partnership with the league has flourished, and we are thrilled to solidify ION’s status as the premier Friday night destination for WNBA action for years to come," said Scripps CEO Adam Symson. WNBA Commissioner Cathy Engelbert said the partnership with Scripps has helped the league expand its reach and visibility. "This new multi-year agreement reflects the growing excitement surrounding the league and the rising demand for WNBA games," she said.

Previous Media Rights Deals

The league signed an 11-year media rights deal with Disney, Amazon, and Comcast-owned NBCUniversal last July as part of the NBA’s media rights negotiation. The WNBA’s deal is valued at about $200 million per year.

Conclusion

The new media rights agreement between the WNBA and E.W. Scripps is a significant step forward for the league, providing more exposure and visibility for the players and teams. With the growing popularity of the WNBA, this agreement is expected to bring in more viewers and fans to the league.

FAQs

Q: What is the new media rights agreement between the WNBA and E.W. Scripps?

A: The new agreement is a multiyear deal to carry Friday night WNBA matchups on Ion, including the "WNBA on Ion" studio show.

Q: How many regular season games will Ion broadcast this season?

A: Ion will broadcast 50 regular season games this season.

Q: How many unique viewers tuned into the WNBA Friday Night Spotlight coverage?

A: More than 23 million unique viewers tuned into the coverage.

Q: What is the value of the WNBA’s media rights deal with Disney, Amazon, and Comcast-owned NBCUniversal?

A: The WNBA’s deal is valued at about $200 million per year.

Q: How long is the WNBA’s media rights deal with Disney, Amazon, and Comcast-owned NBCUniversal?

A: The deal is for 11 years.

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Global Trends and Politics

Israel-Iran Flight Disruptions

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Israel-Iran Flight Disruptions

Introduction to Flight Disruptions

Airlines around the world canceled flights to Israel and were skirting a large swath of airspace in the Middle East on Friday after Israel’s overnight missile strikes on Iran. Iran later launched drones toward Israeli territory. The flight map over the Middle East as Iran launches retaliatory attacks on Israel at 19:19 UTC on June 13th, 2025, shows the extent of the disruptions.

Flight Cancellations and Suspensions

Delta Air Lines on Friday afternoon said it was suspending its service to Tel Aviv, Israel, until at least September, just weeks after resuming flights there. It had most recently resumed flights on May 20, and as of last week Delta had said it was planning to increase service to Israel later this year from New York to two daily nonstop flights, "responding to strong winter demand." United Airlines suspended its Tel Aviv flights through July 31, and said in a statement that "we will continue to evaluate an appropriate return date with the safety of our customers and crews as our top priority."

Impact on Air Travel

Both carriers’ Tel Aviv-bound flights turned around over the Atlantic Ocean to return to the New York area after Israel’s strikes overnight. United put 26 of its crew members who were on layover in Israel on Israeli airline El Al to get back to the U.S., a spokesman said. El Al has since suspended service. "Following recent security developments and in accordance with the instructions from the state’s security and aviation authorities to close Israeli airspace, all EL AL and Sundor flights are suspended for the time being," it said on its website.

Airline Reactions and Warnings

The carrier said it won’t take bookings until at least the end of June and warned customers against going to Tel Aviv’s Ben Gurion Airport. "For customers currently abroad, we recommend arranging accommodation until there is a change in security directives," El Al said. "Flights that were en route to Israel have been diverted to land at various EL AL destinations." Israel closed its airspace and suspended flight operations at Ben Gurion International Airport in Tel Aviv, Israel on June 13, 2025.

Global Airline Responses

Turkish Airlines and European budget carrier Wizz Air also suspended Israel flights. Germany’s Lufthansa said it was suspending Tel Aviv and Tehran service until July 31 and flights to Jordan and Lebanon until at least June 20. Emirates said it was canceling service from its base in Dubai to Iraq, Jordan, Lebanon, and Iran. Airlines offered travel vouchers and waived change fees to customers affected by the disruptions.

Conclusion

Escalating military conflicts in the Middle East and Ukraine have forced airlines to repeatedly take longer and more costly routes to avoid conflict zones. The situation highlights the challenges faced by the aviation industry in ensuring safe and uninterrupted travel amidst geopolitical tensions.

FAQs

Q: Why are airlines canceling flights to Israel?
A: Airlines are canceling flights to Israel due to the escalating military conflict between Israel and Iran, which has led to the closure of Israeli airspace and suspension of flight operations at Ben Gurion International Airport.
Q: Which airlines have suspended flights to Israel?
A: Delta Air Lines, United Airlines, El Al, Turkish Airlines, Wizz Air, Lufthansa, and Emirates have suspended flights to Israel.
Q: What alternatives are airlines offering to affected customers?
A: Airlines are offering travel vouchers and waiving change fees to customers affected by the disruptions.
Q: How long will the flight suspensions last?
A: The duration of the flight suspensions varies by airline, with some suspending flights until July 31 and others until at least September.
Q: Are there any other regions affected by flight disruptions?
A: Yes, airlines are also avoiding airspace in Ukraine and other parts of the Middle East due to military conflicts.

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