January 6, 2021

Kaua’i Launches World’s Most Scenic COVID Bubbles

The Hawaiian Island of Kaua’i will begin its “resort bubble” program today, in which visitors to the island can opt-out of the required 10-day quarantine by staying at one of the six resorts (with more to come) that are part of the island’s “enhanced movement quarantine” program.

When the State of Hawai’i offered the chance to be exempt from the mandatory state quarantine with a negative test from one of the state’s trusted testing partners, Kaua’i was the only island to opt-out of the program, due to concerns about the rising positive cases on the island. But the EMQ program will hopefully jump-start tourism to the island, providing visitors the chance to move freely about their resort while wearing a bracelet that ensures they do not leave under penalty of death.

The bracelet must be worn for 72 hours upon arrival, at which point a second negative test will allow the visitor to have completed the program. The program can be extended past 72 hours at the request of a spouse who wants to know what the hell his or her significant other does all day and would find the tracking data useful. Children everywhere are clamoring for the bracelet to be given to literary star Waldo in order to make his books less challenging, but those requests have so far been denied by Hawai’i governor David Ige. 


IAG Tweaks Corporate Structure to Protect Aer Lingus and Iberia 

IAG has altered the controlling ownership in both Aer Lingus and Iberia — ensuring both airlines are compliant with EU investor laws that came to be in the wake of Brexit — to retain its access to the internal market of the European Union.

In doing so, the airline placed Aer Lingus in the hands of a local trust to keep its Irish-ness and be EU-compliant. IAG has long claimed that Iberia is controlled by Spaniards in Spain, led by the Spanish department store chain El Corte Inglés. In Spanish, that translates to “The Corte Inglés.”

When the United Kingdom left the EU due to Brexit last week, companies, including airlines, were left scrambling to make sure they were primarily owned by EU-based holding groups not the UK, to maintain their EU status.  IAG also adjusted the makeup of its Board of Directors ensuring it was majority-led by EU nationals. Non-IAG airlines Ryanair, Wizz Air and easyJet have undertaken similar alterations to the corporate structures in recent weeks. 


DOT Finalizes Supersonic Flight Rules

The FAA and the DOT issued final rules to help pave the way for supersonic commercial flight to be introduced once again to the U.S. market. The government rules provide guidance for companies itching to lose money operating fly faster than the speed of sound. 

Boom, which is finalizing a $50 million funding round, introduced its demonstration jet in October. It is hoping for a 2025 rollout for its supersonic flights in the U.S. Other startups, such as Hermeus are pursuing supersonic flight for commercial operations.

SpaceX, Virgin Galactic, and others are exploring supersonic flight and point-to-point flying through the outer edge of the Earth’s atmosphere that could potentially reduce flight times by a significant amount. Unfortunately, there’s no supersonic option on the taxiway at JFK or Newark, so passengers will still enjoy lengthy wait times for takeoff and for a gate to open upon arrival, despite how fast their aircraft flew enroute.


Israir to Cut Staff, Consider Ending Saturday Flying

Israir is continuing to struggle financially amidst the pandemic, and the airline plans to cut another 15% of its workforce — roughly 60 employees – in 2021. The airline currently has approximately 400 staff on its payroll with 55% on unpaid leave.

In addition to cutting staff, the airline is considering ending its service on Saturday, the slowest day of the week for all airlines. It’s even more so in Israel as Saturday is the sabbath for the Jewish faith, and many who observe adhere to the practice of not working — which includes most everything, including taking a flight.

In the meantime, the airline is hopeful that its recent sale to BGI Investments will help it turn the tide in 2021. Israel is expecting to have the vast majority of its citizens vaccinated sooner than most — hopefully by the summer — which could hopefully give Israir, its chief rival El Al, and other Israeli airlines a leg up on returning to profitability. 


Delta Tamps Down the Spice

Delta Air Lines removed its objection with the DOT, paving the way for Indian carrier SpiceJet to receive its exemption to operate passenger flights between India and the United States.

Delta had submitted the objection because it felt it was unfairly being denied access to codeshare with JV partner KLM on flights from Amsterdam to India. The Indian authorities have since granted Delta’s request to codeshare with KLM, leading to Delta to rescind its objection.

Rumors began to swirl that Delta’s objection would likely be pulled when astute observers saw Delta CEO Ed Bastian spend an excessive amount of time at the spice rack of a local Atlanta Whole Foods.


Airline Potpourri

  • Air New Zealand will begin quarantine-free flights between Auckland and Brisbane. Three of the weekly flights will be quarantine-free, with the remaining two weekly services for passengers who will still require quarantine.
  • China Airlines will operate its final 747 passenger flight on February 6.
  • GLOBALX a Florida-based startup, took delivery of its first A320 aircraft on last Friday as it ramps up to complete its certification by this March.
  • T’way Air has acquired t’wo A330s for long-haul flying.
  • WestJet plans to resume 737 MAX flying on January 21 with three weekly roundtrips on the aircraft between Calgary and Toronto/Pearson.

Andrew’s Moment of Levity

My neighbor Jack says he can communicate with vegetables. Jack and the beans talk.