Lion Air Crashes Into Sea

A brand new Lion Air jet crashed into the sea whilst attempting to land on runway 09 at Bali Airport in Indonesia. Initially the plane was said to have over run the runway however a official spokesmen said it crashed during the planes approach. All passengers and crew survived the impact with  only around 45 slightly injured. The flight departed from Bangung which is a major city in Indonesia at 12:48 for a domestic flight down to Denpasar. The aircraft was carry 101 passengers and 7 crew.

The Boeing 737-800 (PK-LKS) was only received by the airline 1 month ago and is only 2 months old. It was classed as air worthy during inspections. Officials said an investigation is underway.
 
Lion Air is one of the largest budget airlines in Indonesia and is rapidly growing. The airline has signed large contracts with aircraft manufactures Airbus and Boeing for a total of 464 aircraft.

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Cyprus Airways Flies Into Bankruptcy

Greek airline Cyprus Airways must receive financial help to continue operations. The government is considering 3 options for the carrier which are: shut down the company now, continue flights until after the summer or try to run the company further. The airline has asked the goverment for 6 million pounds to continue operations until the summer despite the European Union restrictions because of the country facing bankruptcy its self.

The airline which has been flying in the skies for 66 years estimates 560 job cuts, many pay reductions, and a smaller fleet from 11 to 6.

The airline requires 71 million pounds to continue for the next 3 years. Cyprus Airways reported high loses in 2011 and recieved help successfully however the losses doubled in 2012 to 47 million pounds.

However there are many prospect investors for the airline. Two are called Middle East Airlines and Yi Xiang Da Investment Co based in China and have so far showed high interest in buying the company. 

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Virgin Atlantic Create Domestic Service

Virgin Atlantic who provide long haul air travel, expand their market by creating a new domestic service called 'Little Red'. The service will connect London Heathrow up with Manchester, Edinburgh and Aberdeen and many tempting offers such up to 23kg luggage, pre-allocated seats, free snacks, drinks and hot breakfasts on early departures will be offered. 

Virgin's Little Red service will compete with other services offered by flag carrier airline British Airways. Virgin Atlantic will be using the slots acquired from British Airways from the transfer of British Midland International last year. 

However not all is good for the airline, and is running into financial losses which could potentially lead to job losses. Virgin Atlantic's CEO (who was previously the CEO of American Airlines) blamed the loss on expensive fuel prices and has imposed a pay freeze across the airline which will be part of a cost-cutting plan.
 

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