newstodate.aero

Dec 11, 2018 (newstodate): A debate has opened among some airlines in Denmark: are charter operations viable and profitable business? -For Jet Time, the crux is a balance between ACMI and charter operations, and maybe different attitudes to the viability of charter operations can be ascribed to differences in this balance by individual providers, says Birthe Madsen, Jet Time VP Management Support. -Jet Time has its focus on two business- and customer segments - charter operations for North European tour operators, and ACMI operations for major European airlines. -Charter operations were at the core of Jet Time from the start in 2006, while ACMI production has been growing consistently over the years, having now reached maturity as a core competence with operations for airlines including SAS and Finnair. -Still, profit margins are small in the charter segment, and for Jet Time as primarily a charter operator it is thus crucial to achieve a significant volume to produce results on the bottom line, which is also one specific target in our current Business Plan 2020. -Our production is based on passenger traffic where service standards, on-time performance and relations to business partners reign supreme. Another decisive factor is operating a single-type Boeing 737NG fleet granting a high level of flexibility and a minimum of complexity in operations. -Based on this, there is really no difference in production of ACMI or charter flights, says Ms Madsen. In contrast to Jet Time, another Danish charter and ACMI carrier DAT has announced a decision to pull out from the charter segment over the coming years, citing low, or no, returns from this segment.