Fuente : Austrian Airlines
http://www.austrianairlines.co.at/

Ongoing development of own competitiveness - an area in which Austrian continues to be well practiced

Group-wide programme of measures intensified in spring shows increasingly positive influence on both traffic trend and load factor

/noticias.info/ The continuously strengthened efforts of the Austrian Airlines Group to improve its competitive and market position since the first quarter of 2005 show that the company’s consistent strategy of specialisation in services to Central and Eastern Europe, the Middle and Far East as well as to Australia and the attendant group of measures are working. These ongoing yield increasing and cost reduction initiatives are designed to permanently optimise those production factors and conditions that can be controlled by the company itself to make up lost ground where possible in 2005 in terms of result and to create as strong a starting position as possible for 2006.

Yield increasing measures

Consistent continuation of the strategy of specialisation in the dynamic growth markets of Central and Eastern Europe, the Middle East, Far East and Australia, and strengthening of alliance and partner cooperation agreements.
Further profit and load factor optimisation, supported by the introduction of a traffic flow control system and worldwide sales and marketing offensives.
Strict orientation of the production programme to seasonal demand curves.
Lasting improvement in the price-performance ratio for business clients based on the introduction of Business Class beds and internet services on board the company’s long-range fleet, an enlargement of Business Class areas on long-range aircraft and an expansion of Business Class check-in zones and lounges at the Vienna hub.
Increasing levels of customer convenience with simultaneous simplification of processes: for instance, the company will push forward with its online sales and etix® and make further improvements to booking tools and web functionalities by introducing a new web-check-in function.
Far-reaching integrated sales and planning for scheduled and holiday flights in the long-range sector.
Cost reduction measures

Further reductions in sales and distribution costs, for instance the zero commission solution to be introduced in Austria from February 2006 onwards.
Reduction in compensation costs through further improvements in flight reliability and punctuality.
Cutting back of maintenance costs due to fleet harmonisation measures – both those already completed and planned for the future – and the levelling off of pilot training costs due to accelerated implementation of the Austrian/Lauda Air Flight Operations merger.
Group-wide increase in staff productivity.
Greater flexibilisation of staff resources according to the seasonal demand situation in the market.
Restrictive investment policy, strict cost management and further optimisation in purchasing.
Chief Executive Officer Vagn Soerensen made the following comment on the developments: ‘The significant improvement in our traffic trend since May has shown that the further intensified efforts we have made since the spring are beginning to exert an effect. We are constantly doing our homework and quickly rising to new challenges. In addition to the improvements made within the group, we now need to cooperate with the other organisations responsible for the Vienna hub to ensure a competitive location policy in the long term. For us, Austria as a business location and its air traffic system specifically, the quality, capacity and level of competitiveness of the Vienna hub are decisive criteria.’

Quick motion excerpts from the Austrian balance of achievements: Austrian passenger volume has increased by around 1 million passengers since 2002 and 20 new destinations have been incorporated into the group network, including 5 overseas destinations. The Austrian Airlines Group has also grown to become the market leader in services to Central and Eastern Europe in recent years; it operates more than 500 flights a week to 41 destinations across this dynamic economic region. Austrian is now the fourth-largest provider of flight services from Europe to Asia/Australia and the number three airline to the Middle East and Levant region. During this same period, the company succeeded in cutting unit costs by 15 % with group-wide savings of over EUR 400 million and reduced its liabilities by more than EUR 800 million. The value creation of the Austrian network in the economic location of Austria is currently estimated at around EUR 3.5 billion, and exerts a direct and indirect influence on 50,000 jobs in the airport regions, primarily Vienna. notas_de_prensa_archivo