Transport
Air Arabia net profit soars to AED 160 million in first half of 2008, up 39 per cent
Air Arabia, the first and largest low-cost carrier in the Middle East and North Africa, announced today its financial results for the period ending June 30, 2008, demonstrating continued superior performance and ongoing organic growth. The company's net profit for the first half of this year stood at AED 160 million, an increase of 39 per cent compared to AED 115 million for the first six months of last year. Air Arabia's net profit for the second quarter of this year reached AED 82 million, up 14 per cent compared to AED 71.7 million for the second quarter of 2007. During the first half of 2008, the company registered a turnover of AED 871 million, up 70 per cent from AED 513 million for the first half of 2007. Air Arabia's turnover for the second quarter of this year reached AED 487 million, up 79 per cent compared to AED 272 million for the second quarter of 2007.
The airline served more than 1.6 million passengers during the first half of 2008, a 33 per cent increase compared to 1.2 million passengers during the same period last year. Air Arabia served some 866,272 passengers in the second quarter of this year, up 34 per cent compared to 646,000 passengers in the second quarter of 2007. For the first six months of this year, Air Arabia's average seat load factor – or passengers carried as a percentage of available seats – stood at an extremely impressive 86 per cent, up 3.6 per cent compared to the same period in 2007. "During a period of unprecedented challenges for the global aviation industry as a result of the continuously soaring oil price, we are extremely proud of these results, which demonstrate Air Arabia's ability to continue to deliver sustained growth and excellent returns to our investors. We believe that Air Arabia enjoys the proper model and infrastructure needed to remain amongst the most profitable airlines in the world" said Sheikh Abdullah Bin Mohammed Al Thani, Chairman, Air Arabia. "Focusing on organic expansion and operational reliability, Air Arabia will remain committed to providing comfort, convenience and value-for-money service to our passengers, and continually upgrading our destination network to serve the widest number of cities in the Middle East, North Africa, South and Central Asia," he added. Air Arabia recently announced that it has carried more than 10 million passengers since launch in October 2003, officially passing the mark at the end of June 2008. The Sharjah-based carrier also introduced four new destinations in the first six months of this year, including Kozhikode and New Delhi, India; Shiraz, Iran; and Dhaka, Bangladesh. This increases Air Arabia's total network to 41 destinations across the wider region.
Aramex opens new logistics centre in Bahrain
Aramex has announced the opening of a new 4,000 square logistics centre in Bahrain designed to support the company's expanding supply-chain solutions network across the GCC. Located in the Bahrain International Airport Free Zone, the state-of-the art facility will combine sea, air and land freight capabilities to offer an unparalleled third party logistics (3PL) management system. The infrastructure investment underlines Bahrain's increasing role as a supply chain solutions hub, led by its important geographic position within Aramex's regional network, connecting by land to Kuwait, Qatar and KSA.
Streamlined by Aramex's advanced customs clearing process at key land border checkpoints, the facility will form a vital part of Aramex's supply chain model, linking through to key logistics centers within the GCC.
Its strategic location in the airport's Global Logistics Services (GLS) zone will also provide convenient access and ensure quick turnaround for cargo being shipped between the aircraft and warehouse. Catering to the needs of a range of industries, including telecommunications, electronics, and textiles, Aramex's CEO for the GCC, Hussein Hachem says that the new centre will help provide customers with a competitive edge. "At Aramex, we are committed to providing our customers in Bahrain with the most efficient distribution network possible, one that is supported by world-class infrastructure," said Hachem. "At our new facility in Bahrain, we are able to develop highly-customized solutions for retail customers that respond to their unique needs and meet the demands of an increasingly competitive market," he added. The TAPA-certified facility implements global standards in security and boasts loading docks and advanced warehouse management technology, including a comprehensive system for processing orders.
92% of regional business leaders say UAE should invest in alternative energy
As the impending energy crunch presents a looming challenge to the Middle East and the climate crisis calls for action, a recent poll conducted by Leaders Presents reports that 92% of regional business leaders believe the UAE should invest in the research and implementation of alternative and renewable energy in the form of solar or wind power, bio-fuels or other sources. A peaceful Atomic Energy program came in as a close second option, with 69% in agreement. The survey, which reflects the opinions of nearly 300 regional business leaders and key decision makers from across the region, revealed that 81% of regional executives agree that an energy shortage is a concern and that placing an emphasis on the research and creation of alternatives is a good idea. "It makes sense to make a responsible effort in the direction of creating alternative energy sources, not only because it will eventually be a necessity, but because all signs say it is better for the environment, as well," says Lucy Mountain, Conference Director of Leaders in Dubai Business Forum. "What is good for the environment is also good for people - I think everyone can agree that less pollution in the air would be better for all of us." Recent analysis has concluded that national annual peak demand for electricity is likely to rise to more than 40,000 megawatts by 2020, reflecting a cumulative annual growth rate of about nine percent from 2007. Burning crude oil/and or diesel is logistically possible to keep up with demands however it is not an economical or environmentally-friendly option, and natural gas reserves are not enough to cover the demand. Evaluation of alternative energies including solar and wind suggested that, while these options are being deployed within the UAE, even aggressive development could only supply a small portion (4-5%) of peak electricity demand by 2020, revealing the pursuit of other sustainable alternatives to be vital to a future renewable energy plan. Atomic energy for peaceful civilian uses leaves no carbon imprint like oil or coal and remains the most likely viable option in the near future; however the disposal of radioactive nuclear waste is also a huge issue that would need to be addressed. Keynote speakers at the 2008 Leaders in Dubai Business Forum, to take place from November 16 to 18 at the Dubai International Exhibition and Convention Center, include Mohamed ElBaradei, James Wolfensohn and Rudolph Giuliani. The forum is supported by Wasl, Citibank, Amlak Finance, Etisalat, Al Mal Capital, Nokia, the InterContinental Hotel and Cadillac. Media Partners include Al-Arabiya News Channel and CNN.