Avelo Airlines: America's newest carrier takes to the skies with fares from $19


Hayley Skirka
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America's newest airline has taken to the sky above California.

Low-cost Avelo Airlines launched operations on Wednesday with an inaugural service from its west coast base of Burbank to Sonoma County Airport, the gateway to California's wine country.

The budget airline has not only launched amid a global pandemic, but is also the first new main airline to begin operations in the US in almost 15 years. The last was Virgin America, which launched in 2007, only to close in 2018.

Andrew Levy, chairman and chief executive of Avelo Airlines, holds a commemorative ticket for the inaugural flight of Avelo Airlines from Hollywood Burbank Airport to Charles M. Schulz-Sonoma County Airport in Santa Rosa on April 28, 2021. AFP
Andrew Levy, chairman and chief executive of Avelo Airlines, holds a commemorative ticket for the inaugural flight of Avelo Airlines from Hollywood Burbank Airport to Charles M. Schulz-Sonoma County Airport in Santa Rosa on April 28, 2021. AFP

Serviced by a fleet of Boeing 737s, Avelo Airlines promises leisure travellers friendly service and affordable fares. Its jets can accommodate 189 passengers each, with 60 premium seats offering extra leg-room for those willing to pay more for additional space.

Departing Burbank at 10.30am local time on Wednesday, flight number XP 101 landed in Santa Rosa about 70 minutes later. Onboard the first flight for the new airline was its founder, chief executive and chairman Andrew Levy.

Passengers on the flight wore face masks and adhered to social distancing measures. Refreshments were distributed in sealed packages and all travellers on the historic flight were given a celebratory ticket jacket with a commemorative boarding pass.

Flying from the 'Best Airport' in the US

Passenger wearing protective masks check-in at Hollywood Burbank Airport in Burbank, California. Bloomberg
Passenger wearing protective masks check-in at Hollywood Burbank Airport in Burbank, California. Bloomberg

Avelo Airlines plans to fly to 11 destinations by mid-summer. It is using California's Hollywood Burbank Airport as its hub. The airport was named the best in the US by Fodor's Travel in 2019, and Levy sings its praises.

"No airport is closer to downtown Los Angeles, Hollywood, Pasadena and southern California's many other attractions than BUR," he said. "As the San Fernando Valley's hometown airport, BUR will give you easy access to an abundance of beautiful and relaxing new non-stop destinations across California and the western US."

Avelo will begin flying to two other destinations in the next few days. On Thursday, it will launch a thrice-weekly service from BUR to the Tri-Cities Airport in Pasco, Washington. On Friday, it will start a four-times-a-week service to Bozeman Yellowstone International Airport in Montana, the onramp to Big Sky Country and Yellowstone National Park.

By late May, Avelo will provide non-stop services to 11 other destinations across the western US.

Where can I fly to with Avelo Airlines?

Avelo Airlines will operate to 11 leisure destinations by summer, including to Grand Junction, in Colorado. Courtesy Unsplash
Avelo Airlines will operate to 11 leisure destinations by summer, including to Grand Junction, in Colorado. Courtesy Unsplash

Arcata-Eureka Airport in California: For Victorian charm on the Redwood Coast.

Redmond, Oregon: For snow-capped Cascades surrounded by high desert lands.

Bozeman, Montana: The gateway to Yellowstone National Park.

Eugene, Oregon: Where the Willamette Valley begins.

Grand Junction, Colorado: Where the Colorado River meets red rock landscapes.

Medford, Oregon: A launchpad to the Rogue Valley.

Pasco, Washington: 300 days of sunshine in the heart of Washington's countryside.

Phoenix-Mesa, Arizona: Alternative port for downtown Phoenix.

Ogden, Utah: A convenient Salt Lake City alternative to Utah's famed mountains.

Redding, California: Adventure-seekers' national park playground.

Santa Rosa, California: The gateway to California's wine country.

"People are ready to reconnect with family and friends and explore new places," said Levy. "Avelo is a different and better kind of airline, built from scratch to offer an affordable, convenient and caring travel experience."

As a low-cost airline, Avelo's base fares start from $19. Additional services such as checking in a bag, preselecting a seat and priority boarding are extra, with check-in bags starting from $10 per piece.

Launching an airline in a pandemic

Air Arabia Abu Dhabi is another airline to have launched operations during the global Covid-19 pandemic. Courtesy Air Arabia
Air Arabia Abu Dhabi is another airline to have launched operations during the global Covid-19 pandemic. Courtesy Air Arabia

Launching an airline during the global pandemic may seem like bad timing, as several major airlines around the world have grounded fleets or sent aircraft off for storage in long-term parking facilities, and others have retired fleets at aircraft boneyards around the world.

Somewhat surprisingly, Avelo Airlines is not the only new airline that's taken to the skies at this time, however.

In February, low-cost airline Wizz Air Abu Dhabi launched operations from the UAE. Air Arabia Abu Dhabi also began operating during the pandemic, with its inaugural flight to Egypt departing on July 14, 2020.

Other new operations in the pipeline include Flyr, a new Norwegian airline set to begin operations in June, and Iceland's new Play airline, which plans to fly by summertime.

Other US airlines have not fared quite so well amid the pandemic. Miami Air International ceased operations after 29 years of flying, Trans States Airlines stopped flying soon after Covid-19 hit and Ravn Alaska, Alaska's largest regional airline, filed for bankruptcy in April 2020.

WHAT%20IS%20THE%20LICENSING%20PROCESS%20FOR%20VARA%3F
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What is blockchain?

Blockchain is a form of distributed ledger technology, a digital system in which data is recorded across multiple places at the same time. Unlike traditional databases, DLTs have no central administrator or centralised data storage. They are transparent because the data is visible and, because they are automatically replicated and impossible to be tampered with, they are secure.

The main difference between blockchain and other forms of DLT is the way data is stored as ‘blocks’ – new transactions are added to the existing ‘chain’ of past transactions, hence the name ‘blockchain’. It is impossible to delete or modify information on the chain due to the replication of blocks across various locations.

Blockchain is mostly associated with cryptocurrency Bitcoin. Due to the inability to tamper with transactions, advocates say this makes the currency more secure and safer than traditional systems. It is maintained by a network of people referred to as ‘miners’, who receive rewards for solving complex mathematical equations that enable transactions to go through.

However, one of the major problems that has come to light has been the presence of illicit material buried in the Bitcoin blockchain, linking it to the dark web.

Other blockchain platforms can offer things like smart contracts, which are automatically implemented when specific conditions from all interested parties are reached, cutting the time involved and the risk of mistakes. Another use could be storing medical records, as patients can be confident their information cannot be changed. The technology can also be used in supply chains, voting and has the potential to used for storing property records.

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Labour dispute

The insured employee may still file an ILOE claim even if a labour dispute is ongoing post termination, but the insurer may suspend or reject payment, until the courts resolve the dispute, especially if the reason for termination is contested. The outcome of the labour court proceedings can directly affect eligibility.


- Abdullah Ishnaneh, Partner, BSA Law 

Emirates exiles

Will Wilson is not the first player to have attained high-class representative honours after first learning to play rugby on the playing fields of UAE.

Jonny Macdonald
Abu Dhabi-born and raised, the current Jebel Ali Dragons assistant coach was selected to play for Scotland at the Hong Kong Sevens in 2011.

Jordan Onojaife
Having started rugby by chance when the Jumeirah College team were short of players, he later won the World Under 20 Championship with England.

Devante Onojaife
Followed older brother Jordan into England age-group rugby, as well as the pro game at Northampton Saints, but recently switched allegiance to Scotland.

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What vitamins do we know are beneficial for living in the UAE

Vitamin D: Highly relevant in the UAE due to limited sun exposure; supports bone health, immunity and mood.Vitamin B12: Important for nerve health and energy production, especially for vegetarians, vegans and individuals with absorption issues.Iron: Useful only when deficiency or anaemia is confirmed; helps reduce fatigue and support immunity.Omega-3 (EPA/DHA): Supports heart health and reduces inflammation, especially for those who consume little fish.

Specs

Engine: Dual-motor all-wheel-drive electric

Range: Up to 610km

Power: 905hp

Torque: 985Nm

Price: From Dh439,000

Available: Now

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UAE currency: the story behind the money in your pockets

White hydrogen: Naturally occurring hydrogenChromite: Hard, metallic mineral containing iron oxide and chromium oxideUltramafic rocks: Dark-coloured rocks rich in magnesium or iron with very low silica contentOphiolite: A section of the earth’s crust, which is oceanic in nature that has since been uplifted and exposed on landOlivine: A commonly occurring magnesium iron silicate mineral that derives its name for its olive-green yellow-green colour

GAC GS8 Specs

Engine: 2.0-litre 4cyl turbo

Power: 248hp at 5,200rpm

Torque: 400Nm at 1,750-4,000rpm

Transmission: 8-speed auto

Fuel consumption: 9.1L/100km

On sale: Now

Price: From Dh149,900

What is tokenisation?

Tokenisation refers to the issuance of a blockchain token, which represents a virtually tradable real, tangible asset. A tokenised asset is easily transferable, offers good liquidity, returns and is easily traded on the secondary markets. 

Women%E2%80%99s%20T20%20World%20Cup%20Qualifier
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UAE squad

Esha Oza (captain), Al Maseera Jahangir, Emily Thomas, Heena Hotchandani, Indhuja Nandakumar, Katie Thompson, Lavanya Keny, Mehak Thakur, Michelle Botha, Rinitha Rajith, Samaira Dharnidharka, Siya Gokhale, Sashikala Silva, Suraksha Kotte, Theertha Satish (wicketkeeper) Udeni Kuruppuarachchige, Vaishnave Mahesh.

UAE tour of Zimbabwe

All matches in Bulawayo
Friday, Sept 26 – First ODI
Sunday, Sept 28 – Second ODI
Tuesday, Sept 30 – Third ODI
Thursday, Oct 2 – Fourth ODI
Sunday, Oct 5 – First T20I
Monday, Oct 6 – Second T20I

Juliot Vinolia’s checklist for adopting alternate-day fasting

-      Don’t do it more than once in three days

-      Don’t go under 700 calories on fasting days

-      Ensure there is sufficient water intake, as the body can go in dehydration mode

-      Ensure there is enough roughage (fibre) in the food on fasting days as well

-      Do not binge on processed or fatty foods on non-fasting days

-      Complement fasting with plant-based foods, fruits, vegetables, seafood. Cut out processed meats and processed carbohydrates

-      Manage your sleep

-      People with existing gastric or mental health issues should avoid fasting

-      Do not fast for prolonged periods without supervision by a qualified expert

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The rules on fostering in the UAE

A foster couple or family must:

  • be Muslim, Emirati and be residing in the UAE
  • not be younger than 25 years old
  • not have been convicted of offences or crimes involving moral turpitude
  • be free of infectious diseases or psychological and mental disorders
  • have the ability to support its members and the foster child financially
  • undertake to treat and raise the child in a proper manner and take care of his or her health and well-being
  • A single, divorced or widowed Muslim Emirati female, residing in the UAE may apply to foster a child if she is at least 30 years old and able to support the child financially
Our legal columnist

Name: Yousef Al Bahar

Advocate at Al Bahar & Associate Advocates and Legal Consultants, established in 1994

Education: Mr Al Bahar was born in 1979 and graduated in 2008 from the Judicial Institute. He took after his father, who was one of the first Emirati lawyers

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