International airports expect a smoother summer than 2022 but brace for headaches


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Global airports expect smoother travel this summer as staffing improves, but surging passenger demand during peak periods in Europe and North America could still bring long lines, baggage piles and delayed flights, an industry group said.

Airports, airlines and government agencies have been staffing up to avoid crippling labour shortages that curbed capacity and led to travel headaches last summer.

Global passenger demand is expected to recover to pre-pandemic levels on most routes this year, adding pressure to a stretched industry.

"The summer months are indeed expected to be challenging at times for Europe, North America and some parts of South-East Asia as passenger loads are expected to increase and reach levels in some places close to or even above 2019 levels," said Thomas Romig, vice president, safety, security and operations at airport trade group ACI World.

Most airport executives gathered at an Airports Council International meeting this week on France's Reunion Island forecast that any summer disruption was likely to be during peak traffic periods rather than run for the entire season, Romig said.

Amsterdam's Schiphol airport and others might not have enough staff until the end of June, Air France-KLM chief financial officer Steven Zaat told reporters.

"Of course, we are still impacted by the fact that there are labour shortages everywhere, also at the airport ... but we see that gradually operations are actually back on track," he said.

Last summer, European airports such as Schiphol in Amsterdam were forced to cancel scores of flights amidst rising demand and labour shortages. EPA
Last summer, European airports such as Schiphol in Amsterdam were forced to cancel scores of flights amidst rising demand and labour shortages. EPA

Strikes could also affect airport operations in the months to come.

A 24-hour strike at seven German airports on Friday led to thousands of flight cancellations, expected to affect nearly 300,000 passengers on Friday, as unionised workers pressing for higher wages threatened a summer of "chaos" if their demands were not met.

French pension strikes have been ongoing in recent weeks, while UK border force strikes are expected to disrupt airports in the weeks to come.

Low-cost airlines easyJet, Ryanair and Wizz Air posted robust financial results at the start of the year on the back of very strong forward bookings. Analysts have said customers are protecting their holidays despite rising inflation and recession fears.

Airports are already taking steps to prepare for high-season travel. Earlier this week, Schiphol said it was considering reducing the number of passengers it could accept during the May holiday period by around 5 per cent.

In Canada, Transport Minister Omar Alghabra said on Friday he is taking steps to avoid a repeat of last summer's gridlock at the country’s largest airports, such as by introducing proposals this spring to strengthen the country's air passenger bill of rights.

“The experience that Canadians saw last summer was really frustrating,” Alghabra told reporters in Montreal. “There are some vulnerabilities in the system that need to be addressed.”

Officials at Canada's largest airport, Toronto Pearson International Airport, were not immediately available for comment.

Montreal-Trudeau International Airport is adding services designed to curb lines ahead of spring break, such as bolstering an online booking platform that lets passengers schedule a specific time to pass through security checkpoints, said airport authority spokesman Eric Forest.

In the US, Delta Air Lines and Southwest Airlines expect to restore their traffic to 2019 levels this year. Southwest, which faced criticism over an operational meltdown in December, told a Senate hearing earlier this month that the carrier would be able to operate its published flight schedules.

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MATCH INFO

World Cup 2022 qualifier

UAE v Indonesia, Thursday, 8pm

Venue: Al Maktoum Stadium, Dubai

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RESULT

Deportivo La Coruna 2 Barcelona 4
Deportivo:
Perez (39'), Colak (63')
Barcelona: Coutinho (6'), Messi (37', 81', 84')

Company name: Farmin

Date started: March 2019

Founder: Dr Ali Al Hammadi 

Based: Abu Dhabi

Sector: AgriTech

Initial investment: None to date

Partners/Incubators: UAE Space Agency/Krypto Labs 

UAE currency: the story behind the money in your pockets
JAPANESE GRAND PRIX INFO

Schedule (All times UAE)
First practice: Friday, 5-6.30am
Second practice: Friday, 9-10.30am
Third practice: Saturday, 7-8am
Qualifying: Saturday, 10-11am
Race: Sunday, 9am-midday 

Race venue: Suzuka International Racing Course
Circuit Length: 5.807km
Number of Laps: 53
Watch live: beIN Sports HD

Timeline

2012-2015

The company offers payments/bribes to win key contracts in the Middle East

May 2017

The UK SFO officially opens investigation into Petrofac’s use of agents, corruption, and potential bribery to secure contracts

September 2021

Petrofac pleads guilty to seven counts of failing to prevent bribery under the UK Bribery Act

October 2021

Court fines Petrofac £77 million for bribery. Former executive receives a two-year suspended sentence 

December 2024

Petrofac enters into comprehensive restructuring to strengthen the financial position of the group

May 2025

The High Court of England and Wales approves the company’s restructuring plan

July 2025

The Court of Appeal issues a judgment challenging parts of the restructuring plan

August 2025

Petrofac issues a business update to execute the restructuring and confirms it will appeal the Court of Appeal decision

October 2025

Petrofac loses a major TenneT offshore wind contract worth €13 billion. Holding company files for administration in the UK. Petrofac delisted from the London Stock Exchange

November 2025

180 Petrofac employees laid off in the UAE

THE SPECS

Engine: AMG-enhanced 3.0L inline-6 turbo with EQ Boost and electric auxiliary compressor

Transmission: nine-speed automatic

Power: 429hp

Torque: 520Nm​​​​​​​

Price: Dh360,200 (starting)

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Will the pound fall to parity with the dollar?

The idea of pound parity now seems less far-fetched as the risk grows that Britain may split away from the European Union without a deal.

Rupert Harrison, a fund manager at BlackRock, sees the risk of it falling to trade level with the dollar on a no-deal Brexit. The view echoes Morgan Stanley’s recent forecast that the currency can plunge toward $1 (Dh3.67) on such an outcome. That isn’t the majority view yet – a Bloomberg survey this month estimated the pound will slide to $1.10 should the UK exit the bloc without an agreement.

New Prime Minister Boris Johnson has repeatedly said that Britain will leave the EU on the October 31 deadline with or without an agreement, fuelling concern the nation is headed for a disorderly departure and fanning pessimism toward the pound. Sterling has fallen more than 7 per cent in the past three months, the worst performance among major developed-market currencies.

“The pound is at a much lower level now but I still think a no-deal exit would lead to significant volatility and we could be testing parity on a really bad outcome,” said Mr Harrison, who manages more than $10 billion in assets at BlackRock. “We will see this game of chicken continue through August and that’s likely negative for sterling,” he said about the deadlocked Brexit talks.

The pound fell 0.8 per cent to $1.2033 on Friday, its weakest closing level since the 1980s, after a report on the second quarter showed the UK economy shrank for the first time in six years. The data means it is likely the Bank of England will cut interest rates, according to Mizuho Bank.

The BOE said in November that the currency could fall even below $1 in an analysis on possible worst-case Brexit scenarios. Options-based calculations showed around a 6.4 per cent chance of pound-dollar parity in the next one year, markedly higher than 0.2 per cent in early March when prospects of a no-deal outcome were seemingly off the table.

Bloomberg

RESULTS

5pm Maiden (PA) Dh80,000 (Turf) 1,600m

Winner Thabet Al Reef, Bernardo Pinheiro (jockey), Abdallah Al Hammadi (trainer)

5.30pm Handicap (PA) Dh80,000 (T) 1,600m

Winner Blue Diamond, Pat Cosgrave, Abdallah Al Hammadi

6pm Arabian Triple Crown Round-1 Listed (PA) Dh230,000 (T) 1,600m

Winner Hameem, Adrie de Vries, Abdallah Al Hammadi

6.30pm Wathba Stallions Cup Handicap (PA) Dh70,000 (T) 1,400m

Winner Shoja’A Muscat, Szczepan Mazur, Ibrahim Al Hadhrami

7pm Maiden (PA) Dh80,000 (T) 1,200m

Winner Heros De Lagarde, Szczepan Mazur, Ibrahim Al Hadhrami

7.30pm Handicap (TB) Dh100,000 (T) 2,400m

Winner Good Tidings, Antonio Fresu, Musabah Al Muhairi

Updated: February 19, 2023, 11:22 AM