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Boeing scraps 2019 financial forecast, halts share buybacks in wake of 737 MAX disaster

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World’s biggest aerospace corporation was forced to pull its full financial forecast for the current year due to unresolved issues surrounding Boeing’s once best-selling 737 MAX aircraft.

Boeing also announced plans to pause share buybacks, citing “a challenging time for our customers, stakeholders and the company.”

“Across the company, we are focused on safety, returning the 737 MAX to service, and earning and re-earning the trust and confidence of customers, regulators and the flying public,” Boeing Chairman and CEO Dennis Muilenburg said in a statement.

The manufacturer had previously posted a report on the first-quarter earnings that managed to fall in line with analysts’ expectations, while its revenue was slightly less than projected. Boeing’s earning per share totaled the expected $3.16 from January through March, while the revenue amounted to $22.92 billion against $22.98 billion forecasted by London-based provider of financial markets data Refinitiv.

Boeing stressed that the previous guidance didn’t reflect the impact of two crashes of the company’s flagship planes, leading to the grounding of all 737 MAX 8 jets by global regulators, lawsuits from some air carriers and a decline in market value.

According to the producer, more than 135 test and production flights of updated software for the 737 MAX have been carried out so far.

Boeing’s bestseller crashed on March 10 not far from the Ethiopian capital of Addis Ababa six minutes after takeoff on the way to Nairobi, Kenya. The tragedy, which killed 157 people, marked the second crash involving the same jet model in less than six months. In October, the same type of aircraft, operated by Indonesia’s Lion Air, crashed in the Java Sea shortly after takeoff, claiming the lives of 189 people.

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Soap bars around the world get a new life from Red Lion Hotels

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Based on US market statistics, the combined hospitality segment produces close to 440 billion pounds of solid waste per year. A great amount of this waste is made up of discarded soap and bottled amenities. However, through Clean the World’s Hospitality Recycling Program, these life-saving hygiene products can skip the landfill and, instead, be sent to one of Clean the World’s five Recycling Operations Centers where the products are sanitized, fully recycled, and given a second-life to help those in need. It’s a win-win for the hospitality industry, helping to reduce waste and transform lives around the world.

In celebration of Earth Day, Clean the World, dedicated to WASH (WAter, Sanitation and Hygiene) and global sustainability, is joining forces with RLH Corporation to collect and recycle gently-used bars of soap and bottled amenities at Hotel RL locations nationwide to help fight the spread of preventable diseases while preserving our planet.

“We are excited to collaborate with Clean the World,” said RLH Corporation SVP of Brand Strategy Amanda Marcello. “At Hotel RL, we are focused on the modern-day traveler, with core hotel elements that allow guests to immerse themselves in local culture while maintaining their connection to the world. We are always searching for opportunities to better our planet, the communities we live in and those around the world. With Clean the World, we will now be able to make a significant improvement in reducing the amount of waste our hotels produce while benefiting communities worldwide by recycling our bath amenities.”

Together, this Earth Day, Clean the World and RLH Corporation are bringing awareness to sustainable practices within the travel and hospitality industry. Eight Hotel RL locations adopting the Hospitality Recycling Program this week will begin recycling all soap and bottled amenities from over 1,600 guestrooms. In just one year, the Hotel RL portfolio of hotels is projected to provide over 6,700 pounds of soap and bottled amenities to Clean the World, resulting in the creation of an estimated 23,000 bars of newly-recycled soap to be distributed to those in need locally and globally.

“We are thrilled to join forces with RLH Corporation this Earth Day to share the importance of implementing new, eco-friendly approaches to daily operations that benefit and help to preserve our planet,” said Shawn Seipler, founder and CEO of Clean the World. “By diverting leftover soap and bottled amenities from landfills, RLH Corporation will not only help Clean the World provide health and hygiene programs to children and families around the world, but also set a great example of CSR and sustainability throughout the hospitality industry, encouraging others to help make a difference.”

Through this joint venture, newly-recycled bars of Clean the World soap will make their way to shelters, food banks and disaster relief initiatives in the United States, in addition to supporting hygiene education internationally through Clean the World Foundation’s WASH Education programming. Our global programming, in places like India, Kenya and Tanzania, has contributed to a 60 percent decrease in the rate of hygiene-related deaths in children under 5, helping to keep children healthy and in school.

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South East Asia Hotel Investors’ Summit returns to Westin Grande Sukhumvit, Bangkok

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The South East Asia Hotel Investors’ Summit returns for its third edition in May and will again feature top executives from both hotel owning groups and management companies and a range of cutting-edge topics.

SEAHIS focuses heavily on the issues facing hotel property investors. What topics are top-of-mind at the moment? Simon Allison, Chairman of hotel owners’ alliance HOFTEL which organizes the Summit notes:

The market in South-East Asia is generally booming, but investors in hospitality properties still face numerous challenges. These include:

• The need to pay numerous fees and taxes, to the online travel agents, to the brands and to the governments which between them can take almost half of what a guest pays the hotel

• The challenge of the sharing economy and of new forms of accommodation

• Oversupply as new properties get built

• The one-sided contracts which some hotel brands impose on them

• The dangers of relying too heavily on a single inbound market, like China – as the fall-off in demand in Phuket after the boat disaster showed last year

• Acquisitions of boutique brands by the majors – can these make money for their buyers and for the owners of the properties they manage

The last point is very much a relevant topic at the moment given the vast sums recently paid by Intercontinental for a stake in Six Senses, by Hyatt for Two Roads and by GIC for a stake in CitizenM.

These issues will be addressed at SEAHIS by many of the region’s most senior hotel and travel executives including Suchad Chiaranussati, CEO of SC Capital; Dillip Rajakarier, CEO of Minor International; Thomas Willms, CEO of Deutsche Hospitality; Brian Williams, Deputy Chairman of Swire Hotels; Aron Harilela, CEO of Harilela Hotels; Stephan Vanden Auweele, Chief Hospitality Officer of Asset World Corporation (TCC); Piyaporn Phanachet, CEO of U City; Andrew Langdon, SVP Development Asia, Accor; Mike Orgill, Director, Public Policy, Airbnb and Jake Stein, Senior Director, Owner Relations at Expedia.

“Last year almost 50% of all attendees were from groups which own or develop hospitality real estate, said Simon Allison, CEO of HOFTEL. “They want exciting and sometimes controversial content and we aim to deliver that. Our speakers are senior and so are most of the audience, so it’s a highly informed debate.”

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Global Champion Awards announced by WTTC

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The countries and leaders who have made a difference to increase the competitiveness of the Travel & Tourism sector within their countries have been recognized at the World Travel & Tourism Council (WTTC) Global Champions Awards at the WTTC Global Summit in Seville this week.

The inaugural WTTC Global Champions Awards recognizes those countries from 185 around the world which have used policy initiatives to create the conditions to promote the long-term sustainable growth of our sector.

The categories of awards and the recipients are as follows:

Security & Seamless Travel Experience which recognizes leadership in transforming border security and the traveler experience through the use of technology and facial recognition systems – awarded to Kevin McAleenan, Commissioner, Customs and Border Protection, USA.

Resilience which recognizes leadership by a country which has demonstrated success in recovery from adverse events – H.E. Dr. Rania Al-Mashat, Minister of Tourism, Arab Republic of Egypt.

Social Impact which recognizes leadership in enabling gender equality and diversity; engaging local communities and making the sector more attractive for future generations – awarded to Hon. Najib Balala, Cabinet Secretary for Tourism & Wildlife in the Government of Kenya.

Destination Stewardship which recognizes leadership for work undertaken to overcome seasonality as a way of improving the year-round tourism experience – H.E. Elena Kountoura, Minister of Tourism, Government of Greece.

Crisis Preparedness, Management & Recovery which recognizes leadership in disaster preparedness and having effective response systems at both national and local levels – H.E. Keiichi Ishii, Minister of Land, Infrastructure, Transport and Tourism, Government of Japan.

Innovation and Technology recognizes leadership in innovation and the implementation of technology that meets the needs of tomorrow’s travelers and fosters sustainable tourism growth – awarded to H.E. Maria Reyes Maroto Illera, Minister of Tourism, Government of Spain.

The awards ceremony took place at the Gala Dinner of the WTTC Global Summit which was held in Seville, Spain, and hosted by Ayuntamiento of Seville, Turismo Andaluz and Turespana.

Gloria Guevara, President & CEO, commented: “The WTTC Global Champions Awards are designed to recognize those countries and individuals whose policies or initiatives have made a significant contribution to the creation of jobs in our sector in a range of different ways.

“Promoting the long-term sustainable growth of our sector is critical and the winners will help those countries and individuals whose actions have had the greatest impact.”

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 Iranians open homes to travelers stranded by floods

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As dramatic videos of deadly floods leaving behind destroyed vehicles and other damage circulate on Iranian social media networks, ordinary Iranians are doing what they can to help the affected citizens, including travelers whose Nowruz holidays have been unexpectedly disrupted. While criticizing the government for its inadequate response to the deadly flooding that has ravaged the country, ordinary Iranians are engaging in spontaneous relief efforts for the stranded and the displaced.

A 10-minute flash flood in the city of Shiraz, perhaps the most popular tourist destination in the country’s south, killed at least 18 and injured scores more on March 25. Many of the victims are said to have been visitors. Now, locals in the birthplace of classical Iranian literature are inviting panicked holidaymakers to their homes, offering unconditional stay and food. “All services will be offered for free until the harsh weather dies down,” one placard held by a volunteer in Shiraz read. Some even offer free body repairs for cars damaged in the downpours. Several local hotels and restaurants have joined the spontaneous campaign, dubbed “My Guest.”

Similar public initiatives are underway to deliver badly needed assistance to those hardest hit in the northern provinces of Golestan and Mazandaran. The aid is flowing in the form of cash donations as well as basic supplies collected from communities across Iran, including those still recovering from a devastating 2017 earthquake in the country’s west.

The government of President Hassan Rouhani has been under immense pressure for its perceived failure to handle the disaster. The president himself is under fire for staying away from the flood-hit areas. Seven days following the heavy rains, he has now traveled to the northern areas to oversee the relief operations. The government has already promised 7.1 trillion rials ($169 million) in compensation to affected households.

The powerful Islamic Revolutionary Guard Corps has also established a strong presence. The force’s commander, Maj. Gen. Mohammad Ali Jafari, was seen visiting inundated neighborhoods in the country’s north half-submerged in floodwaters. While both the government and the IRGC have stepped in, some Iranians are interpreting the promises of more relief as publicity stunts meant to burnish their status and rooted in political rivalry between moderates and hard-liners.

An initial investigation into the deadly disaster in Shiraz has now pointed to negligence as the main cause of the deaths. According to a report by a crisis management team, one of the old watercourses in the city had been blocked by local authorities, probably for urban planning purposes, leading to the destructive overflow.

Meanwhile, the governor of Fars province noted that warnings had been issued two weeks before the disaster. But some social media users argue that all roads leading to the site of the flash floods should have been blocked. “How where you unable to block people but managed to fully cordon off the tomb of Cyprus the Great on his commemoration day?” one person tweeted. Every year, Iranian nationalists organize the Cyrus Day ceremony on Oct. 29 to remember the founder of the Achaemenid Empire. But in recent years the plans have been hindered by a security clampdown by the Islamic Republic, which deems such activities pro-monarchist.

Coverage of the massive flooding included more from Iran’s ancient history. The iconic Persepolis monument, 60 kilometers (37 miles) northeast of Shiraz, reportedly remained unscathed amid the flooding. According to local officials, underground canals built by ancient Persians to avert flooding protected the UNESCO World Heritage Site. The news prompted praise from many Iranians, who drew comparisons between the current government’s handling of such crises with that of their forefathers.

Yet despite the trauma, the floods have not produced only sad news. Pictures went viral of a smiling young couple who had planned their wedding in Golestan province for March 28. They decided to hold the ceremony earlier. Instead of a grand hall, the bride and the groom wed before the other displaced in a temporary accommodation center.

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Viking Sky cruise ship safely towed to Norwegian port, 643 passengers rescued, 20 hospitalized

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A luxury Viking Sun cruise ship that was left floating due to engine failure and nearly crashed into the rocks in rough waters has safely arrived in the port of Molde on the west coast on Norway, with over 900 people on board.

The Viking Sky was towed to safety by two tugs, with one sailing in front of the vessel and another behind it.

The luxury cruise ship, which set sail with almost 1,400 passengers and crew aboard, sent out an SOS signal on Saturday. It was drifting in rough waters near a rocky coast after all its engines stopped working.

At some point, it approached the land at the distance of just 100 meters, with passengers posting dramatic photos. But the crew was eventually able to start one of the engines and avoid the crash.

“If they had run aground we would have faced a major disaster,” Hans Vik, the heads of the Joint Rescue Coordination Centre for southern Norway, told TV2.

Rescue services airlifted 479 passengers on to a helicopter before the weather improved and Viking Sky could be towed.

Twenty people required hospitalization as result of the order, the vessels operations said. The passengers were mainly elderly citizens from the US and Britain.

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26 killed, dozens injured in China tour bus disaster

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According to Hunan provincial officials and local police, 26 people were killed and 28 injured after a tour bus caught fire on a highway in central China’s province.

The provincial spokesman’s office said Saturday that five of those injured were in critical condition.

The fire happened at around 7:15pm Friday along a stretch of Hanshou County in the city of Changde. Aboard were 56 people, including 53 passengers, a tour guide and two drivers, both of whom have been detained as authorities investigate the cause of the accident.

Photos from the scene show the 59-seater bus’s interior completely charred, possibly indicating the fire started with materials on board. Industrial and transport safety remain major problems in China.

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At least 55 people killed in Tigris river tourist ferry disaster near Iraq’s Mosul

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At least 55 people died when an overloaded ferry sank in the Tigris river near Mosul in northern Iraq on Thursday, according to local officials.

The boat was reportedly carrying families and children going to a tourist complex in Mosul during Kurdish New Year celebrations.

Police and medical sources saying that at least 40 people died in the accident.

Most of the casualties on the ferry were women and children, according to the head of Mosul’s Civil Defense Authority, Husam Khalil.

So far, 12 people have been rescued, Khalil added.

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Cyclone Idai: What the African Tourism Board is doing?

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“The situation is terrible,” Jamie LeSueur of the International Federation of Red Cross and Red Crescent Societies said Tuesday in a press statement. “The scale of devastation is enormous. It seems that 90 percent of the area [in Beira] is completely destroyed.

This is the result of Cyclone Idai, a devastating storm that caused more than 1000 death, severe flooding in Madagascar, Malawi, Zimbabwe, South Africa, and Mozambique early this week.

Catastrophic damage occurred in and around Beira in southern Mozambique. The African Tourism Board today endorsed the Global Giving project of dedicated local organization in the disaster region to assist the local population and visitors with relief.

African Tourism Board teamed up with GlobalGiving, a U.S. based local nonprofit partners supporting their local established relief agencies in Madagascar, Malawi, Zimbabwe, South Africa and Mozambique. GlobalGiving with the support of the newsy established African Tourism Board is responding to survivors’ immediate needs.

The projects below, as part of GlobalGiving’s Cyclone Idai Relief Fund, will provide emergency funding to locally driven relief efforts, providing food, medicine, and other essential supplies to help people impacted by the storm.

Projects responding to Cyclone Idai

Cyclone Idai in Mozambique, Zimbabwe, and Malawi
Cyclone Idai in Mozambique, Zimbabwe, and Malawi
by ActionAid USA
Cyclone Idai just hit Mozambique, Zimbabwe, and Malawi, causing widespread destruction, flooding, and displacement. Local ActionAid offices and community partners are coordinating immediate relief, including supplies like food, fuel, hygiene kits, and school books.
CYCLONE IDAI- MOZAMBIQUE
CYCLONE IDAI- MOZAMBIQUE
by Afrilanthropy
The Cyclone Idai began as a tropical depression in the Mozambique channel on 4 March, dropping heavy rain over Mozambique and Malawi before heading back eastward in the direction of Beira, by which time it had become a cyclone. This in known as the worst weather-related disaster to hit the southern hemisphere, and the UN says more than 2 million people have been affected whereas 1 000 people may be at risk of death. The Storm-surge floods of up to six metres have caused widespread devastation.
Cyclone Idai Emergency Response
Cyclone Idai Emergency Response
by IsraAID
IsraAID will deploy an Emergency Response Team to Mozambique following the devastation of Cyclone Idai. IsraAID’s team will distribute relief supplies, deliver Psychological First Aid & psychosocial support, restore access to safe water & assess further needs.
Cyclone Idai damage in Zimbabwe
Cyclone Idai damage in Zimbabwe
by Kidzcan Children’s Cancer Relief
The Damage from Cyclone IDAI in Zimbabwe Summary The violent Cyclone Idai has been and is now dissipating but it has left a trail of destruction and devastation. People all over the Province of Manicaland Zimbabwe have suffered heavy losses, in terms of property, livestock, homesteads including human life and are now struggling to recover and rebuild. This project aims to assist the reconstruction and rehabilitation of a village that has been devastated by the cyclone.
Cyclone and Flood Recovery in Malawi
Cyclone and Flood Recovery in Malawi
by Partners In Health (PIH)
Catastrophic rains and floods caused by Cyclone Idai killed at least 50 and displaced hundreds of thousands of people in Malawi. Partners In Health is working to rebuild homes, deploy mobile clinics, and ensure families are safe, housed, and fed in the rural Neno district–where we have worked in partnership with the government providing high-quality health care since 2007.

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Trump appoints former Delta Air Lines executive new FAA chief

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Former chief of flight operations for Delta Air Lines was appointed by President Trump to run the Federal Aviation Administration, currently under scrutiny for allowing the troubled Boeing 737 MAX 8 to carry passengers.

Steve Dickson, who spent 27 years with Delta before retiring in October as senior vice president of flight ops, is joining the agency in the midst of its most turbulent period in recent history, with Transportation Secretary Elaine Chao having requested an audit of its certification of the aircraft, two of which have been involved in horrific crashes over the past five months.

While Dickson’s name had reportedly been under consideration since November, Trump allowed the FAA to go without an official head for over a year following the end of Obama-era agency chief Michael Huerta’s term. Daniel Elwell, who led the FAA under George W. Bush, has been running the agency in an interim capacity without being confirmed by the Senate.

The man from Delta will be the first FAA head in three decades to have come directly to the job from a senior airline position – something of a pattern for Trump, who has recruited a number of cabinet members from the ranks of corporate America to staff the agencies tasked with regulating their former employers. Acting Defense Secretary Patrick Shanahan, who previously worked for Boeing, is just one such appointment.

The FAA is under fire for allowing Boeing to conduct crucial parts of its own safety testing and certification process. A group of current and former engineers from both the regulator and the aircraft manufacturer claims the FAA merely took Boeing’s word that their new plane was safe – an oversight that other countries then allegedly magnified by conducting only minimal testing of their own, assuming the US watchdog wouldn’t have certified an unsafe aircraft. Boeing is also accused of “cutting corners” to quickly certify the plane in order to compete with the new Airbus A320 Neo – between them, Airbus and Boeing comprise the lion’s share of all passenger airliners – and of failing to properly train pilots to work with the onboard systems.

Ethiopian Airlines Flight 302 crashed earlier this month shortly after taking off from Addis Ababa en route to Nairobi, killing all 157 people on board after diving unexpectedly into a field. It was the second Boeing 737 Max 8 to meet such a fate in under six months, and investigators have pointed to “clear similarities” between this crash and the Lion Air Flight 610 disaster in October, which killed 189 people.

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