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Wikipedia

Vietnam Airlines

October 17, 2023

Not to be confused with Air Vietnam, a defunct South Vietnamese carrier.

Vietnam Airlines (Vietnamese: Hãng hàng không Quốc gia Việt Nam, lit. 'Vietnam National Airlines') is the flag carrier of Vietnam.[8] The airline was founded in 1956 and later established as a state-owned enterprise in April 1989. Vietnam Airlines is headquartered in Long Biên district, Hanoi, with hubs at Noi Bai International Airport in Hanoi and Tan Son Nhat International Airport in Ho Chi Minh City. The airline flies to 64 destinations in 17 countries, excluding codeshared services.

Vietnam Airlines
Hãng hàng không Quốc gia Việt Nam
IATA ICAO Callsign
VN[1][2] HVN[1][2] VIET NAM AIRLINES[3]
Founded15 January 1956; 67 years ago (1956-01-15)
(as Vietnam Civil Aviation)>[4]
Hubs
Secondary hubs
Focus cities
Frequent-flyer programLotusmiles[5]
Alliance
Subsidiaries
Fleet size97
Destinations64
Headquarters200 Nguyễn Sơn, Bồ Đề ward, Long Biên district, Hanoi, Vietnam
Key people
Employees6,409 (2019)
Websitewww.vietnamairlines.com

From its inception until the early 1990s, Vietnam Airlines was a minor carrier within the aviation industry as it was hampered by a variety of factors including the socio-economic and political situation of the country. With the government's normalization of relations with the United States, the airline was able to expand, improve its products and services, and modernize its ageing fleet. In 1996, the Vietnamese government brought together 20 service companies to form Vietnam Airlines Corporation, with the airline itself as the centrepiece. In 2010, the corporation was restructured into a limited liability company and renamed Vietnam Airlines Company Limited. A seven-seat management board, members of which are appointed by the Vietnamese Prime Minister, oversees the company.[9]

As passenger transport constitutes its core activity, Vietnam Airlines plays a crucial role in the economic development of the country. It owns 100% of Vietnam Air Service Company – a regional airline in southern Vietnam and almost 99% of the low-cost carrier Pacific Airlines.[10] In addition, the corporation earns revenue from airline catering and the maintenance and overhauling of aircraft through a number of its subsidiaries, including Vietnam Airlines Engineering Company and Vietnam Airlines Caterers. The company has also diversified its investments in the aircraft-leasing and airport ground-servicing industries, and is looking to manufacture aircraft components. It controls and operates a cargo division, Vietnam Airlines Cargo.

Vietnam Airlines became a member of SkyTeam in June 2010, making it the first Southeast Asian carrier to have joined that alliance. As of September 2021, the State's stake in Vietnam Airlines is 86.34%, All Nippon Airways holds 5.62%, being a strategic shareholder of the national flag carrier.[11][12]

History Edit

Beginnings Edit

 
Vietnam Civil Aviation Ilyushin Il-14

Vietnam Airlines has its origins in January 1956,[13][14] when it was established by the North Vietnamese government under the name Vietnam Civil Aviation (Vietnamese: Hàng không Việt Nam, lit. 'Vietnam Aviation') following the nationalization of Gia Lam Airport. It was instituted after the government signed the Decree No. 666/TTg.[15] The airline was created as part of the air force for civilian purposes with support from both the Soviet Union and China; initially, its fleet consisted of two Lisunov Li-2s that were later replaced by two Ilyushin Il-14 and three Aero Ae-45s.[16] This was due to an embargo that prohibited the airline from leasing and/or buying American technology or components.[17]

The airline's development and expansion was seriously hampered by the Vietnam War (1954–1975).[18] Following the war, its first international destination was Beijing, followed by Vientiane in 1976.[19] During that year, the airline was known as General Department of Civil Aviation in Vietnam, and began full operations; it carried around 21,000 passengers, one-third of whom were on international flights, and 3,000 tonnes (6,600,000 lb) of cargo.[13] In 1978, another important destination of Vietnam Airlines was added, with flights offered to Bangkok.[19] The late 1980s and early 1990s saw the expansion of the network to Hong Kong, Kuala Lumpur, Manila and Singapore.[19]

 
A Vietnam Airlines Tupolev Tu-134 at the old Guangzhou Baiyun International Airport in 1996

In 1990, the company initiated discussions regarding the incorporation of Western-built aircraft into the fleet.[20] Later that year, however, the carrier had to cancel the acquisition of two Airbus A310s due to their use of US-manufactured engines.[21] By July 1991, the airline struck a wet-lease agreement with Dutch lessor TransAvia. The aircraft involved was a Boeing 737-300, that arrived in Vietnam Airlines' livery. However, the aircraft was returned after the U.S. State Department pressured the Dutch lessor to remove the aircraft from Vietnam. Subsequently, Vietnam Airlines organized a similar but more complicated deal with TEA Basle, who spent the rest of 1991 negotiating a deal with US authorities. Eventually, a solution stating that "[the Boeing 737] must be positioned outside Vietnam, with no logo or lettering of Vietnam Airlines. On these conditions, it could operate on behalf of Vietnam Airlines" was reached.[20]: 26  In December 1991, Cathay Pacific and Vietnam Airlines agreed on a 50–50 joint venture to operate between Hong Kong and Vietnam, as the airline's Tupolev Tu-134 fleet did not meet Kai Tak Airport's noise restrictions.[22]

In October 1992, the Boeing 737 was supplemented with an Airbus A310.[20]: 26  However, a dispute with Bulgarian Jes Air over who should pay for the repairs after the aircraft sustained an engine failure led to its replacement with another A310 from GATX, also operated by Jes Air.[20]: 26–27  A similar dispute with United Technologies encouraged the airline to switch from Airbus to Boeing. Hence, a Boeing 767-200ER, leased from Ansett Worldwide Aviation Services (AWAS), arrived in January 1993, and a Royal Brunei Airlines Boeing 767-300ER, arrived the following year.[20] In October 1993, the first Airbus A320-200 was incorporated over a two-year wet-lease contract with Air France.[23] Vietnam Airlines by now had started discussions with Air France about a partnership, and the French carrier agreed to lease its Airbuses to Vietnam Airlines, and also to provide customer support and pilot/crew training.[18]: 31 [20][24] By that time the route network had further expanded internationally, seeing the incorporation of destinations such as Paris, Tokyo, Seoul, Taipei, Sydney, and Melbourne.[19] In 1993, the airline carried 1.06 million passengers, 418,000 of whom were on international flights.[25]

New enterprise: 1993–2006 Edit

 
Vietnam Airlines' former logo. In October 2002, the airline introduced the current golden lotus identity to coincide with the delivery of the Boeing 777 in 2003.[26]

The airline became the flag carrier of Vietnam in 1993, after having completed a restructuring programme that was started four years earlier. In that year, the airline split from the Civil Aviation Administration of Vietnam (CAAV) and became a state enterprise.[9][18]: 30 [27] The move was similar to the reorganization of the Chinese CAAC Airlines into several regional airlines in 1987. Despite the fact that the airline gained some independence from the CAAV, it was still known as Civil Aviation Administration of Vietnam within the 1993–1996 period.[20]

In February 1994, US President Bill Clinton lifted the trade embargo to allow Vietnam Airlines the ability to acquire Western-built aircraft.[20]: 26  Consequently, Vietnam Airlines announced in April of the same year that it would be phasing out its inefficient Soviet planes.[23] By April 1995, the fleet consisted of nine Airbus A320s (all of them leased from Air France), 11 Antonov An-24s, four ATR72s, two Boeing 707-300s, three Ilyushin Il-18s, nine Tupolev Tu-134s and three Yakovlev Yak-40s;[nb 1] at this time the route network comprised 14 domestic destinations (including Ban Me Thuot, Da Nang, Dien Bien Phu, Hue, Nha Trang, Phu Quoc and Pleiku) and 16 international destinations (including Bangkok, Hong Kong, Kuala Lumpur and Singapore).[29]: 80  On 27 May 1995 (1995-05-27),[30] the airline, along with a number of other aviation-related businesses, were incorporated to establish Vietnam Airlines Corporation.[31] Two Fokker 70s were purchased in mid-1995 for US$50 million;[32] they were aimed at partly replacing the Tu-134 fleet on domestic routes as well as at serving as VIP transport.[33] In December 1995, discussions with GECAS for the lease of three additional, second-hand Boeing 767-300ERs were under way; these ex-Continental Airlines aircraft would act as a replacement for wet-leased Boeing 767 aircraft (three -300ERs and one -200ER leased from AWAS and Royal Brunei) in the fleet.[34]

 
Vietnam Airlines Airbus A320-200 at Hong Kong International Airport in 1999.

In September 1996, Vietnam Airlines started offering business class services and in 1999, the airline launched its frequent-flyer program, Golden Lotus Plus;[35] During 1996, Vietnam Airlines looked for aircraft which would substitute the A320s wet-leased from Air France when the deal was over. Apart from acquiring further A320s, the airline considered Boeing 737s and McDonnell Douglas MD-90s.[36] In February 1996 (1996-02), GECAS delivered the first of three Boeing 767-300ER to the carrier, on dry-lease for five years.[37] In October the same year, two Boeing 767-300ERs and a Boeing 767-200, on lease from AWAS and Royal Brunei Airlines, respectively, were returned to the lessors, but in early 1997 another Boeing 767-300ER was phased in on a one-year lease from AWAS.[38] With its freedom to operate Western-built aircraft, Vietnam Airlines considered the acquisition of long-haul aircraft to better service Vietnamese living overseas. The Airbus A340, Boeing 747 and the McDonnell Douglas MD-11 were topics of discussion.[36] Meanwhile, two Fokker 70s were acquired in May and July to replace the twelve Tupolev Tu-134s.[18]: 31 [39] On 3 September 1997, the crash of a Tupolev Tu-134B, on approach to Phnom Penh's Pochentong Airport in bad weather, resulted in more than 60 fatalities.[40]

 
A Vietnam Airlines Boeing 767-300ER on short final to Kuala Lumpur International Airport in 2003. The aircraft is wearing one of the former liveries.
 
The carrier's first B777-200ER, reg. VN-A141.

A new livery was introduced in early 1998, initially unveiled on a Boeing 767.[41] In December 2001, Vietnam Airlines signed a historic agreement with Boeing for the acquisition of its first ever US-built aircraft, signalling the start of trade under the Bilateral Trade Agreement between the two countries.[42] The deal involved four Boeing 777-200ERs.[43][44] The transaction was valued at US$680 million; the first aircraft was initially scheduled for delivery in 2003.[42] These four aircraft, along with six others of the same type that are leased from International Lease Finance Corporation (ILFC), are the flagships of the airline, and serve on medium and long-haul routes, respectively.[45][needs update] During that year, the airline carried 3.4 million passengers, 1.9 million of whom were on domestic flights; flights to Beijing resumed and services to Kunming were launched.[19][25] During 2002, Vietnam Airlines considered a lease offer from Airbus for two Airbus A340-300s.[46] On 4 September 2003, a landmark ceremony celebrated the airline's receipt of its first Boeing 777-200ER purchased outright from Boeing.[47] On 28 October, the airline decided to move its operations in Moscow from Sheremetyevo International Airport to Domodedovo International Airport.[48]

In June 2005, Vietnam Airlines ordered four Boeing 787-8s.[49] Twelve additional 787-8s were ordered in late 2007, some of them to be directly acquired from the company, and the rest to be purchased by the carrier's subsidiary Vietnam Aircraft Leasing Company (VALC).[50][51][52] These new aircraft were to allow Vietnam Airlines to expand its network and replace some leased aircraft.[53] Regarding the delays from Boeing, CEO Pham Ngoc Minh remarked in September 2009, "We are not happy about the constant delays. It affects our business plan. We expected to get our planes in 2009, then 2010, and now nobody can confirm to us which is the exact delivery date. I can be patient but it gives us a lot of headaches."[54] In 2010 the airline switched its Boeing 787 order from the –8 to the –9 model, stating that 787-8s did not meet all the requirements Boeing initially promised; it is expected the airline will receive its first aircraft of the type in 2015.[55]

On 20 June 2005, the airline launched direct services to Frankfurt after having discontinued services to Berlin. It came after the 2004–2005 period when travel between the two countries soared 70%.[56][57] The following year, Vietnam Airlines was admitted into IATA.[58][59] As part of the move, Vietnam Airlines had to meet the association's IOSA safety standards.[60]

Expansion: 2007–current Edit

 
A Vietnam Airlines Airbus A321-231 featuring SkyTeam livery. The type have been the carrier's main workhorse in the last decade.

According to a number of newspaper reports in 2007, the Vietnamese government planned to partly privatize Vietnam Airlines.[61] In the plan, the government considered selling 20–30% of the airline's stake to outsiders, with the government holding the balance. This was a small part of a bigger proposal by the government to privatize its state-owned companies, due to be completed by 2010.[62] Vietnam authorized the plan the following year; however, the plan was not carried out as the airline missed its deadline scheduled by the government, which was arranged for 2010, due to the Global Financial Crisis.[63][64][65][66]

On 1 October 2007, the airline and VALC signed a memorandum of understanding for the purchase of ten Airbus A350 XWBs, and 20 additional Airbus A321s.[67][68] The Airbus A350s will supplement the Boeing 787s already ordered by the airline.[68] This single order will result in Vietnam Airlines becoming one of the largest Airbus operators in Asia.[69] The two companies also ordered five extra ATR 72-500s in December 2007.[70]

Vietnam was chosen as the host of Miss World's 60th contest in 2008. As the country's national airline, Vietnam Airlines was selected as the sponsoring airline for the beauty pageant.[71] Therefore, it was tasked the job of managing all the transport matters for the contest, to be carried out during September and October, just before the beginning of the competition. However, it was later decided to carry out the event in Sanya, China, following speculations of Vietnam withdrawing.[72] In August 2008 (2008-08), Vietnam Airlines added Nagoya, the airline's fourth point served in Japan besides Fukuoka, Osaka and Tokyo, to the route network.[73]

In 2009, Vietnam Airlines and the Government of Cambodia established a joint-venture, having 49% and 51% stockholding, respectively,[74] with the goal of boosting tourism in Cambodia.[75][76] The joint-venture was a new Cambodian national airline named Cambodia Angkor Air, which started flying in July the same year,[77] using ATR-72 aircraft;[74] an Airbus A321 joined the fleet in September.[76] Also in 2009, the carrier signed a deal for another 16 Airbus A321s plus two Airbus A350s, during the Paris Air Show.[78][79] In addition, Vietnam Airlines launched a new bilingual website in October to simplify bookings[80] and adopted a new passenger service system designed by IT provider Sabre Airline Solutions.[81]

 
A Vietnam Airlines Boeing 787-10 Dreamliner at Sydney Airport.

On 26 August 2010, the airline teamed up with Boeing during the unveiling of its interior modernization programme to increase passenger comfort.[82] From late September to early October, Vietnam Airlines discounted up to 85% of its 90,000 fares to celebrate Thang Long-Hanoi's 1000th anniversary.[83] In November 2010, the airline awarded Honeywell a US$100 million contract to retrofit the Airbus A321s' aircraft flight systems, which is calculated to save Vietnam Airlines US$10,000 per aircraft per year.[84][85]

In January 2011, plans were announced by the airline to re-initiate an initial public offering (IPO) by the end of 2012;[86] an earlier attempt was stalled by the 2007–2010 financial crisis.[citation needed] Scheduled for mid-2014 after several delays,[87] the IPO and subsequent share-offerings will supply the funds to expand Vietnam Airlines' fleet and network.[88][89] With the company valued at US$1.5 billion, the government plans to initially keep 75% of the shares.[90] The IPO plan was submitted to the Vietnamese Ministry of Transport in June 2014.[91] Scheduled to commence on 14 November 2014, the IPO has already received two submissions from foreign companies, yet their names have not been disclosed.[92] The corporation will be restructured by 2015 to bring it in line with other state-owned enterprises and to shift its focus away from non-core businesses. Following restructuring, the airline group will consist of Vietnam Airlines itself, as well as three carriers; in total, the corporation will comprise 26 independently audited companies.[93]

 
Two Vietnam Airlines Airbus A350-941 in Narita International Airport.

In February 2012, Vietnam Airlines boosted its stake in the low-cost carrier Jetstar Pacific Airlines to 70%, with Qantas holding the balance.[94][95][96] The Vietnamese flag carrier was the major shareholder in Vietnam's second largest airline, but its stake had been transferred to the Ministry of Finance, and subsequently to the Vietnamese State Capital Investment Corporation (SCIC).[97] The carrier's takeover of SCIC's stake in Jetstar Pacific will capitalise the low-cost carrier with US$27 million, an amount that will be directed towards fleet renewal.[94] In late April 2012, the aircraft lessor ALC announced the placement of an order for eight Boeing 787-9s, which will be leased to Vietnam Airlines; deliveries are expected to start in 2017.[98] In late May 2012, the carrier signed an agreement with Vietnam's Eximbank for a loan worth US$100 million, which the carrier will use to finance the acquisition of four Airbus A321s; a further US$100 million was loaned in April 2013 to finance the purchase of eight Boeing 787s.[99][100] In a deal valued at US$1.7 billion, Vietnam Airlines signed a contract with General Electric in October 2013 for 40 engines to power the Boeing 787 aircraft the airline has on order.[101][102] In July 2014, a new route to Tokyo-Haneda from Hanoi was introduced.[103][104] Vietnam Airlines received its first Airbus A350-900 in late June 2015, becoming the second operator of the type worldwide after Qatar Airways.[105][106][107] In August 2015 (2015-08), the airline's first Boeing 787-9 entered the fleet.[108][109] In November 2018, the carrier received its first Airbus A321neo.[110][111][112] Vietnam Airlines' participation in Cambodia Angkor Airlines ended in April 2020 when all the shares were sold to an undisclosed buyer, while acquiring all Qantas's stake in Jetstar Pacific, eventually rebranding the carrier as Pacific Airlines in the same year.[113][114] In November 2021, Vietnam Airlines started its first direct non-stop service to the United States, from Ho Chi Minh City to San Francisco.[115]

Corporate affairs and identity Edit

Vietnam Airlines JSC
 
Native name
Tổng Công Ty Hàng Không Việt Nam - CTCP
(lit. 'Vietnam Airlines Corporation - JSC')
TypeGovernment-owned Joint-stock company
HOSE: HVN[116]
IndustryAirline industry
Founded1996 (with roots tracing back to 1954)
HeadquartersLong Bien District, Hanoi, Vietnam
Area served
Asia, Europe, North America and Oceania
Key people
  • Dang Ngoc Hoa (Chairman)
  • Le Hong Ha (President & CEO)
[117]
ServicesAircraft maintenance and overhaul, catering, cargo and passenger transport
Revenue  40,613 billion VNĐ[118] (2020)
  -4.97 trillion VNĐ [$216 million][119] (1Q2021)
OwnerGovernment of Vietnam
Number of employees
18,641[120] (2021)
Parent[121]Government of Vietnam (86.34%) ANA Holdings (5.62%)
Subsidiaries
Websitewww.vietnamairlines.com

Vietnam Airlines Company Limited was a limited liability company wholly owned by the government of Vietnam, having been restructured from Vietnam Airlines Corporation in June 2010 and then formally became Vietnam Airlines Joint Stock Company in 2015, which is considered as a "exceptional milestone" by the airline.[122][123][124][125][116]: 5  Its role is to provide economic gains to the country, as its tasks, in addition to scheduled passenger and cargo transport, include "responsibility towards labor, contribution to the state budget, and providing chartered flights", according to former CEO Dao Manh Nhung.[9] The airline is headed and overseen by a seven-seat management team, members of which are selected by the Prime Minister of Vietnam.[9] As of September 2022, Dang Ngoc Hoa is the chairman of the company, whereas Le Hong Ha is the President and CEO.[117] As of December 2019, the workforce of the Group numbered 21,255 employees with Vietnam Airlines itself employing 6,409 people.[126] The airline is headquartered in the Long Bien District of Hanoi;[127] previously it was headquartered at Gia Lam Airport in Gia Lam, Hanoi.[128][129]

When Vietnam Airlines wholly owned Pacific Airlines after Jetstar's withdrawal of stakes in this low-cost carrier, the Corporation has started to use the term Vietnam Airlines Group to refer a group consisting of three airlines owned by Vietnam Airlines including Vietnam Airlines (itself), Pacific Airlines and Vietnam Air Services Company.[130]

Training Edit

In 2009, the airline, Airbus and ESMA Aviation Academy created Bay Viet Flight Training Company to train pilots in the country, with the expectation that up to 100 trainees would graduate annually.[131] In October 2010, the company planned to train 60 pilots in Vietnam during 2011–2012. In 2010, Vietnam Airlines needed 636 pilots, 60% of whom were Vietnamese. It planned to raise that figure it to 75% by 2015, meaning there will be at least 100 new recruits each year from 2010 until 2015.[132] Vietnam Airlines also contracts CAE Global Academy Phoenix in Arizona, United States, to train its cadets.[133]

Financial performance Edit

Vietnam Airlines has enjoyed an average of 37% increase in passengers flown per year until 1997, when the Asian Financial Crisis and other contributing causes led to a loss in profits for the airline. Nevertheless, the airline remained profitable throughout the crisis. In 1996, the airline carried 2.5 million passengers, up 18% from 1995.[134] The airline carried more than 4 million passengers in 2002, which is an 18% increase over the previous year.[135] Its cargo traffic also climbed 20% during the same period, resulting in a 2002 profit of US$35.77 million.[135]

Despite the severe acute respiratory syndrome (SARS) outbreak, the airline posted a US$26.2 million profit for 2003. In 2006, it carried 6.8 million passengers (3.7 million international) and earned revenue of nearly US$1.37 billion (first 11 months). Vietnam Airlines carried more than 9 million passengers, of which 4 million were international travellers in 2007, the year which saw the airline earning a gross profit of US$23 million from a revenue of US$1.23 billion. It also transported 115,100 tonnes of cargo.[136][137] In 2009, the airline's revenue was US$1.3 billion, compared to US$1.56 billion it earned the previous year. During this period, Vietnam Airlines carried 9.3 million passengers.[138] According to Anna.aero, Vietnam Airlines' passenger capacity for 2010 rose 30% over the same period of the previous year. This also coincided with the increase in capacity at Vietnamese airports, at 21%.[139] In 2012, the company's total revenue totalled US$2.4 billion, with profits totalling US$3.3 million.[93] The following year, the carrier posted a US$25 million gross profit.[140]

Vietnam Airlines held about 40% of the market share of international passengers flying to and from Vietnam in February 2012.[141] At the time, Vietnam Airlines controlled 77% share of the domestic aviation market, with 14% covered by Jetstar Pacific.[141] As of December 2012, Vietnam Airlines controlled just below 70% of the domestic market share.[93]

In July 2021, it was announced that Vietnam Airlines employees can buy 70 million shares as strategic shareholder ANA Holdings transferred 70 million shares to 15,100 employees of the Vietnam Airlines Group.[142]

Subsidiaries and affiliates Edit

 
A Vietnam Airlines Boeing 777-200ER being catered by Vietnam Air Caterers (since renamed Vietnam Airlines Caterers) at Tan Son Nhat International Airport.

Vietnam Airlines Group has at least 20 subsidiaries and affiliates.[143] By the end of its restructuring in 2015, the company will have offloaded its stakes in more than 10 enterprises.[144]

Company Type Principal activities Incorporated
in 		Group's equity
shareholding
Vietnam Air Service Company[145] Subsidiary Passenger transport Vietnam 100%
Vietnam Airlines Engineering Company[145] Subsidiary Aircraft maintenance Vietnam 100%
Vietnam Airlines Caterers Subsidiary Catering Vietnam 100%[146]
NoiBai Catering Services Subsidiary Catering Vietnam 100%
Pacific Airlines[147] Subsidiary Passenger transport Vietnam 98%[147]
Vietnam Aircraft Leasing Company[148] Joint venture Aircraft leasing Vietnam 20%[149]

Aircraft maintenance and production Edit

Vietnam Airlines is increasingly becoming involved in the maintenance, overhauling, and production of aircraft. Maintenance works are carried out by Vietnam Airlines Engineering Company (VAECO), that was established on 1 January 2009.[150] VAECO was organized mainly upon the amalgamation of the A75 and A76 aircraft maintenance bases.[151]: 93  VAECO carries out maintenance and technical services for Vietnam Airlines as well as for other airlines. The establishment of this company opens a new era to the aircraft maintenance field in Vietnam. As of 2013, VAECO was capable of performing a wide range of maintenance on many different aircraft types; this includes C-checks for the Boeing 777, Airbus A330, Airbus A320 and Airbus A321; and D-checks, the most thorough of all maintenance procedures, which are carried out on the ATR 72 and Fokker 70.[152]

In addition to its self maintenance facilities, Vietnam Airlines also has maintenance contracts with other airlines and maintenance organisations.[151]: 93 

There are currently no production facilities in Vietnam for aircraft and spare parts. However, Boeing has managed to obtain 35% of the distribution market in Vietnam, and GE Aviation, in turn, supplies jet engines for the Boeing aircraft. For the future, conversely, Vietnam Airlines is planning to build a maintenance factory in conjunction with Rolls-Royce and other companies.[153] It has also signed a memorandum of understanding with EADS, a pan-European aerospace and defence corporation, that would let the corporation assemble and manufacture plane components in the future.[154]

Destinations Edit

Main article: List of Vietnam Airlines destinations

Vietnam Airlines has a network within Asia, North America, Europe and Oceania.[155] With about 300 daily flights,[156] the airline flies to 21 destinations domestically, and to 43 internationally.[157] In addition, it has codeshare agreements with a number of airlines for other routes, some of which span to North America.

Tết flights Edit

Vietnam Airlines have traditionally increased flights among Vietnamese cities to cater for the heavy demands brought by the annual Tết celebration. This busy period, which could fall anywhere from late January to mid-February, is Vietnam's most important celebration; hundreds of extra flights are scheduled by domestic airlines during this period to allow Vietnamese to return to their families, often in rural areas, to celebrate the occasion. In 2010, the airline increased its seat capacity from 45% to 120% on certain domestic routes.[158] In 2011, it increased additional flights on ten routes, adding more than 100,000 seats. About 63,000 of these seats were between Hanoi and Ho Chi Minh City. This represented a remarkable 41% increase against normal days.[159] In 2013, the carrier added an extra 174,000 seats during the celebratory period, of which 82,000 seats were on the trunk route between its primary hubs.[160]

 
Vietnam Airlines Airbus A350-941 in SkyTeam livery at Frankfurt Airport (2018).

Alliances Edit

Vietnam Airlines joined the SkyTeam airline alliance on 10 June 2010.[161][162]

Codeshare agreements Edit

Vietnam Airlines codeshares with the following airlines:[163][164][165]

Fleet Edit

Current Edit

 
The Airbus A321-200 is the backbone of the carrier's fleet.
 
The first Boeing 787-10 of Vietnam Airlines, registration VN-A879. The 787-10 has the largest capacity of any aircraft in the current fleet of Vietnam Airlines.

As of September 2023, Vietnam Airlines operates the following aircraft:[175][176][177]

Vietnam Airlines fleet
Aircraft In service Orders Passenger Notes
C W Y Total
Airbus A320neo — 5 TBA Lease from ICBC Financial Leasing and ALC.[178][179]
At least 2 aircraft were not taken up and transferred to Volaris.[180]
Airbus A321-200 48 — 16 — 162 178 One aircraft painted in SkyTeam livery.[181]
Older aircraft to be retired by late 2023.[182]
16 168 184
8 195 203
Airbus A321neo 20 — 8 — 195 203[183]
Airbus A350-900 14 — 29 45 231 305
36 240 305
Boeing 737 MAX 8 — 50 TBA Deliveries planned from 2024.[184][185]
Boeing 787-9 11 — 28 35 211 274[186]
— 283 311
Boeing 787-10 4 4 24 — 343 367[187]
Vietnam Airlines Cargo fleet
Airbus A321-200/P2F — 2 Cargo Deliveries will start from 2023.[188]
Total 97 61

Previously operated Edit

 
A Vietnam Airlines Fokker 70 at Pochentong Airport in 2004.
 
An Airbus A330-200 of Vietnam Airlines in 2013.

Since its conception in 1956, the airline has operated a wide range of aircraft, including Soviet, American, and European aircraft. Having retired all Soviet-made planes, the airline currently uses Boeing and Airbus aircraft. Vietnam Airlines had operated the following aircraft throughout its history:[189]

Services Edit

Entertainment Edit

On flights operated using Airbus A350 and Boeing 787, Vietnam Airlines offers In-flight entertainment via personal televisions. On flights operated using Airbus A321neo, Vietnam Airlines offers In-flight entertainment via personal devices. Entertainment options consist of films, games, TV programmes, audiobooks and music. Vietnam Airlines offers two in-flight magazines, Heritage and Heritage Fashion, in addition to other reading material.[197]

Cabins Edit

Business

Business class is the highest of three cabin classes offered by the airline. As is the case with business class cabins in most airlines, the amenities offered in this class are substantially different from economy class, and more services and products are available. On Airbus A321s, recliner seats are offered, laid out in a 2-2 configuration. The seat offers 45 inch of pitch, 10 degree of recline as well as foot and leg rest. On Boeing 787s and Airbus A350s, lie-flat seats in a 1-2-1 configuration are offered. A 15.4 inch entertainment screen is available on the two aircraft. Seats are arranged in a reverse herringbone configuration on Boeing 787 and staggered seating is available on Airbus A350. Refreshments are offered on flights over 90 minutes, with hot meals available on flights that are longer than two hours.[198]

Premium Economy

Vietnam Airlines' premium economy class has a wider seat width and legroom compared to Economy with 38–42 in (97–107 cm) of seat pitch and 7-8 inches of recline. This class is offered only on flights operated by Boeing 787 Dreamliner or Airbus A350. On every flight featuring Premium Economy, hot meals are served with an extensive menu of Vietnamese delicacies and popular world cuisine. Personal care bags with essential amenities are also provided. Premiere brand cosmetics and aqua water are available in the restroom during longer flights. Refreshments are served on flights over 90 minutes, with hot meals available on flights that are longer than two hours.[199]

Economy
 
A Vietnam Airlines economy class meal

Economy class is available on all flights operated by Vietnam Airlines. Seats in this cabin feature seats 81 cm (32 in) in width.[200] Seat pitch on this cabin class is 31–32 in (79–81 cm), while seat recline ranges from 6 to 13°(5-6 inches). Refreshments are offered on flights over 90 minutes, with hot meals available on flights that are longer than two hours.[201]

Lotusmiles Edit

Lotusmiles (stylized as LotuSmiles) is the airlines' frequent flyer program.[202] The program consisted of 5 tiers (Silver, Titanium, Gold, Platinum and Million Miler) with benefits varied between tiers.[203] Membership in this program is free, and members can earn miles in different ways (flying in carriers within Vietnam Airlines Group, SkyTeam carriers and carriers partnered with Vietnam Airlines based on distance and seating class, daily shopping with co-branded credit cards, using partners' services such as Booking.com or direct payments).[204][205] Accumulated miles can be redeemable to buy tickets and items at Lotusmall or exchange for vouchers for Vingroup services.[206]

Accidents and incidents Edit

Main article: List of Vietnam Airlines accidents and incidents

According to Aviation Safety Network, Vietnam Airlines has experienced six accidents/incidents since 1951, three of them leading to fatalities.[207] All of the latter involved Soviet-built aircraft and occurred on final approach. The deadliest one took place on 19 September 1988, when a Tupolev Tu-134A crashed on approach to Don Mueang International Airport, killing 76 of 90 aboard.[208] The second-deadliest accident occurred on 3 September 1997, when a Tupolev Tu-134B-3 crashed after hitting trees on approach to Phnom Penh International Airport; the death toll rose to 65.[209] The third-deadliest accident occurred on 14 November 1992, when a Yakovlev Yak-40 crashed on approach to Nha Trang Airport, killing 30 of 31 aboard.[210] The airline also experienced a hijacking in 1992, without any recorded fatality.[211]

See also Edit

Footnotes Edit

  1. ^ In early March 1995, Flightglobal informed the carrier also had three Boeing 767s in the fleet, two of them leased from AWAS and the other one from Region Air.[28]

References Edit

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External links Edit

 
Wikimedia Commons has media related to Vietnam Airlines.
  • Official website
  • Vietnam Airlines Cargo Services 28 December 2017 at the Wayback Machine
  • . Centre for Aviation. 1 April 2014. Archived from the original on 1 April 2014.

October 17, 2023
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Not to be confused with Air Vietnam a defunct South Vietnamese carrier Vietnam Airlines Vietnamese Hang hang khong Quốc gia Việt Nam lit Vietnam National Airlines is the flag carrier of Vietnam 8 The airline was founded in 1956 and later established as a state owned enterprise in April 1989 Vietnam Airlines is headquartered in Long Bien district Hanoi with hubs at Noi Bai International Airport in Hanoi and Tan Son Nhat International Airport in Ho Chi Minh City The airline flies to 64 destinations in 17 countries excluding codeshared services Vietnam AirlinesHang hang khong Quốc gia Việt NamIATA ICAO CallsignVN 1 2 HVN 1 2 VIET NAM AIRLINES 3 Founded15 January 1956 67 years ago 1956 01 15 as Vietnam Civil Aviation gt 4 HubsHanoiHo Chi Minh CitySecondary hubsDa NangFocus citiesPhnom PenhSiem ReapFrequent flyer programLotusmiles 5 AllianceSkyTeamSkyTeam CargoSubsidiariesPacific AirlinesVietnam Air Services CompanyVietnam Airlines CaterersVietnam Airlines CargoVietnam Airlines Engineering CompanyFleet size97Destinations64Headquarters200 Nguyễn Sơn Bồ Đề ward Long Bien district Hanoi VietnamKey peopleLe Hồng Ha President amp CEO 6 Đặng Ngọc Hoa Chairman 7 Employees6 409 2019 Websitewww wbr vietnamairlines wbr comFrom its inception until the early 1990s Vietnam Airlines was a minor carrier within the aviation industry as it was hampered by a variety of factors including the socio economic and political situation of the country With the government s normalization of relations with the United States the airline was able to expand improve its products and services and modernize its ageing fleet In 1996 the Vietnamese government brought together 20 service companies to form Vietnam Airlines Corporation with the airline itself as the centrepiece In 2010 the corporation was restructured into a limited liability company and renamed Vietnam Airlines Company Limited A seven seat management board members of which are appointed by the Vietnamese Prime Minister oversees the company 9 As passenger transport constitutes its core activity Vietnam Airlines plays a crucial role in the economic development of the country It owns 100 of Vietnam Air Service Company a regional airline in southern Vietnam and almost 99 of the low cost carrier Pacific Airlines 10 In addition the corporation earns revenue from airline catering and the maintenance and overhauling of aircraft through a number of its subsidiaries including Vietnam Airlines Engineering Company and Vietnam Airlines Caterers The company has also diversified its investments in the aircraft leasing and airport ground servicing industries and is looking to manufacture aircraft components It controls and operates a cargo division Vietnam Airlines Cargo Vietnam Airlines became a member of SkyTeam in June 2010 making it the first Southeast Asian carrier to have joined that alliance As of September 2021 the State s stake in Vietnam Airlines is 86 34 All Nippon Airways holds 5 62 being a strategic shareholder of the national flag carrier 11 12 Contents 1 History 1 1 Beginnings 1 2 New enterprise 1993 2006 1 3 Expansion 2007 current 2 Corporate affairs and identity 2 1 Training 2 2 Financial performance 2 3 Subsidiaries and affiliates 2 4 Aircraft maintenance and production 3 Destinations 3 1 Tết flights 3 2 Alliances 3 3 Codeshare agreements 4 Fleet 4 1 Current 4 2 Previously operated 5 Services 5 1 Entertainment 5 2 Cabins 5 3 Lotusmiles 6 Accidents and incidents 7 See also 8 Footnotes 9 References 10 External linksHistory EditBeginnings Edit nbsp Vietnam Civil Aviation Ilyushin Il 14Vietnam Airlines has its origins in January 1956 13 14 when it was established by the North Vietnamese government under the name Vietnam Civil Aviation Vietnamese Hang khong Việt Nam lit Vietnam Aviation following the nationalization of Gia Lam Airport It was instituted after the government signed the Decree No 666 TTg 15 The airline was created as part of the air force for civilian purposes with support from both the Soviet Union and China initially its fleet consisted of two Lisunov Li 2s that were later replaced by two Ilyushin Il 14 and three Aero Ae 45s 16 This was due to an embargo that prohibited the airline from leasing and or buying American technology or components 17 The airline s development and expansion was seriously hampered by the Vietnam War 1954 1975 18 Following the war its first international destination was Beijing followed by Vientiane in 1976 19 During that year the airline was known as General Department of Civil Aviation in Vietnam and began full operations it carried around 21 000 passengers one third of whom were on international flights and 3 000 tonnes 6 600 000 lb of cargo 13 In 1978 another important destination of Vietnam Airlines was added with flights offered to Bangkok 19 The late 1980s and early 1990s saw the expansion of the network to Hong Kong Kuala Lumpur Manila and Singapore 19 nbsp A Vietnam Airlines Tupolev Tu 134 at the old Guangzhou Baiyun International Airport in 1996In 1990 the company initiated discussions regarding the incorporation of Western built aircraft into the fleet 20 Later that year however the carrier had to cancel the acquisition of two Airbus A310s due to their use of US manufactured engines 21 By July 1991 the airline struck a wet lease agreement with Dutch lessor TransAvia The aircraft involved was a Boeing 737 300 that arrived in Vietnam Airlines livery However the aircraft was returned after the U S State Department pressured the Dutch lessor to remove the aircraft from Vietnam Subsequently Vietnam Airlines organized a similar but more complicated deal with TEA Basle who spent the rest of 1991 negotiating a deal with US authorities Eventually a solution stating that the Boeing 737 must be positioned outside Vietnam with no logo or lettering of Vietnam Airlines On these conditions it could operate on behalf of Vietnam Airlines was reached 20 26 In December 1991 Cathay Pacific and Vietnam Airlines agreed on a 50 50 joint venture to operate between Hong Kong and Vietnam as the airline s Tupolev Tu 134 fleet did not meet Kai Tak Airport s noise restrictions 22 In October 1992 the Boeing 737 was supplemented with an Airbus A310 20 26 However a dispute with Bulgarian Jes Air over who should pay for the repairs after the aircraft sustained an engine failure led to its replacement with another A310 from GATX also operated by Jes Air 20 26 27 A similar dispute with United Technologies encouraged the airline to switch from Airbus to Boeing Hence a Boeing 767 200ER leased from Ansett Worldwide Aviation Services AWAS arrived in January 1993 and a Royal Brunei Airlines Boeing 767 300ER arrived the following year 20 In October 1993 the first Airbus A320 200 was incorporated over a two year wet lease contract with Air France 23 Vietnam Airlines by now had started discussions with Air France about a partnership and the French carrier agreed to lease its Airbuses to Vietnam Airlines and also to provide customer support and pilot crew training 18 31 20 24 By that time the route network had further expanded internationally seeing the incorporation of destinations such as Paris Tokyo Seoul Taipei Sydney and Melbourne 19 In 1993 the airline carried 1 06 million passengers 418 000 of whom were on international flights 25 New enterprise 1993 2006 Edit nbsp Vietnam Airlines former logo In October 2002 the airline introduced the current golden lotus identity to coincide with the delivery of the Boeing 777 in 2003 26 The airline became the flag carrier of Vietnam in 1993 after having completed a restructuring programme that was started four years earlier In that year the airline split from the Civil Aviation Administration of Vietnam CAAV and became a state enterprise 9 18 30 27 The move was similar to the reorganization of the Chinese CAAC Airlines into several regional airlines in 1987 Despite the fact that the airline gained some independence from the CAAV it was still known as Civil Aviation Administration of Vietnam within the 1993 1996 period 20 In February 1994 US President Bill Clinton lifted the trade embargo to allow Vietnam Airlines the ability to acquire Western built aircraft 20 26 Consequently Vietnam Airlines announced in April of the same year that it would be phasing out its inefficient Soviet planes 23 By April 1995 the fleet consisted of nine Airbus A320s all of them leased from Air France 11 Antonov An 24s four ATR72s two Boeing 707 300s three Ilyushin Il 18s nine Tupolev Tu 134s and three Yakovlev Yak 40s nb 1 at this time the route network comprised 14 domestic destinations including Ban Me Thuot Da Nang Dien Bien Phu Hue Nha Trang Phu Quoc and Pleiku and 16 international destinations including Bangkok Hong Kong Kuala Lumpur and Singapore 29 80 On 27 May 1995 1995 05 27 30 the airline along with a number of other aviation related businesses were incorporated to establish Vietnam Airlines Corporation 31 Two Fokker 70s were purchased in mid 1995 for US 50 million 32 they were aimed at partly replacing the Tu 134 fleet on domestic routes as well as at serving as VIP transport 33 In December 1995 discussions with GECAS for the lease of three additional second hand Boeing 767 300ERs were under way these ex Continental Airlines aircraft would act as a replacement for wet leased Boeing 767 aircraft three 300ERs and one 200ER leased from AWAS and Royal Brunei in the fleet 34 nbsp Vietnam Airlines Airbus A320 200 at Hong Kong International Airport in 1999 In September 1996 Vietnam Airlines started offering business class services and in 1999 the airline launched its frequent flyer program Golden Lotus Plus 35 During 1996 Vietnam Airlines looked for aircraft which would substitute the A320s wet leased from Air France when the deal was over Apart from acquiring further A320s the airline considered Boeing 737s and McDonnell Douglas MD 90s 36 In February 1996 1996 02 GECAS delivered the first of three Boeing 767 300ER to the carrier on dry lease for five years 37 In October the same year two Boeing 767 300ERs and a Boeing 767 200 on lease from AWAS and Royal Brunei Airlines respectively were returned to the lessors but in early 1997 another Boeing 767 300ER was phased in on a one year lease from AWAS 38 With its freedom to operate Western built aircraft Vietnam Airlines considered the acquisition of long haul aircraft to better service Vietnamese living overseas The Airbus A340 Boeing 747 and the McDonnell Douglas MD 11 were topics of discussion 36 Meanwhile two Fokker 70s were acquired in May and July to replace the twelve Tupolev Tu 134s 18 31 39 On 3 September 1997 the crash of a Tupolev Tu 134B on approach to Phnom Penh s Pochentong Airport in bad weather resulted in more than 60 fatalities 40 nbsp A Vietnam Airlines Boeing 767 300ER on short final to Kuala Lumpur International Airport in 2003 The aircraft is wearing one of the former liveries nbsp The carrier s first B777 200ER reg VN A141 A new livery was introduced in early 1998 initially unveiled on a Boeing 767 41 In December 2001 Vietnam Airlines signed a historic agreement with Boeing for the acquisition of its first ever US built aircraft signalling the start of trade under the Bilateral Trade Agreement between the two countries 42 The deal involved four Boeing 777 200ERs 43 44 The transaction was valued at US 680 million the first aircraft was initially scheduled for delivery in 2003 42 These four aircraft along with six others of the same type that are leased from International Lease Finance Corporation ILFC are the flagships of the airline and serve on medium and long haul routes respectively 45 needs update During that year the airline carried 3 4 million passengers 1 9 million of whom were on domestic flights flights to Beijing resumed and services to Kunming were launched 19 25 During 2002 Vietnam Airlines considered a lease offer from Airbus for two Airbus A340 300s 46 On 4 September 2003 a landmark ceremony celebrated the airline s receipt of its first Boeing 777 200ER purchased outright from Boeing 47 On 28 October the airline decided to move its operations in Moscow from Sheremetyevo International Airport to Domodedovo International Airport 48 In June 2005 Vietnam Airlines ordered four Boeing 787 8s 49 Twelve additional 787 8s were ordered in late 2007 some of them to be directly acquired from the company and the rest to be purchased by the carrier s subsidiary Vietnam Aircraft Leasing Company VALC 50 51 52 These new aircraft were to allow Vietnam Airlines to expand its network and replace some leased aircraft 53 Regarding the delays from Boeing CEO Pham Ngoc Minh remarked in September 2009 We are not happy about the constant delays It affects our business plan We expected to get our planes in 2009 then 2010 and now nobody can confirm to us which is the exact delivery date I can be patient but it gives us a lot of headaches 54 In 2010 the airline switched its Boeing 787 order from the 8 to the 9 model stating that 787 8s did not meet all the requirements Boeing initially promised it is expected the airline will receive its first aircraft of the type in 2015 55 On 20 June 2005 the airline launched direct services to Frankfurt after having discontinued services to Berlin It came after the 2004 2005 period when travel between the two countries soared 70 56 57 The following year Vietnam Airlines was admitted into IATA 58 59 As part of the move Vietnam Airlines had to meet the association s IOSA safety standards 60 Expansion 2007 current Edit nbsp A Vietnam Airlines Airbus A321 231 featuring SkyTeam livery The type have been the carrier s main workhorse in the last decade According to a number of newspaper reports in 2007 the Vietnamese government planned to partly privatize Vietnam Airlines 61 In the plan the government considered selling 20 30 of the airline s stake to outsiders with the government holding the balance This was a small part of a bigger proposal by the government to privatize its state owned companies due to be completed by 2010 62 Vietnam authorized the plan the following year however the plan was not carried out as the airline missed its deadline scheduled by the government which was arranged for 2010 due to the Global Financial Crisis 63 64 65 66 On 1 October 2007 the airline and VALC signed a memorandum of understanding for the purchase of ten Airbus A350 XWBs and 20 additional Airbus A321s 67 68 The Airbus A350s will supplement the Boeing 787s already ordered by the airline 68 This single order will result in Vietnam Airlines becoming one of the largest Airbus operators in Asia 69 The two companies also ordered five extra ATR 72 500s in December 2007 70 Vietnam was chosen as the host of Miss World s 60th contest in 2008 As the country s national airline Vietnam Airlines was selected as the sponsoring airline for the beauty pageant 71 Therefore it was tasked the job of managing all the transport matters for the contest to be carried out during September and October just before the beginning of the competition However it was later decided to carry out the event in Sanya China following speculations of Vietnam withdrawing 72 In August 2008 2008 08 Vietnam Airlines added Nagoya the airline s fourth point served in Japan besides Fukuoka Osaka and Tokyo to the route network 73 In 2009 Vietnam Airlines and the Government of Cambodia established a joint venture having 49 and 51 stockholding respectively 74 with the goal of boosting tourism in Cambodia 75 76 The joint venture was a new Cambodian national airline named Cambodia Angkor Air which started flying in July the same year 77 using ATR 72 aircraft 74 an Airbus A321 joined the fleet in September 76 Also in 2009 the carrier signed a deal for another 16 Airbus A321s plus two Airbus A350s during the Paris Air Show 78 79 In addition Vietnam Airlines launched a new bilingual website in October to simplify bookings 80 and adopted a new passenger service system designed by IT provider Sabre Airline Solutions 81 nbsp A Vietnam Airlines Boeing 787 10 Dreamliner at Sydney Airport On 26 August 2010 the airline teamed up with Boeing during the unveiling of its interior modernization programme to increase passenger comfort 82 From late September to early October Vietnam Airlines discounted up to 85 of its 90 000 fares to celebrate Thang Long Hanoi s 1000th anniversary 83 In November 2010 the airline awarded Honeywell a US 100 million contract to retrofit the Airbus A321s aircraft flight systems which is calculated to save Vietnam Airlines US 10 000 per aircraft per year 84 85 In January 2011 plans were announced by the airline to re initiate an initial public offering IPO by the end of 2012 86 an earlier attempt was stalled by the 2007 2010 financial crisis citation needed Scheduled for mid 2014 after several delays 87 the IPO and subsequent share offerings will supply the funds to expand Vietnam Airlines fleet and network 88 89 With the company valued at US 1 5 billion the government plans to initially keep 75 of the shares 90 The IPO plan was submitted to the Vietnamese Ministry of Transport in June 2014 91 Scheduled to commence on 14 November 2014 the IPO has already received two submissions from foreign companies yet their names have not been disclosed 92 The corporation will be restructured by 2015 to bring it in line with other state owned enterprises and to shift its focus away from non core businesses Following restructuring the airline group will consist of Vietnam Airlines itself as well as three carriers in total the corporation will comprise 26 independently audited companies 93 nbsp Two Vietnam Airlines Airbus A350 941 in Narita International Airport In February 2012 Vietnam Airlines boosted its stake in the low cost carrier Jetstar Pacific Airlines to 70 with Qantas holding the balance 94 95 96 The Vietnamese flag carrier was the major shareholder in Vietnam s second largest airline but its stake had been transferred to the Ministry of Finance and subsequently to the Vietnamese State Capital Investment Corporation SCIC 97 The carrier s takeover of SCIC s stake in Jetstar Pacific will capitalise the low cost carrier with US 27 million an amount that will be directed towards fleet renewal 94 In late April 2012 the aircraft lessor ALC announced the placement of an order for eight Boeing 787 9s which will be leased to Vietnam Airlines deliveries are expected to start in 2017 98 In late May 2012 the carrier signed an agreement with Vietnam s Eximbank for a loan worth US 100 million which the carrier will use to finance the acquisition of four Airbus A321s a further US 100 million was loaned in April 2013 to finance the purchase of eight Boeing 787s 99 100 In a deal valued at US 1 7 billion Vietnam Airlines signed a contract with General Electric in October 2013 for 40 engines to power the Boeing 787 aircraft the airline has on order 101 102 In July 2014 a new route to Tokyo Haneda from Hanoi was introduced 103 104 Vietnam Airlines received its first Airbus A350 900 in late June 2015 becoming the second operator of the type worldwide after Qatar Airways 105 106 107 In August 2015 2015 08 the airline s first Boeing 787 9 entered the fleet 108 109 In November 2018 the carrier received its first Airbus A321neo 110 111 112 Vietnam Airlines participation in Cambodia Angkor Airlines ended in April 2020 when all the shares were sold to an undisclosed buyer while acquiring all Qantas s stake in Jetstar Pacific eventually rebranding the carrier as Pacific Airlines in the same year 113 114 In November 2021 Vietnam Airlines started its first direct non stop service to the United States from Ho Chi Minh City to San Francisco 115 Corporate affairs and identity EditVietnam Airlines JSC nbsp Native nameTổng Cong Ty Hang Khong Việt Nam CTCP lit Vietnam Airlines Corporation JSC TypeGovernment owned Joint stock companyTraded asHOSE HVN 116 IndustryAirline industryFounded1996 with roots tracing back to 1954 HeadquartersLong Bien District Hanoi VietnamArea servedAsia Europe North America and OceaniaKey peopleDang Ngoc Hoa Chairman Le Hong Ha President amp CEO 117 ServicesAircraft maintenance and overhaul catering cargo and passenger transportRevenue nbsp 40 613 billion VNĐ 118 2020 Net income nbsp 4 97 trillion VNĐ 216 million 119 1Q2021 OwnerGovernment of VietnamNumber of employees18 641 120 2021 Parent 121 Government of Vietnam 86 34 Commission for the Management of State Capital at Enterprises 55 2 State Capital Investment Corporation 31 14 ANA Holdings 5 62 SubsidiariesPacific Airlines Vietnam Air Service Co Websitewww wbr vietnamairlines wbr comVietnam Airlines Company Limited was a limited liability company wholly owned by the government of Vietnam having been restructured from Vietnam Airlines Corporation in June 2010 and then formally became Vietnam Airlines Joint Stock Company in 2015 which is considered as a exceptional milestone by the airline 122 123 124 125 116 5 Its role is to provide economic gains to the country as its tasks in addition to scheduled passenger and cargo transport include responsibility towards labor contribution to the state budget and providing chartered flights according to former CEO Dao Manh Nhung 9 The airline is headed and overseen by a seven seat management team members of which are selected by the Prime Minister of Vietnam 9 As of September 2022 Dang Ngoc Hoa is the chairman of the company whereas Le Hong Ha is the President and CEO 117 As of December 2019 the workforce of the Group numbered 21 255 employees with Vietnam Airlines itself employing 6 409 people 126 The airline is headquartered in the Long Bien District of Hanoi 127 previously it was headquartered at Gia Lam Airport in Gia Lam Hanoi 128 129 When Vietnam Airlines wholly owned Pacific Airlines after Jetstar s withdrawal of stakes in this low cost carrier the Corporation has started to use the term Vietnam Airlines Group to refer a group consisting of three airlines owned by Vietnam Airlines including Vietnam Airlines itself Pacific Airlines and Vietnam Air Services Company 130 Training Edit In 2009 the airline Airbus and ESMA Aviation Academy created Bay Viet Flight Training Company to train pilots in the country with the expectation that up to 100 trainees would graduate annually 131 In October 2010 the company planned to train 60 pilots in Vietnam during 2011 2012 In 2010 Vietnam Airlines needed 636 pilots 60 of whom were Vietnamese It planned to raise that figure it to 75 by 2015 meaning there will be at least 100 new recruits each year from 2010 until 2015 132 Vietnam Airlines also contracts CAE Global Academy Phoenix in Arizona United States to train its cadets 133 Financial performance Edit Vietnam Airlines has enjoyed an average of 37 increase in passengers flown per year until 1997 when the Asian Financial Crisis and other contributing causes led to a loss in profits for the airline Nevertheless the airline remained profitable throughout the crisis In 1996 the airline carried 2 5 million passengers up 18 from 1995 134 The airline carried more than 4 million passengers in 2002 which is an 18 increase over the previous year 135 Its cargo traffic also climbed 20 during the same period resulting in a 2002 profit of US 35 77 million 135 Despite the severe acute respiratory syndrome SARS outbreak the airline posted a US 26 2 million profit for 2003 In 2006 it carried 6 8 million passengers 3 7 million international and earned revenue of nearly US 1 37 billion first 11 months Vietnam Airlines carried more than 9 million passengers of which 4 million were international travellers in 2007 the year which saw the airline earning a gross profit of US 23 million from a revenue of US 1 23 billion It also transported 115 100 tonnes of cargo 136 137 In 2009 the airline s revenue was US 1 3 billion compared to US 1 56 billion it earned the previous year During this period Vietnam Airlines carried 9 3 million passengers 138 According to Anna aero Vietnam Airlines passenger capacity for 2010 rose 30 over the same period of the previous year This also coincided with the increase in capacity at Vietnamese airports at 21 139 In 2012 the company s total revenue totalled US 2 4 billion with profits totalling US 3 3 million 93 The following year the carrier posted a US 25 million gross profit 140 Vietnam Airlines held about 40 of the market share of international passengers flying to and from Vietnam in February 2012 141 At the time Vietnam Airlines controlled 77 share of the domestic aviation market with 14 covered by Jetstar Pacific 141 As of December 2012 Vietnam Airlines controlled just below 70 of the domestic market share 93 In July 2021 it was announced that Vietnam Airlines employees can buy 70 million shares as strategic shareholder ANA Holdings transferred 70 million shares to 15 100 employees of the Vietnam Airlines Group 142 Subsidiaries and affiliates Edit nbsp A Vietnam Airlines Boeing 777 200ER being catered by Vietnam Air Caterers since renamed Vietnam Airlines Caterers at Tan Son Nhat International Airport Vietnam Airlines Group has at least 20 subsidiaries and affiliates 143 By the end of its restructuring in 2015 the company will have offloaded its stakes in more than 10 enterprises 144 Company Type Principal activities Incorporatedin Group s equityshareholdingVietnam Air Service Company 145 Subsidiary Passenger transport Vietnam 100 Vietnam Airlines Engineering Company 145 Subsidiary Aircraft maintenance Vietnam 100 Vietnam Airlines Caterers Subsidiary Catering Vietnam 100 146 NoiBai Catering Services Subsidiary Catering Vietnam 100 Pacific Airlines 147 Subsidiary Passenger transport Vietnam 98 147 Vietnam Aircraft Leasing Company 148 Joint venture Aircraft leasing Vietnam 20 149 Aircraft maintenance and production Edit Vietnam Airlines is increasingly becoming involved in the maintenance overhauling and production of aircraft Maintenance works are carried out by Vietnam Airlines Engineering Company VAECO that was established on 1 January 2009 150 VAECO was organized mainly upon the amalgamation of the A75 and A76 aircraft maintenance bases 151 93 VAECO carries out maintenance and technical services for Vietnam Airlines as well as for other airlines The establishment of this company opens a new era to the aircraft maintenance field in Vietnam As of 2013 VAECO was capable of performing a wide range of maintenance on many different aircraft types this includes C checks for the Boeing 777 Airbus A330 Airbus A320 and Airbus A321 and D checks the most thorough of all maintenance procedures which are carried out on the ATR 72 and Fokker 70 152 In addition to its self maintenance facilities Vietnam Airlines also has maintenance contracts with other airlines and maintenance organisations 151 93 There are currently no production facilities in Vietnam for aircraft and spare parts However Boeing has managed to obtain 35 of the distribution market in Vietnam and GE Aviation in turn supplies jet engines for the Boeing aircraft For the future conversely Vietnam Airlines is planning to build a maintenance factory in conjunction with Rolls Royce and other companies 153 It has also signed a memorandum of understanding with EADS a pan European aerospace and defence corporation that would let the corporation assemble and manufacture plane components in the future 154 Destinations EditMain article List of Vietnam Airlines destinations Vietnam Airlines has a network within Asia North America Europe and Oceania 155 With about 300 daily flights 156 the airline flies to 21 destinations domestically and to 43 internationally 157 In addition it has codeshare agreements with a number of airlines for other routes some of which span to North America Tết flights EditVietnam Airlines have traditionally increased flights among Vietnamese cities to cater for the heavy demands brought by the annual Tết celebration This busy period which could fall anywhere from late January to mid February is Vietnam s most important celebration hundreds of extra flights are scheduled by domestic airlines during this period to allow Vietnamese to return to their families often in rural areas to celebrate the occasion In 2010 the airline increased its seat capacity from 45 to 120 on certain domestic routes 158 In 2011 it increased additional flights on ten routes adding more than 100 000 seats About 63 000 of these seats were between Hanoi and Ho Chi Minh City This represented a remarkable 41 increase against normal days 159 In 2013 the carrier added an extra 174 000 seats during the celebratory period of which 82 000 seats were on the trunk route between its primary hubs 160 nbsp Vietnam Airlines Airbus A350 941 in SkyTeam livery at Frankfurt Airport 2018 Alliances Edit Vietnam Airlines joined the SkyTeam airline alliance on 10 June 2010 161 162 Codeshare agreements Edit Vietnam Airlines codeshares with the following airlines 163 164 165 Aeroflot 166 Air Europa Air France All Nippon Airways Bangkok Airways 167 Cambodia Angkor Air Cathay Pacific 168 China Airlines China Eastern Airlines China Southern Airlines 169 Czech Airlines Delta Air Lines El Al 170 Etihad Airways 171 Finnair Garuda Indonesia 172 ITA Airways 173 Kenya Airways KLM Korean Air Lao Airlines Middle East Airlines Pacific Airlines Philippine Airlines Qantas Saudia SNCF Railway TAROM Turkish Airlines 174 XiamenAir VASCOFleet EditCurrent Edit nbsp The Airbus A321 200 is the backbone of the carrier s fleet nbsp The first Boeing 787 10 of Vietnam Airlines registration VN A879 The 787 10 has the largest capacity of any aircraft in the current fleet of Vietnam Airlines As of September 2023 update Vietnam Airlines operates the following aircraft 175 176 177 Vietnam Airlines fleet Aircraft In service Orders Passenger NotesC W Y TotalAirbus A320neo 5 TBA Lease from ICBC Financial Leasing and ALC 178 179 At least 2 aircraft were not taken up and transferred to Volaris 180 Airbus A321 200 48 16 162 178 One aircraft painted in SkyTeam livery 181 Older aircraft to be retired by late 2023 182 16 168 1848 195 203Airbus A321neo 20 8 195 203 183 Airbus A350 900 14 29 45 231 30536 240 305Boeing 737 MAX 8 50 TBA Deliveries planned from 2024 184 185 Boeing 787 9 11 28 35 211 274 186 283 311Boeing 787 10 4 4 24 343 367 187 Vietnam Airlines Cargo fleetAirbus A321 200 P2F 2 Cargo Deliveries will start from 2023 188 Total 97 61Previously operated Edit nbsp A Vietnam Airlines Fokker 70 at Pochentong Airport in 2004 nbsp An Airbus A330 200 of Vietnam Airlines in 2013 Since its conception in 1956 the airline has operated a wide range of aircraft including Soviet American and European aircraft Having retired all Soviet made planes the airline currently uses Boeing and Airbus aircraft Vietnam Airlines had operated the following aircraft throughout its history 189 Aero Ae 45 Airbus A300 600 Airbus A300B4 Airbus A310 200 Airbus A310 300 Airbus A320 200 Airbus A321 100 Airbus A330 200 190 Airbus A330 300 Airbus A340 200 Antonov An 2 Antonov An 24 Antonov An 30 ATR 72 200 191 ATR 72 500 192 Boeing 707 320 Boeing 707 320B Boeing 707 320C Boeing 727 200 Boeing 737 300 Boeing 767 200ER Boeing 767 300ER Boeing 777 200ER 193 Douglas DC 3 Douglas DC 4 Douglas DC 6 Fokker 70 194 Ilyushin Il 14G Ilyushin Il 18 Lisunov Li 2 195 Tupolev Tu 134A Tupolev Tu 134B Yakovlev Yak 40 196 Services EditEntertainment Edit On flights operated using Airbus A350 and Boeing 787 Vietnam Airlines offers In flight entertainment via personal televisions On flights operated using Airbus A321neo Vietnam Airlines offers In flight entertainment via personal devices Entertainment options consist of films games TV programmes audiobooks and music Vietnam Airlines offers two in flight magazines Heritage and Heritage Fashion in addition to other reading material 197 Cabins Edit BusinessBusiness class is the highest of three cabin classes offered by the airline As is the case with business class cabins in most airlines the amenities offered in this class are substantially different from economy class and more services and products are available On Airbus A321s recliner seats are offered laid out in a 2 2 configuration The seat offers 45 inch of pitch 10 degree of recline as well as foot and leg rest On Boeing 787s and Airbus A350s lie flat seats in a 1 2 1 configuration are offered A 15 4 inch entertainment screen is available on the two aircraft Seats are arranged in a reverse herringbone configuration on Boeing 787 and staggered seating is available on Airbus A350 Refreshments are offered on flights over 90 minutes with hot meals available on flights that are longer than two hours 198 Premium EconomyVietnam Airlines premium economy class has a wider seat width and legroom compared to Economy with 38 42 in 97 107 cm of seat pitch and 7 8 inches of recline This class is offered only on flights operated by Boeing 787 Dreamliner or Airbus A350 On every flight featuring Premium Economy hot meals are served with an extensive menu of Vietnamese delicacies and popular world cuisine Personal care bags with essential amenities are also provided Premiere brand cosmetics and aqua water are available in the restroom during longer flights Refreshments are served on flights over 90 minutes with hot meals available on flights that are longer than two hours 199 Economy nbsp A Vietnam Airlines economy class mealEconomy class is available on all flights operated by Vietnam Airlines Seats in this cabin feature seats 81 cm 32 in in width 200 Seat pitch on this cabin class is 31 32 in 79 81 cm while seat recline ranges from 6 to 13 5 6 inches Refreshments are offered on flights over 90 minutes with hot meals available on flights that are longer than two hours 201 Lotusmiles Edit Lotusmiles stylized as LotuSmiles is the airlines frequent flyer program 202 The program consisted of 5 tiers Silver Titanium Gold Platinum and Million Miler with benefits varied between tiers 203 Membership in this program is free and members can earn miles in different ways flying in carriers within Vietnam Airlines Group SkyTeam carriers and carriers partnered with Vietnam Airlines based on distance and seating class daily shopping with co branded credit cards using partners services such as Booking com or direct payments 204 205 Accumulated miles can be redeemable to buy tickets and items at Lotusmall or exchange for vouchers for Vingroup services 206 Accidents and incidents EditMain article List of Vietnam Airlines accidents and incidents According to Aviation Safety Network Vietnam Airlines has experienced six accidents incidents since 1951 three of them leading to fatalities 207 All of the latter involved Soviet built aircraft and occurred on final approach The deadliest one took place on 19 September 1988 when a Tupolev Tu 134A crashed on approach to Don Mueang International Airport killing 76 of 90 aboard 208 The second deadliest accident occurred on 3 September 1997 when a Tupolev Tu 134B 3 crashed after hitting trees on approach to Phnom Penh International Airport the death toll rose to 65 209 The third deadliest accident occurred on 14 November 1992 when a Yakovlev Yak 40 crashed on approach to Nha Trang Airport killing 30 of 31 aboard 210 The airline also experienced a hijacking in 1992 without any recorded fatality 211 See also Edit nbsp Vietnam portal nbsp Aviation portalAir transport in Vietnam List of airlines of VietnamFootnotes Edit In early March 1995 Flightglobal informed the carrier also had three Boeing 767s in the fleet two of them leased from AWAS and the other one from Region Air 28 References Edit a b Profile on Vietnam Airlines Centre for Aviation Archived from the original on 4 October 2012 Retrieved 2 October 2012 a b Airline Membership International Air Transport Association Archived from the original on 27 May 2012 Retrieved 1 May 2012 JO 7340 2G Contractions PDF Federal Aviation Administration 5 January 2017 p 3 1 49 Archived PDF from the original on 11 June 2017 Retrieved 26 February 2017 Lịch sử phat triển nganh Hang khong dan dụng Việt Nam Civil Aviation Authority of Vietnam in Vietnamese 4 October 2018 Archived from the original on 25 January 2021 Retrieved 11 February 2021 Lotusmiles Archived from the original on 3 November 2019 Retrieved 4 February 2020 Ong Le Hồng Ha lam tổng giam đốc Vietnam Airlines từ 1 1 2021 tuoitre vn in Vietnamese 30 December 2020 Archived from the original on 29 January 2021 Retrieved 22 January 2021 Vietnam Airlines co chủ tịch mới VNExpress in Vietnamese 10 August 2020 Archived from the original on 15 August 2020 Retrieved 29 August 2020 Schofield Adrian 3 January 2019 Vietnam Airlines Group maintains profitability in 2018 Air Transport World Archived from the original on 7 January 2019 a b c d Schermerhorn Jr John R November 2000 Vietnam Airlines CEO Dao Manh Nhuong on Strategic Leadership Academy of Management Executive Academy of Management 14 4 16 19 doi 10 5465 ame 2000 3979812 ISSN 1558 9080 JSTOR 4353462 Vietnam Airlines JSC Report of Administration Vietnam Airlines Investor Relations 17 January 2023 HVN Vietnam Airlines JSC Major stakeholders CafeF in Vietnamese Retrieved 24 January 2023 Ngoc Thuy Vietnam Airlines issues US 350 million shares for stakeholders Hanoitimes Economic and Urban Newspaper Retrieved 24 January 2023 a b Vietnam Airlines Vinafour Archived from the original on 12 June 2012 Alwyn Jones John 14 October 2010 Vietnam Airlines offers world class service e Travel Blackboard Archived from the original on 8 March 2012 Chi Nguyen December 2001 A Strategy for the Vietnam Civil Aviation Administration VCAA to Promote US Vietnam Bilateral Civil Aviation Agreement PDF Institute for Trade amp Commercial Diplomacy Archived from the original PDF on 6 March 2012 L aviation civile vietnamienne The Vietnamese civil aviation PDF in French Archived from the original PDF on 8 March 2012 Buckley Michael Flying Ghosts VeloAsia Archived from the original on 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launches new Non stop Service Hanoi Nagoya Japan Press release Vietnam Airlines 12 August 2008 Archived from the original on 5 July 2014 a b Cambodia launches new airline Air Transport World 28 July 2009 Archived from the original on 27 September 2013 Hohler Reinhard 26 July 2009 Cambodia Angkor Air will fly tomorrow eTurbo News Archived from the original on 17 March 2012 Retrieved 16 July 2012 a b Cambodia gets national carrier with Vietnam s help Reuters 27 July 2009 Archived from the original on 13 May 2014 Retrieved 14 July 2013 Francis Leithen 30 July 2010 Cambodia Angkor signs with Sabre in preparation for international expansion Singapore Flightglobal Archived from the original on 31 July 2013 Nguyen Thuy 17 June 2009 Vietnam Airlines orders more Airbus aircraft Sai Gon Giai Phong Archived from the original on 4 March 2012 Retrieved 16 July 2012 Vietnam Airlines planning to buy 18 Airbus jets Agence France Presse 15 June 2009 Archived from the original on 12 February 2012 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2022 Vietnam Airlines giảm hơn 2 500 lao động trong hai năm chi phi nhan cong bằng một nửa trước dịch VietnamBiz in Vietnamese Vietnam Airlines issues US 350 million shares for stakeholders Hanoitimes Retrieved 2 October 2022 Nguyen Binh 25 June 2010 Vietnam Airlines becomes limited liability company The Saigon Times Daily Archived from the original on 4 March 2012 Retrieved 22 May 2012 In its Decision 952 QD TTg dated 23 June 2010 the Government says it still owns Vietnam Airlines Company Limited Vietnam Airlines which is headquartered at 200 Nguyen Son Street in Long Bien District Hanoi City Vietnam Airlines Centre for Aviation Archived from the original on 1 November 2012 Retrieved 17 July 2012 List of Government owned and Privatized Airlines unofficial preliminary compilation PDF ICAO 4 July 2008 Archived from the original PDF on 4 October 2013 Retrieved 17 July 2012 Introduction Vietnam Airlines Retrieved 16 August 2022 Annual Report of 2019 pg 82 PDF Vietnam Airlines 2020 About 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