Air Berlin
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Founded | 1978 (as Air Berlin USA) | ||||||
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Hubs | |||||||
Focus cities | |||||||
Frequent-flyer program | topbonus | ||||||
Alliance | Oneworld (future) | ||||||
Fleet size | 147 | ||||||
Destinations | 163 | ||||||
Headquarters | Airport Bureau Center Charlottenburg-Wilmersdorf, Berlin, Germany | ||||||
Key people | |||||||
Revenue | €3,723.6 million (2010) [1] | ||||||
Website | airberlin.com |
Air Berlin PLC & Co. Luftverkehrs KG (stylized as airberlin or airberlin.com) is Germany's second largest airline, after Lufthansa, and Europe's sixth largest airline in terms of passengers.[2]
The airline operates an extensive semi-low-cost network including holiday destinations in the Mediterranean region, the Canary Islands and North Africa as well as intercontinental destinations in Southeast Asia, the Caribbean and the United States.
Air Berlin concentrates on serving major German and European cities to attract business traffic. A total of 23 German cities are served, more than any other airline. Its largest hub is Berlin-Tegel Airport,[3] followed by Düsseldorf Airport. Other important destinations are the focus cities Nuremberg Airport and Son Sant Joan Airport, Palma.
On 26 July 2010, the Oneworld airline alliance announced that Air Berlin had been invited to join.[4]
The airline is headquartered at the Airport Bureau Center in Charlottenburg-Wilmersdorf, Berlin.[5] Air Berlin's parent company, airberlin group or Air Berlin PLC, is publicly traded (FSE: AB1, ISIN is GB00B128C026).[6]
In June 2010, it had 8,741 employees.[7] The airline (including subsidiaries) carried 33.6 million passengers in 2010.[8]
History
1978–1989: First years of air charter operations
In 1978, former Pan Am pilot Kim Lundgren and former Modern Air Transport general manager John D. MacDonald formed Air Berlin as a US supplemental carrier and incorporated it under the name Air Berlin, Inc. in Oregon, USA, trading as Air Berlin USA and headquartered in Miami, Florida. This was due to West Berlin's special legal status during the Cold War era (8 May 1945 – 2 October 1990), which meant that all air traffic to and from the city was restricted to airlines of the three Western victorious powers of World War II, i.e. only those headquartered in the US, UK and France. In addition, all flightdeck crew (pilots, flight engineers and navigators) on these flights through the Allied air corridors had to be citizens of one of these states.[9]
Air Berlin's first revenue flight (from Berlin to Palma de Mallorca) took place on 28 April 1979, with its first aircraft being a Boeing 707–320, which had been acquired from TWA.[10] Operating from Berlin-Tegel Airport, the airline was assigned to fulfill lucrative charter contracts operating a series of short to medium-haul IT charter flights to the Mediterranean and the Canary Islands on behalf of Berliner Flug Ring, at that time West Berlin's leading package tour operator.[11] Air Berlin had taken over this contract from Aeroamerica, another US supplemental carrier, which was based at Berlin Tegel from 1974 to 1979.[11] Additionally, Air Berlin operated weekly scheduled service from Tegel via Brussels to Orlando, during a brief period in the early 1980s.[12]
In the spring of 1981, Air Berlin's original two Boeing 707 aircraft were replaced by the more modern Boeing 737–200 Adv type, which was more appropriate for the airline's IT operations from Berlin to the Mediterranean region, especially to Majorca (where it is now the largest airline operating there).[13]
In 1985, Air Berlin moved its headquarteres to Berlin.[14] Air Berlin transitioned to a fleet entirely composed of brand-new Boeing 737-300 and 737–400 aircraft during the late 1980s.[15] This coincided with the introduction of a new livery, which remained relatively unchanged until 2007.[15]
1990–1999: Growth after German reunification
On 2 October 1990, the eve of Germany's reunification (which led to the end of Berlin's special status), the airline was renamed Air Berlin, and German investors acquired a majority stake in the company with Joachim Hunold, a former LTU manager, becoming CEO, a position he still holds. Some time later, on 16 April 1991, the airline was re-registered under German law and renamed Air Berlin GmbH & Co. Luftverkehrs KG.[16][16][17] Air Berlin joined IATA, the company also moved away from charters and towards scheduled flights, including important European business centres (which had been served since 1997).
2000–2006: Air Berlin becomes Germany’s second largest airline
In January 2004, Air Berlin announced it would cooperate with Niki, a Vienna-based airline.[16] As part of the deal, Air Berlin took a 24% stake in Niki.
In 2005, a partnership agreement with Germania was signed. It saw Air Berlin leasing some of Germania's aircraft and crew, and Germania became almost exclusively a charter airline. Germania was to have been associated with Air Berlin under a management contract. However, the contract was not signed. At the beginning of March 2008 Germania’s joint owners could not reach agreement about the takeover by Air Berlin, so Germania remained an independent airline.
In 2006, Air Berlin successfully completed an initial public offering (IPO) on the Frankfurt Stock Exchange. Originally scheduled for 5 May 2006, it was postponed until 11 May 2006. The company cited recent rises in fuel costs and other market pressures leading to limited of investor demand and reduced the initial share-price range from 15.0–17.5 euros to 11.5–14.5 euros and the stock opened at €12.0, selling a total of 42.5 million shares. Of these, 19.6 million were new shares increasing capital in the company, and the remainder to repay loans extended by the original shareholders and invested in the company earlier in 2006. After the IPO, the company claimed to have over 400 million euros in cash to fund further expansion, including aircraft purchases.[18]
In August 2006, Air Berlin announced that it had acquired 100% of the shares in German domestic airline dba.[19] Flight operations at dba were continued as a fully owned subsidiary of Air Berlin until 14 November 2008, when the dba brand was discontinued due to staff strikes. (dba staff were subsequently offered positions with Air Berlin).
On 28 November 2006, aircraft manufacturer Boeing announced an Air Berlin order of 60 Boeing 737-800 aircraft, as well as for 15 aircraft of the smaller Boeing 737-700 variant. The combined value of these 75 airplanes would be 5.1 billion dollars at then list prices. Delivery started in 2007.[20] All of these aircraft will be equipped with blended winglets, which significantly improve fuel efficiency.
2007–2009: Takeover of LTU and TUIfly City route networks
In March 2007, Air Berlin took over German leisure airline LTU, thereby gaining access to the long-haul market and becoming the fourth largest airline group in Europe in terms of passenger traffic. This deal lead to the introduction of Airbus A321 and Airbus A330 aircraft into the Air Berlin fleet. The merger of the LTU operations, aircraft and crew was completed on 1 May 2009, when the LTU brand was dicontinued.
On 7 July 2007, Air Berlin announced an order for 25 modern Boeing 787–8 Dreamliner longhaul aircraft, with further options and purchase rights.[21] Three additional aircraft of this type will be leased from ILFC. Entry into service is projected for 2011.
On 21 August 2007, Air Berlin acquired a 49 percent shareholding in Swiss charter airline Belair, the remainder being owned by tour operator Hotelplan.[22] Following the deal, Belair's longhaul business was shut down, and the fleet replaced by Airbus A320 family aircraft operating scheduled flights on behalf of Air Berlin as well as charter flights for Hotelplan.
On 20 September 2007, Air Berlin announced it intended to buy its direct competitor Condor in a deal that saw Condor's owner, the Thomas Cook Group, taking a 30% stake in Air Berlin.[23] A variety of considerations, including the rapidly increasing price of jet fuel, led to the abandonment of the deal in July 2008.
In January 2008 Air Berlin introduced a new logo together with a new corporate design. The logo is a white oval shape on a red background (to suggest an aircraft window) where the letter “a” is depicted by a white circle and two white stylised wings. The Air Berlin text element is now in lower case and written as one word. Sometimes the slogan “Your Airline” also features as part of the logo.[24]
quota | Shareholders |
---|---|
approx. 40 % | diversified holdings |
16,48 % | ESAS Holding A.S. (Turkey) |
7,51 % | Hans-Joachim Knieps |
6,85 % | Leibniz-Service GmbH / TUI Travel PLC |
5,97 % | Ringerike GmbH & Co. Luftfahrtbeteiligung Metolius Foundation |
3,82 % | Werner Huehn |
3,70 % | JPMorgan Chase & Co. |
2,93 % | Rudolf Schulte |
2,93 % | Severin Schulte |
2,64 % | Joachim Hunold, CEO Air Berlin PLC |
2,39 % | Moab Investments Ltd. |
1,58 % | Johannes Zurnieden, Chairman Air Berlin PLC |
1,40 % | Heinz-Peter Schlüter |
as at: 31 December 2010[25] |
In June 2008, CEO Joachim Hunold caused a quarrel with the Catalan People, when he claimed [26] in an article included in Air Berlin's inflight magazine that the government of the Balearic Islands was trying to impose the use of Catalan onboard of Air Berlin flights from and to Majorca. He claimed that Air Berlin was an international airline and therefore would not have to use Catalan. Hunold went on to criticise the language policy in Catalonia and the Balearic Islands, claiming that at the time many children could not speak any Spanish.[27] The Balearic Islands' socialist President, Francesc Antich, explained that his government had simply sent a letter to encourage airlines operating in the Balearic Islands to include Catalan among the languages used for onboard announcements.[28] On 18 June of the same year, Air Berlin announced that it would reduce its long-haul services by 13 percent, as well as cut 10 percent of services on the domestic market in an effort to increase profitability.[29]
In January 2009 Air Berlin started a co-operation with Hainan Airlines, China’s fourth-largest airline. Both airlines offer jointly market flights between Berlin and Beijing. The code-share flights are sold on a reciprocal basis and operated under the relevant airline’s own flight number.[30]
At the end of March 2009, a strategic partnership agreement with TUI Travel was signed, which is based on a cross ownership of Air Berlin and its direct competitor TUIfly each purchases 9.9 percent of the other's shares.[31] Following this deal, Air Berlin took over all German domestic TUIfly routes, as well as those to Italy, Croatia and Austria. Also, all of Tuifly's Boeing 737-700 aircraft were merged into Air Berlin's fleet. Further route shifts will see TUIfly abandoning all scheduled flights and relying exclusively on the charter business.[32]
In March 2009 ESAS Holding bought approximately 15 per cent of the voting shares in Air Berlin PLC. The Federal Cartel Office in Bonn has notified Air Berlin PLC & Co. Luftverkehrs KG that it has no objections to the Turkish company ESAS Holding A.S. acquiring a stake in the airline.[33]
On 28 September 2009, Air Berlin announced it would cooperate with Pegasus Airlines, thus allowing its customers access to more destinations and flights to and within Turkey on a codeshare-like basis.[34]
In October 2009 Air Berlin entered into cooperation with Bangkok Airways. Air Berlin offers passengers the flights operated by Bangkok Airways under its own flight number.[35]
group | interest |
---|---|
LTU | 100 % |
Air Berlin Technik | 100 % |
Binoli Reiseplattform | 49 % |
Belair | 100 % |
Niki | 49,9 % |
2010: Air Berlin to join Oneworld
In April 2010 expanded its codeshare arrangements with Russia’s S7 Airlines. The strategic cooperation between Air Berlin and S7 Airlines has been in place since October 2008. New services include codeshare flights via Moscow to destinations such as Irkutsk, Perm and Rostov.[36]
In July 2010 Air Berlin PLC announced an increase in its shareholding in Niki. Following the fulfilment of the required conditions, the agreements notarized on 17 February 2010 have been implemented. Air Berlin PLC & Co. Luftverkehrs KG indirectly acquired 25.9% of the shares in Niki Luftfahrt GmbH form the Privatstiftung Lauda (private Lauda foundation) and has thereby increased its current shareholding in Niki Luftfahrt GmbH from 24% to 49.9%. In connection with the increase of its shareholding, Air Berlin PLC & Co. Luftverkehrs KG will grant the private Lauda foundation a 40.5 million-euro loan. The private foundation has the option to repay the loan in three years with cash or through the transfer to the remaining 50.1% of Niki Luftfahrt GmbH´s shares.[37]
On 26 July 2010, it was announced that Air Berlin had accepted an invitation to join the Oneworld airline alliance.[38] Air Berlin is expected to start flying as part of oneworld in early 2012.[39] In preparation for joining the alliance, Air Berlin has set up codeshare agreements with American Airlines and Finnair. This will provide Air Berlin passengers with access to the important American market and, via the Helsinki hub, to the rapidly growing Asian markets. The codeshare flights will be available in time for the winter schedule 2010/11.[40]
Key financial figures
2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | |
---|---|---|---|---|---|---|---|---|
Turnover [Mil. €] | 863,2 | 1,033.9 | 1,215.2 | 1,575.4 | 2,536.5 | 3,400.7 | 3,240.3 | 3,723.6 |
Asset [Mil. €] | 36.7 | −2.9 | −115.9 | 40.1 | 21.0 | −75.0 | −9.5 | -97.2 |
Number of employees | 1,956 | 2,146 | 2,764 | 4,108 | 8,360 | 8,311 | 8,278 | 8,900 |
Number of passengers [Thousand] | 10,019 ? | 12,055 ? | 17,505 | 19,702 | 27,863 | 28,559 | 27,911 | 33,593 |
Passenger load factor [%] | 76.72 ? | 79.52 ? | 75.23 | 75.27 | 77.22 | 78.36 | 77.26 | 76.79 |
Aircraft at the end of the year | 46 | 47 | 79 | 117 | 124 | 125 | 152 | 169 |
Destinations
The airline operates an extensive semi-low-cost network including intercontinental destinations in the United States, the Caribbean and the South East Asia as well as holiday destinations in the Mediterranean region, the Canary Islands and North Africa, with a total of 163 scheduled destinations in 39 countries.
Codeshare agreements
Air Berlin has codeshare agreements with the following airlines:
- American Airlines (Oneworld)
- Bangkok Airways
- British Airways (Oneworld) [begins summer 2011]
- Finnair (Oneworld)
- Hainan Airlines
- Iberia (Oneworld) [begins summer 2011]
- Niki (Future Oneworld)
- S7 Airlines (Oneworld)
Fleet
As of April 2011, the Air Berlin fleet consists of the following aircraft with an average age of 5.5 years:[41]
Aircraft | Total | Orders | Options | Passengers | Notes | ||
---|---|---|---|---|---|---|---|
C | Y | Total | |||||
Airbus A319-100 | 15 | — | — | 0 | 150 | 150 | 2 operated by Belair (Swiss (HB-) registered) |
Airbus A320-200 | 38 | 15 | — | 0 | 174 | 174 | 7 operated by Belair (Swiss registered) |
Airbus A321-200 | 9 | 4 | — | 0 | 210 | 210 | |
Airbus A330-200 | 10 | 2[citation needed] | — | 24 | 279 | 303 | |
Airbus A330-300 | 3 | — | — | 0 | 387 | 387 | |
Boeing 737-700 | 27 | 18 | — | 0 | 144 | 144 | 10 operated by TUIfly (registrations D-AH_) 6 operated by Germania (registrations D-AGE_) |
Boeing 737-800 | 35 | 47 | — | 0 | 186 | 186 | 2 operated by TUIfly (registrations D-AHF_) |
Boeing 787-8 | — | 15 | 5 | TBA | Entry into service: 2015 (expected) | ||
Bombardier Dash 8 Q400 | 10 | — | — | 0 | 76 | 76 | operated by LGW |
Total | 147 | 101 | 5 |
Fleet development
Over the years, Air Berlin operated the following aircraft types:[42]
Aircraft | Introduced | Retired | Notes |
---|---|---|---|
Airbus A319 | |||
Airbus A320 | |||
Airbus A321 | following the LTU fleet incorporation | ||
Airbus A330-200 | following the LTU fleet incorporation | ||
Airbus A330-300 | following the LTU fleet incorporation | ||
BAe 146-200 | leased from WDL Aviation | ||
Boeing 707 | Air Berlin USA | ||
Boeing 737-200 | Air Berlin USA | ||
Boeing 737-300 | 2007 |
2010 |
Air Berlin USA [] |
Boeing 737-400 | |||
Boeing 737-700 | |||
Boeing 737-800 | |||
Bombardier Dash 8 Q400 | operated by LGW | ||
Fokker 100 |
Record flight
In November 2001, when taking delivery of a brand new Boeing 737–800 fitted with winglets, Air Berlin managed to set a record. The aircraft with the registration code D-ABBC flew the 8,345 kilometres non-stop from Seattle (BFI), USA to Berlin (TXL), Germany in 9 hours 10 minutes.[citation needed]
Services
In contrast to pure European low-cost carriers, Air Berlin offers free (at the point of consumption) in-flight snacks, drinks as well as newspapers and magazines. Full hot meals are complimentary on long-haul flights. On all Air Berlin routes with a flight time of 60 minutes or longer gourmet meals are offered, which are, according to the airline, created by chefs at "Sansibar", a famous restaurant on the island of Sylt. The airline also offers in-flight entertainment, assigned seating and guaranteed flight connections.[43] On flights operated by Airbus A330-200 aircraft, a dedicated business class section is offered.[44]
Frequent flyer programme
Like many other airlines, Air Berlin has a frequent flyer scheme. Air Berlin's frequent flyer program (called topbonus) is operated jointly with Niki. Points (“miles”) can be collected on all flights, and these can be redeemed later for free flights (award flights) or for an upgrade to business class. In addition to the “topbonus Card Classic” there are cards with Silver and Gold status. A Service Card and a Credit Card, for which a charge is made, are also available.
Awards
- Survey conducted among Capital magazine readers: “Airline of the Year 2008”. Air Berlin is voted top low-cost airline.[citation needed]
- In 2008, for the fourth year in succession, Air Berlin won awards in the Low-Cost Airline and Charter Airline categories from travelchannel.de, a website.[citation needed]
- Telegraph Travel Award 2008: Air Berlin was voted the best Low-Cost Airline for the second year running.[citation needed]
- World Travel Award 2008: Air Berlin was voted the best Budget Airline for the second consecutive year.[45]
- European Business Award 2009: Air Berlin won the European Business Award for its customer friendliness.[46]
- oekom research 2009: Air Berlin awarded “Prime” investment status by the sustainability rating undertaken by oekom research AG.[citation needed]
- Business Travel Award 2010: Air Berlin voted "Best Short-Haul Airline".[47]
- ReiseBlick 2010: Air Berlin voted Airline of the Year for the third time in the "Short-Haul” category.[citation needed]
- Spain Tourism Award 2010: Air Berlin received the "Spain Tourism Award" (STAR) for the second consecutive year in the category "Best German airline operating services between Germany and Spain".[48]
- Clever reisen! 2010: In the current issue (2/2010) of Clever reisen! travel magazine, Air Berlin came out on top twice. Air Berlin was awarded the accolade of "Europe’s youngest fleet" and the topbonus frequent flyer programme was rated a winner and earned Air Berlin the title "Best package for Business Class bonuses North America and Asia".[48]
- Skytrax World Airline Award 2010: Air Berlin won the "World Airline Award" for the sixth time in succession. This time in the category "Best Low-Cost Airline Europe".[48]
- Franz-von-Mendelssohn medal 2010: The Berlin Chamber of Commerce and Industry and the Berlin Chamber of Crafts have awarded the "Franz-von-Mendelssohn medal" for social commitment and dedication for the sixth time now. Air Berlin was honoured with the special prize for its overall concept in the field of Corporate Social Responsibility (CSR).[48]
- Danish Travel Award 2010: Air Berlin won the Danish Travel Award 2010 in the category of "Best Low Cost Airline" for the fourth year in succession.[48]
See also
Footnotes
- References
- ^ a b Annual Report 2010. ir.airberlin.com. Retrieved on 2011-04-21.
- ^ airberlin Strategy and Business Model. Air Berlin, retrieved on 19 January 2011.
- ^ Berlin Tegel still Air Berlin’s #1 base
- ^ News. oneworld (2010-07-26). Retrieved on 2010-12-15.
- ^ "Approach map." Air Berlin. Retrieved on 5 May 2010.
- ^ Investor Relations Page on airberlin.com
- ^ Air Berlin Interim Financial Report as of 30 June 2010
- ^ Air Berlin reveals 2010 passenger numbers
- ^ Berlin Airport Company, Monthly Timetable Booklets for Berlin Tempelhof and Berlin Tegel Airports, Berlin Airport Company, West Berlin, various editions April 1968 – October 1990
- ^ Photos: Boeing 707–331 Aircraft Pictures. Airliners.net (2006-05-26). Retrieved on 2010-12-15.
- ^ a b Berlin Airport Company, April 1979 Monthly Timetable Booklet for Berlin Tempelhof and Berlin Tegel Airports, Berlin Airport Company, West Berlin, 1979
- ^ Berlin Airport Company, April 1980 Monthly Timetable Booklet for Berlin Tempelhof and Berlin Tegel Airports, Berlin Airport Company, West Berlin, 1980
- ^ Berlin Airport Company, April 1981 Monthly Timetable Booklet for Berlin Tempelhof and Berlin Tegel Airports, Berlin Airport Company, West Berlin, 1981
- ^ "World Airline Directory." Flight International. 30 March 1985. 34." Retrieved on 21 August 2009.
- ^ a b Berlin Airport Company, April 1989 Monthly Timetable Booklet for Berlin Tempelhof and Berlin Tegel Airports, Berlin Airport Company, West Berlin, 1989
- ^ a b c airberlin.com:History
- ^ "World Airline Directory 1979". Flight International. March 1979.
- ^ Repricing of IPO
- ^ Air Berlin acquires dba
- ^ [1][dead link]
- ^ Boeing: Boeing, Air Berlin announce order for 25 787 Dreamliners
- ^ David Kaminski-Morrow (3 April 2007). "Air Berlin LTU move driven by access to Düsseldorf". Flight International. p. 9.
- ^ "Air Berlin seeks to buy Condor, give T. Cook stake" Reuters, Frankfurt, 20-Sept-2007.
- ^ Airways (Qubein, R., The Two Faces of Air Berlin), Vol. 17, No. 9, pp. 35, Airways International Inc., Sandpoint, November 2010
- ^ airberlin Shareholder structure. ir.airberlin.com, retrieved on 19 January 2011.
- ^ Air Berlin MagazineTemplate:De icon
- ^ Vilaweb, 5 June 2008.Template:Ca icon
- ^ Vilaweb, 6 June 2008.Template:Ca icon
- ^ Business finance news – currency market news – online UK currency markets – financial news – Interactive Investor. Iii.co.uk. Retrieved on 2010-12-15.
- ^ Air Berlin enters into co-operation with Hainan Airlines
- ^ TUI Travel PLC and Air Berlin seal strategic alliance for their German flight business
- ^ Air Berlin information on the taking over of TUIfly routes. Retrieved 31 October 2009.
- ^ ESAS Holding A.S. acquires a 15 percent stake in Air Berlin PLC
- ^ Air Berlin announces cooperation with Pegasus Airlines. Retrieved 2010-01-24.
- ^ Air Berlin enters into cooperation with Bangkok Airways
- ^ Air Berlin is expanding its codeshare arrangements with S7 Airlines
- ^ Air Berlin PLC / Increase in shareholding in Niki from 24% to 49.9% is completed
- ^ "Air Berlin to join oneworld alliance". Seattle Post-Intelligencer. 26 July 2010. Retrieved 26 July 2010.
- ^ Air Berlin to join oneworld alliance
- ^ Air Berlin concludes codeshare agreements with American Airlines and Finnair after joining oneworld
- ^ Air Berlin fleet list at planespotters.net
- ^ Air Berlin historic fleet list at airfleets.net. Retrieved 2011-04-18.
- ^ airberlin Service on board. Air Berlin, retrieved on 19 January 2011.
- ^ airberlin Business Class. Air Berlin, retrieved on 19 January 2011.
- ^ World Winners 2008, World Travel Awards
- ^ 2009 European Business Awards Winners, European Business Awards, 7. April 2009
- ^ Business Travel Awards 2011 – Winners 2010. Businesstravelawards.com (2010-10-25). Retrieved on 2010-12-15.
- ^ a b c d e Air Berlin awards Cite error: The named reference "airberlin awards" was defined multiple times with different content (see the help page).
- Bibliography
- Berlin Airport Company – Monthly Timetable Booklet for Berlin Tempelhof and Berlin Tegel Airports, several issues (German language edition only), 1968–1992. West Berlin, Germany: Berlin Airport Company.
- "Flight International". Sutton, UK: Reed Business Information. ISSN 0015-3710.
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External links
Media related to Air Berlin at Wikimedia Commons
- Official website
- Official mobile site
- Official mobile site Template:De icon
- Air Berlin: Investor Relations
- Air Berlin: Investor Relations Template:De icon