US Transportation Secretary Mary Peters accused Congress of "playing politics with aviation safety and aviation congestion" and urged fast action by lawmakers on FAA reauthorization legislation and the confirmation of Acting Administrator Bobby Sturgell, both of which have languished for months. Speaking at an Aero Club of Washington luncheon yesterday, Peters said, "I'm a little tired of all the noise I'm hearing on Capitol Hill about [flight] delays. . .while Congress sits on the sidelines."
Rolls-Royce announced that LAN Airlines ordered Trent 1000 engines for six 787-9s leased from ILFC. It placed an order for the powerplant two months ago covering 26 Dreamliners ordered directly from Boeing ( ATWOnline, Nov. 22, 2007). New contract includes a TotalCare service agreement.
Senior airline pilots in the US are challenging new legislation that allows them to continue flying until age 65, calling the law "unconstitutional and unenforceable." The Fair Treatment for Experienced Pilots Act, which President George W. Bush signed last month ( ATWOnline, Dec. 17, 2007), is not retroactive and does not include any provisions for pilots who turned 60 prior to passage.
Lufthansa and JetBlue Airways yesterday announced the completion of their stock purchase agreement under which the German carrier took a 19% stake in the New York JFK-based LCC ( ATWOnline, Dec. 17, 2007). "With the conclusion of the financial transaction, Lufthansa and JetBlue will begin exploring innovative commercial arrangements designed to benefit both airlines and their customers," the carriers said in a joint statement.
Boeing reached agreement with Telair International to supply the cargo-handling system for the 747-8. Contract covers main deck and lower hold systems. Technology includes "intelligent" power drive units networked through a versatile control system.
Skyways Aviation arranged the sale of two ATR 72s to Swedish shipping and aviation group Erik Thun. Aircraft currently are operating with Aer Arann and Airlinair and were sold with long-term leases attached.
Air China parent China National Aviation Holding Co. submitted its formal bid to China Eastern Airlines last Friday, it announced yesterday, saying it intends to purchase 2.9 billion H shares in CEA for at least HK$5 per share and raise its stake to 26.14% from the current 12.07%.
News from Travel Technology Update: Lufthansa rocked the German travel market last week, saying it will increase fares booked through GDSs for flights departing German and Austria beginning July 1. The fares will increase by €15 for one-way flights and €30 for roundtrips. Lufthansa will continue to offer its pre-hike fares, which it has dubbed "Lufthansa Preferred Rates," after July 1 for direct sales through its Web site, call center, ticket counter and its dedicated travel agent Web site, lufthansa-agent.com.
Shanghai Airlines expects to post a loss in 2007 after reporting an CNY8.2 million ($1.1 million) profit in 2006, according to a company statement cited by Reuters. The airline said high fuel prices, slow development of new international routes and the establishment of a cargo subsidiary were the principal causes. It posted a narrowed CNY134.5 million loss in the first six months of 2007 ( ATWOnline, Sept. 3, 2007).
Integrated Deicing Services, a Pittsburgh-based company offering deicing services at Buffalo, Colorado Springs, Detroit, Minneapolis and Pittsburgh, was purchased by Salvatore Calvino, Kevin Worley and existing owner Larry Hopkins. Calvino will serve as CEO, Worley as president and Hopkins as COO. IDS will work closely with Quantem Aviation Services and aims to expand in domestic and international markets.
United Airlines parent UAL Corp. reported 2007 net income of $403 million, a result the company touted as its first full-year profit since 2000, but it did post a $53 million net loss in the fourth quarter owing to "the sharp rise in the price of fuel." UAL's 2007 result is not comparable to $22.88 billion in net income reported in 2006 thanks to extraordinary gains upon emergence from bankruptcy. Its pre-tax income for 2007 was $695 million, reversed from a pre-tax loss of $45 million in 2006 that excludes reorganization charges and benefits.
British Airways pilots will vote on strike action in a dispute over their status in the airline's new OpenSkies subsidiary, British Air Line Pilots Assn. confirmed. BALPA represents nearly all BA's 3,200 pilots and said the decision to ballot was taken after weeks of "abortive" negotiations with the airline. "This is not about money and it is not about safety," General Secretary Jim McAuslan said.
Finnair flew 1.78 billion RPKs in December, up 18.1% from the year-ago month. Capacity rose 18.3% to 2.36 billion ASKs, lowering load factor 0.6 point to 58.4%. Copa Airlines flew 450.5 million RPMs in December, up 13.1% from the year-ago month. Capacity rose 15.1% to 577.9 million ASMs and load factor dropped 1.4 points to 78%. Republic Airways flew 737.6 million RPMs in December, a 32.1% rise from the year-ago month, against a 32.9% increase in ASMs to 1.06 billion. Load factor slipped 0.4 point to 69.3%.
Northwest Airlines pilots represented by the Air Line Pilots Assn. resolved last week to form a merger committee and said they are "prepared to protect Northwest pilots' careers and seniority while also taking advantage of any positive operational synergies to extract contract enhancements and long-term pilot job security." Separately, the MEC said in a notice to pilots that NWA will reduce its fleet by 27 aircraft in 2008, comprising 24 DC9s and three 747-200s.
Gulf Air finalized its order for 16 787s plus eight options in a deal valued at $3.9 billion if all options are exercised ( ATWOnline, Jan. 15). "As the cornerstone of our fleet, the 787 will help reestablish Gulf Air's predominance within the Gulf," CEO Bjorn Naf said.
Parker Aerospace won a $2 billion contract from Airbus to provide fuel and hydraulic systems for the A350 XWB. Parker's Air & Fuel, Electronic Systems and Nichols Airborne Divisions and Fuel Systems team will provide the fuel package including an inerting system, fuel measurement and management system, fluid mechanical equipment and engine feed and transfer fuel pumps.
Copenhagen Airports supervisory board said it plans to invest DKK1 billion ($196.1 million) in 2008 to improve check-in facilities, gates, aircraft stands, baggage facilities and security, among others. The airports operator will add 150 employees this year.
Airbus COO Fabrice Bregier, speaking on French radio last week, said that the delays Airbus experienced on the A380 program and Boeing now is experiencing with the 787 actually bode well for the manufacturers because the problems demonstrate to upstart aircraft makers in Russia, China and elsewhere that entry into the large aircraft market is nearly impossible. The delays ensure "that 10 years from now, Boeing and Airbus. . .will still be the two major global players in the industry.
Thales was awarded a S$300 million ($209.4 million) contract by Civil Aviation Authority of Singapore for the LORADS III ATC system. First phase is slated for completion in 2010, second phase in 2012.
Air India Chairman and MD Vasudevan Thulasidas said Friday that "Boeing is willing to give us the compensation" it is seeking for delayed 787 deliveries, the first concrete indication that the manufacturer will have to make penalty payments.
UK's Air Accidents Investigation Branch said its initial findings on last Thursday's British Airways 777-200ER crash landing at London Heathrow revealed that the two Rolls-Royce Trent 800 engines did not respond to attempts to increase thrust during the aircraft's descent.
United Airlines parent UAL Corp. Chairman, President and CEO Glenn Tilton, who repeatedly has called consolidation a "strategic imperative" for the US industry, spoke publicly for the first time regarding the latest merger speculation, insisting Friday that UA has options even if Delta Air Lines and Northwest Airlines reach a combination agreement.
