U.S. Sen. Charles Schumer (D-N.Y.), in the interests of air safety, is calling for FAA to install carbon monoxide detectors in air traffic control towers.
British Airways last week reported a loss for the March quarter that helped trim full year profits, and the airline also estimates it will have to pay about GBP350 million ($692 million) to settle a long-running competition investigation.
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Allegiant Air says it would be difficult for potential competitors to profitably "contest our market positions" with nonstop service because its markets are generally too small to support two entrants or the high-frequency service supplied by most legacy and low-cost carriers. Allegiant points out that while some of the markets might be suitable for regional aircraft, "we believe our unit costs are significantly less than the unit costs for most regional aircraft, making it difficult for regional aircraft to effectively compete."
Wall Street is predicting AirTran will sweeten its offer to Midwest's shareholders, with analysts at Calyon Securities noting it is "our belief that AirTran will raise the offer price to somewhere between $15 and $19 per share, and this will satisfy the shareholders of Midwest." AirTran's current $15-per-share bid has been extended to June 8.
Southwest and JetBlue slipped in ratings reports last week as agencies questioned the carriers' trends toward higher financial leverage. A $500 share repurchase program recently approved by Southwest's shareholders triggered Fitch ratings to downgrade the carrier's outlook from stable to negative. The ratings agency said Southwest completed stock buybacks worth $1 billion in 2006 in two separate authorizations, and has repurchased $223 million of an authorized $300 million buyback plan issued during the first quarter of this year.
Honeywell is evaluating whether it will add 3D airport maps to its synthetic vision system, so pilots can see the entire airport surface including taxiways -- regardless of the weather. Honeywell is developing its synthetic vision system for business jets and helicopters with certification expected late this year for Gulfstream's PlaneView-equipped aircraft.
Delta in mid-June will begin to carry China Airlines' code on its flights between Los Angeles and Jacksonville, Fla. The airline currently operates five weekly flights on the route but the service will be offered daily next month.
The U.S. Transportation Dept. last week swiftly granted Frontier the authority to serve Costa Rica after the carrier filed its application earlier in the week. The agency granted Frontier a two-year stint to serve the country. A Frontier spokesman said the carrier plans to announce its service soon.
Air Midwest this week won U.S. Transportation Dept. approval to alternate the service pattern of its subsidized flying at Columbia/Jefferson City, Missouri. The carrier will operate all 24 of the community's weekly roundtrips to Kansas City, instead of splitting the frequencies between Kansas City and St. Louis [OST-2006-23931].
Spirit is still fighting for 14 currently idle U.S.-Colombia frequencies belonging to American, even though the major carrier seemingly spoiled Spirit's bid by announcing plans to use the rights later this year.
WestJet is offering passengers mobile phone check, allowing passengers to select seats 24 hours to 30 minutes prior to flight. The carrier said the feature is available to passengers traveling with or without luggage. At the airport, customers get boarding passes from an agent or kiosk and drop bags at a self service drop.
ATA President James May tells lawmakers that commercial aviation is "extremely carbon efficient" and "the greenest form of mass transportation," contributing just 2% of domestic greenhouse gas emissions. The industry has improved fuel efficiency by 35% since 2001, May says. He calls for Congress to help reduce aviation emissions by supporting modernization of the ATM system, funding NASA and FAA R&D programs, and encouraging development of alternative fuels.
South African Airways, feeling competitive pressures on long-haul routes, is looking at nearby markets for expansion. After pulling flights from Zurich and dropping plans to add Chicago as a gateway, SAA seeks regional partners, specifically in West and Central Africa. Jason Krause, head of network development and alliances, says SAA wants to make Lagos, Nigeria, a regional hub, and is looking at Cameroon and Gabon. It has been talking to Virgin Nigeria and a Central Africa airline for partnerships.
Airports Council International-North America is preparing for a major push of its new Passenger First Commitment campaign to convince Congress to lift the cap for Passenger Facility Charges to $7.50. It has built a coalition with 12 organizations as diverse as the American Road and Transportation Builders Association to help with the effort.
Northwest cleared the final hurdle of exiting Chapter 11 on Friday after the carrier won court approval of its reorganization plan. The carrier plans to emerge from bankruptcy May 31. Earlier this month, the airline won approval of its plan from creditors (DAILY, May 11).
A proposal that airlines collect fingerprints to comply with the U.S.-Visit program is an alarming prospect to most Europeans, a senior European Union official tells The DAILY.
Italian cargo carrier Ocean Airlines last week won its foreign carrier permit from the U.S. Transportation Dept. The Brescia-based carrier in March was awarded an exemption to serve Washington Dulles Airport (DAILY, March 15).
Detroit Metropolitan Airport is partnering with Northwest Airlines to build a new, $29.6 million inline baggage screening system for the McNamara Terminal. The Wayne County Airport Authority (WCAA) advanced the cash to Northwest to manage the construction and installation of the system, said spokesman Michael Conway. "The money will be reimbursed from 85% Passenger Facility Charges (PFCs) and 15% rates and charges," he explained. The authority applied for Transportation Security Administration funding, but nothing happened, he added.
Pittsburgh Airport is losing some flights and destinations as US Airways adjusts its summer schedule, effective July 1. Five markets -- Altoona, Buffalo, Baltimore, San Diego and Seattle -- are being eliminated, said spokesman Phillip Gee. "San Diego and Seattle are thrice-weekly seasonal offerings and will be flown for approximately one month. Customers traveling to the D.C. area still have Washington Dulles and National service," he said. "Altoona is once-daily prorate service operated by Colgan Air, which elected to discontinue that service."
