U.K. airport operator BAA last week hit back at airline recommendations to break up its near monopoly in the airport industry, arguing that a split would set back development plans. "A more fragmented ownership structure would undermine vitally needed investment in airport capacity," BAA said. The company's comments were part of its submission to the Office of Fair Trading, which is conducting a review of the U.K. airport market that could lead to a more serious government investigation (DAILY, Aug. 25).
The association of Venezuelan travel agencies (Avavit) plans to appear before antitrust regulator ProCompetencia about the continuing conflict between airlines and travel agencies over sales commissions, a move that could lead to fines and other legal sanctions for the carriers.
FAA last week issued an emergency airworthiness directive requiring one-time visual inspections of rear spar lower caps of Raytheon Beech 1900 aircraft wings for cracking and other damage, with repairs as necessary.
FAA officials provided incorrect information to the Sept. 11 Commission regarding the agency's communication with the Defense Dept. on the day of the attacks, and although these mistakes were not deliberate, more should have been done to correct the misinformation, the Transportation Dept. Inspector General said last week.
Air Midwest was selected over Great Lakes and Big Sky Airlines to take over essential air service operations from Scenic Airlines at Merced and Visalia, Calif., and Ely, Nev. Air Midwest will receive $1,599,207 in annual subsidies for two years to operate 23 weekly Merced-Visalia-Las Vegas flights, while its Ely-Salt Lake City service will receive $647,709 in subsidy. Air Midwest will operate as America West Express/US Airways Express and use 19-seat Beech 1900Ds for the service.
Singapore Changi Airport yesterday reported that July saw the highest number of passengers so far this year, with more than 3 million transiting Changi during the month, up 5.2% from last year.
Chinese air marshals will begin anti-terror training this month with the U.S. Federal Air Marshal Service. The first 18-member Chinese team will participate in two weeks of training sessions and tactics exchanges with their U.S. counterparts at the FAMS training facility in Atlantic City, N.J. The Chinese air marshals will be deployed on China-U.S. flights operated by Chinese airlines.
IATA yesterday revised its industry loss estimates for the year, predicting a much narrower $1.7 billion loss in 2006, compared with the $3 billion estimate predicted in June.
Las Vegas-based Allegiant Air will launch service from Orlando Sanford to Huntington Tri-State Airport, W.Va., and Chattanooga, Tenn., as it targets small cities without low-fare service. Starting Oct. 31, the carrier will offer four weekly flights from Chattanooga to Orlando, operating on Sunday, Tuesday, Thursday and Saturday with 150-seat MD-80s. Allegiant is the sixth airline to serve Chattanooga and Orlando the airport's ninth nonstop point.
Moody's Investors Service and Fitch Ratings both recently upgraded the ratings on the Tampa Aviation Authority's $678 million outstanding revenue bonds and refunding bonds thanks to the airport's strong operating results. "With these upgrades, Tampa International is the only Florida airport and one of only 12 airports in the U.S. with ratings within the double-A category from at least two rating agencies," the airport said. The last bond upgrade for the Tampa Aviation Authority was in 2003.
American Eagle's Gary Ellmer plans to resign from his job as president and chief operating officer of Executive Airlines and Eagle's Caribbean unit to join ATA Airlines as senior VP-operations. Ellmer will also hold the title of general manager-charter. In his role, he will be responsible for flight and technical operations, as well as ATA's charter business, which represents about 50% of ATA's revenues. He will report to Chief Operating Officer Subhodh Karnik.
At least two U.S. destinations will be part of the initial group of routes startup Porter Airlines plans to serve from Toronto City Centre Airport. The carrier is working to gain Canadian regulatory approvals to launch flights from the airport this fall with 70-seat Bombardier Q400 turboprops. Porter took delivery of the first plane of a 10-aircraft order this week and should have about four planes in service by yearend.
Qantas this week announced a significant expansion for its busy Adelaide-Perth domestic route, adding four roundtrip services each week from Oct. 29. Using two-class Boeing 737s, the new flights will add 650 seats to this market in each direction. The carrier already operates 27 return flights between Adelaide and Perth, which will increase to 31.
Former Continental leader Gordon Bethune yesterday was named as the new non-executive chairman of Aloha Airlines parent Aloha Airgroup. Bethune replaces Ira Tochner, who is a partner at Aloha investor Yucaipa Cos., but Tochner will keep his position on the airline's board. Bethune in March was named chairman of Cendant Corp.'s Travel division but stepped down this week to take the Aloha chairmanship.
L-3 Communications yesterday won a deal to equip Japan's second largest international airport, Osaka Kansai, with eight VIS 108 advanced technology systems and four Examiner 3DX explosives detection systems.
Verified Identity Pass has signed a deal with British Airways to offer the Clear registered traveler program at New York Kennedy Terminal 7. JFK Airport joins Cincinnati, San Jose, Calif., Indianapolis and Toronto as airports ready to run Clear. Currently, only Orlando is running the program. Once TSA files its privacy impact assessment at the airports in the next few days, online enrollments could begin in September, Verified ID CEO Steven Brill told The DAILY.
Air France/KLM's robust results for the three months to June 30 beat analyst expectations and prompted the company to forecast a "significant" improvement in its full-year results. The French-Dutch giant managed to more than double its net profit to EUR244 million (US$312 million) in the first quarter of its 2006/2007 fiscal year, up from EUR112 million a year earlier, while revenues increased 12% to EUR5.8 billion, as announced previously. Operating income jumped to EUR411 million (US$526 million), up 84.3%.
