Mesa Air yesterday posted a $5.3 million profit for its fiscal second quarter ending March 31, down about 50% from the year before including special items, but the carrier reported an 18% revenue increase for the period.
Jim Uhl, United Services' director of powerplant engineering in San Francisco, died April 6. He joined United in 1969 after serving in the Vietnam War, flying reconnaissance missions. United successfully launched the Boeing 777 under Uhl's watch.
Boeing yesterday reported an impressive 29% jump in first-quarter profits to $692 million thanks to strong revenues from the Commercial Airplanes division.
Revenue growth from February to March was the second-highest in the past 10 years, and the highest ever recorded for a March with no Easter break in it, a leading Wall St. analyst said. March mainline revenue for the network carriers was 25% higher than in February, said JP Morgan's Jamie Baker. This "sequential revenue acceleration" is a good sign that unit revenue gains are due more to fare increases than flat capacity, Baker said.
Continental is fighting moves by United and South African Airways to broaden their U.S.-South Africa code-share authority, saying it would back the application only if the South African government gave it the flexibility to launch a code share with a third-country carrier.
BMI British Midland yesterday named Andrew Dufty to the position of general manager of marketing. Dufty starts his job in June, reporting to Commercial Director Adrian Parkes. He joins BMI after four years with Barclays, where he was head of brand communication, and before that, six years at British Airways, where he was head of sponsorship. In his new role, Dufty will be responsible for the BMI brand, covering the carrier's long- and short-haul operations. He will oversee a team of 40 people, including five senior direct reports.
FAA Administrator Marion Blakey yesterday told the controllers' union that the agency will not return to the bargaining table but will let the contract impasse process run its course in Congress. "At this late date, resuming collective bargaining makes little sense," Blakey said in a letter to National Air Traffic Controllers Association head John Carr. Congress "is the appropriate forum" for the contract debate since that is the process outlined by statute in the event of an impasse, Blakey said.
The U.S. Homeland Security Dept. has issued a congressionally mandated solicitation for alternate technologies to counter the threat of man-portable air defense systems (MANPADS) to commercial airliners.
Outsourcing of line maintenance has to cross a huge gap before reaching the levels its counterparts in the heavy and engine maintenance sectors enjoy. But trends point to a small uptick in third-party line maintenance work in the next three years, signaling carriers might opt to farm out their day-to-day maintenance work.
Airbus won't decide on possible changes to the proposed A350 design until mid-year, CEO Gustav Humbert told reporters in Dresden. "We should not be nervous, but we have to determine how to continue with the A340 and A350," he said. Led by International Lease Finance Corp. CEO Steven Udvar-Hazy, several customers publicly stated in recent weeks that they are not happy with Airbus' current A350 design (DAILY, March 29). Airbus is studying further changes to the aircraft, Humbert stated but declined to go into more details.
Thai domestic low-fare airline Nok Air on May 1 will introduce flights between Chiang Mai and Mae Hong Son, offering nine services a week with Boeing 737-400 aircraft. The flights will be operated twice daily on Friday and Sunday. On May 5, the Bangkok-based carrier will introduce twice-weekly services on the Loei-Udon Thani route, using ATR-72s. Also on May 1, Nok Air will increase its fuel surcharge by THB100 (US$2.64) per ticket. -WD
GECAS converted conditional orders for four Bombardier CRJ-700s and placed a single firm order for an additional 70-seat jet for lease to GoJet Airlines. The airline will fly 15 of the planes once the latest five aircraft are delivered. GoJet flies its -700s for United Express. The planes are configured for six first-class seats, 28 in United Economy Plus and 22 seats in economy. -LR
GOL notched a 38% rise in profits for the first quarter, reaching its unit cost predictions and seeing less of a sting from fuel costs due to the rise of Brazil's currency against the dollar. Net income reached BRL$180 million (US$84 million), compared with BRL$130 million (US$61 million) a year ago, but GOL's margins took a tumble, falling from 22% to 20%.
The European Commission's current review of the SkyTeam alliance will be the cornerstone of the commission's antitrust assessment of other global alliances, said EU Competition Commissioner Neelie Kroes.
Now that their flights to the U.S. are no longer restricted by Category 2 status, three Venezuelan airlines are readying expansion plans to the U.S. following FAA's decision last week to upgrade Venezuela to Cat 1 in its International Aviation Safety Assessment program (DAILY, April 24). Aeropostal President Nelson Ramiz said the carrier would increase frequencies to Miami as soon as possible and expand to Orlando, Atlanta and San Juan, Puerto Rico, by yearend. "In four months, we should by flying with our own crews and aircraft," he added.
Sabre on Friday landed new deals with Delta and United that boost the global distribution system's effort to renew agreements with large U.S. carriers.
