Geneva's administrative court ruled that the complaint lodged by Air France against Geneva Airport's future low-cost T2 terminal was not receivable, Aeroport International de Geneve (AIG) said. Air France filed the lawsuit last year on allegations that the terminal gave easyJet an unfair competitive advantage, but last September the Swiss competition authority ruled that the creation of a low-cost terminal with reduced fees was not tantamount to illegal state aid (DAILY, Sept. 28).
Taser International's stock price plummeted nearly 30% yesterday to about $14 per share after the U.S. Securities and Exchange Commission (SEC) started an "informal inquiry" into the company's safety claims and reports of potential delays in stungun orders from law enforcement agencies.
Independence Air won lease relief on some of its 50-seat CRJ-200s as an $83 million payment looms this month, but at least one ratings agency did not put a lot of faith in the deal's ability to help the carrier stifle steep losses in the coming months.
Domestic traffic grew 11.7% and load factor improved 6 points to 66% in 2004 compared with 2003, figures from Brazil's civil aviation department (DAC) show. International load factor increased slightly from 75% to 76% in the same period. Most airlines adjusted capacity to demand, for 2.5% additional average seat offer domestically and 7.1% internationally.
Bolivia's decision to subsidize jet fuel by discounting the cost by 10% was hailed by local airlines, especially Aerosur and LAB, who publicly thanked the government for the decision. The discount went into effect on Jan. 1. Aerosur had actually threatened to block the runway at the Santa Cruz airport if the discount was not approved, reported DAILY affiliate AvNews Latin America & the Caribbean.
New startup Skybus Airlines is seeking an operating certificate from the U.S. Transportation Dept. to provide low-fare scheduled air service between Port Columbus International Airport in Ohio and other U.S. cities.
U.S. Secretary of Labor Elaine Chao yesterday said the Bush Administration plans to overhaul the Pension Benefit Guaranty Corp. (PBGC) and the way it is funded. "I have become increasingly concerned as the number of terminated plans grows and the PBGC is forced to assume ever larger liabilities," said Chao, who also serves as chairman of the board of the PBGC. "If nothing is done, the financial integrity of the federal insurance system will be compromised and the pension security of 34 million workers and retirees will be more at risk."
Chile's international passenger traffic continued its upward growth through the first 11 months of the year by growing 5.6% from year, but fell by 2.6% in November to 308,319 passengers.
Lima Airport Partners (LAP) in February plans to unveil several new additions at the airport following a $130 million upgrade. Among the additions and improvements is a new apron with boarding areas as well as an immigration and customs areas equipped with new X-ray scanners. There is also a new shopping area. The first floor of the old terminal has been remodeled and the second floor now hosts the domestic and international boarding areas, service facilities, and office and shopping space.
American recently applied for one more U.S.-Japan combination frequency to add a 14th weekly flight between Dallas/Fort Worth and Tokyo, effective May 10. The airline asked the U.S. Transportation Dept. to expedite consideration of its request, citing "ample frequencies available in the unallocated pool."
Brazil's low-fare carrier Gol in December posted a sharp 23.2% jump in traffic, outpacing the 17.8% capacity increase. Load factor grew 3 points to 76%.
Air France plans to take delivery of its first Airbus A380 in April 2007, the airline reported yesterday and will initially fly the plane to North America. Three of the 10 A380s on firm order will join the fleet in the spring of 2007. The A380s will initially operate between Paris and New York as well as Montreal. Tokyo and Beijing will see A380 service in the summer of 2008. In addition to the 10 firm orders, Air France holds options for four more aircraft. The first A380 will be officially rolled out on Jan. 18 in Toulouse.
EasyJet posted strong traffic growth in December, as the airline took delivery of more Airbus A319s. The airline's passenger count jumped 28% to 2.1 million compared to the same month last year. Last week, its biggest rival Ryanair reported a 9% increase in passenger numbers to 2.2 million for the month (DAILY, Jan. 6). "EasyJet will continue to outstrip Ryanair over the winter on traffic growth, but that's a function of capacity rather than demand and Ryanair will expand in the summer," BNP Paribas analyst Nick van den Brul said.
Honeywell recently named Robert Gillette as head of its Aerospace business to replace Robert Johnson, who plans to retire in January 2006. Johnson plans to remain with the company for a year as non-executive of the aerospace division to "facilitate an orderly transition," Honeywell said. Gillette has been with Honeywell since 1996 and has been CEO of the company's Transportation Systems business since July 2001. Adriane Brown is succeeding Gillette. Brown was recently VP and General Manager of Honeywell Aerospace Engine Systems and Accessories. -LR
Sen. Ted Stevens (R-Alaska) last week was named to chair the Senate Commerce Committee, taking the reins from Sen. John McCain (R-Ariz.) as part of several committee leadership changes.
All Nippon Airways plans to add a surcharge to all international fares starting Feb. 1 to help offset the higher fuel prices, even though crude oil costs have dropped in recent weeks. The airline promised to discontinue the surcharge if the average monthly price of Singapore fuel drops below US$40. The highest surcharge is 2,500 yen (US$25) per passenger per flight on ANA flights to the U.S. and Europe. A surcharge on domestic fares of Y200-Y300 (US$2-$3) was previously announced and was implemented on Jan. 11.
Private equity investors Cinven and BC Partners have submitted a joint bid to buy global distribution system Amadeus, and are willing to pay more than EUR4 billion, according to European industry sources.
Clarification: Merrill Lynch predicts the U.S. major airlines will lose $2.3 billion for the fourth quarter 2004. The DAILY listed an incomplete time period for the expected loss (DAILY, Jan. 10).
Singapore last week sent a mobile air traffic control tower to Indonesia's Banda Aceh airport to replace the tower that suffered earthquake damage, and improve the flow of aid flights. The airport has been the main gateway for the humanitarian airlift, but has been struggling to cope with the heavy traffic. U.S. Secretary of State Colin Powell highlighted the need for improved ATC capability during his recent visit. The mobile tower will increase the airport's arrival rate, the government said.
The LAN group of airlines plan to take delivery of four purchased aircraft and three on lease this year as part of its fleet renewal plan. Of the seven, two Airbus A319s will be used to strengthen domestic routes, while two Boeing 767-200s will be used for cargo, which accounts for over a third of LAN's revenues. And two passenger 767-300s will be held in reserve for eventual route expansion to Argentina, Brazil, Australasia and China. -LZ
Four new airlines have started the application process to secure operating licenses in Peru, says Minister of Transportation Jose Ortiz, thanks to a new civil aviation law passed last month by the country's congress. Ortiz, however, could not reveal their names "for strategic reasons," but he is confident they would help to meet growing demand in domestic and international routes, especially to the U.S. -LZ
