Aviation Daily

Staff
SkyWest on March 1 plans to start daily Delta Connection flights between Medford and Redmond/Bend, Ore., and Salt Lake City. SkyWest plans to offer two flights with 50-seat CRJ-200s from Salt Lake to each Oregon destination.

Staff
Air Canada yesterday named Montie Brewer president and CEO of Air Canada, while Robert Milton will remain chairman in addition to his title of chairman, president and CEO of parent company ACE Aviation Holdings. Brewer joined Air Canada in April 2002 from United, where he was senior VP-planning.

Staff
United predicts that without additional labor savings, it will record an operating loss of $725 million in 2005, instead of the $1.27 billion profit it forecast in its ATSB loan application. Additionally, its cash balance will likely fall below $750 million by May, and its 2006 operating profit will be only $26 million, instead of the $1.7 billion it forecast.

William Dennis
Singapore Airlines Cargo became the first foreign carrier to receive the General Administration of Civil Aviation of China's dangerous goods permit, which will let the airline carry dangerous goods on all its flights to China. The transportation of such items is allowed as long as it complies with the IATA dangerous goods regulations. SIA Cargo currently operates 10 weekly Boeing 747-400F flights to Beijing, Shanghai, Nanjing and Xiamen, six of which proceed to the U.S.

Staff
United this week hired former ATA Airlines CFO David Wing as its new VP and controller. Wing had a brief stint as ATA's CFO (DAILY, June 30) and also worked for American, where he managed the financial details of the carrier's international expansion. At United, Wing will oversee the processing and reporting of all financial transactions, including statutory reporting. He will start at United on Jan. 3 and will report to United CFO Jake Brace.

Staff
The merger of the ground-handling division of TAP with that of private carrier Portugalia did not contain any element of state aid, the European Commission ruled this week. TAP's ground-handling was renamed Servicos Portugueses de Handling (SPdH) and as a consequence of the merger, Portugalia took 6% of the capital of the new combined company. "No state resources were put at the disposal of SPdH, and purchaser PGA has paid a market price," said the commission.

Steven Lott
Delta CEO Jerry Grinstein's plans for 2005 cover a wide range of priorities, including a renewed lobbying effort in Washington to push for permanent reform of pension rules and several projects to regain the trust of the flying public.

Michigan Dept. of Transportation

Luis Zalamea
Peru's public transportation regulator Ositran last week denied a request by Lima Airport Partners (LAP), concessionaire of Lima Jorge Chavez Airport, to charge a controversial fee to in-transit passengers (DAILY, Oct. 6). In its ruling, Ositran says such a charge cannot be implemented because it is not provided in LAP's current concession contract, though the concessionaire can attempt to amend it legally. -LZ

Steven Lott
Eclipse Aviation last week rolled out the first certification flight test aircraft in preparation for first flight, slated to happen by yearend. "Rollout of N503EA is an important symbol of the real progress made in the Eclipse 500 program," said CEO Vern Rayburn. "Over the coming months, we will have five test aircraft flying, as well as airframes for static and fatigue testing." He said the Eclipse 500 remains on track for FAA certification in March 2006.

Steven Lott
By Steve Lott Eclat Analyst: Aaron Taylor The battle for precious gates at constrained U.S. airports is no longer reserved for legacy airlines, as the first bout involving only low-cost carriers has exploded in recent days at Chicago Midway and the victor will surely reap the benefits and set a precedent for the future.

Luis Zalamea
Lima-based cargo carrier Cielos Airline last week inaugurated twice-weekly DC-10 service between Bogota and Los Angeles to carry flowers and other perishables from Bogota to the West Coast of the U.S. and Canada. Cielos has a fleet of DC-10s and now becomes the first cargo airline to serve the West Coast regularly from Bogota. -LZ

Martial Tardy
The European Commission will take Austria, Finland, Italy, Germany and Luxembourg to the European Union's Court of Justice for failing to implement a 2002 legislation on aircraft noise, the commission reported yesterday.

Staff
Mexican airport operator Asur reports that passenger traffic at the nine airports it manages in southeastern Mexico -- including Cancun -- grew 8.2% in November from the same month last year.

Angela Kim
The Transportation Security Administration is providing $21.9 million to help Chicago O'Hare Airport with the costs of installing in-line baggage screening systems, adding to the $37.5 million TSA gave the facility for the same purpose in Fiscal Year 2004 (DAILY, May 7).

Luis Zalamea
Brazil's low-fare, low-cost Gol Airlines' market share increased 4.9 percentage points in November 2004 from the same month last year. Revenue passenger kilometers jumped 40.9%, and available seat kilometers improved some 22.5%. Load factor was up 9.4 percentage points to 72.3%. -LZ

Staff
Chile-based LAN Airlines for the southern hemisphere's high summer season (Dec. 31-Feb. 28) will double its weekly frequencies between Santiago and Bariloche, Argentina, from two to four flights per week. The flights will operate directly or with a stopover in Puerto Montt, Chile.

Staff
British Airways U.K. Airports Director Mervyn Walker quit his job, assuming responsibility for the airline's nightmarish London Heathrow staffing problems earlier this year. The airline's Heathrow operations were significantly disrupted in the summer because of a staff shortage.

Aviation Daily

Luis Zalamea
Brazilian senators and congressman unhappy with the executive branch's proposal to help struggling carriers like Varig and VASP (DAILY, Dec. 13) hurried to draft an alternate solution.

Steven Lott
United yesterday detailed its planned temporary and permanent pay cuts for all non-union paychecks by as much as 15% though next summer, which the carrier said will save about $112 million annually.

Eclat Consulting

Luis Zalamea
Air France has asked for a seventh weekly Bogota-Paris frequency from Colombia's civil aviation department. Richard Honigsberg, Air France general manager for Andean Pact countries, said, "Daily service is essential both to passengers trying to find space at more competitive fares and to the airline for cutting average operational costs and improving business-class offer." -LZ

Steven Lott
Delta and Alaska Air yesterday set Jan. 10 as the launch date for the code-share flights first unveiled several months ago. Next month, Delta will put its code on Alaska flights from Seattle and Anchorage to five destinations, while Alaska will add its code to Delta flights from Seattle, Anchorage and Portland, Ore., to four cities.