Air Canada is winning international passengers from U.S. carriers because of the challenging U.S. visa requirements when transiting the U.S., claims Air Canada CEO Robert Milton. He told the Wings Club in New York that "demand is bolstered by the convenience" AC offers, making the airline an obvious choice for travelers between Asia and Latin America.
North American airline unit revenues sank 2.9% in October on a 4.8% increase in capacity, according to new ATA data, largely due to a drop in domestic U.S. yields.
Sen. Ted Stevens (R-Alaska), expected to take over as Senate Commerce chair, and incoming Ranking Member Sen. Daniel Inouye (D-Hawaii) will continue the panels' focus on aviation, sources said. The two are expected to push telecommunications reform, but a Stevens spokeswoman said aviation will still be central. Inouye told The DAILY aviation is "very much" a priority. "After all, I'm from Hawaii."
Lufthansa Cargo is evaluating whether to place orders for the proposed Boeing 777 freighter or the Airbus A380. "Both aircraft are offering improved conditions as far as operations and costs are concerned," CEO Jean-Peter Jansen said in an interview in Singapore last week. "So we have to look into both aircraft to see which is a good solution." An aircraft type like the 777 is a very good fit for markets, especially for markets with direct operation and frequencies," Jansen said. -JF
The U.S. Dept. of Transportation plans to make a tentative decision on allotting China routes "sufficiently quickly, so the winners can start getting things lined up" to begin flights in March, said Assistant Deputy Secretary Karan Bhatia. Final briefs are due today, and "we're looking to move quickly after that," he told The DAILY.
The operator of the Chubu Centrair Airport, which will open on Feb. 18, has reduced the landing fees to JPY655,700 (US$6,292) from the initial planned JPY695,200 (US$6,669) for Boeing 747-400. Yukihisa Hirano, president of Central Japan International Airport Co., said the operator was unable to reduce the charges further. The fee beats the JPY948,000 (US$9,092) charged by Narita Airport and JPY825,000 (US$7,912) charged by Kansai Airport near Osaka. Centrair's charge, however, is twice that of Seoul Incheon Airport.
The danger of a potentially devastating air traffic control strike in Germany has been averted, after ATC provider Deutsche Flugsicherung (DFS) and the controllers' union GDF reached an agreement late last Thursday in time to meet a self-imposed deadline. The controllers will receive a 1.9% increase in pay plus extras for weekend work and shifts on public holidays. In return, GDF agreed to more flexible work hours and in other areas. -JF
Varig President and CEO Luiz Martins, breaking the silence while the public and private sectors debate how to solve the airline sector's crisis, said government aid was "imperative" to ensure his carrier's viability.
Icelandair is looking at increasing the stake it holds in low-fare carrier easyJet. "We haven't set a figure for how much of easyJet we want to buy," Chairman Hannes Smarason said in an interview on Friday. "It's an option we keep open in the short term." Icelandair in October bought 10.1% in Europe's second-largest low-cost airline (DAILY, Oct. 28).
To list an event, send information to Ron Brown at [email protected] (Bold type indicates new calendar listing in PDF format.) NOV. 24 -- The Society of Automotive Engineers, World Aviation Congress, Hilton Hotel, Reno, Nev., 800-441-2919, e-mail [email protected] DEC. 2 -- International Air Service Seminar, Fairmont Washington, Washington, D.C., 202-293-8500x 3019, e-mail [email protected]
Pilot hiring so far this year is already almost double last year's total, AIR, Inc. says. Through October, 8,209 pilots were added to payrolls, compared with 3,978 in all of last year. U.S. carriers hired 687 pilots in October versus 452 last year. Of the 46 largest carriers, 29 are recruiting pilots. There are 9,231 pilots on furlough as of Nov. 1.
The Transportation Security Administration (TSA) is rotating staff between its headquarters and the field, naming Las Vegas Federal Security Director Jim Blair as the agency's new assistant administrator for aviation operations.
American parent AMR Corp. elected Matthew Rose, chairman, president and CEO of Burlington Northern Santa Fe Corp., to its board. Center for Asia Pacific Aviation appointed former Air New Zealand Chief Operating Officer Andrew Miller as its director-consulting. JetFleet Canada Ltd. promoted Kirk Watson to senior VP-technical services. National Aircraft Resale Association elected Brian McNulty, VP-business development at J.P. Morgan Property Exchange, as chairman of the Associate Member Advisory Council, effective in 2005.
American last week cut walk-up fares at South Florida airports and also eliminated a number of ticketing restrictions in what the airline describes as a major fare restructuring in the region. American's new price structure reduces the number of coach fare levels for Miami flights. Saturday night stay requirements have been eliminated, and tickets for nonstop itineraries to and from Miami are available for one-way purchase. The changes also apply to Fort Lauderdale and West Palm Beach airports.
United on Friday won approval from the bankruptcy court to extend the exclusivity period to submit its reorganization plan through the end of January. It will be two years next month since the airline first filed for Chapter 11 and it still doesn't appear close to submitting a reorganization plan. The latest extension was expected, and the airline will likely file for more time at the end of January. The exclusivity extension prevents any other groups from submitting a competing reorganization plan to the court. -SL
Independence Air is close to selling four CRJs and plans to exit its Lansing, Mich., and Dayton, Ohio, markets Jan. 2 to bolster cash reserves as it struggles to remain in business. An airline spokesman said the closures at Lansing and Dayton would affect about 29 employees, who have the option to move to another one of the carrier's stations.
ATA has finalized its $15 million debtor-in-possession (DIP) financing deal with the Indiana Transportation Financing Authority (ITFA), and the deal has been approved by the bankruptcy court.
