Aviation Daily

Luis Zalamea
With the local petroleum industry going strong, Venezuelan carrier Aeropostal Alas de Venezuela has augmented its expansion plans to include the carrier's first all-cargo service from Miami to Caracas, Valencia and Maracaibo. "In spite of Venezuela's political turmoil, the petroleum industry continues to thrive and require more freighter service," said major shareholder and CEO Nelson Ramiz. The all-cargo flights will operate three times weekly with Boeing 727 freighters.

Steven Lott
Virgin Blue yesterday inked a deal with LiveTV to install the live satellite television service on its aircraft, becoming the first customer outside of North America for the JetBlue wholly owned subsidiary.

Staff
Hertz car rental will offer wireless high-speed Internet access in its facilities in more than 50 major U.S. airports by the end of the first quarter 2005. The wi-fi Internet service will be provided by Wayport, which sells network memberships for use at airports, hotels and McDonalds restaurants. Non-members pay a one-time connection fee.

Eclat Consulting

By Jens Flottau
In what is the largest civil aircraft order of the year, Air Berlin yesterday bought up to 110 Airbus A320s to aggressively build its fleet and in turn stabilize the company's position as Europe's third-largest, low-fare airline.

Steven Lott
Air Canada yesterday reported a record October system load factor of 77.7% as traffic grew and the airline kept a lid on capacity growth.

By Adrian Schofield
NASA's Ames Research Center has awarded Raytheon a one-year follow-on contract to expand the Airspace Concepts Evaluation System (ACES), with an option for two more years. The one-year contract and the two options are each worth $3 million.

By Adrian Schofield
The Civil Aviation Navigation Services Organization (CANSO) has added three European air navigation service providers (ANSPs) as full members. The addition of Poland's PATA, Bulgaria's ATSA, and Georgia's Sakaeronavigatsia brings the total CANSO membership to 70. CANSO has 39 full ANSP members and 31 associate members including industry suppliers, airlines, consultants and academic institutions. The addition of PATA means 22 of the 25 ANSPs from EU member states are members of CANSO.

Denise Marois
Screening all-cargo aircraft and doubling the cargo on commercial aircraft that is checked for explosives are among the disparities House and Senate conferees have yet to resolve in the aviation portions of H.R.10, the House version of an intelligence reform bill, and the Senate's version, S.2845.

Staff
Lisa Piccione, one of Delta's top Washington lobbyists, plans to resign from the airline to become senior VP-government affairs at the National Business Aviation Association. Piccione also worked as the congressional lobbyist for the Airports Council International-North America and served as a top aide to several members of Congress, including Rep. Peter DeFazio (D-Ore.), ranking member on the House Transportation aviation subcommittee.

Staff
ATA Holdings Corp. will be delisted from the Nasdaq stock market tomorrow because of its Chapter 11 bankruptcy filing. Nasdaq added the letter Q to the company's ATAH stock symbol on Oct. 29 to indicate its filing status.

Lori Ranson
Alaska Airlines ordered 25 sets of blended winglets built by Aviation Partners for installation on its Next Generation Boeing 737-800s, set for delivery in 2005. The deal also includes retrofitting the carrier's 737-700s. Alaska said winglet-equipped planes would cut takeoff noise by 6.5% and reduce engine emissions. Using its average annual 737 aircraft utilization rate of 4,000 hours, Alaska said the winglets would reduce fuel burn by 120,000 gallons or 3.5% a year. -LR

Eclat Consulting

Staff
American Eagle plans to start daily service from Dallas to San Luis Potosi, Mexico, on Jan. 5, using 44-seat Embraer ERJ-140s. The single daily flight expands Eagle's Mexican flights to six destinations. The carrier already flies to Aguascalientes, Leon, Guadalajara, Monterrey and Torreon.

Angela Kim
The U.S. Transportation Dept. (DOT) fined Alaska and its sister carrier Horizon $30,000 for an each-way fare advertisement that did not adequately display a restriction that the fares are valid only for roundtrip purchases. In Alaska and Horizon ads that ran April 15-21 in The Tri-City Herald in Eastern Washington and other newspapers, the airlines failed to disclose "prominently and proximately to the fare," the roundtrip condition of the "Daylight Savings" promotion, DOT's Enforcement Office said.

Angela Kim
Lockheed Martin said the Transportation Security Administration (TSA) chose the Bethesda, Md.-based company to lead a $5.3 million research project to improve the technology of explosives detection systems (EDS). Funded by a cooperative agreement grant from TSA under its Phoenix Project, Lockheed Martin will focus on designing and developing technology "to increase machine throughput, improving efficiency and enhancing current EDS threat detection capabilities," the company said.

Kimberly Johnson
High jet fuel prices blamed for ransacking airline profits may soon begin chipping away at airport revenues, Fitch Ratings said yesterday. Since October 2003, oil prices have increased from $30 a barrel to the current $50 per barrel. Jet fuel prices, however, have surged about 90% in the same period, Fitch said.

Kimberly Johnson
Tuesday's elections will usher in a change in aviation leadership across the board in both the House and Senate, throwing the future of pending legislation into uncertainty.

Staff
Indonesian private carrier PT Star Air on Nov. 8 will introduce daily flights between Jakarta and Kuala Lumpur, using MD-83 aircraft. The carrier hopes to tap the growing Indonesian labor traffic on the route.

Angela Kim
The U.S. ratified the Cape Town Convention last week, becoming the fifth country to approve the international legal framework to facilitate financing and leasing of large commercial aircraft and engines.

Martial Tardy
Alitalia inched toward recovery earlier this week when its auditors, Deloitte & Touche, certified its first-half accounts.

Steven Lott
Orbitz, which will be acquired by Cendant Corp. in the coming weeks, reported a 30% jump in third-quarter profits to $5.1 million thanks to strong growth in hotel bookings. Revenue in the quarter grew 20% to $77.5 million. The profit includes $1.4 million of non-cash compensation charges relating to an April 2002 restructuring of outstanding stock options and $4.2 million in expenses related to the Cendant acquisition. Excluding these items, adjusted pre-tax net profit would have been $9.7 million, up from $3.9 million last year.

Seabury Airline Planning Group

Steven Lott
Delta reported that its proposed public debt exchange had been oversubscribed for one class of short-term bonds but that the response has so far has been much lower for the other two classes of bonds. Delta said the value of bonds in the two other closes "is substantially below" the minimum tender conditions. If the short-term bonds are the only ones exchanged, the airline may be able to defer the $235 million in debt due next year by issuing the same amount of new notes due in 2008. The exchange offer will end on Nov. 18, unless it is extended. -SL

Steven Lott
Delta next year plans to launch weekly nonstop service from Atlanta to St. Croix in the U.S. Virgin Islands with Boeing 737-800s.