Boeing will stand by its 20-year forecast for jet aircraft Latin America, Mexico and the Caribbean despite the sector's current slump and economic slowdown. Drew Magill, Boeing's Commercial Airplanes' VP-marketing for the Americas, told DAILY affiliate Aviaglobal air traffic growth should recover to pre-Sept. 11, 2001, levels (about 8% a year) as the region's economies overcome their present slump.
Continental plans to start three weekly flights between Houston and Aruba, beginning June 12, pending government approval. The new flights will depart Houston on Monday, Thursday and Saturday. The return flights will depart Aruba on Tuesday, Friday and Sunday, with the flights being operated with 124-seat Boeing 737-700s. Also on June 12, the airline will launch daily service from Newark to Port of Spain, Trinidad and Tobago. The flight will be operated with a 155-seat Boeing 737-800. -SL
Air France said it would operate close to 90% of flights scheduled Feb. 17-20 despite a planned pilot strike that it described as an "absurdity". The strike will have a damaging effect on the company "in the current air transport context, which is certainly the worst in history, especially with war looming in the Middle East," it said.
Alianza Sur, the newly formed joint operation of Argentina's LAPA and Bolivia's Aero Sur, has submitted specific operational plans to civil aviation authorities in their respective countries.
Sen. Frank Lautenberg, (D-N.J.) introduced a bill declaring air traffic control functions to be "inherently governmental." The bill, supported by the National Air Traffic Controllers Association, comes in response to administration plans to designate ATC a commercial rather than governmental function. Lautenberg plans to attach his bill to the FAA reauthorization legislation.
Delta's pilot's union yesterday strongly rejected management's recent overtures for talks about possible changes to their contract that would likely include concessions. The existing contract does not become amendable until 2005, and "management cannot initiate discussions for early modifications without making a specific proposal with detailed justifications," says MEC Chairman William Buergey.
United CEO Glenn Tilton in Chicago this week reassured about 250 management-level employees and the airline's creditor committee in New York that his plan for the new low-cost carrier "will provide another avenue for growth to United pilots, flight attendants and other employees."
The Latin American International Air Transport Association (AITAL) recently addressed a high-level request to the region's governments and civil aviation authorities for early implementation of the Bavaro Declaration, which provides for a series of internal measures to alleviate the current crisis in the airline industry.
NTSB plans next week to release the probable cause of an accident involving a restored Boeing Stratoliner that ditched into Elliot Bay in June 2001 in Seattle, Wash., after the engines lost power. Although NTSB's report will provide a lengthy factual account of the crash, a board investigator told The DAILY the obvious cause of power failure in the engines was fuel exhaustion.
There is a wide gap between FAA and industry estimates for airport capital development costs during the next three years, General Accounting Office (GAO) Civil Aviation Director Gerald Dillingham said yesterday.
SAS managed to improve its financial performance last year but still posted a SEK450 million (US$52.68 million) pre-tax loss. President and CEO Joergen Lindegaard said the airline would not publish any guidance for 2003 because of the current geopolitical instability. The company's revenues increased 26.3%, from SEK51.4 billion (US$6 billion) in 2001 to SEK64.94 billion (US$7.62 billion), mainly due to consolidation.
The United and US Airways code-share partnership continues as new routes open for sale this week and new code-share flights from Washington Dulles and Philadelphia start operating today. The major highlight for United is that the latest expansion gives United the ability to add its code to the US Airways Shuttle flights, traditionally rich with business travelers going between Boston, New York LaGuardia and Washington National. The new code-share flights go on sale this week, and begin operations with a United code on Feb. 27.
ExpressJet Airlines is pushing 27 Embraer ERJ-145XR deliveries during the next two years into 2005 and 2006, the carrier said yesterday. Partner Continental Airlines proposed the changes because of the economic downturn and industry overcapacity. The new schedule calls for 26 aircraft this year -- a 12-aircraft cut -- and 21 aircraft in 2004, instead of 36. But 2005 deliveries would rise from two to 21, and the eight remaining deferred aircraft would be delivered in 2006.
The conflict between airlines and travel agencies in Mexico over commission cuts to 1% intensified late last week, when American announced it was also reducing commissions to 1%; British Airways is expected to follow suit. AeroMexico, sister carrier Mexicana and Continental recently cut agency commissions, and the debate has been dragged from the business to the legal arena in the nation's congress (DAILY, Jan. 31.).
Some influential voices emerged in the aftermath of last week's announcement of a Varig/TAM alliance in Brazil, most importantly Carlos Lessa, new president of public sector development bank BNDES, which could participate in financing the project "after it is certain that both airlines are progressing toward a merger" and have submitted a viable business plan.
Visitors from Europe, Asia, Australia and Israel can design their own itineraries on Grupo TACA flights in tourist or business class with coupons that range from three to 16 destinations. Using the TACA Air Pass, valid until March 31, 2004, travelers may reach 35 destinations in Central America, North and South America and the Caribbean. Stays at each destination fluctuate from five to 180 days.
Cost controls and the beginnings of a recovery in bookings helped global distribution system Amadeus yesterday report a surprising 20.5% net profit gain for 2002 on 4% stronger sales. Profits reached EUR148.6 million (US$159 million) for the year on EUR1.86 billion (US$1.99 billion), buoyed by a "strong fourth-quarter performance, despite the tough conditions in the travel industry overall," said CEO Jose Antonio Tazon.
Atlantic Coast Airlines (ACA) is eager to add 70-seat aircraft to its fleet if United opts to use larger regional jets as part of its recovery from Chapter 11 bankruptcy. "We're ready to move," an airline spokesman told The DAILY, contending that aircraft certification and pilot training could be accomplished quickly.
Rep. John Mica (R-Fla.) was reaffirmed as chairman of the House Transportation aviation subcommittee yesterday. Rep. Chris Chocola (R-Ind.) is the newly appointed vice chairman, and Rep. Peter DeFazio (D-Ore.) was named ranking Democratic member.
The Antigua-based Caribbean Star plans to relocate its headquarters to St. Kitts as part of a $2 billion dollar investment program aimed at stimulating the regional economy Under an agreement with the local government, the airline's founder, Allen Stanford, chairman of the Stanford Financial Group, said he would move the airline and establish a fixed-base operation at Robert Bradshaw Airport. A temporary office will open within 90 days, and construction of a permanent building will start within 180 days.
