America West yesterday decided to eliminate its Columbus, Ohio, hub -- which has been losing $25 million per year -- and as a result will drop its regional partnership with Chautauqua Airlines, operating many of the Columbus flights with 12 50-seat Embraer ERJ-145s.
British Airways continues to manage its turn-around quicker than expected and posted significantly improved results for the third quarter ended Dec. 31, turning a 2001 GBP160 million (US$260 million) pre-tax loss into a GBP25 million profit on revenues of GBP1.8 billion (US$2.93 billion). Chairman Colin Marshall said without a war in Iraq the airline expects to make a profit for the full year, but he cautioned no revenue increase is expected in the next financial year.
Delta last week promised to cut airport check-in wait times and lines significantly at 81 airports throughout its system thanks to a combination of airport lobby redesigns, self-service kiosks and improved customer service roles for staff. The carrier promises that no e-ticketed, self-service customer stands in line longer than two minutes for any transaction, even during busy travel times. "We plan to get our customers through our airports better, faster and friendlier than any other airline," said Rich Cordell, senior VP-airport customer service.
New York jet fuel spot prices ended last week at $0.96 per gallon, which increased from the beginning of the week, and up 81.0% from a year ago, according to Deutsche Bank Securities.
British Airways' German subsidiary DBA is significantly reducing its short-term capacity because traffic is falling short of plans. The airline will pull the equivalent of two Boeing 737-300s out of service and fly 14 instead of 16 aircraft. The airline said it will reaccommodate passengers on other flights, as several hundred legs per month are affected.
Air Methods has appointed Chief Operating Officer and CFO Aaron Todd to succeed CEO George Belsey, who will retire in June. America West elected Herb Baum, chairman, president and CEO of The Dial Corp., to its board. American Airlines named Gus Whitcomb acting managing director-corporate communications, replacing VP-Corporate Communications Tim Doke, who will leave the company after a transition period. Atlantic Coast Airlines Holdings appointed Tony Rice, CEO of U.K. company Tunstall Holdings Ltd., to its board.
Goodrich bounced back in the fourth quarter, posting $11.7 million in profits last week versus $54 million in red ink a year ago, but still finished the year with 59% lower profits overall. Excluding items related to the company's purchase of TRW Aeronautical Systems and other special charges, Goodrich's total income for 2002's fourth quarter was $72 million.
U.S. airlines, already in a fierce fight to win domestic passengers, will soon face the Defense Department as their newest competitor under a new test that will start in the spring. DOD transportation officials recently announced a one-year test to expand space-available travel privileges to military family members traveling within the continental U.S. The test will begin April 1 and continue through March 31.
US Airways this spring plans to boost its frequencies on existing routes from Washington National to three Florida destinations. Beginning April 6, US Airways will add a fourth daily DCA-Orlando roundtrip flight with a Boeing 737-400. The new Tampa flight, which becomes the fourth frequency on the route, will depart DCA at 3:10 p.m., and the return flight will depart Tampa at 5:10 p.m. The new service will operate with Airbus A319s and A320s.
Peruvian startup BUSRE Airlines has begun service three times a week between Chimbote, in the northern part of the country, and Lima to serve city-pairs with little or no air service . Small domestic airline ATSA is the only other carrier flying the Chimbote-Lima route. BUSRE plans to cater mainly to business travelers. -LZ
House Transportation Committee Chair Rep. Don Young (R-Alaska) is looking for more money for the Airport Improvement Fund, and worries recent budget proposals hold AIP at its current $3.4 billion, House sources say. The aviation subcommittee holds its FAA reauthorization hearing Wednesday.
To list an event, fax information to Donna Thomas at 202-383-2438. (Bold type indicates new calendar listing.) FEB. 10-11 -- IATA legal Symposium 2003, the Airline Industry's next 100 Years, Singapore, www.legalsymposium.com, [email protected]. FEB. 10-12 -- American Association of Airport Executives, Northwest Chapter, Annual Conference and Exposition, St. George, Utah, 970-920-5384, www.airportnet.org
Air traffic operations in U.K. airspace were up 1.1% in January, compared with the same month in 2001, reports the National Air Traffic Services (NATS), mostly with new flights by bmibaby, easyJet, and Ryanair. Overflight traffic was still down 2.8%, and oceanic traffic was down 3.2%. NATS compares against 2001 data to avoid anomalies from Sept. 11 effects.
SAS Scandinavian Airlines appears close to taking over a minority stake in Lithuanian Airlines. The government wants to sell a 34% stake in the airline, and Lithuania's privatization agency reports SAS was the only contender.
Air Lib's management is suing the French Transport Ministry for not renewing its airline operator's certificate (AOC) and is talking to potential investors, spokesperson Pascal Perri said Friday in Paris. France suspended the AOC midnight Thursday after rescue talks with Dutch investment company Imca collapsed. Air Lib is appealing to Conseil d'Etat, France's highest jurisdiction for conflicts involving government agencies, to recover the right to operate.
After Varig and TAM Brazil signed a letter of intent to create a new airline, new details are emerging about the joint venture between Brazil's two largest carriers and the major players involved in the effort to revitalize the country's aviation sector. "What we are now starting is a courtship," Varig President Manuel Guedes said, describing the merger's step towards finalization by June 30. "We hope to marry in six months. But in the meantime we won't be living together."
As competition for business travelers intensifies, Virgin Atlantic Airways, the U.K's second-largest carrier, is offering Upper Class passengers who travel between the U.S. and London $400 certificates toward purchases of Dell Computer Corp. products.
No other U.S. airlines are expected to sign long-term deals with Sabre or Galileo to hand over all fares in exchange for reduced booking fees until it becomes clear what will happen when DOT's proposed CRS rule changes, according to CIBC World Markets. "It is unlikely that a carrier would lock into a three-year pricing agreement if they believe the government could implement more favorable regulations," says analyst Paul Keung.
Delta's Song 757 modifications should keep 140 Delta TechOps staff on the job through Aug. 1 and up to 100 staff through the end of September. Mods for the 36 Boeing 757s are slated to begin next month.
United on Friday reported it saved over $600,000 in the month of December, simply by using ground power sources to run its aircraft's auxiliary power units. An APU provides back-up power and air to cool the plane while the plane is on the ground. Starting in December, employees from the flight operations, maintenance and airport operations groups set out to cut the year-over-year average APU run time for aircraft turn by 11 minutes to 82 minutes.
