U.S. majors in June posted worse records for on-time arrivals, mishandled baggage and complaints than in May but lowered denied passenger boarding -- bumping -- rates for the second quarter and the first half of 2002, compared with 2001, according to DOT's Air Travel Consumer Report. The average on-time arrival rate posted by the 10 largest U.S. airlines in June, 78.6%, was lower than May's 82.8% but better than the 75.2% achieved in June 2001. Continental was first, 81.5%, followed by US Airways, 81.0%, and America West, 80.3%.
Both U.S. business and leisure fares last week were up 2% from year-ago levels, Deutsche Banc Alex. Brown reports. The business fares were 3% higher than the previous week, while leisure fares were flat.
The European Cockpit Association, Europe's pilot union, is voicing concerns over the safety of low-cost carriers in the European Union and said it will "soon" ask the European Commission to launch an investigation into their operations.
Virgin Atlantic Airways planned to introduce the newly delivered Airbus A340-600 into revenue services yesterday, with a 6:30 p.m. departure from London Heathrow to New York. The aircraft was delivered to the airline late last month and showcased at last week's Farnborough air show. Virgin has placed a firm order for 10 A340-600s that will gradually replace its existing fleet of A340-300s. Virgin plans to fly the aircraft to New York, Tokyo and Hong Kong. -JF
Aircraft Owners and Pilots Association said proposed minor changes to the Houston Class B airspace will compress VFR traffic circumventing this area, and could even increase the risk of route conflicts. FAA has proposed lowering the floor of the airspace "shelf" to protect approaches to three runways at Houston Intercontinental Airport. AOPA has been involved in discussions about the proposed changes, and further meetings are scheduled.
Troubled Irish carrier Aer Lingus posted an operating loss for 2001 of EUR50.4 million (US$49.5 million), compared with a profit of EUR79.9 million ($78.5 million)in 2000. The airline stressed, "A number of external factors" affected its operations in 2001. The outbreak of foot-and-mouth disease, worsening economic conditions and, in particular, the tragic events of Sept. 11, had a devastating impact on air travel."
George Batchelor, 81, one of the pioneers of air service between Miami and Latin America, millionaire and noted philanthropist, died Tuesday in Miami. He made his fortune with three main aviation companies -- Batch Air, Arrow Air and International Air Leases, with heavy emphasis on Latin America, especially in the areas of airfreight and aircraft leasing. As a philanthropist, he donated millions of dollars to the University of Miami's Jackson Memorial Hospital.
American's proposed shuttle serving Washington, New York and Boston is an inefficient use of scarce LaGuardia slots, argue groups representing airports and smaller carriers. They say this is a prime example of why FAA needs to introduce demand management at LGA. A prominent airline industry consultant, however, disputes these arguments, and says demand management would not prevent three carriers operating shuttle services at the airport.
NTSB is calling for an end to "maintenance misadventures," urging industry to try different approaches to eliminate human factor issues in maintenance mishaps. At an NTSB meeting yesterday the U.S. and Europe presented different methods of examining human factor issues in aircraft maintenance. Currently, no regulatory guidelines exist in the U.S., but FAA officials say there's strong interest in rewriting a 1996 study of human factors in the flight deck.
Low-cost carriers will be able to increase their market share from the current 5% to about 25% in 2010, according to a market study by Mercer Management Consulting. The study concludes that the low-cost airlines "owe their success to a superior new business design optimally tailored to meet the needs of the majority of travelers." While Mercer Management expects that new airlines "are bound to be founded" in the sector, the consultants believe that only two or three will survive in the long run.
US Airways has 44 of its Boeing aircraft up for sale or lease: four 737-300s, three 737-400s, 33 757-200s and four 767-200s. The 737-300s were built in 1985, the -400s in 1990, the 757s in 1987-1988 and 1993-1995 and the 767s in 1987-1988 and 1993.
FAA recently certified FlightSafety's latest Citation full-flight simulator at FlightSafety San Antonio Center to Level D. The San Antonio installation, the company's fourth Citation Excel unit, is the first with the recently introduced rudder bias system enhancement. It also uses a new-generation VITAL-9 visual system, first delivered to customers last September, which surrounds the cockpit with day and night scenes. FlightSafety's Visual Systems Division In St. Louis designed and builds the VITAL-9 systems, and has shipped 28 to customers since last fall.
Mesa Air Group third quarter revenue plunged to $2.7 million from $7.3 million in the same 2001 period. CEO Jonathan Ornstein, trying to put a positive spin on the results, said the airline "had a reasonably good quarter" with shares at 19 cents per share before legal expenses relating to the carrier's lawsuit with United and losses on strategic investments. Although saying he's committed to Mesa's relationships with America West and US Airways, he expressed a strong interest in "diversifying our portfolio of carriers.
Taser International executives were to meet yesterday with the Transportation Security Administration hoping to convince the agencies non-lethal weapons are safe and effective for pilots. While the decision rests with DOT, its security agency, TSA, has resisted allowing airlines to arm pilots, and Taser officials have been making the rounds on Capitol Hill seeking congressional support.
Senate Commerce Committee was forced to cancel today's scheduled confirmation hearing of FAA Administrator nominee Marion Blakey, likely meaning Deputy Administrator Monte Belger will become interim administrator when Jane Garvey's term expires Aug. 4. With Congress in recess through this month, the hearing can't be held until early September. A Senate source said the panel canceled the hearing when it was clear few Commerce Committee members would be present. "Congress went out faster than they thought," the source said.
Peru's Alvaro Barrenechea, CEO for DHL in Peru, announced Tuesday in Lima that customs service and the national association of courier operators have just installed state-of-the-art X-ray scanning equipment to speed up customs clearance and fight smuggling and evasion of custom duties, DHL contributed $100,000 to this joint project because it holds 73% share in the local courier market. With the new hardware, Barrenechea said DHL speeded up operations as much as 57% last month.
KLM on Aug. 25 will launch twice-daily Fokker 70 services between Aberdeen, Scotland, and Stavanger, Norway, linking Northern Europe's two major offshore oil drilling locations.
EasyJet yesterday finished the takeover of rival no-frills carrier Go, a GBP374 million (US$583.6 million) deal announced in May. With the transaction in place, the two airlines are expected to be fully integrated by the end of 2003 or earlier, according to easyJet CEO Ray Webster. Go will fly its winter schedule as planned, and the brand will start to disappear in December. In the summer timetable of 2003, the easyJet brand will be used for the entire operation.
Air Canada yesterday reported a profit of C$30 million for the quarter ended June 30, which it says makes it the only full-service North American carrier to post a net profit for the period. Operating income for the quarter was $62 million, an improvement of $134 million from the same period last year.
Atlantic Coast Airlines reported a $14.4 million profit, excluding special items, for the quarter ended June 30. This compares to a $12.9 million profit for the same period last year. Including special items, profit was $17.4 million. In the second quarter, the carrier reported 1.1 billion available seat miles, 40% more than last year. Passenger numbers were up 38.9% to 1.78 million. Load factor increased five points to 67.6%.
