Aviation Daily

Staff
US Airways reported yesterday that it plans to base most of its new regional jet flying in Pittsburgh, and it expects to keep some of those jets operating under a renamed wholly owned subsidiary. The airline plans to revive the operating certificate of Potomac Air, which ceased operations last October, and change its name to MidAtlantic Airways. With its headquarters at US Airways' Pittsburgh hub, MidAtlantic expects to begin operations in the fall, using an undetermined number of RJs, subject to government approvals.

Staff
Afrinat (Gambia) International Airlines received DOT authority to provide scheduled and charter service between Banjul, The Gambia, and New York, using wet-leased aircraft. Although the carrier is 95% owned by a citizen of Ghana and 5% owned by a citizen of The Gambia, DOT waived substantial homeland ownership and control requirements.

Staff
America West yesterday named three new vice presidents. Scott Bowers will become the carrier's VP-revenue management after serving as senior director of pricing. Bowers is a 16-year veteran of AWA. Kenneth Feldman was promoted to VP-marketing after serving as senior director-marketing. Randy Richards will serve as VP-cargo and comes to AWA from AIT Worldwide Logistics, where he was director of U.S. field operations.

Staff
Japan Airlines tomorrow will introduce its first Boeing 767-300ER into scheduled service. The aircraft has a longer range and greater fuel efficiency than JAL's older 767s. The new -300ERs are part of the airline's plan to replace its MD-11s and DC-10-40s that are being phased out. The -300ERs will be introduced on routes from Japan to and from Korea, China and Southeast Asia during the year and will offer two-class service. As of May 30, JAL has a fleet of 26 767s of various types with an additional seven 767-300ERs on order.

Staff
Airbus expects to start June with 132 deliveries in 2002, putting it on track to meet its stated goal of 300 for the year, CEO Noel Forgeard said yesterday in Toulouse. June should be a big month, pushing the delivery total to 160. By early July, the 2003 delivery picture should be more clear, but right now, "we remain hopeful that we will be able to achieve a similar performance -- about 300 airplanes," he said.

Staff
Southwest took the top ranking in a new airline index based on online consumer behavior and performance metrics. Jupiter Media Metrix yesterday unveiled its new Composite Rating of Online Effectiveness (CORE) Index that it claims will help airlines "assess their competitive strengths and areas of exposure online." The index, which will be updated every six months, is made up of individual scores relating to unique visitors, usage frequency, customer loyalty, online sales and online growth or percentage change in unique visitors in the first quarter of 2002.

Staff
Minneapolis-St. Paul Airport this weekend plans to open new regional Concourses A and B and six new jet gates on an expanded Concourse C. In total, 36 new gates will be available through this $85 million phase of the expansion, with five additional jet gates scheduled to open on Concourse C by yearend. "Our new regional facility is among the first in the nation to offer dedicated gate hold areas and loading bridges for regional flights," said Charles Nichols, chairman of the Metropolitan Airports Commission.

Staff
US Airways will start service to Belize City, Belize, and Providenciales, Turks & Caicos, from Charlotte, N.C., in November, with four weekly flights to each of the Caribbean points, using Airbus A319 aircraft, configured for 120 seats in two classes. The carrier received broad U.S.-Belize and -Turks & Caicos authority and plans to expand to service from Philadelphia and to increase aircraft size as the market warrants. (Dockets OST-02-12208, 12259)

Staff
United today starts a summer baggage embargo to several Central American markets due to the high volume of travel. The embargo lasts through Aug. 15 and is for flights from the U.S. to Guatemala City, Guatemala; San Salvador, El Salvador, and San Jose, Costa Rica. Because passenger loads during the summer time "are extremely high," each checked piece of baggage must be within the "free allowance" weight and size limits. No excess baggage or oversize/overweight baggage will be accepted. Only one box is permitted as part of the two-bag limit.

Staff
Heico Corp., which specializes in making spare parts under FAA-granted parts manufacturer approval (PMA), signed a seven-year deal to provide United with certain engine and component spares, the companies announced. Terms were not made public. The deal, the third such arrangement with a major flag carrier, could mean $100 million-$150 million in revenue for Heico. The Hollywood, Fla.-based company has similar deals with American and Lufthansa.

Staff
Prime Minister Tony Blair yesterday named Alistair Darling as the new U.K. transport secretary, shifting Darling from the post he has held for the last four years and tightening up the portfolio to focus exclusively on transportation. Stephen Byers, who resigned May 28, oversaw transportation, local government and the regions. Darling, a close associate of Chancellor of the Exchequer Gordon Brown, served as work and pensions secretary since 1998.

Staff
Members of Swiss pilots union Aeropers have agreed to a pay deal with Swiss International Air Lines that calls for reducing pilot pay by 35% from the former Swissair level. A total of 83% of the pilots accepted the agreement, while 17% rejected it. Aeropers published the results of the vote late Tuesday. "Our members have come to the conclusion that they, as well as Swiss, need this deal," Aeropers Managing Director Christoph Ulrich said.

Staff
Liquid hydrogen fuelled aircraft are a workable alternative to fossil fuels, the European Commission said yesterday as it announced the first results of European research project "Cryoplane." "The Cryoplane research project shows use of liquid hydrogen is technically feasible and would greatly reduce the environmental impact of aviation without affecting safety," the EC said. The European Union-sponsored research project is led by Airbus and brings together 35 European companies and organizations from 11 EU countries.

Staff
While awaiting diplomatic negotiations to settle the five-year dispute between Brazil and Canada over export subsidies for their Embraer and Bombardier jet aircraft (DAILY, May 23), the Brazilian foreign office has estimated at $3.36 billion the amount of retaliation damages which, in theory, Canada would have to pay to Brazil on the entire line of its exports. The Latin country has asked the World Trade Organization (WTO) to include this item on the agenda of the group in charge of settling trade disputes, scheduled to meet June 3.

Staff
Atlantic Southeast Airlines yesterday identified Baton Rouge, La., and Montgomery, Ala., as the locations of two new line maintenance facilities planned to open this summer. The Delta regional subsidiary initially will employ eight people at the Baton Rouge facility, which will conduct line maintenance on regional jets, starting in the near future.

Staff
Finnair, continuing its effort to streamline by shedding all activities but flying aircraft, is in talks to outsource its information technology and ground services needs. The airline this week signed a letter of intent with ABB Service to discuss ground-service operations, and is talking to IBM about IT needs. Finnair employs about 400 IT staff and 40 ground-service workers. It expects to transfer the jobs as part of the outsourcing deals.

Staff
Antonio Mata, CEO of revamped Aerolineas Argentinas, yesterday announced a code-sharing agreement with Continental, to be implemented in July or August. "They will carry on their U.S. route network all AR passengers arriving in Miami and New York," Mata said, "and we will do likewise in Argentina with Continental passengers arriving in Buenos Aires." -LZ

Staff
Orbitz CEO Jeff Katz last year made $1 million in salary and bonus, according to a recent securities filing. Katz's three-year contract provides a base salary of $500,000, subject to increase, and an annual performance bonus up to 200% of base salary. The contract also provides a stock option grant of 250,000 shares after the company's public offering.

Staff
Japan Airlines and Thai Airways plan to expand their existing code-share partnership to include domestic flights in Japan and Thailand starting June 3. JAL and Thai's current code share on flights from Nagoya, Kansai and Fukuoka to Bangkok will continue, and the two carriers also will maintain their independent operations on routes to Bangkok from Tokyo, Kansai and Nagoya. Starting next week, JAL will code share with Thai Airways on four domestic routes daily from Bangkok to Chiang Mai, Chiang Rai, Hat Yai and Phuket.

Staff
Sun Country CEO David Banmiller leaves the airline this week, the carrier announced yesterday, a little more than a year after he arrived and as Sun Country moves forward following its bankruptcy, reorganization and sale, through which Banmiller guided the carrier.

Staff
U.S. Rep. Tom Lantos (D-Calif.) is expected to introduce legislation next week that will increase the retirement annuity for veteran air traffic controllers. The National Air Traffic Controllers Association says this legislation will provide an incentive for more controllers to stay in the FAA longer, which will help alleviate a peak in controller retirement that is expected to occur in the second half of this decade.

Staff
Europe's Joint Aviation Authorities (JAA) certified the Airbus A340-600 yesterday, clearing the way for the world's longest airliner to enter service in July with Virgin Atlantic. Certification came some 13 months after the first model took flight (DAILY, April 24, 2001) and following 1,600 test-flight hours flown by three aircraft.

Staff
Aer Lingus plans to continue suspending flight operations tomorrow after its pilots union, Impact, announced it would go on strike today. "As a result of strike action...and their [the pilots'] ongoing refusal to cooperate with the full implementation of the survival plan, Aer Lingus will not be in a position to recommence operations on Friday," the airline stated.

Staff
Embry-Riddle Aeronautical University recently graduated 30 in its first class of students from the new Aviation and Space Technology Academy. The academy, which was started by the university to address the nation's shortage of aircraft maintenance technicians, offers a 16-month program leading to certification of airframe and powerplant technicians. An additional four-month certification program in avionics maintenance also is offered. The academy will produce 180 new A&P technicians annually, said Program Director Stan Mackiewicz.