FLS Aerospace will do C maintenance checks and other services for five Thomas Cook Airbus A320s, including two that will join the fleet temporarily. Heavy work will be done at FLS's Dublin facility, while FLS Stansted will handle component requirements. Thomas Cook subsidiary JMC Airlines, another FLS customer, owned the A320s.
Air Lib Express has operated at load factors of about 50% in the first week of April, according to Air Lib Chairman Jean-Charles Corbet. A week later, the load factor rose 65%. Air Lib Express began operations on French domestic routes as a no-frills competitor to Air France. Corbet said in an interview that he wanted to catch 10% of the 10 million annual TGV high-speed train passengers between Paris and Marseille.
Expedia yesterday reported a $5.7 million net profit for the first quarter as its revenues doubled from a year ago. The company's results easily topped analyst expectations as its profit compares with a $17.6 million loss last year. Adjusting for one-time items, Expedia posted a $28.4 million profit. Expedia's gross bookings were $1.1 billion, an increase of more than $425 million over the year-ago quarter.
By Christian Nuehlen, Senior Analyst, Morten Beyer&Agnew, Inc.
The recent move by the European Commission to introduce legislation that would allow it to investigate and sanction alleged unfair pricing practices by airlines of non European Union origin is a much-needed step towards a more harmonized regulatory framework for EU aviation. By no means does it draw its primary justification from the attempt to punish U.S. carriers for the financial aid received under the Air Transportation Safety and System Stabilization Act.
American Trans Air reported that reservations made online through the company's web site rose 57% on April 8, compared with the previous record, reached in January. Largely the result of widespread fare sales, the number of average bookings per day for the year to date is 46% higher than the number for all of 2001. The first two weeks of April have shown "significant growth," with average bookings for April 1-9 65% higher than the average in 2001. -SL
The House Transportation Committee yesterday passed two bills -- one to make construction of air traffic control towers eligible for funding under the Airport Improvement Program and the other to reauthorize funding for NTSB, including an amendment giving the safety board extra emergency funds.
Aeropuertos Argentina 2000, which holds the concession contracts for 33 airports, received good news last week from the fledgling Duhalde administration, which decided to charge international departure taxes in U.S. dollars. AA2000 CEO Ernesto Gutierrez said, "This was the only way out of a deadlock. As in previous years, we'll be collecting $50 million, which would have been only $16 million if charged in devalued pesos." Some airlines are less than enthusiastic about the move, however.
Singapore Airlines will operate two supplementary flights from Singapore to Christchurch, N.Z., Sept. 2, 2002-March 31 2003, using an Airbus A340-300 to met seasonal demand. SIA currently operates three flights a week on the route.
Varig has invested another $14.5 million to pay immediate obligations for Uruguayan national carrier Pluna. Varig owns 49% of Pluna, with the majority owned by the Uruguay government and several small shareholders. The money was needed for aircraft maintenance and leasing and to stave off possible bankruptcy.
The House Transportation Committee sent legislation designed to speed runway construction to the House floor yesterday. The bill included an amendment that strengthens language guaranteeing that the bill will not impinge on the power of state and local authorities to review runway projects. The issue of Congress usurping local authority has been one of the major concerns with this legislation. Some observers noted that while the bill language may assuage local concerns, it also leaves a large part of the project delay problem untouched.
Mongolian Airlines plans to acquire its first Boeing 737-800 under a deal between the airline and GATX Financial Corp. "We are making a tremendous step forward with this acquisition, and the 737-800 is the ideal replacement for Mongolian Airlines' 727-200s," said President J. Bayarsaikhan. The leased 737 is expected to enter service with the Ulan Bator-based carrier in July, serving destinations in China, Japan and Korea.
Two-dozen members of Congress yesterday submitted a letter to the Department of Justice resurrecting the debate over whether Orbitz has anti-competitive effects on the travel industry.
Southern Winds has suspended night flights from Buenos Aires to Catamarca in Argentina due to "lack of security at the airport," the airline said. The Argentine air force said only day flights will be allowed in Catamarca because "Aeropuertos Argentina 2000 has failed to construct a security wall to protect the runway."
The House Transportation Committee yesterday passed two bills -- one to make construction of air traffic control towers eligible for funding under the Airport Improvement Program and the other to reauthorize funding for NTSB, including an amendment giving the safety board extra emergency funds.
Singapore Airlines will operate two supplementary flights from Singapore to Christchurch, N.Z., Sept. 2, 2002-March 31 2003, using an Airbus A340-300 to met seasonal demand. SIA currently operates three flights a week on the route.
British Airways regional subsidiary BA CitiExpress will cut 12 unprofitable routes and 500 jobs, and will reduce capacity by 8% in an effort to improve results. The decisions are the outcome of the future size and shape review that BA concluded earlier this year but was also initiated for its subsidiaries.
American has doubled the number of self-service check in kiosks at its St. Louis ticket counter to eight and added two more check in kiosks at the customer service center at a second service center on the C concourse. AA first introduced the self-service check in to St. Louis customers last December.
American Trans Air reported that reservations made online through the company's web site rose 57% on April 8, compared with the previous record, reached in January. Largely the result of widespread fare sales, the number of average bookings per day for the year to date is 46% higher than the number for all of 2001. The first two weeks of April have shown "significant growth," with average bookings for April 1-9 65% higher than the average in 2001.
Goodrich, which has about $10 million invested in the Fairchild Dornier 728 and 928 landing system development and inventory, is confident that a combination of bridge loans and a partner will keep the German manufacturer afloat. "Our intelligence indicates that they will have a partner before that $90 million [in bridge financing] runs out," Goodrich President Marshall Larsen told analysts during an earnings call yesterday.
US Airways yesterday named Dan McDonald VP-fleet planning as part of its management restructuring. McDonald has spent a decade in airline planning and most recently was director-fleet planning at Delta. The position is a new one at US Airways and will include oversight of all aircraft planning and acquisitions, as well as fleet product management. US Airways also broadened Jeffery McDougle's responsibilities to VP-finance and treasurer, consolidating two officer-level positions into one. Both McDonald and McDougle start their new jobs tomorrow. -SL
American recently began installing new seats in the first-class cabin of its Fokker 100s. The seats have a larger cocktail tray table and have the first lumbar support pillow installed on AA's domestic, narrowbody aircraft. The seat pitch in the first-class cabin of the F100s will grow from 38 to 40 inches after the installation is complete. The airline spent several months testing the seats and seeking input from employees and frequent flyers. BE Aerospace manufactured the seats, and the first aircraft with the new seats entered service last month.
Varig, implementing efforts to interest new investors in a restructured carrier, last week met with BNDES, the government's development bank, to ensure its cooperation in issuing $400 million in new shares to recapitalize the company within the next six months. Varig President Ozires Silva said the relevant business and strategic plans also were submitted to some potential investors with positive results. Other information briefings are planned with banks Fator and Credit Lyonnais, two of Varig's main financial advisers.
Sen. John Rockefeller (D-W.Va.) yesterday said the time has come to stand up against Europe's trade restrictions and protest subsidiaries that give manufacturers like Airbus an unfair competitive edge. Speaking to the Aero Club of Washington, Rockefeller, who chairs the powerful Senate Commerce transportation subcommittee, said it's time the U.S.
American and Northwest this week started interline electronic ticketing, enabling customers to use a single e-ticket when their itineraries include travel on both carriers. American announced similar agreements with United and Continental last month.
