The number of airliners for sale or lease dropped from a record 1,036 in February to 950 in March, the first month-to-month decline since before Sept. 11, according to BACK Aviation Solutions.Biggest decliners: DC-9/MD-80s (129 to 105); CRJs (16 to 4); 757s (44 to 35) and A320s (38 to 28).
United Parcel Service has opened its intra-Asia hub in the Philippines. The move is aimed at speeding delivery times for goods in and out of Asia. The new hub has a central sorting point within four hours of all major Asian cities and opens nearly one year after UPS began direct service between the U.S. and China. The 23,000-square-foot facility is located at the former Clark U.S. air base. UPS said the intra-Asia trade market is expected to be one of the fastest growing for years.
Italy's AzzurraAir signed a five-year extension for BAE Systems Regional Aircraft's JetSpares, which includes spares inventory, logistics and maintenance. AzzurraAir flies four Avro RJ70s and three RJ85s in a code-share deal with Alitalia. They have been under JetSpares since 1997, and the extension, valued at $11 million, was awarded following a competitive-bid process.
Comair this week began service from Cincinnati to Flint, Mich. Comair will fly four nonstop roundtrips each day using Canadair Regional Jets. Delta is also offering double SkyMiles to customers who fly from Atlanta to Huntington, W.Va., or Monroe, La., April 7-June 30.
Swiss, the newly formed airline incorporating Crossair and parts of Swissair, and Italian carrier Meridiana have joined the Assn. of European Airlines (AEA). Swiss steps in as successor of defunct Swissair. Meridiana serves 11 destinations in Italy as well as Amsterdam, Barcelona, London and Paris. Its predecessor Alisarda was formed by the Aga Khan in 1963 to support Sardinia's tourism industry.
Midwest Express yesterday said it will retain its current travel agent commission structure. Travel agents will earn a 5% base commission, with a maximum of US$20 (C$28) per roundtrip or $10 (C$14) on a one-way ticket. The company said that while some consumers are purchasing tickets online or through the airline's reservations center, a significant number of passengers continue to buy tickets through travel agencies.
EADS Aeroframe Services will do all heavy maintenance on JetBlue's Airbus A320s for the next five years, the company reports. Air Canada had been handling the work for the U.S. carrier. EADS also recently won a multi-year deal to heavy checks on some of Air Jamaica's Airbus fleet, including A320s, A321s and A310s.
Delta, trying to catch up with many of its competitors, plans to invest $5 million on 300 additional airport kiosks that will be installed throughout its domestic operation by yearend. Currently, the carrier has 114 kiosks in 31 domestic cities, but they are for use by frequent flyers only. Delta has been far outpaced in kiosk implementation by United, Continental and Northwest. The new Delta kiosks will enable any e-ticketed Delta customer traveling on the airline's U.S. domestic system to check in, print boarding cards, change seats and check baggage.
Bombardier returned to the bargaining table yesterday with union representatives of about 8,000 workers who a day earlier staged a 24-hour strike at three Canadian plants. Talks between Bombardier and the International Association of Machinists and Aerospace Workers Lodge 712 have dragged on since August. The workers last week voted to increase pressure on Bombardier management during contract negotiations, which are bogged down over pensions, outsourcing and paid leave for holidays and sick days.
Australian Airlines (AAL), Australia's new international carrier wholly owned by Qantas, will launch operations Oct. 27. Initial flights will involve phasing in services between Cairns and Osaka, Fukuoka, Singapore, Taipei, Hong Kong and Nagoya between the launch date and December. Bookings for the flights will open next month. According to Qantas CEO Geoff Dixon, the second phase of operations will involve service from a second base in southern Australia early next year to a number of destinations, including Phuket, Thailand, and Kuala Lumpur, Malaysia.
DOT issued consent orders against Travelocity.com and Site59.com, imposing compromise civil penalties against the Internet travel sites for failing to state the full price charged for airline tickets. Travelocity.com did not, as is required, include fuel surcharges and other specific fees in its advertised prices in a certain search feature. DOT also pointed out non-compliance in the flexible-date search feature, which did not display all charges until the booking page appeared, rather than on an initial pricing screen.
Continental regional subsidiary ExpressJet increased the amount of shares it plans to issue by 30% when it launches its public offering. In an amended proxy with the Security and Exchange Commission, the company said it plans to sell 26 million shares, up from 20 million in the original filing. ExpressJet will sell 10 million shares of common stock and Continental, as the selling stockholder, is selling 16 million. The IPO prices will remain $14-16 per share.
Alaska Air's board plans to eliminate the company's shareholder rights plan or "poison pill" provision. A "substantial percentage" of the company's shareholders, including Providence Capital, "have recently told us they prefer that we eliminate the rights plan," Chairman John Kelly said. "In response, the board decided to eliminate the plan for now." In general, corporations institute shareholder rights plans as one means of "maximizing value in the event of a hostile takeover," the carrier said. Some shareholders argue they discourage acquisitions altogether.
Newark Airport plans to open a new six-level, 3,200-space parking garage on April 7. The garage, near AirTrain Newark Station E, will join a four-level, 3,400-space parking structure across from Terminal C that has been opening in stages since last July. The two structures, financed by the Port Authority of New York and New Jersey and built at a cost of $250 million, bring the total number of parking spaces at Newark to nearly 19,000.
FAA is considering requiring planes with 10-19 seats to install lockable doors between the cockpit and the cabin, but wants industry feedback before issuing any rules. The input will be considered as part of a larger plan to enhance security on smaller commercial aircraft, the agency said. FAA wants input on the feasibility of putting doors on these planes -- many of which come with no cockpit doors -- as well as alternatives to adding doors and suggestions for other security improvements.
Hawaiian Airlines reported a $10.2 million fourth quarter net loss, down from a $20.4 million loss in the same 2000 period. Unusual fourth quarter items include a special $22.3 million credit associated with the federal grants and $3.2 million in merger-related expenses. The airline for the year posted a $5.1 million profit for full-year 2001 compared with a $18.6 million loss the year before. "Although the final quarter numbers reflect the profound effects of the Sept.
Spirit Airlines signed a deal with PROS Revenue Management to create a custom-configured system for the carrier. "PROS is a key partner to help Spirit reach and exceed important financial benchmarks," said Tom Anderson, senior VP-marketing.
Chile's top air transport official yesterday in Santiago called on Latin American governments to liberalize aviation trade rules -- a proposal mostly met by stony silence from a host of aviation officials gathered at the event. Javier Etcheberry, Chile's minister of transport, opened a private session of Latin American transport ministers by urging governments to embrace open skies.
Association of European Airlines Traffic February 2002 February 2002 Passenger Data % % Pts. RPKs Change ASKs Change Load Change Region (Mil) 02/01 (Mil) 02/01 Factor 02/01 SHORTHAUL Europe 8,154.2 -9.7 13,439.9 -15.4 60.7 3.9 North Africa 413.4 -16.8 591.0 -17.3 69.9 0.5
American named Gerard Arpey, 43, president and chief operating officer of the airline, putting him in line to eventually succeed CEO Don Carty. Arpey was previously executive VP-operations. Arpey joined AA in 1982 and was chief financial officer from 1995-1999. The news came just a few weeks after Vice Chairman Bob Baker retired.
Southwest next month is planning to its expanded maintenance center at Dallas Love Field, comprising a 90,000-square-foot office and support building and a two-aircraft hangar bay. The office portion of the hangar is on track to be completed by May 15, with the first group of employees slotted to move into the building as early as May 17. The completed aircraft ramp surrounding the facility should be available June 1. Coating of the hangar floor will start May 16 and will be cured by June 28, with the completed floor available by July 1.
JetBlue will install in-aircraft cameras in its fleet of 24 Airbus 320s -- slated to grow to 34 by yearend -- over the next few months, giving pilots a view of activity in the cabin. The carrier received FAA approval for the security enhancement plan, and FAA reviewed the system installed on the first aircraft last week, with a second expected this week. JetBlue announced plans to retrofit its aircraft with four in-cabin cameras when it began cockpit door upgrades (DAILY, Oct. 16, 2001).
Vietnam Airlines will lease two Boeing 777-200ERs, which will be delivered in March next year. Both aircraft will be deployed on the Hanoi-Paris and Ho Chi Minh-Paris routes, replacing the 767-300ER. Both services are operated three times a week each via Dubai. With the delivery of the 777s, the flights to Paris will be operated nonstop and the Ho Chi Minh service will be increased to four frequencies a week. VN also has four -200ERs on order, placed last May.
Cathay Pacific Airways plans to reinstate several flights to North America and Jakarta that were suspended late last year. Starting June 1, Cathay Pacific's service to Los Angeles will increase from seven to 10 flights a week. The airline's service to Vancouver will grow from 11 to 14 flights, beginning July 1; at the same time, San Francisco will switch equipment from an Airbus A340-300 to a higher-capacity Boeing 747-400. Also starting July 1, Jakarta will get back two flights a week, resulting in the resumption of a daily nonstop service.
