American reported yesterday that the voluntary inspections of two Airbus A300-600 vertical stabilizers and tails "revealed no findings." The airline chose the two aircraft in consultation with Airbus and FAA after records showed these planes had experienced the next highest lateral air loads after the A300 (N070) involved in the previously reported May 1997 inflight upset of AA Flight 903 (DAILY, March 12).
A Minnesota bankruptcy judge last week gave Sun Country final approval to let MN Airlines LLC invest $1.5 million to bail the carrier out of Chapter 11. The court also gave U.S. Bank, Sun Country's lender, the right to sell certain assets to MNA for $2.9 million and to begin selling their unwanted assets to other purchasers. MNA is asking DOT and FAA for an exemption to allow Sun Country to continue flights under its existing operating certificate while awaiting final approval of the certificate transfer to new ownership.
Air Canada Regional, comprising Air Nova, Air Ontario, Air BC and Canadian Regional, is expected to unveil a new name this week, sources tell The DAILY. The branding of Air Canada's regional operations could be a precursor to a spin-off, said Merrill Lynch analyst Michael Linenberg.
The consortium Aeropuertos Argentina 2000, which holds the concession for development and management of 33 airports throughout the nation, is about to diversify by acquiring from Ogden Corp. management and control of La Rural cattle fairgrounds in the Palermo suburb of Buenos Aires. Ogden would remain a minority stockholder, a position it also holds in AA2000.
US Airways' unit of the Air Line Pilots Association re-elected its officers to two-year terms beginning March 22. Following a vote by the Master Executive Council, Chris Beebe was re-elected to a third term as chairman, Bill Pollock was re-elected to a second term as vice chairman and Philip Osterhus was re-elected to a fifth term as secretary-treasurer. All three ran unopposed. Separately, US Airways new CEO David Siegel addressed the MEC in a closed session.
The regional airline industry is awaiting DOT's guidance on requirements for the third tranche of payments coming under the federal bailout provisions of the Air Transportation System Safety Stabilization Act that reimburses airlines for losses post-Sept. 11, Regional Airline Association President Deborah McElroy said last week.
FAA last week proposed a $1 million civil penalty against American Eagle for operating nine aircraft on more than 514 flights during 1998 when they were not in compliance with the company's oil consumption monitoring program. Specifications require daily engine oil level checks for Saab 340Bs and FAA alleged that company did not follow procedures. In the May 1-Aug. 24 period, 11 takeoffs were aborted due to low oil pressure caused by low oil quantity. Eagle has 30 days to respond.
Jaan Albrecht, Star alliance CEO, last week denied that this group is interested in purchasing shares or becoming otherwise financially involved in Brazil's Varig, one of its 14 members. After an extraordinary stockholders meeting, the Ruben Berta Foundation, which holds a majority stake in Varig, announced it was ready to relinquish its majority position and seek potential partners for in-depth financial restructuring (DAILY, March 12).
Lufthansa faces ever more competition in the low-fare sector following Deutsche BA's announcement that it will relaunch as a no-frills carrier on April 1. British Airways' German subsidiary said it expects to break even within 18 months as a result of the new concept and take advantage of the huge growth of low-fare carriers in the recent past. Lufthansa's share price remained virtually unchanged with the news.
Japan Airlines and Japan Air System plan to revise their proposed merger plan and continue negotiations with regulators. The statement came after the Fair Trade Commission issued a report that raised a number of concerns about the JAL/JAS deal, including a warning that the merger could result in higher fares.
United today will add a frequent-flyer security checkpoint line at Denver International Airport. The airline currently offers preferred lines at Los Angeles, San Francisco, Chicago, New York Kennedy, Newark, Boston and Seattle.
EVA Air Cargo plans to start services to Milan April 10 with twice-weekly flights. Using an MD-11 freighter, the carrier will fly a Taipei-Sharjah-Brussels-Milan-Bombay-Taipei route. EVA's plans include increasing Milan cargo service to three times per week "within the near future." In Europe, the carrier's established cargo gateways include Paris, London, Vienna and Amsterdam, in addition to Brussels.
Improper use of plasma spray during repair of certain Pratt&Whitney JT9D-7s can block holes on fifth-stage, low-pressure turbine disks, causing heat buildup that can crack the disks, FAA said in a Special Airworthiness Information Bulletin. Maintenance workers are urged to check disks for blockage, and follow P&W's maintenance manual advice to keep plasma spray from blocking holes during repairs. FAA became aware of the problem while probing a recent JT9D engine failure.
Two more U.S. carriers -- Frontier Flying Service and Evergreen International Airlines -- have quietly submitted applications for U.S. loan guarantees. Fairbanks-based Frontier Flying Service operates intra-Alaska routes, and Evergreen is a cargo and charter carrier based in Oregon. The Air Transportation Stabilization Board is still reviewing Vanguard's application.
Frontier ll begin Denver-Indianapolis service May 23. The carrier will operate two daily nonstop flights. Indianapolis is the 31st U.S. city served by Frontier JetExpress from Denver.
Five years ago March 21, 1997: Former Part 135 regional airlines faced a deadline for complying with Part 121 standards; 33 of 39 made it, FAA said. 10 years ago March 20, 1992: Southwest said it would start serving Columbus, Ohio, challenging America West's recently established hub there. 25 years ago March 18, 1977: Braniff Chairman Harding Lawrence said southwestern U.S. cities "desperately need" Concorde service to help business travelers get to Europe more easily.
US Airways over the next three months plans to restore most transatlantic operations suspended last fall. The carrier plans to operate nearly 100 weekly roundtrip transatlantic flights this summer, a 60% increase from the current 61 flights. The carrier also plans to put its larger Airbus A330-300s on many of the routes after using Boeing 767-200s during the winter. Over the weekend, US Airways restored daily nonstop roundtrip service between Philadelphia and Amsterdam, Munich and Madrid, using 767-200s, and Rome, with A330s.
FAA's Air Traffic Services, forced to cut quality-assurance positions because of budget constraints, will compensate by focusing on problem facilities. "Seventy facilities within our system have 85% of the operational errors," director Bill Peacock said last week. "We know where to focus."
American last week finished the "More Room" configuration on the last active aircraft in its fleet. The airline's international fleet of Boeing 767s and 777s was completed in addition to all the ex-TWA 767s that American inherited. American first launched the campaign in February 2000 and has made the changes on 865 planes.
United Senior VP-Planning Montie Brewer resigned from the airline to join Star alliance partner Air Canada in Montreal. Effective April 1, Brewer will become VP-commercial of Air Canada with responsibility for planning, marketing, scheduling and new businesses. He will oversee Tango, Air Canada Jetz and Air Canada Vacations. "Montie was a wonderful asset to the United family, and he truly will be missed," said United President Rono Dutta.
Argentina's Southern Winds, after its success as a commuter and more recently as a regional carrier, launched its ambitious international expansion program last week with twice-a-day frequencies between Aeroparque in downtown Buenos Aires and Santiago, Chile, with intermediate stops in Mendoza, Argentina. This week, it will start flying from Buenos Aires to Santa Cruz, Bolivia, via Cordoba, the carrier's home base.
FAA's effort to reduce National Airspace System ground-stop time is paying off, Deputy Associate Administrator for Air Traffic Services Peter Challan said at the Air Traffic Control Assoc. symposium. Through the first part of March, average daily ground-stop minutes were down more than 50% -- to 1,064 from 2,224 -- from last year's level.
