Korean Air, in honor of the 2002 World Cup soccer matches in Seoul, unveiled five different aircraft liveries for the occasion. Korean Air CEO Y. H. Cho believes the World Cup will boost the airline's revenues by 270 billion won (US$207 million) this year.
Traffic at the seven British airports operated by BAA increased in February -- by a modest 0.3% to 8.2 million passengers -- for the first time year-over-year since the Sept. 11 attacks, the airport operator said last week. Short-haul routes showed traffic increases, "largely attributable to intensifying competition by the low-cost scheduled airlines," BAA said. The operator said that North Atlantic traffic posted a "substantial recovery" but was nevertheless down 7.7% compared with February 2001.
Holding company Cintra, which controls AeroMexico and Mexicana, has scheduled a regular shareholders meeting March 19. The main item on the agenda will be the financial restructuring program for Cintra and its subsidiaries. This confirms earlier reports that the breakup of Cintra and sale of its assets will be postponed until the current worldwide aviation crisis improves.
United over the weekend launched the next phase of its "We Are United" advertising campaign on U.S. national television. Commercials will feature some of United's "most dedicated customers, an industry first," the airline said. The company this year will spend 40% less on advertising than in 2000.
Delta plans to move forward with its previously announced $400 million redevelopment of Terminal A at Boston Logan. As part of the new construction project, Delta Shuttle operations will move from Terminal A to Terminal B, starting April 7. The carrier vowed that all Delta Shuttle amenities and services, such as self-service kiosks, as well as complimentary newspapers and magazines, will continue to be offered in Terminal B. Delta mainline, Delta Express and Delta Connection flights will remain in Terminal C.
FAA and industry sponsors named Dick Schultz, chief fight instructor at the John D. Odegard School of Aerospace Sciences at the University of North Dakota, the District's Flight Instructor of the Year.
Air France's traffic increased 2% in February, the French carrier said last week. "February featured a very satisfactory commercial performance and confirmed the rebound in traffic to last year's level." Air France managed to lift its load factor to 76.7%, up 2.4 points, and stressed that it was also improving profitability, as revenue per available seat kilometer increased "for the first time since July 2001."
Standard&Poor's Director Betsy Snyder last week remained "skeptical" that David Siegel will be successful at solving US Airways' regional jet and scope troubles. Siegel takes over as CEO today. Despite his experience with the Embraer RJ at Continental, Snyder believes he faces a different challenge. "Continental grew its operations internally and did not have the constraints" facing US Airways, she said.
FAA today will fill the agency's top two government relations posts, naming Brian Riley to be assistant administrator for government and industry affairs and David Broome as deputy assistant administrator for government and industry affairs. Riley is director of FAA's budget office, which he joined during the second Clinton administration from the Senate Budget Committee, where he was a senior transportation analyst for Sen. Pete Domenci (R-N.M.). Broome is a legislative assistant to Sen. Bill Frist (R-Tenn.).
America West elected Derek Kerr senior VP-financial planning and analysis; Larry LeSuer VP-Phoenix hub operations; Joette Schmidt VP-customers and inflight services, and Mark West VP-purchasing.
Air Transport Association expects this week to announce final plans for formation of an airline-funded insurance program -- a risk retention group -- to provide war risk insurance coverage. Equitime, based in Vermont, will be administered by Marsh and McLennan risk and insurance subsidiary Marsh. ATA is awaiting final word from DOT on continuation on the government's war risk insurance program -- slated to end March 20 -- to provide a bridge to the startup of Equitime, whose premiums are expected to cost half as much as the government's.
Already reeling from Argentina's worst recession in history, the country's airlines will have to face increases in fuel prices as high 30%, as proposed by suppliers Repsol YPF, Esso and Shell after adjusting prices when the peso was devalued a few days ago. Airline market figures for the first two weeks in February show 23.82% less domestic traffic and 56.32% less international traffic, compared with the same period last year. This represents a 59.32% decline in sales for the entire sector.
30 years ago March 16, 1972 Sen. Clifford Case (R-N.J.) calls "inexcusable" FAA's plan to place magnetometers at the 87 airports handling 90% of enplanements, rather than at all 531, charging that a hijacker "typically strikes where protection is weakest or non-existent." 20 years ago March 15, 1982: Failure to implement FAA's user tax-funded 20-year ATC modernization plan will raise industry costs and limit future growth, Administrator Lynn Helms said, predicting no new airports or expansion of facilities "in the foreseeable future."
Converting certain Boston center sectors to reduced vertical separation minima (RVSM) transition airspace -- and more efficient aircraft routing -- has been delayed six months to give Nav Canada enough time to prepare a key part of its airspace for the changes.
The Iranian National Aviation Organization (INAO) plans to restructure the local aviation industry by merging the smaller local regional airlines of Kish Air and Mahar Air with national flag carrier Iran Air. Kish and Mahar operate leased Russian Yak 40s and Tu-154s, while Iran Air operates a small fleet of aging Boeing 747SPs and Airbus A300B4s. After the restructuring and merger, INAO plans to open Iran Air to private investment.
ATR is promoting its ATR-42 turboprop to FedEx as a replacement for the Ayers Loadmaster Cargo, which is no longer under development. ATR Marketing President John Moore told The DAILY that FedEx is looking to replace its Fokker 27s and eyeing a turboprop for future growth. The ATR-42 is "readily adaptable" for cargo, Moore said.
Employees of private firms working at Charlotte Airport were the subject of an interagency effort -- "Operation Access Denied" -- that on Friday resulted in 47 arrests and indictments against 66. Charges include providing false information for obtaining airport security badges. All but one defendant are believed to be undocumented aliens.
WestJet last week confirmed an order for two additional Boeing 737-700s. Deliveries are scheduled in November and December this year. In total, WestJet will take delivery of 10 737s during 2002, six of which will be leased from GE Capital Aviation Services. Last week's orders were previously accounted for in Boeing's published order totals and attributed to an unidentified customer. The two aircraft bring the total number of 737-700s WestJet has on firm order with Boeing to 28. The airline also holds options for 46 other airplanes.
Boeing is close to taking a significant stake in regional aircraft maker Fairchild Dornier, sources tell The DAILY. The move would shake up both the regional and large aircraft market because of the reach and depth Boeing would gain. Industry sources in Germany said on Friday that a final decision on the deal could be only days away.
British Mediterranean Airways last week started service with its new Airbus A321-200 on the London Heathrow-Beirut route. The aircraft is leased from debis AirFinance and is the first of two that the airline has on order. The second will be delivered this month.
Stuart Oran, the architect behind UAL Corp.'s ambitious fractional business jet startup Avolar, resigned from his post as president Friday at the same time the parent company dropped plans to make additional investment or seek outside investment in the venture. "Avolar is pursuing a new business plan that will enable it to realize its value without additional investment from UAL or the involvement of private equity investors," the company said. To date, UAL has invested more than $100 million in Avolar.
