Summary of U.S. National Carriers Revenue and Expenses Second Quarter 2000 Total Operating % Passenger Freight Mail Carrier Revenues Change Revenues Revenues Revenues AirTran 160,768,982 14.82 156,213,954 -- 984,585 Aloha 72,339,665 28.02 62,723,344 6,406,692 1,704,895
American's Allied Pilots Association is awaiting more information on the proposal to buy TWA's assets before taking a stance. Management briefed the union last week, but APA President John Darrah said it did not give pilots enough detail. Darrah said information "was not dramatically more in-depth compared with what has already been widely reported by the news media." APA set up a merger committee to deal with the issue.
Midwest Express experienced a 1.5% rise in yield in December due in large part to a fuel surcharge, as fuel prices rose 45.3% in December and 64.4% in 2000. The airline does not expect to see significant fuel cost relief during the winter. Revenue per available seat mile fell 1.7% last year as higher yields were not enough to offset declining load factors.
Some TWA pilots stand to earn nearly 50% more if their airline merges with American, according to salary scales from Atlanta-based AIR, Inc.An American MD-80 captain with 30 years' experience earns $13,436 a month for 64-67 hours, 47% more than a similar TWA MD-80 captain who makes $9,129 for 73 hours of flying. An AA 757 captain with 30 years earns $14,631, or 48% more than a similar TWA captain, who earns $9,901 monthly.
The United-US Airways merger passed European Commission scrutiny with the commitment by United to divest slots at Frankfurt and Munich that would be made available to new entrants at the two congested airports to facilitate competition. The EC's concern over competition centered on four transatlantic routes between US Airways and Lufthansa hubs -- Charlotte-, Philadelphia- and Pittsburgh-Frankfurt and Philadelphia-Munich, which would add concentration that "would substantially reduce the competition previously existing between US Air and Lufthansa," the EC said.
All Nippon Airways will begin recruiting cabin attendants this month to work on its flights from London, Paris and Frankfurt to Japan. The recruitment of cabin attendants -- to be based at London Heathrow - is part of the airline's medium term corporate plan to improve service. "By employing cabin attendants with diverse cultural backgrounds and language skills, we will be reaching new heights by responding more accurately to the needs of our customers from around the world," said ANA CEO Kichisaburo Nomura.
Summary of U.S. National Carriers Systemwide Traffic Second Quarter 2000 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles % Carriers (000) Change (Miles) (000) Change AirTran Airlines 1,963 11.31 544 1,066,877 13.29
Alaska Airlines paid $1.04 per gallon on average for jet fuel in 2000, or 37 cents more than in 1999. The result is a fuel bill $110 million higher despite the fact that Alaska has one of the youngest U.S. fleets and 100% of its 94 aircraft are equipped with computers that help crews decide the most fuel-efficient flight plan.
Last year's landmark, three-year $40 billion aviation authorization ensuring that all revenue credited to the aviation trust fund is spent on aviation capital programs cleared the way for Congress to start chipping away at some of the intractable problems that do not have clear-cut solutions.
General Atlantic Partners invested an additional $25 million in Priceline Europe, bringing General Atlantic's total investment in the new company to $50 million. Priceline Europe is an independent company backed by General Atlantic Partners, Priceline.com and other investors. Priceline Europe's Web site has already gone live but expects to launch a major marketing campaign in the U.K. later this month.
U.S. airlines, airframe and engine makers unanimously support a new noise standard that would reduce noise eight decibels from current standards for aircraft in production. The industry's position, shared by the U.S., was aired last week at a meeting in Montreal by ICAO's Committee on Aviation Environmental Protection. European members of CAEP indicate they support the same range of noise reduction.
U.S. and Israel agreed to add code sharing to their bilateral aviation agreement, for a three-year period, following two days of talks in Washington. Under a memorandum of consultations, same-country and bilateral code sharing with no limitations is available immediately. Third-country code sharing for U.S. and Israeli carriers increases in phases, with two available now, a third beginning April 1, 2002, and a fourth April 1, 2003.
Lockheed Martin Air Traffic Management made a technical handover of the new en route center system at Swanwick in southern England to the U.K. National Air Traffic Services. The center is now a functioning part of the NATS air traffic control system. The Swanwick Center will be working full time, and some 600 controllers and assistants will undergo training. The Swanwick center will enter operational service in January 2002, when it will handle up to 6,000 flights a day and employ 370 controllers.
Halifax-based low-fare carrier CanJet last week said it will take delivery of its seventh Boeing 737 March 1 and will add flights to Toronto and Montreal. CanJet, which is owned by I.M.P. Group International, will add two non-stop Halifax-Montreal flights and one Montreal-Toronto flight, giving the carrier up to 42 daily flights in Central and Eastern Canada.
Continental Express will begin nonstop service between Atlantic City and Cleveland June 14. Continental Express will offer three times daily service aboard the Embraer ERJ-145 regional jet.
TRAFFIC DATA FOR DECEMBER 2000 RPMs Change ASMs Change In From In From Load Airline Millions 12/99 Millions 12/99 Factor Midway 150.4 +58.0% 224.1 +50% 67.1% Midwest Express 490.8 -0.4% 46.1 +10.1% 58.55 Skyway 29.2 +22.2% 65.2 +33.4% 44.8%
AIRCRAFT TRANSACTIONS FOR OCT 27 - 30, 2000 Seller/ New Type / Previous Operator Owner Engine Operator Boeing Air Air Boeing Algerie Algerie 737-800/ CFM56-7B24 Boeing Delta Delta Boeing 737-800/
U.S. airlines will lose $9 million the fourth quarter due to higher fuel and labor costs, Merrill Lynch estimates. In a report to investors, analyst Michael Linenberg said December quarter revenue should rise 9% and yields could grow as much as 5%. "Overshadowing the industry's strong revenue performance is a material increase in expenses," he said.
The Canadian government said last week it will place $2 billion in guarantees at the disposal of Bombardier to ensure favorable conditions to sell 75 jets to Air Wisconsin, a subsidiary of United, worth about $3 billion, in a bid against Embraer. The move prompted Embraer to issue a statement declaring that this only confirms what it has been saying for years about "illegal support practices" by the Canadian government to Bombardier.
