Pratt&Whitney's newest engine, the PW6000, completed its first flight test this week keeping the engine on track to enter service in 2002. The PW6000 is the launch engine for the new Airbus A318. The test engine was mounted on the right wing of P&W's Boeing 720 flying test bed aircraft. Initial data showed the engine performed exactly as predicted during the flight, which lasted one hour and 20 minutes.
A Canadian mediator's recommendations for settling the dispute between Air Canada and its Air Canada Pilots Association would involve a "significant financial commitment" for the airline, but management is willing to consider it further because it would bring long-term stability to the company, Air Canada said yesterday.
DOT granted Flightexec Corp. an exemption to conduct cargo charters between the U.S. and Canada and other charters to and from the U.S. The Canadian carrier operates service from its London, Ontario, base with one Falcon 50. (Docket OST-00-7356)
United and its Air Line Pilots Association this week are tackling some of the toughest areas of the contract negotiations that fall under scope, including regional jet flying alliances, code sharing, revenue sharing and pilot job security. Both sides are keeping silent on the progress of talks, but a United ALPA spokesman said, "The state of progress frankly is almost totally dependent on United management's willingness to take a serious approach to negotiations."
TWA, despite the fact that New York jet fuel spot prices are up 53% from a year ago, said it will drop a previously announced increase in its cargo fuel surcharge that was to go into effect Sept. 1. Joe Vilmain, VP-cargo, said the increased cost of fuel "remains a significant concern to TWA; however, we have decided not to implement any additional surcharges at this time." The existing fuel surcharge of 10 cents per kilo on international shipments and 2.5 cents per pound on domestic shipments will remain in effect.
Sabena posted a net loss of 86.6 million euros (US$78 million) in the first half of 2000, up from a net loss of 14.1 million in the same period of last year. Revenues increased 12.8% to EUR1.18 billion ($1.06 billion) in the first six months of 2000. The results of SAirGroup's Belgian subsidiary were hit by the strong dollar and high fuel costs, like other airlines, but Sabena admitted it had difficulties of its own.
News has emerged from the corridors of the Civil Aviation Administration of China (CAAC) in Beijing that deadwood among second-tier regional and domestic carriers would be weeded out from CAAC's proposed grouping of the country's 34 airlines. This confirms earlier fears expressed by some carriers about the uncertainty of their future. Two weeks ago, CAAC said that some of the smaller carriers would be merged with larger ones. Since then, the DAILY has learned that CAAC may ground unprofitable airlines and cancel their operating licenses.
United, Austrian, Lauda Air, Lufthansa and SAS filed at DOT for approval of and antitrust immunity for their alliance expansion agreement and an amended coordination agreement that would extend immunity to United's agreement with the "Austrian Group" -- Austrian, Lauda and Tyrolean Airways.
China Southern has opened a cargo drop-off station at New York Kennedy Airport, offering connecting freight service to China. In order to make China Southern's Boeing 747-400 flights from Chicago to Shenzhen, China, every Wednesday, Friday or Sunday, shipments must be dropped off before 6 p.m. one day before flight departure.
Frontier signed an aircraft lease agreement yesterday for one additional Boeing 737-300 from International Leasing Finance Corp. The aircraft will be available for service Sept. 15. The airline plans to start service to Washington National Airport Sept. 7 and increase frequencies in key markets.
AccessAir expects to start scheduled service by the end of September after 10 months of fundraising and reorganization. The Des Moines, Iowa-based carrier stopped flying in November 1999 after filing Chapter 11 bankruptcy less than one year after starting service. Local businessman John Ruan III has pledged $13 million to get the recovering airline flying again with hopes that a new management team, a revised business plan and fresh marketing initiatives will lead to solid growth.
AIRCRAFT TRANSACTIONS FOR JUNE 15 - 16, 2000 Seller/ New Type / Previous Operator Owner Engine Operator Transavia Royal Airlines Babcock&Brown Boeing 757-200 RB211-535E4 Boeing All Nippon All Nippon Boeing 777-200ER Airways Airways PW4084A
U.S. and international airlines canceled flights to many Caribbean destinations yesterday as Hurricane Debby hit the islands with maximum sustained winds of 75 miles per hour. Most airlines, including Continental, TWA, US Airways, Delta and American canceled flights serving Puerto Rico as well as the British and U.S. Virgin Islands. Most airlines hope to restore normal operations by the end of the day.
Cathay Pacific Airways plans to install a version of its new first-class cabin on its fleet of Airbus aircraft, beginning in January 2001. The new cabin will be fitted on 12 of the airline's Airbus A340-300s and four of its A330-300s. The move follows a decision to install a new first-class product on Cathay's fleet of Boeing 747-400s in May 1999. The new product features a fully horizontal sleeper seat and personal televisions. Cathay currently operates a fleet of 65 widebody aircraft, including 14 A340s and 12 A330s.
Citing the tidal wave of rulemaking since the crash of TWA 800, the U.S. National Transportation Safety Board's final report on the accident will not include any recommendations to reduce fuel tank flammability. Instead, the board will encourage continued studies on fuel tank system safety and closely monitor rules proposed by U.S. regulators that address short- and long-term fuel system safety concerns.
Correction: United proposes to serve Odessa, Ukraine, under code share with Austrian via Vienna, not via Frankfurt with Lufthansa as reported Aug. 22 in The DAILY. United serves Kiev, Ukraine, under code share with Lufthansa via Frankfurt.
Nearly all carriers ran into record high prices at the fuel pump again last quarter, so the best test of an airline's success was how senior executives managed revenues and controlled unit costs. Companies that hedged their fuel needs and posted increased traffic and yields offered the most impressive second quarter surprises. U.S. airlines had little choice but to swallow the bitter pill of fuel prices that spiked 47%.
The founding SkyTeam members -- AeroMexico, Air France, Delta and Korean Air -- have implemented Sabre's Alliance Manager. The group will use the Alliance Manager to increase its alliance name and frequent flyer brand recognition for passengers using Sabre-connected travel agencies. The feature will enable partner airlines to "maximize visibility" by providing the opportunity to display only the flights within the alliance membership to travelers. At a customer's request, a travel agent can sort schedules based on the traveler's frequent flyer program preference.
The Boeing 767-400ER received its flight-crew qualification endorsement from the FAA yesterday. This endorsement means that the 767-400ER shares the same type rating with existing 767-200 and -300s, and a common type rating with the 757-200 and -300. More than 26 airlines around the world operate both 757s and 767s. Delta and Continental take delivery of their first 767-400ERs this month.
Moving quickly to address a nagging and potentially serious problem, FAA yesterday issued an airworthiness directive calling for enhanced checks on parts of General Electric CF6 series engines that have been linked to uncontained failures. The expected directive, effective in 30 days, calls for ultrasonic inspections of high-pressure compressor Stage 3-9 spools in CF6-45s, -50s, -80As, -80C2s, and -80E1s.
