U.S. carriers vying for expanded U.S.-Argentina operations weighed in at DOT with exhibits on proposed service plans as reports from Argentina cast doubt on completing an open-skies agreement. Argentina wants to delay ratification of the accord pending resolution of financial difficulties of Aerolineas Argentinas, which the carrier blames on American, according to local reports.
Worldspan yesterday signed an agreement with Traxxer, the KLM business unit for corporate services, under which the two companies will implement and support an online booking product designed for small and mid-sized corporate customers. The new product, E-Traxxer, is based on Worldspan Trip Manager, Worldspan's Internet-based corporate booking product. When E-Traxxer is implemented in The Netherlands this year, the site will offer real-time online trip planning and booking.
The Aircraft Accident Investigation Committee of Japan's Ministry of Transport has cited insufficient capability and function of Boeing MD-11's autopilot system as a major cause of heavy oscillation experienced by a Japan Airlines' MD-11 June 8, 1997, during approach to Nagoya Airport. The autopilot failed to respond properly when the aircraft encountered a sudden wind speed change, the committee said. A passenger and three cabin attendants were seriously injured, and four passengers and a cabin attendant sustained light injuries in the accident.
FAA and the Professional Airways Systems Specialists (PASS), after more than a year of often acrimonious negotiations and several months of mediation, announced agreement yesterday on a tentative five-year labor contract. PASS represents about 7,700 technicians and support personnel in the Airways Facilities Division. The pact reflects FAA's move to market-based pay-for-performance and also reflects its new "core compensation" system, the agency said. The union, in return for higher pay, agreed to maintain current staffing levels.
Some $54.4 million in aid grants for airports has been cut from the fiscal 2000 transportation appropriations act as part of an across-the-board recission. The 0.38% cut in appropriations was directed by Congress. The DOT cut is relatively painless for the FAA, since none of the $1.95 billion in fiscal '00 appropriations for grants-in-aid for airports can be obligated without an authorization.
U.S. Carriers Commission Expense Third Quarter 1999 Major Carriers % Of Total Commission Operating Expenses Alaska 26,654,000 6.62 America West 29,461,358 5.90 American 289,734,000 7.49 Continental 132,157,000 6.81 Delta 197,112,000 5.60
FedEx yesterday received 14 new orders for its Stage 3 noise reduction kits from Pegasus Aviation, Emery Worldwide, Delta, Miami Air International and Finova Capital Corp. This brings firm orders from Pegasus to 50 of the kits, retaining its status as the largest FedEx Stage 3 aircraft kit customer after Delta and United.
Delta completed its acquisition of Comair Holdings yesterday and now holds all outstanding shares of the Delta Connection carrier. The acquisition will permit both airlines "to further improve customer service," said Fred Reid, executive VP and chief marketing officer.
TWA will launch Trans World Express nonstop service from Greenville/Spartanburg, N.C., and Charleston, S.C., to St. Louis in February. Trans States Airlines, which operates as Trans World Express, will operate 50-seat regional aircraft on the new routes. The TWA/TWE destinations are part of the airline's first RJ operation that also will include RJ service to Peoria, Ill., and Northwest Arkansas. Both Trans States, a 15-year TWA marketing partner, and new partner Chautauqua will launch RJ service this year.
AccessAir is hoping to restart scheduled service by March 15, following its November Chapter 11 bankruptcy filing.A senior executive at the airline told The DAILY it is currently operating two of its four Boeing 737s on charters "to help the cash flow," and a third is scheduled for a maintenance C-check next week. The U.S. Marshals Service is using one aircraft to transport nonviolent federal prisoners and George W. Bush's presidential campaign is using one 737 to ferry the press corps following the primary races.
Planet Airways, a Fort Lauderdale-based jet carrier, received FAA and DOT certification to begin charter passenger service more than two and a half years after its initial application. The airline, which has its headquarters in Orlando, currently has 30 employees and owns and operates one Boeing 727-100 purchased from S-C Aviation Services with a 128-seat configuration. The airline plans to file for an initial public offering during its current fiscal year in order to acquire an unnamed "tour and travel company" and to expand its fleet to 10 aircraft.
The fatal Crossair Saab 340 crash, which killed all 10 on board Jan. 10, hits the Swiss regional airline during a hefty fight with its pilots union over a possible pay raise and work rules changes. The union canceled the pay agreement with Crossair in December, with a termination effective summer 2000. The dispute escalated after Crossair pilots told Swiss media that some foreign pilots employed by Crossair pose a safety risk because of an insufficient knowledge of English. Flight LX 498's crew consisted of a captain from Moldova and a copilot from Slovakia.
SITA and AAR Corp. will form a joint venture to build a "revolutionary" electronic marketplace to provide products and services to the air transport industry, the companies said yesterday. The multiple application e-business initially will feature auction-based supply of spare parts, they said. When launched this summer, the on-line marketplace will provide an Internet site that will enable the industry to source, buy and sell products and services instantly, the said.
Priceline.com posted record revenues of $3 million Monday, which the company attributed to results from the launch of a national television advertising campaign. The Internet company said yesterday that its airline booking service set a seven-day sales record, selling 80,000 airline tickets, while its hotel service also set a seven-day record, selling more than 20,000 room nights.
Korean Air (KAL) has applied to the Ministry of Construction and Transportation to re-open the Seoul-Hainan route and to launch flights to Guilin in southeastern China. Flights to Hainan were suspended in March 1998 when the number of Korean travelers to the Chinese tourist resort dropped drastically following the Asian economic crisis.
U.S. Carriers Rental Expense Third Quarter 1999 Major Carriers % Of Total Rental Operating Expenses Alaska 50,564,000 12.56 America West 93,132,167 18.65 American 286,457,000 7.40 Continental 247,594,000 12.76 Delta 264,888,000 7.53
SITA formalized a memorandum of understanding with Seattle-based Tenzing to form an alliance to offer FlightConnect services on the SITA Satellite Aircom air-to-ground communications network. Tenzing's FlightConnect system will enable passengers to use laptop computers and existing e-mail accounts to send and receive messages while in flight. SITA said it will interface with the Tenzing system and provide the off-aircraft air-to-ground link using SITA's Satellite Aircom communications network, beginning early next year.
Correction: Air Transat pilots are represented by the Air Line Pilots Association, International. The Jan. 11 DAILY incorrectly stated the pilot representational body.
The Jan. 14 deadline for proposals for privatization of LaGuardia and Kennedy airports has been extended to Jan. 28 at the request of several potential respondents, the New York City Economic Development Corp. said yesterday. The EDC issued a request last October for privatization proposals, saying it intends to replace the Port Authority upon expiration of its airports lease in 2015. EDC President Michael Carey said that due to the "complex nature of this important project, the city and EDC have decided to extend the deadline for two weeks.
U.S. Supreme Court yesterday upheld a federal law that revenues generated at an airport must be used for airport expenses and development, rejecting an appeal by Los Angeles International Airport. The airport was sued by the Air Transport Association in a dispute over the diversion of landing fees to the city of Los Angeles. In 1993, LAX tripled landing fees as part of what airlines called a broader plan to divert airport revenue to the city's general treasury.
Belgian Transport Minister Isabelle Durant, under heavy attack because of her plans to ban all night flights at Brussels National Airport, said she is open to compromise. "I am open to all adjustments, provided they meet the spirit of my project, which is to protect the sleep of local residents", Durant said Sunday in Brussels. Durant wants to stop all flights between 1 a.m. and 5 a.m. starting in summer 2003. "It was not an easy decision to make," she said. "Many things have been said on the subject of aircraft noise at night these past 10 years.
AviationX Inc. selected Breakaway Solutions as its technology systems integrator yesterday. The startup Internet company retained Breakaway Solutions to "refine the scope of its aviationX.com network through its full service offering," the company said in a statement. A dedicated Breakaway Solutions team is partnering with members of AviationX's advisory board and "early user group" to review the company's network and web site and adjust its functionality to suit a wide range of industry users.
InterCanadian's best hopes for survival were dashed yesterday when the Fonds de Solidarite de Quebec said it would not invest in Montreal-based regional. FSQ spokesman Jean Robillard said, "This company is losing money and will always lose money in this market," a comment echoed by FSQ Secretary-General Rene Roy. Roy told The DAILY FSQ was willing to invest up to C$15 million in InterCanadian, but the carrier would have required about C$50 million.
The aviation market in upstate New York continues to gain great attention as an untapped region, as startup airline Oneida Airlines revealed plans to launch operations using Syracuse Hancock Airport as a hub. The carrier likely will file with DOT and FAA by the end of the week to obtain fitness certification. Howard LaMunion, marketing director and a principal with the startup airline, told The DAILY yesterday that the airline's investors have been meeting with Arlington, Va.-based consultants AvMark Inc. to prepare the DOT filings.
CityBird will start charter operations in Paris and Brussels on March 31, Victor Hasson, chairman of the Belgian low-cost carrier, said yesterday in Brussels. The company, which operates scheduled long-haul services to North America, will acquire three Boeing 737-400 aircraft for its new charter business. One of the aircraft will be based at Paris Charles de Gaulle airport, while the two other will be stationed at Brussels National airport. A fourth aircraft, a Boeing 737-800, will be delivered in 2001.
