Aviation Daily

Staff
BAX Global named Richard English VP-import-brokerage.

Staff
Gulfstream Aerospace will launch a $3 million expansion of its completions capability in Brunswick, Ga., which is dedicated to outfitting and servicing Gulfstream aircraft for the Gulfstream Shares fractional ownership program. The expansion includes construction of a 23,000-square-foot hangar. The new facilities are expected to open next June.

Staff
Several U.S. and foreign cargo carriers will impose surcharges beginning Feb. 1 to recoup some of the soaring costs they pay for jet fuel. United, American, FedEx, Lufthansa and Cargolux Airlines are among the carriers planning to increase their freight rates, generally boosting prices about 10 cents per kilogram. UPS also plans a rate hike on Feb. 7, although it said the increase is "not a surcharge," but a planned increase for the new year. Alitalia and KLM Cargo earlier announced a fuel surcharge (DAILY, Dec. 23).

Staff
Flights operated by Air France, Air Afrique and Sabena to the Ivory Coast airport of Abidjan were suspended for several days last week after the airport closed due to a military coup in the country. The airport resumed operations on Dec. 27. The military takeover was the country's first since it became independent from France in 1960.

Staff
Aerospace Industries of America is forecasting that shipments of civil airliners in 2000 will total 480 valued at $29 billion, down from 620 in 1999 valued at $37.8 billion. The overall aerospace industry posted a record $10.8 billion in profits last year, the fourth straight year in which profits topped $7 billion. Sales rose 4.6% to a record $155 billion. Overall sales this year are expected to decline by $6 billion to $149 billion.

Staff
Maiquetia Simon Bolivar Airport, Venezuela, reopened Dec. 27 to international traffic after being closed for 10 days due to catastrophic floods and mud slides. American, Avensa/Servivensa, Copa, Continental, United, Iberia, TAP and KLM resumed operations, and Aeropostal and Alitalia announced their return from the main alternate airport at Valencia. Delta is operating special daily flights from Atlanta to Maiquetia until it can resume scheduled service.

Staff
America West expects to grow capacity about 10% annually and boost its 121 aircraft to 156 by yearend 2006, according to ING Barings. "It is one of the few growth stories among the major U.S. carriers," said analyst Ray Neidl. He believes the airline is aggressively addressing its poor on-time performance and "mediocre service image." He added that the airline has a low cost structure, "which is suited to the lower-yielding markets that it serves."

Staff
Aerospace Industries Association praised a judgment by the English High Court against the European Commission's non-addition rule for hushkitted aircraft. AIA said the judge ruled in favor of Omega Air, one of its members, saying the rule "seems wholly defective in its reasons." The court said the bypass ratio used by the European Union was invalid. The court ordered that the case be referred to Luxembourg so the European Court of Justice may rule on the validity of the bypass ratio restriction.

Staff
Raytheon said it completed FAA flight certification and Army flight testing of its fixed-base precision approach radar at Fort Campbell, Ky. The tests included demonstration of radar coverage, accuracy, resolution, detection and tracking and met or exceeded requirements for all three Campbell runways, the company said. The Army is procuring the radar to modernize its air traffic services and replace aging precision approach radars, such as the AN/GPN-22.

Staff
The Association of Retail Travel Agents (ARTA) asked DOT to stop plans by four major carriers to launch a joint Internet travel site this year to sell airline, hotel, car rental, cruise, tour and other travel services. ARTA said United, Delta, Northwest and Continental, which together control 55% of the domestic airline market, said in November they plan to launch the web site in early to mid-2000.

Staff
Airbus is expected to announce the retirement of Nick Tomassetti today. Tomassetti is president and chief operating officer of Airbus North America.

Staff
Continental acquired a 28% ownership stake in the privately held Florida-based regional carrier Gulfstream International last week. President and Chief Executive Tom Cooper remains the largest shareholder. Flying Beech 1900C turboprops, the Fort Lauderdale regional operates on a code-share basis for Continental, United and TWA and plans to work with Copa of Panama.

Staff
Quality Aviation Services, a subsidiary of Evergreen International Aviation, was named the recipient of FAA's Diamond Award, and 15 employees, including the chief inspector, production control supervisor and technicians, received awards ranging from Silver to Diamond.

By Michael Miller, Editor-in-Chief ([email protected])
The U.S., the largest aviation market on earth, has seen a dramatic and disheartening decline in aviation leadership in recent years, no more visible than during 1999. While U.S. airline leaders continue to parlay their business acumen into profitability - despite customer service deficiencies - U.S. government leadership comes up short at a time when it counts most to have it.

Staff
CIT Aerospace appointed Walter Valarezo VP-marketing and business development in Latin America and Southern Europe.

Staff
Northwest will broaden its code-share alliance with Continental to include 16 destinations in Mexico, beginning Jan. 15. The code-share routes will provide seamless, single-zone flights originating at Continental's Newark and Houston hubs or at Northwest's hubs at Detroit, Minneapolis and Memphis. Continental is the largest U.S. carrier serving Mexico with more than 250 weekly flights.

Staff
BFGoodrich said the Civil Aviation Authority of the U.K. has fully certified its Super 27 re-engining program for import and registry. This means U.K.-based airlines can import and register Super 27s and convert existing G-registered 727s to the Super 27 configuration. The certification follows a seven-month process of data research and review, followed by CAA flight testing of a 727-200 modified to Super 27 configuration, the company said.

DOT

Staff
Approved a Le Bas International Air Division charter using a Skyservice Airlines 66-passenger Boeing 727-200 to operate one roundtrip between Dec. 28, 1999, and Jan. 2, 2000, on a Los Angeles and Cartagena, Colombia... Approved a Chapman Freeborn charter using a HeavyLift Volga Dnepr Antonov An 124-100 to operate one one-way flight on a Hahn, Germany-Philadelphia routing... Approved a Danzas GmbH charter using an MNG Airlines Cargo Airbus A30-203F/165T to operate three roundtrips on a Hahn-Gander-Charlotte, N.C.

Staff
Consorcio de Aviaxsa wants an exemption for Monterrey, Mexico-Las Vegas service. The Mexican carrier wants to operate twice-weekly roundtrips in the market beginning Jan. 16. It holds exemptions for charter and scheduled U.S.-Mexico service. (Docket OST-99-6701)

Staff
UPS Aviation Technologies will develop and market a GPS module that can guide aircraft to precise landings at most U.S. airports under the Wide Area Augmentation System (WAAS). The module, known as the GPS/WAAS engine, will power a new line of UPS Aviation Technologies navigation products intended for airliners and high-end general aviation aircraft. The company also will market the engine to other avionics manufacturers.

Staff
Online travel purchases are expected to top $16.6 billion by 2003, according to Jupiter Communications in New York, which tracks electronic commerce. Air travel will dominate online bookings but will decrease to 59% by 2003. Jupiter predicts online bookings for hotels, car rentals, cruises and tours will pick up steam in the next three years.

Staff
Rhein-Main Air Base, the U.S. military's "gateway to Europe" and the main western base for the Berlin Airlift in 1948, is being transferred to the Federal Republic of Germany and will be absorbed into the Frankfurt Airport, the Defense Department announced. The transfer will take place over six years, DOD said. Rhein-Main's role as a strategic airlift contingency mission will be shifted to Ramstein and Spang-dahlem air bases in Germany.

Staff
Fairchild Aerospace named Achim Rauber senior VP-company supply chain.

Staff
Air Canada's plans for taking over rival Canadian Airlines includes redeploying Canadian's fleet and streamlining service on many routes, the airline said last week. Air Canada said some underused aircraft will be reallocated to serve growing transborder markets. The airline also plans to use dormant authorities for Vancouver-Shanghai, Vancouver-Mexico City and Montreal-Milan, and expand service on other routes, such as Montreal-Rome.

Staff
Bombardier Aerospace won European Joint Aviation Authorities approval for its newest regional turboprop, the 66- to 78-seat Q400, with Denmark and Sweden becoming the first European nations to issue type certificates. The Q400, launched in June 1995 after years of study, is expected to receive FAA certification shortly. Transport Canada awarded its type certificate earlier this year. Approval followed a flight test program that began in January 1998 in Downsview and moved to the Bombardier Aerospace Flight Test Center in Wichita, Kan.