Nav Canada will reduce its air navigation service fees by $90 million a year, beginning Sept. 1.About 98% of the fees are charged to air carriers. Nav Canada says its fees, which replace the air transportation tax, already have saved airlines 27%. The 33% reduction in September will give airlines a total savings of $255 million per year.
-- In Federal Register dated May 7...Issued an airworthiness directive on Boeing 767 aircraft requiring inspection inside the forward trunnion joint of the main landing gear...Revised a proposed AD on Saab 2000 aircraft concerning inspection of the aileron control cables...Proposed an AD on Embraer EMB-145 aircraft to require inspection of the main landing gear.
Indianapolis-based American Trans Air last month posted a record scheduled service load factor of 79.4%, a carrier spokesman said. Amtran's scheduled revenue passenger miles jumped 14.6% to 537.9 million, compared with April 1998, as scheduled capacity gained 14.1% to 677.3 million available seat miles. Scheduled boardings swelled 18.2% to 419,085.
Delta's Air Line Pilots Association unit negotiating committee still is trying to reach agreement on flying the Boeing 777, but the two sides have not concurred on pay rates. The union proposes $318.96 per flight hour for pilots and Delta wants $238.66. The two sides will meet May 18. Delta needs a ratified agreement by July 31 and is threatening to cancel the remaining 777s on order without one. Pilot ballots on the issue are due May 29.
McDonnell Douglas DC-9-30 and MD-80 Systemwide Aircraft Utilization Per Day Fourth Quarter 1998 DC-9-30 Continental Northwest TWA Number of Aircraft Operated 21 116 34 Total Fleet Operations Departures 108 523 173
Although not a part of an agreement to extend FAA budget authorization through Aug. 6, House Transportation Chairman Bud Shuster was assured by House leadership that it would permit a vote on his AIR-21 the week of June 14. The FAA extension agreement was the third this fiscal year. Shuster would support the extension only if assured of a House vote on his bill.
Singapore Airlines, not immune to Asia's economic downturn, posted operating profits of S$549 million (US$324 million) for fiscal 1998-99 on Friday, down 27.3% from the prior year. Pre-tax profits fell 14.5% to S$882 million ($520 million). Like several other Asia/Pacific airlines, SIA deferred aircraft deliveries, saw its yields decline and experienced stagnant year-over-year revenues. SIA's fleet became even newer than it was, as the carrier took delivery of 11 new aircraft during the fiscal year ended March 31, including four medium-range Boeing 777-300s.
Rep. James Oberstar (D-Minn.) is encouraged by the European Union's delay of restrictions on hushkitted aircraft, but he won't withdraw the House-approved bill introduced in February to revoke U.S. landing rights for the Concorde. "My bill is still very much alive and will remain so until this issue is finally decided," Oberstar said.
Air Line Pilots Association is pressing FAA Administrator Jane Garvey to enforce an existing rule on rest requirements and to move forward with revisions to current rules "that have been stalled in bureaucratic limbo since 1995." ALPA President Duane Woerth made the comments in a letter to Garvey following a meeting about rest rules and other safety issues. He asked Garvey for specific dates by which FAA will enforce the current rule and take action on the years-old rulemaking.
Midway Airlines reported a 0.4% drop in traffic and a 0.8% decline in capacity for April 1999, which pushed the load factor up 0.3 percentage points to 69.8%. Passengers flown grew 2.2%.
Ailing Air-India, in drastic efforts to cut losses, introduced a voluntary three-day working week and set up up a Voluntary Separation Scheme (VSS) to reduce its work force. Workers also have the option to take long leave without salary. The carrier has dropped several European routes and closed its Manchester and Rome stations. According to Marketing Director Jeetender Bhargava, workers who opt for VSS will be compensated. The airline wants to shed at least 1,000 of its 18,500 workers.
Brussels-based Virgin Express Holdings, plc. reported a 21% rise in scheduled revenues to 38.6 million euros (US$41.2 million) and a 24% jump in total revenues to 54.1 million euros ($57.7 million). Total revenue increases were fueled by a 16% increase in capacity on a 3-percentage-point increase in the load factor to 70.8%. Unit revenues for scheduled service improved 3.8% in the first quarter to 5.56 euro cents (5.9 cents) per available seat kilometer. Scheduled passengers and flights flown jumped 23.7% and 19.8%, respectively, from the first quarter 1998.
The American Society of Travel Agents praised DOJ's pursuit of American for alleged predatory practices against three small carriers as "breaking new ground in the quest to protect the American traveling public from predatory acts by entrenched hub-dominated airlines." ASTA said the action is important to the public, the industry and travel agents. Dallas-based Legend Airlines, which has a long-running legal battle with American over Legend's plans to launch service from Love Field, also applauded DOJ's actions.
Fedex Pilots Association is telling pilots who fly to China to exercise caution in the wake of political upheaval there. The union advises pilots to stay in their hotels, avoid crowds and stay alert to changing conditions. The union said airports remain open, but several cities have closed U.S. embassies.
Berlin Tegel Airport was shut down for nearly half a day last week after an unexploded 1,000-pound World War II bomb was discovered off the end of the main runway. Markings showed it was a German munition, and several other unexploded bombs were found. More than 10,000 passengers were inconvenienced during the shutdown.
Ten aviation groups signed a letter authored by the Aircraft Owners and Pilots Association supporting legislation to curb what they described as "FAA's abuse of its emergency authority to revoke pilot certificates." While AOPA is concerned with pilot certificates, the legislation, introduced by Sen. James Inhofe (R-Okla.), also applies to other types of certificates, including airline operating certificates. It provides the right to appeal to the National Transportation Safety Board within seven days of an emergency revocation.
American Society of Travel Agents President Joe Gallaway feels vindicated by the recent J.D. Power&Associates study showing half of frequent flyers are dissatisfied with airline service. Airlines "repeatedly deny there is a customer service problem" while "evidence to the contrary continues to mount," he said.
United and Gulfstream International have expanded their code-sharing agreement to include five daily flights Gulfstream offers between Florida and Paradise Island in the Bahamas - two flights from Miami and three from Fort Lauderdale. United expects the Paradise Island expansion, which was effective Saturday, to generate another 4,000-5,000 customers a year.
DOT approved America West's code-share arrangement with Air China, subject to the removal of exclusivity provisions. The authority enables either carrier to code share with U.S. or Chinese carriers not designated for U.S.-China combination service. The carriers plan to code share from Air China's two U.S. gateways, with America West displaying Air China's designator code between Los Angeles and San Francisco and 12 U.S. points served by America West (DAILY, March 10).
