Aviation Daily

Staff
Boeing 727 and 737 Aircraft Operating Costs, Fourth Quarter 1998, Dollars Per Block Hour, B727-200, B737-1/200 B727-200 American Continental Delta Crew Cost 995 838 720 Fuel&Oil 638 628 656 Rentals -- 146 23

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Delta's Air Line Pilots Association unit Master Executive Council will meet with management Tuesday to continue discussions on new Boeing 777 flight pay, rules and working condition. The union has sent ballots to membership to vote on a plan that would permit pilots to ground the aircraft six months after they go into operation if the two sides have no agreement. Ballots will be counted early in June. The union also has a grievance pending against Delta because of MD-11 crew rest facility complaints.

AAR

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AAR promoted Michael Sharp to VP and controller and elected him an officer of the company, and appointed Roberta McQuade VP-human resources.

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Mercury Air Group said revenue for the quarter ended March 31 increased to $53.6 million from $52.7 million. Net income was $1.1 million, down from $1.4 million. For the first nine months, revenues declined to $162.9 million from $190.5 million. Net income for nine months was $4.4 million compared to $1.2 million last year.

Staff
DOT wants a dialogue on developing and analyzing its rules, and it plans to hold three forums by Oct. 1 seeking public input on its rulemaking process. The first forum, scheduled May 17, 1-4 p.m., in Washington, will be on economic analysis, with the second addressing risk assessment and the third covering small entities. Registration can be done on-line at http://course.ost.dot.gov or by calling Blane Workie at 202-366-4723.

Staff
Avidyne appointed Bill Hamor manager-OEM sales.

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Amerijet International promoted Juan Morales to senior VP-cargo, Pamela Rollins to senior VP-business development, and Mark Stewart to senior VP-airline.

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H.R.1507 introduced April 21 by Rep. James Hansen (R-Utah) - a bill to require the DOT secretary to grant exemptions under Section 41714 of Title 49, U.S. Code, to allow 30 additional slot exemptions at Washington Reagan Airport for air carriers to provide daily air service between Washington Reagan and other airports that are more than 1,250 statute miles from Reagan, and for other purposes. Referred to the Committee on Transportation and Infrastructure.

Staff
Gulf Air will take delivery of its first A330-200 next month. The carrier has firm orders for six and options for six more, with the first four slated for delivery this year. Gulf Air's aircraft will be configured with 243 seats, including 12 in first class, 24 in business class and 207 in economy class.

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Air cargo operator Amerijet International has reorganized its senior managers, creating a four-member executive steering group and a corporate leadership team to manage day-to-day operations, said David Bassett, chairman. The restructuring includes the promotions of Juan Morales to senior VP-cargo, Pamela Rollins to senior VP-business development and Mark Stewart to senior VP-airline. Morten Levin currently is chief financial officer.

Staff
Air Express International, citing an 8% decline in airfreight revenues, reported first quarter net income of $8.7 million, down from $9.7 million. Net income included a previously announced gain of $4.9 million on sale of securities was $13.6 million. Revenues were down 5% to $354.7 million. Airfreight revenues were down 8% to $268.3 million.

Staff
Atlantic Southeast Airlines, recently acquired by Delta, reported a 19.7% gain in traffic on 21.4% more capacity for April 1999 compared to the same 1998 month, which pushed the load factor down 0.7 percentage points to 55.6%. Passenger enplanements grew 12.1%. Year-to-date traffic climbed 19.1% and capacity 22.6%, lowering load factor 1.6 points. Passengers flown jumped 13.2%.

Staff
National Air Transportation Association President Jim Coyne calls "frightening" a call by the Congressional Budget Office for new aviation fees. These include charges for takeoff and landing slots and fees for air traffic control, which would cause pilots to "reduce their consumption of ATC services, freeing controllers for other tasks and increasing the system's overall capacity."

DHL

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DHL appointed Jeffrey Glade director-logistics for Latin America and the Caribbean.

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Los Angeles World Airports Executive Director John Driscoll will retire in August.

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Dobbs International Services named John Moore executive VP-customer services.

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The Aircraft Mechanics Fraternal Association on Friday lashed out at Alaska Airlines for filing a suit against the union over an alleged mechanics slowdown the carrier said is forcing canceled flights. AMFA vowed to fight the lawsuit, saying it "represents an attempt by Alaska Airlines management to redirect blame for deficiencies in a maintenance program that have been ignored for too long." AMFA said the problems have been made worse by expanded schedules and a corresponding increase in the number of hours the aircraft fly per day (DAILY, May 7).

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Harris Corp. named Van Cullens president and chief operating officer.

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Northwest has selected Northwest Airlink Express I to operate at least 42 of its new Canadair Regional Jets, the major carrier said Friday. The first Series 200LR aircraft will be delivered to Express I's Memphis hub in April 2000. Express I, wholly owned by Northwest, will take delivery of one aircraft a month until January 2001, after which the rate will increase to two a month, said Northwest spokeswoman Marta Laughlin.

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Honeywell appointed Paula Prahl VP-government affairs and Andre Lewis VP-community affairs.

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Chromalloy Gas Turbine named Kenneth Binder president-strategic initiatives operations, Paul Pace president-OEM operations and Christine Richardson president-repair operations.

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Boeing said it will convert two Korean Air MD-11 aircraft to freighters. The conversions will be managed by Boeing Airplane Services. Korean Air has four MD-11s, two of which are freighters.

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UniCapital Corp. reported a net loss of $887,000 for the first quarter compared to net income of $10.9 million the same quarter a year ago. The loss resulted from a revised business plan including a decision to reduce trading-related sales of commercial aircraft. As of March 31, UniCapital had equity of $823 million. The company last week acquired 36 aircraft from GE Capital Aviation Services (DAILY, May 7).

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AirTran President Robert Fornaro assumed the additional duties of chief financial officer to fill the vacancy created by Richard Schroeter, who is leaving the company.

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US Airways reported a 0.5% decline in traffic for April on 3.5% more capacity, lowering the load factor 3 percentage points to 74.7%. The carrier flew 2.4% fewer domestic revenue passenger miles on 2% more available seat miles. International traffic jumped 14.4% and capacity 16.9%. Passenger boardings fell 3.4%. Year-to-date RPMs grew 0.7% on 3.1% more ASMs, reducing load factor 1.7 points.