Aviation Daily

Staff
FAA needs to strengthen its safety inspection system, according to a DOT Inspector General audit report made available yesterday. FAA's National Aviation Safety Inspection Program (NASIP) falls short in "team expertise, independence, identifying and correcting systemic weaknesses at inspected entities, and report quality and impact," the report said. Safety review team members are selected from a pool of volunteers, the IG noted; eight of 18 members making up the Continental Express NASIP review team were "first-

Staff
KLM Cargo and Alitalia Cargo on June 1 jointly will launch "Select," a family of three airport-to-airport time-defined products, one of the first steps in the alliance of the two cargo divisions. Select, offered for loose and pallet cargo, is available in premium, standard and deferred products. Select will be offered in The Netherlands, Italy, Germany, Japan, Hong Kong and Singapore. KLM said the product has had extensive trials in Asia and Europe.

Staff
Air Wisconsin reported a 61.5% jump both in traffic and capacity for April 1999, compared with the same 1998 month, which left the load factor flat at 62.4%. The Appleton, Wisconsin-based carrier flew 86.2 million revenue passenger miles and 138 million available seat miles. Passengers boarded were up 42% to 245,432. Year-to-date RPMs leapt 75.5% and ASMs 62.3%, boosting the load factor 4.7 points. Passengers flown gained 62%.

Staff
Charlotte, N.C.-based CCAIR earned a net profit of $295,474, or three cents per share, for the quarter ended March 31, down 46.2% from the same 1998 quarter, when it earned $548,825, or seven cents per share. Operating revenue gained 32.2% to $19.3 million, while operating expenses rose 29.3% to $17.9 million, compared with the March 1998 quarter.

Staff
British Airways' VP-Government Affairs Tony Fortnam, speaking at the 8th Annual International Aviation Symposium in Phoenix, offered to "give a line-by-line explanation of Bermuda III" - a new U.S.-U.K. bilateral, replacing the restrictive Bermuda II aviation agreement - at next year's symposium.

Staff
AirTran posted a 3.7% drop in traffic on 6.5% less capacity in April, compared with the same 1998 month, which pushed the load factor up 2.1 percentage points to 69.4%. Passenger enplanements gained 12.2%. Year-to-date traffic rose 9% and capacity 4.5%, boosting the load factor 2.5 points. Boardings jumped 26.6%.

Staff
KLM uk has given Servisair the airline's highest quality ranking for work performed at Leeds/Bradford Airport. Servisair performs check-in, baggage handling, customer surveys and flight turnarounds.

Staff
Las Vegas-based National Airlines Monday will open its National Flight Centers in the lobbies of the Rio All-Suite Casino Resort and Harrah's Las Vegas Casino Hotel. Each center will enable customers to complete all travel plans, including tickets, flight check-in, seat assignments and check baggage. National will add a third Las Vegas-New York Kennedy roundtrip July 22. The carrier will begin scheduled service from Las Vegas to Chicago Midway and Los Angeles May 27, JFK June 14 and San Francisco June 24.

Staff
Lufthansa Consulting has opened an office in Los Angeles that will focus on business in the U.S., Latin America and markets in the Pacific. The office is a partnership with former Air Transport Association of America Chairman Robert Aaronson, who will be senior VP-North America.

Staff
U.S. National Carriers Productivity, In RPMs And ASMs Per Employee, Fourth Quarter 1998 Revenue Available Passenger Seat Miles Miles Total (000) (000) Employees AirTran Airlines 764,170 1,366,997 2,974 Aloha 170,570 279,633 2,265 American Trans Air 2,095,425 3,173,591 5,065

Staff
House Transportation Committee Chairman Bud Shuster (R-Pa.) will support a short-term extension of the FAA authorization "but only if there is a commitment" from the House leadership on when there will be a House vote on AIR-21, Shuster's five-year reauthorization, a Shuster spokesman told The DAILY yesterday. Shuster's bill would greatly expand aviation revenues by taking the aviation trust funds off budget or putting firewalls around FAA appropriations.

Staff
Iowa-based Access Air will begin service to Colorado Springs June 1 with one nonstop roundtrip daily to Los Angeles and one to Des Moines, which continues to the Quad Cities/Moline and New York LaGuardia. The airline plans to expand the service June 9 with two roundtrips each to Los Angeles and New York when it takes delivery of a third 737. On June 24, Access Air will boost the service to three daily roundtrips with the addition of a fourth aircraft.

Staff
American has ordered three additional 146-seat Boeing 737-800s as replacements for three aircraft from the Reno Air fleet that will not be integrated into American's fleet. The new jets are to be delivered next year and are in addition to previous American orders for 100 "Next Generation" 737s.

Staff
United Airlines Cargo this week opened a cargo consolidation center at the Dallas/Fort Worth Airport to expedite freight shipments between Texas and markets in Asia, Europe, South Pacific and Latin America. The center will operate a dedicated trucking service from Dallas to other cities in Texas and Oklahoma and United hubs in Chicago and Los Angeles. The trucking service initially will operate to Austin, Houston, San Antonio, Oklahoma City and Tulsa.

Staff
The international airport proposed for Devanahalli near Bangalore in south-

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Delta Express May 1 inaugurated daily nonstop roundtrip service between Lehigh Valley Airport and Orlando.

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New Air has selected the V2500 engine for its new fleet of A320 family of aircraft with an order valued at $900 million to International Aero Engines. New Air has placed firm orders for 25 A320s plus 25 options and 25 purchase rights on A320 family aircraft scheduled for delivery starting in 2000.

Staff
Air-India has discontinued flights to Rome, Frankfurt, and Manchester as part of its route rationalization program. Rome service first began in March 1950, while Frankfurt has operated since April 1960 and Manchester since November 1995. Frankfurt service had been reduced to three weekly flights, and Manchester and Rome to four per week. "The aim is to utilize our resources in more profitable sectors," said a senior AI official, denying that the European services weren't profitable.

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Delta Crown Room Club members as of June 1 will have access to United's Red Carpet Club Lounges in the U.S. at point of origin and all connection points on the day of travel when the member's itinerary includes at least one segment on a United-operated flight. United has 32 Red Carpet Club lounges in 25 U.S. airports. United became a partner in Delta's SkyMiles program last September.

Staff
Alaska Airlines' allegations of an organized mechanic slowdown that is causing flight cancellations are false, the Aircraft Mechanics Fraternal Association says. AMFA President O.V. Delle-Femine said problems stem from a general shortage of mechanics. Alaska has more than 700 mechanics, but in some areas 40% of crews are new hires. He said the airline has only seven trainers and much of the training is on the job until there is an opening in a class. "You can see they're really backlogged on training," he said.

Staff
Southwest is launching Freedom USA Pass sales in Australia, Germany and New Zealand. The carrier has had successful pass sales in the U.K. and Israel.

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Singapore Airlines invited Lufthansa to join it in bidding for Thai Airways International after SIA realized it stood no chance for a stake on its own, sources in Bangkok tell The DAILY. Thai was impressed with the presentation, sources said, but no details were disclosed. An SIA official in Singapore confirmed that the airline will continue its joint bid with Lufthansa, but SIA's interest in Thai has no direct bearing on its entry into Star Alliance. SIA intends to join the alliance Oct. 1.

Staff
EVA Air yesterday ordered three Boeing 747-400 freighters, after years of using the MD-11 as its main freighter platform. Deliveries will begin next year. The airline operates seven MD-11Fs and has two more that will be delivered this year. EVA also operates three MD-11 passenger aircraft, five 747-400s, 10 747-400 Combis, four 767-300ERs and four 767-200s. With this order, Boeing has received requests for 1,296 747s.

Staff
Alaska Airlines' traffic was up 7.9% and capacity 4.3% in April from the same month a year earlier, which pushed the load factor up 2.4 percentage points. Sister carrier Horizon Air's RPMs jumped 31% and ASMs 26.5%, lifting the load factor 2.1 points. Year-to-date, Alaska's RPMs climbed 9.3% on 7.3% more ASMs, resulting in a load factor gain of 1.2 points. Horizon's RPMs grew 29.6% and ASMs 27%, and the load factor was up 1.2 points.

Staff
Tower Air reported a 4.2% gain in traffic on 5.5% less capacity for April 1999 compared with the same 1998 month, which caused a 7.1-percentage-point increase in the passenger load factor. Total block hours flown dipped 6.7%. Year-to-date revenue passenger miles climbed 10.8% and available seat miles 7.9%, boosting the load factor 1.9 points. Total block hours fell 7.9%.