National Air Traffic Controllers Association does not share FAA's sanguine view of Year 2000 readiness. "No one knows what to test, where to test it, how to test it or who has already tested what," the union says. "It is difficult to prepare the aviation industry for what may or may not become a crisis when no one knows what to even expect."
U.S. and Argentine aviation officials concluded talks Friday in Washington, having met for an additional day beyond their planned schedule of three days, with a commitment to meet May 19-20 in Washington "with the intention of successfully concluding the negotiations," according to a DOT spokesman.
Services for Thomas O'Leary, former official of the Civil Aeronautics Board, Mohawk, Pan Am and TWA, will be held May 11 at 10:45 a.m. at the Fort Myers Chapel, Arlington, Va.
Air Transport Association named Don Collier VP-engineering, maintenance and materiel. General Aviation Manufacturers Association selected Chance Bentley, Utah State University, to receive the 1999 Dr. Harold S. Woods Award for Excellence.
A Lufthansa order for 60 firm Fairchild Aerospace 70-seat 728JETS plus 60 options ( DAILY, April 30) is worth more than $600 million to General Electric, whose CF34-8D turbofans will power the aircraft. The 14,000-pounds-thrust-class engine also will power other members of the 728JET family - the 90-passenger 928JET and the 55-passenger 528JET.
Midwest Express shareholders have re-elected four members of the carrier's 11-member board - former Kimberly-Clark executive James Grosklaus, Midwest Express Chairman Tim Hoeksema, law partner Ulice Payne and SH&E Chairman David Treitel. Midwest Express will observe its 15th anniversary on June 11, and regional subsidiary Skyway Airlines celebrated 10 years in February. As part of the anniversary celebration, Midwest Express will hold an on-line ticket auction June 4-11.
European airport movements rose 5.4% and passenger totals 8% in the first quarter, according to Airports Council International-Europe. Aside from the transfer of operations to Milan Malpensa from Linate, London Stansted posted the biggest year-over-year gain, with 52.7% more passengers. Little Rome Ciampino registered a 23.8% gain, Palma de Mallorca 21.9%, Dublin 18.1% and Brussels 16.8%.
International tour bookings are falling off because of the NATO air war in Yugoslavia, AAA said Friday, but AAA travel agency bookings to other areas are increasing and cruises are up 15%. "When a crisis occurs in one area of the world, it's natural for people to avoid that area," said Mark Brown, executive VP-AAA association and club services. "This natural tendency...doesn't mean that people stop traveling. Travel to western Europe and domestic destinations should be unaffected."
Air Canada posted a net profit of C$3 million (US$2.1 million), an improvement from last year's first quarter net loss of C$26 million. But without a share sale and a foreign currency transaction the carrier would have lost money in the quarter. Air Canada sold 35% of its interest in Equant N.V., which gave it a pre-tax gain of C$42 million, and took advantage of market conditions to purchase 3 billion Japanese yen debt, which gave it a pre-tax gain of C$13 million.
China Northwest Airlines leased two A320s from International Lease Finance Corp. The aircraft, powered by CFM56 engines, were delivered over the past two weeks.
With the recent introduction of charter service between Taipei and Guam and the scheduled startup of cargo flights between Taipei and Sydney and between Taipei and Europe via India, China Airlines predicts that its air transportation capacity will grow by 10% this year while actual volume will increase by 12%. The passenger load factor for 1999 is expected to exceed 71% with the cargo load factor topping 85%. At the same time, unit cost is expected to fall by 4% and unit yield to increase by 8%.
National Transportation Safety Board Bar Association endorsed a bill in the Senate aimed at curtailing FAA's "extensive use of its emergency authority to immediately revoke FAA airman, air carrier and other certificates" (DAILY, April 1). The "Hoover Bill" - S.722, introduced by Sen. James Inhofe (R-Okla.) - has received support from every major segment of the aviation community. Backers are expected to offer it as an amendment to the FAA reauthorization bill, which could be before the Senate in May.
House Transportation Committee sources say Chairman Bud Shuster's (R-Pa.) AIR-21, the five-year FAA authorization that would greatly expand aviation accounts and take trust funds off budget, is on the House Republican leadership's schedule for House floor action in two weeks. Shuster's 123 House co-sponsors, within 95 of an absolute majority, led the leadership to promise him a floor vote on his bill in return for not trying to earmark funds in the congressional budget resolution.
MedAire unit MedLink will provide inflight medical consulting services by telephone to Alaska Airlines and become the medical controller of automated external defibrillators the carrier plans to install in its fleet by August. MedLink serves 17 airlines, including US Airways, Southwest, TWA, British Airways and Virgin Atlantic.
Delta asked DOT for an exemption to engage in scheduled combination service between points in the U.S. and Tbilisi, Georgia, which it intends to serve under code share with alliance partner Austrian Airlines. With DOT approval, Delta would "institute first U.S. flag service [in] a relatively thin market that otherwise receives only very limited service," the carrier said. U.S.-Georgia service is governed by the 1990 U.S.-USSR bilateral, which lists Tbilisi as a point that may be served by U.S. carriers.
Singapore Airlines and SAS over the weekend began a strategic alliance and reciprocal frequent flyer privileges. The carriers have signed a strategic cooperation agreement, effective May 1, which followed an initial pact last October. In addition to schedule coordination and frequent flyer promotion, the carriers will cooperate in marketing, cargo services, catering, engineering, information technology, staff training and joint purchasing. SAS and SIA plan to begin code sharing at the end of October.
KLM and Alitalia deny recent reports of alliance delays and say they intend to finalize their strategic agreement on schedule, before Oct. 1. KLM said the alliance is "pioneering unprecedented and uncharted terrain in the airline industry."
Prudential Securities thinks the next commercial aircraft order cycle will begin around 2003 but questions whether Boeing will be ready. "We believe immense work remains to be completed over the next two to three years to restore Boeing's cost structure" to the point that it can earn satisfactory returns by the time the next cycle begins, Prudential says.
World Airways Friday reported a net loss of $2.7 million for the quarter ended March 31, slightly smaller than the $3 million loss it reported in the same quarter a year ago. Revenues declined to $65.3 million from $69.2 million. The operating loss broadened to $2.2 million from $1.6 million.
AEI named Steve Morrison managing director-U.K. Aircraft Technical Publishers and Professional Aviation Maintenance Association named William Fern, assistant maintenance supervisor for R.O.P. Aviation in Teterboro, N.J., recipient of the PAMA/ATP Maintenance Technician Award and George Townson, consultant to Chester County Aviation in New Jersey, recipient of the General Aviation Service Technician Award. Amadeus named Mel Trudeau VP-commercial development. Commander Aircraft named Carl Gull VP-customer relations and training.
Airports Council International-North America praised U.S. officials for persuading the European Union to delay implementing a rule banning hushkitted aircraft operations, part of a deal that most industry groups, including ACI-Europe, criticized last week for a variety of reasons (DAILY, April 30). ACI-NA President David Plavin said the U.S. should use the coming year to take a more aggressive position on resolving noise concerns.
