Aviation Daily

Staff
A House subcommittee yesterday issued a periodic report on government resolution of Year 2000 computer problems and gave DOT and FAA an F, down from a D last November. An FAA spokesman took the rating in stride, saying the agency remains on target to meet its June 30 deadline for Year 2000 compliance.

Staff
Greenville-Spartanburg Airport Commission requested an exemption from DOT for three Chicago O'Hare slots for nonstop service from Chicago to the community. American Eagle's application for such service (Docket OST-98-4647) is pending at DOT. Noting O'Hare slot requests for service to Savannah/Hilton Head by the Community of Savannah, Ga./Hilton Head, S.C.

Staff
Atlas Air said yesterday it has exercised two options to purchase 747-400 freighters next year. Atlas said this brings its total orders to 12 aircraft, four of which will go into service this year, joining five delivered in 1998.

Staff
FDX Corp. said yesterday the contingency plan it laid down during the Federal Express pilot contract negotiations cost $20-$30 million less than the company forecast. FDX estimated the cost at about $90 million, which will be recognized in the fiscal third quarter ending Feb. 28. It said $80 million will be included in operating expenses and $10 million in interest/other expenses.

Staff
Pilot hiring, strong in 1998, stayed strong in January, according to Atlanta-based AIR, Inc., as 1,220 pilots found jobs during the month. Majors hired 437, nationals 337 and jet operators 181. Of 218 airlines reporting to AIR, Inc., 166, or 76%, hired pilots in January. At the end of the month, 300 of the 80,677 active airline pilots remained on furlough.

Staff
Kiwi International posted January increases of 42% in traffic and 21% in capacity to 60 million revenue passenger miles and 94.6 million available seat miles, respectively. The load factor rose 10 percentage points to 64%.

Staff
The expansion of Terminal 1 at the Singapore Changi Airport has been completed and will be commissioned next month. The enlargement added eight aerobridges, for a total of 67 in Terminals 1 and 2, and two "travelator" moving sidewalks, easing passenger movement to other points in the facility. Costing US$262 million, the expansion is part of a planned US$3 billion program, including the extension of Terminal 2 and construction of a third terminal.

Staff
American Eagle to launch nonstop RJ service between Madison, Wis., and Chicago O'Hare American Eagle, regional airline affiliate of American, will launch nonstop RJ service between Madison, Wis., and Chicago O'Hare April 19 and add a second flight on April 26, replacing two of its seven daily turboprop flights with 50-seat ERJ-145 regional jets. It will replace four of its nine daily Grand Rapids-Chicago turboprop flights with RJs on April 26.

Staff
The State of Alaska challenged as inappropriate United's suggestion that DOT use "'Cities Program'-type criteria" to evaluate exemptions for service to extrabilateral, contiguous-U.S. points on flights that also serve Alaska. DOT plans to develop Alaska's international service by expanding foreign carrier access to U.S. points via Alaska (DAILY, Jan. 27). The state said carriers from countries without open-skies agreements with the U.S. should be encouraged by the opportunity to serve U.S.

Staff
American is rewarding some of its employees who stuck it out during the recent nine-day pilot sickout.The company is giving airport, reservations and other customer contract and operations employees $50 Citibank gift certificates in addition to their overtime pay. Pilots and flight attendants whose flights were canceled even though they reported to work will be paid as if they flew their scheduled trips.

Staff
DOT granted for two years TWA's exemption request for "'worldwide' route integration" of its existing authority, permitting the carrier to conduct services involving any points in its certificates and exemptions (DAILY, Feb. 8). DOT also renewed for two years, or until it acts on the carrier's certificate application, TWA's exemption to provide scheduled combination services between the terminal points St. Louis and Cancun, Puerto Vallarta and Ixtapa/Zihuatanejo, Mexico, and Montego Bay, Jamaica. (Dockets OST-99-5066, 97-2292)

Staff
American Eagle launched nonstop regional jet service Friday between Jackson, Miss., and Dallas/Fort Worth, replacing turboprops with 50-seat ERJ-145s on three of its six roundtrips in the market.

Staff
A Kuala Lumpur consortium - ERL Sdn Bhd - has received a US$840 million contract to construct a high-speed-rail track from the city to Kuala Lumpur International Airport. The consortium comprises three companies, Lembaga Tabung Haji and YTL Corp., with a 40% stake each, and Abrar Corp. with 20%. Work on the 60-kilometer track will start this week, with completion slated for early 2001. Trains will cover the distance in 22 minutes.

Staff
Contract talks between Northwest and its flight attendants, represented by the Teamsters, were interrupted briefly Saturday when members of the union's Contract Action Team attempted to present a petition with 8,000 names to the company's negotiating committee. Billie Davenport, chairman of the union's negotiating committee, and union negotiators met with team members and promised to hand the petitions to management. Union spokesman Danny Campbell said the team did not disrupt the talks.

Staff
The International Transport Workers Federation (ITF) is threatening to raise the stakes in its four-month protest of Lufthansa's LSG SkyChefs by bringing picketers from London to Lufthansa headquarters near Frankfurt. ITF is accusing the company of "union busting" because it fired workers last November. ITF said Lufthansa terminated 300 workers at a recently purchased London Heathrow catering unit who elected to go on a 1.5-day strike over proposed work changes. The union said it followed procedures backed by British law.

Staff
Inmarsat Council of Signatories, meeting in London, set April 15 for privatization of the organization. The new company will be located in London.

Staff
U.S. National and Regional Carriers Traffic January 1999 January January % 1999 1998 Change Air Wisconsin Revenue Passenger Miles (000) 76,069 45,096 68.7 Available Seat Miles (000) 125,528 85,505 46.8 Load Factor (%) 60.6 52.7

Staff
Sen. Frank Lautenberg's (D-N.J.) decision not to seek re-election next year will open up the position of ranking Democrat on the Senate Appropriations transportation subcommittee in 2001. Sen. Harry Reid (D-Nev.) is next in line.

Staff
Sabena leased from International Lease Finance Corp. a used A330-300 for 70 months, with delivery in April, and three new A330-200s for delivery this year.

Staff
U.S. aviation officials to meet with Chinese representatives Wednesday U.S. aviation officials will meet with Chinese representatives Wednesday through Friday in Beijing to discuss overall expansion of services.

Staff
Express I, which flies as Northwest Airlink, reported 0.9% more traffic on 5.5% less capacity in January, raising the load factor 3.3 percentage points to 51.9%. The Northwest subsidiary flew 23.2 million revenue passenger miles and 44.7 million available seat miles. Passenger volume grew 8.6% to 84,120.

Staff
Construction of the second terminal at Taiwan's Chiang Kai-shek Airport is in the final stage, with completion scheduled in June. A spokesman for Taiwan's Civil Aeronautics Administration (CAA) said completion of the new terminal is expected to eliminate pressure on the airport's handling capacity. At present, he said, some 12 million travelers pass through CKS each year, nearly two times as many as expected when the airport was designed.

Staff
National Transportation Safety Board recommended that FAA limit the distance that liferaft ceiling stowage compartments can open on jet transports, and that FAA find a way to ensure that seatbelts remain attached to their shackles. The two recommendations stem from the board's ongoing investigation into a landing accident involving an American 727 on Feb. 9, 1998, at Chicago O'Hare. The aircraft landed 180 feet short of the runway and was substantially damaged. There were minor injuries.

Staff
Hawaiian Airlines reported a 14% jump in systemwide traffic on 4% more capacity for January 1999 compared with the same 1998 month, which boosted the load factor 6.3 percentage points to 71.6%. Hawaiian flew 355.4 million revenue passenger miles and 496.4 million available seat miles. Passengers flown increased 9.1% to 436,373.

Staff
Oliver Boden, chief executive of The AGES Group, a leading source of engine sales, leasing, exchange and maintenance, died Feb. 9 in Boca Raton, Fla.