Cathay Pacific will begin offering American Airlines' AAdvantage frequent flyer miles to economy-class passengers Feb. 1. Cathay already offers AAdvantage miles to first- and business-class passengers, who earn credits at 150% and 125% of actual miles, respectively. "Our goal is to ensure we don't put any obstacles - real or perceived - in front of consumers when they are evaluating whether to make Cathay Pacific their airline of choice," said Ian Callender, VP-Americas.
Without waiting for a formal markup session, the House Transportation Committee underscored the need for prompt congressional action on an FAA reauthorization Thursday and approved by voice vote a $10.1 billion reauthorization for the balance of fiscal 1999. The bill would extend the Airport Improvement Program for the remaining six months at a funding level of $2.347 billion, higher than the $1.95 billion level contained in the six-month reauthorization enacted last year. The six-month authorization expires April 1.
Allied Pilots Association board of directors, representing American's pilots, has passed a resolution advising pilots to refuse assignments that may violate its contract with the carrier. Pilots are reacting to American's Dec. 23 filing with the Securities and Exchange Commission stating that AMR has placed four officers on the seven-member Reno Air board of directors, including American President and Chief Executive Don Carty.
Troubled Greek airline Olympic Airways has reached an impasse - it faces a work-to-rule action by its cockpit staff, and its management and the government said they would not yield to union demands. Flights have been disrupted since the beginning of the year, and talks between management and union representatives of the 100% state-owned airline failed to unlock the situation last week.
American wants indefinite-duration authority to display Canadian's code on its flights between Chicago, Dallas/Fort Worth, Los Angeles and Miami and points in Mexico, carrying passengers traveling between Canada and Mexico on a blind-sector basis. Canadian holds blind-sector authority to operate beyond the U.S. American wants to begin the code-share service Jan. 17. The carrier said it would not object to United's request for similar authority provided that American's application is granted at the same time.
DOT -- Approved an initial one-year exemption for Bahamasair to conduct scheduled foreign combination service between Miami and Grand Turk, Turks and Caicos Islands...Approved, for an indefinite duration, renewal of an allocation of seven weekly combination frequencies to Continental for scheduled foreign combination service between Newark and Santiago, Chile...Approved a Prodexpo Internacional charter using a Taesa 757-200 for nine roundtrips carrying 227 passengers on a Cancun-Miami-Cancun routing Jan.
National Transportation Safety Board is expected to issue an urgent recommendation to FAA this week concerning cockpit wiring in the MD-11. The recommendation is said to be a direct result of investigating the Swissair Flight 111 crash last September off Nova Scotia.
U.S. Airports Operating and Financial Summary Medium Hub Airports* Fiscal Year 1997 (Dollar Amounts in Thousands) Non- Operating Operating Total Operating Revenue Revenue Revenue Expenses Albuquerque 41,471 46,893 88,364 32,022
Air France took advantage of the introduction of the single European currency to launch a fare sale in France, Germany, Belgium, Italy, The Netherlands and Portugal. For a limited time this month, the French airline is advertising "nice prices" in euros in all six countries. For instance, in Brussels, Air France offers roundtrips to 15 European cities for less than 195 euros. In The Netherlands, it sells a roundtrip to Paris for 99 euros, a 30% discount on its lowest previous fares. The euro was introduced as bank money Jan. 1.
Seduced By A Mile - How Frequent Fliers Have Been Exploited to Outflank Corporate America And Increase Airline Profits by Greg Moore. A work of fiction that explores the effects of frequent flyer programs on the high cost of business class, the quality of air travel and competition. Integrated Technology Research; $24.95. To order, call 302-425-4646.
In the switch to aeronautical data link communications, "there will never be an urgent ATC message sent over data link," FAA assured industry officials last week. Air traffic controllers still will deliver climb and descent messages in the initial stages of controller-pilot data link communications, the agency says.
Southwest became the world's fifth-largest airline last year in terms of passengers carried, with 52,586,400 customers. Northwest fell to sixth, with 50.5 million. Only Delta, United, American and US Airways carried more passengers than Southwest.
Delta's Air Line Pilots Association unit is asking pilots to continue to reject land-and-hold-short (LAHS) instructions as the national ALPA organization's Feb. 19 deadline for FAA to change LAHS operation procedures approaches. Delta ALPA Master Executive Council Chairman Chuck Giambusso will receive updates on the situation this week from FAA. Delta ALPA recommended last May that pilots no longer accept LAHSO clearances until safety concerns are resolved, and ALPA National imposed the deadline in October.
United wants DOT to reopen the record in two dockets under which DOT awarded a total of seven Chicago O'Hare slots to Reno Air for Chicago-Reno service (DAILY, Oct. 27, 1997). United said that since American has acquired a controlling interest in Reno, the carrier "no longer qualifies" as a new-entrant carrier eligible for exemption from slot restrictions, and DOT should reclaim the slots for reallocation to a new entrant.
U.S. Airports Operating and Financial Summary Large Hub Airports* Fiscal Year 1997 (Dollar Amounts in Thousands) Non- Operating Operating Total Operating Revenue Revenue Revenue Expenses Atlanta 203,394 88,683 292,076 57,681
Airlines in two of Asia's more important markets have reported financial improvements from previous levels, a possible sign that the bottom has been reached in plunging Asian traffic levels. Korean Air posted its first profit in three years during 1998, partially due to restructuring. In addition, Taiwan's EVA Airways said yesterday it will show a profit and revenue growth of 11% last year when final figures are reported, a reversal from the airline's previous forecast of a net loss.
Frontier said it will start performing heavy maintenance checks on its aircraft March 1 at Denver International Airport and has begun hiring about 105 maintenance and stores employees. President Sam Addoms said Frontier currently uses FAA-approved repair stations and expects to save about $1 million a year doing the work itself. "Performing our own 'C' checks will give us the ability to realize significant cost savings, improved productivity and greater flexibility when scheduling our aircraft," he said.
Pratt&Whitney President Karl Krapek promoted Robert Leduc to executive VP from senior VP. Leduc will continue to oversee large commercial engine programs and take on responsibility for sales and marketing, and strategic planning.
FAA, citing a law passed by Congress, yesterday issued a final rule making it a criminal offense to interfere with a crewmember on all civil aircraft flights that leave or land in the U.S. FAA said prior notice is unnecessary "inasmuch as Congress has already criminalized such conduct." The provision is being added to operators under Part 121, Part 125 and Part 135, which cover aircraft with a payload capacity from 6,000 pounds up to large jetliners, the agency said.
Continental traffic for December grew 9% on 8.7% more capacity, raising the load factor 0.2 percentage points to a record 68%. It was the third straight month of record load factors and the 1998 load factor, at 72.1%, also was a record. Domestic traffic was up 7.6% on 7.5% more capacity, while international traffic gained 11.8% on 10.9% more capacity. For 1998, traffic rose 12.5% on 10.6% more capacity, and the 72.1% load factor was up 1.2 points. Dec 98 Dec 97 12 Mths 98 12 Mths 97
Boullioun Aviation Services this week placed its first order for Airbus aircraft - 15 A320s and 15 A319s valued at $1.3 billion. Boullioun has purchase rights for additional aircraft and the option to switch among the A320, A319 and A321. Robert Genise, president, said deliveries will be made between February 2002 and November 2006. Boullioun and its affiliate Singapore Aircraft Leasing Enterprise, in which Boullioun has a 35.5% share, have a combined portfolio of 45 aircraft and almost 100 aircraft on order, including options.
Brazil has removed its last rule requiring airlines to receive approval for fare pricing. The change is the final step in a yearlong deregulation effort.
