Northwest, Alaska Airlines and Horizon Air said yesterday they have extended their marketing partnership agreement, in effect since 1988. The partnership includes code-share service, frequent flyer reciprocity, use of one another's airport lounges and "seamless" airport check-in and transfer service, Northwest said. The renewed agreement extends Alaska's partnership commitment with Northwest partners KLM and Air China. It also calls for Alaska to begin frequent flyer plan cooperation and code-share service with Northwest partner Continental.
Vanguard Airlines is adding two Denver-Kansas City roundtrip flights for a total of six daily roundtrips, beginning March 15, a move the Kansas City-based carrier hopes will help restart marketing partnership talks with Frontier. The new service will start up in conjunction with delivery of Vanguard's 10th 737-200. Vanguard VP-Marketing and Planning Russell Winter noted that "these additional flights will not only provide more low-fare connecting service between Denver and Atlanta, Chicago, Dallas/Fort Worth and Minneapolis/St.
FAA plans to begin next June using a new, administrative ticketing program, a concept that has drawn vehement protest from nearly all segments of industry and unions. Administrator Jane Garvey said yesterday the "streamlined administrative action process" addresses the concerns expressed by aviation interests, however. For example, FAA's earlier proposal did not include provisions for appeal. The current plan allows seven days to respond.
United Express affiliate Air Wisconsin will introduce regional jet service from Madison, Memphis, Jackson and Fargo to Denver, United said yesterday. The new service will begin in February and March using 50-seat Canadair Regional Jets. Madison-Denver service will include two daily CRJ flights, beginning Feb. 1. United currently offers three daily flights with 737 jets and five daily United Express flights with BAe-146s. Two new daily CRJ Memphis-Denver flights will begin Feb. 11.
Dutch airline Transavia has signed an agreement with KLM and independent carrier Air Greece to offer a daily service to Amsterdam from the islands of Crete and Rhodes. Currently, Transavia offers two frequencies a week from the islands and KLM three daily flights from Athens, all to Amsterdam. The agreement with Air Greece will enable passengers from Crete and Rhodes to connect to KLM's Athens services for a small extra charge. Transavia predicts the agreement will boost its sales from Greece by at least 50%.
Horizon Air yesterday said it plans to acquire 25 new 70-seat Canadair Regional Jet Series 700 aircraft from Bombardier Aerospace. Deliveries of the $580 million order are to begin in the second quarter of 2002. The aircraft have a top speed of 530 miles per hour and a range of 2,283 miles. President George Bagley said they will replace Fokker aircraft.
The American Society of Travel Agents (ASTA) has asked President Clinton to support legislation to end statutory protection from antitrust laws for the airline industry. The ASTA letter supports one by TWA asking Clinton to repeal airline antitrust immunity and noting that TWA has had to struggle against competition by government-sanctioned alliances between U.S. and foreign carriers (DAILY, Dec. 9).
Boeing said yesterday it has established firm delivery dates for 25 aircraft in 1999 and 2000 to support Delta's fleet modernization program and provide for "modest" growth. The aircraft comprise 14 737-800s, eight 757-200s and three 767-300ERs. Boeing also confirmed 24 orders Delta announced previously, including 16 737-800s, six 757s and two 777-200ERs. The new aircraft will replace equipment being retired, including 727s. They will be replaced with 737-800s by 2005, and the 767s will replace L-1011s.
Private express couriers operating in Europe are up in arms at the German postal authority's latest move into their territory and want European Union competition authorities to review what they call "a very serious threat to the goal of fair competition in a fully liberalized European postal market." The European Express Organization (EEO) says the European Commission should prevent Deutsche Post AG (DP) from buying the Switzerland-based international freight forwarder, Danzas.
US Airways yesterday introduced an Air Travel Card that offers corporate travelers enhanced benefits and more travel information capabilities. including: - management reports to summarize travel patterns and itemize costs; - simplified record-keeping, payment and cost accounting data; - customized billing statements to detail and track air fare expenses; - flexibility to choose how and when to receive monthly billing statements as well as the number of statements to be received;
European Union competition authorities have approved the first of a two-step operation creating a joint venture to manage Eurostar Ltd., the company that offers high-speed train services between England and continental Europe. The services compete directly with European airlines for medium-distance travel between London and destinations across the English Channel. The European Commission has authorized the creation of of the Inter-Capital and Regional Rail (ICRR) joint venture to manage the Eurostar company.
FAA said it plans a $233,000 fine against Northwest for allegedly installing brakes improperly on two A320s that were subsequently used in revenue service. FAA said earlier this month it planned to fine the carrier $375,000 for alleged improper installation of a cable on a DC-9 wing assembly and then operating the aircraft. In the latest incident, FAA said maintenance personnel discovered a brake had been installed without the required modifications.
A new industry, propelled by public concern and government action, has arisen from the bombing Dec. 21, 1988, of Pan Am 103 over Lockerbie, Scotland. Several companies that did not exist then are turning out explosive detection machines now in a worldwide effort to thwart terrorists' attempts to place explosive devices into a suitcase and check the bag onto an airliner.
United will target two goals for on-time departures in 1999 - 55% for flights pushing back from the gate precisely on time and 71% for departures within five minutes. Last Thursday, United's "on-time zero" rate was 49%.
FAA should revise ATC procedures so that pilots of aircraft departing Class B terminal areas under VFR conditions can continue to receive radar advisories until they leave airspace in which other aircraft might be approaching, National Transportation Safety Board recommended in a report on the April 1997 near-collision of an inbound America West 737 and an outbound Ameriflight Beech 99 near Las Vegas McCarran Airport.
Korean Air yesterday finalized its $120 million, 10-year outsourcing agreement. IBM will invest with the airline to create a new IT infrastructure for the airline, Korean Air said. IBM has created a subsidiary, IBM Global Services Korea, for the venture and others in Korea.
House aviation subcommittee Chairman John Duncan Jr. (R-Tenn.) sees no reason to "drag out for many months" a Senate trial of President Clinton on impeachment charges, but scenarios being considered in the Senate range in length from days to almost half a year. Apart from his feelings about Clinton, Duncan has a legislative stake in the outcome. FAA is operating under a six-month authorization that expires March 31.
Airlines in the Asia/Pacific region will have a lengthy recovery period that will last well into 2000, according to Sydney-based consulting firm Centre for Asia Pacific Aviation. Yields for the region's airlines have plummeted nearly 10% from 1997, current ticket prices are low and debt levels are high enough to warrant worry. The return to the boom of the early 1990s will be slow, according to Peter Harbison, CAPA managing director. "The original shock was sharp and painful, but the bleeding will continue well beyond 1999," he said.
Singapore Airlines yesterday moved one step closer to a formal mega-alliance relationship as its signed a comprehensive strategic code-share pact with Air Canada. SIA already has a tripartite alliance with future Star Alliance members Ansett Australia and Air New Zealand and code-share links to Lufthansa and SAS. The memorandum of understanding between SIA and Air Canada covers North America and Southeast Asia, and the two intend to finalize the partnership in March.
U.S. domestic yield for major airlines was down 1.7% last month, the third straight monthly decline year over year.But yield so far in 1998 is 0.9% ahead of the 12-month figure for 1997, according to Merrill Lynch data, indicating that the recent declines only offset improved domestic pricing earlier this year.
SatoTravel has been reawarded the Navy Western Regional contract, which has an estimated annual air volume of $97 million. The contract is for official travel services for Navy travelers in 14 states in the western U.S. and Guam, Singapore and Japan. The contract will begin on or around March 1 and is for a base period of six months with nine six-month option periods.
China Southern Airlines and the Industrial and Commercial Bank of China (ICBC) have unveiled the first co-branded credit card to be offered by Chinese airlines. The "Peony" cards will come under the Visa brand and carry an annual fee. Card recipients are automatically enrolled in China Southern's Sky Pearl Club frequent flyer program and receive preferential prices on tickets. Regular card holders receive a 3% discount and Gold Card members 5%.
In the next six months, Germany will lead the European Union in an attempt to persuade international air transport bodies to impose a tax on kerosene. The German Socialist-green government will hold the revolving presidency of the European Union from January until June 1999.
