Cielos del Peru, which absorbed Export Air del Peru by merger in January, asked DOT to expand and reissue for one year exemption authority unused by Export Air since the Fine Air-Peru weapons controversy in 1995. Export Air, required under 1993 and 1995 DOT orders to use aircraft wet-leased from a carrier authorized to operate in the U.S., was providing twice-weekly scheduled Miami-Lima cargo service on a Fine Air Services wet-lease when Peru accused Fine of transporting arms to Ecuador during Peru- Ecuador hostilities.
US Airways will begin low-fare MetroJet service from Washington Dulles to Atlanta, Birmingham, Ala., and Raleigh/Durham, starting Feb. 3. It was the second flight expansion in a week announced from Dulles, which already receives low-fare service from AirTran and Delta Express. MetroJet's single-class 118-seat 737-200s also will serve Raleigh/Durham to Orlando. After expanding to 216 daily flights this month, MetroJet will enlarge to 248 flights a day in December, 264 in January and 332 in February.
Debonair has begun scheduled services from Zurich to Venice and Bologna on behalf of Swissair and Air One, operating three daily roundtrips to Venice and one to Bologna with BAe 146 aircraft. As part of the expansion, Debonair said recently it will add another BAe 146 to its fleet, bringing its total of the type to 12.
DOT and State Department representatives met with Chinese officials last week to discuss informally the benefits of liberalizing the U.S.-China aviation regime. Members of the U.S. delegation, which includes David Marchick, deputy assistant secretary of state, and Brad Mims, DOT deputy assistant secretary for aviation and international affairs, spoke with Chinese aviation and business leaders in Beijing, Shanghai and Guangzhou about expanding cargo and passenger services to enhance trade and economic activities. A U.S.
An open dispute between France's Aerospatiale and its partners British Aerospace and DaimlerChrysler Aerospace (DASA) of Germany over the latter's proposed merger with British Aerospace is threatening to postpone once again the corporatization of the European Airbus consortium, scheduled for the end of 1999.
Midway Airlines ordered three more Canadair Regional Jet Series 200ERs from Bombardier. The $64 million contract is a conversion of three options to firm orders. The aircraft are to be delivered in December 1999 through March 2000. To date, Midway has received nine of 23 CRJs. The order book stands at 434 aircraft for the 50-seat Series 100 and 200 and at 71 for the 70-seat Series 700, on which deliveries are to begin in early 2001. Midway will use the aircraft to open new markets.
KLM traffic for November rose 2% on 2% more capacity, keeping the load factor flat at 74.2%. Traffic rose steadily in Africa, up 14%, the Middle East, 8%, Asia/Pacific, 7%, and Europe, 4%. The Load factor on flights to and from the Asia/Pacific region jumped to 78.5% from 71.3%. For the Mid and South Atlantic, the load factor grew to 79% from 77.9%. Capacity to Africa increased 21%, which, with the 14% traffic rise, meant a lower load factor of 72.6%. North Atlantic traffic was flat year over year, while capacity gained 3%, forcing the load factor down to 73.5%.
Lufthansa Cargo said it has developed a "Sales Partner" concept that will integrate midsize forwarders into an existing cooperative partnership with major forwarders. The carrier disclosed the plan at a meeting with the German Federal Forwarders and Logistics Operators Association in Frankfurt. Lufthansa Cargo also plans to offer a training package to member companies.
United's comments on Chicago-O'Hare slots (DAILY, Dec. 4) being contested by American Eagle and United Express are "telling," American Eagle said, calling for O'Hare slots held by United and its Express carriers to be "aggregated for competitive purposes." Overall network holdings of each carrier and its affiliates would be a more "proper comparison" than comparing commuter slots, American Eagle told DOT, noting that American's network totals 916 O'Hare slots and United's 1,049.
Great Lakes Aviation reported a 50% jump in traffic on 44.5% more capacity for November 1998 from the same month last year, boosting the load factor 1.8 percentage points. Great Lakes flew 20.9 million revenue passenger miles on 42.9 million available seat miles, creating a 48.8% load factor. Passengers flown leapt 64.8% to 76,389. Year-to-date RPMs grew 21.6% on 8.6% more ASMs, compared with the first 11 months last year, boosting the load factor 5.5 points. Passengers flown increased 26.5%.
TWA's International Association of Machinists (IAM) unit plans to hold a rally today demanding that Chief Executive Gerald Gitner and President William Compton resign for failing to make the airline profitable two years after taking over, and for failing to reach a contract agreement with the union. IAM said yesterday it planned the rally for this morning at Kiener Plaza in St. Louis. IAM represents 75% of TWA's employees, including mechanics, ramp personnel, flight attendants and customer service and reservations agents.
Troubled Philippine Airlines yesterday submitted its restructuring plan to the Philippines Securities and Exchange Commission, calling for a 6 billion peso (US$153 million) infusion in two stages and scrapping the recent agreements with employees that ended strikes. After Cathay Pacific last week said it had suspended talks with PAL over its last-minute, white-knight investment possibilities, Singapore Airlines said yesterday it is not interested in purchasing a stake in PAL.
National Transportation Safety Board has asked FAA to require modifications of General Electric's CF6-50 and CF6-80C2 engines to prevent low-pressure turbine (LPT) fan fracture and to prevent the blades from "being liberated through the engine cowling." The board said information provided by GE pointed to 25 LPT failures in the CF6-50 and six in the CF6-80C2 as of 1997, including events on American, Continental, FedEx and Pakistan International widebodies. The equipment involved included 747, DC-10, MD-12 and A300 aircraft.
FAA said the $3.8 billion increase in air traffic control modernization costs reported by the General Accounting Office (GAO) for the first time, reflects a change in accounting practices to include life cycle costs. The GAO had explained the figure in a footnote (DAILY, Dec. 4).
China Southern Airlines is offering a 25% travel agent commission on its Los Angeles-Guangzhou service, as well as beyond flights in Asia. The 25% level will be offered through March 31. China Southern cited a $1,349 economy roundtrip to Guangzhou, with a $337 commission, and a $3,418 business-class roundtrip, with an $855 commission. U.S. carriers recently capped international commissions at $100.
British Airways passenger traffic for November rose 10.3%, but capacity grew more quickly, up 11.5%. The higher capacity expansion over traffic growth lowered the overall load factor 3.5 percentage points to 64.1%. BA, the only major carrier to break out premium and leisure traffic, said premium traffic fell 2.9% after a similar 2.4% decline in October. Leisure traffic rose 13.1%. But unlike some airlines, BA's international traffic, up 10.7%, outpaced the 8.3% growth in regional/U.K. traffic.
Association of Asia Pacific Airlines (AAPA) agreed to push airports, air traffic control and others involved in aviation infrastructure to solve outstanding Year 2000 issues and to put in place contingency plans now to guard against non-compliance. The AAPA resolution came after airlines expressed concern that airline Y2K preparedness will be moot if each country's Y2K infrastructure changes are not accomplished.
The Star Alliance airlines yesterday announced a new management structure comprising a six-member ruling council that will oversee all alliance actions, starting with the implementation of a five-year business plan approved at an alliance meeting in Rio de Janeiro in October. The new management structure, announced last Friday in Chicago, will drive the further development of the partnership via its day-to-day business. The alliance expects the new leadership framework will bring Star to the next level of its evolution.
Air Transport Association Cargo Traffic September 1998 Revenue Ton Miles (000) September September % 1998 1997 Change Domestic Freight 785,634 760,967 3.2 Mail 126,840 146,765 (13.6) Total 912,474 907,732 0.5 International
LanChile posted an 18% traffic rise in October and an 18.9% capacity increase, which lowered the load factor 0.4 percentage points to 61.4%. LanChile carried 259,000 passengers in October and 2.5 million in the first 10 months of 1998.
The U.K. Civil Aviation Authority (CAA) has thwarted an attempt by Heathrow Airport Ltd. (HAL) to limit the number of suppliers of ground-handling services at London Heathrow. Last month, at a public hearing to consider the application by HAL, which manages ramp-, baggage- and freight/mail handling, the CAA decided there was not a sufficiently strong case to restrict the access of service suppliers. The decision was made within the framework of Regulations 1997, which are intended to implement in the U.K. the European Commission Groundhandling Directive of 1996.
Augsburg Airways, a Lufthansa partner airline, has pledged to continue offering low fares on its German domestic routes through March 1999 in response to passenger demand. During the first month of selling special fares of DM135 (US$81) roundtrip on flights from Augsburg to Berlin, Hamburg, Cologne/Bonn and Dusseldorf, the airline carried 1,000 passengers who had not previously flown with Augsburg, said Claus Fischer, VP-sales and marketing.
Union-Transport, an air and ocean freight forwarder, said it has acquired Nord Express, Brussels. Nord is primarily a forwarder that focuses on inbound fashion freight from the U.S. and Asia into Europe.
