DOT invited U.S. carriers Friday to apply for the seven weekly frequencies made available under the new U.S.-Italy agreement (DAILY, Nov. 13), and Delta promptly put in its bid. The carrier said it "played a key role" in urging U.S. negotiators to include the new, unconditional frequencies in the agreement, so that it would be able to launch Atlanta-Rome service quickly. It said it serves every major European country except Italy nonstop from Atlanta, and all current U.S. flag nonstops to Italy are operated from five northern gateways by six carriers, including Delta.
United on Friday became the latest airline to lower its growth rate for 1999, forecasting a 2.5-3% expansion, compared with the previous plan of 3.5%. Most of the pull-back will occur on international routes, such as Washington Dulles-San Salvador, which United recently announced will end Jan. 16. United Chairman Gerald Greenwald said the airline is balancing cost cutting and revenue generation so that it will be in the best possible position if the U.S. has an economic slowdown.
Vienna Airport has the shortest minimum connect time among Europe's major hubs - 25 minutes, much quicker than second-place Munich, 35, and Zurich, 40. Paris, London, Copenhagen and Frankfurt need 45 minutes and Amsterdam 50. Prague trails at 55 minutes.
New Regional Aircraft Orders And Options August 1998 Firm Orders Options Carrier No. Type No. Type Engines Cityflyer 2 Avro RJ-100 - - LF507-1F Express Orders-Last 12 Months-Options Carrier Delivery Dates No. Type No. Type
US Airways has launched MetroJet service between Hartford and Orlando and expanded service between Baltimore Washington International and Fort Lauderdale, Miami, Orlando and Tampa. MetroJet offers one daily Hartford- Orlando flight and will add two more in December. On Jan. 6, the carrier will increase its Hartford-Fort Lauderdale flights from two per day to four. It has expanded service out of BWI, adding two flights to Fort Lauderdale and Tampa and one to Miami and Orlando.
Shuttle America, an airline started by former Continental executives, operated its first flight at Bradley Airport, near Hartford, Conn., yesterday. The carrier began operations with three new Dash 8-300s fitted with 50 all-leather seats. It plans to have three more in the air by January. Shuttle's first flight was Hartford-Buffalo and cost $39 one way with 14-day advance purchase. Next Friday, it will start service to Wilmington, Del., and on Dec. 18 it will add Norfolk, Va.
KLM's cargo division won an award from The Netherlands Quality Institute for high managerial standards. The annual award, presented yesterday, for the first time went to a company for the high quality of its global organization.
Air Wisconsin and its flight attendants, represented by the Association of Flight Attendants, have reached a tentative contract agreement. The tentative new pact calls for significant wage increases and work rule improvements, AFA said. Ballots will be mailed to attendants Nov. 20 and counted Dec. 15.
Avteam, supplier of aftermarket engines and parts, reported net income of $1.1 million and net sales of $14.8 million for the third quarter, up from $803,000 and $13.3 million, respectively, a year earlier.
Continental Express will take delivery of the 100th Embraer ERJ-145 Dec. 10 in Sao Jose dos Campos, Brazil. The carrier took its first -145 in December 1996, when the manufacturer had only 63 firm orders and 217 options COEx currently has 50 firm orders and 150 options. Today, Embraer has 215 orders and 212 options for the 50-seater. A current production rate of seven aircraft per month, including the 37-seat ERJ-135, gradually will be increased until it reaches 12 aircraft per month, which will put the factory at maximum capacity (see related story below).
Air France is beginning its annual distribution of 1,200 tons of Beaujolais Nouveau wine to countries around the world. The carrier is flying 500 tons to Asia and 350 tons to the Americas.
DOT revoked Maverick Airways' interstate scheduled combination service certificate for reason of dormancy. The carrier, found fit to fly in September 1996, ceased operations Sept. 13, 1997. DOT suspended its certificate authority on Sept. 24, 1997. Maverick has not responded to a letter from DOT reminding it of requirements on filing for a fitness redetermination to resume certificated operations within one year of cessation. It had operated service to points in Colorado using de Havilland Dash 7 aircraft. (Docket OST-96-1400)
Prime Air, d/b/a TransMeridian Airlines, asked DOT to approve a change in the name of Prime Air to TransMeridian Airlines, and reissue Prime Air's certificates in the new name. The company decided "for purposes of simplicity and clarity" to change its name to the name under which it holds out service. Prime Air holds foreign and interstate charter combination service certificates and provides "extensive charter service" within the U.S. and between the U.S. and Mexico and the Caribbean. (Docket OST-98- 4738)
Atlantic Southeast's board of directors has authorized the company to repurchase up to $50 million of the company's common stock on the open market through January 2000, the company announced. ASA President John Beiser said, "We have used virtually all of the $50 million stock repurchase authorization that our Board or Directors approved in February 1998. Therefore, the additional $50 million authorization that was granted today...will enable us to continue our stock repurchase program in a timely manner."
Airborne Express takes delivery today of the first of 12 767s ever to be converted to cargo jets. The used 767s cost $290 million, plus $20-23 million each for the Timco conversion, and will be delivered through 2000. Airborne will operate them on its longest domestic routes.
Summary of U.S. Major Carriers Domestic Traffic May 1998 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles % (000) Change (Miles) (000) Change Alaska 1,024 7.70 846 865,608 11.03
AlliedSignal said it was selected by Northwest to supply auxiliary power units for 50 firm and 100 optional A319 aircraft. The contract is valued at more than $50 million over its life.
China Southwestern Airlines could become the fourth Chinese carrier to offer long-range international service. The airline received the first of three Airbus A340s this week and the second will arrive shortly. The aircraft are financed by banks in Europe, the U.S. and Japan.
Fairchild Corp. announced revenues of $148.5 million and net earnings of $1.2 million for its fiscal first quarter ended Sept. 27. Year-earlier revenues were $194.4 million, including $66 million from Banner Hardware Group and PacAero units subsequently divested to AlliedSignal. Net earnings last year were $500,000.
The SAirGroup has become a major investor in the German airline and tour operator LTU Group. The transaction, announced Nov. 12, entails the purchase by SAirGroup of a 49.9% stake in the Dusseldorf-based group, which owns the LTU airline and six tour operators grouped under LTU-Touristik. The six are Tjaereborg, Meier's Weltreisen, THR, Marlboro Reisen, Jahnreisen and Smile&Fly. The shares will be held by a new SAirGroup subsidiary, LTU Holding, which eventually will function as a full-fledged investment vehicle for all LTU Group shares.
Express Airlines I, a wholly owned Northwest subsidiary, is redoing the interiors of its Saab 340s to project a "corporate jet image." A survey of passengers, the majority of whom are business travelers, revealed a desire for the business-jet look. Gray leather seats are being replaced with navy-blue leather seats with a wrap-around, easy-chair effect. Navy-blue carpet with red highlights also is being installed, going a quarter of the way up the sidewall.
Aviation Sales Co. said third quarter revenues rose 56.8% to $127.5 million from $81.3 million and net income increased to $7.9 million from a loss of $3.7 million. For the first nine months, revenues were up 49.4% to $338.8 million and net income totaled $17.9 million, up from $6 million. Dale Baker, chairman of the spare parts manufacturing, overhaul and distribution company, attributed the performance to a "30% growth in our core business complemented by a 27% growth from companies acquired since last year which were not included in our 1997 financial results."
