Aviation Daily

Staff
DOT's international aviation policies "should mirror its substantial efforts to support and sustain new entrants and smaller carriers as an essential competitive force in domestic markets," US Airways Chairman Stephen Wolf told DOT yesterday in exhibits submitted by the carrier in the U.S.-Italy route proceeding. US Airways, Delta, American and the cities of Chicago and Philadelphia filed in the competition for seven weekly U.S.-Italy frequencies prior to a future open-skies agreement between the two countries.

Staff
Reducing runway incursions is a top aviation safety issue cited by the DOT Office of Inspector General in response to a House Government Reform and Oversight Committee request. Terming runway incursions "a major risk factor at airports," the OIG said FAA also must effectively implement its new inspection process, improve the accuracy of safety databases and enhance the quality of inspector training.

Staff
US Airways is offering electronic ticketing to all US Airways, US Airways Express, MetroJet and US Airways Shuttle destinations worldwide. President and Chief Executive Rakesh Gangwal said 45% of US Airways' passengers use e-ticketing, and more than 19 million have used it since it was introduced in April 1996. Customers can purchase e-tickets at US Airways' Internet reservations system.

Staff
Japan Airlines filed yesterday with the Japanese Ministry of Transport to start Tokyo-Dallas/Fort Worth nonstop service on March 15. JAL intends to operate three weekly flights using 314-seat 747-400s and code share with American beyond Dallas in the future. JAL also said it will discontinue Tokyo-Atlanta flights in mid-March. It has served the route for 13 years and currently offers three weekly flights, but Delta entered the market recently with daily service.

Staff
Hapag Lloyd of Hannover, Germany, leased a new 737-800 from International Lease Finance Corp. for delivery in February 2000.

Staff
China Eastern selected Boeing to convert two MD-11s into freighters and took options for three more conversions, the manufacturer reported. The conversions will be done at Long Beach, Calif., under direction of Boeing Airplane Services, a new unit that brings together the company's modification and related engineering organizations and interior reconfiguration work.

Staff
Air Transport Association (ATA) and Northwest filed replies in the competition policy docket to comments made by Spirit Airlines and Alfred Kahn. Kahn filed late and Spirit filed at the comment deadline, Sept. 25, and ATA told DOT they were able to make new arguments while commenting on materials filed by ATA and others.

Staff
US Airways and its pilots union agree on the need to ditch the U.S.-U.K. Bermuda II agreement.The Air Line Pilots Association unit's Master Executive Council condemned the agreement unanimously in a recent resolution because, among other things, bilateral talks with the U.K. have broken down "due to intransigence on the part of U.K. negotiators." The resolution calls for support of DOT efforts to ensure U.S. carriers equal competitive access to the U.S.-U.K. aviation market.

Staff
U.S. Major Carriers Traffic Market Share (000) November 1998 RPMs Share (%) 1. United 9,660,798 21.261 2. American 8,544,772 18.805 3. Delta 7,923,698 17.438 4. Northwest 5,298,658 11.661 5. Continental 4,229,892 9.309 6. US Airways 3,270,570 7.198 7. Southwest 2,539,175 5.588

Staff
South African Airways is increasing Hong Kong-Johannesburg nonstop service to three weekly flights to handle increased traffic from Hong Kong. SAA said more than 20,000 people have traveled from China to South Africa since the countries established ties last January.

Staff
Federal Express and the Fedex Pilots Association (FPA) believe they might have their first-ever contract in place before Christmas, FPA said yesterday. FPA spokesman Bob Clement said the two sides are close to finishing up contract language in several important areas, and he sees no "show-stoppers" on the horizon. He said pay discussions are "in the final stages" and noted that FedEx has said it wants a ratifiable contract this time. FPA members have rejected tentative contract agreements twice.

Staff
Air Canada reported a 9.5% increase in systemwide traffic on 3.4% more capacity in November, boosting the load factor 3.6 percentage points to 64.6%. The carrier flew 1.7 billion revenue passenger miles and 2.6 billion available seat miles. Domestic RPMs grew 8.5% to 614 million and ASMs 3.5% to 915 million, and the load factor gained 3.1 points to 67.1%. International RPMs climbed 10.1% to 1.1 billion and ASMs 3.4% to 1.7 billion, which caused the load factor to grew 3.8 points to 63.1%.

Staff
Pro Air launched Detroit City-Atlanta roundtrip service and added flights to Baltimore/Washington and Newark. The carrier will operate two Atlanta nonstops per day on business days and a reduced schedule on weekends. One-way unrestricted fares are $69 in coach and $144 in first class. Service to BWI and Newark increased from two flights per weekday to three in each market.

Staff
American asked DOT for an exemption to operate, under code share with Venezuelan carrier Aeropostal, combination service between points in the U.S. and six Venezuelan points - Barcelona, Barquisimeto, Maturin, Puerto Ordaz, San Antonio and Valencia - and to integrate the exemption with its U.S.-Venezuela certificate and exemption authorities. The carriers applied separately for code-share service authority under their recently signed code-share and marketing alliance (DAILY, Dec. 11). (Docket OST-98-4911)

Staff
The Communications Workers of America (CWA) yesterday lost its bid to represent American's more than 14,000 passenger service employees, as only 41% of the agents cast ballots for the union. Under the Railway Labor Act, a majority of the workers in a unit must vote for an election to be valid, and anyone not returning a ballot is counted as a "no" vote. CWA said it will file objections immediately with the National Mediation Board (NMB), charging illegal actions by American management during its representation drive.

Staff
Pilots at Continental Express ratified a five-year contract, ending months of dispute over wages and the ability of Express pilots to move into the mainline operation. In June the Express pilots, represented by the Independent Association of Continental Pilots (IACP), rejected a contract by nearly 2-1 because of pay issues and lack of career opportunities. The new agreement, ratified 549-100 by the rank and file and signed Monday, raises pay of the 1,100 Express pilots by an average of 40%, with new-hire pilots starting at nearly $20,000 per year.

Staff
U.S. Major Carriers Traffic November, 11 Months 1998 (000) November November % 1998 1997 Change Alaska Revenue Passenger Miles 921,000 813,000 13.3 Available Seat Miles 1,368,000 1,267,000 8.0 Load Factor (%) 67.3 64.2

Staff
DOT issued a consent order yesterday on a settlement with Alitalia over the carrier's "failure to transport a passenger due to his disability." Franz Soni, who uses a wheelchair, filed a formal complaint after he was refused boarding by Alitalia in Rome because the carrier had no boarding wheelchair at the gate. His seat was reassigned and he was "forced to remain in Rome and board the next flight several hours later." DOT said Alitalia "admits and regrets its service errors and confusion that resulted in the failure to board Mr.

Staff
United will launch its third daily Chicago-London Heathrow nonstop on Jan. 2 and a second daily Chicago-Paris nonstop on May 5. It will operate the London flight initially with 206-seat Boeing 767-300s eastbound and 292-seat 777s westbound. As of Feb. 11, it will operate all three daily flights with 777s in both directions. United will serve Paris with 767-300s.

Staff
Kiwi International Air Lines will operate its first scheduled flight from New York Kennedy Airport Jan. 12 when it begins twice-weekly nonstop service to Aguadilla, Puerto Rico. "As soon as we get more planes, we'll start more service from JFK," said spokesman Rob Kulat. By teaming its current service at Newark with JFK, the airline expects to leverage its advertising in the New York area. "Plus, the gate situation at Newark does not give us a lot of options for growth," Kulat said.

Staff
French Transport Minister Jean-Claude Gayssot confirmed this week that he intends to dedicate Paris Orly Airport to short- and medium-haul flights. Explaining his position Monday afternoon during a long meeting with 120 representatives of airlines, unions and local communities, Gayssot said he plans to move all flights of more than 5,000 kilometers to Roissy Charles de Gaulle Airport in 2001. Long-haul service accounts for 2.5% of Orly's time slots. Gayssot said he will unveil a "global action plan" for Orly at the end of January 1999.

Staff
TWA and Kuwait Airways signed a code share and marketing agreement yesterday that will take effect in the spring, pending government approvals. Kuwait's "KU" code will be placed on TWA service from New York Kennedy and Washington Reagan, Los Angeles, San Francisco and St. Louis. Kuwait operates New York-Kuwait City service with Boeing 777 and Airbus A340 aircraft. TWA will put its code on Kuwait-operated flights to Kuwait City, Muscat, Oman and Dubai, and on Chicago-Kuwait City.

Staff
Northwest is putting its stock in John Dasburg for the long term, extending his contract as president and chief executive, a role he has had since 1990. The carrier is not disclosing the terms of the latest agreement, partly because it has not been finalized, and airline officials characterized the deal only as long-term. The airline also promoted Richard Anderson to executive VP and its first-ever chief operating officer. "Richard has gone through an ascension here in several top-level positions of responsibility," said Senior VP-Administration Chris Clouser.

Staff
Elimination of smoking by Tower Air this month on its international flights makes all domestic and international U.S. carrier flights smoke-free, according to DOT Secretary Rodney Slater. Smoking on U.S. domestic flights was banned beginning in February 1990. Most foreign carriers serving the U.S. have eliminated smoking on most or all of their flights, helping to make 91% of all international flights to and from the U.S. smoke-free and bringing the foreign carriers into compliance with an ICAO resolution calling for a total ban on smoking on international flights.

Staff
House Speaker-designate Bob Livingston (R-La.) has proposed - and Democrats have tentatively accepted - party ratios for House committees in the new Congress that make fewer changes than the Democrats wanted. The makeup of the House Transportation Committee would remain unchanged in the 106th Congress at 41 Republicans and 34 Democrats, giving the Republicans 54.7% of the seats. Under the Livingston proposals, the Democrats would pick up one seat on the House Appropriations Committee but the Republicans would not lose any.