Frontier selected Denver-based Hanifen Imhoff Inc. as investment counsel on financial issues. The airline expects to grow 20% annually, and Hanifen Imhoff will help it develop its long-term financial plan and enhance institutional investor support.
America West flight attendants, represented by the Association of Flight Attendants (AFA), have given management until noon today to respond to an offer of arbitration to settle their contract dispute, or face CHAOS (Create Havoc Around Our System). Negotiations ended last week when the carrier refused to improve its offer on pay and other economic issues, AFA said. Flight attendants have voted 99% to strike. The arbitration offer was submitted to the company and a federal mediator.
Air Aruba and Aserca Airlines of Venezuela each took delivery of an MD-90 leased from Hwa-Hsia of Taiwan. Hwa-Hsia has purchased three MD-90s, and Air Aruba will lease the third. Boeing said the MD-90 is the first new airplane delivered to a Venezuelan airline in more than 10 years.
Moody's Investors Service assigned a Baa3 rating to United's $750 million revolving credit facility. Moody's cit ed United's improving balance sheet and good geographic diversification as factors in the positive rating.
Aerolineas Argentinas' board approved the purchase of 12 A340s - six newly launched A340-600s, four A340-200s and two A340-300s. The A340-200s and A340-300s, to be delivered starting in March, will be powered by CFM56 engines. The A340-600s are to be delivered beginning in 2004 and will be powered by Rolls-Royce Trent 500 engines. The new aircraft will be used to serve Auckland, New Zealand, and points in Europe, including Paris and Rome.
US Airways named Gregory Taylor VP-financial planning and analysis and Peter George, chairman of Hilton International and chief executive of Ladbroke Group, to the board.
FAA's proposal to create a Part 66 regulation specifically for mechanics contains "five separate ways for mechanics to have their privileges suspended, and there is no mechanism to notify the individual or the employer about the suspension," the National Air Transportation Association complains. The unknowing employer would be liable for work performed by the mechanic, and none of the aircraft the mechanic returned to service would be considered airworthy, NATA says.
Mesa Air Group, which lost money in the last eight consecutive quarters, was profitable in October and its cash situation will continue to improve, according to Merrill Lynch. Driving the improvement is Mesa's profitable operation of 18 regional jets, six of them for America West and 12 for US Airways.
China's Zhejiang Province selected a local farmer to operate two weekly roundtrips between Quzhou and Guangzhou under a one-year contract. Chen Tianming decided to get involved in aviation when he saw increasing numbers of business travelers going to Guangzhou, according to the Chinese government.
Qantas has been the "standout" Asia/Pacific airline during the past 12 months, says Salomon Smith Barney, despite turmoil in nearly every neighboring market. Net profit for fiscal 1998 grew 17% and the carrier reduced costs A$2.7 billion. More cost cuts are expected in 1999.
Pilots at Trans States Airlines, represented by the Air Line Pilots Association (ALPA), asked the National Mediation Board (NMB) to mediate after five months of unsuccessful contract negotiations. TSA employs 600 pilots, and the union said it has had trouble reaching an acceptable agreement on, among other things, pay rates to fly the company's new regional jets. TSA began feeder service for United in May and for Delta on Nov. 1 using Embraer 145 RJs. Pilots in July rejected by 88.9% a pay proposal covering the new equipment.
Honeywell/Racal team's Aero-I satellite communications system has been granted a supplemental type certificate from FAA for the next-generation 737-800, its first airliner certification. The aircraft are operated by launch customers Royal Air Maroc and Hainan Airlines. They will operate via ground stations of the Satellite Aircom Consortium, which have been upgraded to provide worldwide coverage for Aero-I service.
Tex Tech Industries says it was "surprised to hear" that some aircraft insulating materials do not meet smoke and toxicity standards. The North Monmouth, Maine, company said it has been "selling materials that do this for years." Its Aerolite is used widely in business and regional aircraft.
Carol Carmody, U.S. representative to ICAO, will address the Aero Club of Washington monthly luncheon meeting tomorrow at the Capital Hilton Hotel in Washington. For reservations, call 703-327-7082.
Federal Express and its Fedex Pilots Association (FPA) will resume contract talks today after the union agreed last week it would not strike during the holidays or go forward with its planned Dec. 3 strike vote count while the two sides try to settle their labor dispute. FPA said it will take no self-help action during the next 60 days. A FedEx spokeswoman declined to say where the talks are being held or whether the National Mediation Board is involved, but FPA has agreed to submit a new contract proposal in writing, which the company will consider. She said the Oct.
DOT - Approved an initial one-year exemption for Morningstar Air Express to operate foreign charter all-cargo services between Canada and the U.S. and other charters to and from the U.S...Approved a Curragh Bloodstock Agency charter using an Aer Turas Teoranta DC-8-63F for a one-way flight carrying 45 horses on a Louisville-London Luton-Dublin routing Nov. 10...Approved a Panalpina/Air Sea Broker charter using a Taesa DC-10-30 for 104 roundtrips carrying general cargo on a Miami-Guadalajara-Mexico City-Miami routing Nov. 12, 1998-Nov.
Air New Zealand (ANZ) has set up a new area office in Singapore, a merger of its Southeast and North Asia offices following a restructuring of its operations. The change makes Singapore a regional hub for ANZ's operations in Asia. The office will be headed by Gerard Gilmore, appointed to the new position of manager-Asia, who will oversee operations in China, Taiwan, Hong Kong, Korea, Thailand, Malaysia, Indonesia, India, Sri Lanka and the Philippines. Effective tomorrow, ANZ will increase service from Singapore to Auckland, currently daily, to nine flights per week.
Author David Gidmark has chartered an Air France Corcorde and is selling tickets to the public for $895 for a one hour, 45 minute flight Dec. 1 from New York Kennedy over the Atlantic and back to JFK. Gidmark is paying $65,000 an hour for the plane, using the event to promote his book, Speak to Me In Indian. Proceeds from the flight and book will benefit the Salvation Army.
Lucas Aerospace will supply cargo system power drive units to Delta for future 767 and 777 aircraft. Delta will be the first customer for Lucas's new three-inch PDU, which provides lower-deck commonality on 777s and 767s and, with minor modifications, on 747s, A330s and A340s, Lucas said.
