Delta is offering special sale fares to select domestic markets for customers who reserve and purchase travel through its web site at www.delta-air.com. Sample Internet roundtrip fares include $78 Atlanta-Knoxville, $98 Atlanta-Richmond and $138 Atlanta-Boston.
Delta Connection Comair, which initiated weekend Canadair Regional Jet service between its Cincinnati hub and Nassau in June, yesterday upgraded the operation to daily service. The Nassau service continues on to St. Louis from Cincinnati. The carrier also initiated two daily roundtrips between Cincinnati and Colorado Springs and added three flights from the hub to Washington Dulles. A fourth Dulles frequency will be added Nov. 1, bringing the total to five daily.
Atlas Air will acquire three 747-200 freighters now being operated by Cargolux. The three aircraft are to be delivered to Atlas in the fourth quarter, after which two will be leased back to Cargolux under Atlas contracts.
Eight regional-airline stocks averaged a slight increase in value during September, up 31 cents, or 1.9%, to $16.66 per share. The stock average ranged from a low of $14.70 per share on Sept. 10 to a high of $18.11 on Sept. 25, although it moved downward from there. Only shares of two of the three publicly held Delta Connection carriers displayed any real growth on the month, with Comair up $3.31 to $28.75, a 13% gain, and Atlantic Southeast up $1.25 to $35.50 per share, 3.6% higher.
...Mauricio confirmed he is looking at the market potential for a 70- to 90-seater but lamented that five potential manufacturers - ATR, BAe, Bombardier, Fairchild Dornier and Rekkof (a questionable rebirth of Fokker spelled backwards) - may be chasing the same market, now restricted to Europe, and possibly Asia, in five years. "The U.S. market is closed because of the scope clauses" in major-airline pilot contracts. He questioned whether a $600 million to $1 billion investment in such an aircraft is worth the investment. "We will have to look at it."
FAA said it has awarded a contract to Sensis Corp., DeWitt, N.Y., to develop an identification system for transponder-equipped aircraft operating on airport taxiways and runways. Sensis will produce an Airport Target Identification System (ATIDS) that will give airport controllers detailed information about aircraft and vehicles operating on the ground, including position, speed and aircraft identification, such as airline and flight number. Aircraft and vehicles will be tracked by a system of receivers and transmitters set up at strategic airport points.
Air Afrique has named Aviareps its new U.K. representative and published a new reservations number. The airline, formed more than 35 years ago, is owned by 11 African states and is based in Abidjan, Ivory Coast. It also has FAA-accredited maintenance centers in Dakar and Brazzaville. Air Afrique employs nearly 4,500 and operates five A300s, four A310s, three 737s and two 707 freighters. Its operations include services throughout West Africa and flights to New York, Rome, Lisbon, the Middle East, South Africa and four cities in France.
Northwest will encourage passengers on all flights during the rest of 1998 to contribute to the March of Dimes. WorldPerks frequent flyer program members will receive 500 bonus miles for contributing 5,000 miles or $50 to the charity.
European Union Transport Commissioner Neil Kinnock and Italian Transport Minister Claudio Burlando spent three hours yesterday discussing - but failing to resolve - their disagreement over Italy's plans for traffic distribution at Milan when Malpensa Airport opens. Burlando wrote Kinnock Tuesday that Italy would change its plans in an attempt to comply with European Union rules, but observers said yesterday's encounter, at the European Union transport ministers meeting in Luxembourg, only seemed to increase mutual aggravation.
Embraer is talking strategic alliances with most other regional-aircraft manufacturers but has "no deals," regardless of press reports this week from Sweden that the Brazilian company was in merger talks with Saab. Chief Executive Mauricio Botelho told The DAILY he has always thought a strategic alliance was "mandatory," but that until recently Embraer was not financially strong enough. Now it is. Mauricio believes the partners in such alliances must be equally strong to prevent one of them from becoming dominant.
U.S. Major Carriers Advertising Expense Second Quarter 1998 % Of Total Advertising Passenger Revenues Alaska 4,867,000 1.39 Domestic 4,463,000 1.37 Latin 404,000 1.61 America West 7,084,360 1.45 Domestic 7,056,018 1.47
Thai Airways International has two outstanding orders for A330 aircraft, not eight (DAILY, Sept. 29), according to Airbus Industrie. One aircraft is scheduled for delivery this month and the other, scheduled in the third quarter of 1999, will enter production soon. Airbus said the delivery process for the first has begun, and Thai has not asked it to defer delivery of the second.
Comair's announcement yesterday that it will take 30 additional CRJ-100 50-seaters and 20 CRJ-700 70-seaters is prompting increased speculation on where the carrier will fly its total 130 small jets. "We have not decided," said a spokeswomen. Comair is replacing a Brasilia with each monthly jet delivery, leading several analysts to believe the small jets will represent most of the growth for senior partner Delta at Cincinnati and possibly at Dallas/Fort Worth, where Atlantic Southeast provides the only Delta Connection service with turboprops (DAILY, Sept. 25).
Travel agents who want to participate in the lower-cost Genesis computer reservations system (CRS) will be required to purchase stock to help fund the project. Genesis was conceived as a not-for-profit CRS, but when airlines and travel vendors failed to come forward with funding, Bruce Bishins, president of United States Travel Agent Registry, shifted the project to for-profit status and is raising funds through a private placement stock offer.
Cathay Pacific began operating charter service within the Philippines this week to supplement service on routes formerly operated by Philippine Airlines, which shut down Sept. 23. The service has drawn the ire of domestic carriers in the Philippines, which have had their own problems (DAILY, Sept. 30). Cathay configured Airbus A330-300s for an all-economy seating of 301 seats for the Philippines service. The carrier began operating four flights a day between Manila and Cebu and two between Manila and Davao.
The City of Fort Worth violated its agreement with the City of Dallas to ensure growth at Dallas/Fort Worth Airport when it built Alliance Airport, according to a counterclaim filed yesterday by Legend Airlines. Legend filed the suit in Tarrant County Court, one day before a court-mandated deadline, stating that Fort Worth already violated the agreement it is citing to sue Dallas and Legend. The court will hear more testimony today and rule Oct. 13 whether to issue a summary judgment in the suit against Legend or let the case go to trial in January.
US Airways is launching MetroJet service at Buffalo, Albany and Rochester, N.Y., on Oct. 5. MetroJet operates 16 aircraft to 15 cities with 94 daily departures.
DOT Secretary Rodney Slater and FAA Administrator Jane Garvey yesterday introduced a plan that puts non-structural systems on transport aircraft through the same rigid inspection process as major structural elements (DAILY, Oct. 1). Also, Tom McSweeny, associate administrator for regulation and certification, said FAA in November and December will publish proposed directives on other types of jet transports covering the "kinds of things we have done with 747s." These actions will deal with ignition sources on all types of jet transports.
Continental, Delta, Northwest and United filed applications at DOT for three U.S.-Romania third-country code-share opportunities available April 1, 1999, when the applicants plan to begin service. Bids by Delta, Northwest and United were turned down by Romania (DAILY, April 1, 1997) prior to the conclusion of the U.S.-Romania open-skies agreement, the first phase of which became effective July 15.
AMR Corp.'s board of directors has approved new management assignments, including the election of four corporate officers for American Airlines and AMR's other units: Peter Pappas, president, AMR Services; Bella Goren, officer and VP-customer services planning; George Mueller, VP-Asia; Craig Kreeger, VP and general sales manager, American; Robert Olson, VP-pricing and yield management; Thomas Bacon, senior VP-planning and marketing, American Eagle; James Beer, VP and head of financial analysis and fleet planning, and Carolyn Wright, officer and VP-reservations.
American and prospective oneworld alliance partner Finnair jointly applied for code-share authority to implement a marketing agreement that includes reciprocal frequent flyer miles and code sharing on some transatlantic flights. The accord provides for American to place its "AA" code on Finnair flights between New York Kennedy and Helsinki, and on selected Finnair flights beyond Helsinki, with connections also at Manchester and London.
Aviation Industry Stock Performance September 1998 Closed Closed Monthly Change Symbol 9/30/98 8/31/98 ($) (%) Majors Alaska Air Group ALK 34.063 38.938 (4.875) (12.5) America West (Class B) AWA 12.500 19.438 (6.938) (35.7) AMR 1 AMR 55.438 54.500 0.938 1.7
Capitalizing on its roots in commercial and military aviation and the automobile market, Saab Aircraft Leasing (SAL), formerly Saab Aircraft Finance Group, and Saab Cars USA Inc., are launching a $1 million cross-branding campaign to boost the fortunes of both segments. Automobiles will be displayed in airports used by Saab aircraft operators, and the automotive side will tout the benefits it has received from Saab Aircraft.
