A composite is being developed that will be used in about half the components of General Electric jet engines under a contract announced last week by Dow-United Technologies Composite Products. The remaining half of the components will use more traditional materials. Dow-UT's new carbon-based material, under development for two years, offers a 28% increase in structural performance over existing materials, according to Lawrence Varholak, VP-technology. "It offers tremendous opportunities in high-performance engines, airframes and other aerospace applications.
U.S. National Carriers Traffic August, 8 Months 1998 August August % 1998 1997 Change Air Wisconsin Revenue Passenger Miles (000) 93,195 59,389 56.9 Available Seat Miles (000) 121,636 83,775 45.2 Load Factor (%) 76.6 70.9
Standard Aero named Mike Watkins sales manager-PT6A; Mark Larsen sales manager-Great Lakes (Upper Midwest) region; Tim Cox manager-regional sales, Dallas, and Bob Dudley program manager-PT6 team.
The six airline chiefs who wrote DOT Secretary Rodney Slater over their concerns about the American-British Airways alliance (DAILY, Sept. 18) filed a motion late Thursday asking the department to hold oral hearings under oath on key parts of the antitrust immunity examination. DOT rejected earlier requests for an evidentiary hearing with cross-examination of witnesses.
Northwest's Machinists union, fighting an Aircraft Mechanics Fraternal Association attempt to take over representation of mechanics, has established a separate district lodge that will let mechanics, custodians and cleaners elect their own officers.Separate representation has been "a concern for a long time," said an IAM spokesman. Ballots for the AMFA representational election will go out Oct. 16 and the National Mediation Board will count votes Nov. 20. IAM has asked NMB to release it from mediation.
Jeddah-based Islamic Development Bank (IDB) has extended a US$100 million credit facility to Malaysia Airlines (MAS) as part of the airline's "modernization program," according to the carrier. Under the credit facility, the bank will "buy" an unspecified number of aircraft, which MAS will lease for 10 years. On expiration of the lease, the aircraft becomes the property of MAS. According to a high-level MAS engineering source, five 737-400s were used as collateral to secure the credit facility. He said the facility will improve the airline's cash flow.
Although American and small carriers teamed up last week to fight a slot-return provision in the Senate FAA reauthorization bill that could help United at Chicago O'Hare (DAILY, Sept. 18), one industry veteran observed that most opposition came from niche carriers and critics of major airlines. "Airline bashing seems to be the rage," he said. "If you can find a provision that might benefit a major carrier, it must be a bad provision."
Heller Financial, a Chicago-based company that manages a portfolio of airplanes, has acquired two new 737-300s for delivery in the fourth quarter, Boeing said last week. The airplanes were acquired through Boeing's Aircraft Trading, which markets new and used Boeing-owned aircraft acquired through trades, lease returns and other means.
The European Union's 15 national governments are mulling new amendments to the European Commission's 18-month-old draft directive on airport charges. The changes, quietly finalized and incorporated into a modified draft Sept. 15 by the commission, reflect the wishes of the European Parliament, which supports greater redress rights for airport users. The original airport charges draft directive, unveiled in April 1997, had its first reading by the Euro-Parliament in March 1998.
TWA Chief Executive Gerald Gitner is asking U.S. officials not to rush into a U.K. aviation agreement that "on paper may appear to be an easy victory." TWA could not compete with an American-British Airways alliance with U.S. antitrust immunity any more than anyone could compete with Standard Oil before it was broken up, he said. Open skies is inevitable, but "in the meantime, the U.K. clearly needs our markets more than we need theirs."
John Edwardson, president and chief operating officer of United, resigned Friday. Edwardson, who joined the company in 1994, said, "I believe it is in everyone's best interests - our employees', the company's and mine - for me to step aside and clear the way for Gerry's [Chairman and Chief Executive Gerald Greenwald] eventual successor.
AAR Corp. reported that sales for its first quarter ended Aug. 31 increased 26% to $215.9 million, its 16th consecutive year-over-year quarterly sales increase. Net income rose by 32% to a first quarter record $99.6 million. The company achieved a return-on-sales ratio of 4.5%.
Alitalia and KLM, which plan to unveil details of their alliance at monthend, said the partnership will become fully operational in November. The Dutch and Italian airlines are striving to develop a multi-hub system in Europe. In particular, the alliance will give KLM a hub at Milan Malpensa Airport in addition to its home base in Amsterdam.
National Association of State Aviation Officials selected William Gehman, deputy director of the Michigan Bureau of Aeronautics, chairman and presented its Chairman's Award to Kenneth Wiegand, director-Virginia Department of Aviation; the Kenneth Rowe Ambassador of Aviation Award to Lloyd Parr, former Missouri administrator of aviation; the State Aviation Distinguished Service Award to Gordon Hoff, manager of the Minnesota Aeronautics' Aviation Education Section; the Aviation Research Award to the Nebraska Department of Aeronautics, and the Most Innovative State Program
Swiss World Airways and Aeromar Airlines will become Airlines Reporting Corp. participants Oct. 5. Swiss World, with headquarters in Geneva, operates nonstop between Newark and Geneva six days a week using 767 aircraft. Aeromar, based in the Dominican Republic, will start scheduled Miami-Santo Domingo service Nov. 19, using 727-200 aircraft with 10 frequencies weekly.
DOT - Approved a one-year exemption renewal for Taino Air Lines to engage in scheduled cargo service between Santo Domingo, Dominican Republic, and co-terminal points Miami, New York, San Juan and Aguadilla, Puerto Rico, only by wet-leasing aircraft from an authorized U.S. or foreign carrier...Approved a short-term exemption authority for Aerolineas Argentinas to operate a one-way flight using a 747-200 carrying 399 passengers on a Miami-Porlamar-Buenos Aires routing Sept.
DOT granted requests by Northwest and United to amend the dormancy condition attached to the carriers' Russia overflight frequencies allocated for their respective U.S.-India services because of "unique circumstances beyond their control." FAA took action Aug. 21 prohibiting all flights over Afghanistan, and both carriers told DOT that use of the overflight frequencies "is not feasible" under that prohibition, and they sought relief due to the political circumstance.
Continental Express posted a 20.8% increase in traffic last month to 149.5 million revenue passenger miles. Available seat miles climbed 19.2% to 235.5 million, allowing the load factor to edge up less than one percentage point to 63.5%. Passenger enplanements increased 8.7% to 537,499. Aug 98 Aug 97 8 Mths 98 8 Mths 97 RPMs 149,451,000 123,764,000 988,356,000 750,353,000 ASMs 235,470,000 197,515,000 1,679,690,000 1,351,667,000
Chief executives of six U.S. carriers wrote DOT Secretary Rodney Slater yesterday outlining minimum Heathrow Airport access requirements for approval of the American-British Airways alliance and complaining that DOT's procedures to examine it are "novel and flawed." Writing as the U.S. and the U.K. prepare to resume open-skies talks next month, the CEOs of Continental, Delta, Tower, TWA, United and US Airways said an alliance as big as American-BA requires an examination of factual issues best conducted with standard hearing procedures.
Ansett Australia this week embarked on an ambitious three-year restructuring program during which it will launch 70 projects that the company hopes will improve profits enough to post a 10% operating margin. Current operating profits are between 0% and 0.8% of revenue, with the latter reflecting the airline's meager AUD$28 million (US$16.6 million) profit posted last week. This year's target is a 3% profit margin.
Virgin Atlantic Chairman Richard Branson will address the International Aviation Club Sept. 24. For reservations, write to John Ash, Global Aviation Associates, 1800 K St NW Suite 1104, Washington, D.C. 20006.
