Aviation Daily

Staff
TWA's Air Line Pilots Association rank and file ratified their new contract in a 60%-40% vote tallied yesterday. Ninety-one percent, or 2,188 pilots, voted. The contract provides pilots with a pay increase to more than 90% of industry average over four years, plus industry-standard work rules immediately. Under the old contract, TWA pilots were paid about 60% of industry average, the result of more than $600 million in concessions over the past 12 years.

Staff
Hong Kong's old Kai Tak Airport still is in the news.The local San Po Kong Confederation of Workers' Groups wants to turn the airport into a tourist site, with a wax museum, food pier and flea market. The government, which would not consider using Kai Tak as a downtown business airport, has planned to build homes for 100,000 on the site.

Staff
Northwest's 6,200 pilots and the airline's management have major issues left to negotiate, including a pay rate, back pay levels and how the carrier will address its regional airlines operating regional jets. The two sides have not agreed on even a relatively small issue such as pilot per diem. Below are details of the issues outstanding as of the strike deadline, according to separate summaries by Northwest and the Air Line Pilots Association. No discussions have occurred since the strike began Aug. 29.

Staff
American Red Cross President Elizabeth Dole named US Airways Chief Executive Stephen Wolf to lead the American Red Cross Hurricane Cabinet. The cabinet raises awareness of and funds for the Red Cross's disaster relief efforts.

Staff
American Eagle last week completed phasing in all-jet service between Chicago O'Hare and Dayton, operating 50-passenger ERJ-145 jets on all five daily roundtrips. The carrier began replacing turboprop service on the route Aug. 3. It launched jet service on existing flights between Chicago and seven other cities in May, and began ERJ-145 flights from Chicago to Shreveport, La., on Aug. 7. The carrier plans to launch jet service from Chicago to Duluth, Minn., on Sept. 28 and to Montgomery, Ala., Oct. 5.

Staff
Mitsui Aircraft Leasing of Japan has signed an agreement with Malaysia Airlines to buy two 737-400s for delivery at monthend. A second 737-400 will be leased to Shaeen Air of Pakistan, also this month. A MAS official said the airline is trimming its 737 fleet - -300s, -400s and -500s - which numbered 54 18 months ago. Currently it has only 31 737s in its system, with 13 already sold and the remainder leased out.

Staff
United has teamed with chef Norman Van Aken to introduce "New World Cuisine," a fusion of Latin American, Caribbean and Asian cuisine, on flights between the U.S., South America and Puerto Rico. Entrees include lobster criolla with saffron rice, gaucho steak with chiles and garlic, and shredded pork asado.

Staff
DOT issued a notice asking U.S. carriers interested in operating "new all-cargo services in the U.S.-Peru market" to apply by Sept. 9 for 33 weekly all-cargo frequencies - five unallocated frequencies and 28 additional frequencies that became available June 12 as part of the U.S.-Peru phased open-skies agreement. DOT said carriers should detail their service plans, including proposed markets, startup dates, aircraft and seasonal variations. The U.S.-Peru bilateral allows the U.S.

Staff
Singapore Airlines will suspend indefinitely its flights to Sendai, Japan, and Cairns, Australia, starting Oct. 1. Both services, operated with A310-300s, have seen poor passenger load factors over the past nine months. As a cost-cutting measure, SIA is evaluating the possibility of closing both stations. The airline has told employees salary adjustments for 1999 will be frozen.

Staff
National Transportation Safety Board Bar Association's safety enforcement law workshop is scheduled Oct. 28 at the Capital Holiday Inn, Washington, D.C. NTSB members and senior officials, and FAA and industry representatives will address the meeting. For more information, call Mark McDermott, 202-331-1955.

Staff
Philippine Airlines has been given a 60-day extension until Sept. 30 to file a final reorganization plan with the Philippine government detailing its scheme for survival. PAL's initial summary, filed recently at the local securities and exchange commission, listed assets valued at 90.6 billion Philippine pesos (US$2.1 billion) versus debts of PHP85.1 billion ($1.96 billion).

Staff
DOT General Counsel Nancy McFadden last week defended the department's record in fully disclosing opposition to its proposed competition policy, answering a House subcommittee chairman who asked why congressional correspondence on the issue was not showing up in the public docket assigned to the case. McFadden, insisting DOT was following approved procedures, said the department is ensuring the process is even more open than usual.

Staff
British Airways "disappointed the market" with its latest quarterly profits, according to Salomon Smith Barney. The firm lowered its BA profit forecast 10% for the next three fiscal years due to declining yields, continued revenue weakness and "an expected delay" - from April 1999 to October 1999 - in starting up its alliance with American.

DOT

Staff
Approved three Apple Vacations East charters using an Allegro 727-200 or MD-83 for (1) four roundtrips carrying 165 passengers on Cleveland- Cincinnati-Nassau-Cincinnati, Cleveland-Cincinnati-Punta Cana-Aruba and Cleveland-Punta Cana-Cincinnati routings Aug. 27-Sept. 1; (2) 64 roundtrips carrying 165 passengers between Cleveland/Pittsburgh and Cancun and between Cleveland and Puerto Vallarta Aug. 27-Dec. 13, and (3) 32 roundtrips carrying 165 passengers between Cleveland/Cincinnati and Nassau Aug. 28-

Staff
FAA proposed to prohibit in certain domestic operations the transport of devices designed to generate oxygen chemically. The ban would include devices that have been discharged and newly manufactured devices that have not yet been charged. FAA said such devices have the potential to provide a secondary source of oxygen to fuel a fire. The Research and Special Projects Administration (RSPA), following a National Transportation Safety Board recommendation after the ValuJet accident, issued a final rule on Dec.

FAA

Staff
- In Federal Register dated Aug.

Staff
Air New Zealand named Joe Phillips manager-cargo sales and operations, southeastern USA. AirTran appointed Hank Koppelman director-sales. AMR Services named Anthony Caroleo senior VP-New York region. Emery Worldwide appointed Robert Gahagen director-Latin America logistics operations and Thomas Finan manager- logistics business development. Northwest appointed Annette Murphy VP-corporate and agency sales.

Staff
Mesa Air Group signed a letter of intent Friday to merge Mesa and Charlotte, N.C.-based CCAIR. The transaction, valued at about $60 million including $15 million of assumed debt, is expected to be immediately effective and accounted for as a pooling of interests. Mesa President and Chief Executive Jonathan Ornstein said acquiring CCAIR "solidifies our relationship with US Airways.

Staff
National Air Traffic Controllers Association President Mike McNally said Friday that the new labor agreement with FAA that members overwhelmingly ratified last week will provide fairer pay treatment to controllers. He also held out hope a dispute with FAA over familiarization trips on airlines will not have to be litigated.

Staff
Kiwi International Air Lines will begin service today between Newark, its base, and Detroit Metropolitan Airport, with fares starting at $79 each way. The carrier has brought Kiwi Vacations in-house to maximize revenue and offer more vacation packages. It will introduce "Kiwi Fly Away Holiday Vacations" as part of an onboard concierge service it plans to unveil soon. Passengers will be able to buy tickets to attractions, rent cars, secure hotel accommodations and purchase vacations inflight.

Staff
TWA is tightening its fare-waiver policy because an audit showed it was "giving too much away," the company told employees. The waivers of certain charges, such as last-minute fare premiums, are intended for special cases, such as emergencies or compensation for service failures. They are not for passengers who simply say they will fly another carrier because fares are too high, the company said.

Staff
Sun Country Airlines has added Monday-through-Friday service from Minneapolis/St. Paul to Chicago, beginning today, in response to travelers' concerns about a Northwest pilot strike. The additional flights will operate through Sept. 30 to ensure travelers have access to O'Hare Airport. Minneapolis-based Sun Country decided to add the service regardless of whether Northwest pilots strike.

Staff
United is short of its 70% 1998 target for on-time departures - leaving within five minutes of schedule. Only 65% were on time through Aug. 26. The airline's Start the Airline Right (STAR) program, which seeks to get each city's early-morning departures out on time, was unsuccessful during most of August. Only 81% of STAR flights left on time, well below the 90% annual goal.

Staff
Industry groups in the U.S., alarmed that the European Union is contemplating setting up its own noise rules, last week called on FAA Administrator Jane Garvey to bring up the issue at the next meeting of the International Civil Aviation Organization Sept. 22-Oct. 2 in Montreal. The U.S.

Staff
Electronic ticketing is not all it's cracked up to be when an airline faces a pilot strike and passengers have to take their tickets elsewhere.Northwest was converting e-tickets to paper last week because e-ticketed passengers found that other carriers would honor Northwest tickets only if they were on paper.