Aeroports de Paris and SAB, manager of Belgium's Liege Airport, signed a letter of intent this week aimed at sealing a "strategic alliance." SAB said the facilities plan to develop complementary operations in freight traffic and take advantage of the existing high-speed train link-up between Paris and Liege. ADP and SAB said they want to extend their alliance to other airports.
Pilotslounge.com has introduced a web site for pilots and aspiring pilots. The site contains departments such as aviation employment listings, airline interview profiles, an aviation message board, aircraft sales and an online store with a secure server.
French regional company Brit Air will lease five Fokker 100 jets starting Nov. 1. They will be operated on Air France European routes under franchise or charter agreements. Until now, the operations of the French regional airline were limited to smaller 50-seat ATR and CRJ aircraft.
TWA and Icelandair have entered a frequent flyer marketing agreement, effective Sept. 1. Icelandair will become an Aviators partner, making TWA the first U.S. airline to link frequent flyer programs with the Keflavik- based carrier.
DOT Secretary Rodney Slater yesterday defended his decision to approve British Airways' London Gatwick-Denver route and insisted DOT would remain steadfast in its protection of U.S. rights as regulatory authorities examine the American-BA and other alliances.
United has solidified options from a 1996 contract and placed a firm order for 12 A320 aircraft and 10 A319s, Airbus said yesterday. United previously ordered a total of 111 A319s and A320s, Airbus said.
Second-tier carriers Air Asia and Transmile Air will form an alliance to offer passengers a wider choice and higher frequency of flights to domestic and regional destinations. The move follows the government's decision to allow Transmile to operate to four new domestic destinations in West Malaysia - Johor Baru, Kota Baru, Penang and Kuanatan - and to Hatyai, Phuket and Pattaya in Thailand, routes long monopolized by Malaysia Airlines. The new routes and the alliance become effective Sept. 1.
Kitty Hawk, a leading provider of air freight charter logistics services in the U.S., reported that second quarter net income rose to $4.4 million from $1.2 million, while revenues grew 15% to $155.8 million from $135.7 million.
Vivid Technologies reported record revenues of $10.7 million for its third fiscal quarter, up from $8.3 million. Net income also was a record $2.2 million, up from $1.7 million. David Ellenbogen, president, said a "worldwide demand for automated explosives detection systems is driving our growth."
A veto threat has been lifted from the House transportation appropriations bill, which passed in the House Wednesday night. DOT Secretary Rodney Slater told reporters yesterday that language on project labor agreements, a key concern of labor unions, was rewritten to the satisfaction of the administration.
Aeroflot has signed an agreement with aircraft manufacturer Voronezh for 20 Il-96M passenger and cargo aircraft equipped with Pratt&Whitney engines and Collins avionics, according to Itar-Tass news service. The signing was attended by Russian Prime Minister Sergei Kiriyenko, Aeroflot Director General Valery Okulov and Voronezh Director General Vyacheslav Salikov.
Northwest is offering double frequent flyer miles to passengers who purchase selected coach tickets for travel until Sept. 1 to any Northwest destination in the U.S., Canada, Mexico and the Caribbean. The carrier also will award double miles for first- or business-class tickets purchased for travel within its North American system or from the U.S. and Canada to Asia, Europe, Africa, the Middle East and India. The awards are good on Northwest or code-share partner KLM.
Airline Alliances - such as American/US Airways, Delta/United and Northwest/Continental - are coming under fire for their sheer size. Some analysts are raising the question of how that controversy affects code- sharing agreements between major and regional carriers, some of which date to 1984 (and earlier, in the case of the old Allegheny Commuter), which also are "alliances." If the government rules against alliances between the mega-carriers, the legal inference is that alliances involving much smaller regional airlines might also be affected.
Passengers flying to the Isle of Man for a day's business from London Heathrow, Birmingham, Liverpool and Manchester on Manx Airlines will be able to check in for both outbound and return flights at the same time. When checking in for the outward flight passengers can reserve a specific seat and receive their inbound boarding cards. On the return journey, they can go straight to the departure gate with their hand baggage. The airline has also opened a priority desk at Ronaldsway Airport, Isle of Man, for passengers traveling with hand baggage only.
Tel Aviv, Israel-based ARKIA has signed a contract with ATR to purchase three ATR 72-500 aircraft in a deal valued at $50 million. The aircraft will be delivered in December 1998 and February and March 1999. ARKIA, which already operates 12 de Havilland Dash 7 aircraft, said it wants to modernize its fleet. The ATR joint venture since the start of the program has sold 565 aircraft - 341 42s and 224 72s - of which 545 have been delivered to 95 operators worldwide. Of the delivered aircraft, 334 are ATR 42s and 211 are ATR 72s.
Specter is raised of wide-ranging World Trade Organization investigations of national subsidy programs for aerospace and other exporting industries by the German government and Fairchild Dornier joining with Canada in the debate over Brazil's ProEx interest-rate equalization program that benefits export sales of Embraer regional jets (DAILY, July 28). The fact is that virtually every government has programs to enhance exports such as subsidies and guaranteed loans. And all could come under scrutiny as a result of the Canada/Brazil dispute before the WTO...
British Airways will hold a traveling interactive exhibit on the Concorde through the fall at 22 major cities across the U.S. The Ride The Rocket...Concorde '98 exhibit is the largest collection of Concorde memorabilia ever to tour the U.S. Visitors can meet a Concorde captain, learn about the history of supersonic flight, take a virtual look from authentic Concorde windows at 60,000-feet cruise altitude and listen to a Concorde crew prepare for takeoff. The exhibit began in New York July 23 and will end in Boston Oct. 17.
Air Express International said yesterday second quarter net income rose 5% to $13.7 million while revenues declined to $378.5 million from $385.6 million, which the company blamed on the stronger dollar in currency conversions. Net revenues and operating profit were about the same as the 1997 quarter at $123 million and $19.6 million. AEI attributed the lower foreign results to economic difficulties in Southeast Asia.
Continental Express will launch nonstop service between Houston Bush Airport and Greenville/Spartanburg, effective Oct. 1, the Continental subsidiary announced. The carrier will use the Embraer ERJ-145 - which CoEx markets as ExpressJet service - to operate two daily nonstop flights on the 838-mile segment. Continental Express now offers more than 800 daily departures to 80 cities from hubs in Houston, Newark and Cleveland.
Northwest Airlines subsidiary Express Airlines I has named industry veteran Jonathon Young VP-flight operations, effective in the middle of next month. Young, who is currently man-ager, flight operations quality assurance for Express I parent Northwest, will direct all aspects of Express I flight operations, including oversight of the airline's more than 600 pilots and flight attendants.
...Embraer is taking the offensive, charging Canada with using "a secret fund" known as the Canada Account to support export transactions that the Export Development Corp. cannot. It also cites non-refundable financing and zero-cost loan guarantees provided by EDC; Technology Partnerships Canada (TPC), which subsidizes aircraft design and manufacture; and research and development financing through the extinct Defense Productivity Program, replaced by the interest-free and non-refundable TPC funding, against which Embraer says it cannot compete.
Eagle USA Airfreight said revenues for its third fiscal quarter shot up 50% to $107.1 million from $71.3 million, while net income jumped 38% to $5.6 million from $4.1 million. Chairman James Crane said strong growth in international sales is boosting overall results. For nine months, revenues were up 47% to $295.2 million, and net income rose 34% to $15.5 million.
CityFlyer Express has accepted its fifth Avro RJ100 from British Aerospace Regional Aircraft and placed a firm order for two additional aircraft for summer 1999 delivery. The carrier, which has just marked its fifth year as British Airways' first franchisee, also placed an option on an additional two RJs. CityFlyer introduced jet services with the Avro RJ in April 1997, initially between its London Gatwick hub and Dublin. Since that date, the carrier has increased frequency from four flights daily to six daily this summer to meet demand.
Indianapolis-based Chautauqua Airlines earned a net profit of $1.9 million for its second fiscal quarter ended June 30, the company announced. The independent US Airways Express franchisee posted an operating profit of $3.5 million after employee profit sharing on revenue of $21.5 million. By way of comparison, the carrier earned net and operating profits of $1.2 million and $2.6 million for the same 1997 quarter. The company said its average load factor was 53.3% for the current quarter, up 4.7 percentage points from 48.6% in the quarter ended June 30, 1997.
DOT yesterday issued a summary outlining the need for its proposed competition policy in an effort to counter charges that the guidelines are not based on a demonstrated requirement for action. Although overall fares have declined, the department said, ample documentation exists to show short-haul markets under 750 miles have experienced alarming fare increases when new entrants were not present. Even when three or more major carriers co-exist on the same route, the department claimed, high fares are prevalent unless a low-cost new entrant enters the market.
