Miami-based Aviation Representation Services (AvReps) was selected to represent Outsourced Automation Services and Integrated Solutions Inc. (OASIS) in Latin America. AvReps will market the OASIS complete reservations services for Latin American carriers requiring a U.S. presence. OASIS also offers flight control, weather, telecommunications and staffing.
AirTran has tripled in size since January 1997, rising from 15 DC-9s and 124 daily flights to 46 aircraft and 249 flights. Some of the increase includes 11 737s from merger partner AirTran Airways. The airline is about to surpass $100 million in quarterly revenues in the current period.
First quarter operating results and pre-tax profits rose sharply for both the SAS Group and its airline division. Higher revenues, combined with lower costs, caused the group's gross profit margin to jump to 9.0% from 2.1% in same 1997 period. SAS Chief Executive Jan Stenberg predicted, however, that profits for 1998 as a whole will be flat compared with 1997. First quarter operating revenue for SAS rose 12% to 8.90 billion Swedish kronor (US$1.14 billion) from SEK7.93 billion ($1.02 billion).
Singapore Airlines has ordered five A340-500s and placed options on five more. It plans to use the ultra long-range aircraft, powered by Rolls- Royce Trent 500 engines, on the first nonstop routes between Singapore and such points as Los Angeles and San Francisco. The flights - about 8,600 nautical miles long - will take about 17 hours. The aircraft seats 313 in three classes.
American and American Eagle are reducing summer fares through June 1. Sale fares, about 30% below regular 21-day advance purchase prices, require a 14-day advance purchase and a Saturday night stay for travel from May 20- Sept. 8. Sample roundtrip fares include $98 Chicago-Milwaukee; $208 Chicago-New York/Newark, and $398 Boston-Los Angeles.
Delta made several fleet moves in the first quarter, in addition to ordering two more 777-200s. The airline bought two additional 757-200s, seven 737-200 hushkits, three 727-200s previously leased, and signed new leases for three 737-300s. Also, it took delivery of two 767-300ERs and one MD-11. Delta retired four L-1011s, retaining 42, and finished the March quarter with a fleet of 561 aircraft, 215 of them on lease, according to a filing with the Securities and Exchange Commission.
Northwest pilots will conduct informational picketing at Detroit Wayne County Airport next Friday, the start of the Memorial Day weekend. Northwest and its pilots union ended an intensive 10-day round of talks last week with some progress made on some general and insurance issues, but remain "far apart" on major economic and job security issues, the union says.
United and Lufthansa inaugurated a joint reservations service last week in Ireland. The International Reservations Call Center at East Point in Dublin flows from the carriers' Star Alliance marketing arrangement, which also includes Air Canada, SAS, Thai International, Varig and recent additions Air New Zealand and Ansett. Though sharing the facility, United and Lufthansa will handle reservations with separate telephone and fax lines. United will use the center to handle its reservations from European customers.
New Jet Aircraft Deliveries February 1998 Last 12 Months Carrier # Type Engines Delivery Air Canada 2 A319 CFM56-5A5 23 Air France 2 A321-200 CFM56-5B3 2 Air France 1 A340-300X CFM56-5C4 4
Nav Canada, in negotiations with air traffic controllers, said it has reached a new labor agreement with the Association of Public Service Financial Administrators. This is the first collective bargaining agreement since Nav Canada was created Nov. 1, 1996, and will give union members their first pay increase since a government-imposed wage freeze several years ago. Members will receive increases of 10% - 3% the first year of the contract, 4% in the second year and 3% in the third and final year.
U.S. Postal Service is offering two stamps highlighting the history of aviation. The Charles Lindbergh stamp, to go on sale May 28, and a stamp featuring the Wright brothers' airplane will be available approximately until 2000.
Northwest requested a two-year exemption to operate nonstop scheduled foreign combination service between Minneapolis and Santo Domingo and Punta Cana, Dominican Republic, using 757s, and Detroit and Cancun, Mexico, using A320s. The carrier plans weekly flights during the winter. (Docket OST- 98-3844)
Domestic alliances reflect the fact that economies of scale limit the extent to which carriers can expand on their own, a crucial development in an increasingly global market, United VP Cyril Murphy said last week in Washington. He said airlines have spent time and money learning that lesson. But "one of the biggest mistakes of deregulation" was "not seeing that economies of scale do exist," he said. In past years airlines tried to expand either by acquisition of other carriers or through hub-building strategies, both of them costly methods.
National Transportation Safety Board has a world traveler in Member Robert Francis, according to sources, who say Francis has made a number of international trips, running up a $40,000 travel tab. Francis is preparing for a trip to Northern Africa, these sources say.
Concluding five days of occasionally intense debate, International Civil Aviation Organization delegates decided that the proposal to create a world aviation fund and a more recent proposal to establish a global aviation convention to regulate Global Navigation Satellite Systems (GNSS) should be submitted to ICAO for further study. Both proposals were put forth by developing countries seeking financing and hoping to shift liability issues related to the use of the Global Positioning System and Glonass to the national service providers - the U.S.
World Airways received DOT approval to operate U.S.-U.K. charter roundtrip combination services through Nov. 3 under a long-term wet-lease with U.K. carrier Monarch. Beginning May 21, World will operate the service using an MD-11 configured for 409 passengers in all-economy seating for up to six flights weekly - five on a Manchester-Belfast-Sanford, Fla.-Manchester- Belfast routing and one on a Manchester-Las Vegas-Manchester routing (DAILY, May 13).
U.S.-China bilateral talks run today through Wednesday in Beijing. Little progress was achieved during the last round, sources said, but negotiators will continue to work toward agreement on liberalization. U.S.-Russia talks on routes, code shares, overflight and the renewal of annexes are scheduled June 30-July 2 in Moscow.
Kansas City-based Vanguard has joined the Worldspan computer reservations system. Vanguard also participates in Worldspan's guaranteed ticketing product.
