Aviation Daily

Staff
Malaysia Airlines will take delivery of four 777s and three 747s from Boeing this year despite Malaysia's economic problems, but it will drop accelerated deliveries it had negotiated with Boeing before the crisis.

Staff
Embraer announced a large order for 30-seat Brasilia turboprops - 20 firm plus 40 options for United Express SkyWest - bringing mixed responses at Singapore, with most competitors being "flabbergasted" by the event. A source at Saab Aircraft, which had been attempting to sell the carrier used 340Bs, speculated the new aircraft are probably going out on seven-year leases. SkyWest management is "very conservative," he said. "There go their small-jet aspirations," opined another observer.

Staff
The IPTN N250 regional airliner came to Asian Aerospace '98 in Singapore backed by a large order book, most recently including a commitment by Air Venezuela for four, with a like number of options. In all, more than 220 N250s are on order, only 40 short of breakeven. Two N250 prototypes are now flying. Certification by the Indonesian aviation authority is due in March 1999, followed by the European Joint Aviation Authorities in May and the FAA at the end of that year.

Staff
The first full-flight simulator for the Embraer RJ145 regional jet has received its FAA level D certification at FlightSafety's Tulsa base. A second unit simulator is being prepared at FSI's Houston base. When this one is certificated, the first will be moved to a new site more convenient for airline operators of the Brazilian 50-seat regional jet. Designed and built by FlightSafety's simulation systems division, the RJ145 simulators include an enhanced daylight visual system, additional audio replications and increased aircraft motion.

Staff
Boeing will help Indonesia's state aircraft firm in understanding the airline market and in certifying its N250 turboprop airliner, according to Boeing Chairman and Chief Executive Phil Condit. "We are certainly going to spend time working with IPTN (PT Industri Pesawat Terbang Nusantara) understand that market," Condit said after a 30- minute meeting with President Suharto in Jakarta earlier this month.

Staff
Midwest Express will start service between Milwaukee and Hartford and expand flights between Milwaukee and Philadelphia. Its Astral Aviation subsidiary, which operates Midwest Express Connection carrier Skyway Airlines, will introduce year-round service between Milwaukee and Traverse City, Mich. On May 4, Midwest will introduce six flights between Milwaukee and Hartford - four nonstops and two one-stops via Philadelphia. Midwest also will increase the frequency of its Milwaukee-Philadelphia service by adding one business-day flight in each direction.

Staff
Saab Aircraft AB plans to invest nearly $3 million in computer software and equipment to improve customer support services regarding the delivery of spare parts to operators of the company's Saab 340 and 2000 aircraft, the production of which will be discontinued. The main aim of the project is to automate an on-line, real-time interface between Saab's spares depots to shorten lead times and decrease inventory costs. Saab Aircraft President Gert Schyborger said the project should be fully implemented by early 1999.

Staff
Boeing is "close to committing" to a quick-change version of its newest 737 model, the 737-700, and the company is studying an airline version of the Boeing Business Jet, according to Boeing Commercial Marketing Director Joe Ozimek. The quick-change aircraft, called the -700QCX, would be similar to a utility model sold to the U.S. Navy, with a forward cargo door and reinforced floor. Passenger seats would be attached to removable pallets. Cargo would fit under the overhead bins.

Staff
United yesterday assigned its regional feeder service in Denver to three airlines, effective April 23. Air Wisconsin, Mountain Air Express (an Air Wisconsin subsidiary) and Great Lakes Aviation will operate to 30 cities from Denver, replacing Mesa Air, which was officially eliminated recently (DAILY, Feb. 25). Mesa will continue to serve seven markets through May 31. United said that in addition to the existing operations, service will be reinstated to Pueblo, Colo., April 23 and to Cody, Wyo., June 1. Air Wisconsin acquired Mountain Air Express last week.

Staff
Current economic problems in Asia are having a dimming impact on the region's regional airliner market, according to Fairchild Aerospace President Jim Robinson. "We've spent a lot of time talking to potential Asian customers, but I would have to say that it is difficult to get them to focus right now," Robinson said. Fairchild Aerospace is the parent company of Fairchild Dornier.

Staff
Atlantic Coast this week inaugurated a newly designed site on the world wide web, which can be accessed at www.atlanticcoast.com.

Staff
Alitalia, one of the world's largest DC-10 maintenance providers, has set its sights on the A320 to fill its shops as the career of the McDonnell Douglas trijet ends. Alitalia's A320 fleet of 16 aircraft will provide the business base for the shift. To date, the heaviest maintenance the company has performed on an A320 has been a C check, but work will become more extensive as the aircraft get older.

Staff
DOT's Office of Inspector General will issue an audit report today on the origin-and-destination data U.S. carriers submit. OIG will make recommendations on how the data can be collected and filed better.

Staff
China Eastern Airlines, one of China's Big Three carriers, yesterday signed a code-share agreement with American, one day after American formally agreed to code share with Japan Airlines in Tokyo. American Chairman Robert Crandall and China Eastern Chief Executive Li Zhongming signed the latest deal at China Eastern's hub in Shanghai. The code share means both carriers will feed China Eastern's service from Los Angeles and San Francisco to Shanghai and Beijing.

Staff
O'Connor Airlines of Mount Gambier, Australia, will be the launch customer for British Aerospace's Jetstram 32 Enhanced performance aircraft in the Asia-Pacific region, BAe announced. The aircraft is designed to increase hot-and-high performance. In a separate announcement, BAe said Australian aviation authorities have certificated the Jetstream 41 to operate from narrow runways and gravel strips. The company designed a gravel protection kit and flight manual changes for the aircraft.

Staff
Saab Aircraft will become a leasing company with a portfolio of about 320 aircraft as it phases out production of the 340B and 2000 by mid-1999. It says it will not take orders for any new aircraft. Product support will be developed as a separate business entity to support more than 500 Saab aircraft in service. A separate business unit will be established and based in Stockholm. Saab expects the yet-to-be named organization to be a major player, turning around from 25 to 30 aircraft per year.

Staff
Continental's new Newark-San Jose, Costa Rica, route is a distance of 2,215 miles, not 1,215 (DAILY, Feb. 25). The service is the airline's 11th Latin American destination from Newark and 37th overall in Latin America.

Staff
Southwest has moved up the starting date of its "cost-to-coast direct flights " - Orlando-Kansas City-Portland, Ore. - to April 5. On the same day, it will begin nonstop service between Houston Hobby Airport and Baltimore/Washington International, and between New Orleans and BWI. Introductory fares are $99 one way for Orlando-Portland, Houston-BWI and Portland-Kansas City and $79 one way for New Orleans-BWI and Kansas City- Orlando.

Staff
Justice Department stepped up its investigation of possible anticompetitive practices by major U.S. carriers, soliciting information from small carriers on predatory pricing and service increases by major carriers in markets they seek to dominate. "We are investigating predatory or exclusionary conduct among airlines at hub airports," a DOJ spokesman told The DAILY. On Feb.

Staff
The American Association of Airport Executives, the U.S. Contract Tower Association and FAA will conduct a contract tower "summit" today and tomorrow at FAA headquarters. Participants will address eligibility criteria for the contract tower program and a cost-sharing proposal for airports that are not eligible for the program.

Staff
Regional German airline, Augsburg Airways -Lufthansa's first and largest franchise partner - has taken delivery of three Dash 8 aircraft painted in 'Team Lufthansa' colors. The new aircraft comprise one Dash 8Q- 200, which has just received German certification, and two larger Dash 8Q- 300s.

Staff
Former Mesa Chief Executive Larry Risley may be out of power, but his influence will last. As part of his severance, Risley will be paid $275,000 per year for five years as part of a contract that includes the title manager of special projects. Risley, the company founder, also will be nominated for the Mesa board each year though 2003.

Staff
Singapore may be having second thoughts about the 100-passenger AE317 regional jet under study by China and an Airbus consortium. Asked whether Singapore Technologies Aerospace might pull out of the program, President Wee Siew Kim replied that a final decision will depend on the business case. "We are working with our partners to look at the economic viability of the program," he told DAILY affiliate Show News in Singapore. "At this point, the business case is not proven."

Staff
A support venture of Star Alliance partners United, Air Canada and Lufthansa Technik will try to reverse the long-standing failure of airlines to exchange spare parts efficiently among themselves and ensure the most profitable disposal of items they no longer need. Except for a limited number of bilateral agreements, the market for pre-owned spares from airlines and overhaul organizations is fragmented, even though it 10% of the $10 billion airlines spend each year on spares.

Staff
The Continental Express RJ145 training-flight accident Feb. 11 at Beaumont, Texas, was the result of a failed-engine drill. There were two minor injuries among the four people on board and there is debate as to whether the airplane was totaled. Sources say the training captain told the pilot that he would simulate the failure of a certain engine for a single-engine go-around but selected the other engine instead - and the pilot failed to respond properly.