DOT revised United Parcel Service's recent exemption to serve Japan and granted initial exemptions to Polar Air Cargo, Federal Express and Japan Airlines requested under the U.S.-Japan agreement. In its initial decision on UPS, DOT limited its approval to points included in the carrier's service proposal (DAILY, March 6), but it "subsequently determined to award the authority at issue on a broader basis." UPS's authority now encompasses scheduled cargo service between points in the U.S.
Virgin Atlantic has begun "Drive-Thru Check-In" at Newark for business- class passengers. The move, two years after the service was introduced at London Heathrow, allows passengers in Virgin's free limousines to check in baggage at the curb.
China Airlines has fired three executives and released the company's entire 60-member advisory board in the aftermath of last month's crash of an Airbus A300-600R in which 202 people were killed. The executives who left the company are Lin Tzu-wen, director of the flight affairs department; Hsiao Jun-tsung, chief of the flight safety office, and Wu Yuan-chun, chief pilot of the A300-600R fleet. CAL also demanded the resignation of more than 60 paid and honorary advisers, including the company's honorary chairman, Wu Jung.
Clinton administration's plan eventually to fund FAA operations exclusively through user fees came under fire yesterday at a hearing of the House Appropriations transportation subcommittee on FAA's fiscal 1999 budget request. Panel Chairman Frank Wolf (R-Va.) and others questioned the merits of the goal, which FAA Administrator Jane Garvey acknowledged could be difficult to achieve. The agency's budget request is for $9.7 billion.
American last month started its first new-hire class in nearly five years. Twelve recruits will train as 727 flight engineers and will be based in Miami, according to AIR, Inc.
Travel Industry Association says traveler spending in the U.S. will pass $500 billion, not including international air fares, in 1998. This will follow an "outstanding" 1997 in which travel spending increased 8.2% to $489 billion. The TIA Travel Forecast said domestic travelers and international visitors to the U.S. will spend $523.8 billion this year, up 7%. This will include $442.7 billion in domestic spending and $81.1 billion spent by foreign travelers in the U.S.
American used the occasion of yesterday's Texas primary to let Rep. Joe Barton (R-Texas) know how displeased it is about Barton's support of efforts to open up Dallas Love Field to more airline service. The airline's political action committee spent more than $16,000 this year to support attorney Greg Mullanax, a Republican challenger to Barton who has criticized Barton's stance on the so-called Wright Amendment, which restricts service from Love Field.
DOT approved an initial two-year exemption for Spirit to operate scheduled combination service between points in the U.S. and points in Canada. The carrier told the department it plans to use DC-9 aircraft to provide low- cost service to U.S. communities that have no nonstop or low-cost U.S.- Canada service, and to promote leisure travel (DAILY, Feb. 3). Spirit's exemptions to operate scheduled service between Newark and Atlantic City and Bermuda were renewed for one year. The carrier has not operated the Bermuda service, first granted last year.
Singapore Airlines subsidiary Singapore Air Terminal Services has begun negotiations with Air-India on establishing a joint venture in flight kitchens, AI and SIA officials said yesterday. "They are interested in forming another joint venture for cargo services with state-owned Airports Authority of India, if the flight kitchen deal with us comes through," a senior AI official said. The four-member SATS delegation met Indian officials in Mumbai and New Delhi and is expected to prepare a feasibility report when it returns to Singapore.
Cardiac-related problems and vasovagal - becoming dizzy and fainting after standing - comprise more than 30% of inflight medical incidents on commercial airlines, MedLink said yesterday. MedAire, whose 24-hour MedLink Emergency Telemedicine Center makes it a leading provider of medical services, said that assessment is a result of more than 1,700 calls by pilots and crewmembers during 1997.
Nearly one-third of Europeans traveled to their holiday destination by airplane last year, and trips to foreign destinations were more frequent in north central Europe. According to a new survey by Eurostat, the European Union's statistical unit in Luxembourg, 31% of European vacationers traveled by air, and seaside destinations were the top choice in 63% of all cases. Travel to another European country was the choice of three-quarters of Belgian, German and Dutch tourists, double the EU average.
Delta agreed yesterday to expand its alliance with Aeromexico and create a code-share alliance with Aeroperu, partially owned by Aeromexico. Delta agreed to a five-year expanded marketing pact with Aeromexico and a 10-year deal with Aeroperu. After announcing plans recently to expand throughout Latin America, Delta said it will offer more flights and connections to Mexico in the future. It will provide details on the Mexico expansion later.
Southern Air Transport said William Langton, president and chief operating officer, has left the company. He is succeeded as president by James Bastian, chairman and chief executive.
British Airways will give away a free seat on its New York-London Concorde or in first class to business travelers who do not like its Club World business class. Last year, BA offered a free domestic ticket to anyone who did not enjoy the comfort of business class. Less than 1% of business passengers took BA up on the offer.
Value of shares in United's Employee Stock Ownership Plan (ESOP) rose $2.1 billion last year, from $4.4 billion to $6.5 billion, after a record financial performance. ESOP participants will own 40 million shares of stock after the 1997 allocation, and 28 million more shares are earmarked for employees in the remaining years of the program.
Aviation Industries Corp., which injected money last month into Sun Jet International Airlines, is increasing its investment in Kiwi International Air Lines with the intention to merge with the Newark-based airline. "We believe Kiwi has a solid route structure, well-known name and excellent employee base," said the Roseland, N.J., company in a statement. Kiwi, which has been seeking additional investors for several months, had considered other offers.
Biztravel.com said its premier miles tracking service, bizMiles, has experienced record growth. In the last eight months, travelers using bizMiles have recorded more than 210 billion miles.
Lufthansa carried a total of 44.45 million passengers last year - a 7.4% increase compared with 1996 - and predicts 1998 will offer similar prospects for growth. The company said it will expand its work force by 3,500 new positions this year, including 1,300 full-time jobs.
Despite on-the-job stress, air traffic controllers do not suffer high blood pressure any more frequently those who work in less taxing jobs, according to a new University of Milan study. Researchers compared 80 male controllers at Milan Linate Airport with 240 men from the nearby town of Monza, and found nearly identical blood pressure in both groups. The findings "may help dispel the myth that high levels of commitment or responsibility" boost blood pressure, says Dr. Michael Weber, an editor at the American Journal of Hypertension, which published the study.
A joint advisory board of the Airlines Reporting Corp. recommends that ARC test a program to accredit corporate travel departments. The American Society of Travel Agents, which sat on the advisory board, opposes the recommendation strongly, but ARC spokesman Allan Muten said ARC's board most likely will approve the program.
CCAIR reported February decreases of 7.3% in traffic and 23.8% in capacity, which forced the load factor up 21.6 percentage points to 55.1%. The carrier flew 8.98 million revenue passenger miles and 16.3 million available seat miles. The number of passengers enplaned dropped 5.1% to 50,035. For the first two months, RPMs fell 8.9% and ASMs 24.7%, causing the load factor to jump 20.9 points. Passenger enplanements declined 6.8% to 100,338.
Sabena and private Brazilian carrier Vasp have signed a marketing cooperation agreement to cover joint operation of flights and code sharing. Starting May 4, the airlines will offer five weekly flights between Belgium and three destinations in Brazil, Sao Paulo, Salvador de Bahia and Recife. The accord provides for expanding the arrangement to other city-pairs.
Prudential Securities, citing questions about Boeing's commercial aircraft profit margins in competition with Airbus's, is lowering its 1998 earnings estimate to $2.20 from $2.50. Prudential left unchanged its 1999 estimate of $4.25, "though with the immensely competitive pricing environment pervasive throughout the commercial aircraft markets since last summer, this forecast also could prove overly optimistic."
