Sri Lanka placed a $150 million order with Rolls-Royce for Trent 700 engines to power six Airbus A330-200s scheduled for delivery beginning in October 1999. Air Lanka's new business partner, Emirates, also has ordered the engines for 16 of the aircraft, also due for delivery beginning in 1999, Rolls said.
Pan Am, still operating charters in bankruptcy, is attempting to sell and lease back its last three aircraft in an effort to satisfy creditors. The airline met Wednesday with its Miami bankruptcy court judge, but substantive matters, including the use of cash and collateral, were deferred until the next hearing, scheduled April 15. That meeting will be "more important," a Pan Am spokesman said, because the airline's ability to fund an ongoing operation will be scrutinized.
Saab, shifting away from manufacturing aircraft, is reorganizing its marketing and customer support functions and has made a series of key appointments effective April 1. The company will cease manufacturing Saab 340 and Saab 2000 turboprop airliners in 1999. Saab will strengthen its global customer support organization and incorporate used aircraft sales and marketing into the Saab Aircraft Finance Group.
GE Engine Services-Dallas Inc., an affiliate of GE Engine Services, said it received a contract from America West to maintain CFM56, V2500 and JT8D aircraft engines.
FAA has certified InVision Technologies' newest and fastest automated explosives detection system, the CTX 5500 DS, the company said this week. InVision said the system is the first "intelligent" EDS, continuously monitoring bag flow through an airport conveyor system and the security status of each piece of baggage. It has a faster computer system, enhanced software and improved operator interface, enabling it to process baggage 30% faster than the CTX 5000 at a comparable cost, InVision said.
Millon Air's hopes to restart service following its October 1996 crash in Ecuador have been dashed by DOT, which yesterday issued an order dismissing the carrier's application to restart service and revoking its interstate and foreign scheduled and charter service certificates for reason of dormancy. DOT said it "has no reason to believe" that Millon "will be in a position to resume operations any time soon." Millon grounded its fleet voluntarily on Oct.
Delta inaugurated daily nonstop service Monday from Atlanta to Guatemala City, Panama City, San Jose and San Salvador. The carrier launched Atlanta-Caracas service April 1 and already provides daily flights from Atlanta to Sao Paulo/Rio de Janeiro. Delta's new flights will connect Latin America to 120 worldwide destinations with 620 daily departures from Atlanta.
Raleigh-Durham, N.C.-based Midway Airlines has exercised an option to acquire three more Canadair Regional Jets. The aircraft are scheduled for delivery in the first half of next year. The three aircraft are in addition to the original ten ordered from Bombardier last September, four of which have been delivered in the past four months and six others of which are scheduled for delivery by yearend. Midway holds unexercised options on 17 more CRJs.
AirTran's board voted to give Chief Executive Joseph Corr a $50,000 raise for 1998, to $300,000, even though the company's net loss last year more than doubled to $97 million. AirTran's top executives did not receive any bonus pay last year.
Embraer lost US$13.2 million in 1997 but is forecasting a profitable 1998 after seven years of losses. The Brazilian manufacturer of the ERJ- 145 jet and EMB-120 turboprop said its 1997 turnover, or gross revenue, jumped 84% to a record $766.5 million, compared with $416 million in 1996. Embraer achieved the turnover record by invoicing 71 aircraft, both military and commercial, during the year.
Sixteen aircraft experienced a "total loss" of Global Positioning System signals during a 10-day period in late December and early January, according to a report circulated at the highest levels of the (Continued) Coast Guard. The cause was determined to be a "spurious signal unintentionally transmitted" from Griffiss AFB, Rome, N.Y., the report said.
Bombardier Aerospace's Belfast, Northern Ireland, Short Brothers unit has delivered to GE Aircraft Engines the first nacelle nose cowl for the CF34- 8C1 powerplant to be used on the new Canadair Regional jet Series 700 aircraft, Shorts announced. GEAE will use the nose cowl to test engine fan "blade-off" retention and other characteristics, Shorts said. The Belfast firm, together with GEAE, is responsible for the design, manufacture and certification of the aircraft's engine nacelles, including the thrust reversers.
Comair posted a 13.4% increase in traffic in March to 163.2 million revenue passenger miles, as capacity climbed 5.4% to 265.8 million available seat miles. The passenger load factor increased 4.3 percentage points to 61.4%. Boardings increased 14.2% to 496,594. Comparisons are with March 1997 figures.
Midwest Express reported a 10.6% increase in traffic and a 13% rise in capacity for March 1998 over March 1997, which depressed the load factor 1.4 percentage points. Midwest flew 138.8 million revenue passenger miles and 209.4 million available seat miles, resulting in a 66.3% load factor. Passengers boarded rose 9.7% to 156,988.
The pilot of an Air France A320 that crashed and killed three persons during a 1988 air show demonstration in France was sentenced yesterday to 20 months in jail, with half the time suspended. A court in Colmar in eastern France increased a six-month sentence received last year by the pilot, Michel Asseline, which he appealed. Asseline, who was charged with involuntary homicide, plans another appeal. He accused Air France and Airbus of trying to cover up technical problems in the A320 control system, but French authorities said he was flying too low and too slow.
Estimated production costs of next-generation 737s will exceeded estimated revenue for the first 400 units, Boeing Chairman Phil Condit said yesterday. Boeing will take a pre-tax charge of $350 million on first quarter earnings in addition to previously recognized forward losses of $700 million related to production problems on the next-generation aircraft, he said, and further charges may be necessary. Pre-tax earnings for the first quarter, excluding the charge, are projected to be between $400-$450 million, Condit said.
Northwest will begin Las Vegas-Tokyo nonstop service June 1, operating twice weekly using 747-200 aircraft. The carrier is the first to offer nonstop service in the market. "Las Vegas is one of the most popular U.S. destinations for Japanese tourists, but to this point there have been no direct flights," said John Dasburg, Northwest chief executive. Japanese are the largest group of overseas visitors to Las Vegas. Northwest's connections at Tokyo from Hong Kong, Singapore, Taipei, Bangkok, Shanghai, Manila and Seoul are timed to connect with the new service.
Southwest this week opened a $10 million flight training facility in Dallas that includes one of only two Boeing 737-700 simulators. The new 110,000- square-foot facility, next to the airline's headquarters at Love Field, also houses one 737-200 and three 737-300 simulators. When fully used, the training center will handle 300 pilots each day. It currently handles 80.
Air Transport Association Cargo Traffic February 1997 Revenue Ton Miles (000) February February % 1998 1997 Change Domestic Freight 706,943 670,473 5.4 Mail 149,470 143,242 4.3 Total 856,413 813,715 5.2 International Freight 709,276 606,359 17.0
Airbus confirmed that Air Canada signed a contract for five A340-500/600 aircraft, becoming a launch customer for the aircraft. Delivery of two A340-500s and three A340-600s are scheduled in 2002.
DOT Office of Inspector General will review FAA's 1997 National Aviation Safety Inspection Program report on AirTran Airlines, formerly ValuJet. Rep. Peter DeFazio (D-Ore.) asked the OIG to review the NASIP inspection process and the report "as it relates to previous inspections of ValuJet."
Air Wisconsin flew nearly 53 million revenue passenger miles last month, a 5.3% drop from March 1997, as capacity climbed 3.7% to 86.6 million available seat miles. The resulting load factor, 61.2%, was 5.8 percentage points below that recorded in March 1997.
Mesa Air Group posted a 2.9% increase in capacity to 211.8 million available seat miles as revenue passenger miles fell 0.8% to 117.4 million. The resulting load factor, 55.4%, was 2.1 points lower than the same month last year.
Continental began service this week with its first 737-700, one of 64 new Boeing aircraft it will receive this year. The carrier will use the 737- 700 mainly on transcontinental and Latin American routes from Houston and Newark. Its -700s will have 12 first-class and 112 economy seats.
