Travel agents told the House Transportation aviation subcommittee yesterday they are being victimized by criminals stealing ticket stock and then doubly punished by airlines and the Airlines Reporting Corp. (ARC) through harassment and punitive actions that often force them out of business. ARC and an American Airlines security executive said stolen tickets are a tiny fraction of the total issue, and travel agents can protect themselves by taking adequate security measures.
Syracuse economic development officials' decision to decline a stake in would-be startup carrier Northern Airlines in exchange for forgiving a loan of seed capital "was in no way an indication of lack of support or confidence in the company's effort to start operations," said Vito Scisioli, president of the quasi-public Syracuse Economic Development Corp. (SEDCO).
FAA will ask Congress soon to reprogram $75.3 million in fiscal 1998 spending to fund Year 2000 computer date logic projects, Administrator Jane Garvey told the Senate Commerce aviation subcommittee yesterday. The Clinton administration's fiscal 1999 budget proposal includes $72 million for the Y2K fixes, and funds already are being spent on them. Garvey said FAA still is working with the DOT Inspector General's office to determine the total cost of fixes for mission-critical Host computer system items, but she suggested it will be in the range of $300 million.
Rep. Jack Quinn (R-N.Y.) is looking for co-sponsors for the FARE Act of 1998, which he plans to introduce next Tuesday. Seeking to combat high prices and poor service for air travelers, including his Buffalo-area constituents, Quinn proposes establishment of the Federal Aviation Research and Evaluation (FARE) Board, with the "power to hold hearings, take testimony and receive evidence" on complaints about predatory pricing and service availability. The board would commission studies on the complaints and report the results to Congress with recommendations.
International Aero Engines is the winner of a $1 billion engine order from three Latin American carriers, the details of which have not been announced, reports Daily affiliate Aviation Latin America&Caribbean. IAE's V2500 engine beat out General Electric in the battle for who would power the 100 Airbus A320 family of aircraft ordered by TACA, LanChile and Brazil's TAM. The minimum of 200 engines needed for the 100 twinjet aircraft would be worth $1 billion to IAE, with options worth another $1 billion. The aircraft order has been widely reported (DAILY, Dec.
Air Wisconsin formally announced plans to operate United Express service with Dornier 328s from Denver after acquiring troubled Mountain Air Express (MAX) this month (DAILY, Feb. 20 and Feb. 18). In a joint announcement with Do 328 manufacturer Fairchild Dornier, the companies said four aircraft will be in scheduled revenue service in late April; two more will join the fleet in early May and four more in early June. The aircraft will be configured for 31 or 32 seats.
Embraer will introduce its new long-range version of the RJ145 regional jet to the marketplace in April. Meanwhile, Business Express of Dover, N.H., placed a firm order yesterday for 20 units of the RJ135, a 37- seat derivative of the RJ145, and 40 options. It intends to place the 135 in service by October 1999 with subsequent deliveries of one per month.
Embraer has advanced the rollout of the new 37-seat RJ135 from August to May 11 as it races to be on the market at about the same time as its Fairchild Dornier 328JET competitor. The announcement was made at Asian Aerospace '98 in Singapore after the manufacturer initially issued a press release stating that the rollout would be in August. There was no immediate explanation for the change. First flight, however, will be in July, as earlier stated.
Summary of U.S. Major Carriers International Traffic September 1997 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles % Carriers (000) Change (miles) (000) Change Alaska 34 (6.64) 1,085 36,485 (5.06) Latin 34 (6.64) 1,085 36,485 (5.06)
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.
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.
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.
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.
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.
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.
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.
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.
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.
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.
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.
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.
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.
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.
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.
