A group of America West flight attendants, represented by the Association of Flight Attendants, are angry over a tentative contract agreement up for ratification vote this month. In November when AFA took the agreement to a road show in Tempe, Ariz., flight attendants expressed disappointment over the proposed five-year contract and support for voting it down, according to published reports. Many wore stickers that said, "A five-year contract?
DOT orally approved three separate exemption requests by Japanese carriers for service to the U.S. Two of the applications received a supporting answer and none was opposed, although two of them - for service operated by Japan Airlines - are granted under the terms of a 1989 Memorandum of Understanding that has been the focus of other disputes between U.S. and Japanese parties.
American Trans Air agreed to a consent order assessing a $25,000 fine for a series of advertisements that violated regulations barring unfair and deceptive practices. Newspaper and television ads in August 1996 promoted one-way, off-peak fares between Milwaukee and various points. DOT said a check of the Sabre computer reservations system on Aug. 15 showed flights from Milwaukee to Phoenix, Los Angeles and San Diego covered by the ad did not have seats available for sale, and the carrier never filed the sale fare for the Milwaukee-Phoenix flights in the CRS.
Hughes Aircraft UK Ltd.'s training division has won an $8 million contract to supply advanced air traffic control training systems to Denmark's civil aviation administration. Hughes's "FIRSTplus" integrated training system will be installed at the CAA's academy at Cophenhagen Airport, which trains civil and military controllers. The equipment includes 34 radar simulator work stations, five aerodrome trainers and one advanced ATC visual tower simulator.
DOT today adopts two final rules on computer reservations systems concerning online/interline comparisons and how to govern the use of elapsed time and single-plane service. The rules, published in today's Federal Register, are separate from the larger review of CRS rules, which has a comment period ending Dec. 9 and answers due Jan. 23. The action does not adopt another rule DOT proposed - requiring that any display "be based on criteria rationally related to consumer preferences." That proposal is being considered in the overall review.
Northwest asked DOT for quick approval of its application for code-share operations with KLM on Northwest-operated Philadelphia-Amsterdam flights so KLM can start marketing the planned daily nonstop service. Northwest wants to begin the flights May 1, using DC-10 aircraft.
The City of Dusseldorf has requested a modification of the 323 million Deutschmark (US$194 million) contract under which a consortium of Hochtief and Irish airport operator Aer Rianta is purchasing 50% of Dusseldorf Airport from the German state of North Rhine Westphalia. The city, which holds the other 50%, is concerned that the new statutes of the airport will reduce its influence over the airport's management. On Thursday, Hochtief announced that it would refuse to change the acquisition contract, even though approval by the municipal authorities is indispensable.
Continental's flight attendants are represented by the International Association of Machinists. The union was identified incorrectly as the Teamsters Dec. 1 in The DAILY.
Air New Zealand has lowered its standard travel agent commissions to 8% from 10%, effective Jan. 1. The rate applies only to tickets purchased in the U.S. and Canada for travel on ANZ to international destinations.
Frontier Airlines and Wexford Management yesterday completed a previously announced financing agreement that will lend the airline up to $15 million. Yesterday's $5 million infusion will be used for general working capital, with the balance provided when further agreements are concluded. "We now have the financial ability to acquire a number of additional aircraft with the related benefits of increasing our service and further decreasing our costs," said Chief Executive Sam Addoms.
Pilots at Midwest Express Airlines have voted for representation by the Air Line Pilots Association, the airline said yesterday. The National Mediation Board conducted the balloting. Of 239 eligible voters, 121 voted for union representation. Twenty-four voted for the Teamsters and 97 voted for ALPA. Midwest Express Chairman and Chief Executive Timothy Hoeksema was disappointed by the outcome. "It is my belief - one shared by many employees - that union representation is incompatible with the team atmosphere at Midwest Express.
Denver bankruptcy court judge today is due to decide Western Pacific's fate in a ruling that could alter travel in the Rocky Mountain region. Under competing proposals, rival Frontier could take over Westpac or an outside funding source could bankroll Westpac as a separate entity.
Using new slots granted by DOT, Frontier Airlines will operate its first scheduled flight to New York LaGuardia today from Denver International Airport's central terminal. Initially, Frontier will operate two daily nonstop flights with fares starting at $151 each way. It will add a third daily roundtrip in early 1998. The 737-300 will land at LaGuardia displaying 21-foot high-photo decals of western wildlife on its tail. DOT recently awarded slots to Frontier at LaGuardia to spark competition in a market that has been dominated by United.
Bombardier reported third quarter revenues of C$2.1 billion, up from $2 billion. Net income rose to $98.3 million from $91.8 million. For nine months, revenues were up to $5.7 billion from $5.5 billion and net income to $269.6 million from $258.9 million.
The Netherlands' civil aviation authority has instructed authorities at Maastricht-Aachen Airport at Beek, in the country's southern region, to take more effective measures against noise violations. Holland's National Aerospace Laboratory estimates that noise levels in the airport's vicinity threaten to exceed legal limits. The airport's recent anti-noise measures, such as preferential runway use, a ban on training flights with large aircraft and differentiated landing fees, are not enough to contain the problem, the CAA said.
US Airways asked DOT for two-year initial exemption authority to provide combination service between Philadelphia and Amsterdam, a market Northwest and KLM have asked to serve (see story below). Saying it "will be one of only a few carriers to make use of the open-skies opportunities [with The Netherlands] and provide new competition with the KLM/Northwest alliance," the carrier said it plans to start daily nonstop flights for the summer 1998 traffic season using 767-200ER aircraft configured for 203 seats.
British Airways and Virgin Atlantic this week presented arguments to the U.K. Civil Aviation Authority on which carrier should be awarded new route rights to the U.S. BA wants to serve the London-Denver market with daily nonstop service, while Virgin has proposed twice weekly service from London to Las Vegas. BA is portraying Denver as a business and leisure destination, saying Las Vegas is not as deserving of service, since its market overlaps with nonstops to nearby Los Angeles, Phoenix and San Diego.
Aviation Industry Stock Performance November 1997 Closed Closed Symbol 11/27/93 10/30/93 Majors Alaska Air Group ALK 37.375 33.375 America West (Class B) AWA 15.938 14.813 AMR AMR 121.188 116.438 Continental (Class B) CAI.B 45.563 43.250
TWA improved its cash situation yesterday by completing a private placement of 1.725 million shares of 9.25% convertible preferred stock. The $86.3 million transaction will net the airline $83.2 million after placement fees. The proceeds from the offering will be used for general corporate purposes and other projects, including the airline's ongoing fleet renewal program. TWA has indicated that it intends to conduct several financial initiatives before the end of the year to improve liquidity.
Dimensions International and Metron Inc., of Alexandria, Va., said they have developed combined software that will reduce airline delays, congestion and cancellations.
Brussels South Charleroi Airport expects a fourfold increase in passenger traffic and 30% rise in revenues by the end of this year, compared with 1996. Charleroi predicts that more than 200,000 passengers will have passed through its gates by Dec. 31, up sharply from 86,000 in 1996 and 41,000 in 1995. More than three-quarters of this year's passenger traffic came from scheduled operations, mainly those of Air Algerie, Ryanair, Air Tanganyika and Scibe Airways, which serves Kinshasa and Lubumbashi, Zaire.
The Airports Council International-North America and the American Association of Airport Executives have filed a joint petition at DOT for a rulemaking to change various aspects of the department's airport rates and charges policy that were invalidated or questioned in recent court cases. This summer, the U.S. Court of Appeals for the District of Columbia Circuit ordered DOT to reconsider certain aspects of its rates and charges policy, especially the department's decision to distinguish between airfield and non-airfield aeronautical assets (DAILY, Aug. 4).
Alitalia wants the European Commission to modify its decision on a 2,750 billion lire (US$1.6 billion) capital increase, the Italian flag carrier said last week in Rome. The EC authorized the cash injection July 15 but labeled it state aid and imposed a string of conditions on the airline. Alitalia has asked the Court of Justice of the European Union to qualify the capital injection as a "market intervention" rather than state aid.
