Jet Airways, Indian private carrier, has taken delivery of the first of 10 737-400 aircraft in what Boeing called a "major event for aviation in the burgeoning India market."
United is opposing an American request, filed as an emergency exemption, for authority to operate New York-Lima with continuing service to Cuzco. The request is being processed while U.S.-Peru open skies talks proceed in Lima. United is skeptical of American's assertion that the government of Peru has asked American to provide the Cuzco service, noting no documented evidence of the request. "If Peru were interested in additional U.S.
EVA Airways, selecting Airbus Industrie as an aircraft supplier for the first time, became a launch customer for the European consortium's A340- 500/600 series long-range aircraft. The Taiwan carrier placed six orders and took six options on the derivatives, which are scheduled to enter commercial service in 2002. The A340-500, seating 313 passengers in three classes with a range of 8,500 nautical miles, lists at $147 million. The A340-600 seats 375 passengers in three classes, has a range of 7,500 n.m. and lists at $155 million.
Vanguard Airlines lost $6.6 million in the third quarter on revenues of $19.3 million. Revenue was down 2.8%. The net loss was nearly double the $3.6 million deficit of a year ago. Expenses rose to $25.1 million from $23.5 million. The Kansas City-based airline has changed its marketing strategy since Chief Executive Robert Spane came on board in mid-July and now has a goal of attracting higher-yield passengers. It increased frequencies between cities, offered assigned seating, expanded leg room and began selling through the Sabre computer reservations system.
A coalition of pilots from Star Alliance carriers United, Lufthansa, SAS, Air Canada, Thai and Varig will meet tomorrow and Wednesday in Miami to discuss bargaining agreements, national laws, regulations and other issues. Coalition members, concerned that management policies might pit alliance carriers' pilots against each other, hope to agree on cooperative support in the event of labor actions.
Delta and United are raising warning flags over a Magadan Airlines exemption renewal, complaining of code-sharing abuses and the failure of the Russian government to honor bilateral commitments. The filings come days in advance of bilateral talks scheduled for Nov. 12-14 in Moscow.
Society of Aerospace Communicators will hold its first annual meeting Wednesday at the Doubletree Hotel, Arlington, Va. It will conduct business discussions at 10 a.m., a reception at 11:30 and a luncheon at noon. Transportation will leave the hotel at 3 p.m. for a National Airport tour. For reservations, call 301-652-3381.
Rolls-Royce said Air Canada has become its 14th Trent turbofan customer with an order, valued at as much as $450 million, to power nine A330-300 aircraft with options on 10 more. The order increases Rolls-Royce's share of the A330 engine market to 39%, the company said.
International Air Transport Association asked governments and regulatory authorities to adopt international reciprocal acceptance of simulator evaluations, a reform IATA believes would save member airlines up to $10 million a year. Director General Pierre Jeanniot said a given simulator may be used by airlines from many countries, but each airline requires evaluation of the simulator by its own regulatory authority, duplicating effort and wasting regulatory and training center resources.
A federal judge in Minneapolis has signed an order that allows disbursement of funds from the American Society of Travel Agents class action suit against major airlines for collusion. "Now that agents will be receiving their share of the settlement money, we can close the door on the lawsuit," ASTA President Mike Spinelli said. ASTA said more than $55 million, including accumulated interest, will be distributed.
Continental and Aeroflot applied at DOT to implement the cooperative agreement announced by the carriers earlier this year. It includes code sharing, marketing cooperation, coordinated flight schedules, frequent flyer participation and other areas of coordination. The carriers want to launch the service by April 1998, but much could depend on progress at this week's U.S.-Russia bilateral talks in Moscow.
Southwest's passenger load factor declines have been offset by breakeven load factor reductions - from 62% to 55.8% in the third quarter, for example. "In a normal year like 1995, Southwest's breakeven falls two points from the third quarter to the fourth quarter, as yields rise while costs remain flat," said Northwestern University Economics Prof. Robert Gordon. "So its breakeven load factor may be as low as 54% in this year's fourth quarter."
Continental's tentative agreement with its pilots union calls for wages to go up more than 45% within two years, said the Independent Association of Continental Pilots (IACP). Pilots would receive a 27% first-year raise, retroactive to Oct. 1, which would place them within 88% of industry standard. The raise would bring the salary of a widebody captain with 12 years' service to $168.24 per block hour as of Oct. 1 and $202.29 per block hour on the same date in 2001.
China Northwest Airlines has taken delivery of its first A320, one of 10 on order for delivery through 1999. The carrier's current fleet comprises three A310s and five A300-600Rs.
Aer Lingus signed agreements to acquire four A321 aircraft. The carrier will buy two of them directly from Airbus Industrie for delivery early next year. Aer Lingus currently operates five A330s.
Eastern Airlines, which paid out $5.6 million last week to creditors, invested with former Eastern asset manager Martin Shugrue, now chief executive of Pan Am.Eastern acquired 11% of the new Pan Am in a deal last year that enabled Pan Am to start up with Eastern's A300s and facilities. Eastern "deployed some cash and assets into Pan Am in exchange for the stake," said John Sicilian, Eastern president.
Orally approved a renewal of Gemini Air Cargo's exemption to conduct cargo flights between Seoul and New York, Los Angeles, San Francisco, Chicago, amending the authority to add Anchorage as an additional U.S. point... An exemption to Haiti Aviation for combination service between Port au Prince and co-terminal points San Juan, Puerto Rico; Miami, and New York, provided the operations are conducted by an authorized U.S. or foreign air carrier.
