Alliance partners Northwest and KLM will begin joint daily nonstop service between Philadelphia and Amsterdam on May 1, invading a gateway that US Airways recently built up. The roundtrip service, to be operated with Northwest's DC-10s, will be the 14th joint service from the U.S. to Amsterdam. The new flight will connect with KLM's Amsterdam service to more than 70 destinations in Europe, the Middle East, India and Africa. In the first six months of 1997, Northwest had a 3.8% market share in Philadelphia, versus US Airways' 61.3%.
Consumer activist groups across Europe will rally next week to demonstrate for pricing of air travel that reflects concerns for the environment. Demonstrations organized by Friends of the Earth groups in 16 countries will take place Dec. 5-6 as part of a broader campaign - "The Right Price for Air Travel" - to have environmental costs factored into air fares or carrier operating costs. A small number of airports in Europe are moving in the direction of accounting for their sector's environmental impact. Zurich Airport became the world's first airport Sept.
Korea's recent financial crisis, like others in Asia, will hit local aviation firms hardest, according to Standard&Poor credit analyst Phil Baggaley. Although Korean Airlines and Asiana could be affected, Northwest, deriving 25% of its passenger revenue from the Pacific, is at greater risk from the region's imbalance.
Korean Airlines President Y.H. Cho said some Asia/Pacific airports are close to capacity and soon may not be able to handle peak demand periods. "By the end of 1997, half of the Asia-Pacific airports will approach passenger and cargo capacity," he said, addressing the Asia-Pacific Economic Cooperation summit in Vancouver. "To accommodate this increasing air traffic, we need to enhance baselines such as air traffic control," he said. "But to efficiently control aviation and airspace, we must mount a regional effort, rather than country-by-country."
Having agreed in April to consult with airlines over changes to the noise limits at London airports, the U.K. Department of Environment, Transport and the Regions this week proposed the same limitations IATA challenged in the first place. According to a consultation paper published by the department, the reductions of 3 decibels (dBA) in the daytime and 2 dBA at night to 94 dBA and 87 dBA, respectively, would apply to all departing aircraft except the Concorde at Heathrow, Gatwick and Stansted.
English Worldwide Aviation, a freight operator, has come forward with $150,000 to save Hawaiian low-fare inter-island carrier Mahalo Air from bankruptcy. A bankruptcy court has granted Mahalo's regulatory council a reprieve to consider whether it wants to sell the carrier's operating certificate to EWA for that amount, said Mahalo Air attorney Jerrold Guben. The court has rescheduled the Mahalo hearing for Dec. 1.
Munich Airport, acting on concerns for the environment and fuel economy, will set up a pilot project on its premises next year to produce hydrogen for buses and other vehicles used at the airport. Collaborating with a consortium of 13 companies, Flughafen Munchen GmbH (FMG) will build an electrolytic "fuel farm" to supply hydrogen-powered autos and buses. The project aims initially to put into circulation a hydrogen vehicle for VIP passengers and up to three hydrogen-powered apron buses for regular passenger transport.
FAA commissioned the "world's first" precision runway monitor (PRM) production system at Minneapolis/St. Paul Airport, AlliedSignal Electronic&Avionics said yesterday. Jack Ryan, VP-air traffic management at the Air Transport Association, said the system will "help air traffic controllers and airlines increase airport traffic capacity and enhance safety, especially during inclement weather." The PRM also will reduce delays and minimize fuel consumption, he said.
Rep. James Oberstar (D-Minn.), ranking member of the House Transportation committee and former aviation subcommittee chairman, wrote DOT Secretary Rodney Slater in support of American Eagle/Simmons Airlines' bid for slot exemptions at Chicago O'Hare (See related story, Page 352 of the hardcopy of this issue). Simmons applied for 60 slots for three daily roundtrips to each of 10 smaller communities, including Duluth, Minn.
Top 20 Carriers Operating Nonstop Between the U.S. and Asia Year Ending March 31, 1997 Total Total Aircraft Rank Market Passengers Movements 1 Northwest 4,245,500 16,592 2 Japan Airlines 4,080,741 16,064 3 United 3,663,647 12,744 4 Continental Micronesia 1,788,542 12,127
Northwest asked DOT for an exemption from its current deadline, Nov. 30, for starting up the fifth of its five U.S.-Thailand all-cargo frequencies, saying it wants flexibility to delay until June 30, 1998. DOT previously extended dormancy provisions for the frequencies, and Northwest currently operates four of them. Air Micronesia asked this month for a similar startup extension due to economic conditions in Thailand. Northwest, similarly affected, asked DOT to grant its extension if it grants Air Micronesia's. (Dockets OST-97-2755, 2209, 2825, 96-1496)
With contract negotiations on hold, UPS's Independent Pilots Association is admonishing its members to operate safely throughout the holidays. "This is not the time to engage in acts of retaliation for unjust treatment," IPA President Bob Miller told pilots in a recorded message.
Horizon Air is reducing its lowest fares as much as 40% for travel through June 13. Tickets must be purchased by Dec. 5. The sale applies to travel from California, Idaho, Montana, Oregon, Washington, British Columbia and Alberta. Alaska is offering reduced fares for travel Nov. 26 through Dec. 18 between Vancouver and 11 U.S. cities. Travel to Vancouver costs $69 each way from San Francisco, Oakland, San Jose, Sacramento or Reno and $83 each way from Los Angeles, San Diego, Palm Springs, Phoenix, Burbank or Ontario.
The former head of Skyway Airlines' maintenance facility was sentenced to 18 months in prison for falsifying maintenance records and devising a warranty fraud scheme, the Justice Department said yesterday. The activity took place at a time when Skyway contracted with Mesa Airlines, Farmington, N.M., under a code-sharing agreement. Skyway, based in Milwaukee, is a regional airline currently operating under different ownership and management than at the time the criminal activity occurred.
The American Society of Travel Agents, like several major computer reservations system vendors, plans to oppose America West's attempts to prod DOT in its examination of rules on abusive booking practices. ASTA and CRS vendors said they will respond to DOT's advance notice of proposed CRS rulemaking by the Dec. 9 deadline. Answers to comments are due Jan. 23. ASTA said it will oppose America West's petition to prohibit passive booking segments that do not generate revenue for airlines.
Air France is planning to invest 40 billion French francs (US$6.8 billion) over the next five years, essentially in aircraft purchases, new chairman Jean-Cyril Spinetta said at a news conference in Paris. Spinetta, stressing that the French flag carrier will have to finance a large part of the investment itself, said "the challenge of investing FRF40 billion in five years will only be met if Air France is able to yield sufficient operational results." Like predecessor Christian Blanc, Spinetta believes Air France must cut its costs further.
America West told DOT the department should not consider United's unauthorized reply to America West's request for slot exemptions for Phoenix-Chicago O'Hare service. America West wants more O'Hare slots to increase its three daily flights and expand full-service low-fare operations from O'Hare via its Phoenix hub to 37 western beyond points, markets it says are underserved.
Delta, looking to expand its service to Brazil and increase its operations in Latin America, asked DOT for authority for daily nonstops from New York Kennedy to Sao Paulo with continuing service to Rio de Janeiro, beginning Oct. 1, 1998. The U.S. and Brazil reached an agreement this month that makes seven additional weekly frequencies - but no new designations - available to the U.S. Delta asked for the frequencies, citing its "long- standing request" for New York-Brazil service.
Northwest President and Chief Executive John Dasburg told The DAILY that he would find it "absolutely bizarre" if U.S. negotiators conferred incumbent status on All Nippon Airways without securing an open-skies agreement. U.S.-Japan talks are to resume Dec. 15 in Tokyo, and sources say negotiators are closing in on a pact outlining regulated expansion. Incumbency for ANA is a strong possibility, but "rather than doing that, the U.S. should take the position that ANA could have total access to the U.S. market" under open skies, he said. "The U.S.
Frontier Airlines, seeking a more prosperous solution to Denver's three-airline market, is proposing to acquire part of Western Pacific. Frontier will make the proposal to a bankruptcy court in Denver, which has jurisdiction over Westpac's future. "We could know as early as Friday about what will happen," said Frontier Chief Executive Sam Addoms. The Denver market turmoil is hurting both Frontier's and Westpac's future, as well as local confidence in air travel, he said.
Boeing has returned the 747 line to full production and is making progress on 737 production, but the company will not know until mid-1998 whether its current problems are solved, Boeing Commercial President Ron Woodard said yesterday. "We have to work on our productivity and get our costs down because this is a disruptive and inefficient way to build aircraft," Woodard said, referring to high overtime rates, parts shortages and out-of- sequence production the company has experienced in the past few months.
Travel agent sales processed for October were up 12% over October 1996, the Airlines Reporting Corp. announced. Domestic fares were up 8% and international fares 18%.
Leading Carriers At Top U.S. and Pacific Gateways Year Ending March 31, 1997 U.S. Gateways To Asia (Nonstop) Inbound Outbound Rank Market Passengers Passengers 1 Honolulu 2,475,240 2,652,834 Japan Airlines 998,867 1,073,213 2 Los Angeles 2,492,138 2,360,285 United 393,221 364,975
Aviation interests succeeded in retaining independent radio frequencies for navigation by satellites at the recent International Telecommunications Union World Aeronautical Radio Conference (WARC) in Geneva (DAILY, Nov. 11). Industry representatives, including IATA, urged the conference not to reallocate radio frequencies between 1559 MHz and 1610 MHz, now used exclusively for satellite radio navigation services, to permit use by fast-growing Mobile Satellite Services.
Virgin Atlantic has debuted Odyssey, an inflight entertainment system developed in conjunction with Matsushita Avionic Systems. With five new aircraft delivered this year, Virgin has installed a system that offers 20 video channels, including 12 movie channels and eight television channels, seven digital stereo audio channels, 10 Nintendo games and five classic computer games.
