A proposed bill restricting the use of foreign repair stations is unnecessary because remaining issues will be addressed in a rulemaking, Guy Gardner, FAA associate administrator for regulation and certification, told the House Transportation aviation subcommittee yesterday. The bill (H.R.145) would limit work on U.S. aircraft by foreign stations to those used in international service, require FAA to apply identical standards when certifying foreign and domestic stations, and revoke certification when a station is found to have knowingly used bogus parts.
UPS Independent Pilots Association said yesterday it sent an open letter, published in the Journal of Commerce, to UPS Chairman Jim Kelly, urging him back to the bargaining table because it does not want to wait until 1998 to resume contract negotiations. The union used the letter, which appeared Wednesday, to get the company's attention, said IPA President Bob Miller.
DOT approved registration of the trade name Pan American Airways Corp. for use by Carnival Air Lines, using its own certificate and exemption authority, under ownership by Pan Am Corp. When Pan Am acquired Carnival, it agreed not to use the Carnival name. Pan Am and Carnival asked DOT to reissue Carnival's certificate and exemption authority in the new name. DOT deferred action on the application to transfer route authorities and exemptions to Pan Am pending completion of its fitness review of both carriers.
Newly minted European regional carrier Europe Continental Airlines will operate as Crossair Europe but will conduct business separately and at "arm's length" from SAir Group subsidiary Crossair, which will hold a 40% stake in the new airline, Crossair President and Chief Executive Moritz Suter said. In an interview with The DAILY this week, Suter said the two companies will operate under separate management although Crossair will provide full operational and technical support, including aircraft maintenance, to the new airline.
Finnair ordered five A319s, three A320s and four A321s to replace its DC-9 fleet. Deliveries are to begin in the first quarter of 1999, and the carrier also placed options on 12 more aircraft. It selected CMF56-5 engines.
The Family Assistance Task Force, which ended a two-day meeting in Washington yesterday, endorsed House and Senate legislation that would require foreign carriers operating to U.S. points to file family assistance plans with DOT, as U.S. carriers are now required to do (DAILY, Sept. 19). The Task Force presented a brochure to the National Transportation Safety Board for distribution to family members in the event of an aviation disaster, including information on services available to survivors and relatives.
World Airways told DOT that "novel" arguments advanced by Asiana and Korean Air to advance their applications to modify their extrabilateral intermodal authorities have no merit, pressing its case the department should defer action until World's beyond-Seoul dispute with the Korean government is resolved. Both Korean carriers want to switch city-pair designations on intermodal cargo routes in order to alter service patterns to the U.S. (DAILY, Oct. 1), and United as well as World wants DOT to defer action.
US Airways Express affiliate CCAIR posted a capacity decline of 15% to 22.7 million available seat miles last month, while traffic was dropping just 2.4% to 11.4 million revenue passenger miles. As a result, the load factor jumped 6.5 percentage points to 50.3% from 43.8%. Boardings dipped 1.8% to 63,057. Sept. 1997 Sept. 1996 9 Mths 1997 9 Mths 1996 RPMs 11,422,190 11,703,754 108,440,328 112,640,858 ASMs 22,710,357 26,720,806 216,014,191 235,932,185
CASA of Spain soon may join the Aero International (Regional) jet program, either as a full partner in the consortium or as a partner in the regional jet program. AI(R) partner British Aerospace has disdained the jet program because it requires a large portfolio of funds to be tied up in lease finance operations. CASA's new chairman, former Airbus VP Alberto Fernandez, is interested in European rationalization of regional aircraft production, unlike his military-oriented predecessor at the company.
Planned restrictions on landings and takeoffs at Amsterdam Schiphol Airport will be relaxed until the end of 1997, Dutch Transport Minister Annemarie Jorritsma said yesterday at the European Union transport ministers meeting in Luxembourg. Previous plans to close down two of Schiphol's four runways at peak periods will be dropped, she said, and nighttime landing restrictions "will be adjusted." Takeoff restrictions for Chapter 2 and hushkitted Chapter 2 aircraft will remain, however.
Liberalization of air transport in the European Union, which took full effect in April 1997, failed to bring down busines-class fares, according to an American Express study unveiled in Frankfurt last week. On the contrary, business-class fares will rise 4% on intra-European routes in 1998, the credit card and travel services group said. The exception could be Scandinavia, where airports have not reached capacity limits and competitors like Finnair, Transwede and Braathens are attacking SAS's dominant position.
Transportes Aereos Meridionais (TAM) has ordered 10 A330-200 aircraft including five options, becoming the first A330 customer in Latin America. TAM ordered Pratt&Whitney engines for the aircraft, and deliveries are to start in the last quarter of 1998. The carrier will use the aircraft on new routes from Sao Paulo to Miami and later to New York and Europe. Airbus also reported that Air China has taken delivery of its first Airbus aircraft, an A340-300. Air China has three A340s on firm order, and the remaining two are scheduled for delivery by yearend.
Airbus has confirmed delivery to US Airways of 10 aircraft between November 1998 and March 1999, the carrier's Air Line Pilots Association unit said yesterday.The airline declined to discuss "specific plans until the [pilots contract] ratification process is complete." ALPA's first road show to explain the contract to members is set for Oct. 13 in Charlotte, N.C. Ballots will be mailed this week and counted Oct. 31.
America West traffic in September fell 5.6% on a capacity gain of 5.7%, which resulted in a load factor of 60.5%, down 7.2 percentage points. The airline noted that the unfavorable year-over-year comparison was due partly to last year's high load factor after Southwest Airlines launched a $25 fare sale. "The load factor has been more than offset by a significant improvement in passenger yield," said Chairman William Franke. Sept 97 Sept 96 9 Mths 97 9 Mths 96
Eurobelgian Airlines was purchased by Virgin Travel Limited, a company that includes Virgin Atlantic Airways. Eurobelgian, renamed Virgin Express, currently operates as a separate airline.
Senate Commerce Committee yesterday voted out its recommendation to reconfirm three National Transportation Safety Board members - George Black, John Hammerschmidt and Chairman Jim Hall. Hammerschmidt told the panel that the board's recommendation asking FAA to examine the effectiveness of enhanced ground proximity warning systems (EGPWS) was one of the two most important safety recommendations made during his tenure; the other was a call for sharper action against drunk driving. The recommendation came after the Oct.
Boeing 727 and 737 Systemwide Aircraft Utilization Per Day Second Quarter 1997 B727-200 American Continental Number of Aircraft Operated 81 33 Total Fleet Operations Departures 288 111 Block Hours 698 268
United's traffic for September rose 5.3% on 4.8% more capacity, which led to a load factor of 72.1%, up 0.4 percentage points. Atlantic traffic soared 29.9% on 29.3% more capacity, which inched Atlantic load factor higher, to 87.5%, up 0.3 points. The Atlantic division comprised 13.3% of systemwide traffic in September, up from 10.8% a year ago. North America traffic rose 2.8% on 3.4% more capacity, resulting in a 68.5% load factor, down 0.4 points. Pacific traffic increased 1.5% on 0.1% less capacity, leading to a 76.7% load factor, up 1.1 points.
Northwest's September traffic rose 5.3% on 0.4% more capacity, which raised the load factor 3.6 percentage points to 75.1%. Domestic traffic was up 6.1% despite a 1.6% decline in domestic capacity, resulting in a load factor of 68.9%, up 5 points. International traffic gained 4.5% on 3.1% more capacity, which forced the load factor up 1.1 points to 83.3%. Sept 97 Sept 96 9 Mths 97 9 Mths 96 RPMs 6,053,646,000 5,747,854,000 54,762,465,000 52,449,078,000
Midway Airlines filed a registration statement for an initial public offering it expects to bring in $60 million, half of it to buy 10 Canadair 50-seat Regional Jets. The stock is being offered by both Midway and certain shareholders. Proceeds to the company are expected to total $30 million, and the airline said no proceeds from selling shareholders will benefit the airline, indicating that $30 million will go to those shareholders. The IPO is being underwritten by Morgan Stanley Dean Witter and Robinson-Humphrey.
Hong Kong's airport authority said yesterday it plans to reduce user charges at Chek Lap Kok Airport 25%-40% below rates envisioned earlier this year. The decision followed an eighth round of consultations with IATA representatives, who pressed airline arguments that the airport authority was planning to burden aeronautical users with too much of the financing responsibility for the facility, which opens next spring (DAILY, Dec. 23, 1996).
Bristol Aerospace Ltd., Winnipeg, received a $98.9 million work package from Boeing Canada Technology Ltd. to make composite panels for the wings and tail section of 737 aircraft. "This program provides the strong base from which we can grow our commercial airframe structures business," said Jim Butyniec, VP and general manager of the Magellan Aerospace unit.
Sun Country's Air Line Pilots Association unit, which rejected a company contract proposal Monday, has offered instead a proposal that "is capable of being signed," according to Master Executive Council Chairman Terry Matson. Sun Country Chief Executive John Skiba said it will take the company "about a week" to assess the ALPA proposal.
September traffic for TWA declined 7.9% on 13.7% less capacity, which improved the load factor 4.1 percentage points to 64.7%. Retiring several widebody aircraft and an international retrenchment in January were reflected in international traffic, which fell 29.5% on 37.6% less capacity, pushing the load factor up 8.7 points to 76%. International capacity for September represented 22% of its systemwide total, compared with 30% a year earlier. Domestic traffic rose 3.2% on 3.3% less capacity, resulting in a 61.5% load factor, up 3.9 points.