New Aircraft Orders and Options May 1997 Last 12 Months Firm Orders Options Orders Options Carrier # Type # Type Engines Del. Dates # Type # Type Air Europa* 1 737-300 - CFM56-3C1 - 2 737-300 - 1 737-400 -
Northwest's "Everyday Deals" discount pricing is far less risky than American's foray into Value Pricing several years ago. Airlines have become adept at using yield management technology, J.P. Morgan analyst Jeff Long noted. "Because airlines can handle the complexity and the technology, you can have a fare structure that is more complicated, not less complicated, and initiatives like this latest one are more predictable," he said.
Loni Czekalski has filed a complaint with the Equal Employment Opportunity Commission against George Donohue, FAA deputy administrator-designate, who transferred her from the Wide Area Augmentation System program after publicity about cost overruns. Czekalski went to EEOC after receiving no response from an appeal to DOT Secretary Rodney Slater or then-acting FAA Administrator Barry Valentine to reverse Donohue's transfer order.
DOT denied an application of Aerolinhas Brasileiras, S.A. (ABSA) to conduct 26 roundtrip Lima-Miami cargo charter flights through Oct. 30 to carry asparagus for five Peruvian charterers. Emery Worldwide had filed an objection challenging ABSA's assertion that Brazil had established reciprocity with DOT, and DOT based its denial mainly on a finding that reciprocity was not "sufficient." Emery said Brazil has denied it fifth- freedom charter authority "on several occasions," a charge that ABSA did not rebut.
Using an incorrect currency conversion factor, The DAILY understated the U.S. dollar equivalents of SAairGroup's first half financial results in the Aug. 22 issue. For example, the operating profit was $165 million, not $53.9 million, and the net profit was $71.7 million, not $23.4 million. The amounts were stated correctly in Swiss francs.
Cathay Pacific will attain improved performance, increased temperature margins and longer wing life, befitting particularly at hot-and-high locations, when it converts the RB211-524 engines on its 747-400s to the G/H-T configuration, manufacturer Rolls-Royce said (DAILY, Aug. 20). The conversion, matching the high-pressure system of Rolls's Trent 700 engine to the remaining portion of the RB-211-524, will be carried out by Hong Kong Aero Engine Services, a joint venture between Rolls and Cathay Pacific's repair subsidiary HAECO.
European Commission is awaiting a response from American and British Airways on concessions that would win approval of their alliance, an EC spokeswoman said Friday. An EC advisory committee drew up draft recommendations that would transfer about 350 Heathrow slots, freeze some American-BA frequencies and reduce others, and limit joint marketing (DAILY, July 21).
- In Federal Register dated Aug. 18...Issued an airworthiness directive on certain British Aerospace ATP aircraft requiring modification of the hydraulic system...Proposed an AD on Asta N22/24 series aircraft to require inspection of the aft wing break connectors. - In FR dated Aug. 19...Proposed an AD on Twin Commander 500/600/700 series aircraft to require installing access holes in both wing leading edges.
Delta Express, hoping to grow by acquiring some of mainline Delta's remaining 29 737-200s, is exploring other strategies that do not lessen mainline's lift. "We are looking at every single option to move those airplanes over to Delta Express," said Express VP W.E. "Skip" Barnette.
FedEx and Arrow Air have asked DOT to reconsider an order inviting carriers to apply for certain all-cargo frequencies to Argentina, saying the move improperly jeopardizes Arrow's effort to sell frequencies to FedEx. The two carriers and FWIA applied in May to transfer three Argentina frequencies now held by Arrow and FWIA to FedEx. On Aug.
Orally authorized Continental Express to provide scheduled combination service beginning Nov. 1 between Cleveland and Toronto as replacement for USAir Express, which will suspend the service Sept.
President Boris Yeltsin said Friday that while the nation's military aviation is "rightfully seen as one of the best in the world," with the civil sector "we now have more concerns and problems than successes," according to news reports from Moscow. "Russia cannot exist without advanced and safe aviation," he said. "We are now deciding how to bring order here. There must be no delaying.
Continental has signed commercial agreements with Aerolineas Centrales de Colombia S.A. (ACES), including a code share on Continental's daily service between Bogota, Colombia, and Quito, Ecuador. Frequent flyer links and joint use of airport lounges will follow. Continental, which operates daily nonstop flights from Newark and Houston to Bogota, will provide connections to Medellin and Cali in Colombia.
Qantas reported a 5.6% increase in profits before one-time expenditures, to A$260.5 million (US$194.1 million) for the year ended June 30, despite higher labor and fuel costs. Revenue rose 3.1% to A$7.8 billion ($5.8 billion) and net profit increased 2.6% to A$253 million ($188 million). "The impact of relatively low revenue growth, higher fuel prices and increases in the unit cost of labor were offset by gains in operational efficiency and productivity," said Chairman Gary Pemberton. Qantas had to absorb A$100 million in higher fuel costs.
