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.
Southwest Airlines will place Worldview Systems Corp. travel and entertainment information for more than 20,000 worldwide destinations on Southwest's web site (www.iflyswa.com). Online destination information publisher Worldview signed a distribution agreement that gives Southwest a private-label version of the company's electronic travel guide. Southwest expects its web site to evolve into a "one-stop destination and information resource," said Kevin Krone, director of marketing automation.
ICTS International said it has signed an exclusive contract with Northwest to install and operate its automated profiling system in the carrier's European stations. The contract is the second the Netherlands- based company has signed with a major U.S. airline. In March, it signed a five-year pact covering installation and operation of its system throughout Europe for Continental. ITCS said it expects to complete modification and installation of the system in Northwest's computer network this year and start operating it next year.
Delta, which applied to operate third-country code-share U.S.-Egypt service with Swissair (DAILY, Aug. 19), criticized Continental's "perfunctory and incomplete application" to serve the market with Air France. Saying Continental "for the third time violated the Department's process and burdened the docket" by submitting a third-country code-share application that is ineligible for consideration (DAILY, Feb. 28), Delta urged DOT to dismiss Continental's request since it has no code share with Air France.
US Airways announced a meetings and conventions fare program, offering an additional 5% discount for travelers who purchase tickets at least 60 days prior to departure. Meeting and convention rates, available when at least 10 passengers travel to the same destination during a designated period, normally are 5% off most published fares or 10% off unrestricted seven-day advance-purchase coach fares. Delta offers a comparable discount with similar terms through its Delta Meeting Network. Delta also provides zone fares guaranteed through Dec.
Most new airlines are started by enthusiastic aviation believers, but there are exceptions. Teng Bunma, one of the richest men in Cambodia, is starting his own airline, just a month after he shot out the tires of a commercial aircraft after his luggage was lost.
DOT and the Clinton administration dodged a political bullet last week when the Teamsters ended their strike against UPS. Seeking replacement lift, the package carrier had filed an application to use an Air Foyle/Antonov Design Bureau An-124-100 for flights between its Louisville hub and Cologne, Germany (DAILY, Aug. 18). The charterer would have been United Parcel Service Worldwide Forwarding, like UPS Co. a wholly owned subsidiary of United Parcel Service of America.
Air Canada asked DOT for authority to enter into a wet-lease arrangement with Air New Zealand under which Air Canada would provide a 767-300 for twice-weekly Vancouver-Honolulu roundtrips in conjunction with Air New Zealand's Honolulu-Auckland service. The carrier said reciprocity warrants approval - Canada has approved similar U.S. wet-lease requests. The recently concluded U.S.-New Zealand open-skies accord authorizes operation of wet-lease services.
