Aviation Daily

Staff
American said yesterday it will spend $268 million for more than 70,000 first-, business- and coach-class seats from three manufacturers. Mike Gunn, senior VP-marketing, said the seats will "offer our customers the most advanced product in the market." The seat designs and features were based on "extensive customer research" with frequent travelers, Gunn said. The order includes more than 2,000 business-class seats from BE Aerospace, to be installed on international and transcontinental 767s and new 777s.

Staff
Icelandair will be the second customer for the new 757-300 with an order for two, Boeing said. The carrier also ordered two 757-200s. The first 757-300 for the carrier will be delivered in the second quarter of 2001 and the first 757-200 next January. All aircraft will be powered by Rolls- Royce engines.

Staff
WorldRes Inc. and WizCom International, two Internet services, have formed an alliance to link their two systems and provide combined Internet sales and marketing services to hotel companies. WizCom is a supplier of travel marketing distribution and systems connectivity for the travel industry. WorldRes provides hotel booking capability to online travel sites, such as Preview Travel and Travelocity.

Staff
Hong Kong Tourist Association reports that the number of visitors to Hong Kong rose 9.5% to 3.9 million in the first quarter, compared with the same period last year. Hong Kong officials are predicting steady growth in tourism. In April, all major market regions, except North Asia, showed gains in arrivals. Visitors from China rose 28.9%; Taiwan 24.9%; the Americas 21.7%; Europe, Africa and the Middle East 7.5%; South and Southeast Asia 19.8%, and Australia, New Zealand and the South Pacific 2.2%.

Staff
The Czech Republic will purchase 72 L-159 single-engine trainer aircraft made by Aero Vodochody, in a long-awaited buy revealed yesterday by CIBC Wood Gundy, a Canadian bank organizing the financing. The Czech government will issue a guarantee to cover the financing. CIBC also financed $400 million worth of U.S. aircraft for CSA Airlines. The L-159 buy will include $600 million in U.S. components, including AlliedSignal's F 124 turbofan engine, U.S.-made avionics and components from Boeing.

Staff
Kiwi International Air Lines has selected Avis Rent A Car as its exclusive car rental agency, enabling Kiwi passengers to obtain special rates.

Staff
America West Vacations is offering travel agents $500 bonus commissions for booking 75 passengers for travel by Aug. 31. For every passenger over that number, they will receive an extra $10.

Staff
American Eagle President Dan Garton will reveal the company's fleet plan today regarding regional jets. A news conference is scheduled at 9:30 a.m. (CDT) at the Fort Worth AMR Corp. headquarters.

Staff
Monarch Airlines ordered two A330-200 and two A321 aircraft. The A330s will be powered by Rolls-Royce Trent 700 engines and the A321s by IAE V2533 engines. The British holiday carrier operates seven A320s, one A321 and four A330s.

Staff
Summary of U.S. National Carriers Systemwide Traffic November 1996 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) American Trans Air 305 (3.70) 1,686 513,839 Carnival 134 (18.02) 1,155 154,480

Staff
Operating results of Europe's biggest airlines dipped into the red last year following a banner year in 1995. The Association of European Airlines blamed the loss of profitability on rising air traffic control charges, ground-handling fees and fuel prices, plus downward pressure on fares, but it said it expects better results this year. According to preliminary data issued last week, the 26 AEA airlines project a combined operating loss of $90 million in 1996, compared with an operating profit of $870 million in 1995.

Staff
Summary of U.S. Major Carriers Domestic Traffic December 1996 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) Alaska 892 8.13 813 725,218 America West 1,558 14.83 860 1,340,157 American 5,643 9.71 1,113 6,283,467

Staff
British Midland has chosen the International Aero Engines (IAE) V2500 for the 20 Airbus Industrie narrowbodies it ordered in April. Its two A320s will be powered by the V2527A5 and the eight A321s by the V2533A5.

Staff
Aero International (Regional), the European regional aircraft consortium, has "not yet convinced its shareholders" to launch a new 70-seat jet aircraft, the AI(R) 70 or AirJet, acknowledged Chairman Patrick Gavin yesterday at the Paris Air Show. The aircraft, intended as a European response to Bombardier's CRJ 700 and Embraer's projects, is strongly supported by Aerospatiale, but British Airways is reluctant to invest in regional aircraft development. The third partner of the AI(R) consortium, Alenia, is said to have an intermediate position.

Staff
Condor Flugdienst has chosen BFGoodrich as its supplier of wheels and carbon brakes for 12 firm-order and 12 option 757-300s. Deliveries begin in 1999. Transavia's 737-800s and TEA Switzerland's 737-700s also will use BFGoodrich wheels and brakes.

Staff
Delta and Solair have signed a memorandum of understanding that will make the Banner Aerospace subsidiary Delta's sole supplier of airframe rotables, repairables and expendables from the surplus market, Solair said last week. The deal, subject to negotiation of a definitive agreement, could yield revenues totaling $150 million in three years, Solair President Timothy Daggett said. Michael Ellenberg, Delta VP of aircraft maintenance, cited Solair's "aggressive" parts supply strategy and its help as Delta disposes of excess inventory.

Staff
Japan Airlines appointed John McGhee VP-non-Japanese marketing. KLM named Dig Istha corporate communications officer, a new position, and Max Rens corporate information officer, focusing on information technology policy.

Staff
Air Transport Association airlines carried 13.6% more cargo in April than last April, bolstered by an 18.4% gain in international cargo. Domestic cargo rose 9.9%. The strong demand for freight and express service continues to outpace growth in mail. In April, freight and express cargo rose 14.7% and mail 6.1%.

Staff
Aer Lingus appointed Brian Murphy VP-sales and marketing, based in New York.

Staff
US Airways' Air Line Pilots Association representatives say 64 pilots received furlough notices last week. Although management has faulted ALPA for forcing it into a furlough situation, ALPA argues that the company has not provided adequate written contract proposals and continues to be unavailable for negotiations, "ensuring the furloughs will occur."

Staff
First Aviation named President and Chief Executive Michael Culver to the additional position of chief operating officer.

Staff
Associated Global Systems appointed Richard Boorman manager-Buffalo district and Keith Ekern and Gwen Zengel heads of its new St. Louis station.

Staff
U.S. and Barbados will meet Thursday and Friday in Washington to try to hammer out an open skies agreement. U.S. officials are optimistic about attaining the first open skies pact in the Caribbean.

Staff
American is offering ticketless travel from Chicago O'Hare and Dallas/Fort Worth to Frankfurt. The carrier said it is the first U.S. airline to offer ticketless travel across the Atlantic and expects to extend the option "in the near future" to more European points, Canada and Mexico. It introduced ticketless travel on domestic flights last September. The AAccess Ticketless Travel option sends customers a receipt and itinerary that satisfies U.S. and German immigration and customs requirements.

Staff
United and the Association of Flight Attendants resume contract negotiations this week in Honolulu in what the AFA continues to call the "final, critical phase" of discussions over pay. AFA says the company's decision to spend $125 million on the new United Rising ad campaign, which FAA says will require the flight attendants to fulfill the promises of the ads now, is "a new benchmark in corporate stupidity."