Aviation Daily

Staff
Rosenbluth International, the Philadelphia-based travel management conglomerate, has signed a strategic alliance with The Sabre Group to integrate their reservations systems online. Sabre Business Travel Solutions (Sabre BTS) will be merged into Rosenbluth's E-Res Electronic Reservation System for Sabre-based clients. The new network will enter trials with several Sabre corporate clients over the next four months.

Staff
Ansett Air Freight has completed a contract with Kitty Hawk to provide daily charter air freight service between Auckland and Sydney for the U.S. carrier. Kitty Hawk said the three-year contract will generate revenues of about $4.7 million a year. The aircraft, a 727-200 freighter, is its third aircraft operated under contract in the Pacific Rim.

Staff
Tower Air has appointed Affiliated Freighters Ltd. as exclusive sales and market agent for its twice-weekly 747 freighter service between the U.S. and Kong Hong. Service points on the scheduled route are New York Kennedy, Chicago O'Hare and Anchorage with a technical stop at Khabarovsk, Russia.

Staff
As British Airways held its annual general meeting yesterday, continued attempts to resolve its dispute with two sections of the Transport and General Workers Union (TGWU). Although union staff rejected the latest set of proposals from the airline regarding the sale of its catering business, they also made it clear they do not wish to strike. Sources close to the dispute say local TGWU representatives led the way to the "let's talk, not strike" approach, rejecting the more militant stance of national representatives.

Staff
FAA overflight fees continue to draw fire from dissenting countries. European Civil Aviation Conference President Andre Auer wrote last week to Joel Spiro, deputy assistant secretary of state for transportation affairs, recounting familiar complaints - lack of meaningful consultation and failure to justify cost allocation, "particularly as regards the oceanic fees set forth in the interim rule."

Staff
Thai Airways' premises in Bangkok are home to a new ATR training center inaugurated by Thomson Training&Simulation. The center, co-managed with Aero International Regional, is equipped with six ATR full-flight simulators identical to those used at the ATR training center in Toulouse. The Bangkok facility will be used by AIR's customers in the Asia/Pacific region.

Staff
Taiwan's Civil Aeronautics Administration (CAA) is negotiating with officials of Singapore, Malaysia, the Philippines and Thailand in an attempt to reach open skies agreements. A CAA spokeswoman said Singapore appears most interested, while Thailand currently expresses the most reservations. The official added that both Singapore Airlines and Malaysian Airlines have expressed support for an open skies policy.

Staff
Pan Am is giving away free first-class tickets for New York Kennedy-Miami travel to anyone who flies in first class both ways between New York Kennedy and Los Angeles. The offer is valid until Oct. 15, and the free ticket can be used between Sept. 2 and Dec. 15 with some blackout restrictions. Pan Am's three daily flights to Los Angeles cost $993 roundtrip in first class. Passengers must be members of Pan Am's WorldPass program to qualify.

Staff
Atlantic Coast Airlines has taken delivery of the first of 12 new Canadair Regional Jets. The 50-seat aircraft will be based at Washington Dulles Airport. Three more will be delivered this year and eight in 1998.

Staff
Major Carriers % Of Total Operating Rental Expenses Alaska $ 43,348,000 13.73 America West 76,919,576 17.82 American 259,312,000 7.30 Continental 165,499,000 12.24

Staff
DOT's Aviation Enforcement office is asking nine U.S. airlines to provide information on frequent flyer programs, part of an ongoing review. All majors are being queried except for Southwest, whose frequent flyer awards, the office said, are limited only by aircraft capacity. DOT said the review shows airlines may not be adequately informing consumers about limits on seat availability for frequent flyer awards.

Staff
FAA proposed yesterday to establish fees for certification services it provides outside the U.S. in order to recover costs and help ensure that it provides services in a "responsive and timely manner." The agency said production approval holders (PAH), to be more competitive globally, are requesting its approval to expand their facilities, use more facilities around the world and manufacture more complex subassemblies, "including complete aircraft." FAA said limited resources "make it difficult" for it to support initiatives "as international ventures by U.S.

Staff
General Services Administration (GSA) has awarded government employee travel contracts to 16 U.S. airlines covering 4,840 domestic and 933 international city-pairs for Fiscal 1998, which begins Oct. 1. Northwest was granted the most city-pairs, 1,525, worth $204.5 million. GSA said it emphasized nonstop service in the awards - there are 107 more nonstop markets this year than last year. The 793 city-pairs awarded to US Airways, while fewer than Northwest's, were worth more, $215 million.

Staff
Southwest is bracing for the House version of higher aviation taxes, which would affect short-haul more than long-haul carriers, and it intends to increase fares if the House proposal is adopted. Chief Executive Herb Kelleher said Southwest also would have to add long-haul service to offset its traditional short-haul routes, and he noted that it could start long- haul service with its existing 737-300 fleet. Even as Kelleher considers higher fares, he is skeptical about them.

Staff
Sunworld International answered challenges to its certificate renewal, saying it never had a signed contract or payment to operate a spring-break charter flight whose cancellation nearly caused a riot March 8 at Kansas City's airport when the aircraft pulled away from the gate, leaving students stranded (DAILY, July 7). Four travel agencies and tour operator Vacation Travel International oppose the renewal.

Staff
The Senate Appropriations transportation subcommittee approved a fiscal 1998 DOT funding bill yesterday that provides $9.18 billion for FAA, $120 million more than the House Appropriations Committee proposed and $719 million over the Clinton administration budget request. The proposed funding is $619 million above the fiscal 1997 enacted level of $8.561 million, which includes about $205 million in emergency funds related to security (DAILY, June 25).

Staff
Growing consensus against taxing the domestic portion of international trips - part of the Senate's aviation tax package but not the House's - would avoid putting U.S. carriers at a disadvantage against foreign competitors, Northwest's Elliott Seiden told the International Aviation Club yesterday. Seiden noted that Air France is authorized to fly nonstop between Los Angeles and Paris but Northwest must stop in Detroit. The Senate plan would tax the L.A.-Detroit leg.

Staff
American is offering special $97 roundtrip fares to Dallas/Fort Worth on its first flight out of the new Washington National terminal, which opens July 27. Five passengers who show proof of occasions on which they were first - such as trophies or ribbons - will receive the upgrades, as will their traveling companions. Flight 335 leaves National at 6 a.m.

Staff
Dragonair has established its own cargo sales department to replace Cathay Pacific as general sales agent for cargo services. The new department, headed by Albert Yau, will operate independently.

Staff
The tentative agreement by the Association of Flight Attendants at United to accept a new contract would increase flight attendant pay by 36% through a combination of bonuses and raises (DAILY, July 15). The company referred to the accord as a "10-year contract" that will remain in effect until the end of 2006 and declined further comment on its provisions. The AFA told its members, however, that the agreement consists of two five-year contracts. The tentative agreement guarantees that U.S.-based flight attendants will fly 60% of all block hours.

Staff
Travel Industry Association says more families took vacation trips last year than in 1995, and those vacations accounted for 72% of all vacation travel in the U.S. According to a survey sponsored by Better Homes&Gardens magazine, the number of trips taken dropped, however, to two trips per family in 1996 from 2.4 the year before. The most popular destination continues to be the beach or a historic site. TIA expects 97.3 million adults to travel this year, a 4% increase from 1996.

Staff
U.S. commercial pilots will continue to have to retire at the age of 60 as a result of a decision issued yesterday by the U.S. Court of Appeals for the District of Columbia denying a petition by the Professional Pilots Federation (PPF) to increase the age. Circuit Judge Douglas Ginsberg filed the decision, with concurrence of A. Raymond Randolph and a dissent from Patricia Wald. The PPF argued that the Age 60 rule violates the Age Discrimination in Employment Act.

Staff
U.S.-Korea open skies talks ended yesterday after two "productive" days, DOT said, but no agreement was reached and the parties did not schedule the next meeting."There is a difference of views that needs to be explored further" on a number of issues, including change-of-gauge through Korea, a U.S. government official said.

Staff
Kiwi International Air Lines has named Steven Markhoff director-safety and regulatory compliance. Markhoff has provided legal counsel to Kiwi and previously was in-house legal counsel at ValuJet, general manager of Tel Aviv-based Emek Wings and a pilot with Northwest Airlink.

Staff
European Commission authorized yesterday 2.75 trillion lire (US$1.595 billion) in state aid for Alitalia, to be paid in three annual installments (DAILY, July 15). EC Transport Commissioner Neil Kinnock said the subsidy "should close the cycle of state aid applications" accompanying European airline restructuring as the carriers work to meet the challenges of competition.