DOT has granted Air Afrique renewal of its exemption to serve Bamako, Mali, as an intermediate point on currently authorized Abidjan-Dakar-New York scheduled service. (Docket OST-95-350)
Travel Industry Association is predicting a slump in business travel this fall, to the lowest number of travelers in five years. TIA President William Norman said, "As predicted, business travel appears to be plateauing.
Carnival Air Lines' pilots voted decisively in favor of representation by the Air Line Pilots Association. The National Mediation Board said that of 212 pilots eligible to vote, 73%, or 154, voted in favor of the union. One ballot was cast for the United Auto Workers and one was deemed invalid. "Carnival is a good company, and we're proud of our contributions to its success, but this is a volatile industry, and we're convinced that ALPA representation will help us ensure our futures," said David Samer, acting chairman of Carnival's ALPA unit.
Chilean national carrier LanChile posted first-half profits of $16.5 million, double the results for the first six months of 1995, when it reported $8.3 million in net earnings. Operating profits jumped to $17.8 million from $7.3 million, which the carrier attributed in part to rising cargo revenues. It posted a 28.6% rise in flight hours in the first half. LanChile also has started offering free first-class upgrades for business- class passengers originating in the U.S. Passengers purchasing full-fare coach seats can upgrade to business class free as well.
Sen. Larry Pressler, chairman of the Senate Commerce Committee, last week urged the administration and Congress to strive on a bipartisan basis for improved aviation security. In a speech on the Senate floor Thursday, the same day Vice President Gore announced new security measures, he spoke in support of improved explosives screening and the use of passenger profiling, measures listed in the White House Commission on Aviation Safety and Security report.
Ukranian carrier Aerosweet will attain regional prominence next month as it takes delivery of three new 737s. The airline, which has experienced monthly traffic growth near 15%, struggled for a time after its inception in 1993 with a single 737. Backing from Israel's Caspi Aviation is a factor in its growth.
A new agreement between Pratt&Whitney and Alfa Romeo Avio of Italy is expected to provide European-based operators of the JT8D-200 series engines quicker and more reliable support, the two companies said. Pratt will provide Alfa with a complete inventory management system for its JT8D-200 overhaul business. Alfa Avio is one of the largest providers of JT8D overhaul services in Europe. Pratt said it is working with other overhaulers in Europe to develop options to improve service and parts availability.
Several family members and friends of victims of the crash of ValuJet Flight 592 May 11 in the Florida Everglades have asked DOT Secretary Federico Pena to prevent the airline from flying again under current executive management. The Association of Flight Attendants, the Transportation Trades Department AFL-CIO, and the family members filed objections last week to a show cause order finding the carrier fit to resume service.
Makung Airport, the primary airport serving Taiwan's offshore Pescadores Islands, will undergo extensive renovation, beginning in October. The runway will be overhauled completely, work that is expected to take 400 days. During this time, aircraft will be able to land and take off only on taxi lanes parallel to the runway. The restrictions on flights are expected to seriously affect the Pescadores' tourism industry. The islands are a favorite destination for domestic travel - seven airlines currently offer more than 140 flights to Makung each day.
Growth in United's domestic operations helped increase systemwide August revenue passenger miles 4.3%. Available seat miles did not keep pace with RPM growth, rising only 1.3%, which pushed the load factor up 2.3 percentage points to 78.6%. International load factors in specific regions remained at even higher levels. Pacific loads fell slightly to 80.6% in August and Atlantic loads remained elevated at 82.7%. United's North American RPMs showed the largest monthly gain, up 7%, while Latin America, the carrier's smallest region by RPMs, gained 6.7%.
American Society of Travel Agents took the $86 million settlement in its commission cap suit against six airlines partly because the Justice Department would not permit the court to set commission policies or lift the caps, even if a jury believed the airlines conspired illegally to impose them. Some ASTA members are complaining that the settlement is paltry, given that Delta spends more than $1 billion a year on commissions and is estimated to be saving $100 million a year through the cap. American is said to have cut costs about $150 million.
USAir will spend $335 million more than its competitors would have to as it operates its 86 737s this year, according to Morten Beyer Associates. "The airline is shackled to a corporate culture that precludes any rational cost reduction program," MBA says. "USAir can only pray for the perpetuation of its oligopolistic hold on the high-yield markets of the Northeast, or for its absorption into a large, more cost-effective entity."
DOT has renewed the exemption of Transportes Aereos de Cabo Verde, operating as TACV, to conduct scheduled combination service between Ilha do Sal, Cape Verde, and Boston, at a frequency of one flight per week, using wet-leased aircraft. (Docket OST-95-298)
National Transportation Safety Board set up a command center in Newburgh, N.Y., to investigate a fire that destroyed a FedEx DC-10. The aircraft, en route last Thursday from Memphis to Boston, was diverted to Stewart Airport after the crew reported smoke in the cockpit. The crew escaped unharmed, but flames engulfed the DC-10. Unconfirmed reports said the fire apparently started in a container.
America West has appointed Ronald Aramini senior VP-operations to replace Thomas Dereig, who has resigned. Aramini has been working as president and chief executive of USAir Group subsidiary Allegheny Airlines. He also was VP-operations, senior VP-operations, and president and chief operating officer at Air Wisconsin, and staff VP-system operations and VP-technical services at Continental. Aramini will be responsible for overseeing maintenance and engineering, flight operations, flight dispatch and airport operations.
U.S. District Court Judge Roger Strand declared valid the election of the Teamsters union to represent mechanics at America West and ordered the carrier to begin contract negotiations with the union. The airline challenged the April election, in which the mechanics voted 587 to 135 in favor of Teamsters representation, on grounds that the ballot included 400 mechanics who had been fired in December when the airline outsourced much of its maintenance. The Teamsters noted that 79% of the still-employed mechanics who voted were in favor of representation.
An official of Taiwan's Committee for Aviation and Space Industry said Taiwan and the Czech Republic are close to agreement on co-production of five- to nine-seat AE-270 commercial jets. A 23-member delegation representing several Taiwanese aerospace firms is expected to discuss the venture further when it visits the Czech Republic this week. Sources in Taipei said that, if an agreement is reached, the aircraft most likely will be manufactured in the Czech Republic, with some parts supplied by Taiwan.
International Aviation Club of Washington will hold its monthly luncheon Sept. 17 at 12:30 p.m. at the University Club, International Center, 1800 K St., Washington, D.C. The guest speaker will be Michael Levine, executive VP-marketing and international for Northwest.
Airail AG, a German firm pushing development of a privately financed airport at Stendal near Berlin, has approached Berlin Brandenburg Flughafen (BBF), the Berlin airport authority, about developing and operating the airport jointly. BBF selected Schonefeld Airport this summer for development as Berlin's sole airport following a phased closure of Tegel and Tempelhof airports. But major expansion of Schonefeld is viewed by many as foreclosed for environmental reasons, and Airail contends that Schonefeld cannot be developed into the 24-hour airport desired by Lufthansa.
KLM's passenger traffic grew 9% in August, while capacity rose 9% as well, leading to a flat load factor of 81.5%. August revenue passenger kilometers jumped 18% on KLM's Asia/Pacific routes and 13% within Europe. The carrier's cargo traffic, measured in revenue cargo ton kilometers (RTKs), also increased 9% in August on 7% more capacity. The carrier flew 506.5 million RTKs in August and posted a cargo load factor of 65.8%, up 1.3 points. The cargo results mark the first month in the fiscal year in which cargo load factor rose.
Airports Consultants Council has selected Southwest Chairman Herbert Kelleher to receive its Aviation Award of Excellence for revolutionizing the airline industry with the development of a low-cost airline. ACC will present the award Nov. 11 at its annual conference on Amelia Island, Fla.
