Continental recorded its highest July load factor ever - 72% - as revenue passenger miles rose 4% to 3.9 billion and available seat miles 3.8% to 5.4 billion. Unlike other majors, Continental's domestic RPMs were up only marginally, 1.9%, compared with international RPMs, which rose 9.3%. "While we are delighted with the record load factor, we are even more pleased that high-yield business customers are returning to experience our new and improved product," said Gordon Bethune, president.
Delta, boosted by an 18.3% increase in domestic revenue passenger miles that included traffic generated by two weeks of Olympic Games in Atlanta, reported more traffic in July than in any month in its history - 8.650 billion RPMs. The traffic, latest in a string of records, was 11.1% higher than July 1995 and capacity rose 2.3% to 11.546 billion available seat miles for a systemwide load factor of 74.92%. July 96 July 95 7 Mths 96 7 Mths 95
Cleveland and neighboring Brook Park officials said last week they have reached a "framework settlement" agreement to end four years of litigation over expansion at Cleveland Hopkins Airport. The plan calls for construction of a 10,500-foot runway and lengthening of the existing runway to 12,000 feet. The two cities have been in conflict over several land issues, including exclusion of certain Brook Park properties from the airport layout plan, municipal boundary changes and compensation for revenue losses from Brook Park's Analex property.
Aircraft maintenance expenses make up a significantly higher percentage of the overall costs of newly certificated "up-start" airlines and commuter/regional carriers than of established major airlines, according to a study by Morten Beyer and Associates. In the 12 months ended last Sept. 30, the 10 major airlines spent an average of 10.56% of their total operating expenses on maintenance and related overhead, MBA said.
International Lease Finance Corp. posted record pretax income for the second quarter of $109.7 million, up 11% from the same period last year. For the first six months, pretax income rose 18% to $193.2 million. Second-quarter revenues were up 13% to $415.6 million and six-month revenues 17% to $786.8 million.
Continental is seeking authority to begin operating code-share services with Business Air in the U.K., beginning Sept. 16. Continental has applied for an exemption to provide scheduled combination service between Newark and Aberdeen, Dundee, Edinburgh and Glasgow and wants to combine these flights with authorized service to other points.
Airport Communities Coalition (ACC) filed a complaint last week in King County Superior Court against the Puget Sound Regional Council and the Port of Seattle in an attempt to block a planned third runway at Seattle-Tacoma Airport. The suit asks the court to overturn decisions and actions by the Puget Sound council or the port, including one ordering the port to stop further actions leading to construction of a third runway or other expansion projects at Sea-Tac.
United, citing a lack of suitable aircraft, said yesterday it will launch freighter service next March instead of in the third quarter, as planned. The carrier is converting four DC-10-30s from its current fleet to freighter configuration. "Suitable aircraft were unavailable for the third quarter launch, requiring a March 1997 startup," it said. Two of the aircraft will be used for flights to Asia, and the other two will go into service later in 1997.
Travel Industry Association, taking a close look for the first time at the travel habits of African Americans, Hispanic Americans and Asian Americans/Pacific Islanders, found that minority groups tend to have the same general travel preferences as all travelers but exhibit very specific "differences in the details."
Carnival Air Lines will begin service this winter to Washington Dulles, offering daily 737-400 nonstops from Fort Lauderdale-Hollywood Airport. It also intends to operate daily service to New York LaGuardia from Fort Lauderdale, starting both services Dec. 19.
Southwest continued its reign as the U.S. airline industry's top on-time performer for the sixth consecutive month with an 84.1% record for June. Overall, the nation's 10 largest carriers posted a 74.7% on-time rate in June, down from 78.9% in May and 75.9% in June 1995, according to DOT's Air Travel Consumer Report, published last week. USAir placed second at 76.6%, followed by Delta at 75.6%. Alaska trailed the field with a 67.3% record.
Aer Lingus is holding a seat auction on the Internet for its flights between New York and Ireland. Last Wednesday, the Irish carrier began offering a limited number of seats to the highest bidders at http://www.aerlingus.ie. Each day, it will provide information on specific flight and seat availability and the current highest bid.
Continued VFR flight into instrument meteorological conditions (IMC) is by far the most dangerous flight activity, according to an Aircraft Owners and Pilots Association analysis of general aviation weather accidents. "More than 80% of all VFR-into-IMC accidents were fatal," according to the study, and 27% of all fatal accidents involved VFR-into-IMC flying.
Taiwan's state-run cargo clearance service will be privatized by midmonth and converted into Trade VAN Networking Service Co., a joint venture between the central government and 28 private firms. Known previously as the Ministry of Finance's Cargo Clearance Automation Planning and Promotion Task Force, the organization was formed in 1990 to develop a computerized service to automate air and sea cargo customs clearance. It will be 40% government-owned and have paid-in capital of NT$1.5 billion (US$54.5 million).
Cessna Aircraft unveiled its new 172 Skyhawk, returning to the single- engine piston aircraft market after a decade. The manufacturer said the base price, $124,500, is "well below the inflation-adjusted cost of a comparably equipped version in 1986." The 712R is powered by a new, fuel- injected Textron Lycoming IO 360 engine, developing 160 horsepower. The only options are upgraded avionics and wheel fairings. Standard equipment includes avionics and safety enhancements "that were not even available 10 years ago," said Gary Hay, vice chairman.
Mountain West and WestAir pilots represented by the Air Line Pilots Association conducted informational picketing at Denver, Los Angeles and Seattle airports. The pilots of the Mesa Air Group divisions, which operate as United Express, have been in contract negotiations for more than a year.
The Delta Master Executive council, a unit of the Air Line Pilots Association at Delta, Friday elected Capt. Dennis Dolan chairman and First Officer James Stava vice chairman. First Officer Robert McCallum was re- elected secretary/treasurer. The officials will serve two-year terms, effective immediately.
American's AAdvantage Funds are being offered through Fidelity Investments. Individual investors, financial advisers and 401K plan participants can access the low-cost mutual funds - AAdvantage Growth and Income, Balanced, International Equity and Limited-Term Income - through a Fidelity account.
Although the U.S. and the U.K. did not schedule further negotiations when last week's meetings ended, the talks have not broken down, a U.S. official said. The U.S. plans to see what happens during the next couple of weeks, when the two sides exchange information or working papers, before figuring out when to meet again.
Reversing itself, Indonesia approved United's proposed service to that country from Osaka late last week. The carrier still needs clearance from Japan for the fifth-freedom service.
Canadian Air Cargo and American Airlines Cargo have signed an alliance, effective Sept. 1, that will link their Canadian and U.S. hubs. Canadian Air Cargo will act as general sales agent for American Airlines Cargo in Canada, and American will act as the Canadian carrier's agent in most of the U.S., Latin America and the Caribbean. Discussions relating to Europe and other points are continuing. The alliance creates a network of more than 420 destinations.
Canadian Airlines and British Airways will expand their code-sharing service between western Canada and London this fall. BA will place its code on Canadian's daily DC-10 flights from Calgary to London beginning Sept. 9. On Oct. 27, Canadian will code share on BA 747 nonstops to London from Vancouver, Canadians first daily nonstops in the market and the only flights in the market with first-class service. In September, Canadian will offer connecting service to London through Vancouver, Calgary and Toronto from Victoria, Edmonton, Winnipeg and Ottawa.
