FAA's Southern Region is studying the impact Global Positioning System direct routes will have on the capacity of the aviation system and the workload of air traffic controllers. Overall, four FAA regional offices are pursuing five GPS program initiatives to help define the procedures and procurements that will be needed for the operational implementation of satellite navigation, according to the FAA Satellite Program Office. In the Southern Region, the Jacksonville, Miami and Atlanta air route traffic control centers will be evaluated for direct routes.
U.S. National Carriers Operating and Net Profit First Quarter 1996 Operating Net Profit/Loss Profit/Loss (000) (000) First Quarter 1996 American Trans Air $ 5,216 $ 8,080 Carnival 3,151 2,055 Hawaiian 373 (582) Kiwi 1,357 1,261
Air Express International said yesterday that second quarter net income jumped 28% to $9.7 million. Net income for the first six months rose 25% to $15.9 million, AEI said. Operating profit increased 27% to $15.7 million for the quarter and 24% to $25.8 million for the six months. Revenues gained 7% to $320.7 million for the quarter and 6% to $615.4 million for the six months.
U.S. and U.K. officials will focus on some new issues as well as persistent old ones when they begin their second round of negotiations in Washington today. Little was accomplished in the first round, which ended July 19 in London, but it served to lay out the agenda and define the differences, said a U.S. official. Spurred by the proposed American-British Airways alliance, the two sides are focusing on an open skies pact.
Southwest said yesterday DOT data show the carrier has had a dramatic impact on fares and service in Tampa - the so-called "Southwest effect" of market stimulation - since it began serving the city Jan. 22. First quarter passenger volume in the Tampa-Fort Lauderdale market increased 54,000, or 101.8%, over first quarter 1995, the carrier said, and fares dropped from an average of $93 one way to $50. In the Tampa-Birmingham market, where Southwest launched service Feb. 27, passenger traffic rose 90% and fares dropped from $155 to $99.
American Eagle has reactivated its membership in the Regional Airline Association after suspending it for three months because of a disagreement over support for legislation. RAA opposed a bill to develop new funding sources for FAA that would charge airlines for using air traffic control, while Eagle's parent, AMR Corp., strongly supported the system.
Airbus Industrie says it is the first manufacturer to deliver aircraft off the production line - A340s that went to Iberia and A320s to United- with a predictive (forward looking) windshear warning system. The new radar also has been retrofitted into A320s delivered earlier to United.
The State of Alaska and its two state-operated international airports, Anchorage Airport and Fairbanks Airport (the Alaska International Airports) are asking DOT to amend the Foreign Air Carrier Permit and exemption authority of all foreign carriers authorized to serve the U.S. to enable them to engage in expanded cargo transfer activities at the Alaska International Airports. "No other U.S.
Delta's senior VP-Airport Customer Service, Marty Braham, has been named senior VP-Delta Staffing Services Business Unit Development. Vicki Escarra, VP-reservation sales&distribution planning, will become VP- Airport Customer Service, replacing Braham.
India's Finance Ministry more than doubled planned outlays for civil aviation for the fiscal year that ends March 31, 1997, but it reduced the government's budgetary support to the sector by 10% in keeping with the federal administration's policy to make its constituents - particularly, the state-owned carriers Air-India and Indian Airlines - increasingly self- reliant.
System One Amadeus named Maria Escosa director of sales for Latin America, the Caribbean and Mexico. She has been VP-sales and marketing for Aero Costa Rica in Miami.
Microsoft and American Express have agreed to offer jointly an online corporate booking service for travelers who want to make reservations and book tickets from their own computer. The Internet/Intranet alliance gives American Express a two-year exclusive license for a system the companies say will substantially change the way businesses manage employee travel. Development of the product is under way and the companies expect it to be fully functional by the first half of 1997.
Aviation Sales Co. said second quarter revenues rose 19.1% to $34.3 million from $28.8 million, but net income fell slightly to $1.8 million from $1.9 million. For the first six months, revenues rose to $67.2 million from $57.2 million and net income fell to $3.7 million from $4.3 million. The aircraft spare parts redistribution company said it continues to see "strong performance in our core part sales and growth in our inventory management services."
Japan Airlines and Federal Express squared off over the question of proposed sanctions against JAL in separate comments. Responding to Japan's refusal to allow FedEx to operate beyond-Japan services, DOT, in a show cause order issued this month, proposed prohibiting JAL from carrying on its scheduled all-cargo services from Japan to the U.S., any cargo transported to Japan by any Japanese airline from Cebu and Manila, the Philippines; Jakarta, Indonesia, and Beijing and Shanghai, China (DAILY, July 17).
UPS reported that its average daily volume in the second quarter increased 14.2% over the same quarter last year to 1.6 million express packages and documents. Domestic express volume gained 14.4% and international express volume 11.6%. John Alden, senior VP-business development, said the company has "invested in the infrastructure, new services and technology that we believe will generate double-digit growth well into the future."
Frontier Airlines will discontinue service to Bismarck and Fargo, N.D., from Denver Sept. 11 because of "continued shortfalls" in traffic. Frontier serves Bismarck with one daily roundtrip that continues to Fargo, with 737 aircraft. The carrier, which started service to several unserved markets from Denver in 1994, discontinued flights to seven points last year to focus its resources on more lucrative destinations.
Atlantic Southeast Airlines' net income rose 23.1% to a record $18.4 million in the second quarter, up from $15 million in second quarter 1995. Second quarter revenues also hit record levels, $104.2 million, up from $90 million. The results include after-tax accruals of $0.9 million, or $0.03 per share, and $2.6 million, or $0.08 per share, related to the stock appreciation rights plan. The net revenues also include a one-time, after- tax settlement of $1.2 million with an equipment supplier.
FlightSafety International and Interactive Learning International Corp. announced an agreement to create a distance learning capability that will provide FSI customers with many "virtual classroom" sites without traveling or compromising education objectives. FSI said it will create virtual classrooms enabling customers to see, hear and communicate with an instructor and view multimedia courseware from a personal computer terminal. It will use the program to train employees as well as clients.
The House Transportation Committee and the Senate Commerce Committee filed reports (House Report 104-714, Part I and Senate Report 104-333) Friday on their versions of the FAA reauthorization bill. With assurance from the House Ways and Means Committee that it will act this year to renew the aviation taxes, the House Transportation Committee plans to schedule its bill (H.R.3539) for floor action soon, possibly this week. On Friday, Senate Commerce Chairman Larry Pressler (R-S.D.) formally introduced the FAA bill (S.1994) the committee approved last month.
Eastwind Airlines plans to inaugurate four-days-per-week service to Orlando Aug. 29 from its base at Trenton-Mercer Airport, N.J. The new service puts Eastwind back into Florida markets, where it suspended service last April. It intends to offer more "Bee Line Specials" - the first, announced last week, provides $25 one-way fares for a brief period between Atlanta Hartsfield and Trenton.
Productivity Measures for Major Carriers First Quarter 1996 Revenue Available Passenger Seat Miles Miles Airline (000) (000) Alaska 2,126,048 3,500,253 America West 3,503,883 4,955,068 American 24,586,246 37,508,248 Continental 8,604,200 12,813,325
