Aviation Daily

Staff
Fine Airlines applied for an exemption to conduct scheduled all-cargo service between points in the U.S. and points in Spain. The carrier proposes to begin once-weekly service from Miami to Vitoria, Spain, on July 22, making technical stops in Gander, Newfoundland, and Shannon, Ireland. It said it expects to offer direct service soon afterward to other points in Spain, including Madrid and Valencia.

Staff
Senate Commerce Committee has postponed the today's hearing on issues surrounding the grounding of ValuJet because it wants DOT Secretary Federico Pena to testify and he was unavailable. Panel Chairman Larry Pressler (R-S.D.) is working with Pena to reschedule the hearing.

Staff
American Society of Travel Agents has launched a summer getaway contest for consumers accessing its World Wide Web site. The grand prize is a 14-day cruise to the Orient on Royal Caribbean Cruise Lines and business-class tickets on British Airways; first prize is a Caribbean cruise, second price a Mexico/Baja cruise and third prize a set of Travelpro luggage. One contest sponsor, NETCOM also will give three months of free Internet access to 18 entrants. The contest, which runs until July 22, can be found at http ://www.astanet.com.

Staff
Nearly four in 10 adults living in the U.S. have visited Las Vegas at least once, according to a survey conducted by the U.S. Travel Data Center for the Las Vegas Convention and Visitors Authority. More than 29 million travelers visited the city last year, breaking the 1994 record of 28.2 million. The visitors authority estimates 30.3 million people will visit Las Vegas this year.

Staff
Summary of U.S. National Carriers Systemwide Traffic The Year 1995 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) Alaska* 10,139 13.20 847 8,591,347 American Trans Air 4,594 15.34 1,973 9,064,239

Staff
Barrow House Inn, a small hotel in St. Francisville, La., will celebrate its 10th birthday July 4 by helping other small businesses. The Barrow House Inn will open a library of books, newsletters, cassettes and CD-ROM disks on how small businesses can improve their marketing. The inn, which has five rooms and three suites in two houses, is set in a neighborhood of antebellum residences 30 minutes from Baton Rouge.

Staff
Teamsters union says that more than 75% of the mechanics at America West have signed petitions forwarded to Chief Executive William Franke urging the company to "stop stalling and start negotiating" a new contract. The mechanics voted 587 to 135 - 82% - in favor of representation by the Teamsters April 17, but the company filed suit the same week in Phoenix, arguing the election should be ruled invalid because 400 fired employees were allowed to vote (DAILY, April 19).

Staff
Worldwide airport passenger traffic rose 7.7% in the first quarter from the same 1995 period, while cargo tonnage rose 3.5%, the Airports Council International said this week in Geneva. ACI said 460 airports worldwide reported 556.87 million passengers during the first three months and 11.42 million metric tons of cargo. Aircraft movements rose 1% to 11.45 million.

Staff
U.S. District Court for the Central District of California ordered a permanent injunction against attempts by Barry and Holly Michaels to control an airline. The court imposed a disgorgement of $363,306 and civil penalties for a fraudulent offering of $5 million of unregistered stock on the Michaelses, who tried to start up Family Airlines in 1992. The Michaelses were found to have lied to FAA and DOT about past civil lawsuits and judgments against them, according to the Securities and Exchange Commission.

Staff
Officials in Taiwan say Chiang Kai-shek Airport faces a serious threat of power outages during this year's typhoon season because of procurement delays in acquiring an uninterrupted power supply system. An official of the Civil Aeronautics Administration said a sixth round of bidding failed to generate an acceptable proposal, and a seventh round will be held in July. A series of strong typhoons last September left the airport without electricity several times.

Staff
The information technology joint-venture company between Delta and NCR Corp., TransQuest, will become a wholly owned subsidiary of Delta on July 1. TransQuest will continue to operate as a separate company with its own management team and directors. Rex McClelland, senior VP-corporate services, said, "TransQuest had a successful first year of operation, with a direct and positive impact on Delta's Leadership 7.5 initiative and business results.

Staff
Egyptair ordered four A321s for delivery beginning in mid-1997, Airbus Industrie said. The carrier did not choose an engine immediately. Egyptair already operates seven A320s, 14 A300s and one A340, and it has three more A340s on order with the next delivery in November. The A321s will seat 200 in a single class, with the option of convertible seats at the front of the cabin.

Staff
Seven of the top 14 sources of visitors to the U.S. gained market share since 1994, according to the Travel Industry Association's (TIA) report, Market Share Indicators. The U.S. lost travelers from Canada, Mexico, Italy, the U.K., Australia, Korea and Taiwan, but gained in France, Germany, The Netherlands, Spain, Switzerland, Japan and Brazil. The new index, produced in cooperation with the World Tourism Organization, measures the number of citizens leaving a country for a long-haul trip and calculates the percentage of trips that are bound for the U.S.

Staff
Alaska Airlines is seeking an exemption to perform scheduled combination service between Los Angeles and Ixtapa/Zihuatanejo, Mexico. Alaska's said it plans to operate nonstop roundtrip service beginning Nov. 4, offering four weekly flights through late April 1997. It will use MD-80 aircraft configured for 140 passengers, and flights will be scheduled for connections at Los Angeles with Alaska and Horizon Air service to and from other points.

Staff
FAA has approved the $750 million master plan for Cincinnati/Northern Kentucky Airport, including plans for a third 8,000-foot runway and existing runway extension. The plan also calls for replacing two existing terminals with a single building. Rental car and air cargo facilities would be expanded and relocated under the plan.

Staff
Delta Air Lines' subsidiary DeltaTel and Worldwide Cellular, which provides short-term cellular telephone rentals, are offering cellular phones to travelers around the world for the cost of the air time. Travelers can reserve cellular phones through their DeltaTel Communications Card or by using a direct toll-free number.

Staff
Offering expanded opportunities for non-incumbent carriers, Japan will continue to dispute the U.S. position on existing fifth-freedom rights when U.S.-Japan talks begin today in Washington. "The major objectives of the consultation are to equalize the opportunities between Japanese and U.S. airlines, and to expand the opportunities for the airlines of both sides on the basis of equality," according to a Japanese government outline of its basic position, dated today and made available to The DAILY.

Staff
The City of Atlanta's $300 million sale of airport facilities revenue bonds received an "A" rating from Moody's Investors Service based on the airport's niche as a "key hubbing facility" in the southeastern U.S. Since the rating is based on the airport's fundamental strengths, it said, ValuJet's recent suspension from operations does not pose a long-term credit concern. "Airport officials project that the elimination of ValuJet service at Atlanta will result in only a minor decline in debt service coverage in fiscal 1996," Moody's said.

Staff
American and St. Louis are boosting TWA's bid for services to London Heathrow, but the rest of the industry is urging DOT to reject the application. Acting on the possibility that the proposed American-British Airways agreement will open up slots at Heathrow, TWA requested authority to begin operating a daily 747 roundtrip between Heathrow and New York Kennedy Sept. 4, with the option of adding two daily 767 flights Oct. 27 (DAILY, June 12).

Staff
Fresno-based Air 21 and Reno Air signed an interline and marketing agreement for connections through Reno/Tahoe Airport, beginning yesterday. The agreement will enable Air 21, a wholly owned subsidiary of International Jet Engine Supply, to market service to eight new cities - Chicago, Anchorage, Fairbanks, Vancouver, Seattle, Portland, Denver and Colorado Springs. Reno will provide the ground-handling.

Staff
Summary of U.S. Major Carriers International Traffic The Year 1995 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) American 14,606 8.90 2,160 31,541,845 Atlantic 3,651 7.13 4,119 15,038,573

Staff
Continental's board approved a two-for-one stock split yesterday, payable July 16 to holders of record of Class B and Class A common stock July 2. The split is intended to "make our stock more affordable to retail investors" and "bring additional liquidity to the market for our shares," Lawrence Kellner, chief financial officer, said. At the carrier's annual meeting, shareholders re-elected all of the directors and approved a new one, George Parker, professor of management at the Graduate School of Business of Stanford University.

Staff
SabreTech President Steven Townes, stung by congressional testimony Tuesday by ValuJet President Lewis Jordan that SabreTech errors caused the fatal crash May 11 of one of the carrier's DC-9s, said yesterday the crash was a "shared responsibility" of his company, the airline and FAA. Jordan told Congress that if boxes containing oxygen generators had been properly marked as hazardous materials, they would never had been loaded onto the aircraft and the crash would never have occurred (DAILY, June 26).

Staff
LatinPass is offering travel agents the opportunity to rack up their own frequent flyer miles when their clients purchase a full-fare ticket on any LatinPass carrier to Mexico, Central and South America and the Dominican Republic from the U.S. and Canada. The promotion, Miles&Miles, also gives agents 10,000 bonus miles whenever they sign up a client in LatinPass. Agents must book clients on at least three different LatinPass carriers. The agent accumulates mileage based on the type of fare their clients purchase, and mileage flown.

Staff
Canadian Airlines International said it will resume nonstop service between Montreal Mirabel Airport and Rome, offering two 767 flights per week beginning July 30 and continuing through the summer, and cutting back to one per week during the fall and winter, all in cooperation with code-share partner Alitalia. The carrier currently offers daily flights between Toronto and Rome.