Industry mediator and former National Mediation Board Chairman Robert Harris began assisting Continental and the Machinists union Friday in Washington in collective bargaining toward a new flight attendant contract. Negotiations have just begun, and NMB Chairwoman Magdalena Jacobsen, whose term ends July 1, said she will monitor the talks.
Responding to discounts in domestic and transborder markets, Air Canada introduced a new fare type over the weekend - L Class, lower than Q class but not as low as the lowest it must compete against. With eight other fare categories already, the carrier will introduce L Class in markets as needed.
DOT tentatively selected Reno Air over Alaska Airlines to operate scheduled service from San Jose, Calif., to Puerto Vallarta and San Jose del Cabo, Mexico, in competition against Alaska's service to the two cities from San Francisco. Reno proposed to offer two weekly roundtrips initially in each market with MD-80s, beginning June 19 to Puerto Vallarta and June 20 to San Jose del Cabo. Alaska proposed four weekly trips to San Jose del Cabo and three to Puerto Vallarta with the same type of aircraft, beginning Oct. 4.
National Transportation Safety Board Member John Goglia, who probably will preside at the public hearing into last month's ValuJet crash, came to the defense Friday of aviation repair stations and the FAA rules that govern them. Speaking in Washington, Goglia said, "This industry cannot exist without repair stations," and FAA's rules for them "are very good." But the rules "have to be followed. The trouble is it is very difficult to understand the rules. They cost money."
Federal authorities refused comment Friday on whether a criminal investigation is under way involving the May 11 crash of a ValuJet DC-9 that killed 110. The U.S. Attorney's office in Miami refused to confirm or deny a Business Week report that ValuJet and SabreTech, its maintenance contractor, are targets of an investigation. FAA referred inquiries to the Justice Department.
Air Canada's traffic grew 25.5% in May, compared with May 1995, on a 20.6% increase in capacity. The carrier flew 1.59 billion revenue passenger miles on capacity of 2.46 billion available seat miles. The load factor for the month was 64.8%, up 2.5 points. International RPMs grew 36.1% for the month on a capacity increase of 38.8% international ASMs. For the first five months of the year, traffic was up 19.8%, compared with same period in 1995, on 12.9% more capacity. The load factor of the period was 62.6%, an increase of 3.6 points.
American Society of Travel Agents has questioned the decision of Air Canada and Canadian Airlines International to cap travel agent commissions at the same level as six U.S. carriers - $50 roundtrip and $25 one way. ASTA President Jeanne Epping said it was in part because of the work of travel agents, who handle 80% of all airline ticket bookings, that both carriers reported increases in passenger revenues of at least 13% in the first quarter of 1996, compared with the same 1995 period.
American filed suit with the Supreme Court of Venezuela in an effort to recover $8.2 million in federal exchange losses it says it suffered in that country in July, August and September 1995 after the government devaluated its currency to 270 bolivars to the U.S. dollar from 170 bolivars. American said it was supposed to be paid at the higher rate but was paid less for those months because of foreign currency controls. In spite of the suit, the carrier said it will continue to operate service to Venezuela.
In a survey of residents in the Dallas area by Dalfort Aviation, which wants to start interstate service from Dallas Love Field, more than 350 of 398 respondents said Love Field would be more convenient for them than Dallas/Fort Worth. Colorado Springs was cited more often than any other city when respondents were asked which destination, not now served, they would most like to be able to reach from Love Field.
Antitrust immunity for Delta's alliance with Swissair, Sabena and Austrian was still being debated within DOT late Friday, with issues "still to be resolved," a senior official of the department said. At DAILY presstime, DOT was considering working into the weekend to issue a final order. Its tentative decision was in favor of immunity, with limited exceptions (DAILY, May 22).
Airline Capital Associates named Frank Rosenberg managing director. Associated Global Systems appointed Diana Bergeron international manager-Dallas/Fort Worth, Marlon Deyton service manager-Atlanta District and Paul Iten district manager-Tampa. Go America Tours named John Ruzich senior VP-North America.
Delta asked DOT to act promptly on its request to code share with All Nippon Airways and not allow United's application to code share with Thai Airways International to have any bearing on it. United asked DOT to defer or deny Delta's request until the Japanese government assures the U.S. it will approve United's application to code share with Thai between the U.S. and Thailand via Tokyo. Delta said the request is one more example of United's "hypocrisy" on U.S.-Japan service issues.
American has applied at DOT to change its request for 3.5 U.S.-Peru weekly frequencies so that it might operate Dallas/Fort Worth-Lima service instead of Miami-Lima. DOT already has tentatively chosen Continental for Houston- Lima service, and the department is asking carriers to submit proposals for Phase Two of the U.S.-Peru proceeding. American said that if the final outcome provides it seven frequencies for DFW-Lima service, American will continue to seek 3.5 Miami-Lima frequencies in Phase Two.
Officials at the larger airlines are upbeat about their meeting last Thursday with House Republican leaders. Sources said that although Congress is headed toward renewing aviation excise taxes in the short run, key legislators are committed to pursuing alternatives and some expressed concerns over the fairness of the current system. Ways and Means Chairman Bill Archer (R-Texas) is expected to propose tax reinstatement for up to five years because the revenue is needed to meet budget requirements.
The Russian government has established a state corporation, the Federal Aviation Service (FAS), to take over civil aviation and air traffic management from the Commission on Air Traffic Control (Rosaeronavigatsia), the Department of Air Transport (DAT) and the General Directorate for the Air Traffic Control System Modernization. A resolution issued May 14 and signed by Prime Minister Viktor Chernomyrdin gives the FAS, directed by Gennady Zaitsev, until mid-July to submit draft regulations.
Sabre was voted the world's leading computer reservations system for the third consecutive year at the 1996 World Travel Awards. The selection is based on surveys of readers of travel trade magazines published by the Miller-Freeman Group. Sabre has 125,000 terminals at 30,000 travel agencies in 74 countries.
Granted orally an exemption to Air China to conduct four scheduled combination flights between Beijing/Shanghai and San Francisco/Atlanta, and two passenger charter flights between Beijing and Atlanta via Anchorage in July and August for the Olympic Games...Granted orally an exemption to American for one year to integrate existing authority to provide scheduled service on Routes 137, 370, 487, 576, 602, 605 and 648 and permit foreign transportation involving any points named on the certificates...Granted orally an exemption to Continental to integrate existing authorit
- In Federal Register dated June 7...Revised an airworthiness directive on Textron TIO-540 engines concerning upgrade of the exhaust system...Issued an AD on McDonnell Douglas MD-80/90 series aircraft requiring revision of the flight manual to include limitations and procedures in situations where the autopilot or autothrottle fails to disengage....Issued an AD on McDonnell Douglas DC-10 and MD-11F aircraft requiring checks of the lavatory drain system...Proposed an AD on certain Boeing 737-100/200 aircraft to require replacing the 250 voltampere rated static inverters.
A provision in the FAA reauthorization bill approved last week by the Senate Commerce Committee is designed to provide small-hub airports and smaller facilities about $35 million more in Airport Improvement Program funds in fiscal 1997 than would be the case under current law (DAILY, June 14).
National Transportation Safety Board has much data that have "never been analyzed," says member John Goglia. He cited five of 27 or so aircraft accidents he has looked at thus far in which maintenance was a factor. Work shift turnover was cited in all five, "yet the issue has never been addressed."
Northwest will increase service July 1 between its Minneapolis/St. Paul hub and Tokyo to four flights per week from one between July 1 and Sept. 30. Northwest plans to fly three weekly nonstops between the Twin Cities and Tokyo from Oct. 1 through March 30. Next summer, Northwest plans to operate daily flights in the market. The carrier launched weekly flights between Minneapolis and Japan in June 1995.
Brazilian carrier Viacao Aerea Sao Paulo (Vasp) applied for authority from DOT to wet-lease a DC-10 to Ecuatoriana de Aviacion for scheduled combination service between Ecuador and Miami and New York. Service to Miami is scheduled to begin June 27 and could be expanded to New York in the future. Ecuatoriana cannot operate on its own to the U.S. because of restrictions imposed on Ecuadoran carriers by FAA, which has questioned safety oversight standards of civil aviation authorities in Ecuador.
American Trans Air opened a new maintenance facility at Chicago Midway Airport last week. The facility is ATA's second largest base after its Indianapolis shop. The carrier, which is leasing the facility from the city of Chicago, is offering 23 destinations with 129 weekly departures from Midway.
FAA, in the wake of the May 11 ValuJet DC-9 accident, said last week it plans to "launch a nationwide public education campaign designed to inform the American public as to passenger safety onboard commercial aircraft." The agency said that "focus groups are necessary to determine consumer attitudes toward and knowledge regarding aircraft passenger safety." The agency plans to hire a contractor to put together two focus groups.