Aviation Daily

Staff
The two largest U.S. airport associations yesterday called on Congress to increase the ceiling on passenger facility charge levels and change Airport Improvement Program formulas to "fully fund" airports' AIP entitlements rather than cut entitlements to preserve discretionary funds. In testimony to the House Transportation aviation subcommittee, the Airports Council International-North America and the American Association of Airport Executives also proposed priority funding for general aviation, reliever and non-primary commercial service airports.

Staff
Maryland's state Senate Finance Committee has given the thumbs-down sign to a bill (Senate Bill 292) that would have required travel agencies to register annually and disclose their professional affiliations, training and balance sheets. Previously, a House committee also unfavorably reported out similar proposed legislation (House Bill 58).

Staff
The Kamloops Indian Tribe in British Columbia, Canada, plans to build a tourist and housing development, called Shuswap Landing, that will include a wild West-style town with a 200-room lodge and motels, an airstrip, train station and tramway to the top of Mount Paul. The project is made possible by a partnership with private developers, and local and international investors. Groundbreaking is scheduled this summer, and construction of a golf course, driving range, clubhouse and other buildings will start later this year.

Staff
World Airways applied for authority to operate combination service between Newark and Dakar, Senegal, and beyond to Johannesburg, South Africa. The carrier also asked that Senegal be added as an authorized point under its scheduled combination certificate. World plans to begin three-times-weekly Newark-Dakar service June 23, using 343-seat MD-11 aircraft, and it intends to increase the service to four weekly flight as soon as possible.

Staff
FAA yesterday made final a rule it said "comprehensively revises and upgrades pilot medical standards and certification procedures." The new rule, which affects some 654,000 pilots, revises the two-year validity period for a third-class airman medical certificate. Now, certificates for pilots under age 40 will be valid for three years. Heart replacement, permanent cardiac pacemakers and cardiac valve replacement will be disqualifying heart conditions for all classes of airman medical certificates.

Staff
The Minneapolis/St. Paul Metropolitan Airports Commission yesterday approved a measure calling for expansion of the Twin Cities' airport rather than construction of a new facility in Dakota County. MAC's recommendation goes next to the Minnesota legislature, although it is unclear whether the body will be able to act on it before its session ends early in April. MAC's action brings to an end the seven-year, dual-track airport planning effort, mandated by the legislature in 1989 and requiring both MAC and the Metropolitan Council to study whether to expand or build.

Staff
The cost of travel in 1995 kept pace with inflation, the Travel Industry Association said, with the travel price index rising 2.9% and the consumer price index rising 2.8%. The overall cost of transportation rose 1.9% in 1995 over 1994. Lodging costs shot up the most at 4.1%, followed by entertainment, up 3.7%, and airline fares, up 2.3%.

Staff
Urging DOT to institute immediately the U.S.-Toronto Third Year Service Proceeding, Continental has put in its bid for two daily U.S.-Toronto frequencies. The carrier would use the frequencies to begin service between Newark and Toronto on Feb. 24, 1997. Expediting the proceeding - and awarding a certificate to Continental - "are in the public interest and will maximize the public benefits resulting from awards of third-year Toronto authority available for U.S. carriers under the [U.S.-Canada] Agreement," said Continental.

Staff
Air Transport Association has filed a series of Freedom of Information Act (FOIA) requests with DOT and FAA in search of evidence that regulators ignored "important factors" when they prepared proposed new flight and duty time regulations for commercial pilots. ATA President Carol Hallett said yesterday that despite accident investigation records, pilot reports and "all available scientific research that clearly indicates that fatigue does not present an operational safety issue among major U.S.

Staff
GRA Aviation Specialists, an aviation consulting firm, has started business in Herndon, Va. Fred Klein, a former Avitas executive, is president of the company, which will provide aircraft appraisals, marketplace analysis, asset management and aircraft lease and loan analysis services. Other former Avitas employees who now work for the new company are Bob Zuskin, director of research, and Richard Barlow, director of valuations.

Staff
Continental, riding the trend, outsources about 65% of its fleet maintenance, according to CEO Gordon Bethune. Since 1993, the carrier has shut down three of its four maintenance bases. The only one left is at Houston Hobby.

Staff
Gemini Air Cargo said two of six ex-Lufthansa DC-10-30s it acquired from Potomac Financial Group have been converted into freighters and are under contract with Swissair and British Airways. The modifications are being done by Aeronavali, and Gemini said it will place a third DC-10-30F this month. The remaining aircraft are available with ACMI (aircraft, crew, maintenance and insurance) or limited charter contracts. The company said it decided to enter the market after determining there was a need for freighter aircraft.

Staff
Delta is offering fares as low as $149 roundtrip for Atlanta area residents who want to be away during the Olympic Games. Travel must originate from Atlanta July 15 through Aug. 2, and return flights must be completed within 30 days of departure. The fares are good from Atlanta to more than 110 cities. The $149 fare applies to cities Delta serves in Alabama, Florida, Georgia, Mississippi, North Carolina and South Carolina. The highest fare, $379, applies to points in Idaho, Oregon and Washington.

Staff
Latin American airline executives attending the 4th Annual International CEO Conference in Santiago, Chile, continued to criticize FAA's safety assessment program, even as an official of the agency defended it. Ernesto Rocha, the head of IATAL, the region's air carrier trade group, took a hard line against FAA's "unilateral imposition" of safety standards on Latin carriers. Suggesting retaliation against the policy, which Latin nations insist is economically damaging to them, Rocha said a Latin program to assess U.S. airlines may be feasible.

Staff
First meeting on the European Radionavigation Plan will take place March 20-22 in Brussels. Ten working groups will review a rough draft of the plan, the first of its kind produced by the Europeans. Some of the groups will address aviation user requirements and applications, institutional issues and cost recovery, cost benefit and economic issues. Others will focus on the concerns of radionavigation system users in the road, rail, waterborne, survey and other communities. Booze-Allen&Hamilton is handling coordination and running the meeting.

Staff
Summary of U.S. Major Carriers International Traffic July 1995 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) American 1,470 11.31 2,188 3,215,939 Atlantic 389 7.39 4,079 1,588,329

Staff
Recent successes by USAir in gaining new international access have caused considerable discontent in the industry. In its effort to spur competition, DOT seems to want not only to boost new entry but also to bolster struggling carriers, such as USAir. In selecting USAir for new Rome service, DOT cited competition as a key criterion. USAir also recently received at least tentative clearance for new service to Munich, Madrid and Toronto. Selection of USAir for Rome and Toronto sparked sharp criticism from competing carriers.

Staff
Internet has a new World Wide Web site, Jets on the Web, that lists turbine-powered business aircraft by make and model. A buyer locating an aircraft of interest immediately can receive detailed specifications, photographs and contract information. The Web page includes JetBoard - an interactive conference feature. Aircraft will be listed free of charge for a limited time. The address is http://www.jetweb.com.

Staff
Summary of U.S. Major Carriers International Traffic July 1995 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) Alaska 1,014 11.24 869 881,309 Aloha 498 12.31 136 67,642

Staff
Cancun, Mexico, was the most frequently booked destination during the past few months when the U.S. was in the throes of winter weather, according to the American Society of Travel Agents. A new ASTA Hot Spots Survey found bookings to warm getaway destinations increased significantly during the winter months. Cancun also was the most popular with value-conscious travelers. The survey found that 75.2% of agents said bookings were up this winter and 22% said they were even.

Staff
Northwest will offer a series of 20 video presentations of golf tips by PGA Tour pro Tom Lehman on the carriers's international flights. Passengers in First and World Business classes will be able to access the features on personal video systems, and passengers in the main cabin will be able to view the videos through the WorldUpdate program.

Staff
European transport ministers sparred once again over the question of European Union-U.S. aviation talks at their meeting in Brussels this week. France and the U.K. maintained steadfast opposition to air traffic negotiations with the U.S. "We rule out the possibility of discussing traffic rights in a community framework," said French State Secretary for Transport Anne-Marie Idrac, adding, "France does not have an air agreement with the United States and is not any worse off for it." France renounced its bilateral with the U.S. in 1992. The U.K.

Staff
Cathay Pacific made a net profit of US$385 million in 1995, a 24.7% increase over 1994 levels. The profit came on revenues of US$3.94 billion, which was 11.9% higher than in 1994. The company estimated its profit margin at 9.8%, up from 8.8% in the previous year. Cathay Chairman Peter Sutch attributed the improved performance to higher revenues and better cost control but acknowledged that 5% of the profit resulted from an accounting change at the beginning of the year, which brought aircraft depreciation in line with the rest of the industry.

Staff
Lanyon and Worldspan have signed a multi-year contract to make Marketing Information Data Tapes available on a selected basis to airlines, under the carriers' agreement with Worldspan, subject to government regulations. The data will come from bookings made since January 1994.

Staff
ValuJet will begin its previously announced service from Atlanta to Mobile, Ala., and Fort Walton Beach, Fla., on May 1. It will operate three daily nonstop flights to Mobile and two to Fort Walton Beach, offering fares that start at $39 one way. For travel completed by May 22, the 21-day advance purchase requirement will be waived, and every seat will be sold for $39. After May 22, prices will range up to $89.