Successful implementation of a deal with BAA USA to privatize the management and operation of Indian-apolis Airport could result in the upgrade of the airport authority's 'A' special revenue bond rating, Standard&Poor's said. "If the airport authority meets the proposed goals to reduce costs, increase non-airline revenues and achieve a higher degree of customer satisfaction, an upgrade would be possible," analyst Emete Hassan said.
While some airlines have banned smoking on all their flights, British Airways has opted for the middle ground. The carrier said yesterday it will prohibit smoking on at least one flight per day from Europe to 21 U.S. destinations and 12 points in the Caribbean, beginning May 1. The ban covers more than 60 flights but does not apply to Concorde service or London-Barbados flights. The carrier still will offer smoking service in 20 of the 21 U.S. markets.
Matsushita Avionics Corp. has designed an interactive in-flight entertainment system, the 2777E, for the Boeing 777, the company said. The system has been installed on a Cathay Pacific 777 in preparation for certification testing, scheduled to begin in February.
Onur Air, Istanbul-based charter carrier, has ordered an Airbus A321 for delivery at midyear. The IAE-powered aircraft will be configured to seat 220 passengers. Airbus said Onur Air plans to lease two more A321s this year. It now operates five leased A320s.
KLM will increase its flight attendant staff by 2,500, nearly 42%, during the next three years as it expands in Europe and abroad. The carrier said it intends to hire 1,000 of the 2,500 this month. To lure candidates, KLM will relax recruiting standards - including an increase in the maximum hiring age to 34 years from the current 28 - and launch a recruiting campaign across The Netherlands this month. KLM currently employs 6,000 flight attendants, its largest worker group.
Air traffic control delays for flights departing the U.K. have decreased from an average of 14 minutes in 1992 to four minutes currently, the Department of Transport says. The reduction, achieved despite a 5% annual increase in traffic, is attributed to airspace capacity efforts by the U.K.'s National Air Traffic Services and European initiatives, particularly the European Air Traffic Control Harmonization and Integration Program.
Interactive Entertainment Limited will roll out new software for use with in-flight entertainment systems in June, the company announced. IEL, a joint venture between Harrah's and Sky Games International, has a contract to provide gambling software to a major international carrier, believed to be Singapore Airlines.
British Aerospace is bringing together its Asset Management Organization (AMO, BAe 146 sales and leasing) and JSX Capital (pre-owned turboprop sales and leasing) businesses together under a newly formed umbrella unit, BAe Asset Management (BAe AM) division.
Air Canada is expected to narrow its net loss for 1995 compared with 1994 before one-time gains, Chief Executive Hollis Harris said recently. In 1994 the carrier reported a $129 million net profit, including one-time gains from the sale of assets. This year, the company will realize one- time gains from selling shares of Continental stock. Announcement of the results is expected this month.
American Airlines Magazine Publications and Orbis Broadcast Group, a television broadcast and media company, will join forces to produce integrated, multi-media inflight packages. Print and video advertising "will be marketed under a common brand and sold through a common sales force, which will allow sponsors and advertisers to create synergy and added value from both video and print advertising," said Henry Joyner, VP- marketing planning for American. Orbis Broadcast Group of Chicago will produce inflight video entertainment for American, effective May 1.
DOT has approved World Airways' bid to operate scheduled combination service between points in the U.S. and Belfast, Glasgow and Manchester, U.K. The carrier plans to operate beginning May 15, 1996, six flights a week - New York Kennedy-Belfast; Philadelphia- and Newark-Belfast; Los Angeles-Belfast with beyond service to Shannon; Los Angeles-Glasgow, and San Juan, P.R.-Manchester (DAILY, Dec. 12, 1995). World plans to operate 347-seat DC-10-30 aircraft from New York, Philadelphia and San Juan and 409-seat MD-11s from Los Angeles. (Docket OST-95-915)
KLM has placed a $300 million order for two Boeing 747-400 Combi aircraft powered by General Electric engines, the carrier said yesterday. Deliveries are slated for May 1997 and January 1998. The carrier also said it plans to convert two 747-300s Combis to a full freighter configuration.
Boeing said yesterday its objections to burdening the U.S. taxpayer with financing improvements of the Russian fleet have been satisfied by the Clinton administration, but the Air Transport Association protested the approval of a $1 billion loan to Russia, announced Tuesday by the Export- Import Bank. The loan will be used to buy engines from Pratt&Whitney, as well as equipment for 20 Ilyushin 96M/T aircraft Aeroflot plans to lease. Boeing last year objected to such a deal on grounds that the Russian market is closed to U.S. airframers.
Hotel Roundup: Best Western International now has facilities in 63 countries, the most recent being the Best Western Castle Hrankov in Sofia, Bulgaria. The hotel, located at the foot of Vitosha Mountain, boasts handmade oak furniture in every room, squash courts, tennis courts, an indoor pool, Viennese cafe and a business and conference center...Radisson Hotels Worldwide is expanding its Business Class program today to include seven Radisson Edwardian Hotels in London.
U.S. Major Carriers Operating and Net Profit 9 Months 1995 Operating Net Profit/Loss Profit/Loss (000) (000) 9 Months 1995 America West $ 132,012 $ 47,798 American 1,185,909 459,922 Continental 163,604 182,517 Delta 869,839 440,073
Ohio Division of Travel and Tourism is using its World Wide Web site to run a contest, in which participants learn about Ohio travel destinations while competing for a trip for two to Cleveland's Rock and Roll Hall of Fame and Museum. Contestants must visit the Web site each week from Feb. 2 through March 29 and unscramble the names of popular Ohio tourist spots. The Web address is http://www.travel.state.oh.us. The state also has a tourism hotline, 1-800-BUCKEYE.
Continental said yesterday it has placed $489 million of pass through certificates, using the proceeds to refinance indebtedness incurred by the owners of 18 737 and 757 aircraft who bought the aircraft and leased them to Continental. The carrier said the transaction will reduce its rental expenses by $15 million per year.
DOT has dismissed Maverick Airways' application for a certificate to operate scheduled service. The would-be carrier asked DOT for permission to withdraw its application, saying it implemented a restructured financing plan that is substantially different from its pending application and plans to submit a revised application once the new plan is completed (DAILY, Jan. 16).
Burlington Air Express said fourth quarter revenue rose 13% to $339.6 million, while operating profits increased 9% to $18.8 million, compared with 1994 results. Net income was $10.3 million, up 2%. For the year, revenues rose 16% to a record $1.4 billion, while operating profits declined to $58.7 million from $69.2 million in 1994. Net income declined to $32.9 million from $38.4 million. The 1994 results were improved by a Teamsters strike that affected the trucking industry. "We were able to achieve double-digit growth despite a slower U.S.
British Airways yesterday introduced 90-day advance purchase fares that may help travel agents compete with consolidators and benefit consumers. The new pricing tier, known as All Season Apex roundtrip fares, offers prices at least $100 less than the carrier's lowest 21-day advance purchase fares. The new fares are capacity-controlled and nonrefundable, and they carry Saturday-night, five-day minimum and 30-day maximum stay requirements. But if BA cuts fares further during the travel period, it will refund the difference to the traveler.
DOT has granted Austrian Airlines authority to operate scheduled combination service from points beyond Austria, via Austria, to points in the U.S. and beyond. The carrier became entitled to the blanket authority through the 1995 U.S.-Austria open skies agreement. (Docket OST-96-997)
Rand Corp. recommends that FAA not be allowed to use the $500 million Wide Area Augmentation System (WAAS) for the Global Positioning System until the U.S. has negotiated international agreements on the use of such technology. Rand also is recommending that organizations such as Inmarsat take a secondary, "value-added" role in providing GPS services, leaving "national security and public safety" functions to the U.S. government.
Delta has reached agreement with Boeing to stop acquiring 737-332 aircraft and pick up 12 additional 767-332ER aircraft instead as replacements in transatlantic markets for its L-1011s, which it will eliminate eventually from its fleet. It already operates 16 of the 218-seat 767s and has five on order. Delta's original 737 contract with Boeing, signed in 1990, specified delivery of 52 aircraft over 10 years, and 22 of the aircraft were subject to reconfirmation by Delta. Delta also is dropping options to buy 56 more 737s.
Canadian Marconi said it has signed an agreement with Honeywell to cooperate in the development of airborne and ground-based Global Positioning System receivers for Honeywell's integrated Satellite Landing System. Receivers will meet that meets Special Category 1 (SCAT-1) standards. Canadian Marconi will provide airborne differential Global Navigation Satellite Sensor Units designed to Arinc 743 standards that are compatible with Honeywell's new differential landing system.
