Approved an IATA agreement reviewing the list of nonstop sectors used to generate shortest operated and maximum permitted mileages in the absence of service by IATA carriers in order to limit constructions resulting in inflated mileages.
Delta Connection carrier Comair will begin roundtrip flights Feb. 1 between Cincinnati and White Plains/Westchester County Airport, New York. Comair will operate three daily flights in the market with Canadair Regional Jets. Members of Delta's SkyMiles club will earn double bonus miles for each segment flown through March 31.
Vanguard will offer a monthly inflight magazine, called Vanguard Discoveries, published by Custom Publishing. Articles will highlight Vanguard destinations. The inaugural issue will appear in April.
Reno Air received authority from the Orange County Board of Supervisors to increase operations at noise-restricted John Wayne Airport April 4. It will add five John Wayne-San Jose roundtrips for a total of 11, and two John Wayne-Reno/Tahoe roundtrips for a total of three, using MD-90s.
Approved an IATA agreement readopting Resolution 313, which permits application of the piece-related baggage system, approved by DOT Oct. 30, 1995, to baggage carried by commercial couriers, unless otherwise agreed between the airline and couriers concerned.
British Airways has canceled its agreement to use 30 USAir 737 pilots for European operations at London Gatwick, according to the U.S. carrier's Air Line Pilots Association unit. Indications are that BA dropped the six- month agreement because of delays in obtaining work permits, and because of problems in contract requirements for BA to train the pilots, the union said.
Like many people in the airline industry, TWA Chief Financial Officer Robert Peiser acknowledges that a year ago, he was not sure his airline would be flying today. But that was before TWA slashed debt in an unprecedented 45-day prepackaged bankruptcy, and persuaded its labor unions to accept further wage concessions in just months. Now, the carrier is doing reasonably well, but "there are many things left still to be fixed," Peiser told an airline industry conference last week in San Francisco.
Threats from Continental and United made 1995 a difficult year for Southwest, but 1996 promises to be better, the carrier's chief financial officer, Gary Kelly, said last week at the Global Financing Opportunities 1996 symposium in San Francisco. "We closed 1995 conservatively because of Continental Lite and the Shuttle [by United]," Kelly said, but "we are a lot more confident than we were a year ago." Southwest had been steadily turning in record quarterly earnings since 1992, but it slipped in the fourth quarter of 1994 and the first quarter of 1995.
Aerospace Industries Association elected Kent Kresa, Northrop Grumman, chairman of the board of governors and Harry Stonecipher, McDonnell Douglas, vice chairman.
Airtran agreed to purchase five hushkits for its Boeing 737 aircraft from Safety Harbor, Fla.-based Avaero. The carrier holds options on four more hushkits from the company.
Hawaiian Airlines, as expected, has received from Airlines Investors Partnership, L.P. the $3 million bridge loan it needed to continue operating until AIP's $20 million equity investment comes through later this month. The investment is contingent on Hawaiian securing final agreements with certain creditors and receiving approval from shareholders. A special shareholders meeting has been scheduled in Honolulu Jan. 30, the day before the transaction is to close.
America West will begin serving Newark from Las Vegas April 7 with 148-seat A320s as part of its plan to increase capacity by nearly 30% during the next two years. The carrier previously announced new flights from Las Vegas to Mexico City that began Friday, to Detroit beginning Feb. 15, and to Vancouver beginning Feb. 24. All the new services are nighttime flight operations. John Garel, senior VP-marketing and sales, predicted "more news on Las Vegas" this year as America West expands daytime and nighttime operation there.
In Federal Register dated Jan. 18...Proposed to redefine the reference stall speed for transport aircraft as the 1-G stall speed instead of the minimum speed obtained in a stalling maneuver.
The U.S. and Thailand reached a bilateral agreement Friday in Bangkok as the U.S. continues to press to liberalize the Asian market. Hammered out in two rounds of talks in Washington and Bangkok, the accord significantly expands opportunities for both countries, addressing passenger and cargo issues, including third-country code sharing as well as direct and fifth-freedom services.
Air Transport Association carriers produced a 1% increase in December revenue passenger miles, to 41.3 billion from 40.9 billion in December 1994. The largest growth came in international RPMs, up 4.8% to nearly 11 billion. Available seat miles fell 1.2% to 63.5 billion from 64.3 billion. International ASMs rose 2.7% to 16.3 billion. Domestic RPMs were down 0.3% to 30.3 billion, and domestic ASMs fell 2.5% to 47.3 billion. For the year, overall RPMs were up 3.1% and ASMs 1.7%.
USAir applied for renewal of its nights to operate scheduled service between Philadelphia and Paris. It currently offers daily nonstops on the route, using Boeing 767 aircraft. (Docket OST-95-1001)
Venezuela's cabinet has adopted a regulation that will facilitate Iberia's plans to become the major shareholder of Viasa. The regulation allows a foreign airline to become a major shareholder of a Venezuelan airline without affecting that airline's status as a Venezuelan flag carrier. Iberia already holds a stake in Viasa and reportedly plans to buy all the government's remaining shares.
Frontier is increasing to 72 hours the maximum time allowed to purchase a discounted ticket after reserving it. Some airlines, including Frontier until last week, require that tickets be purchased within 24 hours. Frontier, which also is raising the charge for making a flight change from $35 to $50, says it is lengthening the purchase deadline on the advice of travel agents.
Economic Strategy Institute study of Asian aviation is expected to affirm that beyond services have the most value in the market. ESI is wrapping up the study and probably will issue it early in February, following peer review, said Don Hilty, ESI senior fellow. The institute has worked to find middle ground between the U.S and Japan, and between incumbent and MOU carriers.
