BWIA regional partner Carib Express has appointed two new members to its board and continues to look at firming up an alliance with fellow regional airline LIAT, Carib Express said. Carib Express appointed to its board Allan Batson, general manager of Barbados International Travel Services and chairman of the Barbados Tourism Authority, and Stephen Hobson, chairman of NSG (West Indies) Ltd. Bernie Weatherhead recently became chairman of Carib Express, while Geoffrey Cave continues as chairman of the regional's holding company, Project Holdings Ltd.
The U.S. and Japan should commence negotiations on passenger issues as soon as possible to resolve market inequities and spur competition, said All Nippon Airways President and Chief Executive Seiji Fukatsu yesterday. "With Japan and the U.S. already engaged in talks on cargo rights, now is the time to move on to passenger rights," he told the International Aviation Club in Washington. ANA had pressed for passenger talks to be held in conjunction with ongoing cargo negotiations, Fukatsu said in a news conference.
Mesa Air Group says its Fokker 70 operations "have been marginal to unprofitable and have not met management's expectations." The airline operates two F70s as America West Express, and said in its recent SEC 10-K filing that its agreement with Fokker permits it to return the aircraft between 12 and 18 months after delivery, subject to a six-month notice. "Unless current operating results improve or Mesa is able to obtain amendments to the Fokker agreement, it may be necessary to exercise its option to return the aircraft," the carrier said.
Wall Street believes newly appointed USAir Chairman Stephen Wolf has a tough job ahead, but if anyone can fix the ailing airline, it is Wolf. Three airline analysts shared opinions on Wolf's prospects yesterday at the fifth annual Global Financing Opportunities symposium in San Francisco. "USAir is one sick puppy," said Furman Selz analyst Ray Neidl, "but if I had to bet, I'd say he [Wolf] can do it [turn the airline around]." Because U.S.
Fish where the fish are biting.Northwest "totally" supports U.S. policy on international aviation negotiations - devote resources to areas where progress can be made, and "leave the British to stew in their own juices," says Michael Levine, executive VP-marketing and international.
AMR Corp. reported increased profitability in 1995 at its Sabre and Management Services groups, and its Airline Group financial results were better than they look. Sabre logged net earnings before taxes of $53 million in the fourth quarter, up from $45 million in the year-earlier quarter, and $371 million in the full year, up from $321 million in 1994. Margins were 13.5% for the quarter and 22.8% for the year, versus 12.6% and 21.9%, respectively, in 1994.
General Electric yesterday reported record results for 1995 including revenues of $70 billion and net earnings of $6.6 billion, up from $60.1 billion and $4.7 billion in 1994. In the fourth quarter, GE had revenues of $19.8 billion, up from $17.8 billion, and net earnings of $1.9 billion, up from $768 million. GE said its Aircraft Engines unit realized "double- digit increases in operating profit."
Air Transport Association quietly celebrated its 60th anniversary Jan. 14 during the Blizzard of 1996.The association was formed in 1936 in Chicago with 19 members. Its membership peaked in 1959 with 45 full members, including four foreign airlines. Today, ATA counts 24 members - 21 U.S. and three foreign airlines. Of the 19 original members, only four - American, Delta, Northwest and United - still are operating.
The Daimler-Benz board was expected to meet Monday to decide its future commitment to Fokker, but the fate of the Dutch regional aircraft manufacturer looked uncertain as rumors surfaced this week about the inability of the Dutch government and DASA to reach agreement over a financing package. Fokker officials yesterday confirmed that the Daimler- Benz board was set to meet Monday to discuss Fokker and that the Fokker board may follow suit the same day. The officials could not predict the outcome of that meeting, however.
Top priority on the Travel Industry Association's agenda for 1996 is to coordinate and carry out recommendations from the National Travel and Tourism Strategy that grew out of the White House Conference on Travel and Tourism. TIA National Chairman Sandra Fulton, in remarks prepared for an industry lunch canceled last week, states the Implementation Team has a plan to implement the top 10 recommendations. A final report by the team and a plan for the structure of a national tourism office will be issued by the end of March, she said.
95 Major Monthly Traffic December 1995, 12 Months (000) December December % 1995 1994 Change America West Revenue Passenger Miles 1,077,371 975,634 10.4 Available Seat Miles 1,629,273 1,570,559 3.7
FAA early next week is expected to issue a proposed rule that would advise the flight crews of specific regional-airline turboprops how to recognize potential serious icing conditions and require that they exit those conditions when encountered. The proposal results from recent flight testing of individual models behind aerial water tankers and with molded ice-shapes to replicate certain icing conditions known as "super-cooled drizzle drops" like those encountered by the American Eagle ATR 72 near Roselawn, Ind., Oct. 31, 1994.
Only about 15% of bird strikes against aircraft are being reported, according to preliminary information from a bird ingestion conference sponsored Jan. 11 by the National Transportation Safety Board. "We need better reporting to really understand the problem," NTSB member John Goglia told The DAILY. The session established that bird ingestion could represent up to one-third of in-service damages to the fleet, he said. "The predominant airplane in the fleet today is two-engined. These engines were certified with [ingestion tests using] 1 l/2-pound birds.
Brian Rowe, former chairman of General Electric Aircraft Engines, is now co-chairman of the Indonesian IPTN U.S. subsidiary American Regional Aircraft Industry (AMRAI). AMRAI plans to assemble the 70-passenger N-250 at Mobile, Ala., with first units off the assembly line in late 1997 or early 1998. Rowe is putting the AMRAI management together, but will not be the day-to-day chief executive, The DAILY is told. It is understood that there is a lot of GE involvement in the project and that a "capital injection" by GE has been "frequently discussed."
DOT has extended the obligation of Gulfstream International Airlines to provide essential air service at Anniston, Ala., through March 28 or until a new carrier is selected for the service. Gulfstream filed its 90- day notice of intent to suspend the service Nov. 27, 1995, saying it planned to halt service at the community Feb. 27. However, suspension of the service would leave the community without any service, said DOT.
It's official! The American Airlines American Eagle hub at Nashville is history. "Big Bird" already dropped its service from the hub; Eagle will shut down its operations to 20 cities by Sept. 4. Eagle used the excuse that it is shutting down its fleet of 19-passenger BAe Jetstream 31 aircraft. But with the pull-down of American's jet operation at Nashville, there was nothing left to feed. Some suggest that former hubs would support business-traveler connections anchored by jets or high-speed turboprops in the 50- to 70-passenger class.
America West debuts a new look today, putting into scheduled service the first 737-300 painted in its new livery of pearl white and turquoise, with an oversized red signature and logo. The carrier says that the new look is just an outward sign of significant changes in its product, and that it complements its new image - "unique, bold and impossible to ignore." America West plans to repaint the fleet in two years as aircraft are taken out of service for regular maintenance. It also is refurbishing aircraft interiors.
DOT is soliciting comments from the industry on whether or how airlines should provide consumer information available to ticketed passengers to those who purchase tickets electronically. DOT said it is concerned that notices now required to be issued by the airlines might not be provided in a timely or useful manner under the ticketless system. The consumer information includes oversales, baggage liability, contract of carriage and refund penalties. The notice will be published in the Federal Register today, and comments are due in 60 days. (Docket OST-96-993)
Southend, U.K.-based British World Airlines has placed an order for two ATR 72-210 aircraft, Aero International (Regional) reported. The aircraft, which will be delivered in March and May this year, replace two Viscount aircraft. They will be used by British World on behalf of Shell U.K. Exploration and Promotion, Aberdeen, Scotland, to transport Shell employees to petroleum platforms along the Scottish coastline.
Delta's relationship with its Air Line Pilots Association unit, which looked rosy only a few weeks ago with agreement on low-cost flying, went into a skid yesterday after management called ALPA's response to the company's pre-Christmas contract proposal predictable, inappropriate and embarrassing. According to Delta, the union reversed its negotiating course, retreated from a compromise and rejected any form of pay reduction. The comments came as the union began telling pilots what to expect if, for the first time in Delta's history, they go on strike.
BFGoodrich Aerospace's maintenance, repair and overhaul business turned in a record in 1995, the company said. The company's Transport Repair&Maintenance Division delivered 374 aircraft to 29 maintenance, modification and paint customers - a 35% increase from the 1994 total of 274 aircraft. The Component Repair&Overhaul Division repaired or overhauled more than 13,200 components, 15% more than last year.
Air Canada is offering up to eight nights of free accommodations for two at 300 countryside hotels in the U.K., France and Belgium to travelers who buy tickets for transatlantic travel between Feb. 17 and April 30. Travelers must agree to pay for breakfast and dinner at the hotel, however.
As airline operations got back to normal following last week's snowstorms in the Northeast, a blizzard blew through the Dakotas, Nebraska, Minnesota and Wisconsin yesterday, and dense fog caused cancellations and delays in Chicago.Airlines continue to tally costs of delays.Yesterday, American estimated $20 million-$25 million, assuming year-ago yields and no recapture. Delta reported that only one domestic hub, Orlando, has an on- time departure rate of over 60% so far this month.
Corporate Travel Coordinators of America has published the 1996 Corporate Rate Hotel Directory, which includes e-mail addresses for 2,000 hotels worldwide. The company teamed with IDT Internet Services to establish the e-mail accounts for all hotels listed in the directory. For a free copy, fax a request to 212-977-4545 or call 212-977-3600. The directory also is available on the Internet at http://www.ios.com/corp-hotels.
