Aviation Daily

Staff
National Transportation Safety Board is leading a U.S. team to aid in the investigation of the crash early yesterday of a 757 operated by Alas Nacionales, a Dominican charter airline, soon after takeoff from the coastal resort of Puerto Plata. Alas leased the aircraft, and the safety board said it was registered to Birgen Air of Turkey. The aircraft crashed into the Atlantic Ocean with 189 persons aboard, most of them German tourists headed home.

Staff
Continental's traffic fell 4.6% last month from that of January 1994, but the airline's capacity was down much further, by 15.2%. Pulling back service pushed the carrier's load factor up 6.9 percentage points, to 62.7%. Traffic of regional subsidiary Continental Express increased 24.2% on 8.8% more capacity. The load factor was 45.0%, a gain of 5.6 points. January 1996 January 1995 Rev. Passenger Miles 2,998,252,000 3,144,076,000 Available Seat Miles 4,782,206,000 5,639,566,000

Staff
Hawaiian Airlines won DOT approval of its application for two-year authority to operate between Honolulu and Nadi, Fiji. (Docket OST-95- 929)

Staff
Abacus Distribution Systems has implemented the Abacus Transport Network in Bombay. The computer reservations system says it is the first to offer a dedicated network for agents in India.

Staff
AlliedSignal said its fourth quarter net income increased 14% to a record $233 million and full year net income rose 15% to a record $875 million, compared with the same periods of 1994. Lawrence Bossidy, chairman, said the company is in a "strong position to deliver another year of 13% to 17% earnings growth in 1996 despite forecasts of slower economic growth in the U.S.

Staff
Madrid will host the Travel Industry Association's Pow Wow-Europe 1996 Sept. 16-18 at the Palacio Municipal de Congresos. Pow Wow is a trade show and tourism academy designed to promote travel to the U.S. from Europe. Pow Wow-Europe is an annual event that gives U.S. travel suppliers the opportunity to generate new business and has become the forum for introduction of tour operators from new markets in Eastern Europe to the U.S., TIA said.

Staff
U.S. and Japan adjourned the current round of all-cargo negotiations yesterday in Tokyo without an accord. They agreed to resume Feb. 28 in Washington.

Staff
YTL Corporation of Malaysia and Apsara, Cambodia's agency in charge of overseeing development of Siem Reap Province, are negotiating a proposal to build a tourism park. YTL has proposed developing several luxury hotels, a commercial center and cultural and sports facilities over 10 years. Visitors to temples in Angkor totaled 50,000 in 1995, Cambodian officials report. The temples have been picked as areas to be promoted for tourism development. Foreign arrivals in Cambodia in 1995 were up 25% from 1994 to 219,680.

Staff
DOT granted American Trans Air authority to operate scheduled combination service between New York and two points in Ireland, Shannon and Dublin. The carrier said it plans to begin operating one weekly New York-Shannon roundtrip May 3, a weekly New York-Dublin roundtrip May 5 and two weekly New York-Shannon-Dublin roundtrips in June, using 362-passenger Lockheed L- 1011s and 216-passenger Boeing 757s (DAILY, Jan. 2). The carrier also has applied for renewal of its authority to operate scheduled combination service between New York and Belfast, Northern Ireland.

Staff
Talks between Boeing and the Airbus Industrie partners on a very large commercial transport aircraft, shelved last year after several meetings, have been terminated by the Europeans. "They finally saw it was in Boeing's interest to keep the talks going," a source said. Boeing is evaluating enlarging its 747 series.

Staff
Hawaiian Airlines board members have elected John Adams, president of Smith Management Co., chairman of the board of directors. Former Chairman Bruce Nobles will stay on as president and chief executive. The changes will not affect Nobles' role in running the carrier, said Adams.

Staff
Reno Air, like its rival Alaska Airlines, is surviving the West Coast battle between Southwest and United by paring costs, squeezing the most out of its relationship with American, avoiding head-on conflict and just holding on. "It's been a long road to turnaround," Paul Tate, Reno Air's chief financial officer said recently at a financial conference. But Reno finally is there. For the first three quarters of last year, it had operating income of $3.4 million, compared with an $8.2 million loss in the same 1994 period.

Staff
Kiwi International Air Lines yesterday reported an improved financial performance in 1995 but turned in a $770,000 net loss for the year. The airline reported a $24.7 million net loss in 1994. While Kiwi acknowledged that it still is trying to line up $5 million through a private placement, Chief Executive Jerry Murphy emphasized the carrier's fourth quarter net profit of $94,000, a turnaround from a $7.9 million net loss in the same 1994 period. "We have needed to stabilize the company, which I believe we have done," Murphy said in a telephone news conference.

Staff
American Association of Airport Executives has added to its World Wide Web site the ability for users to listen to an audio version of its weekly Aviation News Today television program. Users download free of charge the software required to listen to the program. The address is http ://www.airportnet.org/news.htm.

Staff
Industry darling ValuJet posted strong fourth quarter and yearend 1995 results yesterday but warned Wall Street its first quarter may not be as rosy as expected. The carrier said unusually bad weather in January accounted for poor performance so far this year, but it also disclosed that its foray into Florida markets has not gone as well as planned, and it will receive its second and third MD-80 aircraft a month late. For the year, ValuJet reported net income of $67.8 million or $1.13 per share, up from $20.7 million or 44 cents per share in 1994.

Staff
With 75.3% of its flights arriving on time, Continental outperformed all U.S. carriers in December, breaking Southwest's string of six consecutive top monthly performances. Southwest still managed to hold on to first place for the year, however. Overall, the nation's 10 largest carriers posted a 67.7% on-time record in December, down from October's 77.9% record, according to DOT's Air Travel Consumer Report. Northwest was second at 73.8%, while Southwest slid to third at 72.5%. For the fourth month in a row, Delta placed last with 59.7%.

Staff
USAir Express said it will launch three nonstop flights March 2 between Greenville-Spartanburg, S.C., and Pittsburgh, and it will add two new flights March 17 between Charleston, S.C., and Pittsburgh, all with Dornier 328 aircraft. VP Keith Houk said new flights to the Pittsburgh hub will increase access to Midwest and West Coast destinations. The flights will provide connecting opportunities to 27 more cities in the East, upper Midwest, California and Canada, he said.

Staff
United Technologies' Pratt&Whitney engine unit agreed to buy The Nordam Group's Propulsion Systems Div., P&W's first acquisition under a nearly two-year-old plan to triple its overhaul work from a $300 million sideline into a $1 billion core business by 1998. Located in Springdale, Ark., PSD repairs engine cases, frames and other components for large and small commercial and military gas turbine engines, auxiliary power units and aircraft, P&W said yesterday. PSD hushkit work on P&W JT8D engines is not part of the deal.

Staff
Singapore Airlines and American said yesterday they signed a code- share agreement, enabling the carriers to begin offering joint services between Singapore and Chicago, via Los Angeles or San Francisco, beginning July 1, 1996, provided they obtain government approval. Under the arrangement, SIA will carry passengers on its transpacific flights from Singapore to San Francisco or Los Angeles, where they will connect with selected American flights to Chicago.

Staff
McDonnell Douglas executives, flush with last year's $1 billion order for 50 MD-95s and 50 options from ValuJet, said the order will soon be followed by further sales. "We will see additional customers this year," Douglas Aircraft executive VP John Wolf said in Singapore. He would not identify the prospects but added that "double-digit numbers of airlines" are interested. Wolf is enthusiastic about the MD-95's future, especially in Asia.

Staff
U.S. Major Carriers Change in RPMs, ASMs and Load Factor Third Quarter 1995 Carriers 1995 1994 Pts. Change America West 71.4 69.5 1.9 American 68.9 68.0 0.9 Continental 70.7 67.2 3.6 Delta 68.1 70.5 -2.3 Northwest 76.7 73.3 3.4 Southwest 67.9 68.5 -0.6

Staff
Senior managers of Continental Airlines recently made major purchases of the company's common stock on the open market, the airline said. Gordon Bethune, president and chief executive; Greg Brenneman, chief operating officer; Larry Kellner, senior VP and chief financial officer; Jeff Smisek, senior VP and general counsel; Ben Baldanza, VP-pricing and route scheduling, and David Siegel, president of Continental Express, each bought about $100,000 worth of the stock. Other officers, including C.D.

Staff
Fuel Cost and Consumption, U.S. Majors, Nationals and Large Regionals January 1995 - December 1995 Total Total Cost Gallons (Dollars) 1995 January Domestic 1,047,140,647 561,867,630 International 349,052,595 206,143,062

Staff
Airline analysis of Illinois Transportation Department traffic projections for a proposed Peotone Airport only reaffirm the industry's belief that the airport is being promoted on "wishful thinking," the Air Transport Association said. According to IDOT estimates, the airport would serve 14 million passengers in its first year of operation, making it the 26th busiest in the U.S., based on 1994 Airports Council International rankings, ATA said.

Staff
With the lifting of a restraining order that barred its reallocation of South Africa frequencies, DOT will move to restore U.S.-South Africa routes to active use as soon as possible, a DOT spokesman said yesterday. Since USAfrica entered Chapter 11 bankruptcy in February 1995, no U.S. carrier has operated service to South Africa. But DOT has not decided whether to reissue its tentative allocation of the six available frequencies to World Airways and Southern Air Transport or begin a new proceeding from scratch, the spokesman said.