Aviation Daily

Staff
Air France is replacing Coca-Cola with Pepsi-Cola and Pepsi products on all international flights under an exclusive three-year agreement with Pepsi- Cola International that names Pepsi the carrier's official soft drink, Pepsi said yesterday. The deal was negotiated by Orangina International, Pepsi's bottling and distribution partner for the French on-premise market. Air France becomes Pepsi's 10th airline account.

Staff
Saab Aircraft is engaged in a program to shorten - thereby improving - the landing-field capability of its Saab 2000 high-speed turboprop by nearly 1,000 feet, to 3,940 feet from 4,920 feet. The manufacturer is testing under-wing vortex generators to direct air flow over the extended flaps, thereby reducing speed. The company also will begin in January flight testing the Flight Dynamics Head-Up Display, which could become standard equipment on the 50-passenger aircraft.

Staff
Assad Kotaite has been unanimously re-elected president of the International Civil Aviation Organization Council, the eighth time he has been chosen for the post. He was first elected in November 1975 and assumed office in August 1976. From 1970 to 1976, Kotaite was ICAO secretary general.

Staff
Passengers flying on Continental will be able to speed up customs clearance by using the Advanced Passenger Information System, marketed by EDS. Continental will collect a passenger's passport number, name and date of birth at the point of departure and transmit it to Customs while the aircraft is en route, reducing processing time at the airport. Passengers not needing further questioning will be able to pass quickly through "blue lanes."

Staff
Minneapolis-based Mesaba Airlines flew nearly 30 million revenue passenger miles in October, an 11.9% increase from the same 1994 month's 26.8 million. The load factor declined 0.9 percentage points to 47.3% from 48.2% in the prior period as available seat miles jumped 14.1% to 63.3 million from 55.5 million.

Staff
Air Line Pilots Association at Federal Express has accepted an offer from the National Mediation Board to return to the bargaining table in "the public interest" about three weeks into a 30-day cooling-off period. FedEx will meet with the pilot leadership Nov. 20 under the supervision of the chairperson of the NMB to continue negotiating the first collective bargaining agreement for the pilots. If an agreement is not reached by midnight Nov. 24, both sides are free to engage in self-help actions.

Staff
Standard&Poor's yesterday lowered its long-term rating of Japan Airlines to BBB+ from A because of what it called JAL's "weakened" earnings prospects. S&P also lowered to BBB+/A-2 from A/A-1 its ratings on New York City Industrial Development Agency industrial revenue bonds issued for the 1991 Japan Airlines Co. Ltd. Project, to which JAL provides support. The commercial paper rating of JAL Capital Corp. was lowered to A-2 from A-1. Total rated debt is about 100 billion yen (US$1 billion).

Staff
Mesaba Airlines this week began service between Detroit's metropolitan Airport and Elmira/Corning Regional Airport, N.Y., operating three daily roundtrips with 37-passenger de Havilland Dash 8 aircraft. Mesaba, which coordinates schedules, fares and marketing with Northwest as a Northwest Airlink affiliate, joined with the senior partner recently to complete a $17 million regional terminal renovation at Detroit.

Staff
Sabre Travel Information Network has rolled out Direct Connect Availability (DCA) for CARS+Plus, an availability and booking product for car rentals. Avis Rent A Car System is the first rental company to participate in the new product, which gives travel agents rate and availability information - including rates for one-way rentals, drop-off charges and rentals requiring a specific length of stay, directly from Avis's reservations system - before a booking is made. Agents will get immediate access to customer- or agency-specific rate information.

Staff
St. George, Utah-based Delta Connection affiliate SkyWest Aviation flew 52.5 million revenue passenger miles last month, a 30.8% increase from the 40.1 million recorded in October 1994. Separately from its traffic results, SkyWest declared an annual cash dividend of eight cents per common share for shareholders of record Dec. 31, 1995, payable Jan. 12, 1996. Oct. 1995 Oct. 1994 10 Mths 1995 10 Mths 1994 RPMs 52,492,036 40,143,959 464,448,647 394,527,405

Staff
President Clinton on Wednesday received from Congress and signed into law the fiscal 1996 DOT appropriations bill (H.R.2002), allowing DOT employees to return to work yesterday despite the continued shutdown of most government agencies. The majority of FAA employees never left the job, having been declared essential personnel. The bill provides $8.216 billion for FAA - $4.646 billion for operations, $1.935 billion for facilities and equipment, $1.45 billion for the Airport Improvement Program and $186 million for research, engineering and development.

Staff
DOT's Federal Radionavigation Plan, which calls for Loran-C to be turned off in four years, is wrong and should be revised, Phil Boyer, president of the Aircraft Owners and Pilots Association, said yesterday.

Staff
McDonnell Douglas said it will help China Northern Airlines (CNA) set up and operate an advanced flight crew training center in the city of Dalian. The facility will give CNA, the fourth largest airline in China, an in- house capability to train fully its MD-82 and MD-90 pilots. It now operates 26 MD-82s and is adding 11 MD-90s, with deliveries beginning next year.

Staff
Sierra Expressway Airlines has added a daily nonstop flight between Sacramento and the Monterey peninsula to its schedule. The carrier operates Jetstream Super 31 aircraft.

Staff
Aer Lingus plans to open Chicago as a U.S. gateway on May 1 with the launch of twice-weekly service to Ireland as part of its 1996 transatlantic route development plans. It will add a third weekly flight on June 2. Flights will operate to Dublin, with continuing service to Shannon. In addition to opening the Chicago O'Hare gateway, Aer Lingus plans to boost flights in its rapidly developing Boston market and add "significant" overall capacity to the U.S.-Ireland market.

Staff
Delta Connection affiliate Business Express has appointed former American Eagle President Robert Martens as its new chairman and chief executive, the carrier announced yesterday. The company said Martens, who left Eagle in mid-summer (DAILY, July 24 and Aug.

Staff
Delta, continuing to whittle away at operating costs, has signed a deal with Precision Industries to outsource procurement and management of its ground support equipment spare parts inventory. Delta says the agreement should save $400,000 per year. The move affects 14 employees in Atlanta, who will be reassigned to existing vacancies in their job categories.

Staff
Minneapolis-based Great Lakes Aviation reported a net profit of $49,000, or a penny per share, for the quarter ended Sept. 30 on total revenues of $24.2 million. By comparison, for the Sept. 30, 1994, quarter the carrier reported a net loss of $307,000, or four cents per share, on total revenues of $18.4 million. Great Lakes last month sold 10 of its landing and takeoff slots at Chicago O'Hare Airport for $3.85 million, "for which the gain will be recognized over the following 12-month period," the carrier said.

Staff
Jetz said it has acquired 19 hushkit-equipped 737-200s from Lufthansa for delivery between May 1996 and December 1997. Jetz, which was formed specifically to acquire Lufthansa's remaining 737-200 fleet, said it will lease or sell the aircraft. For more information, call 305-274-7277.

Staff
Shares of Boeing and McDonnell Douglas ballooned yesterday on Wall Street after The Wall Street Journal reported that the two companies might merge. But the stocks fell slightly in the late afternoon as it became clear that the report was premature and traders began to think a less ambitious deal - or no deal at all - might instead be in the offing. Finance and industry sources told The DAILY yesterday that talks have occurred, but MDC also has talked with Northrop Grumman and Loral on a variety of topics and scenarios.

Staff
National Tour Association Executive VP Jim Host will chair the Traveler Safety Team envisioned by the recent White House Conference on Travel and Tourism. A 17-member board, to be chosen during the coming month, will represent all industry segments, law enforcement, mayors, national media and the public. Merrett Stierheim, Greater Miami Convention and Visitors Bureau president and CEO, will be a member, Commerce Under Secretary Greg Farmer said yesterday in Miami.

Staff
All Nippon Airways' international passenger volume rose 24.1% in September to 199,748 passengers. The carrier's domestic traffic was up 7.3% to 1.9 million for the month. The domestic load factor rose to 60% from 57.9% in September a year ago, but the international load factor declined to 73.8% from 79.3%

Staff
Reflectone Inc. reported operating income of $2.4 million for the third quarter, compared with an operating loss of $1.7 million during the same 1994 quarter. Net income was $1.3 million compared with a net loss of $2 million. Revenues jumped 64% to $25.3 million from $15.5 million.

Staff
Delta will begin daily nonstop service to Vancouver from Cincinnati March 2, operating 180-seat 757s on the route.

Staff