Aviation Daily

Staff
Air Canada's systemwide passenger traffic rose 19.6% last month on 12.5% more capacity, pushing the airline's load factor up 4.2 percentage points to 69.8%. Air Canada's domestic traffic rose 15.4% on 7.7% more capacity in September, and its international traffic increased 22.2% on 15.3% more capacity. Through the first nine months of this year, Air Canada's systemwide traffic increased 11.4% and capacity rose 12.9%, producing a load factor decline of 0.9 points to 64.3%. Sept 95 Sept 94 9 Mths 95 9 Mths 94

Staff
Delta has been chosen by Financial World magazine's hidden value index as the best airline among the 1,000 largest publicly held companies. Analysts and pension fund managers rate companies on their ability to cut costs, innovate and avoid regulatory hassles, customer loyalty, employee relations and ability to increase revenues.

Staff
U.S. Carriers Systemwide Market Share At Leading U.S. Airports U.S. Major, National and Commuter* Carriers 6 Months 1995 Atlanta Enplaned % of Total Passengers Passengers Delta 9,973,083 75.64 ValuJet 948,106 7.19 Atlantic Southeast 488,294 3.70 Continental 323,791 2.46

Staff
Virgin Atlantic Airways has signed an agreement with Aeronomics Inc. for the Atlanta-based company's revenue management system. The system, which the airline has named HYDRA for Higher Yield Delivering Revenue Advantage, will be installed in phases and will be fully operational in less than a year. Paul Tomlin, general manager-information technology at Virgin Atlantic, and John Wallace, VP-airline division of Aeronomics Inc., will head a project team spearheading the installation.

Staff
United Parcel Service has taken delivery of its first 767 freighter.

Staff
Despite the objections of Fine Airlines, DOT has granted Peruvian flag carrier Faucett a 60-day extension of its authority to wet-lease aircraft to APA International Airlines for scheduled U.S.-Peru combination service. Under the arrangement, Faucett supplies aircraft and crew for service between the co-terminal points Santo Domingo and Puerto Plata, Dominican Republic, and the terminal points Miami/San Juan, Puerto Rico/New York (DAILY, June 13).

Staff
DOT issued an order yesterday approving United and Air Canada's code- sharing arrangement. The order confirms an oral approval given early in August. United, Air Canada, and the Canadian carrier's commuter subsidiaries applied May 31 for authority to operate code-share service. Under the plan, United's designator code would be displayed on all transborder flights operated by Air Canada and its commuter subsidiaries, and Air Canada's code would be displayed on any transborder flights operated by United between any point in the U.S.

Staff
Citing the recently signed U.S.-Luxembourg open skies agreement, Cargolux has applied at DOT to operate cargo service from points behind Luxembourg via Luxembourg and intermediate points to a point or points in the U.S. Operating Boeing 747-400 freighters on the service, the carrier also plans to transport passengers on the upper deck of the aircraft. Cargolux is authorized to operate scheduled cargo service between Luxembourg and five U.S. destinations - Houston, Miami, New York, San Francisco and Seattle.

Staff
Aft-facing seats and seats with shoulder harnesses are effective for safety, but some technical problems remain, said Hiroki Tomita, deputy director-airworthiness division of Japan's transport ministry, in an aircraft cabin safety symposium held by the Association of Air Transport Engineering and Research last week in Tokyo.

Staff
Lufthansa placed $150 million in orders for General Electric and CFM International engines to power the four Boeing 747-400 and one Airbus A340 aircraft it ordered earlier this year (DAILY, Sept. 22). The airline will equip the 747s with GE CF6-80C2 engines and the A340 with CFM56-5Cs. CFM International is a 50/50 joint company of General Electric and Snecma of France. The five aircraft, four for fleet expansion and one replacing a 747-200 Combi, are scheduled for delivery in 1997.

Staff
Taiwan's Civil Aeronautics Administration said that, as a first step toward privatization of the island's air freight services, it will form a company to operate the air freight terminal at Chiang Kai-shek Airport (CKS). A CAA official said the new company is expected to be operational by the end of 1997. Full privatization of the CKS facility is scheduled to be completed by late 1999. The CAA also has announced plans to open a privately operated air freight service at Kaohsiung.

Staff
Loss of control of aircraft has accounted for more fatalities during the past five years than controlled flight into terrain (CFIT), which was the chief cause of deaths previously, according to Paul Russell, chief engineer, airplane safety engineering, for Boeing Commercial. Last year, 60 deaths were attributed to CFIT and 483 to loss of control in flight, Russell told The DAILY. Between 1990 and 1994, 1,004 fatalities were attributed to CFIT and 1,056 to loss of control, he said.

Staff
South Koreans traveling to the U.S. will be the boom market by 1998, according to new projections by the U.S. Travel and Tourism Administration. USTTA predicts South Korea will account for 104% more visitors in 1998 than in 1994, making it the fifth-largest overseas origination point for the U.S.This gain, and a 59% increase expected in travelers from Brazil, will bump France and Italy out of the top five, the agency believes.

Staff
China Airlines has applied for renewal of its rights to operate scheduled all-cargo service between Taipei and Chicago, with a technical stop in Anchorage, using Chicago and New York as co-terminals. The carrier operates three times weekly on the Taipei-Chicago route, using 747-200Fs leased from Atlas Air. (Docket 49045&OST-95-712)

Staff
United has introduced low weekend fares at Denver for travel Oct. 21 through Dec. 9. Travel must begin on Saturday and end on the following Monday. United said fares range from $59 to $99 one way to 58 cities. Tickets require a one-day advance purchase.

Staff
EVA Airways has asked DOT to renew its existing intermodal cargo service in a number of U.S. markets and grant it authority to operate the service between 10 more U.S. city-pairs. With the new service, EVA will operate the service in 60 U.S. city-pairs from five U.S. gateways: Los Angeles, New York/Newark, San Francisco, Seattle and Dallas. The carrier said it will continue operating the intermodal service using independent surface carriers licensed by the U.S. Interstate Commerce Commission. (Docket 49128&OST-95-727)

Staff
America West, reporting its 11th consecutive quarter of profitability, posted yesterday a third quarter operating profit of $54.2 million and net earnings of $21.7 million - both record highs for the airline - and said it is ready to embark on the aggressive growth plan it unveiled recently. "We believe the momentum the company has generated provides us with an excellent platform to launch our growth plan, set to begin in January," said America West Chairman William Franke.

Staff
British Airways will resume service to Kano, Nigeria, on Jan. 22, two years after it suspended flights in the market. The governments of the U.K. and Nigeria reached a new air services agreement recently. BA will operate weekly flights to Kano from London Gatwick and will continue daily service to Lagos.

Staff
Cyprus Airways has applied for renewal and expansion of its authority to operate code-share service with Gulf Air to the U.S. Currently operating between Cyprus and New York, the carrier wants to add Houston when Gulf Air extends its service beyond New York to Houston on Oct. 29. Initially, Gulf Air plans to operate four Airbus A340 flights to Houston via New York Kennedy, with two operating via Larnaca, Cyprus, and on to Doha or Abu Dhabi (DAILY, Aug. 31).

Staff
Aerovias Nacionales Ecuatorianas Manabitas (Aronem) is seeking authority to operate charter cargo service between a point or points in Ecuador and U.S. points. The carrier also has asked for permission to operate fifth-freedom flights from the U.S. to third-country destinations. Ecuador awarded an operating certificate to the carrier Aug. 30, 1995, permitting it to operate services to the U.S. Planning to operate the all-cargo service under a wet-lease agreement with a U.S.

Staff
The proposed National Tourism Strategy that will be acted on at the White House Conference on Travel and Tourism Oct. 30-31, issued yesterday, lists specific recommendations to address 10 stated objectives, including creation of a public/private partnership to advise the administration on national tourism issues by July 1996. Called Visit USA Inc., the organization would have a 45-memberboard on a budget of $100 million a year by 2000, not including private sector co-op funds for specific campaigns.

Staff
Continental yesterday reported third quarter net earnings of $111 million, the largest quarterly net profit in its history, and company officials reiterated that they expect the airline to break even - at worst - in the traditionally slow fourth quarter. The $111 million profit exceeds by $9 million the company's previous record, set in the second quarter, and the earnings per share of $2.68 on a fully diluted basis easily surpassed Wall Street's expectations.

Staff
Partners British Airways and USAir yesterday introduced Windows-based online travel systems that will enable their customers to plan and book travel through personal computers. USAir's Priority TravelWorks and BA's Executive TravelWorks will be provided free of charge to the airlines' highest-level frequent flyers. The systems offer access to the Apollo computer reservations network with real-time information on fares and schedules for 740 airlines, as well as information on 24,000 hotels and 37 rental car companies worldwide.

Staff
DOT, in separate orders yesterday, tentatively awarded new Peru service to Continental and issued a final order granting American additional frequencies in the U.S.-Brazil market. DOT Secretary Federico Pena said "the department's action will provide consumers and communities with valuable new travel options in some important South American markets, while adding momentum to the department's efforts to expand U.S. carrier service in the region." With its new service, Continental will operate seven weekly 757-200 flights between Newark and Lima, via Bogota.

Staff
TWA grossed about $55 million from the recent equity rights offering that was part of its prepackaged Chapter 11 plan of reorganization. The airline said the offering, in which 13.15 million equity rights were issued, was fully subscribed.