Atlantic Southeast, which has been the "darling" of Wall Street in recent years, is demonstrating some down trends in traffic and financial performance. The Delta Connection carrier begins operating BAe 146 quadjets this fall. Traffic results and stock performance have diminished in the past few quarters. September RPMs are down 4.2%; ASMs are off 1.2%. The stock Wednesday was $10.95 off its July 10 52-week high of $34.25; operating profit margin was down 6.6 percentage points in the June quarter to 29.9% and the net margin fell 3.6 percentage points to 16.6%.
American Eagle, effective Dec. 2, will discontinue service between Nashville and St. Louis, Mo., and Dec. 9 between Nashville and Asheville, N.C.; Dayton, Ohio; Fort Wayne, Ind.; Fayetteville, Ark.; Greensboro/High Point/Winston/Salem, N.C.; Paducah, Ky., and Pensacola, Fla.
Air Canada and AirBC yesterday launched Rapidair service between Vancouver and Calgary as part of Air Canada's most ambitious ever expansion of services in Western Canada. Air Canada's objective is to solidify its presence in Western Canada, the country's traditional gateway to the Asia/Pacific region. The shuttle-like Rapidair service features 29 flights a day (14.5 roundtrips) on business days between Calgary and Vancouver.
The U.S. government would be wise to initiate immediately comprehensive negotiations with Japan for the benefit of U.S. combination carriers shut out of Asian markets, American Chairman Robert Crandall said yesterday. The government's failure to pursue unrestricted opportunities for all U.S.
Mesaba Airlines logged 26.4 million revenue passenger miles last month, a 1.1% increase from the same year-ago month. Capacity grew 4% to 61.2 million from 58.8 million, pushing the load factor down 1.2 percentage points to 43.1% from 44.3%. Passengers carried increased 2.5% to 122,214 from 119,250.
The management of KLM Cityhopper has endorsed the recommendations contained in the Netherlands Aviation Safety Board's final report on the April 1994 crash of a Cityhopper Saab 340B. The board said the immediate cause of the accident was the pilots' insufficient use of flight controls during the go-around, resulting in loss of control.
Air South is offering $24 fares for travel until Oct. 31, a 77% savings from its average $104 one-way fares. The special fares are available for purchase through Oct. 20 to any city Air South serves. The fares do not apply to connecting service on Kiwi to Chicago, New York, Orlando and West Palm Beach.
Carnival Air Lines will feature a film entered in the Fort Lauderdale International Film Festival on its flights Nov. 3-10 to Fort Lauderdale. Passengers will not be charged to view the movie, The Girl in the Watermelon, and will receive an event program and discounted tickets to the film festival.
DOT has approved American's request to expand its code-share operations with Qantas. The carriers received approval to operate combination service between Los Angeles and Melbourne, Australia, via Auckland, New Zealand. American's designator code will be displayed on Qantas's nonstop flights between Los Angeles and Auckland, and on its one- stop flights between Los Angeles and Melbourne, via Auckland (DAILY, Sept. 20).
New Aircraft Orders And Options July 1995 Last 12 Mths Firm Orders Options Delivery Orders Options Carrier # Type # Type Engines Dates # Type # Type Egyptair 3 A340-300 2 A340-300 CFM56-5C3 96 0 0
Delta will offer employment to students at Weber State University in Ogden, Utah, to staff a reservations station on campus. The program, which still needs approval from the Utah State Regents, is Delta's second college program this year. Delta will hire up to 200 students, who will work in four-hour shifts to take reservation calls.
The Airports Council International-North America and the American Association of Airport Executives are about a week away from completing work on a proposal to Congress for an infrastructure bank that would leverage funds for FAA capital programs, including facilities and equipment and the Airport Improvement Program, ACI-NA Chairman James Wilding said this week.
Number of flight attendants on furlough at U.S. carriers has dropped to 19 from a peak of 2,152 in October 1993, according to the Future Aviation Professionals of America. At that time, Northwest had 630 on furlough and America West 788. None of the 19 now out of work are at global, major or national carriers except cargo carrier Evergreen, which has furloughed all flight attendants.
Delta Connection SkyWest Airlines made 109.3 million seat miles available last month, a 34.3% increase compared with its ASM figure for September 1994. Revenue passenger miles increased just 25.4% to 52.7 million from 42.1 million, however, causing the load factor to drop 3.5 percentage points to 48.2% from 51.7%. Passenger boardings were up 13.1% to 196,607 from 173,799.
Crossair is going to paint the exterior of one of its MD-80s in the red and yellow colors of McDonald's as part of a promotion with the Hotelplan travel organization. The aircraft will be operated exclusively under contract to Hotelplan, and destinations will be short- and medium- range holiday destinations. The interior of the 161-passenger aircraft will have red leather seat covers. Other features of the service include restaurant-style onboard catering that will appeal to children, as well as children's reading material and toys.
Citing Russia's recent refusal to renew its code-share service to Moscow, United is urging DOT to reject Aeroflot's bid for expanded U.S. operating rights. Last month, Aeroflot applied for authority to operate between Russia, via intermediate points, to Miami and beyond to Peru, and between Russia and Honolulu, via intermediate points (DAILY, Sept. 26). The department should not grant Aeroflot any expansion of its U.S. operating rights, countered United, pointing to the Russian refusal to renew its code-share service with Lufthansa between the U.S.
Cincinnati- and Orlando-based Comair, a Delta Connection affiliate, flew 100.8 million revenue passenger miles last month, a 13.9% increase from the same month a year ago when it logged 88.5 million. Available seat miles failed to keep pace, rising 12.6% to 192.6 million from 171 million, allowing the load factor to rise 0.6 points to 52.4% from 51.8%. Enplanements increased 9.9% to 320,338 from 291,428. Sept. 95 Sept. 94 9 Mths 95 9 Mths 94
American yesterday began offering special fares to Europe, Latin America and the Caribbean. Tickets must be purchased by Oct. 16. The fares are good Nov. 1-Feb. 29 to Europe, from now until Dec. 13 to the Caribbean and Nov. 1-Dec. 10 to Mexico and Central/South America. American said discounts range from up to 30% off the lowest excursion fare to Europe and the Caribbean, 5% to 15% to Mexico, and 25% to Central/South America.
Moody's Investors Service yesterday affirmed its ratings on Continental's $1 billion shelf registration because of the airline's improved operating performance and expectations for continued strengthening of cash flow and credit measures under its new senior management team. The ratings affirmed were (P)B2 for senior unsecured and (P)Caa for subordinated notes.
House Transportation and Infrastructure Committee Chairman Bud Shuster (R- Pa.) and railroad subcommittee Chairwoman Susan Molinari (R-N.Y.) say they will closely examine all aspects of the Amtrak derailment in Arizona Monday caused by saboteurs and what federal penalties are in place. "If we find that the federal penalties for those who commit this type of crime are not strong enough, then we will do whatever it takes to strengthen those penalties," they said in a joint statement.
Rep. James Traficant (D-Ohio) last month introduced legislation (H.R. 2449) that would create a special apportionment category of "air cargo jetports" and set aside 3% of Airport Improvement Program funds for that purpose.
The Travel Channel has set up an online network on the Worldwide Web that will highlight destinations, cultures and cuisine, and enable users to interact by providing information on their travel experiences. "We created The Travel Channel Online Network in response to our television viewers' requests for more in-depth information....Viewers call to ask us where they can find out more about people, places and leisure activities featured in our programming," said Kevin Senie, president and chief executive of Travel Channel Networks.
