Aviation Daily

Staff
Granted orally an exemption to Air Pacific Ltd. to operate scheduled combination service between Nadi, Fiji, and Los Angeles, via the optional inter- mediate point Honolulu.

Staff
McDonnell Douglas has guaranteed ValuJet up to 15 aircraft per year if the airline cannot find sufficient lift to meet its growth plans while awaiting the mid-1999 delivery of the first MD-95s it ordered last week, ValuJet Chairman Robert Priddy said Friday. "We're guaranteed aircraft and pricing" on up to 15 planes per year, even if it means Douglas building new MD-80s for ValuJet, Priddy said. He quickly added that no one expects that outcome, because McDonnell Douglas has a large portfolio of airplanes that will come off lease in the near future.

Staff
SBS International appointed Mark Hornby president and Christian Boegner chairman.

Staff
U.S. Trade Representative's Office has formed an interagency working group to look into claims by Boeing workers that aircraft parts manufacturing in China is reducing U.S. jobs significantly and exporting technology. One of the big beefs of striking Machinists at Boeing is shipping jobs overseas. A company spokesman said Boeing is happy to share data with USTR to "clear the air" on the issue.

Staff
House and Senate negotiators on the fiscal 1996 DOT appropriations bill (H.R.2002) completed action on aviation-related provisions Wednesday night, adopting legislation to require new FAA personnel and procurement systems and providing $8.216 billion for the agency (DAILY, Oct. 19). Conferees completed almost all action on the bill yesterday morning but recessed after reaching an impasse on highway demonstration projects.

Staff
Mesaba is down to the short list on selection of a new 30-passenger- plus fleet-replacement aircraft. Incumbent de Havilland is attempting to retain its position with the Northwest Airlink carrier. However, there will be a fly-off in November between the Saab 340B and the Dornier 328, and final proposals are due Nov. 15. Saab may have an edge based on new President Bryan Bedford's long association with the Swedish manufacturer during stints at Express Airlines I and II and more recently as president of Business Express. Mesaba operates 25 Dash 8s and 27 Metro IIIs.

Staff
USAir's Association of Flight Attendants has elected new officers. Replacing outgoing President Carol Austin is Perry Hayes, a Philadelphia flight attendant. Lynn Lenosky was elected to another term as VP, and Laurie Bergeron was re-elected as secretary/treasurer.

Staff
Delta will require all passengers 18 or older to show a photo identification to enable a match of their name with the names on tickets. Delta said the practice gives an extra measure of security and reduces fraud or stolen tickets. It also eliminates companies' ability to switch tickets among employees, and prevents customers holding non-refundable tickets from selling them.

Staff
Air Force lawyers in the TPI International Airways contract appeals case have vilified the carrier and a key appellant witness - Vince Petruskie, a retired Air Force Office of Special Investigations colonel and CIA operative. In their final brief to the Armed Services Board of Contract Appeals (ABSCA), the Air Force attorneys called Petruskie a "self- proclaimed expert' in sabotage [and terrorism]..."

Staff
Midway Airlines will expand service from its Raleigh/Durham hub in December to three new points - Fort Myers, Fla., Providence, R.I., and Las Vegas. It also will adding one daily flight to Jacksonville. Midway will operate two daily flights to Fort Myers, three to Providence and one to Las Vegas. The airline moved to Raleigh/Durham in March, when it began operating 22 daily flights, increasing service gradually over the past seven months. With the new service, including Midway Connection, it will offer 130 daily flights.

Staff
China's aircraft manufacturers are 10 years behind their Russian counterparts in technology but "a century ahead...in business acumen," McDonnell Douglas Chief Executive Harry Stonecipher said yesterday at a National Aviation Club appearance. He said the Chinese "are coming along a lot faster, I think."

Staff
The Association of Flight Attendants, during its 22nd annual board meeting in Palm Springs, voted to endorse President Clinton in the 1996 presidential elections. AFA National President Patricia Friend said, "AFA is coming out early in support of the Clinton-Gore team to help build a strong campaign within our union for their re-election." AFA will encourage members and their families to support Clinton through its FlightPAC education campaign, and to make contributions to the PAC. AFA represents 36,000 flight attendants.

Staff
Virgin Atlantic is looking at a low-cost, low-fare intra-European jet operation patterned after Southwest and ValuJet. The carrier would use either BAe 146s or 737-200s at fares 25% below those of other carriers. Fares in Europe, where business passengers demand a higher level of service and amenities, are extremely high. One factor that would be difficult for a low-cost, high-frequency airline to overcome in Europe, however, is the incessant ATC delays, which Southwest avoids by staying out of congested airports. High-speed rail travel also is very competitive.

Staff
Airbus Industrie's A340 received the highest overall evaluation among widebody aircraft by passengers leaving the U.S. in 1994 who were asked to rate the aircraft they were flying.According to U.S. Travel and Tourism Administration statistics, the average approval rating for all widebodies was 72% and the A340 came in 16 percentage points above the average.The McDonnell Douglas MD-11 was eight points above the average, the Boeing 747- 400 six points over, the Boeing 767 four points over and the Airbus A300 two points over.

Staff
Reno Air yesterday posted a third quarter net profit applicable to common stockholders of $4.46 million, or 40 cents per share on a fully diluted basis, and an operating profit of $4.54 million. "This is our largest quarterly profit since we began flight operations in 1992," said Reno Air President Robert Reding. "It represents a great accomplishment and excellent effort by our entire employee team, particularly in light of the 42.5% year-over-year increase in RPMs, and the addition of six new destinations since third quarter of 1994."

Staff
Continental Express could still become the U.S. launch customer for the new Embraer EMB-145 regional jet, according to President Jonathan Ornstein. First, however, the carrier plans to replace its ATR 42 fleet, giving strong consideration to the new ATR 42-500. "I like the speed," Ornstein said. The carrier also is looking to replace its 30-passenger fleet of Brasilias, and the competition continues to be between Saab and Dornier. "We are close to a decision on the 30-seater," he added, noting that delivery of those aircraft could begin early next year...

Staff
Thirteen regional air carriers posted an average load factor of 47.8% in September, but available seat miles out-paced revenue passenger miles by nearly 2.7 percentage points. RPMs for the 13 carriers grew at an average rate of 20.5%, compared with a 23.2% increase in ASMs. Air Wisconsin, SkyWest, Skyway, Horizon, Business Express, Mesaba, Atlantic Southeast, CCAIR and Atlantic Coast all experienced imbalances - i.e., in the case of increases, the rate was faster for ASMs than RPMs, and in the case of decreases, the rate was slower for ASMs than RPMs.

Staff
Alitalia's board yesterday ousted Chief Executive Robert Schisano. Company President Renato Riverso will take over Schisano's responsibilities until a successor is found. Schisano was hired 18 months ago.

Staff
Great Lakes Aviation flew 22.8 million revenue passenger miles in September, a 25.9% increase from the same month one year ago. Capacity offered by the independent, multi-affiliated carrier increased 25.1% to 51.2 million available seat miles from 40.9 million, and the load factor inched up 0.2 percentage points to 44.5% from 44.3%. Passenger enplanements increased 32.2% to 74,354 from 56,243 in the prior period.

Staff
U.S. Major and National Carriers Labor Expenses Second Quarter 1995 % Of Total Operating Systemwide Expenses America West $ 88,205,928 25.27 American 1,220,077,000 34.66 Continental 267,681,000 22.60

Staff
One month after United expanded electronic ticketing nationwide, nearly 20% of all its customers and those on United Express are choosing the E-Ticket service. United said about half a million travelers a month are taking advantage of ticketless travel, especially business travelers who can quickly change itineraries. In the past four weeks, 43% of customers purchasing travel from reservations lines or city ticket offices used the service. E-Ticket is most popular on the West Coast, where 70% of all Shuttle by United passengers choose it.

Staff
Regional airline traffic totaled 3.24 billion revenue passenger miles for the April-June 1995 quarter, a 5% increase compared with the same period in 1994, Regional Airline Association reported this week. The regional industry enplaned 15.0 million passengers compared with 14.7 million in second quarter 1994. Overall load factor was 50.6%, with 37.4% for intra-Alaska flights. The statistics were compiled for the association by AvStat Associates of Washington, D.C.

Staff
Eurowings Luftverkehrs AG of Germany has applied to DOT for authority to conduct code-share operations on Amsterdam-Germany segments of Northwest- KLM scheduled flights that originate or end in the U.S. Eurowings has an exclusive marketing arrangement with KLM, its strategic partner, that provides for code-sharing operations, shared ground-handling, common schedule planning and route transfers.

Staff
Northwest Airlines reported yesterday the highest quarterly net earnings in company history - $231.1 million before preferred stock requirements - and the carrier was upbeat about its prospects for the rest of the year. What was expected to be a good summer turned out to be a very good summer for Northwest, said Chief Executive John Dasburg. "It turned out a little bit stronger than we had guessed," he told reporters.

Staff
Aero Club of Washington will present the Elder Statesman Award to six aviation pioneers at its monthly luncheon Oct. 24 at noon at the Capital Hilton Hotel, 16th&K Sts. For reservations, call 703-327-7082.