Western Pacific Airlines last week filed with the Securities and Exchange Commission a registration statement for an initial public offering of three million shares of common stock. The size of the offering could increase to 3.45 million shares if the underwriters exercise their over-allotment option. Western Pacific is offering 2.5 million shares, and certain stockholders are offering 500,000. At a maximum price per share of $17, the IPO stands to gross $58.65 million if the full over-allotment option is exercised.
Bombardier Aerospace Group-North America named Sextant Avionique France a major participant to supply an avionics suite for the new de Havilland Dash 8 Series 400 turboprop, Bombardier and Sextant Avionique announced. Paris-based Sextant Avionique, as prime contractor, will be in charge of design integration and manufacture of the avionics package that will handle all key functions, including flight control, display, radio, navigation communications, instrumentation, primary references, weather radar and centralized maintenance.
Gulfstream International announced that until Dec. 15 it would charge only $99 roundtrip between any two of the 13 Florida cities on the regional's route system, and $129 roundtrip between those Florida cities and Gulfstream's six Bahamas destinations.
Mesa Air Group unit FloridaGulf, a USAir Express operator, competes with Continental Express in the New Orleans-Shreveport market. Based on the $129 one-way, walk-up fare quoted by USAir for today, the per- passenger-revenue-mile yield is 43 cents. In the monopoly Kansas City- Hays, Kan., market, served by another Mesa unit - USAir Express Air Midwest - the yield is $1.16 per RPM based on a $314 walk-up fare. There is no public-transportation alternative in the Kansas City-Denver I-70 corridor of small farm towns and wheat fields.
While the airline industry as a whole yesterday generally supported the approach to FAA financing reform embodied in the Senate FAA reform bill (S.1239), low-fare carriers Southwest and America West expressed concern with the possible competitive impact of per-use air traffic control user fees on their segment of the airline industry. At a Senate Commerce aviation subcommittee hearing, the Air Transport Association spoke favorably about the bill, as it had done with the House bill (DAILY, Oct. 12), and cited no objections to any provisions in the Senate measure.
National Mediation Board will count ballots Nov. 14 for union representation of flight attendants at the four American Eagle carriers. Ballots will be mailed Oct. 17. Flight Attendants at Executive, Simmons, Flagship and WingsWest are represented by three unions - the Association of Professional Flight Attendants, the Association of Flight Attendants and the Transport Workers Union. AFA and APFA are the only unions listed on the ballot because the TWU requested it not be placed on the ballot, but it could be written in.
BWIA International Airways has established a separate package tour division and has contracted with Cambridge, Mass.-based Globetrotters to be the exclusive operator for its product line. The new division, called BWIA Vacations, will launch its 1996 tour product this month, with introductory offers available until Dec. 20. A brochure will be distributed to travel agents next week, and the program will be supported by a series of seminars and sales blitzes, complemented by consumer and trade advertising.
Canadian tour operator Fun Sun Tours has become a subscriber of the Worldspan computer reservations system. All of Fun Sun Tours' Canadian locations are now online with the Worldspan mainframe and are fully operational.
Fort Worth, Texas-based Lone Star Airlines will add a third flight to Roswell, N.M., from Dallas/Fort Worth Oct. 29, a change that will result in adjustments in flight times for its two daily flights to Ruidoso, N.M., the carrier said. The carrier also Oct. 29 will terminate service to El Paso from both Roswell and Ruidoso due to what it termed low passenger loads. Separately, the carrier announced that it would offer as many as seven daily flights to Aspen, Colo., from Dallas Fort Worth when it begins service to the popular ski resort Dec. 15.
Richard Fontaine has rejoined Great Lakes Aviation as senior VP- marketing. Fontaine, a 28-year aviation veteran, was chief operating officer of Great Lakes when he left to join GP Express Airlines in 1993, where his last position was president and chief operating officer. Fontaine is known for his scheduling expertise.
FAA Administrator David Hinson yesterday announced the creation of a nationally coordinated program to identify unapproved parts and keep them out of airline inventories. The new unit will be somewhat burdensome and costly, acknowledged Nicholas Sabatini, chairman of a task force, which recommended the national program. Sabatini, who also is Eastern Region Flight Standards Division manager, said "industry wanted us to take the lead on this issue," and it "recognizes" there are costs involved.
United has been designated by the Republican National Committee as the official airline of the 1996 Republican National Convention, to be held in San Diego in August. The Democratic National Committee in April selected United as the official airline of the 1996 Democratic National Convention, to be held in Chicago. United will provide enhanced reservations and airport services, reduced fares for delegates and special services, including an employee ambassador for each state delegation.
Bombardier continues to line up new global partners for the new 50- passenger Dash 8-400 high-speed turboprop, often to the surprise of company insiders. The latest selection was French avionics manufacturer Sextant Avionique to produce the avionics suite. Japan's Mitsubishi Heavy Industries had already been selected to build the fuselage and empennage and ABEX NWL Aerospace, Kalamazoo, Mich., will supply hydraulics. Although these companies are described as "major participants," they are, in fact, risk-sharing partners, The DAILY has learned.
DRS Inc., Milwaukee, Wis., has signed a consignment stock agreement with Delta Connection affiliate Business Express under which DRS will provide worldwide marketing for Business Express' Beech 1900 surplus inventory. For information, call Max Dermond, president, 414-355-7770.
TAM-Transportes Aereos Regionais, Brazil's leading regional airline, would have a hard time getting along with the U.S. Association of Flight Attendants (AFA). Its founder and president, Capt. Rolim Adolfo Amaro, will not retain flight attendants beyond age 25. Some European regionals have similar policies. At Vienna-based Lauda Air, the age limit is 35. The up side is that flight attendants' experience in customer relations makes them well qualified for dealing with the public in other airline capacities - at TAM the customer reigns supreme.
Delta Connection Atlantic Southeast flew 63.3 million revenue passenger miles last month, an 8% decline from September 1994. Capacity dropped 2.4% to 139.8 million available seat miles from 143.2 million, causing the load factor to decrease 2.8 percentage points to 45.3% from 48.1%. Enplanements were off 7.1% to 254,486 from 274,018. Sept. 95 Sept. 94 9 Mths 95 9 Mths 94 RPMs 63,325,053 68,842,856 568,740,876 582,273,001
United-USAir merger would result in "a significant realignment" of regional air services in the Northeast. That is the conclusion of Aviation System Research's Michael Boyd, who likens United Chairman Gerald Greenwald's "good fit" comments to an auto dealership mentality - one in every town. But, "United will not want a lot of the feed that USAir needs," he said. Much of the USAir Express network represents O&D business markets, in which United has no interest.
Taiwan and Belgium have signed an air services agreement, making Belgium the ninth European nation with which Taiwan has forged official air links. Although the accord, signed by Taipei Air Transporters Association and Sabena subsidiary Sobelair, provides for multiple airlines from each country to fly in the market, only one carrier from each side is expected to provide service initially. EVA Airways is expected to begin service from Taipei in the spring, but Sobelair is not expected to launch service until restructuring at Sabena is completed.
China Airlines has unveiled a new corporate image that will entail the removal of the Republic of China flag from CAL aircraft. The airline is counting on the removal of the flag to facilitate expanding its route network. In addition to improving the carrier's prospects for expanding service to countries that have diplomatic relations with China and have been reluctant to accept CAL flights, the change will make it easier for CAL to keep its lucrative Taiwan-Hong Kong route after Hong Kong is returned to China in mid-1997, analysts say.
Alaska Air Group subsidiary Horizon Air will begin service between San Jose, Calif., and Boise, Idaho, Nov. 12, using 62-seat F28 twin jets to operate two daily roundtrips. Passengers can connect at Boise to Horizon flights to Idaho Falls, Lewiston, Pocatello, Moscow/Pullman, Sun Valley and Twin Falls. The carrier is offering a special introductory fare of $59 each way until Dec. 17.
New Jet Aircraft Deliveries July 1995 Last 12 Months Carrier # Type Engines Delivery Aer Lingus 1 A330-300 CF6-80E1A2 1 Air Canada 1 Canadair RJ CF34-3A1 10 Air France 1 A340-300 CFM56-5C2 0 Air Inter 1 Fokker 100 Tay650-15 4
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.
