Delta yesterday announced an end-of-summer sale, discounting by up to 40% regular advance purchase excursion fares on travel throughout the U.S. and Canada. Tickets must be bought by Aug. 9 for travel Aug. 13-Dec. 15. The fares, good in Delta/Delta Connection combination markets, require a 14-day advance purchase and a Saturday night stay. Continental said it is offering the same sale with the same dates and restrictions. Both carriers blacked out Nov. 19, 22 and 26.
DOT Secretary Federico Pena and FAA Administrator David Hinson are scheduled to testify at a Senate Commerce, Science&Transportation aviation subcommittee hearing on proposed FAA reform. Set for 2:30 p.m. Wednesday in Room 253 of the Russell Senate Office Building, the hearing will address proposals to privatize air traffic control or turn it over to a government corporation. The panel also will explore making FAA an independent agency.
DOT has concluded that Wrangler Aviation, operating as Tradewind International Airlines, meets citizen requirements after its major organizational restructuring. In July 1993, DOT gave the Greensboro, N.C., all-cargo carrier four months to restructure, finding at that time that Wrangler was majority-owned or -controlled by interests from Singapore (DAILY, July 19). The carrier filed an objection to the order and garnered support for its case from Piedmont Triad Airport Authority and political leaders, including Baltimore Mayor Kurt Schmoke, Sen.
Air Express International reported net income of $7.6 million, up 23% over the $6.1 million of the 1994 quarter. For the first six months, net income increased 32% to $12.7 million. Revenues for the quarter rose 28% to $304.4 million and operating profit increased 28% to $13 million. Six- month revenues and operating profit increased 33%, to $588.4 million and $21.6 million. Dennis Dolan, chief financial officer, said the company suffered operating losses in German, South African and New Zealand markets and is implementing "turnaround strategies."
Continental is petitioning DOT to reconsider its decision denying the carrier an immediate exemption to begin serving the Newark-Bogota-Lima market on an interim basis. As part of its order establishing the U.S.- Lima Combination Service Proceeding, DOT decided not to allot on a temporary basis frequencies for gateways other than Miami/Fort Lauderdale (DAILY, July 19). American also asked to operate immediate service between Lima and DFW.
The City of Houston and the Greater Houston Partnership are boosting Gulf Air's application to serve Houston as a co-terminal point with New York on its route between the U.S. and the Middle East. If approved, Gulf plans to begin serving the city with the introduction of its winter schedule on Oct. 29. "As the oil technology capital of the world, Houston provides much of the equipment and expertise involved in the exploration and development of the oil fields of the Middle East," said the City and the Partnership.
A Southwest aircraft collided on the ground with a Cessna Friday morning at Dallas Love Field, but no injuries were reported. The Southwest airplane, carrying 92 passengers, was taxiing to the gate when it hit a Cessna 210 also in motion. Although the Southwest aircraft sustained only a "scratch the size of a woman's fingernail," a spokesman said, the Cessna 210's tail fin was severed, leading the National Transportation Safety Board to classify the event as an "accident." An FAA Southwest Region spokesman said the agency considers it a ground collision.
United joined local New York City authorities in urging DOT not to grant 10 departure and landing slots at LaGuardia Airport to Spirit Airlines for its proposed Detroit service. Spirit is seeking an exemption from the high-density rule at LaGuardia to operate five daily roundtrips to Detroit City Airport, using DC-9-21s.
A decision by the owners of Ansett Australia to hold on to their stakes in the airline would seem to have eliminated, at least for now, Air New Zealand's chances of buying into the Australian market through Ansett. But ANZ, which had been negotiating to buy up to 50% of Qantas's primary domestic competitor, remains optimistic that a deal can be done. "Despite recent statements by Ansett's owners, Air New Zealand still regards acquisition of an interest in Ansett as a live issue," a spokeswoman told The DAILY.
FAA said the first operational use of Mode S data link is providing flight information services to general aviation pilots in a 60-mile radius surrounding Washington Dulles Airport. The area was selected because it is near the Frederick, Md., headquarters of the Aircraft Owners and Pilots Association, which is participating in the six-month evaluation of what is expected to be free flight advisory services in the U.S. through a publicly owned data bank. The services will be offered first in the Northeast corridor.
FAA has funded the prototype Display Channel Complex Replacement program, not the DCCR program itself as FAA official Gary Duffy was incorrectly quoted as saying July 27 in The DAILY. The prototype program development is under way at the FAA Technical Center.
International travelers are being warned to have vaccinations for hepatitis A before traveling abroad. U.S. Centers for Disease Control and Prevention recommends the vaccination for anyone traveling to countries other than Canada, Western Europe, Scandinavia, Japan, Australia and New Zealand because of a slight increase in reported cases over the last two years.
John Lauber, Delta VP and former NTSB member, suggested last week that it is inappropriate to base a proposed rule solely on beliefs that a requirement - namely the reporting of mechanical delays - theoretically could affect safety. At a House hearing, Lauber noted other approaches - such as the Aviation Rulemaking Advisory Committee and regulation by negotiation - and added, "we now have regulation by perception."
Of the 14,000 votes veteran Sen. Robert Byrd (D-W.Va.) cast during his career through July 27, his support of the 1978 airline deregulation act is one of only two that he regrets. Air service has deteriorated, he said, "and it is very costly to travel back and forth to West Virginia by airline." The other vote he regrets was against the 1964 Civil Rights Act.
Air Transport Association is providing information on the Internet's World Wide Web. Users can access the ATA Publications Catalog, press releases, industry data, the ATA Airline Handbook, information on member carriers and links to their sites when applicable, and SPEC 2000 information. In the future, users will be able to purchase publications and register for industry forums on-line. The ATA web address is http://air-transport.org/ata/home.htm.
-- Air Macau executive committee named Ng Kian Wah chief executive of the airline. -- Aloha promoted Michie Spoerri to district sales manager-Hawaii, Japan/Asia. -- American Trans Air appointed Stan Hula VP-planning. -- DHL Worldwide Express named Mitsuo Ando president and representative director for DHL Japan, succeeding Shinichi Momose, who was elected vice chairman and representative director. -- United appointed Mark Schwab general manager-U.K., succeeding Graham Atkinson, who became VP-Atlantic Division.
Senate Commerce Committee is expected to act at its next business meeting on the nominations of Robert Francis and John Goglia to be members of the National Transportation Safety Board. Francis, whose term would end Dec. 31, 1999, would fill the seat previously held by John Lauber. Goglia, whose term would end Dec. 31, 1998, would fill the vacancy left by Susan Coughlin.
Raleigh/Durham Airport Authority is urging DOT to approve Midway Airlines' bid to operate between Raleigh/Durham, N.C., and St. Maarten, Netherlands Antilles, and between Raleigh/Durham and Cancun, Mexico. The authority praised recent moves by Midway "to fill the gap left" by the downsizing of American's presence in the market. "The introduction and continuing establishment and extension of the Midway system, now headquartered at Raleigh/Durham, is needed and will be supported by the Raleigh/Durham economy," said the authority.
Rift between American and its Allied Pilots Association is widening over the issue of code sharing with Canadian Airlines International (DAILY, July 28). The APA is postponing presentation of its settlement proposal that had been scheduled for tomorrow. APA President Jim Sovich said the proposal was based on the belief the two were building trust, but "that element now appears to be missing." Management has ignored concerns over the scope clause, APA says.
FAA Administrator David Hinson said Friday the agency will decide this week whether to put more modern software in the old IBM computers at the five busiest air traffic control centers. The most recent computer outages occurred at the Chicago center, but New York, Washington, D.C., and Miami also have experienced outages this year. The Air Transport Association has asked FAA to replace the Display Channel Complex in the IBM 920E computers with more modern technology (DAILY, July 27).
Standard&Poor's last week put GPA Group and related units on CreditWatch with "developing" implications, meaning the ratings may be raised or lowered. The action affects about $2.25 billion of debt. GPA Group, which has a corporate credit rating of B, is exploring a securitization of up to two-thirds of its fleet of 335 leased aircraft to refinance bank and other debt.
-- Aircraft Owners and Pilots Association named Ralph Hood national CFI marketing mentor for AOPA's Project Pilot Instructor Program. -- Association of the Bar of the City of New York appointed Shephard Melzer, Rogers&Wells, chairman of the Aeronautics Committee.
Aeromexico has applied for renewal of its authority to operate scheduled combination service between Tijuana, Mexico, and Las Vegas. (Docket OST- 95-351)
Delta's Air Line Pilots Association unit said the union remains committed to participating in the airline's cost reduction program for sustained profitability despite record net income of $251 million for the second quarter reported last week (DAILY, July 28). But if the union is to participate at the levels requested by management - 22% of the pilots' working agreement - it must have a fair value exchange, it said. Pilots are seeking returns in the form of job security, equity, a seat on the board and the return of furloughed pilots.
Canadian Airlines International last week replaced its senior marketing official with longtime American Airlines executive Barbara Amster in a management shakeup that saw six VPs and one senior VP leave the struggling Canadian carrier. The changes to seven of Canadian's 22 officer positions were described collectively by Chief Executive Kevin Jenkins as the "first step" of an overall management structure review that will be completed by the end of the year.
