The increasingly acrimonious air services dispute between Hong Kong and Australia ended up in Australia's Federal Court last week, as Cathay Pacific Airways accused the Australian government of misusing its powers and unlawfully banning Cathay's service to Australia as of June 30. The airline asked the court to quash the ban, which was proposed by the Australian Department of Transport. A preliminary hearing was held Friday in Sydney, and the parties are expected back in court tomorrow.
International markets accounted for more than 70% of Sabre's growth in 1994, according to the computer reservations system company. Sabre has 122,138 terminals installed at 29,275 travel agencies in 74 countries.
DOT has approved renewal of the British Airways-USAir authority to operate code-share services to 66 interior U.S. cities through BA's gateways and in the Philadelphia-Mexico market, and an expansion to 65 more U.S. and seven international cities in the so-called third phase of the code-share arrangement. The approvals result from the recent U.S.-U.K. mini-deal, which included assurances that these applications would be approved in seven days (DAILY, June 6). Among the U.S. cities added under the expanded code-share authority are Boston, Chicago and Los Angeles.
One way of ensuring FAA's effective management of Global Positioning System development is to give the FAA administrator the ability to focus on the day-to-day operation of the agency, the chairman of the House Transportation aviation subcommittee said last week. At a hearing to explore possible delays in use of GPS for navigation, Rep.
AirTran Airways has signed letters of intent for three 737-200s, to make a total of seven, that it will use for charters and to expand from Orlando to six new cities. Two of the aircraft, from Shannonair, will be leased under a lease/purchase agreement and will enter scheduled service in August. The third will be leased from C.I.T. for delivery this fall. All three will be configured for 126 passengers. AirTran operates to 11 cities from Orlando.
All Nippon Airways charter subsidiary World Air Network Co. (WAC) will suspend operations in September after four years of flying because of continuing losses and changing market conditions. The Singapore-based carrier, which employs mainly non-Japanese cockpit and cabin crews, was established in June 1990 and began flying in March 1991. "The company was established at a time when the internationalization of local Japanese airports was being heavily promoted and Japan was experiencing a surge in demand for overseas travel," said Isao Kasuga, president of WAC.
Air Methods appointed Aaron Todd chief financial officer, replacing Kevin Andrew, who left the company to pursue activities as a consultant. American International Group appointed William Smith executive VP- Domestic Brokerage Group, succeeding Jeffrey Greenberg, who has resigned. Astro-Aire Enterprises promoted Andrea Candela to production control manager. Associated Air Freight promoted Len Barlow to Philadelphia district service manager.
Air South has a complaint other airlines would love to brag about - it is receiving too many calls for reservations. It is asking customers booking flights to call travel agents whenever possible. Its reservations center received 37% more calls in May than in April, reaching a monthly record of 272,465. Air South VP-Airline Operations Dennis Crosby said the calls are welcome, "but we are having customers on hold for longer periods of time than we would like. We are placing orders for new equipment and hiring new classes of agents."
Granted orally an exemption to Northwest to operate scheduled combination service between Boston and Delhi, India, via Amsterdam, and between Boston and Bombay, India, via Amsterdam. Also, the carrier received renewal of its combination services between Detroit and Cozumel, Mexico, and between Minneapolis/St.
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Tour wholesaler Pleasant Hawaiian Holidays has signed a deal with Hawaiian Airlines, supplanting American Trans Air, to book passengers on its flights from Seattle and Portland to Hawaii. The company said it chose Hawaiian because it offers daily nonstops from Seattle and direct flights from Portland four days a week. Pleasant Hawaiian currently offers service four days a week on American Trans Air from Seattle.
Scheduled air service between Germany and Thailand likely will increase as a result of recently concluded negotiations between the two countries. The number of weekly scheduled flights allowed in the market will increase to 30 from the current 20, accommodating 1995-96 winter season expansion plans of German carriers Lufthansa, Condor and LTU. Under a code-sharing agreement worked out between the two countries, German and Thai carriers can now offer passenger flights under a single number to any destination in either country.
Top 25 Domestic City-Pairs Under 750 Miles O&D Passengers Third Quarter 1994 Short Total Average Haul Markets Non-Stop Passenger Rank Rank City-Pair Mileage Per Day 1 1 Chicago - New York 723 8,860 2 2 Honolulu - Kahului 100 7,885
Mexicana will add a second flight on Saturdays between Newark and Cancun July 15, using an A320, to handle increased demand. Fares start at $360 roundtrip.
Massachusetts House of Representatives has urged the Justice Department to investigate possible antitrust violations by airlines in imposing the travel agent commission cap, and has called on Congress to prohibit the imposition of the cap until Justice completes the probe. In a recent resolution, the state's House argued that caps "would devastate the travel agent industry," adding to unemployment in the state, and, therefore, causing a reduction in state income taxes and an increase in state unemployment compensation.
U.S. Major Carriers Systemwide Share of Service Fourth Quarter 1994 Total Revenue Departures America West 46,578 American 217,289 Continental 141,172 Delta 243,806 Northwest 139,678 Southwest 165,735 TWA 68,935 United 189,932
After three days of negotiations in Washington last week, the U.S. and Brazil hammered out a new bilateral aviation agreement that will increase service opportunities between the two countries. The pact increases the number of scheduled combination frequencies to Brazil from 61 to 71 immediately, to 84 on April 1, 1996, and to 91 in April 1997. Scheduled cargo frequencies increase from 14 to 15 immediately, to 18 on April 1, 1996, and to 21 a year later. Cargo charter frequencies go from 350 to 450 immediately.
Delta Chairman Ron Allen now sees a 60-40 chance that Congress will extend the airline exemption from the 4.3-cents-per-gallon fuel tax. Allen quoted House Speaker Newt Gingrich as telling airline CEOs last week that a lot of his information on the tax came from nine flight attendants on his Delta flights between Georgia and Washington.
- In Federal Register dated June 2...Superseded an airworthiness directive on Piper PA-25 series aircraft concerning inspection of the wing forward spar fuselage attachment assembly...Superseded an AD on Lockheed 382 series aircraft concerning takeoff operation...Revised a proposed AD on Airbus A310 and A300-600 aircraft with certain flightcrew seats...Proposed an AD on Boeing 737 aircraft concerning additional procedures for shutting down the auxiliary power unit in case of fire.
SAS and its pilots union were to resume negotiations Saturday afternoon, the day after a 24-hour strike/lockout grounded the airline (DAILY, June 9). SAS said the goal of the weekend talks was to come to terms and prevent job actions announced for today and Wednesday. As of Friday afternoon, SAS expected to operate most of its 600 flights scheduled for Saturday.
South Africa and the U.S. are likely to convene another round of aviation talks in Pretoria at end of July or early in August, according to Paul Gretch, director of DOT's Office of International Aviation. Progress toward a new bilateral was made during meetings in Washington late in May.
Airport groups are opposing a potential amendment to the telecommunications bill (S.652), now on the Senate floor, that would allow local telephone companies to choose long distance providers for pay telephones at public facilities. Airports and other public facilities now have the right to select long distance carriers by competitive bid, and airports receive commissions from these contracts.
Nine potential investors are expected to bid for Ecuatoriana by the bid date Thursday. If all goes according to plan, the airline could be "reborn" in late summer or early fall, according to a company official.
