Aviation Daily

Staff
Illinois Gov. Jim Edgar and Attorney General Jim Ryan filed suit in U.S. District Court Monday in an attempt to defeat the airport agreement between Chicago and Gary, Ind. "The Chicago-Gary airport authority is an unlawful impediment to achieving the regional consensus needed to meet the transportation and economic development needs of the metropolitan area, and so we are asking the court to remove it," Edgar said.

Staff
The City and County of Denver and Continental Airlines have filed with DOT seeking dismissal of TWA's rates and charges complaint about costs at Denver Airport. TWA asked DOT to order Denver to refund money it paid when Denver "unlawfully" raised prices from $61.98 per square foot to $71.03 after a lease agreement between Denver, United and Continental. The agreement released Continental from its original 20-gate lease obligation, requiring other airlines to pay $10 million per year in rent that would have been paid by Continental (DAILY, June 23).

Staff
TeleService Resources, an affiliate of AMR Corp. subsidiary AMR Services, plans to open a call center this summer in Columbus, Ga. The 11-year-old, 5,300-employee company, which provides high-volume call-handling services to Fortune 500 companies and governmental agencies, will employ about 225 customer service representatives and 25 managers at the new center by yearend.

Staff
Fuel Cost and Consumption U.S. Majors, Nationals and Large Regionals June 1994 - May 1995 Total Total Cost Gallons (Dollars) 1994 June Domestic 1,043,288,592 539,881,778 International 373,109,240 218,808,219 System Total 1,416,397,832 758,689,997

Staff
Saab 2000, the first delivered to Regional Airlines of France during the Paris Air Show in June, established a new speed record for turboprops Wednesday between Lyon, France, and Madrid. The aircraft, with 35 passengers aboard, covered the 520-nautical-mile route in one hour and 15 minutes for a ground speed of 411 knots, the airline said. True airspeed was 370 knots at 29,000 feet. Fifteen of the new high-speed turboprops are now operational - 14 in Europe with Crossair, Deutsche BA and Regional, and one in the Pacific with Air Marshall Islands.

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Lockheed L1011 and McDonnell Douglas MD-11 Systemwide Aircraft Utilization Per Day Fourth Quarter 1994 L1011-1-250 Delta TWA Total Number of Aircraft Operated 39 17 56 Total Fleet Operations Departures 128 40 167

Staff
The aggregate passenger load factor of Orient Airlines Association (OAA) member carriers fell 1.7 percentage points to 64% in April, the third consecutive month in which the percentage of seats filled decreased on a year-over-year basis and the seventh straight month that it has either decreased or remained flat. Passenger traffic for April, the most recent month for which data are available, increased 10% from April a year ago, but capacity rose 10.8%.

Staff
Pilots at Jetstream International, a USAir Express operator, will conduct informational picketing July 9 at Pittsburgh Airport to protest lack of progress in negotiations toward a labor agreement.

Staff
Future Aviation Professionals of America is counting on Atlanta-based UPS to be the anchor company that attracts others to its AVJOBS '95 job fair Oct. 13-14 at the Georgia International Convention Center in Atlanta. The job fair is a global aviation meetingplace for recruiters, trainers and managers, FAPA said, and will attract thousands of attendees, ranging from experienced aviation professionals to students. Exhibitors will include flight training companies, human resource software vendors and immigration and language consultants.

Staff
Fokker expects to record a first-half net loss that will be greater than the net loss for all of last year. The Daimler-Benz Aerospace company blamed the expected result on the past depressed state of the market, but even more on "the steep decline of the US dollar." The poor results have "necessitated further far-reaching reorganizations for which considerable additional provisions had to be made," Fokker said.

Staff
Millon Air is seeking renewal of its authority to operate scheduled all- cargo service between Miami and Venezuelan points Valencia, Caracas and Maracaibo. The carrier projects three weekly flights to Valencia, two to Caracas and one on a Miami-Valencia-Maracaibo-Miami routing, using 707, DC- 8 or L-1011 aircraft. The carrier currently operates charter service between Miami and Venezuela on a regular basis, mainly carrying cargo for air freight forwarders. (Docket 48368 and OST-95-282)

Staff
British Airways Chairman Colin Marshall has doubts about whether the timetable for the newly begun second phase of U.S.-U.K. bilateral talks is realistic. "I have to say that hopes for a successful conclusion within three months seem optimistic," Marshall said this week in a speech to the Aviation Club of Great Britain, and he predicted that DOT Secretary Federico Pena will remain "under prompted congressional pressure to beat up the British over Heathrow, or else rescind the bilateral." Marshall said U.S.-U.K.

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Domestic City-Pairs Carriers Added Dropped New Shared Alaska Airlines Horizon Boise-Oakland Butte, Mont.- - Bozeman, Mont. American Airlines Flagship Nashville-Fort Nashville-Peoria, - Wayne, Ind. Ill. Nashville-Fayette- Dallas/Fort Worth- -

Staff
The first set of Avro RJ wings to be made by British Aerospace Aerostructures in Prestwick have been delivered to Avro's factory at Woodford near Manchester. It is less than 12 months since the project transferred from the previous suppliers, Textron Aerostructures of Nashville, Tenn., and, according to Avro, the changeover has brought "improved momentum of production." The transfer to Prestwick was part of a cost reduction exercise and has also helped to secure a small number of jobs at both sites.

Staff
The House and Senate last week approved a concurrent budget resolution aimed at balancing the unified federal budget in seven years, including reductions in transportation spending of $34 billion compared to the existing-law baseline (DAILY, June 28). The House approved the budget resolution 239-194, and the Senate vote was 54 to 46.

Staff
Singapore Airlines has invited Boeing and Airbus Industrie to bid on a multi-billion-dollar order of 33 "medium-size, medium-range" aircraft, the airline confirmed yesterday. Looking specifically at the Boeing 777 and the Airbus A330, SIA expects to decide on an order by the end of the year, possibly by October, a spokeswoman said. SIA plans 17 firm orders and 16 option. The airline has not placed a value on the order, but wire service reports put it at as much as $5 billion.

Staff
Nine regional airline stocks jumped an average $3.80 per share during June with three hitting 52-week highs (a fourth followed on July 3). Comair closed the month at a 52-week high of $37.88 per share following an increase of $9.88 per share since May 31. Atlantic Coast was up $3.50 for the month to close at a 52-week high of $8.75 per share; CCAIR hit its 52- week high of $3.56 on the 27th, closing the month at $3.19, a $1.25 increase since May 31. The Delta Connection carriers led the field in price increases.

Staff
Rep. David Skaggs (D-Colo.) introduced legislation (H.R.1954) last week to allow the secretary of the interior to regulate scenic commercial overflights at units of the National Park System and award concessions for those overflights. Skaggs said Congress should remove any doubts about the authority of the National Park Service to regulate park overflights and "make sure that the American people - who own the national parks - receive an appropriate share of the profits from such operations."

Staff
USAir Express will replace its F28 jets with Dash 8s between Pittsburgh and Newport News, Va., in September. The reduction from 68-seat aircraft to 37-seat capacity is part of cutbacks, announced this week, from Pittsburgh, Kansas City, Lansing and Portland, Ore. The changes complete USAir's 5% schedule reduction (DAILY, July 5). David Mercer, chairman of the Peninsula Airport Commission, said jet service has been "on the marginal list" for some time. "We hope this move will help USAir to become healthy so that one day they can reinstate jet service."

Staff
Alaska Island Air (AIA) has countered criticism of its operations, asserting that it should be declared fit to continue service. After having its Part 135 certificate suspended for 30 days, beginning June 1, for violating the Federal Aviation Regulations, the carrier asked DOT for an exemption from the 45-day review of its fitness, so it can begin service as soon as possible. Three Alaskan carriers - Baker Aviation, Inc., Cape Smythe Air Service and Frontier Flying Service - filed a joint answer opposing the exemption request, however (DAILY, July 5).

Staff
Collins Commercial Avionics announced yesterday that its forward-looking windshear weather radar has received supplemental type certification from FAA after completing requirements aboard a 737-300 equipped with Electronic Flight Instrument System (EFIS) displays. The Collins WXR-700X warns of windshear up to 90 seconds ahead of the flight path with both visual and aural alerts, the company said.

Staff
Vanguard Airlines is offering $79 roundtrip fares during July between Kansas City and Minneapolis/St. Paul to passengers completing their trip in one day. The Day Tripper Special is available until July 31.

Staff
AAR Corp. reported fourth quarter net income of $3.5 million, up 45.7% over the 1994 quarter, and a sales increase of 7.9% to $129.6 million. For the year that ended May 31, net income was up 10.2% to $10.5 million while sales increased 10.7% to $451.4 million. The company provides parts, equipment and technical services for the aviation industry.

Staff
Lockheed L1011 and MD-11 Aircraft Operating Costs Fourth Quarter 1994 Dollars Per Block Hours L1011-1-250 Delta TWA Average Crew Cost $1,043 $536 $901 Fuel&Oil 1,322 1,304 1,317 Rentals 0 111 31 Insurance 3 12 5

Staff
ValuJet's June load factor increased 2.9 percentage points from the same month last year, to 75.7%. Through the first six months this year, the carrier's load factor increased 3.9 points, to 69.2%. During the month, ValuJet began nonstop service to Chicago from Washington Dulles and to Boston from Atlanta and Washington. In addition, the company announced plans to add Jackson, Miss., Kansas City and Newport News/ Norfolk to its route system in July. With the new destinations, ValuJet will offer DC-9 service to 26 cities in 17 states.