Malaysian Airline System is converting two of its 747-200s into freighters, an official said. The $50 million conversions will be carried out by Boeing-Wichita. Delivery is scheduled for October and December, and the converted aircraft are expected to boost MAS's cargo revenues by 87%. MAS now operates two 737-300Fs and two MD-11Fs. The 747s will serve Los Angeles, San Francisco and Chicago twice a week.
Indianapolis, Ind., Airport Authority's board last week unanimously approved plans to negotiate a 10-year contract for management of Indianapolis Airport with BAA USA Inc., the U.S. subsidiary of U.K. airport operator BAA plc. Negotiations will begin next week, and a final contract will remain subject to the board's approval. IAA officials estimate the contract will be in place by Jan. 1. "Because of the newness of the approach, the contract documents will truly be originals," Indianapolis spokesman Dennis Rosebrough said.
United plans to upgrade its Washington Dulles-Milan, Italy, service Oct. 29 by dropping a stop in Rome. The carrier may serve Rome again in the future by way of code-sharing flights. United operates the Washington-Milan service with 767-300s. Christopher Bowers, senior VP-international, said, "We appreciate the support we have received over the last three years from travelers and shippers choosing United in the U.S.-Rome market. It is our hope to be able to serve the Roman market in conjunction with another airline."
American, with more pilots on furlough than any other U.S. carrier, plans to recall 25 of them July 1, leaving 585 still laid off, its pilot union, the Allied Pilots Association, said. The carrier furloughed pilots throughout 1994, when it began grounding and selling some aircraft.
Emery Worldwide announced yesterday a new group to serve what it called a "growing need within many industries for a logistics service that includes inside pickup, skidding and packing, pickup and delivery on air-ride vehicles, multi-person handling crews, de-skidding, placement and packing- materials debris removal." Mark Whitrock was named market development manager of the new Customized Transportation Services. He said manufacturers of high-technology and other fragile products will benefit most from the new service.
British Airways' two 49%-owned continental Europe "quasi-subsidiaries," Deutsche BA and TAT European Airlines, suffered combined pre-tax losses of nearly $150 million in fiscal 1994-1995 and were the "black spot on the horizon" for BA, Managing Director Robert Ayling said yesterday. BA itself posted impressive profits this week for the year ended March 31 (DAILY, May 23).
Airport Systems International said yesterday it will provide an instrument landing system at Concord, N.C., Regional Airport under a contract valued at $350,000.
BWIA International Airways is requesting renewal of its authority to provide service between New York and Barbados, and beyond to Grenada. The airline uses MD-80s on the route. BWIA also seeks renewal of its authority to serve Georgetown, Guyana, as a point beyond Port of Spain, Trinidad and Tobago, on its New York-Port of Spain service. The carrier is not currently using the authority, but it operated three-times-per-week MD-80 service over the route previously and is looking at the market for future operations. (Dockets 50364&50365)
The U.S. airline industry's average yields rose 0.5% last month from April 1994, the group's first monthly year-over-year increase since December 1993, according to NatWest analyst Michael Derchin's spin on ATA figures.Derchin expects further yield improvement as airline capacity tightens and fares rise during the balance of the year.
A United study indicates that the level of Chicago-London Heathrow service has been "artificially constrained" to prevent the entry of a competitor in the market, according to Chairman and CEO Gerald Greenwald. "Bermuda 2 specifies that when the authorized carriers - American and BA - exceed in carrying a threshold of 600,000 passengers for two consecutive 12-month periods, then a third U.S. carrier will be selected," Greenwald told The DAILY yesterday.
United's Association of Flight Attendants unit is scheduling more protests against the opening of a flight attendant domicile in Hong Kong, scheduled July 1. Flight attendants will pass out leaflets today at Denver Airport and tomorrow at Chicago O'Hare and United ticket offices in Chicago and Washington National Airport. The flight attendants believe they will lose thousands of overseas flying jobs, which are bid first by the most senior employees, to foreign-based flight attendants.
The crew of FedEx Flight 705 will receive the Order of Daedalians Lieutenant General Harold L. George Civilian Airmanship Award June 3 at a ceremony in Tucson, Ariz. Captain David Sanders, First Officer James Tucker and Second Officer Andre Peterson fought off a surprise attack and attempted takeover April 7, 1994, soon after takeoff from Memphis. Despite painful injuries, the crew overcame the assailant and landed the aircraft safely.
An administration official said yesterday that the Air Transport Association "misconstrued" a letter from President Clinton to an airport official that said "if acceptable budget offsets could be identified, we would weigh a proposal to defer the [transportation fuel] tax against any changes in the financial condition of the airline industry." Clinton was referring to the 4.3-cents-per-gallon tax from which the airline industry has been exempted but which the government now plans to begin charging in October (DAILY, May 23).
FAA said yesterday the second voice switching and control system reached initial operational capability (IOC) Sunday at Salt Lake City. The VSCS at Denver is scheduled for IOC on June 14. The agency said yesterday that the Seattle system, which attained IOC earlier this month, is "working well" and late this month is expected to become fully operational (DAILY, May 16).
Challenge Air Cargo is asking DOT for one additional all-cargo frequency between the U.S. and Argentina. Currently holding two weekly narrowbody frequencies in the market, Challenge wants the department to reallocate to it Florida West Airlines's one weekly frequency.
Polyken Technologies said it has engineered a new line of fiberglass cloth tapes for aircraft cargo pits that meet FAA rules on smoke and flame penetration. "Right now, Polyken tape #297 is the only high-performance FAR-compliant product for seam sealing cargo pits available," said Charles Bronner, product manager. He said the new tape will help reduce a shortfall for a FAR-approved product. The tapes are available in 36-yard rolls in two and three-inch widths, he said.
Robert Buckhorn, 68, who retired May 3, 1994, after 10 years as FAA deputy assistant administrator for public affairs, died Sunday of a heart attack. Buckhorn worked at the National Transportation Safety Board before joining FAA.
Atlantic Coast Airlines has won court confirmation that it has the right to impose work rule changes on its mechanics after they have elected a union to represent them but before the company and the union have signed an initial contract. The Aircraft Mechanics Fraternal Association, which is in mediation over its initial contract, sued the airline in November in a New York court, which upheld the carrier's right to make unilateral work rule changes. AMFA filed an appeal with the U.S.
DHL co-founder Larry Hillblom died during the weekend when a small airplane in which he was a passenger went down in the Pacific Ocean near Saipan, UPI reported. Hillblom, 52, helped organize DHL in 1962. He left day-to-day operations of the company nearly 10 years ago but retained stock in it.
DOT refused yesterday to confirm or deny that U.S. and Japanese officials will meet today in Washington to explore resumption of aviation talks. Relations between the two sides have deteriorated since Japan announced earlier this year that it would refuse to allow any new services by U.S. carriers - even those permitted under existing agreements - until it begins talks with the U.S. The two countries last held bilateral negotiations in August 1993.
National Air Traffic Controllers Association President Barry Krasner denied a Chicago radio station's report that his members planned a job action in response to last week's equipment failure at Chicago's air route traffic control center, (DAILY, May 18). "While no job action has been planned, controllers continue to have grave concerns about the deteriorating state of air traffic control equipment and severe staffing shortages nationwide," Krasner said.
FAA said a videotape package describing its alcohol misuse prevention and breath testing regulations is available from the National Technical Information Service. The two-hour video package includes copies of the outline used for the presentation, questions and answers, and alcohol rule language. The package costs $95.95, and the video or written materials cost $54 each if ordered separately. To order the Overview of Alcohol Misuse Prevention Program for the Aviation Industry (#AVA19706VNB1), call 703-487-4650 or telefax 703-321-8547.
ALM Antillean Airlines has applied for renewal of its authority to operate scheduled combination service between Curacao and Bonaire, Netherlands Antilles, and Atlanta via Aruba. The carrier currently operates one weekly MD-80 flight between Atlanta and Curacao via Bonaire. (Docket 47444)
