Free flight will be easier to introduce when Display System Replacement workstations for air traffic controllers are in operation, and it will be impossible until then, according to FAA. "You cannot bring in AERA [automated enroute air traffic control] under the current system," says Pete Sweers, manager, advanced systems and facilities division. Airlines hope Loral can field DSR well ahead of FAA's target, 2000.
Atlantic Coast Airlines Inc., parent of United Express carrier Atlantic Coast Airlines, recorded a net loss of $3.2 million, 38 cents per share, for the first quarter of 1995, compared with an $8.4 million loss, or $1.22 per share, in the first quarter of 1994. Operating loss for the quarter was $2.8 million, down from $8.3 million, and total revenue decreased $3.4 million to $30.7 million. Operating expenses fell by $8.9 million, or 21%, to $33.5 million.
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Granted orally an exemption to Athabaska Airways to operate scheduled combination service between Regina, Canada, and Williston, N.D...Granted orally an exemption to Ansett New Zealand Ltd.
An aviation consultant says Ed Beauvais, president of Western Pacific Airlines, which inaugurated service Friday, toyed last year with naming the company "BudJet," to convey the idea of low fares. Considering that Western Pacific is negotiating with the Adolph Coors brewery for advertising space on the sides of its airplanes, a Bud reference probably would not have been a good move.
The Belgian government said Friday it has lifted the major obstacle to the prospective strategic investment in Sabena by Swissair. Government ministers agreed to drop a disputed proposal to reduce Sabena's social services costs by 650 Belgian francs per year, deciding instead to assume the cost of special pension benefits for Sabena's flight personnel. Established in 1969 to compensate for the early retirement age imposed on pilots and crew, the early pension phase has been paid for through a special fund that costs Sabena 320-350 million francs per year.
U.S. negotiators will be looking for more capacity when they begin talks with Peru today in Washington, according to Paul Gretch, director of DOT's Office of International Aviation. United, which just entered the market, seeks a daily frequency. Continental wants to start service from Houston, and American, the main carrier in the market, is looking for more frequencies.
Government of Bermuda is slated to take over control of most Bermuda Airport operations June 1 from the U.S. Navy. The transfer is the first major step toward full withdrawal by Sept. 1 from the Naval Air Station there. Bermuda's Department of Airport Operations, which will manage the airport, has contracts with several companies to provide management and operational services.
The Association of Flight Attendants this week will issue the results of a study it commissioned showing that child safety seats will save lives on aircraft and that current FAA policy, which does not require their use, is detrimental to the public interest. AFA will publicize the study at 8:45 a.m. May 3 at the National Press Club, where it also will kick off an information campaign to educate the public on what it called a serious safety concern. Scheduled to participate are Rep.
Nine investors and partnerships interested in bidding for 50.1% of Ecuatoriana de Aviacion have been approved by the pre-qualification committee appointed by the government of Ecuador, and offering memorandums are being distributed to them. A bid and a five-year business plan will be due from each in 45 days for evaluation by privatizers, who will be advised by a consulting consortium led by Prudential.
Shuttle by United is offering reduced fares on flights to San Francisco and Oakland, with double frequent flyer miles on selected flights. One-way advance-purchase fares from Oakland are as low as $29 to Burbank and Los Angeles and $49 to Seattle. Fares start at $44 between San Francisco and Portland and $59 between San Francisco and Seattle.
National Air Traffic Controllers Association will hand out mail-back cards to Congress at about 50 airports May 8, "alerting the public to concerns that controllers have about the safety of the air traffic control system, including old equipment and short-staffing." NATCA believes FAA needs 1,500 more controllers.
Continental has awarded a contract to Pemco World Air Services for modification and maintenance work on 11 737-100/200/300 aircraft. Four aircraft will undergo heavy maintenance and modifications, and the other seven will receive minor modifications and interior refurbishment, according to Matthew Gold, chairman of Pemco parent Precision Standard.
Reno Air yesterday reported a first quarter net loss of $3.2 million, or 39 cents per share, and an operating loss of $2.9 million. Both losses are substantially smaller than those of a year ago, when Reno lost $6.1 million net, or 77 cents per share, and $6.2 million on operations. "We are very encouraged by the first quarter results and the improvement over the first quarter of 1994," said Reno Air President Robert Reding.
Delta Connection affiliate Comair expects to report earnings per share of approximately 26 cents for the quarter ended March 31, 1995, a decline froom the 28 cents logged in the comparable quarter one year ago. Earnings per share for the fiscal year ended March 31, 1995, are expected to be $1.45 compared with $1.33 in fiscal 1994. The regional's full financial results for the quarter are due to be released shortly. Comair said its board had approved a cash dividend of eight cents per share payable May 17 to shareholders of record on May 8.
Turk Hava Yollari (THY) has begun training with a 737-400 full-flight simulator from Thomson Training&Simulation. It is the first commercial flight simulator in Turkey, Thomson said.
Kiwi International Air Lines plans to add two weekday flights between Newark and Atlanta on May 1, and two weekday flights from Newark to Chicago Midway May 15. The additional service will give Kiwi six flights a day on weekdays between Newark and Atlanta and five a day weekdays in the Newark- Chicago market.
The battle to woo Air-India has heated up. As Boeing demonstrated its new 777 to Air-India officials this week in Bombay, Airbus Industrie issued a two-page news release to the local media disputing the U.S. manufacturer's claims. Countering Boeing's claim that it had cornered up to 70% of orders for the 300- to 350-seat market, Airbus said the actual figure for Boeing is 25%, while the A330/A340 has 45% and the MD-11 30%.
Continental yesterday sold its System One computer reservations system to the European CRS company Amadeus Global Travel Distribution for cash and a 12.4% stake in Amadeus (DAILY, April 27). Continental, which will get at least one seat on the Amadeus board, declined to reveal how much money it will receive or the value of the System One liabilities Amadeus will absorb. In the complex, four-way transaction, finalized yesterday, Amadeus will acquire System One's CRS software and other assets and liabilities, and Continental will get the Amadeus stake.
Northwest Airlines and Piedmont Aviation Services have formed a joint venture marketing agreement for third party auxiliary power unit overhaul and repair. The venture will focus on domestic and international carriers and cover a broad range of APU services, the companies said. The work will be done at Northwest's Minneapolis maintenance facility and at Piedmont's Winston-Salem, N.C., overhaul facility. Northwest offers capability for GTCP-331, 660 and 700 APU models, while Piedmont specializes in 85 and 36 series units.
Norway, Sweden and Denmark initialed open skies agreements with the U.S. late Wednesday, ending the first phase of the U.S. nine-country initiative. Official signings are scheduled next month, said Paul Gretch, director of DOT's Office of International Aviation. Earlier, Finland, Austria, Luxembourg, Belgium, Iceland and Switzerland initialed agreements with the U.S.
America West's board of directors has approved the tentative five-year new contract with its pilots, represented by the Air Line Pilots Association, and the pilots have ratified the agreement. Carrier Chairman and Chief Executive William Franke said the accord provides long-term stability and "the most flexible union-company work rules in the industry." The contract guarantees pay increases averaging 6.9% per year, and offers a single pay scale for all aircraft types.
BWIA International Airways and American have formed a strategic alliance in which they will code share on each other's flights and American parent AMR Corp. will provide BWIA with products and services. American wants to publish its AA designator code on BWIA nonstop flights between Antigua and both Miami and New York Kennedy, where BWIA recently moved into the American terminal, and on intra-Caribbean flights between Barbados and Antigua, St. Lucia, Port of Spain and St. Maarten, and between Port of Spain and both Grenada and Georgetown.
FAA and Loral Corp. have reached agreement on contract modifications by which Loral will provide new air traffic controller workstations instead of the Initial Sector Suite System (ISSS), which had troubled the agency's relations with the former IBM Federal Systems Co. before Loral took it over. Announcing the agreement yesterday, FAA Deputy Administrator Linda Daschle put an $898 million value on the new fixed-price-incentive contract for the workstations, now called the Display Replacement System (DRS).
Domestic regional airlines boarded 57 million passengers during 1994, an 8% increase over the previous year, according to annual statistics issued this week by the Regional Airline Association and AvStat Associates of Washington, D.C. The industry's average load factor was a healthy 51%. Traffic, in revenue passenger miles, was up 13.3% to 12.02 billion, outpacing capacity, which increased 9.6% to 23.73 billion available seat miles.
