Aviation Daily

Staff
Recent allegations against two U.S. cargo carriers are clouding the selection of airlines for new U.S-Peru cargo frequencies. The charges, leveled against Arrow Air by FAA and Fine Air by the Peruvian government, "raise serious questions" about their ability to operate their proposed service, according to Challenge Air Cargo. Arrow, Fine, Challenge and Millon Air are competing for three new frequencies.

Staff
Several industry groups told FAA that its proposal to require more sophisticated flight data recorders on older aircraft is unattainable within the time limits prescribed, too expensive, too broad and, in many cases, unnecessary. The groups - the Air Transport Association (ATA), the National Air Transportation Assocation (NATA) and the General Aviation Manufacturers Association (GAMA) - were replying to a proposed rulemaking FAA issued following pressure from the National Transportation Safety Board.

Staff
Apollo Travel Services will make available to travel agents next month an upgrade of its TS2000 automated accounting system, which the computer reservations system company said will make commission tracking and collection easier for subscriber agencies that are members of the Hotel Clearing Corp. (HCC).

Staff
USAir's board of directors will meet today to be briefed on the status of concession negotiations with its union groups. As of yesterday afternoon, no vote was expected on the agreement with USAir's Air Line Pilots Association unit for wage and other concessions in exchange for 20% employee ownership (DAILY, April 3). The Association of Flight Attendants at USAir said its negotiators met during the weekend and will receive a "cafeteria-style" list of possible concessions to choose from to satisfy its proposed level of investment in the company.

Staff
National Transportation Safety Board said yesterday the probable causes of the crash of a USAir DC-9 last July 2 at Charlotte, N.C., were the flightcrew's decision to continue an approach into weather conducive to a microburst, the crew's failure to recognize a windshear situation in a timely manner, its failure to establish and maintain the attitude and thrust setting necessary to escape the windshear and the lack of real-time adverse weather and windshear hazard information dissemination from air traffic control.

Staff
Financial analysts gave mixed reviews to Raytheon's plans, announced Monday, to buy E-Systems for about $2.3 billion in cash. The boards of both companies approved a tender offer for E-Systems' shares at a 41% premium over Friday's $45.37 closing price, and investors quickly bid up shares to a level within a dollar of the offer, which will close April 28. Moody's Investors Service immediately put Raytheon's long-term debt under review for possible downgrade.

Staff
Kuwait Airways is seeking authority to operate combination service between Kuwait and Chicago, via Amsterdam. It also wants fifth-freedom rights to operate between Amsterdam and Chicago. The carrier plans to operate twice- weekly service beginning July 1, using A340 aircraft. (Dockets 50257&50258)

Staff
Morten Beyer and Associates' telephone number is 703-847-6598. The number that appeared in the April 4 DAILY was MBA's facsimile line.

Staff
None of the carriers with U.S.-Russia cargo authority is serving the market, prompting DOT to approve Polar Air Cargo's bid for Russian service. The decision will require reallocation of the unused frequencies and review of the existing designations. The department said it was notifying the designated carriers, as well as other U.S.-certified carriers, of its plan "to act affirmatively on Polar's request" and review of existing U.S. carrier designations, with the possibility of changing designations. "Where U.S.

Staff
ChallengAir is seeking authority to perform a fifth-freedom combination charter flight from Bucharest, Romania, to Chicago O'Hare Airport, and from Chicago through New York Kennedy to Bucharest, on April 5-6. Conducted under a wet-lease with Tarom Airlines, the charter DC-10-30 flight has been made necessary by the March 31 crash of a Tarom Airbus outside of Bucharest. (Docket 50256)

Staff
Federal Aviation Administration Reform Act Of 1995 Highlights of Bill Introduced by Rep. Jim Lightfoot (R-Iowa) Organization - Re-establishes FAA as an independent agency. Governance&Management - Provides for appointment of an FAA administrator with a fixed term in office of seven years.

Staff
Kiwi International Air Lines has received a $2 million guarantee from the New Jersey Economic Development Authority that will enable it to replace certain financing instruments, such as bonds. New Jersey Commerce Commissioner Gualberto Medina said the guarantee "will give the company the backing it needs to realize the economic development potential of its latest efforts." Kiwi expanded its operations by 30% recently, and spokesman Jack Tucker said March passenger traffic was up 35% over February, while revenues rose 33%.

DOT

Staff
DOT yesterday assigned the Los Angeles and Puerto Rico rates and charges proceedings to administrative law judges and scheduled pre-hearing conferences for April 6 and April 7, respectively. Recommended decisions are due June 1. (Dockets 50176&50178)

Staff
Boeing 747 Domestic Aircraft Utilization Per Day Third Quarter 1994 B747-100 Continental TWA Number of Aircraft Operated 1 2 Total Fleet Operations Departures 1 5 Block Hours 3 28 Flight Hours 3 26

Staff
U.S. Air Traffic Services Corporation (USATS) Highlights of 1995 Clinton Administration Proposal (Final Draft) Organizations - Not-for-profit Federal Government Corporation. Has about 40,000 employees. - Responsible for operation, maintenance and development of the ATC system. - Supports national defense activities. - Responsible for compliance with applicable environmental laws and regulations. Governance&Management

Staff
Joseph Del Balzo Associates has announced development of "World Aviation Market Access '95," described as an analysis and database of global aviation information on CD-ROM. Del Balzo, former acting administrator of FAA, said the product is a 600-page analysis of "timely FAA programs," combined with more than 10,000 pages of U.S. and international documentation. A hard copy of the analysis is provided with the CD-ROM, which is updated three times a year.

Staff
A proposal in the Senate version of the supplemental/rescissions bill (H.R.1158) to rescind $1.3 billion in unobligated Airport Improvement Program funds does not have any practical effect on airport grants, but it does point out the scope of the difference between the authorized level and actual funding in recent years. The Senate will resume this week its consideration of the bill, which would cut about $1.34 billion from FAA, including the AIP contract authority rescission.

Staff
SAS is implementing a company-wide staff bonus program under which every employee will receive a bonus of as much as 10,000 Swedish krona next spring, provided certain safety, punctuality, regularity and customer satisfaction criteria are met, the Scandinavian carrier said last week. The size of the bonus also will is linked to the company's 1995 profit. "The bonus program is meant to motivate and reward employees for their efforts to help make SAS successful in terms of profit, customer satisfaction as well as internal quality," said SAS Chief Executive Jan Stenberg.

Staff
DOT has granted TWA's motion to compel applicant carriers to produce information on revenue that will be diverted from existing services by their proposed new U.S.-Toronto services. The motion was opposed by USAir, Delta and Northwest, but DOT said it was in keeping with the department's request that carriers provide revenue diversion data and does not expand the scope of that request.

Staff
Paris airports authority Aeroports de Paris has awarded Thomson-CSF a contract to replace the airfield surface traffic radar equipment (ASTRE) that has been in service 18 years at Charles de Gaulle Airport. The new version, ASTRE 2000, is a panoramic radar that offers high-precision detection of all ground movements, including intruders, and provides controllers with information "even in the worst weather conditions," the company said. The ASTRE 2000 will be a component in the surface movement guidance and control system at the airport.

Staff
DOT determined yesterday that significant rates and charge disputes exist with airlines at Los Angeles Airport and the two airports operated by the Puerto Rico Ports Authority (DAILY, March 6). Under legislation enacted last year, DOT must rule within 30 days of a complaint on the significance of the disputes. Each case will be heard by a DOT administrative law judge, who must issue a decision by June 1. DOT has decided to review the judges' decisions and will issue its final decisions by June 30.

Staff
Transport Minister Douglas Young said Transport Canada will cancel its microwave landing system program with Micronav International because "ICAO [International Civil Aviation Organization] is now meeting and it is expected that it will decide to permit the continued use of ILS, as well as allow the use of MLS and satellite-based navigation systems" (DAILY, April 3). Canada's current infrastructure of ILS, which will meet "our own requirements until at least 2005, will therefore also meet ICAO's requirements," Young said. He noted that the U.S.

Staff
British Airways yesterday secured a 150-year lease on the bulk of the property comprising its London Heathrow maintenance base in return for an agreement to release its hold on a smaller parcel of airport land for development by Heathrow management company BAA plc. The deal restructures long-term leases held by the airline on 224 acres of BAA land. The new lease covers 185 acres of land at Hatton Cross, on the eastern side of the airport, comprising BA's west and east engineering maintenance bases.

Staff
FAA has made a "down-select" decision to negotiate only with a Wilcox-led team for the $500 million contract to develop the Wide Area Augmentation System (WAAS), sources told The DAILY yesterday. Competing teams were notified Friday not to continue to spend effort and money pursuing the contract. Wilcox, teamed with TRW and Hughes Aircraft, was competing against teams of Rockwell, GTE Government Systems and Booz Allen&Hamilton; Loral Federal Systems, Loral Western Development Labs, Space Systems/Loral, E-Systems and Arinc; and Harris and Trimble Navigation.

Staff
Lufthansa has launched a new round of its "buy&fly" fares. The promotional fares can be booked until April 15 and are good only to certain destinations. This round offers roundtrips from Germany to Buenos Aires for 1,299 Deutschmarks, to Asmara for DM999, and to Porto for DM549. The promotion features roundtrips to London for DM399 or DM499, depending on which German airport is used. The fares carry a minimum stay requirement of seven days for intercontinental flights, or a Saturday night stay for European flights.