Aviation Daily

Staff
DOT considers "very serious" actions taken by Japan against U.S. carriers, said DOT General Counsel Stephen Kaplan. Japan last week denied United authority to operate between Seoul and Osaka and imposed new restrictions on other U.S. carries, shortening term limits on their route applications for the upcoming summer season. Northwest, United and Federal Express will be affected by the restrictions, said industry officials.

Staff
Robert Iverson, recently fired chairman, chief executive and president of Kiwi International Air Lines, this week filed a nine-count complaint against the airline and 10 directors, charging them with bringing the airline to the brink of financial disaster. As expected, Iverson filed a lawsuit at the Superior Court of New Jersey, Chancery Division, claiming the Kiwi board organized the February coup out of fear that a financing plan he proposed would dilute their own shareholder interests in Kiwi and their ability to be re-elected as directors.

Staff
Apollo enhanced the flexibility to its Custom Check product to permit agents to attach up to three rule records to a passenger name record (PNR). Custom Check is a PNR management tool that uses custom-create rules to ensure an agency's PNRs comply with its business standards. Rules that will edit the format and content of PNR fields and alert agents to inaccuracies or omissions are built by the individual agency using a rules- based mini-programming language. The customized rule records are "attached" to each PNR via either a manual or PRO-file entry.

Staff
Continental will begin service between Houston Intercontinental Airport and Birmingham, Ala., and Ontario, Calif., June 22, offering two daily flights to Ontario and three to Birmingham. Fares to Birmingham will be as low as $68 one way. Roundtrip fares to Ontario will be as low a $298, and unrestricted one-way tickets $249. Continental also said Continental Connection will begin new service from Piedmont Triad Airport in Greensboro, N.C., to Myrtle Beach, Wilmington, Indianapolis and Birmingham.

Staff
Sunmakers Travel Group, one of the largest wholesale tour operators in the Pacific Northwest, has signed an agreement with Galileo International to make Sunmakers' products and services available to Apollo subscribers through the LeisureShopper product. Galileo will be the first computer reservations system company to feature Sunmakers' product line. Sunmakers has begun interfacing its TECH 7 system to LeisureShopper and plans to cut over in August.

Staff
Continental Micronesia wants authority to operate scheduled all-cargo service between Guam, on the one hand, and points in Indonesia and Malaysia, on the other, via the Philippines. The carrier plans to begin as soon as possible five weekly flights between Guam and Kuala Lumpur, via Manila, using 727 freighter aircraft. (Docket 50236)

Staff
IATA Director General Pierre Jeanniot said yesterday that before the European Commission can negotiate bilaterals on behalf of its member states, it must first demonstrate that it can achieve a better result than if the states negotiated individually. He also said that fostering increased competition will, by itself, "make for better European aviation."

Staff
Cargolux Airlines International is seeking renewal of its authority to carry passengers on the upper deck of its 747 freighter used for U.S. service. Cargolux operates scheduled cargo service between Luxembourg and five U.S. destination - Houston, Miami, New York, San Francisco and Seattle. The service is limited to seven roundtrips per week. (Docket 48657)

Staff
Delta will allow captains aged 60 and older to downbid to second officer, and will offer the option to eligible retired pilots. The downbidding is allowed at most major carriers, except American. Delta has been upheld by courts in several lawsuits brought by pilots claiming age discrimination, and the policy change comes as a lawsuit brought by several pilots was returned by a circuit court for retrial.

Staff
British Airways and partner Qantas have introduced a London-Auckland flight operated via Los Angeles with a 747-400. The new flight, which is offered three times a week, cuts more than three hours off the previous BA flight in the London-Auckland market. Between Auckland and Los Angeles, BA is code sharing on a Qantas aircraft originating in Melbourne as QF101. In Los Angeles, London-bound passengers transfer to BA282.

Staff
The prospects for the Sabena/Swissair transaction have taken a turn for the worse because of the Belgian government's inability to date to overcome legal obstacles that would allow it to reduce Sabena's social security obligations by 650 million Belgian francs. Belgian officials are said to be drafting a royal decree on the matter that would require approval only by the cabinet ministers and the king. Without the social security exemption, Swissair is not likely to agree to invest 6 billion francs for a 49% stake in Sabena.

Staff
Qantas yesterday resumed service to Beijing, eight years after withdrawing from the market because of low yields. Qantas operated the first flight with its 747-400, known as Wunala Dreaming, that is painted in Aboriginal designs, but subsequent flights will be operated with 767-300s configured to accommodate 20 passengers in business class and 208 in economy. The new service is routed Melbourne-Sydney-Beijing and operate once a week.

Staff
The Nashville Metropolitan Airport Authority is urging DOT to renew American's and Transwede Airways' authority to engage in a code-share operation. Under its existing authority, American has integrated its Dallas/Fort Worth-London and Nashville and Raleigh/Durham-London routes with its authority to serve Sweden. Under the code-share arrangement, American places its designator code on Transwede service between London and Stockholm.

Staff
British Airways Chairman Colin Marshall told reporters in London yesterday that BA hopes USAir can reach agreement in the next seven days, or by this weekend, with three unions for wage concessions following the tentative pact reached Saturday with its pilots.

Staff
DOT's proposed legislation to allow expansion of Part 139 requirements to small airports will not be moving in the House, Transportation Committee Chairman Bud Shuster (R-Pa.) said yesterday. At a meeting of the American Association of Airport Executives and Airports Council International-North America, Shuster said he viewed the proposal as too broad and as another unfunded mandate on airports.

Staff
Air Canada plans to begin Ottawa-Washington Dulles service on May 1, and to begin flying from Montreal and Toronto to Washington National on June 19 as part of its open skies expansion program, the carrier said yesterday. All the new flights - 11 a day once service begins in all three markets - will be operated with Canadair CL-65 jets. "Until now, it has been simpler for Canadians to get to London or Paris than Washington," said Jean-Jacques Bourgeault, Air Canada's executive VP and chief operating officer.

Staff
Ansett Australia yesterday cut over to Infini's group passenger name record (PNR) Handling Phase 1 (GHP1) product. The product allows specified travel agents selected by Ansett to retrieve, queue and ticket the group PNRs residing in the Ansett system. Agents also can enter group passenger names and other related information, as well as make selected modifications. The function allows Ansett to delegate some of the basic group passenger processing functions to the travel agents, reducing the carrier's workload and permitting better staff utilization.

Staff
Southern Air Transport is seeking renewal of its authority to conduct all- cargo service between New York, on the one hand, and Prestwick/Glasgow, Scotland, on the other. (Docket 49043)

Staff
Germania Fluggesellschaft, a German inclusive tour operator, has ordered 12 737-700s valued at $512 million, Boeing said yesterday. Deliveries of the 148-seat aircraft are scheduled between the fourth quarter of 1997 through mid-1998. German operators Hapag-Lloyd and Air Berlin last fall placed the first orders for the 737-800, and SAS this month launched the 737-600. Boeing said that since launch two years ago, it has received 140 orders for the "next-generation" 737s, 77 of which have come from European operators.

Staff
Sarah MacLeod, executive director of the Aeronautical Repair Station Association, will succeed Walter Coleman, president of the Regional Airline Association, as chairman of the Aviation Rulemaking Advisory Committee (ARAC).

Staff
Boeing has firmed up US$15 million in deals with four Bangalore-based state-owned Indian aerospace units - the Hindustan Aeronautics Ltd., the National Aerospace Laboratory, the Aeronautical Development Agency and the Indian Institute of Science, according to an Indian government spokesman. The deals center on manufacturing and R&D programs, including a contract with Hindustan for manufacturing overwing exit doors for Boeing 757 aircraft.

Staff
National Transportation Safety Board will hold public forums in Alaska in May as part of a special study of aviation safety in the state. The purpose of the forums - scheduled at the Juneau Westmark Baranof Hotel May 22 and the Sheraton Anchorage Hotel May 24-25 - will be to gather information from industry, regulators and others. The focus will be on scheduled commuter flights and commercial air taxi operations.

Staff
Senate Commerce Committee voted yesterday to retain the statutory mandated 1,250-mile perimeter rule at Washington National Airport. At a markup, aviation subcommittee Chairman John McCain (R-Ariz.) had offered a substitute to his bill (S.288) to abolish the Board of Review for the Metropolitan Washington Airports Authority (MWAA). McCain's proposed substitute included a compromise measure to repeal the statutory requirement for a perimeter rule but leave intact MWAA's ability to impose a perimeter on its authority as an airport proprietor.