Aviation Daily

Staff
Yemen Airways has ordered two new A310-300s for delivery in the last quarter of 1996. Until then, it will lease two A310-200s, taking delivery in April and May. The aircraft, Yemen's first widebodies, will be used on regional routes and service to Europe.

Staff
Air Canada will inaugurate service between Toronto and Tel Aviv, Israel, June 30. The twice-weekly 767-300ER service will be Air Canada's first service to the Middle East.

Staff
Revenue passenger miles outgained available seat miles by nearly three percentage points during December for The DAILY's sampling of 10 large regional airlines. Average RPM growth for the group was 13.2%, compared with 10.3% for ASMs. Three of the 10 carriers posted traffic growth exceeding 30%. Delta Connection SkyWest led the group with a 36.7% increase in traffic versus one of 29.4% in capacity; Delta Connection Comair was up 34.2% in traffic versus 26.2% in capacity. Both operate new fleets of Canadair Regional Jets.

Staff
A revenue shortfall during the December quarter has prompted Mesa Air Group to lower earnings estimates from 17 cents per share to from seven to 10 cents per share, the company said this week.

Staff
DOT Secretary Federico Pea announced a measure step up the pressure on countries that still require spraying of insecticide in the cabins of arriving flights. The proposal would require that passengers be notified if their destination country requires the spraying. Pea pointed out, however, that seven foreign countries have agreed to halt the practice: Mexico, Jamaica, El Salvador, Chile, Cape Verde, St. Lucia and Belize. "The countries that have responded to our request include popular tourist destinations visited by millions of U.S.

Staff
USAir will start nonstop service between its Pittsburgh hub and Mexico City on Feb. 15. The airline is offering a special introductory fare of $398 roundtrip and a $198 companion fare for travel through May 15. Members of its frequent flyer plan will receive double mileage credit for trips in the market through April 30.

Staff
AirTran Corp. subsidiary Mesaba Aviation flew 25.6 million revenue passenger miles in December, a 9% increase from the 23.5 million recorded in December 1993. Capacity rose 8.4% to 57.8 million available seat miles from 53.3 million. Load factor climbed 0.3 percentage points to 44.4%, and passenger boardings increased 4.7% to 116,496.

Staff
Air France's systemwide passenger traffic rose 15% in 1994 on 6.8% more capacity, boosting the load factor 5.2 percentage points to 73%. The number of boardings rose 8.6% to 15.6 million. Cargo traffic was up 17.4% on 5.4% more capacity. In December, passenger traffic rose 5.3% from December a year ago on 6.4% more capacity, depressing the average load factor 0.7 points to 65.4%.

Staff
British Aerospace's BAe 146 [ SALES ] and leasing arm earned $175 million in lease revenue commitments in 1994. Asset Management Organisation reported signing 60 aircraft leases, of which 30 were new and 30 extended leases. AMO Managing Director Robin Southwell said, "We always knew we had a good product, but even so we have been surprised at how well the AMO concept has been received in the marketplace. Regional air transport is undergoing a radical change, and interest in the 100-seat regional jets is now intense.

Staff
Former Senate Majority Leader George Mitchell (D-Maine) has been elected to the board of Federal Express Corp.

Staff
USAir will increase service from the Washington area to Hartford, Conn., adding three daily flights from Dulles Airport March 5, using one 737 and two Embraer aircraft. The carrier already offers three daily flights from Baltimore/Washington and four from Washington National. USAir is promoting the new service with a 21-day advance-purchase fares offer from all three airports of $49 one way on Monday, Tuesday, Wednesday, Thursday and Saturday and $69 on Friday and Sunday. The unrestricted coach fare from Dulles will be $89.

Staff
Mountain West Airlines, Mesa's America West Express unit, will begin daily nonstop service between Fresno and Phoenix Feb. 28.

Staff
Fuel Cost and Consumption U.S. Majors, Nationals and Large regionals December 1993- November 1994 Total Total Cost Gallons (Dollars) ------- ---------- 1993 December Domestic 1,021,799,885 551,569,326

Staff
Bilateral talks with Canada went well this week but are not likely to be wrapped up next week in Washington, according to industry officials. Meetings Monday and Tuesday in Ottawa were businesslike and friendly but, strictly speaking, were not negotiations, the officials said. Instead, they were an article-by-article discussion of the draft agreement, identifying issues for further discussions, with the real talks set to begin this week in Washington. Key topics will be dispute resolution and user charges.

Staff
USAir Express affiliate CCAIR Feb. 15 will inaugurate nonstop service between Norfolk/Virginia Beach and Raleigh/Durham, N.C., with three daily roundtrip flights, and continuing service to Greenville/Spartanburg.

Staff
Comments on DOT's expanded disclosure requirements for change-of-gauge service (DAILY, Jan. 19) - service with one flight number that requires a change of aircraft - must be received by March 20 to Docket 47546. Replies are due April 19.

Staff
Metro 23 manufacturer Fairchild Aircraft announced an ambitious re- engineering effort that it hopes will improve production time to six months from the current 12. The program, however, will require short-term layoffs of 155 employees, most of whom would be recalled later this year, Fairchild said. Company Chairman Carl Albert told The DAILY that the company hopes to recall 100% of the laid-off employees by July, but that it expects that some will find other positions before then.

Staff
AMR Eagle has resumed active discussions with Saab Aircraft concerning the acquisition of Saab 2000 aircraft, The DAILY has learned. The number was placed at 20 to 30. But a Saab spokesman said, "We only continue to discuss. We are not even close to a term sheet [initial agreement]." Eagle officials have recently visited the factory in Sweden and have flown the 50-passenger, high-speed turboprop. Eagle carriers currently operate 116 Saab 340 aircraft, which seat 34 passengers.

Staff
New Regional Aircraft Deliveries November 1994 Last 12 Months Carrier No. Type Engines Delivery Air UK Ltd. 1 Fokker 50 PW127B 2 Allegheny Commuter 1 DHC-8-100 PW120A 4 Bangkok Airways 2 AA ATR-72 PW124 - Comair Inc. 1 Canadair RJ CF34-3A1 -

Staff
Flight attendants are objecting to a Sun Country Airlines request that FAA stay the March 1 compliance date of its flight attendants duty time rule pending a court decision. Sun Country filed a petition for review of the rule last Sept. 1 in the U.S. Court of Appeals for the District of Columbia (DAILY, Oct. 24).

Staff
New Regional Aircraft Orders And Options November 1994 Firm Orders Options Carrier No. Type No. Type Gulfstream Int'l 4 IPTN N-250 6 IPTN N-250 Impulse Airlines 2 Beech 1900D - - Mesa Airlines 40 Beech 1900D - - Regional Airlines 3 EMB-145 2 EMB-145

Staff
Avro Aerospace, the jet-manufacturing arm of British Aerospace, is now part of the joint-venture equation between BAe unit Jetstream Aircraft and Avions de Transport Regional partners Aerospatiale of France and Alenia of Italy. "The French wanted a jet component" as part of the product mix, said a source close to the joint-venture discussions. It was not known whether Avro would become part of the joint venture or simply a marketing partner. Meanwhile, the joint venture is said to be close to fruition, with a large, high-speed turboprop planned initially.

Staff
Roque H.R. de Pina, who opened USAfrica's Cape Verde station this month, was killed Tuesday in a car accident on Sal Island, where the airport is located.

Staff
Northwest, which was on the verge of Chapter 11 less than 18 months ago, yesterday posted the largest fourth quarter and full year net profits in its history. The three months ended Dec. 31 were the company's sixth consecutive profitable quarter - it achieved net earnings of $35.9 million, up from $10.5 million a year earlier, and an operating profit of $142.9 million. For the full year, Northwest recorded net earnings of $295.5 million, more than half of it - $170 million - in its record-breaking third quarter, and an operating profit of $830.4 million.

Staff
In a move that affects $9.5 billion in long-term airline debt securities, Moody's Investors Service yesterday said it is revising its ratings practice on airline equipment trust certificates (ETCs) and pass through obligations. Moody's also said it will consider assigning ratings that could be as high as two notches above the issuing airline's long-term senior unsecured debt rating to all qualifying securities issued to finance new aircraft.