Aviation Daily

Staff
Air Transportation Holdings Co. said it will relocate from Maiden, N.C., and expand its Mountain Air Cargo F27 aircraft maintenance facility and Mountain Aircraft Services engine overhaul management facility and become the first tenant of North Carolina's new Global TransPark in Kingston, N.C. A new facility is to be completed by summer 1996 and will consolidate out- of-state aircraft maintenance and engine overhaul management operations.

Staff
Garuda Indonesia and Abacus Distribution Systems Pte Ltd have opened a joint-venture National Marketing Company (NMC), P.T. Abacus Distribution Systems, in Jakarta, Indonesia. The company is the exclusive Abacus distributor in Indonesia. At the same time, more than 30 travel agencies in Jakarta have switched to the Abacus system, and more than 200 agents will be linked to the system by the end of the year, Abacus said. Garuda and Abacus have been developing the NMC since last year.

Staff
All Nippon Airways' international passenger volume rose 15.2% in March to 174,733 from 151,649 in March a year ago. The airline's domestic passenger total rose 18.8% to 3.46 million from just under 2.91 million. On the fiscal year ended March 31, ANA boarded 1.75 million passengers on its international routes, an increase of 11% from the previous year, and 34.06 million passengers on its domestic routes, which was up 6% from the previous year.

Staff
British Airways is offering an all-inclusive, three-day tour package to London from Boston. The price is $519 per person, based on double occupancy, which is $1 more than the regular promotional air fare of $518. The package includes roundtrip air fare, three nights' hotel accommodations and daily continental breakfast at the Tavistock Hotel, and airport transfers between the hotel and London Heathrow. Reservations must be made at least seven days before departure, but no later than May 14, for departures from May 7-31.

Staff
DOT granted USAir authority yesterday to begin operating twice-daily roundtrip 737-300 service between Washington National and Toronto on June 19. The department dismissed applications by Continental and Business Express for rights to operate service on the route. The route opportunity grew out of the recently signed U.S.-Canada aviation pact, which permitted the carrier with Baltimore-Toronto authority before the agreement to begin the Washington National-Toronto service immediately upon inauguration of service on the route by a Canadian carrier.

Staff
Martinair Holland is offering Florida travel agents a $50 cash incentive to book Martinair flights to Amsterdam in conjunction with a KLM flight from Amsterdam to other European destinations. Agents will receive a 10% commission from Martinair and a $50 bonus per roundtrip or $25 one way. The offer is good for flights departing May 1-June 10. The Martinair/KLM partnership offers connections at Amsterdam to more than 20 destinations.

Staff
U.S. Major Carriers Financial Results America West First Quarter 1995 1st Quarter 1st Quarter % 1995 1994 Change Operating Revenues (000) $ 345,790 $ 345,264 0.15 Operating Expenses (000) 320,895 307,514 4.35 Operating Profit/Loss (000) 24,895 37,750 Net Profit/Loss (000) 5,210 15,175 Yield (Cents) 10.93 11.12

Staff
McDonnell Douglas has declared a dividend of 20 cents per common share, payable July 3 to shareholders of record June 9.

Staff
FlightSafety International has received FAA training contracts for Cessna Citation, Learjet 55, Learjet 31A, Westwind 1124, Beechjet 400, HS-125/700 and Sabreliner 40 aircraft.

Staff
Air cargo traffic increased 10.3% during March from the same period a year ago, according to the Air Transport Association. The results represent the smallest increase in eight months. During the month, U.S. airlines tallied nearly 1.4 billion revenue ton miles in domestic and international cargo, compared with 1.26 billion RTMs in March 1994. For the first three months, the carriers flew nearly 3.68 billion RTMs, up 13.3% over the 1994 quarter's 3.25 billion.

Staff
GE Aircraft Engines and IHI of Japan have signed a memorandum of understanding under which IHI will be responsible for design and manufacture of 30% of the CF34-8C turbofan engine that will power the new Canadair CRJ-X regional jetliner. IHI may invite other Japanese companies to participate in its portion of the program. The engine for the 70- to 76-passenger aircraft will produce up to 13,000 pounds' thrust, or about 50% more than the CF34-3A1 that powers the Canadair Regional Jet.

Staff
Continental Chief Executive Gordon Bethune received a $1.5 million bonus and an amended employment agreement last year, at least in part because he was offered a better deal by an unidentified competitor after joining Continental as its president and chief operating officer in February 1994.According to the proxy statement Continental filed recently with the Securities and Exchange Commission, the competing offer included a substantial bonus and significantly higher salary and benefits than Continental had agreed to pay.

Staff
District 143 of the International Association of Machinists has authorized litigation against one of its members for pursuing criminal charges of assault and "fighting words" against an IAM official. Attorneys for Victor Remeneski, an IAM member who supported a move in 1991 by the Aircraft Mechanics Fraternal Association (AMFA) to represent mechanics at Northwest, said IAM officials screamed profanities at Remeneski, who feared physical harm. The suit against Remeneski is for malicious prosecution.

Staff
DHL Worldwide Express named Victor Luaces director-sales and marketing for the Latin American and Caribbean region. Emirates appointed Scott Holz sales executive-Central USA. Swissair named Peter Somaglia VP-cargo.

FAA

Staff
- In Federal Register dated April 24...Issued an airworthiness directive on certain Boeing 767 aircraft requiring replacing the door-opening actuators of the emergency off-wing escape system...Issued an AD on AlliedSignal LTS101 engines requiring replacing the magnetic speed pickups in the engine overspeed protection system...Issued an AD on Pratt&Whitney JT8D engines requiring inspection of certain combustion chamber outer cases on DC-9 and 737 aircraft.

Staff
Sterling Airways A/S has decided not to submit an application to DOT to renew its Foreign Air Carrier Permit. Put into bankruptcy in September 1993, the carrier has been substantially liquidated, but part of its operations has been reorganized for service in Europe and North Africa. (Docket 45279)

Staff
United has rolled out its first 737 painted with the Shuttle by United logo. It will be followed by 11 more throughout the year. United is applying the new logo as the airplanes come due for repainting.

Staff
Aeromexico requested renewal of its authority to operate scheduled combination service between Hermosillo and Tijuana, Mexico, and Phoenix, Ariz. The carrier currently offers multiple daily nonstop service in the Hermosillo-Phoenix market under its code-share arrangement with Air L.A., using 19-seat Metro III aircraft. It does not operate service between Tijuana and Phoenix but is considering it. (Docket 50305)

Staff
DOT and European Union representatives squared off Friday over who will gain the most from the U.S. nine-country initiative, in a panel discussion sponsored by the Federal Bar Association. The U.S. will get "many more advantages" than the European countries, said Yves Devellennes, counsellor for the delegation of the Commission of the European Community. For example, the pacts do not address market access in a balanced way. Under the agreements, U.S. carriers gain fifth-freedom rights in Europe, while European airlines will be shut out of the U.S.

Staff
Another round of internal conflicts at Kiwi International Airlines could cause management upheaval as early as today and further calls into question the airline"s stability. A battle broke out last week among directors and management, as some directors took sides with Chairman and Chief Executive Byron Hogue, and others supported President Danny Wright. Wright and five board members, referred to as the voting trust, called a board meeting designed to get rid of Hogue.

Staff
Airbus Industrie of North America appointed Troy Tollen director- placement and remarketing, North America. Airclaims Limited appointed Larry O'Beirne managing director- Airclaims International with the announced acquisition of L.E. O'Beirne&Associates. Air Express International reported the death of Tom Stack, formerly head of AEI's European operations Associated Air Freight promoted Jim Marks to regional service manager- Mid-Atlantic region.

Staff
United said it could save $5 million a year by opening a flight attendant domicile in Hong Kong, a move that has outraged its flight attendants, who fear that U.S. jobs will go overseas (DAILY, April 27). The airline countered that the new base will generate additional flight attendant jobs in the U.S. and Asia, and U.S.-based flight attendants will have first choice, based on seniority.

Staff
General aviation aircraft billings increased 33.5% to $595 million in the first quarter, while units rose 14.4% to 207, the General Aviation Manufacturers Association said. GAMA President Edward Stimpson said that the first quarter included increases in both piston aircraft and turboprop aircraft shipments, and "we are beginning to see indications of industry revitalization." Piston shipments were up 16.4% to 108 and turboprop shipments 40.5% to 52, but jet shipments declined 9.6% to 47.

Staff
U.S. and Philippines concluded the current round of negotiations Friday in Washington without resolution or plans to meet again. The U.S. has been seeking a more liberal regime, while Filipino officials are concerned mainly about the potential for uncontrolled capacity from the U.S.

Staff
Arrow Air was successful in negotiations with FAA in avoiding a proposed certificate revocation, Jeffrey Shane, the carrier's attorney, said Friday. Shane said FAA had agreed in a consent order not to revoke the certificate but formalized a suspension issued March 17 in a consent agreement under which Arrow voluntarily grounded its fleet of 18 aircraft. The carrier will pay FAA $1.5 million to defray the cost of the agency's investigation, Shane said. Under the terms of the settlement, Arrow did not admit any violation of FAA regulations, Shane said.