The Japan Airlines Group, which already operates Nikko Hotels International, is developing a new chain, Hotel JAL City, targeted at business travelers. Two sites are under construction. JAL is launching the new chain in Japan but is considering taking it overseas, while the Nikko chain is scheduled to open its first hotel in Tokyo next year.
Kiwi International Air Lines generated more revenue in March than in any other month in its brief history, with scheduled passenger traffic up 59% over March 1994, and 35% over February. The carrier says it turned a profit for the month despite significant writeoffs.
USAir's board of directors has planned to meet tomorrow but will not vote on the concession package it reached with its pilots until it strikes similar deals with the Association of Flight Attendants, Transport Workers Union and Machinists union, USAir's Air Line Pilots Association unit said.The AFA says its negotiations are like the Energizer bunny - they just keep going, and going, and going.
Alaska Air Group Friday reported first quarter net and operating losses that were significantly larger than a year ago, but management was upbeat about the potential for the next two quarters. The company, which is the parent of Alaska Airlines and Horizon Air, suffered a net loss of $16.3 million, or $1.22 per share, in the first quarter, compared with a net loss of $6.3 million, or 47 cents per share, in the same quarter last year. Its first quarter operating loss ballooned to $18.3 million from $2.9 million a year ago.
Cincinnati- and Orlando-based Comair's seat mile costs will drop to 12 or 13 cents if the carrier acquires all Regional Jets it has on order or option, the regional's chief operating officer told a financial conference this week. Unit costs for the most recent reported quarter were 14.1 cents per available seat mile (DAILY, Jan. 27).
Alaska Subsidized Essential Air Service As Of March 1, 1995 Other Points State/ Subsidized Service Served Under Aircraft Communities Carrier to (Hubs) One Rate Type 12 Kodiak Bush MarkAir Kodiak (See Column 1) Cessna 185 Points* Express (3 Seats) Cape Yakataga Gulf Air Yakutat Icy Bay Cessna 185 &
FAA on May 18 will hold its first public meetings on a proposal to bring many Part 135 operators under Part 121 operational standards. The sessions, to be formally announced in the April 14 edition of the Federal Register, will include both an open forum with the administrator and deputy administrator and a public meeting on the commuter Notice of Proposed Rulemaking. They will be held at the Loussac Library in Anchorage, Alaska (DAILY, March 27 and March 31).
Pratt&Whitney Canada apparently has won the engine competition for the 70-passenger de Havilland Dash 8-400 high-speed turboprop. Allison Engine Co. was long considered the leading contender with its AE 2100 turboprop, but sources told The DAILY that marrying two Canadian products likely would make both manufacturers eligible for Canadian government funding. There also is the Quebec-separatist issue: an award to Allison would suggest that English Canada was turning its back on French Canada by giving the contract to a U.S. company.
Simmons Airlines, operating as American Eagle, is seeking authority to operate combination service between New York Kennedy Airport and Halifax, Nova Scotia, Canada. The carrier proposes starting two daily nonstop roundtrips beginning June 15, using 64-seat Super ATR aircraft. (Docket 50278)
U.K. negotiators went home Wednesday after failing to hammer out with their U.S. counterparts either a "maxi or mini deal." After raising the possibility of breaking the long-standing stalemate between the two countries, the two rounds of talks ended by producing more commotion than results. While the two sides left open the possibility of another round, many industry officials are pessimistic it will happen any time soon. In practical terms, the U.S. has a very crowded schedule of talks through the beginning of June.
Johannesburg, South Africa-based Comair has signed a contract for two 48-passenger ATR 42-320s, ATR reported. South Africa's Comair, privately held and not affiliated with the U.S. regional carrier of the same name, was created 50 years ago and is the oldest in South Africa after South African Airways, ATR said. The two ATRs will join four Boeing 737-200s, one Fokker 28 and four Fokker 27s in the carrier's fleet.
Amadeus is in a three-way deal with Avianca and ANATO, Colombia's Travel Agency Association, that will make the European computer reservations system available through 600 terminals in 400 Colombian travel agencies. Avianca and ANATO jointly run the Savia distribution system in Colombia. Savia-connected travel agencies are currently using System One, but under terms of the agreement with Amadeus, they will cut over to Amadeus during the next several months. The switch is supported by the joint-venture agreement between Amadeus and System One signed in December.
AlliedSignal Engines is betting that its recent acquisition of Lycoming's gas turbine engine business will give it commanding share of the hottest growth aircraft market-the 50- to 90-passenger segment-without having to pick sides in the turboprop versus turbofan debate, DAILY affiliate Aerospace Propulsion reported from Phoenix.
Peruvian flag carrier Faucett has scaled back its earlier request for Lima- Miami authority. The carrier now seeks renewal of its existing authority to operate nine narrowbody frequencies on the route. Previously, it had requested one-and-a-half additional frequencies, so that it could operate one scheduled Lockheed L-1011 combination roundtrip per week (DAILY, Dec. 13). (Docket 49883)
Traffic growth narrowly outpaced capacity gains during March, perhaps indicating that the bad publicity about regional-airline safety following two accidents late last year is beginning to wane. The sampling of 12 regionals monitored by The DAILY had an average increase in revenue passenger miles of 19.3% versus an average gain in available seat miles of 18.6%. Skewing the results is Gulfstream International of Miami, which is expanding rapidly - RPMs were up 90.1% over a year ago and ASMs 65%.
New Denver-based Frontier Airlines March traffic inched upward to 24.7 million revenue passenger miles, a 4.2% increase from February. The carrier increased available seat miles by 12.4% to 55.9 million, yielding a drop in load factor to 44.3% from February's 47.7%. Frontier, launched in July 1994, carried 44,455 passengers in March. March 1995 February 1995 Rev. Passenger Miles 24,726,000 23,734,000 Available Seat Miles 55,876,000 49,711,000
DOT is prohibiting Great Lakes Aviation, operating as United Express, from suspending subsidized essential air service at Fairmont, Mankato and Worthington, Minn., and Brookings and Mitchell, S.D., on April 24. The carrier which has been providing the service since March 24, filed plans to stop service Jan. 23, but the department is requiring it to maintain the service through May 24 or until a carrier capable of providing reliable essential air service begins service.
FAA said yesterday it believes that U.S. objectives were met at the recent International Civil Aviation Organization Com/Ops meeting in Montreal, and that it is satisfied with the cooperation and the results, specifically the abolition of the Jan. 1, 1998, deadline for installing the microwave landing system, leaving an option for nations that absolutely need it. Richard Arnold, FAA leader of the integrated product team for GPS and navigation, said the meeting did not reject a demonstration by the U.S.
Chicago Express plans to establish operations at Raleigh/Durham to feed Midway Airlines, which is essentially replacing American at the point. Scope of the operation, timing and markets still are under discussion, according to CE President Courtney Anderson, but the carrier would launch operations with Jetstreams and quickly phase in 30-passenger-class airplanes. "The impact on our Chicago operations is as yet undetermined," he added. Seventy percent of its Chicago traffic is O&D, but the emphasis at Raleigh/Durham would shift to connecting traffic.
The 4.3-cent-per-gallon fuel tax to be imposed on the airline industry in October - unless Congress intervenes - will raise individual carriers' operating costs by only 1%, which could be passed on to the consumer, an industry analyst said. Referring to an analysis of fuel costs prepared for The DAILY, the analyst said that although the chart shows that if the tax had been imposed for the year ending with the third quarter 1994 - costing the industry nearly $500 million - individual carriers could easily recover the loss, he said.
DOT has fined Transportes Aereos Ejecutivos (Taesa) for operating charter service between the U.S. and Mexico without gaining the necessary permission. Specifically, Taesa conducted three charter flights between points in the U.S, and points in Mexico on Nov. 20 without obtaining a statement of authorization from the department to operate the flights, according to DOT. The U.S.-Mexico bilateral requires prior approval for all third- and fourth-freedom charter flights between the two countries.
Infini Travel Information Inc. yesterday implemented its Locator Back function with Guatemalan carrier Aviateca, Lacsa of Costa Rica and Nica Airlines of Nicaragua. Locator Back enables the airlines' record locators to be registered in the Infini passenger name record, which enhances synchronization between Infini and the airlines. Infini is a Japan-based computer reservations system owned by All Nippon Airways and the Abacus Distribution Systems, a Singapore-based CRS owned primarily by a number of Asia/Pacific region airlines.
Moody's Investors Service said yesterday it has placed certain Air Canada ratings under review for possible upgrade in anticipation of closing on the airline's recent sale of C$250 million of Class A common shares and because of the potential for improved operating results. The ratings agency said it will examine the improvements in Air Canada's balance sheet and leverage ratios expected from the equity transaction and the company's future leverage goals.
Charlotte, N.C.-based USAir Express affiliate CCAIR offered 26.7 million available seat miles for sale last month, 13.5% more than in March 1994. Traffic failed to keep pace, dropping 5.4% to 11.9 million revenue passenger miles from 12.6 million. As a result, load factor took a 5.2 percentage point dive to 44.6% from 49.8%. Enplanements dropped 6.7% to 68,924 from 73,851.
U.S. Major Carriers Domestic Fuel Cost and Consumption America West 1985 1986 1987 Total Gallons 0 100,578,244 181,069,903 Total Cost 0 56,713,305 105,614,219 Cost Per Gallon 0 0.56 0.58 American 1985 1986 1987 Total Gallons 1,288,160,790 1,360,933,810 1,581,215,672
