Reno Air's January traffic rose 32.3% on 27.6% more capacity, producing a load factor gain of 1.8 percentage points. The number of passengers boarded was up 30.8%. "Our core markets show substantial year-over-year load factor improvements," said Reno Air President Robert Reding. He said Reno's results should continue to improve as it implements "minor seasonal schedule adjustments," including the discontinuation of one daily nonstop flight between San Jose and Colorado Springs Feb. 28, and two daily nonstops in the San Jose-Phoenix market April 1.
Air Canada's January systemwide passenger traffic rose 5.6% from the same month a year ago, but its capacity rose 13.8%, pushing the load factor down 4.3 percentage points to 55.9%. Domestic Canada traffic rose 6.8% on 13.7% more capacity, while international traffic increased 5% on 13.8% more capacity.
A coalition of 24 aviation industry organizations said last week it is "seriously concerned" with the funding aspects of the Clinton administration's plan for restructuring DOT because the proposal contemplates no funding for the air traffic control system from the general treasury.
Air Express International said fourth quarter net income increased 39% to $6.7 million and 1994 net income rose 30% to $22.6 million, compared with comparable periods the year before. Fourth quarter revenues rose 40% to $296.4 million and full-year revenues jumped 37% to $997.4 million. Operating income increased 31% for the quarter to $11.2 million and 22% for the year to $38.2 million.
Fourth quarter problems that removed some of the luster from Southwest's sterling 1994 have followed the airline into 1995 and will affect its first and second quarter results, Southwest officials said in interviews and appearances last week. "Some of the issues we had in the fourth quarter are dribbling here into the first half of the [new] year," Tammy Romo, Southwest's manager of investor relations, told The DAILY. "We're going to continue to be under pressure here in the first half," she said.
Aircraft Electronics Association named Dan Prosser, Stevens Aviation, chairman of the board. Aircraft Owners and Pilots Association Legislative Action appointed Mary Johnston director-legislative affairs. Committee for Dulles elected Edward Zigo, Clarke-Hook, president. National Association of State Aviation Officials named Megan Granlund staff associate and promoted Lori Lehnerd to director-aviation programs. Port of Oakland named Charles Foster executive director.
Chicago Mayor Richard Daley says he will fight "by any means necessary" a bill introduced Friday in the Illinois legislature by Republican House Speaker Lee Daniels to establish what Daley termed a "power grab" - a state-controlled regional airport authority that would take over O'Hare and Midway airports.
Granted orally an exemption to Air Operations of Europe for charter service between Sweden/Denmark/Norway and the U.S...Granted orally an exemption to Pacific International Airlines to continue to wet-lease 727s to Air Caribbean for all-cargo operations between Curacao, Netherlands Antilles, and Miami, originating in Panama City...Granted orally an exemption to USAir to renew its authority to operate between Pittsburgh and Ottawa...
The Air Transport Association has asked the Bureau of Labor Statistics to review its methods of measuring air travel price changes. David Swierenga, ATA's chief economist, told Commissioner of Labor Statistics Katharine Abraham that ATA was dismayed by the bureau's January Consumer Price Index, which cited a 2.2% air fare increase as one of the significant factors in the index rise. Swierenga said the industry experienced some of the sharpest price declines in January since the fare wars of 1992, about 8%.
Air New Zealand grounded most of its 737-200 fleet fitted with Nordam hushkits because of blade failures, Timothy Mooney, director of marketing communications-the Americas, said Friday. Last week, the carrier experienced the fourth turbine blade failure in six months in a hushkitted engine. James McCrea, ANZ managing director, said the New Zealand Civil Aviation Authority and the carrier agreed that there is a reliability problem "that relates to the use of overhauled turbine blades in these engines."
Delta's "framework" for quick resolution of contract talks, presented Thursday to its Air Line Pilots Association unit and under study by the union, offers stock options, but not ALPA's request for common stock and a seat on the board.The deal would provide some job protection related to international code sharing, but not the domestic job security ALPA wants in light of U.S. route restructuring that the union says subcontracts flying to regional partners.
- In Federal Register dated Feb. 10...Proposed to supersede an airworthiness directive on Beech 1900 series aircraft concerning modifying the instrument air plumbing system...Proposed to reopen the comment on a proposed AD on Jetstream 3101 and 3201 aircraft concerning modifying the shear fitting at the top of each escape hatch...Reopened the comment period on a proposed AD on Jetstream 3101 and 3201 aircraft concerning modifying the electrical system...Withdrew a proposed AD on Douglas DC-10 aircraft concerning modifying the fuel crossfeed dump shutoff system.
Delta's gross unrealized gain on its investment in Singapore Airlines stood at $143 million Dec. 31. On the same date, Delta had a gross unrealized loss of $24 million on its investment in Swissair.
Collins has signed a five-year component maintenance program agreement with TWA to provide equipment repair for more than 50 aircraft. Collins said the pact is expected to save TWA 20% on the existing extended warranty agreement's pricing. TWA expects to save about $100,000 in the first year of the contract. The program allows the carrier to pay for avionics repair services monthly at a fixed price per flight hour per unit. It also provides reliability analysis and tracking systems to assess equipment performance.
Air Transport International DC-8 cargo aircraft crashed last week at Kansas City International Airport, killing its three occupants. The crew was trying - with FAA approval - to take off on three engines, and was headed for maintenance work in Massachusetts. The pilot had aborted a first takeoff attempt.
DOT has decided to require carriers to file copies of their code-sharing agreements with the department when they involve "significant international code-sharing operations." American will be the first carrier affected by the new policy - in a notice on the requirement, DOT told it to submit its proposed code-sharing agreement with LOT of Poland. Both carriers have asked for additional underlying operating authority - American to add New York as a co-terminal point on Chicago-Warsaw authority, and LOT to serve Miami and Los Angeles.
Associated Air Freight named Mike Hess VP-strategic planning. Aviall appointed Dan Komnenovich senior VP-marketing and named Frank Leftwich president of Aviall Asia Limited, a newly formed marketing company based in Hong Kong. Aviall Caledonian Engine Services named Peter Muirhead, John Horsburgh and David Crews to its Executive Management Committee. Interstate Electronics promoted Michael Patrick to VP-operations. Precision Standard named Cleveland Howie director-marketing for the Pemco Nacelle Services Unit.
American has asked DOT to approve its application to expand its code- sharing services to Africa with South African Airways, filed eight months ago, if it grants World Airways' request to pick up the frequencies to South Africa not being used by USAfrica Airways.
Delta will install 20 new AT&T 5682 self-service ticketing machines by early spring in its Delta Shuttle terminals in Boston, Washington and New York. The new machines, replacing other electronic units, are capable of issuing a boarding card in less than 30 seconds. Delta is installing five machines at Boston and Washington, and 10 in the Marine Air Terminal at LaGuardia.
Air New Zealand's net earnings for the six-month period ended Dec. 31, the first half of its fiscal year, rose 59.4% to NZ$140.5 million (US$89.2 million) from NZ$88.1 million the previous year. Operating revenues were up 16.2% to NZ$1.47 billion (US$934.9 million). The airline's results were bolstered by strong passenger and freight traffic growth, and unit cost reductions. Air New Zealand's directors described the first-half results as "very satisfactory." As of Dec. 31, the carrier's net cash reserves stood at NZ$483 million (US$306.7 million).
Mitsubishi Heavy Industries has begun production of wing skins for the first Bombardier Global Express long-range business jet. MHI is responsible for the design, manufacture and assembly of the transonic wing and center fuselage.
Soon-to-retire Worldspan Chief Executive Cal Rader, discussing his five- year tenure at the computer reservations system company, says DOT's management of CRS rulemaking in 1992 was a disappointment because the process created a lot of uncertainty. DOT talked about a lot of issues, but never really dealt with them - there was "a lot of fuss and bluster, not a lot of substance."
British Airways Regional was to begin daily Birmingham-New York flights Monday using 757s. The new nonstop service replaces the previous four- times-a-week 767 operation that was routed via Glasgow. BA Regional suspended the flights Jan. 10 in a dispute with its cabin attendants over work-rule issues (DAILY, Jan. 10). "We are delighted that we can, at last, resume services to New York and can only apologize to our customers for the disruption, particularly to those whom we re-routed during the last six weeks," said George Cooper, managing director for BA Regional.
Boeing has petitioned FAA for exemption from head injury rules for 777-200 front-row economy-class passenger seats until April 1, 1996. The company says this will give it time to "implement [seat] design solutions." United launches 777 service June 7.
Pratt&Whitney will develop a 98,000-pounds-thrust version of its PW4000 engine, Karl Krapek, president, said Friday. He said the high thrust level will enable the engine to "easily power future versions of the 777 up to 660,000 pounds in gross takeoff weight." Current versions of the engine range up to 84,000 pounds' thrust, which supports a gross takeoff weight of about 550,000 pounds. Pratt had said earlier it would produce a 90,000- pounds-thrust engine. The two new engines will be called the PW4090 and PW4098.
