Aviation Daily

Staff
Clarification: Swissair has appointed a new general manager-marketing for North America, not a new general manager for North America as stated in a headline May 26 in The DAILY.

Staff
The City of Chicago has filed at DOT in support of Western Pacific's request that the department reconsider its decision to deny the airline an exemption from the slot rules to provide service between Colorado Springs and Chicago O'Hare (DAILY, April 25). The city argued that DOT's decision is inconsistent with the language and intent of the 1994 legislation that set up criteria for exemptions from the slot rules.

Staff
The U.S. concluded separate talks with South Africa and China last week without reaching new agreements with either. Progress was reported after three days of talks with South Africa, according to a DOT spokesman, who added the parties planned to talk again but set no dates for negotiations. The two countries are operating without a bilateral. In the talks with China, however, the two sides made no plans to meet again. The U.S. wants China to recognize U.S. rights to operate additional combination and cargo frequencies to that country.

Staff
SkyWest Inc., the holding company for Delta Connection carrier SkyWest Airlines, reported yesterday that its operating and net profits for the year ended March 31 both declined from the previous fiscal year. The company's operating profit fell 17.6% to $20.3 million and its net earnings 4.8% to $13.7 million, or $1.23 million. "The decline in net income during fiscal 1995 reflects slower traffic growth resulting from negative publicity regarding regional airlines, as well as the continuing discount fare environment," said Bradford Rich, executive VP-finance.

Staff
U.S. Major Carriers Operating Revenue and Expenses The Year 1994 Operating Operating Revenues Expenses (000) (000) The Year 1994 America West $ 1,414,317 $ 1,267,940 American 14,951,125 14,039,542 Continental 4,798,183 4,884,445

Staff
A new partnership of six technical, financial and asset management firms has acquired most of Delta's inventory of spare parts, accessories, avionics and engine components, estimated to be worth more than $400 million. Avatar Alliance, based in Stratford, Conn., said the spares from Delta will form the base for the new partnership, and include 59,000 line items totaling 17 million individual parts for 12 aircraft models - Airbus A300 and A310; Boeing 737-200 and -300, and 747, 757 and 767; Lockheed L- 1011, and McDonnell Douglas DC-9, DC-10, MD-82/88 and MD-11.

Staff
Aeromexpress is seeking renewal of its authority to operate all-cargo service between points in Mexico and the U.S. The carrier is seeking renewal for two years of service between a number of markets, including Mexico City-Chicago/Houston/Laredo/New York/San Francisco/Seattle; Guadalajara-Laredo/Miami/New York/San Francisco; Monterrey-Miami/New York, and Tijuana-Miami/New York/Seattle. The carrier also wants continued authority for service between Mexico City and three U.S. co-terminal points - Detroit, Los Angles and Miami - and between Merida and Miami.

Staff
The European Union is preparing to send letters to six member countries that have initialed open skies pacts with the U.S. asking them not to sign the agreements. The letters are the first phase of a formal procedure that may lead to an EU Court of Justice action against the six - Denmark, Sweden, Finland, Belgium, Luxembourg and Austria. The countries will have one month to reply. The letters follow an earlier series of threats of legal action by EU Transport Commissioner Neil Kinnock if the six proceeded with the open skies talks.

Staff
Virgin Atlantic Airways is offering travel agents a 15% commission rate on all published economy fares from Newark, Boston and Milwaukee to London, and on published through fares to Athens from those gateways. The Milwaukee service is operated in conjunction with Midwest Express. Virgin said it will give the 5% bonus commission at the time of ticketing, and all outbound travel must begin by Sept. 30.

Staff
Members of the American Society of Travel Agents (ASTA) recently toured Vietnam as part of the first official educational tour by U.S. travel agents, one of the "biggest breaking destinations," the travel group said. The tour, coordinated by ASTA and Northwest WorldVacations, came at the request of the Vietnamese government. ASTA President Jeanne Epping said, "Since the travel industry is one of the driving engines of the global economy, this one cutting-edge visit by travel agents can ultimately have a major ripple effect on Vietnam's future economic growth.

Staff
Duff&Phelps Credit Rating Co. yesterday raised its rating on McDonnell Douglas's senior debt to BBB+ because of the continuation of the company's strong operating performance and cash flow, and the expectation that these trends are sustainable. At the same time, Duff&Phelps raised McDonnell Douglas Finance Corp.'s senior debt rating to BBB+ and subordinated debt to BBB.

Staff
Aerolitoral is seeking authority to operate scheduled combination service between Hermosillo, Mexico, and Phoenix; and between Tijuana, Mexico, and Los Angeles. A wholly owned subsidiary of Aeromexico, Aerolitoral has asked DOT for permission to carry the Aeromexico code on the service. The carrier requested immediate action on the application since Air L.A., Aeromexico's code-share partner in the markets, announced plans to terminate service on the routes. As of yesterday, Air L.A.

Staff
Aeromexico has applied for renewal its authority to operate scheduled combination services between Puerto Vallarta and Ontario, Calif. The carrier is not currently serving the market. (Docket 50371)

Staff
DMS Travel Group, New York, is offering corporate clients two-way communication via the Internet e-mail system, enabling DMS to communicate with users of any system.

Staff
Qantas Airways plans to introduce a third weekly Sydney-Johannesburg flight on Nov. 6, subject to government approval, to keep pace with heavy demand. The service, operated with a Boeing 747, will continue to Harare, giving Qantas two flights per week from Australia to the capital of Zimbabwe. "Visitor numbers from South Africa to Australia have doubled in the two years since we resumed services to Johannesburg," said Geoff Dixon, Qantas Group executive general manager. Both of Qantas's current African services will become non-smoking flights on July 1.

Staff
U.S. Major Carriers Operating Revenue and Expenses Fourth Quarter 1994 Operating Operating Revenues Expenses (000) (000) Fourth Quarter 1994 America West $ 344,078 $ 313,544 American 3,675,604 3,711,781 Continental 1,177,538 1,233,714

Staff
Japan's two largest carriers, Japan Airlines and All Nippon Airways, rode an improving Japanese economy, a strong yen and internal restructuring to improved financial results for year ended March 31. JAL, the larger of the two in terms of revenue but the smaller in terms of passengers carried, reported a fiscal 1994 operating loss of $110.8 million and an after-tax loss of $13.5 million, after suffering an operating loss of $329 million and an after-tax loss of $285 million in fiscal 1993.

Staff
U.S. National Carriers Operating and Net Profit The Year 1994 Operating Net Profit/Loss Profit/Loss (000) (000) The Year 1994 Alaska $ 62,118 $ 22,571 Aloha (475) 560 American Trans Air 8,851 3,486

Staff
Air Transport Association President Carol Hallett encouraged airport associations last week to fight airport revenue diversion actively on behalf of individual airport executives, who may be politically constrained from doing so.

Staff
FAA Technical Center, near Atlantic City, N.J., observed its 15th anniversary May 29 as a leader in research, development, test and evaluation in air traffic control, communications, navigation, airports, aircraft safety and security. The center, which also manages FAA's technology transfer and aviation research grants, operates a fleet of specially equipped aircraft to test new airborne equipment, operational procedures, navigation aids and guidance systems.

Staff
In what may be the final piece of its global alliance puzzle, Lufthansa signed a memorandum of understanding late last week to develop a marketing and operational alliance with South African Airways.

Staff
Bauer Aerospace named Lou Auletta general manager of Woodward Governor test equipment business. Diefenbach Elkins promoted Robert Kahn to senior VP in charge of the firm's airline practice. O'Brien-Kreitzberg promoted Clay Baldwin to executive VP. Precision Standard named Carsten Birkebaek managing director of Pemco World Air Services Unit in Copenhagen. TNT Express Worldwide appointed George Wilton president of TNT Mailfast.

Staff
General Aviation Manufacturers Association (GAMA) elected Edward Bolen senior VP/general counsel. National Business Aircraft Association (NBAA) named William Wagner of Townsend Engineering as treasurer.

Staff
British Airways is talking to its labor unions in the U.K. about doing away with national contract negotiations and using a system of localized bargaining. BA wants to give its managers flexibility to negotiate wages and work rules that reflect local conditions more closely.

Staff
BA Chairman Colin Marshall, detailing the airline's delivery schedule for new aircraft, said last week the five A-model Boeing 777s BA will start receiving this fall are "not the model we really want." The preferred B- model is to start arriving in December 1996.