FAA should increase the inspection frequency of JT8D engines with low- utilization high-pressure compressor (HPC) disks that have been plated with nickel-cadmium during overhauls, the National Transportation Safety Board said after investigating a December 1995 Euralair 737 takeoff accident at Toulouse, France. The change would tighten a 1994 airworthiness directive issued following analysis of a June 1991 JT8D engine fire that destroyed a Ryan International 727-100QC after a rejected takeoff at Bradley Airport, Windsor Locks, Conn. The No.
Airlines Reporting Corp. posted travel agency sales of $63.8 billion in 1996, the second consecutive year sales exceeded $60 billion. Sales in 1995 were $61.2 billion. Sales for that year included a 10% domestic ticket tax and a $6 international departure tax, which were not applicable for the first eight months of 1996. The overall commission rate dropped to 10.5%, but the dollar commission payout to agents was up 2% in 1996 to $6.5 billion.
Belgian pilots complained to government agencies that a Sabena proposal to use pilots who live outside Belgium violate national social legislation. Sabena tried two years ago to locate pilots in lower-cost Luxembourg, but the finance ministry turned it down flat. This time, the airline and the government are working together toward a compromise. Taxes for social and employment programs in Belgium are among the highest in Europe.
Daily Air Corp. has become the first Taiwan-based helicopter operator licensed to conduct passenger operations. An official of Taiwan's Ministry of Transportation and Communications announced that Daily Air has been issued a license permitting it operate daily flights from Taitung, in eastern Taiwan, to Orchid Island and Green Island. Both offshore islands are high on the list of areas the government wants to promote as tourism destinations.
American and British Airways, responding to recent motions to dismiss or delay their alliance application, said they have recognized "the explicit understanding that approval is contingent on an open skies agreement between the U.S. and the U.K." This does not mean, however, that the examination of their proposed alliance cannot go forward while government negotiators move closer to an agreement.
Barry Valentine has been appointed by DOT Secretary Federico Pena to be acting administrator of FAA following the departure Jan. 31 of the current acting administrator, Linda Daschle. Valentine will temporarily leave his current post as assistant administrator for policy, planning and international aviation until a permanent administrator is appointed. Monte Belger will remain as acting FAA deputy administrator.
Airport Operations, 2nd edition, by Norman Ashford, Martin Stanton and Clifton Moore. A one-stop reference offering a comprehensive examination of airport operations, including extensive illustrations. McGraw-Hill; $50. To order, call 212-337-5951 or fax 212-337-4092.
DOT confirmed its tentative decision to award Polar Air Cargo and United Parcel Service new scheduled all-cargo authority to the Philippines. Losing in the decision were Evergreen, Northwest and World Airways. DOT favored UPS as the only carrier offering comprehensive integrated express/small package service and general air freight. Of the remaining candidates, it chose Polar's five weekly 747 roundtrips as offering significant new capacity to U.S. points with the greatest amount of Philippines traffic, including New York, Chicago, Los Angeles, Seattle and Honolulu.
Air Line Pilots Association has set up a World Wide Web site at http ://www.alpa.org, providing news releases, speeches, testimony and information on Air Line Pilot magazine.
Air Canada traffic rose 14.6% last year on 10.7% more capacity, boosting the load factor 2.2 percentage points to 65.2%. International traffic rose 20% in 1996 and international capacity 16.6%. On the domestic side, traffic gained 5.6% on 1.3% higher capacity. In December, traffic rose 12.2% on 6% greater capacity, which lifted the load factor 3.4 points to 61.5%. The airline slashed fares last week by up to 70% to more than 100 cities. The sale, until Jan.
Southwest's average trip length jumped 8.4% in 1996, but the carrier's recent long-haul focus "is not a fundamental change; it's just where the opportunities are right now," said Chief Financial Officer Gary Kelly. "All of these things are evolutionary, not revolutionary."
American Trans Air has secured $119.7 million to finance four aircraft. It will lease two 757-200ERs under 18-year U.S.-leveraged leases with enhanced equipment trust certificates comprising the debt portion in three classes. The debt was assigned ratings of A2, Baa1 and Ba1 by Moody's Investor Service., and A+, BBB+ and BBB- by Standard&Poor's. Two 727-200s are financed under nine-year leases, and a new Rolls-Royce spare engine will be on a 15-year lease.
Aerospace Industries Association elected Harry Stonecipher, president and chief executive of McDonnell Douglas, chairman of the board of governors, and Michael Smith, vice chairman of Hughes Electronics Corp. and chairman of Hughes Aircraft Co., vice chairman of the board, and re-elected Don Fuqua president.
Polar Air Cargo has filed for additional all-cargo frequencies becoming available April 1 between the U.S. and Brazil. Other applicants are Federal Express and Challenge Air. A new agreement adds 8.5 weekly frequencies to the market and Polar wants two, bringing its weekly total to five. Promoting its higher capacity per frequency, Polar noted that it plans to use 747Fs, compared with DC-10F service by FedEx and 757 or 767 service by Challenge.
AlliedSignal said it was selected by GE Capital Aviation Services to supply auxiliary power units and avionics for up to 80 Airbus A320 family aircraft that GECAS plans to purchase. AlliedSignal valued the contract at $100 million.
First new Cessna light aircraft in more than a decade, a 172, was delivered to the Aircraft Owners and Pilots Association. One official described the event as the "beginning of the new good old days," according to AOPA President Phil Boyer.
Airbus Industrie is pulling out all the stops to sell Delta aircraft to replace its L-1011s. The European consortium ran television ads in Atlanta last week to show off its A330 as Delta weighed bids from Airbus and Boeing. Delta quoted an Airbus spokesman as saying the company does not think TV ads are the most effective way to sell airplanes, but if they catch Delta's attention and leave buying officials with one last positive impression, they are worth it.
United and Saudi Arabian Airlines will cooperate on service between Los Angeles and Jeddah, Saudi Arabia, beginning Feb. 18. The carriers will purchase a set number of seats on each others' flights from Los Angeles, through New York Kennedy, to Jeddah. Saudia's twice-weekly service to New York will connect with United's transcontinental service. The carriers will cooperate on reservations, ground-handling and technical issues and will connect their respective frequent flyer programs.
Leigh Fisher Associates airport consultants added Ann Ferraguto, Stephen Martin, Cindy Nichol and Maureen Riley to the Business Consulting Group and Ernest Rogers to the Facilities Planning Group, and promoted Leonard Takayama and Mark Taylor to principal associates.
Delta Chairman Ron Allen alerted employees Friday to be on the lookout for more changes in the company's operating strategy, but he put to bed speculation that growth would come from outside sources. In an internal memorandum to all employees, Allen said Delta has analyzed its options intensely during the past year and intends to continue to pursue sustained profitable growth.
Senate Commerce Committee confirmation hearing for DOT Secretary-designate Rodney Slater will be held at 10 a.m. Jan. 29 in Room 253, Russell Building.
