Over objections from the National Association of Air Traffic Specialists and the Aircraft Owners and Pilots Association, FAA plans to permit AT&T to disconnect as many as half the telephone lines at the nation's 61 automated flight service stations. Each line costs $47 per month, and FAA said a survey showed many are never used.
The European Union's competition authorities say they will tighten up their procedures and standards in government subsidy cases involving transport companies, and they intend to give potentially injured third parties greater access to documents and hearings during subsidy reviews. "We are trying to make state aids more transparent," Neil Kinnock, European commissioner for transport, said Thursday during a transport subsidy conference in Brussels.
Delta has purchased Lanyon-DRS, a new product that reduces maintenance time for direct reference system information in U.S. and European computer reservations systems. Updating complex information that used to take 12 hours can be accomplished in nine minutes, Lanyon said. The system also enables CRS vendors to prepare information in advance and issue the data simultaneously with public announcements or advertising campaigns.
Venezuela's largest carrier, Viasa, ceased all flight operations late last week after government, management, labor and major shareholder Iberia failed to reach an agreement to keep the airline flying. The Venezuelan government owns a minority share in the carrier. Iberia, which owns or controls a majority of Viasa, had been prepared to make a significant investment in the carrier in exchange for an 18% reduction in headcount, a restructuring of labor agreements and proportional government investment.
Reno Air has appointed Jeffrey Fisher chief financial officer and VP- finance. He previously was VP-planning and corporate development. Fisher worked five years at American in finance and planning and five years at McDonnell Douglas. He has handled route selection, pricing and yield management at Reno since 1994. He replaces Paul Tate, who was named senior VP and CFO for Atlantic Coast.
Watch for a new spin on Internet ticket auctions in the second quarter from Voyager Technologies. Orlando-based Voyager, which provides everything from credit card processing of electronic tickets to paper document delivery, wants to offer a real-time auction on its site where airlines can "continually pump inventory." A few have shown interest. The company, which believes it soon will make Mexicana the first airline with a bilingual web site, is developing online booking capability for El Al, Icelandair and LTU.
Airport groups are pushing Congress to act quickly to reimpose aviation taxes even though it might mean giving up revenue needed later to offset the cost of other federal initiatives. "We realize that reimposition... involves complicated procedural and budget 'scorekeeping' issues," AAAE and ACI-NA said in a letter to Senate Majority Leader Trent Lott (R-Miss.). "But these 'inside-the-beltway' considerations are lost on the average user of the aviation system who relies on Congress to make sure the system is funded, safe and secure."
Orally renewed an exemption for Western Express to conduct charter cargo operations between Canada and the U.S. through Jan. 22, 1998...Approved a Curragh Bloodstock Agency charter using an Aer Turas Teoranta DC-8-63F carrying up to 45 horses on a Stansted-Stewart-Louisville-Beauvais-Luton routing Feb. 9-11, with no cargo between Stewart and Louisville...Approved a Curtis Air Services charter using a HeavyLift Volga Dnepr An-124-100 carrying 185,000 pounds of electrical transformer and related equipment on a Kansai-Anchorage-Seattle-Houston routing Jan. 30-Feb.
FAA last week revoked the air carrier operating certificate of Aero Flight Service, a Fort Lauderdale, Fla.-based air taxi. Citing an "extensive enforcement history," the agency said AFS failed to perform correctly the conversion of four Hawker Siddeley aircraft from passenger to cargo configuration.
Cyprus Airways' new chairman, Takis Kyriakides, has given himself until March to come up with a restructuring plan for the 80% state-owned Cypriot carrier. Cyprus, which expects to start accession talks with the European Union soon, plans to deregulate its air transport sector to conform with EU legislation. Kyriakides is asking the government to delay deregulation. Cyprus Airways lost $12.5 million in 1996 and says it already faces competition from 90 charter airlines.
White House Commission on Aviation Safety and Security postponed a Jan. 28 meeting to issue its final recommendations, until, tentatively, Feb. 11 because of conflicts in Vice President Gore's schedule. The commission solicited industry and congressional comments on a draft report in recent days.
Northwest may be paying in operations some of what it saves in capital expenses by letting its fleet grow older. Aircraft maintenance costs rose 98.6% in the fourth quarter and 40.7% for 1996. The airline, which blamed the quarterly rise on timing of maintenance work and increased flying, said its earlier fleet move was a solid business decision.
A startup airport near Peotone, Ill., could be built for less than $290 million but it is being blocked by an anticompetitive environment fostered by the major airlines at Chicago O'Hare Airport, Illinois transportation officials said Friday. The state's transportation secretary, Kirk Brown, unveiled a four-option financial plan for the proposed airport and cited an October 1996 U.S. General Accounting Office report that suggested an anticompetitive situation at O'Hare.
- In Federal Register dated Jan. 17...Issued an airworthiness directive on Fairchild SA26, 226 and 227 series aircraft requiring application of torque to the control column pitch bearing attaching nuts.
International Lease Finance Corp. said it sold $200 million of three-year senior unsecured notes underwritten by Goldman, Sachs&Co., Citicorp Securities and Abn Amro Securities.
The European Commission said Thursday it expects the French government to report on time, during March, on Air France's provisionally audited financial results for 1996. The commission will use the results as it makes a preliminary decision, planned in April, whether to release to the airline the 1 billion French francs placed in escrow last July as part of the third and final tranche of government aid to the carrier. The third tranche, FF5 billion, completed a three-year subsidy of FF20 billion.
Douglas Aircraft confirmed that EVA Air will add two MD-11 freighters to its fleet late this year. It now operates six MD-11s, including three freighters.
AirTran Airways will start 737 service from Des Moines, Iowa, to Orlando March 6 with six weekly roundtrips. Fares will start at $79 one way for flights March 6-Sept. 4. Tickets must be purchased by Feb. 6. Standard one-way fares will be $99 to $199.
Advanced Aerobatics by Geza Szurovy and Mike Goulian. Breaks down individual maneuvers, with a clear description of the elements, and outlines corrective measures to take if something goes wrong. McGraw-Hill ; $24.95. To order, call 212-337-5951 or fax 212-337-4092.
TWA is taking steps to improve its on-time performance, following a review that produced 40 ideas (DAILY, Jan. 13), including directions for pilots on adjusting speed and fuel burn to avoid untimely arrivals. TWA also is "re- emphasizing" having the proper ground equipment in position when an aircraft arrives. Authorizing flight attendants to handle seat changes onboard is under consideration. Before the changes, TWA ranked sixth in DOT's on-time report for November, its best place since November 1995. (See chart on Page 150 of the hard copy of this issue.)
Air Transport Association members' traffic rose 11.1% in December to 45.9 billion revenue passenger miles. Capacity increased 5.3% to 66.9 billion available seat miles and passenger enplanements 10.4% to 44.7 billion. The load factor rose to 68.6% from 65.1%. Domestic traffic grew 12.3% and international traffic 7.7%.
SkyWest Inc., the holding company for Delta Connection carrier SkyWest Airlines, posted a net loss of $821,000 for the quarter ended Dec. 31. The carrier said the results reflect its "inability to recover 15% higher fuel costs" and weaker-than-expected results from its Scenic Airlines operation. Revenues increased 9.5% to $64.6 million but expenses increased 9.4% to $66.3 million.
USAir will roll out its new US Airways corporate identity about March 1 but does not expect to spend much to repaint aircraft. The carrier plans to pay only $6 million over three years to paint all the aircraft it will retain.
The Legacy of the DC-3 by Henry Holden. Describes the personalities behind its development, the struggles that shaped the aircraft and a chronological history of its use in peace and war. Wind Canyon Publishing; $34.95. To order, call 800-952-7007 or e-mail [email protected].
