Electronic Industries Association is "not optimistic" about budget growth for DOT and NASA and is forecasting limited contracting opportunities on future programs, including few program starts at FAA. An EIA study concluded that FAA's acquisition budget will decline in real terms during the remainder of the decade.
U.S. Major Carriers Latin Share of Service Second Quarter 1996 Total Revenue Departures Alaska 1,875 America West 1,407 American 23,225 Continental 7,568 Delta 2,778 United 4,187 USAir 1,707 Total 42,747
Recent political trouble and religious violence in Israel have held down tourism to and from the Middle East, according to El Al, but Israel's new prime minister, Benjamin Netanyahu, is reviving long-dormant desires to privatize the Israeli flag carrier. "They're talking very seriously of privatization now," Nachman Klieman, El Al spokesman, told The DAILY. "It will happen, we just don't know when." Recently, new Israeli leaders, including the minister of transport, flew to London to learn how British Airways was privatized.
Airlines would have to provide, on request, seats that would facilitate travel by passengers with disabilities, such as bulkhead seats, seats with movable armrests, or seats next to a personal care attendant, under newly proposed DOT regulations. In a notice of proposed rulemaking issued this week, DOT asked for comments on whether there are additional situations in which seating accommodations should be provided, and whether passengers should be required to present documentation proving that they need the special accommodation.
Sabre Decision Technologies has acquired Data Vision System's 4Front software product for the tour industry and is planning some immediate upgrades. The software's major functions are contracts and inventory, reservations and operations, bookkeeping and accounting, and invoice preparation. Sabre said it will enhance 4Front by adding a Sabre computer reservations system interface in the base product.
U.S. Major Carriers Domestic Share of Service Second Quarter 1996 Total Revenue Departures Alaska 37,537 America West 50,420 American 168,589 Continental 102,141 Delta 224,989 Northwest 139,915 Southwest 187,656 TWA 69,892 United 181,790
Newark-based Kiwi International Air Lines has a financial savior - Wasatch International, the West Palm Beach, Fla.-based investment concern and owner of Palm Beach Cruise Lines and the Viking Princess cruise ship, which stepped forward yesterday with a deal to provide Kiwi with $5 million of debtor-in-possession financing, the first tranche of which will reach Kiwi on Monday. The airline, which is under Chapter 11 bankruptcy protection and voluntarily suspended scheduled service Oct.
Lufthansa is enhancing and restyling airport check-in and processing of first- and business-class passengers at most airports it serves in Germany. Furthering the trend by which major carriers are providing more and more services to their most lucrative customers, the German carrier will unveil its changes in Frankfurt, Dusseldorf, Munich, Stuttgart and Hamburg on Nov. 1. Most of the upgrades will be at Lufthansa's Terminal 1 in Frankfurt.
FAA has approved the use of nearly $200 million in airport revenues to pay for portions of a $1.1 billion Bay Area Rapid Transit (BART) link to San Francisco Airport. FAA detailed which portions of the rail project are eligible for airport funding and emphasized that final payment and costs from airport funds will be "subject to verification by audit" after the airport station has been completed.
DOT has reconsidered and reaffirmed its order selecting Continental for seven weekly frequencies in the Newark-Panama City-Guayaquil, Ecuador, market. Under the U.S.-Ecuador air services deal, 19.5 weekly frequencies are available for combination service from Miami, seven from Los Angeles, 15 from New York and 10.5 from U.S. points other than the three named cities. Except for the 747, one widebody aircraft is counted as 1.5 narrowbody frequencies.
Canadian Industry Minister John Manley, citing the government's role in strengthening aerospace industry research and development, announced a C$87 million loan for the proposed 70-passenger Canadair Regional Jet program. Manley said the project has the potential to create and maintain 1,000 high-quality, long-term jobs at Bombardier's Canadair facilities in St.
Kellstrom Industries, which deals in commercial jet engines and parts, reported that revenues for the third quarter increased 96% to $6.5 million while net income rose 228% to $662,134. For the first nine months, revenues were up 84% to $17.7 million and net income jumped 162% to $2 million.
The Federal Aviation Authority of Russia's chief of air traffic control modernization is "hopeful" that his newly formed agency can issue in the first quarter of 1997 an international tender to modernize the ATC system in the Russian Far East. Boris Mikhailov told DAILY affiliate ATC Market Report that the structure of FAAR is now final and the organization can move forward in pursuing its plans. One of the first orders of business, he said, will be the proposed tender document, prepared by Booz Allen&Hamilton.
Barringer Technologies said it was awarded an FAA contract to develop a passenger screening system "for deployment at U.S. airports." The $160,000 contract calls for delivery by its Barringer Instruments unit of two prototype systems by Nov. 30. The company said that the effort is the second phase of a program to develop and field test prototype screening systems, and that it successfully completed the proof of concept phase earlier this year. Barringer said it has filed for patents on proprietary aspects of the screening system.
SAS has taken delivery of the first of eight MD-90 aircraft it has ordered, becoming the first airline in Europe to operate the type. The carrier, which will receive six MD-90s by the end of the year, will operate the new twinjet to Paris, London and Frankfurt in a configuration with 18 seats in first class and 141 in economy. SAS said the eight aircraft represent an investment of $450 million, or more than $56 million per aircraft, in a program to renew much of its fleet during the next few years.
United has made progress in all areas of its financial performance, yesterday reporting record third quarter operating and net earnings, record yields and unit revenues, better load factors, as well as performance improvements at its Shuttle By United unit. Net income reached an all-time quarterly high of $437 million, up 31%. Revenues rose 9% to $4.49 billion and operating earnings jumped 32% to $767 million. For the first nine months of 1996, United had fully distributed net profits of $819 million.
Spar Aerospace, which has aircraft repair and overhaul operations in Ontario and Italy, said it will acquire Ontario-based Godfrey Aerospace, which provides repair and overhaul services for aircraft maintenance support equipment. Spar said about 60% of its revenues come from work outside Canada. It has operations in North America, Europe and the Pacific Rim.
President Clinton attended the groundbreaking Monday for the $800 million midfield terminal at Detroit Metropolitan Wayne County Airport. The facility, expected to be completed by 2000, will have 74 gates for the exclusive use of Northwest, including 10 for international departures. The project is part of a $1.6 billion airport expansion that also will provide a 5,000-car parking structure, a fourth parallel runway, completion of a south access road and improvements in existing terminals.
Gulfstream Aerospace yesterday reported third quarter revenues of $283.8 million, up 18.5%, and net income of $71.2 million, up from $2.1 million. For nine months, revenues were up 3.9% to $742.5 million and net income rose to $32.6 million from $10 million.
Japan Airlines received DOT approval for combination service for the 1996- 97 winter season between Tokyo and Kona, Hawaii. JAL was allowed to operate the service last summer because Japan agreed to permit United to operate Osaka-Seoul service at the same time. United asked DOT to approve JAL's request for a period commensurate with Japan's approval of United's authority to continue Osaka-Seoul, which United proposed from Oct. 27 through March 29.
Boeing Business Jets received a contract from a customer it declined to identify for a business jet derived from the next-generation 737. Aviation Methods of San Francisco is representing the customer, "who, as is typical in this type of private business transaction, has asked to remain anonymous," said BBJ, the joint venture formed last summer by Boeing Co. and General Electric Co. The order is the first from outside the joint venture. The two-aircraft launch order, last July, came from GE.
