Aviation Daily

Staff
Board of Sogerma-Socea (Aerospatiale Group) named Henri Puel chairman and chief executive in charge of maintenance and aeronautical repair activities. He was chief executive of AI(R).

Staff
AeroPeru is leasing a 757 from International Lease Finance Corp. for five years. The lease on the Pratt-powered aircraft will be supported by Aeromexico, including maintenance services.

Staff
Becker Associates and CIC Research, both of San Diego, reached an agreement with Inflight Phone Corp., Oakbrook, Ill., to conduct onboard marketing research through Inflight's systems. The companies say they will sell space on their surveys to firms wanting information from the captive audience of airline passengers. They will offer passengers incentives for completing the surveys, which will ask no more than 20 questions. Becker and CIC may include some of their own questions, the answers to which they plan to sell, possibly to the airlines themselves.

Staff
Oral arguments in an attempt to throw out FAA's Age 60 rule are scheduled to be heard today by the U.S. Court of Appeals for the District of Columbia. The Professional Pilots Federation, seeking to overturn the agency's ban on airline pilots flying past age 60, argues that the rule violates the Age Discrimination in Employment Act and lacks a "proper medical or scientific basis." PPF President Bert Yetman said FAA ignored its own report, the Hilton study, and other evidence when it decided not to change the rule.

Staff
U.S. Major Carriers Unit Revenues and Expenses, By Region Second Quarter 1996 Operating Operating Operating Revenues Expenses Profit Yield per ASM per ASM per ASM per RPM Carrier (cents) (cents) (cents) (cents) Alaska 8.98 8.00 0.98 11.67

Staff
LucasVarity and Boeing said LucasVarity's Lucas Aerospace unit will acquire Boeing Georgia, Macon, Ga., which manufactures cargo-handling systems and other components for commercial aircraft. Financial terms were not disclosed. Under the transaction, Lucas Aerospace expects annual sales of about $90 million from the manufacture and sale of cargo system spares for 747s, 767s and 777s.

Staff
Swissair and its regional subsidiary, Crossair, have been chosen as the top airlines in Europe in a study of business travelers commissioned by London- based Total Research Company. The "Airtrack 1996" study found Swissair No. 1 in its overall airline rating, with Crossair second. The survey of more than 2,000 frequent business travelers in 12 European countries, carried out during the summer, rated Swissair or Crossair best in nine of the 12 main categories, including punctuality, catering and friendliness of cabin staff.

Staff
DOT's evaluation of four major studies of the U.S.-Japan market faults their thoroughness and the assumptions they used. While the studies presented arguments on and approaches to the major issues, "none provide evidence to demonstrate the likelihood or probability of the developments that their positions relied upon," concluded DOT.

Staff
Illinois Appeals Court yesterday granted a stay until Oct. 24 of Cook County Circuit Court Judge Dorothy Kinnaird's decision Tuesday denying a state request to enjoin the City of Chicago from demolishing Meigs Field. The court has set an interim briefing schedule for the case, which centers on whether the state has the right under the Illinois Constitution to take the property from the Chicago Park District to operate the airport (DAILY, Oct. 2).

Staff
Nations Air Express will return to scheduled passenger service this month with flights from Florida to Gulfport, Miss., and gambling destination Biloxi, Miss., under the name Casino Jet Express. The carrier intends to use a 122-seat 737 aircraft from Orlando and St. Petersburg to Gulfport, beginning Oct. 11.

Staff
Alamo Rent A Car is offering members of Canadian Airlines' frequent flyer program a $50 membership to its Quicksilver program, which provides express checkin service. Quicksilver enables customers to use a countertop or free-standing kiosk to rent a car.

Staff
Mesa Air Group Inc. has merged with Mesa Holdings Inc., a move that changes the company's state of domicile to Nevada from New Mexico. The firm cited substantial tax savings from Nevada laws as the reason for the action. The legal action, which became effective last week, was approved by shareholders earlier this year. Existing shares of Mesa common stock will be converted one-for-one into shares of the Nevada corporation. Mesa still has not decided on where to locate its headquarters.

Staff
The Gore Commission On Aviation Safety and Security is looking into the number of air traffic controllers on the job at FAA and a White House official believes the commission's report next February will recommend hiring more, an official who represents former PATCO members said yesterday in Washington.

Staff
American Airlines posted declines in all seat mile and revenue passenger mile statistics for September. Total traffic fell 4.2% on a 4.9% reduction in capacity. The load factor rose 0.5 percentage points to 65%. American reported revenue passenger mile declines for domestic (-2.2%), Atlantic (- 13.9%), Latin America (-1.5%) and Pacific (-2.5%) operations. Capacity fell 4.2% on domestic routes and 12.8% over the Atlantic. Year-to-date, Atlantic revenue passenger miles have fallen 3.2% on 5.6% less capacity.

Staff
United has launched an "Arrivals by United" customer amenity program designed to attract and keep customers in Connoisseur and first classes. The first offering starts today - showers after transatlantic flights and shoeshine and clothes pressing services at Chicago O'Hare, London Heathrow and Miami airports. The Miami service will be available later this month.

Staff
Airline Industry Stock Trends Closed Closed Exchange 9/30/96 8/30/96 Majors Alaska Air Group NYSE $ 21.370 $ 21.120 AMR NYSE 79.620 82.000 America West (Class B) NYSE 11.750 13.370 Continental (Class B)1 NYSE 22.370 22.620 Delta NYSE 72.000 70.870

Staff
GE Engine Services said it acquired majority control of Celma, a "rapidly growing jet engine overhaul and repair operation" headquartered in Petropolis, Brazil. Celma is projected to reach sales of more than $140 million this year, about half of them from overhauling Pratt&Whitney JT8D engines for airline customers, GE said. Other engines Celma services include GE's J85 and C610, CFMI's CFM56, P&W's PT6 and Rolls-Royce's Spey. Its customer base includes the Brazilian Air Force, major airlines and air cargo operators.

Staff
Congress voted Monday to extend the Visa Waiver Pilot Program for another two years. The program was scheduled to expire Monday. Industry efforts "now will be focused on making the Visa Waiver Pilot Program a permanent one," said Aubrey King, executive director of the Travel and Tourism Government Affairs Council. The program was created by Congress in 1986 to encourage travel to the U.S. by tourists considered "low risk" for immigration purposes and to reduce the administrative burden on U.S. consulates overseas. The U.K.

Staff
A Cook County Circuit Court of Appeals judge yesterday denied a request by the state of Illinois for a preliminary injunction to prevent the city of Chicago from demolishing Meigs Field (DAILY, Sept. 30). The state said it has the right to seize the airport because the city is in breach of state grant agreements. The state asked for a stay of the decision, and arguments are scheduled today.

Staff
The Senate is scheduled Thursday to vote on limiting debate on the FAA reauthorization bill (H.R.3539), which has been held up over a controversial labor provision. If successful, the cloture vote would prevent a filibuster and enable the Senate to vote on passage of H.R.3539. The reauthorization bill narrowly passed the House Friday but stalled in the Senate over a measure sought by Federal Express that would change last year's Interstate Commerce Commission termination act.

Staff
Kiwi began scaled-back service to three cities yesterday after filing for Chapter 11 reorganization in U.S. Bankruptcy Court of Newark, N.J., Monday. The carrier is continuing to operate full service among Newark, Chicago and Atlanta, using six of the 11 Boeing 727-200 aircraft in its operating fleet. The carrier also has four aircraft in C-check. It has temporarily suspended its service at West Palm Beach, Tampa, Orlando, Las Vegas and Bermuda, said Kiwi President Jerry Murphy, adding that it was looking at building back the Florida service in the middle of November.

Staff
Citing the U.S.-Belgium open skies agreement, Belgian carrier Skyjet is seeking a permit authorizing it to operate international charter passenger service between any point or points in Belgium via intermediate points to any point or points in the U.S. and beyond, provided the service makes a stop in Belgium. (Docket OST-96-1578)

Staff
Japan Airlines and Myanma Airways, both operating flights between Japan and Bangkok, Thailand, have agreed to pool their resources on the route. Under a new cooperation agreement, the airlines plan inauguration of direct service between the countries in the near future, and JAL will train Myanma's cabin crews. JAL operates 42 weekly flights and Myanma daily service.

Staff
American said it will begin new jet service between Cincinnati and Dallas/Fort Worth Dec. 2. The carrier plans to offer three-times-daily roundtrip service, using 97-seat Fokker F100s. American's regional affiliate, American Eagle, operates five daily roundtrips between Cincinnati and Chicago, using 46-seat ATR aircraft.

Staff
Douglas Aircraft is forecasting a requirement for 543 very large transport aircraft over the next 20 years, a number in line with Boeing's forecast for 470 over 15 years. That makes Airbus Industrie the odd man out - the European consortium believes the 600-seat-plus market will be three times greater. (See related story on Page 12 of the hard copy of this issue.)