Swissair Group AG posted a net loss of 51 million Swiss francs (US$42 million) in the first half of 1996, an improvement from a loss of SF86 million francs (US$71 million) in the first six months of 1995, the airline told The DAILY. Group operating revenues rose 6.1% and total revenues were SF3.6 billion ($3 billion), up more than 10%. The airline said it will release more complete figures in the near future.
World aerospace leaders interviewed for coverage of this week's Farnborough Air Show by McGraw-Hill Aviation Week Group's Show News are optimistic but take a cautious approach in their view of the future.
Continental Express announced yesterday a firm order for 25 Embraer EMB-145 regional jets valued at $375 million and options for 175 more over the next 12 years. The carrier said the order is consistent with its previously announced five-year plan, which calls for "flexible growth" at its Newark, Houston and Cleveland hubs. Continental Express, which will be the first North American customer for the 50-seater, is a "key contributor to Continental's overall success," said Continental President Gordon Bethune.
Boeing launched the stretched 757-300 and received orders for 68 jetliners valued at $6.3 billion from seven customers, Commercial President Ron Woodard announced at the Farnborough Air Show. He said the new 757, which will seat 20% more passengers, was developed on the basis of an accepted proposal for up to 24 copies from German carrier Condor Flugdienst.
AlliedSignal received an order from American worth more than $20 million for enhanced ground proximity warning systems. American is the first airline to order the systems, with plans to install them on its fleet of 635 aircraft by mid-1999, AlliedSignal said. The system addresses the problem of controlled flight into terrain.
Fairchild Corp. announced yesterday that Delta has ordered cargo and baggage loading systems for all its MD-88s and MD-90s from Scandinavian Bellyloading Co. Delta will equip 150 aircraft with two cargo systems, one installed fore and one aft. The system eliminates the need to position an employee within the cargo bay to handle bags or cargo and features a Kevlar-reinforced, fireproof carpet conveyor belt and a quick-release bulkhead. As loading starts, this bulkhead is near the cargo bay door.
The White House Commission on Aviation Safety and Security is scheduled to hold its first public meeting tomorrow. The meeting will be open to the public between noon and 1 p.m. Tasked to present an initial report Sept. 9, the group has a three-part mandate to address airline and airport security, oversight of aviation and modernization of air traffic control.
The American Society of Travel Agents yesterday reached an out-of- court settlement with six carriers on the antitrust, class-action lawsuit brought by ASTA. Details of the settlement will be made public today following a hearing in the Minneapolis Federal Court of Judge James Rosenbaum. The case was settled with all the carriers after ASTA earlier in the day reached an agreement with Continental in which the travel agent group agreed to drop its claim against Continental, while the carrier agreed to pay a cash settlement of $4.25 million.
Summary of U.S. Major Carriers Domestic Traffic March 1996 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) Alaska 927 29.02 817 757,670 America West 1,577 7.39 827 1,303,908 American 5,622 (1.90) 1,119 6,289,210
Summary of U.S. National Carriers Systemwide Traffic, March 1996 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) American Trans Air 644 23.71 1,476 950,187 Carnival 230 35.19 1,140 262,342 Hawaiian 465 13.25 704 327,253
Kitty Hawk Aircargo has landed a $21 million U.S. Postal Service contract to deliver mail during an 11-day peak Christmas holiday period. The contract is designed to help ease congestion at the major passenger airline hubs. Kitty Hawk, along with DHL Worldwide Express, will furnish and operate the mail delivery hub at Cincinnati Airport with more than 25 company-owned and contracted aircraft. Its employees will handle mail going to 25 network cities Dec. 14-24.
A powerful Air France union turned its attention, and its might, to the African refugee issue last week. CFDT said it wants to "uphold the dignity of French aviation" and stop the French government from chartering an Air France jet to deport more than 60 illegal African immigrants. A Wall Street source commented that this type of union move "will not help [Air France] lower its costs."
Douglas Aircraft said it received orders from four airlines valued at more than $365 million. Heliopolis Airlines, a new charter operator based in Cairo, ordered one MD-90 for delivery in 1997 and placed options on two more. Kibris Turk Hava Yollari, a charter carrier from Istanbul, ordered three MD-90s for delivery in December and January and took options on two more. Brazilian carrier VASP ordered a ninth MD-11 for delivery this October. Douglas said another MD-11 was ordered by an unidentified customer for delivery in December.
Canadian Marconi Co. said yesterday it has received a $5 million order from American for 80 airborne satellite communication antennas for A330, 767 and MD-11 aircraft. Installations will begin next month and run for 24 to 30 months. The CMA-2102 antennas will provide American with inflight telephone and data communication facilities, Marconi said. The CMA-2102 was Inmarsat access-approved for multi-channel voice and data communications in 1993, and Marconi said orders now exceed 600 from 26 airlines and several VIP users.
Airbus Industrie announced that Federal Express Corp. has ordered 11 more A300-600 freighters for delivery between 1998 and 2000. The General Electric-powered aircraft will be used on domestic routes. FedEx previously ordered 25 of the aircraft. Asiana Airlines of South Korea signed for 18 A321s, for delivery beginning in the second quarter of 1998, and Cathay Pacific ordered three more A340-300s, increasing to nine the number on firm order, Airbus said.
DOT has issued a show cause order tentatively designating Polar Air Cargo for scheduled all-cargo service between the U.S. and Japan and beyond to one point. Polar's application beat out bids by Evergreen International Airlines, tentatively selected as backup carrier, American International Airways and Gemini Air Cargo. Under the April 1996 U.S.-Japan memorandum of understanding, the U.S. received authority to designate one new carrier to provide scheduled all-cargo service over a U.S.-Japan-beyond-point routing. The new U.S.
Vanguard Airlines has selected the Transport Repair and Maintenance Division (Tramco) of BFGoodrich Aerospace to conduct C-Checks on its eight 737s. The maintenance activity will be performed through April 1997.
Air Line Pilots Association members at the five Mesa Air Group carriers - Air Midwest, FloridaGulf, Liberty Express, Mountain West and WestAir - are working on a plan to consolidate the pilot groups into a single unit with uniform work rules and a common pay system and seniority list. ALPA made the announcement the day after Mesa said it is working on consolidating certain maintenance and flight operations under its corporate umbrella as it shifts from FAR Part 135 operations to FAR Part 121.
Virgin Express will launch its new livery Sept. 9 on service between Brussels and Madrid, Barcelona, Milan and Copenhagen. The low-cost carrier still faces resistance from Switzerland to bringing its low fares to Geneva, however. The Swiss government has yet to let the 737 airline inside its borders.
Dollar Rent A Car joined American's AAdvantage program Sunday, offering members a special introductory promotion. Dollar customers will receive 1,000 miles, double the normal rate, for every rental of at least two consecutive days beginning on a Sunday, Monday or Tuesday. The offer is good at each qualifying Dollar and EuroDollar location worldwide through Dec. 15.
Summary of U.S. National Carriers Systemwide Traffic, February 1996 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) American Trans Air 543 40.46 1,470 797,831 Carnival 213 40.94 1,197 254,849 Hawaiian 434 18.64 693 300,706
Delta has completed the re-engineering of its cargo department it began last year, resulting in the redesign of four cargo products it expects to bring in $90 million a year in additional revenue. Its time-based products will be Dash, Delta Priority First Freight, Delta Priority Second Day and Delta Priority Third Day.
American Eagle and the Air Line Pilots Association could be the first in the airline industry to benefit from a problem-solving technique that will be pushed by the National Mediation Board. Collective bargaining talks at Eagle have begun in Arlington, Texas, employing an interest-based, consensual process used for years in other industries. An NMB spokesman said, "This is an area we are moving into," by reorganizing its resources to offer training on the process to airlines and unions.
