FedEx formally launched FedEx interNetShip(SM) this week as "the first automated shipping transaction available on the Internet." U.S. customers with a FedEx account number can now use any personal computer connected to the Internet and a laser printer to complete their entire shipping function directly from the company's home page (http:www.fedex.com). Billing information is uploaded automatically at the end of the shipping process. FedEx plans to offer the service internationally in the future, FedEx said. The company will add a U.S.
A bill (H.R.969) that would ban smoking on all flights into and out of the country threatens U.S. carriers "because it raises the possibility of reciprocal assertions by other nations for retaliatory or other reasons," an attorney for the International Airline Coalition on the Rule of Law told the House Transportation aviation subcommittee this week. Introduced by Rep. James Oberstar (D-Minn.) in February, the bill would require DOT to issue regulations requiring U.S. and foreign air carriers to prohibit smoking on flights between U.S. and foreign points.
Vanguard Airlines, calling itself the airline that is "liberating the Midwest" from high fares, plans to begin service from Wichita to Chicago Midway and add a fourth daily flight to Dallas/Fort Worth from Wichita Aug. 9. Fares to DFW start at $39 one way, and to Chicago $49. Vanguard operates 737s.
American Trans Air's revenue passenger miles increased in June to 770.3 million, 7.1% more than in the same month last year, on 16.9% more capacity. An increase to 1.2 billion available seat miles forced load factor down 5.9 percentage points to 65.4%, however. The airline carried 474,939 passengers during the month. For the first six months of 1996, RPMs increased 9.9% to 4.8 billion and ASMs 12.2% to 6.9 billion, but the load factor fell 1.5 points to 69%.
Shangri-La Hotels&Resorts has opened the Rasa Ria Resort, set in 400 acres of Borneo jungle. The resort, together with the Dalit Bay Golf and Country Club, constitute a $60 million development. Seasonal activities include white water rafting, cycling, horseback riding and hiking. The resort is bordered by the Tambalang and Mengkabong rivers, and 64 acres of the grounds are reserved as a sanctuary for wildlife, including orangutans. The resort is 37 miles north of Kota Kinabalu in Sabah, Malaysia, which receives air service from Hong Kong and Singapore.
America West named Nancy Gore senior director of investor relations. Gore, who came from Magellan Health Services in Atlanta, worked previously in investor relations positions at USAir and Rolls-Royce.
The former DOT inspector general said yesterday that concern expressed by her office last February about the safety of ValuJet was leaked to the carrier, and she was "astonished" when questioned by a top aide to the DOT secretary about the IG's interest in the carrier. Former IG Mary Schiavo told the Senate Commerce Committee that she suspects someone in FAA "leaked" to the airline that her office was "snooping around." Schiavo said she then was questioned by Ann Bormolini, former chief of staff to DOT Secretary Federico Pena.
The new Pan Am has reached a tentative agreement to acquire Carnival Air Lines in a deal that achieves goals of both companies - for Pan Am, to start flying in markets it has already targeted, and for Carnival, to merge with another airline, go public and change its name, distancing itself from Carnival Corp.
Group of travel agencies that want to control their own computer reservations system has protested a planned linkup between Microsoft and Worldspan, in which the CRS would serve as a booking engine for Microsoft's online travel service. United States Travel Agent Registry (USTAR) President Bruce Bishins said, "The alliance between these two companies typifies the lack of support and partnership that Worldspan and other similarly situated CRSs have for their agency subscribers and the travel agency distribution channel in general.
American parent AMR Corp. turned in the best quarterly financial performance in its history yesterday - $293 million for the second quarter, topping $231 million in the third quarter of 1995 - and all signs point to a strong third quarter 1996 as well. The carrier announced the purchase of 12 767-300s it had been operating under a lease with Boeing, but it made few details available. The move to pre-purchase the aircraft in advance of 2008, when it was required to do so, will extinguish about $600 million in debt.
Air Canada's traffic jumped 21.1% last month on a capacity increase of 16.4%. The carrier flew 1.83 billion revenue passenger miles on capacity of 2.62 billion available seat miles. The load factor for the month increased 2.7 percentage points over that of June 1995, to 70.1%. Most of the traffic increase came in international markets. For the first half of the year, Air Canada's traffic was up 20% on a 13.6% increase in capacity. The load factor for the period was 64%, 3.4 percentage points higher than in the first half of 1995.
The House Government Reform and Oversight Committee soon will consider legislation that could save the federal government $320 million annually in travel expenses and $50 million annually in incorrect transportation disbursements. The Travel Reform and Savings Act of 1996 (H.R.3637) would give federal employees more flexibility in their transportation choices and promote prepayment audits for transportation expenses. The government also would save money by receiving rebates and other savings if employees used a travel credit card.
Travelers headed for Atlanta for the Olympics aboard Kiwi International Air Lines can try out EarPlanes - an ear discomfort reduction device - developed by Cirrus Air Technologies. The earplug-type devices will be available on Kiwi for 10 days.
Continental stock as of Tuesday was being quoted on a post-split basis. On June 26, the carrier announced a two-for-one split of its Class A and Class B common stock. Holders of common stock on July 2 will receive an additional share for each share held.
The U.K. Civil Aviation Authority, after a six-month investigation by the Monopolies and Mergers Commission, has proposed a rates and charges formula for April 1997 through 2002 for BAA's Heathrow, Gatwick and Stansted airports. Under the U.K.'s Airports Act of 1986, certain larger airports - BAA's three London airports and Manchester Airport Plc - are subject every five years to a detailed review by CAA and MMC as well as control of the amount by which rates and charges may be raised each year.
Morris Travel Services will convert its eight newest locations to the Worldspan computer reservations system this summer. The Salt Lake City- based company said the conversion will streamline all 53 locations through the same travel distribution and booking system. Morris then will work with Worldspan to upgrade locations systemwide to the new AT&T InterSpan Frame Relay Service. "Our plans are to acquire $50 million in new business every year, a goal we have already exceeded in 1996," said Mark Slack, chief executive.
DOT made final late Monday its tentative approval the application of American and Canadian Airlines International for immunity from U.S. antitrust laws (DAILY, July 17). "With today's action, we continue to reap the benefits of the Clinton administration's open-market aviation agreement with Canada, which already has generated over $2 billion for the economies of our countries," said DOT Secretary Federico Pena.
Westin Hotels&Resorts has signed an agreement with Signature Resorts to enter the vacation ownership market, under which the two will share an exclusive right for five years jointly to acquire, develop and market vacation ownership resorts in North America and the Caribbean. Westin Vacation Club Resorts will be Signature's newest and most upscale vacation ownership product. Vacation stays will sell for $12,000 to $20,000.
Why Can't the Federal Aviation Administration Learn?, a newly published study of FAA reform by Darryl Jenkins of the Aviation Foundation and Kingsley Haynes and Roger Stough of the Institute of Public Policy at George Mason University, advocates user fees as "the most direct and fastest method to bring accountability to the FAA." It recommends separating FAA's infrastructure and regulatory roles. For information, call Mary Clark, 703-993-2280.
Nearly 100 Choice International properties have become allied corporate associate members of the American Society of Travel Agents under an ASTA campaign to recruit Choice hotels. ASTA is giving the properties a corporate membership discount of $85 annually, instead of the normal $395 supplier cost for the first year and $365 for each renewal year.
U.S. Major and National Carriers Advertising Expenses First Quarter 1996 % of Total Passenger Systemwide Revenue Alaska $ 3,376,000 1.43 Domestic 3,093,000 1.43 Latin 283,000 1.43 America West 9,090,761 2.35
Virgin Atlantic Airways has launched a fare sale to promote service to Washington Dulles, the carrier's newest gateway. Fares start at $369 roundtrip for travel during the middle of the week in November.
Japan's Minister of Transport Yoshiyuki Kamei yesterday threatened retaliation if the U.S. imposes sanctions against Japan Airlines. "It is totally unacceptable to Japan that the U.S. government is attempting to resort to unilateral actions, discarding an essential part of the [U.S.- Japan] Agreement," he said in a statement. "Such an attempt inevitably forces the Japanese government to seriously consider an appropriate response." In a memorandum of understanding signed April 16 by Kamei and DOT Secretary Federico Pena, Japan and the U.S.
Several U.S. airlines are circulating a draft letter for President Clinton asking the administration to settle access to London Heathrow Airport before it focuses on other U.K. bilateral issues. The first round of new negotiations between the U.S. and the U.K. begins today in London.
Delta will shake down its new low-fare operation over the next four to six weeks before launching it this fall with 25 737-200s. The carrier recently began testing operational and customer service procedures on certain weekend flights under a program it internally calls "Project Sunshine," the low-cost service operating mostly in Florida markets. "The tests include time-and-motion studies on servicing the aircraft, the boarding, the deplaning.
