Aviation Daily

Staff
American urged DOT to reject an application by Rio Air Express, operating as Skyjet Brasil, to provide fifth-freedom charter combination service between third countries and the U.S. "The unlimited fifth- freedom charter authority sought by Skyjet Brasil is outside the scope of the [U.S.-Brazil] bilateral agreement, and the application should be denied," said American. Skyjet has applied to operate daily subservice between Bogota, Colombia, and New York on behalf of Avianca, using DC-10-30 aircraft (DAILY, June 10). (Docket OST-95-921)

Staff
Summary of U.S. Major Carriers Domestic Traffic Fourth Quarter 1995 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) America West 4,141 11.18 779 3,227,139 American 15,648 (8.97) 1,114 17,431,819

Staff
The United Nations' Organization for Economic Cooperation and Development may release its air transport study today in Paris. U.S. officials expect it to provide a strong endorsement of liberalization.

Staff
Summary of U.S. Major Carriers International Traffic December 1995 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) American 1,211 3.31 2,075 2,513,373 Atlantic 259 8.04 4,144 1,073,369

Staff
Japan Airlines has signed up Phoenix-based inflight shopping company SkyMall Inc. to provide catalogue shopping services. Starting in July, SkyMall will offer a Japanese version of its merchandise catalogue on the carrier's flights. JAL also will market SkyMall's services, placing the catalogues in convenience stores in Japan. SkyMall catalogues currently are carried on 18 airlines as well as Amtrak.

Staff
FAA's 34-point elaboration on its claim of ValuJet operating deficiencies, published as part of the consent order by which the carrier agreed to suspend operations (DAILY, June 19, 20), ranges from insufficient documentation to operating aircraft that were not airworthy. Sixteen of the listed incidents occurred since May 11, when ValuJet Flight 592 crashed in the Florida Everglades, killing all aboard. Fourteen occurred before the crash, one occurred on the day of the crash and the timing of the other three was not described. Two items on the list, Nos.

DOT

Staff
Granted orally to Lauda Air an exemption to conduct scheduled combination service between Vienna, on the one hand, and Miami and Los Angeles, on the other, via intermediate point Munich. The carrier also received an exemption to conduct charter combination service between a point or points in Austria and a point or points in the U.S., and other charters...Granted orally to Sky Freighters Ltd.

Staff
Summary of U.S. National Carriers Systemwide Traffic December 1995 Revenue Average Revenue Passengers Length of Passenger Enplaned % Travel Miles Carriers (000) Change (Miles) (000) Alaska 877 7.33 828 725,786 American Trans Air 377 6.57 1,846 696,335

Staff
EVA Air will fly between Taiwan and Hong Kong 16 times a week, starting in early August. The carrier said it was able to add the new destination after finally securing landing rights in Hong Kong. Morning and evening flights are planned daily, and there will be three flights on two high- traffic days each week. EVA said it has started to develop tour packages that combine stops in Hong Kong and Macau and is establishing interline connections to extend its passenger service to major destinations in mainland China.

FAA

Staff
- In Federal Register dated June 17...Adopted an airworthiness directive on Cessna aircraft requiring inspection of engine oil filter adapter assemblies...Adopted an AD on certain Jetstream 3201 aircraft requiring inspection of the spigot housing plate for cracks and corrosion at the wing/fuselage forward attachment sliding joint.

Staff
U.S. airlines staged a financial comeback in 1995 but racked up only a collective 2.5% net profit margin and a 6.2% operating profit margin, according to the Air Transport Association's 1996 annual report. Even so, the last time the industry did as well was in 1988, when ATA carriers reported margins of 2.6% on net profit and 5.4% on operating profit.

Staff
An arm of the British government will study the proposed alliance between American and British Airways to determine whether it qualifies as a merger, how it will impact the public and if it needs further scrutiny. BA has been in contact with the Office of Fair Trading, according to wire reports. The office will examine how the linkup will affect aviation competition in Britain and determine if it needs to be investigated by the country's Monopolies and Mergers Commission.

Staff
French airlines fear that the TGV, the nation's fast-rail service, will use newly won fare-setting flexibility to cut ticket prices on routes on which it competes strongly with airlines while leaving them high where the train has a near-monopoly, such as Paris-Lille.

Staff
AirTran Airways has begun operating nonstop 737 flights between Piedmont Triad Airport in Greensboro, N.C., and Orlando. It is offering one daily flight with fares starting at $59 one way.

Staff
Air Courier Conference of America elected Philip Belyew, United TransNet, president. National Aeronautic Association selected Ginny Schweizer as recipient of the 1996 Katharine Wright Memorial Award. National Business Aircraft Association named William Wagner, Townsend Engineering, vice chairman; Tom Myers, Sears, Roebuck and Company, treasurer, and Lise Margin corporate secretary.

Staff
Airbus Industrie said it carried out the first nonstop flight from Western Europe to Indonesia by a large civil transport - an A340 that completed the 6,700-nautical-mile trip to Jakarta from Toulouse in 14 hours and 30 minutes.

Staff
Air Transport Association's Senior VP-Operations and Safety Roger Fleming will retire Oct. 1. Michael Rioux, ATA VP-engineering, maintenance and material, will take his position. Fleming joined ATA in 1966.

Staff
Neither the DOT Inspector General nor FAA commented Friday on press reports that the IG may have launched a criminal investigation of FAA's oversight of ValuJet.

Staff
ALM Antillean Airlines said a new management team is keeping the carrier flying on time. In August, the airline appointed Conrad Aleong, a former Air Canada executive and BWIA president, as its new manager. Since the carrier launched new services on Oct. 29, the Dutch Caribbean airline has recorded an average on-time performance of 81.3%, compared with 62% a year earlier. The record improved despite a 34% jump in flights from the previous year's levels.

Staff
Low-cost airlines are taking fares down in Europe the way they did in the U.S. Virgin Express's fare for planned service between Rome and Madrid in September is $77 one way, with no restrictions. Air France, Iberia and Alitalia charge between $363 and $440 roundtrip, with restrictions.

Staff
Traffic carried by U.S. airlines increased 7.8% last month, compared with May 1995, on a 3.1% increase in capacity, according to the Air Transport Association. ATA carriers flew 46.24 billion revenue passenger miles on capacity of 66.19 billion available seat miles. The load factor for the month was 69.9%, up 3.1 percentage points from 66.8%, while passenger enplanements increased 6.3% to 44.79 million for the month.

Staff
Sony Trans Com will provide integrated audio and video systems for Hapag Lloyd's 16 737-800 aircraft on order from Boeing. A "flight-attendant friendly" system control unit will select and sequence programs unique to particular routes coded into it. Greg Rabe, the company's VP sales and marketing, said the order is Sony's first of a complete audio-video system for a narrowbody aircraft, "and we're confident that this type of system will ultimately eclipse the traditional centerline monitor system currently in use."

Staff
USAir has selected GTE Airfone to equip its aircraft with airborne telephones. Installation of the equipment, to take place aircraft by aircraft during scheduled major maintenance periods, is set to begin in August and be completed in the first half of 1997. The Advanced Digital Airfone Service provided by GTE will enable USAir's passengers to make and receive calls, send and receive data and faxes, access e-mail and voice mail, and conduct conference calls.

Staff
DOT Inspector General Mary Schiavo, asked by Rep. William Clinger (R-Pa.) to comment on FAA's proposed flight and duty time rules, cited concerns of the Regional Airline Association, the Air Line Pilots Association and World Airways that they would not increase safety measurably, they would create a significant economic hardship, and they might actually increase fatigue.

Staff
TWA's Air Line Pilots Association unit filed Friday in a St. Louis federal court a request for an injunction to stop the company from "outsourcing" flying operations to Tower Air and World Airways as a result of the delayed delivery of some 747s (DAILY, June 18). Master Executive Council Chairman Don Jacobs said the union and the company have talked for the past nine days on the issue to no avail. He expects a response early this week to the request, which seeks, as an alternative, an expedited arbitration process that would set a hearing date within 15 days.