American Trans Air's May traffic rose 17.2% to 707.6 million revenue passenger miles, compared with 603.7 million in May 1995. Available seat miles increased 30.7% to 1.1 billion, and the passenger load factor fell 7.2 percentage points to 62.5%. The carrier transported 471,667 passengers during the month. For the first five months, RPMs increased 10.4% to 4 billion, ASMs rose 11.3% to 5.8 million and the load factor was down 0.5 points to 69.8%.
Northwest has introduced summer saver fares that cut domestic ticket prices by as much as 40%. Tickets must be purchased by June 25 for travel completed by Sept. 9. Tim Griffin, senior VP-market planning and development, said, "Although many seats have been taken because of earlier summer fare sales, consumers can still realize significant savings." Most major airlines said they were matching in competing markets. Tickets must be purchased at least 14 days in advance.
MD-95 launch customer ValuJet plans to review whether it can continue to make payments to McDonnell Douglas while a government-forced grounding deprives it of revenue, ValuJet President Lewis Jordan said yesterday. The no-frills carrier launched Douglas Aircraft's new-technology revival of the carrier's workhorse DC-9 in October with an order for 50 firm aircraft worth more than $1 billion (DAILY, Oct. 20, 1995). But in the aftermath of the May 11 crash of an older DC-9 in the Florida Everglades, ValuJet's stock price, debt issues and assets have plummeted in value.
Northwest, in partnership with Shandwick Minneapolis, has been awarded a Silver Anvil for public service partnerships by the Public Relations Society of America for its efforts in providing relief to Kobe, Japan, residents following the January 1995 earthquake. Northwest airlifted 250 tons of relief material and raised $50,000, which it matched.
Swissair plans to intensify its cargo cooperation with Sabena with an eye to becoming the world's 10th-largest air cargo space provider. Sabena plans to use several sets of traffic rights not currently exercised, while Swissair will exploit its global sales and distribution network to take advantage of synergies between the two airlines.
Federal Express Corp. in mid-July will make new shipping software available - FedEx Ship 2.0 for Windows - the third generation of its shipping software. It provides e-forms, international and future-day shipping and multiple package tracking. FedEx Ship 2.0 currently is available for Windows 3.1 and higher, and the company plans to have a MacIntosh version ready soon.
Senate Commerce Committee Chairman Larry Pressler (R-S.D.) said yesterday that FAA prepared at least three reports before May 11 suggesting problems with ValuJet's safety but failed to disclose any of the documents at the committee's May 14 FAA authorization hearing that largely focused on the Flight 592 crash. Pressler has scheduled a June 27 hearing to explore whether top FAA management responded expeditiously to indications of ValuJet problems and to examine FAA's dual role to ensure safety and promote air commerce.
Prompted by the continuing fallout from the ValuJet investigation, FAA Associate Administrator for Regulation and Certification Anthony Broderick announced he will retire at monthend. "The events of the past weeks mandate that you make major, visible changes to improve the public confidence in the safety of our air transportation system and the quality of FAA oversight of the airlines," said Broderick in a June 17 note to FAA Administrator David Hinson. "Mr.
When EVA Airways inaugurates service on the Taipei-Hong Kong route in late July, there is a strong possibility that it will offer substantially lower prices than those now set by China Airlines and Cathay Pacific. EVA VP Chiu Hung-yi told Taiwan's Central News Agency that EVA could price a full- fare economy round-trip ticket at NT$6,000 (US$218.20), compared with the minimum NT$8,200 (US$298.20) now charged by CAL and Cathay Pacific.
As organizational changes at FAA were being announced yesterday, Continental Chief Executive Gordon Bethune was being asked by reporters if the FAA does a good job regulating safety. He responded that there is no better aviation regulatory body in the world, and David Hinson is the best administrator out of the last 10. "Could they improve? Sure, so could I."
Kiwi International Air Lines' May traffic increased 36% in May to 133.5 million revenue passenger miles from 98 million on 28% more capacity. Available seat miles totaled 234.5 million, up from 183 million. Kiwi carried 23% more passengers during the month, 179,500, and its load factor rose 4 percentage points to 57%. Kiwi President and Chief Executive Jerry Murphy said the carrier continues to see gains in business markets from New York, Chicago and Atlanta.
Atlas Air will lease a 747-200 freighter to Thai Airways under a three-year contract beginning in the fourth quarter of this year. In addition, Thai Airways has the option to lease a second and third aircraft for three years each, beginning in the first and third quarters of 1998, respectively. Thai has the option to lease the first aircraft for a fourth year. Atlas said if all options of the contract are exercised, the transaction will be worth $256 million.
ValuJet President Lewis Jordan declared yesterday that the carrier will recover from the grounding forced on it Monday by FAA and fly again. In a news conference, Jordan said he agreed to stop flying Monday at midnight so FAA would not force the carrier to cease its operations. He said he still believes ValuJet was safe, and he would have grounded the carrier himself if he thought otherwise. Jordan said he was bothered by the "intense inspection" FAA launched after the crash of Flight 592 in the Everglades May 11, killing all aboard.
Qantas has started all-jet service between Launceston and Melbourne and has increased flying between Launceston and Sydney. The flights will be operated by the carrier's Southern Australia Airlines regional subsidiary using BAe 146-200 aircraft, starting Oct. 27. Southern Australian will operate 30 BAe 146 flights each week between Launceston and Melbourne. The carrier currently flies the route with a mix of 737s and Southern Australia's de Havilland Dash 8s.
BWIA International Airways was named by the Trade Travel Gazette as having the best airline service in the Caribbean, according to the magazine's poll of travel agents. Separately, the carrier is offering students in the southern U.S. a summer discount of $517 roundtrip for travel to the Caribbean.
In-Flight Phone Corp. has chosen Rapp Collins Worldwide's Chicago office as its advertising agency of record. In-Flight's FlightLink system is installed on aircraft operated by America West, Continental and Carnival.
U.S. Major Carriers Traffic May, 5 Months 1996 (000) May May % 1996 1995 Change Alaska Revenue Passenger Miles 825,000 675,000 22.2 Available Seat Miles 1,270,000 1,130,000 12.4 Load Factor (%) 65.0 59.7 America West
United says its $51 million immigration/customs facility, to open June 24 at Los Angeles Airport, will cut the processing time for international passengers in half. The nine-gate facility will serve United's international flights and reduce congestion in the Tom Bradley International terminal.
FAA has extended until July 19 the comment period on its call for development of prototypes for a global analysis and information system (GAIN). The agency in the May 10 Federal Register proposed GAIN to facilitate the collection, analysis and dissemination of aviation safety information. FAA is asking that all submissions be made via the Internet by sending an e-mail message with comments (plain text preferred) to: [email protected]. Comments also must be mailed in hard copy to FAA, 800 Independence Ave.
Carnival Air Lines will begin operating two weekly flights to Aguadilla, Puerto Rico, from Orlando July 4 with 727s. The carrier will offer $119 one-way fares that do not require an advance purchase, Saturday night stay or roundtrip purchase.
SAS will be the main tenant of a new international cargo center being built at Newark Airport. The $42 million, 284,000-square-foot complex will increase cargo capacity at the airport by more than 33%. The facility will be constructed in two phases, beginning with a 192,000-square-foot building, to be started in August and finished by early 1998. Plans for Phase 2 will be announced at a later date, SAS said.
Hawaiian Airlines' revenue passenger miles for the first five months of the year shot up 20.6% to 1.579 billion revenue passenger miles, compared with the 1995 level, and available seat miles rose 19.7% to 2.083 billion. The load factor moved up 0.5 percentage to 75.8%. In May, its RPMS rose 8.9% to 319.5 million on 8.9% more capacity than in May 1995, while the load factor remained unchanged at 74.8%. ASMs totaled 426.9 million, up from 392.1 million. Hawaiian carried 421,765 passengers, a 3.9% increase.
Continental has applied for 20 slots at London Heathrow Airport for service from Newark, Houston and Cleveland. Although it does not have authority to serve Heathrow, the carrier said it is positioning itself for access if the proposed American-British Airways alliance is approved and existing restrictions on Heathrow are lifted. "Continental needs those slots now and the route authority to fly there or we can kiss goodbye any real competition with the AA-BA alliance," said Continental Chief Executive Gordon Bethune.
Rafael Arias Salgado, Spain's new transport minister, says his government will "set up a strategy in accordance with Iberia's policy to seek a U.S. partner." Translation: Spain will be ready to talk open skies with the U.S. as soon as its flag carrier finds an ally across the Atlantic.
