Aviation Daily

Staff
British Airways flew 3.5% more revenue passenger miles last month than in May 1995 on a 4.9% jump in capacity. The carrier logged 5.07 billion RPMs on capacity of 7.33 billion available seat miles. The load factor was 69.2%, off by 1 percentage point. The number of passengers carried rose 1.3%. For the first two months of the carrier's fiscal year, traffic was up 3.2% on a capacity gain of 5.7%. Load factor was down 1.6 percentage points to 69.8%, while the number of passengers remained unchanged.

Staff
The crash of ValuJet Flight 592 May 11 in the Florida Everglades and its aftermath sent the carrier's load factor tumbling 18.8 percentage points last month, to 52.7%. While the airline's capacity grew 27.5% over that of May 1995, its traffic fell 6% and the number of passengers it enplaned dropped 7.4%. Capacity was up even though the carrier cut its scheduled service nearly in half during the last third of the month, after FAA announced a stepped-up inspection of its operation.

Staff
Growth in all four of its geographic service areas gave United's traffic a 5.2% boost in May. The carrier increased capacity 3.1%, driving up the load factor 1.4 percentage points to 71.6%. The number of revenue passengers carried in North America, Latin America and across the Pacific and Atlantic rose 2.5%. For the first five months of the year, United's traffic grew 5.6%, compared with the same period in 1995, on a capacity increase of 3.5%. The load factor gained 1.4 points to 69.6%. The number of passengers was up 4.5%.

Staff
American has extended its program of collecting leftover foreign change on international flights for UNICEF. The collections, taken by many carriers on international flights, were started by American in December 1994 on a few flights and expanded last year. With the latest addition, the carrier will collect change on 104 flights per day. The collections generated $65,000 for UNICEF last year.

Staff
FedEx Chairman Frederick Smith is willing to consider acquiring as many as 10 aircraft with a takeoff weight of one million pounds, Airbus Industrie Senior VP-Commercial John Leahy says in a pitch for the proposed A3XX jumbo. Leahy says Boeing has briefed Smith on the stretched 747, with which the A3XX would compete. FedEx could use a jumbo at as many as 10 airports as long as they do not need expensive modifications for cargo, according to Leahy.

Staff
The Travel Industry Association has let the administration know the travel industry as a whole opposes President Clinton's proposed $16 departure tax on travelers to fund education (DAILY, June 5). TIA said although an educated public means better future employees for industry, the investment should be shared by all U.S. corporations. TIA estimates the tax will affect 45 million international guests and nearly 46 million Americans traveling abroad. The proposal is for $10 of the $16 to go to the general fund to then be used to reduce college tuition.

Staff
Chinese officials hope to attract 52 million visitors a year by 2000, up from 45 million in 1995. But travel analysts in China expect closer to 60 million visitors a year. Foreign tourists are projected to generate $10.5 billion in revenue in 1997, a 20% increase from last year.

Staff
Shangri-La Hotels and Resorts is reducing lodging rates in China and Southeast Asia through August and, in some cases, through September. The starting rate for a night's stay in Hong Kong is $200, rates in China range from $63 in Beihai to $182 in Beijing, and rooms start at $251 in Taiwan and $123 in Bangkok.

Staff
USAir's traffic inched up 0.9% last month over that of May 1995 on a 5.4% decrease in capacity. Load factor for the month was up 4.4 percentage points to 69.8%.

Staff
Pittsburgh-based Hotel Electronic Distribution Network Association will hold its 1996 summer meeting at the Royal York Hotel in Toronto July 10-12. The program includes a presentation by Microsoft on its Internet travel product, a status report on the Amadeus/System One consolidation, rollout of the association's new Internet site managed by TravelWeb and a panel discussion on the future of corporate travel. For meeting information, call 412-784-8433.

Staff
Editors of Midwest Living magazine have published a book called 75 Great Small Town Getaways that highlights small towns in 10 midwestern states. It provides information on local festivals and activities, driving distances, shopping, lodging and dining. The book costs $14.95 in book stores, and can be ordered by calling 1-800-678-8091.

Staff
Delta's traffic rose 13.1% last month, giving it the strongest May boardings in its history. Capacity for the month grew 2%, compared with May 1995, sending the load factor up 7 percentage points to 70.8%. The carrier boarded 15.6% more passengers for the month. For the first five months of the year, traffic was up 7.6% on a capacity increase of 0.6%, lifting the load factor 4.4 points to 67.8%, and passengers rose 9.3% from 1995 levels. May 96 May 95 5 Mths 96 5 Mths 95

Staff
Rosenbluth International has opened a second IntelliCenter at its office in Wilmington, Del. The centralized reservations center handles calls from multiple accounts throughout the U.S. Its first IntelliCenter opened in Fargo, N.D., two years ago. The company is considering opening two more centers and is reviewing locations. The Wilmington facility could create 100 new jobs.

Staff
The International Civil Aviation Organization predicts air services in the Asia/Pacific region, currently the fastest-growing in the world, will increase significantly throughout the first decade of the next century. "According to recent forecasts by ICAO's Asia/Pacific Area Traffic Forecasting Group, transpacific aircraft movements are likely to grow by 4% compounded yearly," Assad Kotaite, president of the Council of ICAO, said Tuesday at the Global NAVCOM Symposium and Exhibition in Singapore.

Staff
Airline Industry Stocks Trends Closed Closed Exchange 5/31/96 4/30/96 Majors AMR NYSE $ 94.370 $ 89.250 America West (Class B) NYSE 20.370 21.000 Continental (Class B) NYSE 56.870 57.000 Delta NYSE 82.870 80.370 Northwest OTC 39.750 45.500

Staff
MasterCard International and the American Society of Travel Agents will sponsor an Internet training seminar for travel agents July 12 in Washington, D.C. The seminar is designed to provide agents with an overview of marketing on the Internet, how to locate new clients online, how to design a home page and how to access ASTA's Web site, ASTAnet.

Staff
Continental Micronesia President and Chief Executive Don Breeding will retire Jan. 15 and VP-finance Jim Ream is expected to be named executive VP and chief operating officer at CMI's board meeting June 25, Continental told employees. After Breeding retires, Ream will be the new chief.

Staff
Aerovics is seeking authority to conduct charter passenger operations between Mexico and the U.S., with stopover privileges and relief from the requirement that it obtain advance approval for each Mexico-U.S. flight. The Mexican air taxi company plans to operate the service using its four corporate aircraft - a 16-seat Gulfstream G-IV, a six-passenger Dassault Falcon 100, a 10-passenger Beechcraft King Air 300 and an eight-passenger Eurocopter AS365N2 Dauphin 2 helicopter. The carrier estimated that it will operate fewer than 75 roundtrips between Mexico and the U.S.

Staff
U.S. carriers are trying to accommodate the failure of the U.S. and Japan to address either direct or beyond service issues in two days of talks that ended Tuesday in Tokyo (DAILY, June 4). United CEO Gerald Greenwald noted that little was accomplished but said "an opportunity for real progress does exist, beginning with scheduled talks on June 27-28 in Washington." He urged a three-step approach - approve pending applications for Osaka- Jakarta service, allow U.S.

Staff
Airbus Industrie is pitting a shortened version of its A330 twin against Boeing's 767 - five years late, according to a senior executive - and the company expects the downgrading of military airbases in the Northern Pacific to make its A340 more competitive against the Boeing 777 for service between North America and Asia.

Staff
Bell Atlantic is expanding its in-hotel television programming, called InfoTravel, to nine Chicago hotels. The company launched the television product a year ago in some Washington, D.C., hotels, and 13 are now signed up. Guests, using the TV remote, can choose a restaurant, hear about local entertainment options, locate the nearest shopping area and pick up customized maps from the front desk. The service is advertiser-supported and free to users and the hotel.

Staff
With an 87% record, Southwest led the majors in on-time performance for the fourth month in a row in April. Overall, the nation's 10 largest carriers posted an 80.2% rate, up from 75.9% in March but not as good as the 81.3% in April 1995, according to DOT's Air Travel Consumer Report, released this week. Northwest placed second at 84.2%, followed by United at 83.3%. TWA came in last with 75.5%. Data still include delays caused by mechanical problems as DOT determines whether to once again exclude that information from the on-time ratings.

Staff
Aer Lingus is a new member of Delta's SkyMiles program. The carriers began code sharing May 1 on Aer Lingus's daily flights between New York and Shannon and Dublin.

Staff
Air Canada has opened two lounges in Vancouver Airport's new terminal. The facilities, for international and transborder business travelers, include business centers equipped by Xerox. The 500-square-meter international lounge, in the international departures area, accommodates up to 111 passengers. The 240-square-meter transborder lounge seats up to 58 passengers for the carrier's 169 weekly flights to the U.S.