Aviation Daily

Staff
It did not take long for FAA's new acquisition regulations, introduced April 1, to be challenged. Wilcox Electric says the new rules contain "no timeliness provision for protests," such as the one it lodged over its loss of the Wide Area Augmentation System contract (DAILY, May 29). Moreover, Wilcox says that even if it had defaulted on the contract, which it was not accused of, the law does not permit agencies to exclude it from a reprocurement.

Staff
Florida Keys and New Orleans, high on tourist lists, are among the most vulnerable U.S. locations for hurricanes, says the National Oceanic and Atmospheric Administration, anticipating the 1996 hurricane season, which begins Saturday. NOAA says it tries to post warnings 24 hours before a storm's landfall, but increased populations at the two locations require 30 hours to evacuate. Although the 1995 hurricane season was the second most active in 125 years, National Hurricane Center Director Robert Burpee said hopefully it was just a "spike."

Staff
British Airways plans to resume service to Belgrade after being absent from the market for almost 15 years, flying three times a week from London Gatwick to the capital of the new Federal Republic of Yugoslavia. "Since the suspension of sanctions last December, there has been a notable increase in personal travel and trade between Belgrade and the major capitals of Europe," said BA Chief Executive Bob Ayling. The carrier will operate 737s with fares starting at #439 roundtrip.

Staff
House Transportation aviation subcommittee is scheduled today to consider an FAA authorization bill and apparently will be faced with proposed changes relating to passenger facility charges, airport privatization and certification of small airports. The subcommittee also is slated to mark up legislation dealing with the transfer of pilot records among airlines and with limitations on children piloting aircraft.

Staff
American yesterday named William Ris VP-government affairs. Ris, an attorney with strong ties to the Clinton administration, replaces Edward Faberman, who left the company in April (DAILY, April 10). American has refused comment on Faberman's sudden departure. Ris is a member of the Wexler Group, a Washington D.C.-based consulting firm, where he has been executive VP since 1983. American is among his clients. Ris served the Clinton campaign as its primary adviser on transportation and infrastructure issues.

Staff
Jet USA Airlines Inc. has filed an initial public offering to issue stock and warrants that it hopes will generate as much as $23 million for the startup airline. The company filed at the Securities and Exchange Commission to offer 2.3 million common shares and an equal number of warrants to purchase common stock. The company envisions selling the shares for about $5.

Staff
For the third year in row, travel agents polled by Carlson Wagonlit Travel picked Disney theme parks - Disneyland in California and Walt Disney World in Florida - as the top summer vacation destination. Florida came in second, up from fifth place last year, followed by Las Vegas, the Caribbean, Mexico, Europe, Hawaii, Alaska, California and Canada. Visiting the Grand Canyon and taking a cruise also fared well among preferred vacations.

Staff
Citing "unique circumstances that justify special considerations," DOT tentatively approved the application of American and Canadian Airlines International for immunity from U.S. antitrust laws. In a show cause order issued late Tuesday, the department exempted all-cargo and third-country services from immunity because they are excluded from the February 1995 open skies aviation agreement between the U.S. and Canada, and it incorporated an agreement between the carriers and the Justice Department to deny immunity to most New York-Toronto operations until Feb.

Staff
Abacus Distribution System will launch in the third quarter an Internet product that will allow travel agents and vendors to enhance their distribution network via the World Wide Web. The computer reservations system signed a memorandum of understanding with Sembawang Media to develop online reservations system capabilities on the Internet. Sembawang's subsidiaries SilkRoute Ventures and Contract will be Abacus's technical partners.

Staff
Holiday Inn Worldwide has published a redesigned worldwide directory of its hotels that distinguishes outstanding properties by marking them with a torch symbol, for its Torchbearer Award, or with a star, indicating they have received the Quality Excellence Award. The directory has new features, such as tips on packing a suitcase, how to travel with one's pet and how to survive a family road trip. Consumers can call 1-800-HOLIDAY for a copy. A special travel agent edition can be obtained by calling 1- 800-241-6826.

Staff
Senate Commerce Committee Chairman Larry Pressler (R-S.D.) asked DOT Secretary Federico Pena yesterday to work with him for reinstatement of the aviation excise taxes on a short-term basis, leaving the debate over FAA financing reform for another time. In a letter to Pena, Pressler faulted both sides of the user-fees-versus-excise-tax battle for hampering efforts to ensure FAA funding.

Staff
Lorraine Howerton has rejoined the Air Transport Association as VP-planning and executive director of programs. Howerton left ATA in 1994 to join Verner, Liipfert, Bernhard, McPherson and Hand as a legislative consultant on appropriations issues. Earlier, she was ATA's director of federal legislation.

Staff
Internet users are becoming a valuable source of revenue for airlines, according to an analysis of the Net Travel Survey, and many are interested in booking travel online. Forty-one percent of respondents said they are "very interested" in booking their travel via the Internet, and more than 75% said they are members of a frequent flyer program. CIC Research, San Diego, which analyzed the data for May 1995-April 1996, prepared a profile of the "high potential" travel customers.

Staff
DOT has approved Aerocer's application to operate combination charter service between Mexico and the U.S. Operating an eight-passenger Hawker HS-125-800A and a seven-passenger Falcon 10, the Mexican air taxi operator estimated that it will fly fewer than 75 roundtrips per year between Mexico and the U.S., with an average load between three and four passengers per flight. (Docket OST-96-1231)

Staff
A new Internet service provides information on the position of commercial aircraft and its arrival time at its destination. The service, provided by American Weather Concepts, Houston, and Flyte Comm of Florida, "is meant for anyone who travels or is responsible for those traveling," said Jack Thompson, marketing director for Flyte Comm. "You can rest easily knowing that all the information about their flight, whether it is early, late or re-routed, is at your fingertips."

Staff
Families of six passengers who died April 5 in the crash of a Formosa Airlines Dornier 228 at Matsu will receive the largest cash settlement ever agreed to by a Taiwanese carrier. A Formosa spokesman said the company has agreed to pay compensation of US$256,400 for each passenger killed in the crash. In addition, he said, two passengers who were seriously injured in the crash will be awarded compensation of US$36,600 and US$27,500.

Staff
Aero International has sold a 29-passenger Jetstream 41 to the KwaZulu- Natal government, for service between points in the South African province. Johannesburg-based SA Airlink will operate the aircraft on behalf of the KZN government through a profit-sharing deal. The jet will be used for flights among cities such as Durban, Pietermaritzburg and Ulundi.

Staff
The Reason Foundation, in a study issued yesterday, proposed restructuring the U.S. air traffic control system along the principle of "user pay means user say." Robert Poole, foundation president and co-author of the proposal, outlined a fee structure based on aircraft weight and distance flown that would apply solely to instrument flight rules operations, thus exempting smaller, private aircraft from most charges and taxes.

Staff
Cathay Pacific Airways will drop service between Hong Kong and Stockholm July 1 for lack of demand, said Christina Siaw, the carrier's manager of European routes. All of Cathay's other European services continue to perform to expectations, she said. The carrier will retain a sales office in Stockholm to serve the Scandinavian market.

Staff
Virgin Atlantic has opened its newly refurbished Clubhouse Lounge at London Heathrow Airport, offering a bar with 20% more seating than previously; a four-hole putting green with a sand trap and a mural based on the Pebble Beach golf course in California; an interactive electronic sporting game room, including an "Alpine Racer" ski simulator; a pre-flight grooming and relaxation area, a 5,000-book library; a soundproofed music room with a state-of-the-art sound system, and a business center. The music room can be booked in advance for business meetings.

Staff
United will operate 295 daily departures from Denver this summer, a modest increase over the 280 flown from the hub last year. The carrier's summer schedule includes new service to Vancouver and additional service to Calgary. The bulk of the new service this summer is to other United hub cities, such as Chicago, Los Angeles and Seattle, a United spokesman said.

Staff
Italy and Japan plan to resume negotiations in August after failing to reach an agreement during talks this month. In the May 16 talks in Tokyo, Italy threatened to revoke the bilateral pact with Japan unless service frequencies were increased. The current agreement provides for seven weekly flights for each country; however, because of the limited availability of slots at Tokyo Narita Airport, Alitalia is limited to operating five flights a week to the airport, while Japan Airlines serves Rome on a daily basis.

Staff
Service levels and fares at small U.S. communities appear to have stabilized in the years since deregulation, according to DOT's Study of Air Service At Small Communities: 1978-1995. But the effects of deregulation vary "considerably from one community to another," said the study, issued last week.

Staff
Vertex Corp., specializing in air cargo transportation with special emphasis on Eastern Europe, Russia and the former Soviet Union, has opened offices in Kansas City, Mo. Vertex also works in aircraft sales and leasing.

Staff
DOT yesterday granted Laker Airways approval to operate scheduled service between Fort Lauderdale and London Gatwick Airport. In granting the service, the department withdrew U.S. gateway designations from Nashville and Denver and designated Fort Lauderdale as a new gateway to London.