Air Transport World articles from February 2005

Air Transport World archives from February 2005

Trends.(jet fuel rates, airlines rankings, foreign currency exchange rates )(Illustration)
February 1, 2005... WORLD AIRLINE TRAFFIC [GRAPHIC OMITTED] JET FUEL PRICES * December 17, 2004 New York 135.34 US Gulf Coast 129.79 Los Angeles 132.80 Rotterdam 135.18...

A new direction: Delta tries for a rational pricing model.(Delta Air Lines Inc.)(Editorial)
February 1, 2005... There is an old handyman's saying, equally applicable in our era of programmable televisions and coffeemakers: "When all else fails, read the directions." To its credit, Delta Air Lines has become the first US legacy carrier to read the...

EU, US to negotiate pact on aircraft subsidies.(Brief Article)
February 1, 2005... The European Union and US reached agreement last month to resolve their dispute over government subsidies to Airbus and Boeing through negotiations rather than submitting the disagreement to the World Trade Organization. According to the EU and...

Airbus stays on top in 2004.(Brief Article)
February 1, 2005... Airbus, as expected, maintained its lead position over Boeing in terms of both orders and deliveries last year. Airbus deliveries comprised 233 A320 family aircraft, 12 A300-60ORs--all freighters, 25 A330-200s and 50 A330-300s/A340s for a total...

One step forward, one step back at United.(Brief Article)
February 1, 2005... United Airlines' seesaw ride through bankruptcy continued into 2005 as it saw its hard-won pilot contract negated by the court while it subsequently reached tentative agreements with its cabin staff and mechanics. In turning down the pilot...

Delta unveils SimpliFares to applause, concern.(Delta Air Lines Inc.)(Brief Article)
February 1, 2005... The long-anticipated US legacy airline fare restructuring got underway Jan. 5 when Delta Air Lines extended its SimpliFares structure beyond its Cincinnati hub to its domestic route network excluding Hawaii and Alaska. The structure caps...

Airline safety improves again in 2004 ...(Brief Article)
February 1, 2005... The world's airlines enjoyed their safest year on record in 2004, according to Airclaims. Commercial air carriers experienced only 11 fatal accidents worldwide, excluding acts of violence, with a total of 347 passengers killed. Last year also...

... As traffic surges.(Brief Article)
February 1, 2005... World airline RPKS rose 14% in 2004 compared to 2003 based on preliminary figures, ICAO reported. Capacity during the year also rose but at a slower rate, resulting in a 2-point hike to 73% in passenger load factor. The number of passengers...

Singapore.(Asia/Pacific Report)(pressures Australia on openskies agreement)
February 1, 2005... Singapore has turned up the pressure on Australia to enter into an open skies agreement that will open the door for Singapore Airlines to take up the South Pacific route to the US as both governments prepare for bilateral air services talks...

Open skies talks.(Asia/Pacific Report)(Brief Article)
February 1, 2005... Open skies talks between the US and India began in Washington last month as US Transportation Secretary Norman Mineta met with Indian Civil Aviation Minister Praful Patel. The current US-India aviation agreement, which dates back to 1956,...

China's airlines.(Asia/Pacific Report)(industry sales)(Brief Article)
February 1, 2005... China's airlines posted combined profits of 6.23 billion yuan ($752.7 million) in 2004, reversing a loss in 2003, the Beijing Morning Post reported. The country's three major carriers--Air China, China Eastern Airlines and China Southern...

Eva Airways.(Asia/Pacific Report)(Steve Lin promoted )(Brief Article)
February 1, 2005... EVA Airways said President Steve Lin was promoted to chairman replacing K.C. Chang, who left the airline to join Evergreen Group. Chief Executive VP K.W. Chang will succeed Lin as president.

L-3 Communications.(Asia/Pacific Report)(signed contract with Qantas Airways Ltd.)(Brief Article)
February 1, 2005... L-3 Communications won a contract from Qantas Group to supply several automated explosives screening systems at a number of Australian airports served by the carrier. Qantas will integrate the devices into existing baggage handling systems for...

Messier Services Asia.(Asia/Pacific Report)(deal signed with Cathay Pacific Airways Ltd. and Hong Kong Dragon Airline Ltd.)
February 1, 2005... Messier Services Asia signed a landing gear exchange and overhaul contract with Cathay Pacific and Dragonair. The contract covers both airlines' entire fleets of A330s and A340s for a total of 48 shipsets over a period of 10 years.

GE Commercial Aviation Training.(Asia/Pacific Report)(flight simulator installed)(Brief Article)
February 1, 2005... GE Commercial Aviation Training will install an A320 full flight simulator in Hong Kong in May. The simulator is fitted with the latest Evans & Sutherland EP-1000 visual system and will be certified to Level D by the Hong Kong Civil Aviation...

Wencor.(Asia/Pacific Report)(Wencor West Inc. forms alliance with Cathay Pacific Airways Ltd.)(Brief Article)
February 1, 2005... Wencor announced a five-year PMA parts development alliance with Cathay Pacific Airways under which Wencor will supply its own and Wencor-partner FAA-approved parts to the carrier. In addition, during the next five years Wencor will develop...

SIA Engineering Co. Ltd.(Asia/Pacific Report)(MOU signed with Cebu Pacific Air )(Brief Article)
February 1, 2005... SIA Engineering Co. Ltd. signed an MOU with Cebu Pacific Air to create a joint venture providing line maintenance, technical ramp services and light maintenance checks at 13 airports in the Philippines.

Evergreen Aviation Technologies Corp.(Asia/Pacific Report)(maintenance hangar opened at Chiang Kai-Shek International Airport in Taipei )(Brief Article)
February 1, 2005... Evergreen Aviation Technologies Corp., a joint venture between EVA Air and GE, officially opened its second maintenance hangar at Chiang Kai-Shek International Airport in Taipei Dec. 31.

GE Engine Services.(Asia/Pacific Report)(signed contract with ANA Aviation Services)(Brief Article)
February 1, 2005... GE Engine Services will support 12 GE90-115B engines powering six 777-300ERs under a Material By The Hour contract with ANA. Value of the deal is estimated at $25 million.

Mechtronix Systems.(Asia/Pacific Report)(Ascent FFS-X 737NG flight simulator launched)(Brief Article)
February 1, 2005... Mechtronix Systems unveiled its first Ascent FFS-X 737NG flight simulator, which will be installed at the Civil Aviation Flight University of China Simulation Training Center in Guangzhou.

US Airways Group.(North America Report)(Brief Article)
February 1, 2005... US Airways Group's fight for survival will get a bit harder beginning in May when Southwest Airlines launches service to Pittsburgh International Airport, the bankrupt carrier's third hub. Yet US Airways is making tangible progress in achieving...

Quoted briefly.
February 1, 2005... "The objective is to secure a comprehensive agreement to end subsidies to large civil aircraft producers in a way that establishes fair market competition for all development and production of LCA in the [EU and US]." --EU-US joint...

United Airlines'.(North America Report)(Ted to introduce new flights)(Brief Article)
February 1, 2005... United Airlines' low-fare subsidiary Ted plans to boost service in Chicago in April with new flights from Midway to Washington Dulles and Denver, setting itself up for a big battle with Southwest Airlines and other low-cost carriers with...

Continental Airlines.(North America Report)(Brief Article)
February 1, 2005... Continental Airlines warned in early Jan. that its recent order for 10 7E7s (see Equipment) could be in jeopardy if it cannot achieve agreements with its employees to save $500 million annually. In Dec., the carrier detailed sweeping pay and...

Delta Air Lines.(North America Report)(signed an agreement with Dallas/Fort Worth International Airport)(Brief Article)
February 1, 2005... Delta Air Lines and Dallas/Ft. Worth International reached an agreement that allows the airport to regain control of 24 of Delta's gates in Terminal E for $7 million. The airline last year announced that it planned to close its DFW hub as part...

American Airlines.(North America Report)(to sell food in all domestic flights)(Brief Article)
February 1, 2005... American Airlines will begin selling food in the main cabin on all domestic flights of 3 hr. or longer from Feb. 1 in a move the carrier said will save it $30 million annually. Buy-on-board also will replace the food service on approximately...

Aloha Airlines.(North America Report)(filed chapter 11 bankruptcy)
February 1, 2005... Aloha Airlines filed for Chapter 11 at the end of Dec., becoming the second Hawaii-based carrier to seek bankruptcy protection after Hawaiian Airlines filed for Chapter 11 in March 2003. Privately owned Aloha said that despite an 8% increase in...

FAA.(North America Report)(Federal Aviation Administration to recruit air traffic controllers)(Brief Article)
February 1, 2005... FAA unveiled its new 10-year air traffic controller staffing plan, which calls for hiring 12,500 controllers over the period to cover projected retirements and turnover of 11,000. The agency said it plans to hire an additional 1,500 controllers...

Northwest Airlines.(North America Report)(asked government for mediation into contract negotiations with its mechanics)(Brief Article)
February 1, 2005... Northwest Airlines asked for government mediation in its contract negotiations with its mechanics and related employees, represented by the Aircraft Mechanics Fraternal Assn., charging the union with foot-dragging over its effort to reach...

Alaska Airlines.(North America Report)(negotiations failed with pilots' union)(Brief Article)
February 1, 2005... Alaska Airlines and its pilots' union were unable to reach agreement on a new contract by their self-imposed deadline of Dec. 15 despite more than 16 months of negotiations and have agreed to have the contract settled through arbitration that...

Hawaiian Airlines.(North America Report)(agreement reached with mechanics and related workers )(Brief Article)
February 1, 2005... Hawaiian Airlines said it reached a tentative agreement with its mechanics and related workers represented by the International Assn. of Machinists to extend the group's contract by three years once the carrier exits bankruptcy. It reached a...

US majors traffic December 2004.(Fact File)(Illustration)
February 1, 2005... US Majors Traffic December 2004 Revenue % Airline passenger miles change 2004 2003 Alaska 1.41 1.30 8.6 American 10.98 10.35 6.1 America...

Boeing.(North America Report)(production of the 717 will be stoped)(Brief Article)
February 1, 2005... Boeing last month said it will end production of the 717 when it fulfills its existing backlog, which totaled 32 at year end. The company took a charge of $340 million against fourth-quarter earnings to reflect the cost of ending production,...

Honeywell.(North America Report)(Honeywell Inc. Aerospace Services appointed Robert Gillette)(Brief Article)
February 1, 2005... Honeywell named Robert Gillette president and CEO of its Aerospace business and Adriane Brown president and CEO of its Transportation Systems business, effective immediately.

Ultra Electronics Holdings.(North America Report)(gets contract from GKN Aerospace Services)(Brief Article)
February 1, 2005... Ultra Electronics Holdings was selected as the lead contractor for the wing ice protection system for the 7E7. As part of the deal, GKN Aerospace was chosen to provide the composite mat for the system and Thermoin to provide an electrothermal...

STG's SafTGlo.(North America Report)(lighting system certified by Federal Aviation Administration)(Brief Article)
February 1, 2005... STG's SafTGlo floorpath lighting system was certified by FAA for use on 747-400s.

B/E Aerospace.(North America Report)(received orders from unnamed airles)(Brief Article)
February 1, 2005... B/E Aerospace received separate orders worth up to $125 million from unnamed US and non-US airlines to supply cabin interior products.

AvAero.(North America Report)(received Transport Canada approval )(Brief Article)
February 1, 2005... AvAero said it received Transport Canada approval for its FuelMizer modification. In conjunction with the approval, Falconbridge Mining completed installation of the first 737800 FuelMizer modification, the company said.

The European Commission.(Europe Report)(investigation launched into Alitalia Linee Aeree Italiane S.p.A.'s restructuring plan)(Brief Article)
February 1, 2005... The European Commission will launch an in-depth probe into Alitalia's restructuring plan, Commissioner for Transport Jacques Barrot confirmed last month. He stated that there are no "negative presumptions" that the restructuring plan...

Spain's Air Europa.(Europe Report)(contract signed with Airbus S.A.S. for 10 GEnx-powered A350-800s )(Brief Article)
February 1, 2005... Spain's Air Europa became the first customer for Airbus's proposed A350 on Dec. 21 after signing an MOU for 10 GEnx-powered A350-800s with options for two more. The aircraft will be delivered between 2010 and 2012. The dash 800 that Air Europa...

French government and Lagardere Group.(Europe Report)(Brief Article)
February 1, 2005... French government and Lagardere Group confirmed the nomination of Airbus CEO Noel Forgeard as French co-CEO of EADS in late Dec., ending an extended public power struggle with current French EADS co-CEO Philippe Camus. Separately, Thomas...

Amadeus.(Europe Report)(Brief Article)
February 1, 2005... Amadeus controlling shareholders Air France, Lufthansa and Iberia confirmed that they selected a proposal by private equity funds BC Partners and Cinven to form a new company jointly to buy out all of Amadeus's capital. The proposed price is...

KLM.(Europe Report)(KLM Royal Dutch Airlines reduced fares)(Brief Article)
February 1, 2005... KLM reduced its fares on all flights from Amsterdam to 66 European destinations by as much as 40%. The airline said the price cuts are in response to "increasing competition in the European air travel market and a drop in average airfares."

Aer Lingus.(Europe Report)(Willie Walsh, Brian Dunne, Seamus Kearney steps down)(Brief Article)
February 1, 2005... Aer Lingus CEO Willie Walsh, CFO Brian Dunne and COO Seamus Kearney were set to step down at the end of Jan., much earlier than originally planned, after lawmakers in Ireland accused the group of having conflicts of interest. The executives,...

European Airline traffic December 2004.(Fact File)(Brief Article)
February 1, 2005... European Airline Traffic December 2004 % RPKs change ASKS Airline (billions) 2003 (billions) AF-KLM (1) 13.94 6.9 17.94 BA Group ...

Germanwings.(Europe Report)(company sales)(Brief Article)
February 1, 2005... Germanwings, the low cost subsidiary of Eurowings, said it enjoyed its first profitable year in 2004 as sales rose 60% compared to a year earlier to around 245 million [euro] ($333.2 million). Passengers increased 46% to 3.5 million.

Centralwings.(Europe Report)(LOT's proposed low-cost subsidiary)(Brief Article)
February 1, 2005... Centralwings is the name for LOT's proposed low-cost subsidiary, which was expected to start operations Feb. 1 from Krakow and Warsaw using a fleet of five 737 Classics. Previously it had been designated Polish Wings. Further destinations will...

Austrian Airlines Group.(Europe Report)(acquires remaining shares of Airest)(Brief Article)
February 1, 2005... Austrian Airlines Group in late Dec. signed a letter of intent that calls for it to take over the remaining shares of catering company Airest. AAG currently holds 35% of the caterer with Gate Gourmet Switzerland GmbH holding 35% and LSG...

Aviation Partners Boeing.(Europe Report)(selected by Flyglobespan and Icelandair for winglets)(Brief Article)
February 1, 2005... Aviation Partners Boeing Blended Winglet systems were selected by Flyglobespan and Icelandair. Flyglobespan ordered three firm 737-800 systems with options for an additional 47, while Icelandair placed orders for seven 757-200 winglets with...

Takeoff and landing fees.(Europe Report)(charges down at German airports )(Brief Article)
February 1, 2005... Takeoff and landing fees at German airports will be cut by 28.3% from Jan. 1, the Associated Press reported. In addition, overflight fees will fall by about 20%.

Triumph Composite Systems.(Europe Report)(Brief Article)
February 1, 2005... Triumph Composite Systems was awarded a contract for the design and manufacture of the A380 freighter floor panel system with a potential total value in excess of $35 million.

Menzies Aviation.(Europe Report)(contract awarded by British Airways )
February 1, 2005... Menzies Aviation was awarded a five-year contract from British Airways to provide ramp, cleaning and aircraft towing and pushback services covering BA's 17 weekly flights to Rio de Janeiro and Sao Paulo. Menzies also represents the airline in...

MNG Technic.(Europe Report)(received EASA certification)(Brief Article)
February 1, 2005... MNG Technic in Turkey received EASA Part 145 approval authorizing it to perform base and line maintenance on A300s, A320s, A321s, 727200s, 737-300s/-400s/-500s/600s/-700s/-800s/-900s, 757-200s, MD-80s and DC-9s.

Aviareps.(Europe Report)(inks deal to represent Club Air )(Brief Article)
February 1, 2005... Aviareps inked a deal to represent Club Air in France, Belgium and Luxemburg effective immediately.

Shepherd Systems.(Europe Report)(provides soutions to PGA-Portugalia Airlines)(Brief Article)
February 1, 2005... Shepherd Systems is providing PGA-Portugalia Airlines with its Market Information Data Transfer solution Clarity.

Aerolineas Argentinas.(Latin America/Caribbean Report)(creditors get final payment)(Brief Article)
February 1, 2005... Aerolineas Argentinas emerged from a lengthy financial restructuring at the end of Dec. with a final payment to creditors of $245.7 million; it earlier had made payments totaling $504.3 million. The carrier experienced a "technical bankruptcy"...

Brazil's airlines.(Latin America/Caribbean Report)(Brief Article)
February 1, 2005... Brazil's airlines enjoyed their strongest growth in three years in 2004, according to preliminary figures from DAC. Domestic RPKs jumped 11.9% to 28.2 billion while international RPKs rose 8.1% to 23.3 billion. Domestic load factor was 66%, up...

Gol.(Latin America/Caribbean Report)(Gol Transportes Aereos to construct maintenance hangar)(Brief Article)
February 1, 2005... Gol will construct a new maintenance hangar at Tancredo Neves International Airport outside of Belo Horizonte under a letter of intent signed with the Minas Gerais state government and airport company Infraero.

Republic of Ghana.(Africa/Middle East Report)(deal signed to form Ghana International Airlines)(Brief Article)
February 1, 2005... Republic of Ghana and US consortium GIA-USA signed definitive agreements to create Ghana International Airlines, a new carrier that will replace the old national airline of Ghana, which is winding down operations following revocation of its US...

EI AI CEO Amos Shapira.(Africa/Middle East Report)(El Al Israel Airlines head resigns)(Brief Article)
February 1, 2005... El Al CEO Amos Shapira, who is credited widely with leading the financial and operational turnaround at the Israeli flag carrier in his three years there, handed in his resignation last month in the wake of the takeover of El AI by...

Emirates.(Africa/Middle East Report)(placed an order for 30 Electronic Flight Bags)(Brief Article)
February 1, 2005... Emirates placed an order for 30 Electronic Flight Bags for its 777-300ERs, Boeing announced. Boeing Commercial Aviation Services will install the Class 3 EFBs on the 777-300ERs the airline has on order. Emirates will receive the first...

Sabre Airline Solutions.(Africa/Middle East Report)(contract signed)(Brief Article)
February 1, 2005... Sabre Airline Solutions inked a multiyear deal to supply its AirFlite Planning and Scheduling Suite, Planet profitability forecasting system, Traverse loyalty management system, SabreSonic Web Internet booking engine, AirMax Revenue Manager and...

FedEx Corp.(Cargo)(company sales )(Brief Article)
February 1, 2005... FedEx Corp. reported net income of $354 million for its FY05 second quarter ended Nov. 30, much improved over income of $91 million in the year-ago period. The 2004 results included a one-time charge of $48 million related to the US Dept. of...

Pemco Aviation Group, Taikoo Aircraft Engineering Co. and Taikoo (Shandong) Aircraft Engineering Co.(Cargo)(alliance formed )(Brief Article)
February 1, 2005... Pemco Aviation Group, Taikoo Aircraft Engineering Co. and Taikoo (Shandong) Aircraft Engineering Co. signed an agreement Jan. 10 establishing a cargo conversion partnership for China and the Asia/Pacific region focusing initially on 737...

TAP Cargo.(Cargo)(Transportes Aeros Portugueses EP joined the GF-X Exchange)(Brief Article)
February 1, 2005... TAP Cargo joined the GF-X Exchange, an airfreight reservations system.

Japan Airlines.(Equipment)(Japan Air Lines Company Ltd. placed order for 30 7E7s)(Brief Article)
February 1, 2005... Japan Airlines ordered 30 7E7s to be delivered from 2008. JAL ordered both the long-range dash 8 model and the short/medium-range dash 3 variant and will use them to replace its fleet of 58 767s and A300s. The carrier also took options on 20...

UPS.(Equipment)(UPS Airlies placed order for 10 A380Fs )(Brief Article)
February 1, 2005... UPS ordered 10 A380Fs with options on 10 more. with deliveries beginning in 2009 and running through 2012 for the firm aircraft. Engine selection was not announced. As Dart of the deal. UPS is cutting Is order for A300Fs from 90 to 53. of which...

Air Europa.(Equipment)(MOU signed for 10 GEnx-powered A350-800s )(Brief Article)
February 1, 2005... Air Europa signed an MOU for 10 GEnx-powered A350-800s with options for two more. The aircraft will De delivered between 2010 and 2012. Air Europa also signed a deal to receive one A340-200 leased from Airbus and intends to lease two new...

Continental Airlines.(Equipment)(ten 7E7-8s ordered)(Brief Article)
February 1, 2005... Continental Airlines ordered 10 7E7-8s valued at $1.3 billion with deliveries beginning n 2009. subject to a final contract. Engine selection was not announced. The carrier also agreed to accelerate the delivery of six 737-800s into 2006 as...

TUI AG.(Equipment)(ten 737-800 purchased)(Brief Article)
February 1, 2005... TUI AG purchased 10 CFM56-7-powered 737-800s scheduled to De delivered from early 2006 to mid-2007.

Air Deccan.(Equipment)(30 A320s ordered)(Brief Article)
February 1, 2005... Air Deccan of India ordered 30 A320s with deliveries beginning in 2007 Engine choice was not announced.

Kingfisher Airlines.(Brief Article)
February 1, 2005... Kingfisher Airlines. also of India signed a contract with Airbus to acquire 10 A320s With options for 20 more n a deal valued at $1.8 billion. It will lease four A320s from debis AirFinance with deliveries beginning in April. while the ordered...

Bavaria International Aircraft Leasing.(Brief Article)
February 1, 2005... Bavaria International Aircraft Leasing ordered six more 737-700s in a deal valued at $330 million. The buy includes options for six additional aircraft. Deliveries will begin this year and extend through 2007.

KLM.(Equipment)(KLM Royal Dutch Airlines adds 2 new planes to its fleet)(Brief Article)
February 1, 2005... KLM is adding two more 777-200ERs in the first quarter of 2006. boosting its 777 fleet to 12.

Vietnam Airlines.(Brief Article)
February 1, 2005... Vietnam Airlines ordered four 7E7-8s valued at $500 million with deliveries in 2010. Engine selection was not announced.

Kuwait-based Jazeera Airways.(Brief Article)
February 1, 2005... Kuwait-based Jazeera Airways ordered four A320s with options on four more. with deliveries to begin in Oct. It selected the CFM56-5B to Dower the aircraft. CFMI valued the engine order at roughly $45 million.

Air Hong Kong.(Brief Article)
February 1, 2005... Air Hong Kong converted options for two A300-600 General Freighters to add to the six it has in service or on order. The new orders will be delivered in May and June 2006.

Lufthansa.(Brief Article)
February 1, 2005... Lufthansa finalized orders for seven more Trent 500-powered A340-600s. They will Be delivered in 2006-07.

Etihad Airways.(Brief Article)
February 1, 2005... Etihad Airways finalized orders for five 777-300ERs valued at $1.09 billion. The aircraft will be delivered later this year.

Blue Panorama.(Brief Article)
February 1, 2005... Blue Panorama finalized a contract for four 7E7s valued at about $500 million at list prices. Deliveries begin in Feb. 2009.

Air Berlin and Niki.(Brief Article)
February 1, 2005... Air Berlin and Niki selected me CFM56-5B to power the 70 firm A320s the airlines ordered last fall. The engine order including spares is valued at approximate y $1.5 billion.

Cebu Airlines.(Brief Article)
February 1, 2005... Cebu Airlines selected me CFM56-5B to power 12 A319s scheduled to De delivered from mid-2005 to 2007. According to CFM. the order is valued at $140 million at list prices. including spares.

American Airlines.(Brief Article)
February 1, 2005... American Airlines closed on an $850 million credit facility, replacing its $834 million revolving credit facility that was due to mature this year.

Emirates.(Leasing & Finance Briefs)(Brief Article)
February 1, 2005... Emirates signed a $38 million Japanese Operating Lease for the acquisition of its eighth A340-500 out of an order for 10. The lease, structured as a 13-year JOL, is funded using a combination of Japanese equity and commercial debt, Emirates...