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Associated Press | Federal regulators are proposing more maintenance-related penalties against American Airlines. The Federal Aviation Administration said Friday it would fine American $787,500 for three cases of alleged maintenance problems.
In the most serious case, regulators say American operated a plane
without replacing a central air data computer on the jet. The
McDonnell-Douglas jet has two such computers, which tell pilots the
speed and altitude of the plane.
Associated Press | The union representing mechanics and other ground workers at American Airlines is asking federal officials to let them take a big step closer toward a possible strike against the nation’s second-largest carrier.
The Transport Workers Union said Thursday they asked federal mediators to declare a deadlock in their negotiations over a new contract.
Boeing’s Scott Carson holds a model of the 787 Dreamliner in St. Petersburg, Russia, in 2007. (AP Photo)
By Michael Oneal | Scott Carson, who stepped aside as head of Boeing Co.’s troubled commercial airplane business last September, will remain with the company as a consultant for two more years and collect a $1.5 million fee, according to a company filing.
The $1.5 million matches the “targeted” cash compensation Carson received from the company in 2009 and will be paid in a lump sum, the filing said.
With the order, United wraps up its first major fleet overhaul since the early 1990s. The deal accounts for half of the $8-billion wide-body aircraft order that United unveiled in December after months of negotiations with rival plane-makers Airbus, which is based in France, and Chicago-based Boeing Co.
(JB Reed/Bloomberg)
Associated Press | Media reports on Wednesday indicated
drugstore chain Walgreen Co. is in talks about a plan to offer
prescription drugs directly to employees of Delta Air Lines Inc.
Walgreen and Delta would not confirm any negotiations. The Deerfield,
company is the largest U.S. drugstore chain. It sells prescription
drugs directly to Caterpillar Inc. employees under an arrangement that
appeared to be similar to Wednesday’s reported discussions.
(Andrew Harrer/Bloomberg)
By Michael Oneal
| Shares of United Airlines parent UAL Corp. soared on Tuesday after the carrier wowed Wall Street with its February traffic report, providing hard evidence that a long, dismal revenue slump is ending for both United and the industry.
Although storm-related cancellations snarled traffic during the month and knocked an estimated $40 million off of total revenue, the carrier told an investor conference held by JPMorgan Chase that a slight increase in volume coupled with a sharp decrease in seat capacity drove unit revenue up around 18 percent — a sure sign of building health.
| By Michael Oneal | Chicago-based United Airlines posted the best on-time performance among major carriers in January, making good on a push for better quality service initiated by President John Tague last year.
United’s flights arrived within 14 minutes of their published schedule 83.66 percent of the time, the U.S. Department of Transportation reported, partly because the carrier was more proactive in cancelling flights at O’Hare International Airport in advance of bad weather reports. |
See also • Midway worst in U.S. for on-time departures
|
(Kevin P. Casey/Bloomberg)
Associated Press | Boeing Co. is putting its new 787 through an aggressive flight-testing
schedule, with the fourth plane set to begin test flights on Sunday.
Boeing is aiming to deliver the plane to its first customer by the end
of this year. By midyear it is aiming to fly six planes a total of 90
hours per week, Jim Albaugh, chief executive of Boeing’s commercial
airplane division, told analysts on Tuesday.
Albaugh said the testing so far has included more than 100 stalls, some
practice with an engine off, and a dive that brought it to Mach .97,
close to the speed of sound.
(Aaron M. Sprecher/Bloomberg)
Associated Press | Continental Airlines plans to cancel flights rather than risk stiff fines under new federal rules designed to punish carriers for delaying passengers.
CEO Jeff Smisek said Tuesday the result will be that passengers will have more trouble getting to their destinations.
“Here’s what we’re going to do: We’re going to cancel the flight,” said Smisek. He said many passengers on delayed flights “really want to go to LA or Mumbai, but the government by God says, ‘We’re going to fine you $27,500.”
Associated Press | United Airlines is seeing passenger revenue
rise faster than the rest of the airline industry, with business travel
and other high-end fares picking up.
The carrier said on Tuesday that January passenger revenue for each
mile it flew rose 10.5 percent. That gain is three times bigger than
the airline industry as a whole.
Northrop Grumman’s proposal for a tanker aircraft KC-30 during the refuelling of a US B2 bomber in the air. (Handout/EPA)
By Julie Johnsson | Northrop Grumman Corp. is withdrawing from a contest to provide the U.S. Air Force with a new fleet of tankers, leaving Boeing Co. primed to land the initial 35-billion contract that military officials hope to award by this fall.
With Monday’s announcement, Northrop made good on previous threats that it would drop out unless the Pentagon revised elaborate rules that appeared to favor the smaller Boeing 67-based tanker over the larger Airbus A330 that Northrop planned to bid with the corporate parent of Airbus SAS.
| Associated Press | The EU has warned Washington that future defense deals with the U.S. could be affected if a recent Air Force contract for air-refueling tankers proved to have favored a U.S. company.
The European Commission said Tuesday a decision by a European-led consortium not to submit a bid for the Pentagon’s contract for next generation tankers is “highly regrettable.” |
See also • EADS reports loss on cost overruns |
By Mary Ellen Podmolik
| Weather-related cancellations last month cost United Airlines $40 million in lost revenue, the airline said Monday as it reported a 2.1 percent increase in February traffic.
The Chicago-based carrier said revenue passenger miles totaled almost 7.82 million miles last month on a 5.3 percent decrease in available seat miles. A revenue passenger mile is the revenue generated by flying one passenger one mile.
Associated Press | Evergreen International Aviation officials
say they are shocked and disappointed to lose a contract to operate
Boeing Co.’s “Dreamlifter” super freighters.
Associated Press | Online travel retailer Orbitz Worldwide Inc.
said Thursday that it has named Martin Brand and Brad Gerstner to its
board of directors, effective immediately.
Brand is a managing director in the private equity group at The
Blackstone Group, which held more than half of Orbitz shares as of the
end of 2009, according to filings. He is also on the board at
Travelport Limited, Performance Food Group and Bayview Asset Management
LLC.
