Industry Briefs

Airline Industry Information, July 26, 2002

AIRLINE INDUSTRY INFORMATION-(C)1997-2002 M2 COMMUNICATIONS LTD

Delta Air Lines executives have reportedly presented the airline's board with a plan to expand low-fare services, in a bid to compete with low-fare carriers such as AirTran Airways and Southwest Airlines. The executives believe that low-fare airlines pose a higher threat than bigger companies such as American Airlines and United Airlines. Delta officials are expected to reveal details of the plan within the next few months.

Continental Airlines has removed the fuel surcharge from all fares in the US domestic and trans-border Canadian markets. However, the airline has increased fares by USD40 to give the same final round trip amount. The measure does not affect the cost to travellers, but allows the airline to accurately reflect the full cost of a ticket in the initial fare display.

State-owned Ethiopian Airlines has purchased six aircraft from US aircraft manufacturer Boeing Co. The deal, worth about USD480m, also includes an additional six aircraft under a leasing agreement.

A Lufthansa aircraft reportedly ran off the runway at Sicily's Catania airport yesterday (25 July). The aircraft - a Boeing 767, which was carrying an unspecified number of passengers and crew members - arrived at the airport from Dusseldorf, Germany. No one was injured during the incident and the aircraft did not sustain any damage.

John Travolta, who is currently flying around the world in a bid to encourage passengers to return to the skies following the 11 September attacks, was allegedly prevented from landing in Hong Kong due to noise restrictions. The US actor was scheduled to land at Hong Kong's Chek Lap Kok airport on the seventh stop of his tour for Australian carrier Qantas Airways. However, according to Hong Kong media reports he was forced to land his aging Boeing 707 in Macau because of noise restrictions in Hong Kong.

Air China will launch the first direct route from Beijing to New York on 27 September 2002. The new service, which will be operated by Boeing 747-400 aircraft, will pass over the Arctic Circle, reducing the flight time from 21 hours to 13 hours. The flights are scheduled to depart from Beijing's Capital Airport to New York City every Monday, Wednesday and Friday. The airline is expected to operate a test flight on 16 August 2002.

Southwest Airlines has launched an autumn sale on travel from LA Basin to Las Vegas. The special fares, priced from USD19 each way, can be purchased online at http://www.southwest.com, by calling 1-800 IFLYSWA or through travel agents. The sale fares, which also include intra-California fares from USD29-39 each way, will be on sale until 10 January 2003, with travel beginning from 3 September 2002. A round trip and an overnight stay are required, and tickets which must be purchased at least seven days before departure.

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