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Aviation History
1964
1964 - 0312.PDF
FLIGHT International, 6 February 1964 193 This composite print from two photographs shows the normal and near-maximum load positions of a Boeing 727 wing on Structural test. Under loads of more than 425,0001b the wing tip deflection was of the order of 9ft before structural failure occurred incorporates camber, twist and dihedral. The aircraft would have a fixed canard surface. The trailing edge canard flap would have a maximum deflection of 40°. Titanium would be the primary material for the wing, fuselage, canard and single vertical tail. "The aircraft would have a take-off gross weight of 480,0001b for maximum range and less than 400,000 for transcontinental range. It would be able to use existing airports, and would be compatible with existing ground support equipment and facilities without compromise of operational efficiency. The forward windshield is fixed, and provides the flight crew with adequate vision for airline operations." Next stage is joint US Government-airline discussions in Washington on March 25 and 26. The ten airlines included in the 210-member evaluation group are expected to submit their evalu- ations to the FAA on March 18. BEA's COST8 PERHAPS Mr Anthony Milward had his tongue in his cheek (writes A. B. C. Body) when, in his interview with Mr Frank Beswick (Flight International, January 23, page 127), he asked those who criticize BEA as a high-cost airline to explain why they are one of only two—the other being Finnair—regularly making a profit on European operating. Perhaps I may be permitted to take up the challenge. There are three reasons for BEA's profitability, all contributing to uniquely high revenues:— (1) BEA flies "overwater" on nearly all its international routes, and these enjoy much higher fares than the "overland" routes. On the 200-300 mile routes radiating from London, Paris, Amster- dam and Brussels, for example, the tourist fare rates average 9.8d and 8.0d per mile, respectively. If this 21 per cent difference applies to one-fifth of BEA's routes, it is worth around £2m per annum inex tra revenue. (2) London is Europe's best traffic generator, as well as the tab of BEA's network. (3) Some of the relevant bilateral and pooling agreements ^strict capacity, and ensure very high load factors. On the London - Paris route, for example, capacity is throttled to ensure a 75 perseiA load factor. Together, these two factors have enabled BEA to enjoy load 'actors much above the intra-European average; 61 per cent against55 Per cent in 1962. The difference on international routes appears to be worth around £3m of extra revenue. BEA can thus be profitable in spite of an average cost level of 38.7d per c.t.m., which is too high. The breakdown into inter- national and internal networks gives figures of 33.0d and 42.9d per c.t.m. respectively, a formidable handicap to domestic profitability. Mr Milward's argument on the similarity of UK and American domestiofare rates has been answered, notably in Flight International for March 21, 1963, and May 9,1963. To recapitulate briefly:— (1) American seating densities and load factors are both lower than BEA's. Taking revenue per aircraft mile, American operated Viscounts on similar stages earn up to 38 per cent less than BEA's, on a direct conversion of $2.8 to £1. It is misleading to take revenue per seat-mile when the number of filled seats is so different. (2) The subsidized American local service airlines serve 341 points which have no other air services, and often no rail service either. Average hop is 93 miles, and average number of passengers emplaned per landing, between four and ten. To compare this with any BEA operation outside the Highlands and Islands is unfair. (3) The average American journey which is quoted actually involves 2.6 landings against a BEA figure of 1.2. Landing charges per passenger are similar in the two countries. (4) The BEA revenue rate of 5.1 d includes all sorts of discounts, notably the very low "ITX add-ons" awarded to provincial passen- gers joining inclusive tours. In the United States such "tour-basing fares" are deemed "discriminatory and unlawful." In this country, they are not unlawful, just discriminatory! On the point of a "general charge" of excessive costs, I and other critics have tried to be specific. Amongst the points made are:— (1) Failure to exploit fully "industrial engineering" techniques in the traffic department; failure to ensure that UK airports are designed (or modified) to minimize staffing, and that Gatwick had proper road access to London. (2) Misjudgment in the field of aircraft procurement. Britan- nias, notably ex-BOAC machines, could have taken over from the Viscounts on the domestic and cabotage routes. The Vanguard introductory costs of £4.5m have eaten up much of the £5.8m profit the corporation made between 1954 and 1961. The failure to replan the aircraft fleet correctly when the order for Comets was increased from six to 14, to meet unforeseen jet competition, led to costly under-utilization of aircraft from 1961 to 1963. (3) Excessive engineering development activity. Introductory costs for the Comet 4B totalled £3.2m. The average load factor for the 89 seater aircraft in 1962-63 was 53 per cent. For an interim type, it would have been cheaper to standardize on aircraft identical to BOAC's. It seems to have been established that engineering maintenance costs are already falling, even though they were not budgeted to do so this year. Aircrew costs may be excessive, too; Cambrian Airways, who work closely with BEA—a large shareholder—recently had to defend their Irish Sea licences against an appeal by BUA. The Bavaria Flug-gesellschaft of Munich has ordered a Handley Page Herald 200 with an option on two more. The airline's managing director, Herr M. Schwabe, signs the contract, which brings to 35 the total number of Heralds sold
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