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Aviation History
1968
1968-1 - 0160.PDF
FLIGHT International, 19 December 1968 AIR TRANSPORT... MOSCOW-FRANKFURT? EXPLORATORY talks were taking place in Bonn last week on a possible air service agreement between West Germany and the USSR for the establishment of Moscow-Frankfurt services. Technical matters as well as political were discussed, but some difficulty has arisen in the latter field. The Russians were pressing for agreement for Aeroflot to stop en route at Schonefeld, East Berlin. This is apparently not acceptable to the West German foreign office, which would prefer to see the intermediate call made at Prague. RELIEVING THE PRESSURE IN an important departure from previous policy, the US Civil Aeronautics Board has approved airline agreements for the establishment of scheduling committees to adjust services and thus relieve pressure at the busiest centres—the three New York airports, Washington National and Chicago O'Hare. The agreements to set up the committees were reached by US and • foreign carriers serving the five airports in anticipation of the FAA's regulations, approved earlier this month, limiting the use of the airports. The FAA regulations established ceilings on the, total movements per hour at the airports and allocated the numbers of permissible movements by class of carrier. The regulations, however, did not allocate the number of movements which each carrier among the several classes might operate. The purpose of the new agreements is to provide a forum in which the carriers will examine their schedules at the five airports and take voluntary action to bring their operations within the established movement limitations. The CAB approval is for a 16-month period until March 31, 1970, and the board has said that it recognises that such approval represented "a departure from our customary policy with respect to so sensitive an area as scheduling," commenting that "no one, least of all the board, favours the imposition of artificial restraints upon the continued growth and develop ment of the air transportation system. . . . However, recent experience conclusively indicates that unless restraints are imposed, conditions at the designated airports will further deteriorate." The CAB said that "an emergency situation of sizeable magnitude exists and, without appropriate action by all concerned agencies and segments of the aviation community, a repetition of last summer's experience is inevitable." The CAB included a number of conditions in its approval which, it said, were attached to limit the scope and to permit the board to maintain a watch over the committee's activities. Among these are that CAB representatives should be present at all meetings; that complete reports of each meeting and scheduling adjustment should be filed with the board; and that the CAB reserves continuing jurisdiction over the agreements. BOAC v LUFTHANSA IN spite of the 15-day pilots' strike in June-July, BOAC retained its third place on the North Atlantic during the eight months January-August inclusive. The British carrier's lead over Lufthansa, next busiest carrier on the route, was, how ever, much reduced, mainly because of the inevitable traffic-loss after-effects of the strike which (see Flight for October 31, page 689) caused BOAC to drop slightly behind Lufthansa in the month of July. On services to and from the USA BOAC carried 254,724 passengers in the eight-month period, by comparison with Lufthansa's 252,269 and with BOAC's own figure for 1967 of 277,588. If flights originating and terminating in Canada are included, BOAC carried a total of 347,790 passengers by comparison with 257,284 for Lufthansa. The US-Europe increases on the North Atlantic for nearly all LATA airlines have been below forecast—with an overall increase of only 6.5 per cent on the first eight months of 1967. The average overall passenger load factor dropped from 58.4 in 1967 to 54.4 per cent, with only Irish and El Al, as usual, showing factors greatly in excess of the magic 60. 1017 US DOMESTIC FARES INCREASE? THE pre-tax earnings of the 11 US domestic trunk airlines are expected to fall this year to about $250 million (£104 million), or $100 million (£40 million) less than the 1967 earnings. In 1969 the figures are likely to be even lower unless fares are increased. This was said earlier this month by the vice- president, corporate planning, of American Airlines, Mr Donald Lloyd-Jones. For the airlines to achieve the 10.5 per cent return on investment that the CAB has called "reason able" the industry would, he said, have had to raise fares by about 8 per cent. Fares had dropped by this figure, on average, since 1965. He predicted that the airlines would seek a fare increase in the very near future, adding, however, that it would not be of 8 per cent. The industry might seek increases of about half that amount. Such an increase would add more than $200 million (£83 million) a year in airline revenues, with American Air lines getting about 18 per cent, or $40 million (£17 million) of the additional revenues. He suggested that selective increases, such as in first-class and short-haul fares, which are likely to be acceptable to the CAB, might be sought. The efficiency of jet aircraft had permitted the airlines to absorb the combination of lower fares and increasing wage and material costs until 1967, but in that year unit costs began to "bottom out" and since then expenses had increased at annual rates of 18-19 per cent, he added, emphasising that "revenue growth meanwhile has fallen from the 16-17 per cent rates, experienced during the 1965-67 period, to the current 1968 rate of about 14 per cent." Caravelles for Transavia Lease agreements with Sud-Aviatiofi have been signed by Transavia Holland for three Caravelle Ills—two of them for a period of 18 months. One will be delivered soon and the other two in time for the 1969 inclusive-tour season. Transavia has an option to buy the Caravelles at the end of the leasing period. Air Comores Orders Nord 262 To replace the DC-3 at present used on the Moroni (Comoro Islands)-Dar es Salaam route, Air Comores has obtained a Nord 262 for delivery in April 1969. The order follows one in the same area by Air Madagascar which has also replaced a DC-3 with a Nord 262 for domestic operations. The order for Air Comores was placed by International Aviation. F.28s for Ansett? At the recent shareholders meeting of Ansett Transport Industries it was stated that Fokker F.28s will eventually replace the airline's F.27s and that Government approval had been asked for the purchase of one more Boeing 727 and six more DC-9-30s for introduction between 1969 and 1972. By that year the fleet will consist of six 727s and 12 DC-9s and the Electras and Viscounts will have been retired. BOAC to Buy Eagle -320C Approval has been given to BOAC for the purchase, at a price of about £4 million, the Boeing 707-320C which was on lease to British Eagle (and sub-leased to Middle East Airlines) from Kleinwort Benson, the merchant bankers. After interior modifications and re painting, it will be put into service in May or June next year. Kleinwort are at present negotiating the sale or lease of the two ex-Qantas 707-138Bs used by Eagle. BN-2s for New Zealand Mount Cook Airlines Vas ordered two Britten-Norman Islanders for delivery next July. The airline, which last month put an HS.748 into operation (now fitted with 52 seats), is looking for a replacement for its Grumman Widgeons and is known to be much impressed by the Twin Otter. The Islanders, which will replace DC-3s on the Queenstown-Dunedin route, will bring the airline's fleet strength to 28, including 16 Cessnas, with floats and skis, five Widgeons, two DC-3s and two topdressers.
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