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Aviation History
1983
1983 - 0423.PDF
PIA and Gulf Air quarrel Pakistan International Air lines is seeking the help of the International Civil Aviation Organisation to settle its long- running dispute with Gulf Air. The conflict began when Gulf Air's demands for fifth- freedom traffic rights through Pakistan, and for routes into Pakistani destinations other than Karachi, were refused by the Pakistani Government. PIA already operates regular Islamabad-Dubai services, and Gulf Air wants to operate to Islamabad. In retaliation Gulf Air started a quiet campaign early this year to get travel agents to choose between handling either its tickets or those of PIA. It went as far as to set a deadline -ffir the action to take place, but this was withdrawn after Pakistan's president, General Zia Ul-Haq, took an interest in the case. PIA, however, is now claim ing it has been a victim of "unfair retaliation" because of its Government's refusal to grant Gulf Air rights into Islamabad. Gulf was unsuccessful in gaining support for its case from the United Arab Emirates. It had asked the UAE to ban PIA from its airspace until the traffic rights were granted. The Arab carrier also sent a delegation to explain its position to neighbouring states Oman, Qatar, and Bahrain, on hear ing that the feeling growing there was that Gulf Air's actions were "childish". Most travel agents were reluctant to sever their links with PIA, but some appeared to be willing to accept Gulf Air's challenge. Some even did divert their business entirely to Gulf Air. A PIA official spokesman says "as far as we are concerned there is no dispute as we have had no official intimation of one from Gulf Air". But industry sources predict that a diversion of business to Gulf Air could seriously affect PIA, which makes a profit only on its Gulf operations. \FLIGHT International, 12 March 1983 KLM's, first Airbus A310 leaves the paint hall. This is the tenth A310 off the production line, and KLM will take delivery next month TWA blows its transatlantic trumpet NEW YORK Trans World Airlines claims it was No. 1 carrier on the North Atlantic in 1982 for the sixth consecutive year. TWA says it carried 2-4 million passengers on all its routes across the Atlantic achieving, it says, 17-3 per cent of the market with load factors of 67-3 per cent. The carrier made a $103 million profit on its inter national operations in 1982, with substantial gains in traffic it claims against British Airways and Pan American, despite a decline in overall passenger volumes. British Airways has not yet calculated all its transatlantic figures for the year but tells Flight that on its scheduled services from the United Kingdom to the United States it carried 790,000 passengers. On its London-New York schedules BA carried 272,000 passengers. TWA says it gained 14 per cent more passengers on the London-New York route last year and carried over one million travellers on all its routes linking London with major US cities. Short hauls... US Air Group, the newly formed parent company of US Air, has filed a registration statement with the US Secu rities and Exchange Commis sion for a proposal to offer 2 million shares of common stock to the public. US Air says proceeds from the offer ing will be added to the work ing capital of the USAir Group for general corporate purposes, including the airline's capital expenditures of funding. Alisarda, the Sardinia-based airline, carried 721,700 passengers in 1982, 20 per cent more than the number carried in 1981. The airline is confident of a further increase in 1983 and is offering 10 per cent more seats from April. British Airways and Air New Zealand are intro ducing a round-the-world apex fare offering 22,000 miles of travel for £1,150. The new "Earthshrinker" fare will be available from mid-March and passengers must pay at least one month in advance of travel to qualify for tickets. The fare offers stopovers in Australia, New Zealand, the Middle and Far East, the USA, and the Pacific. Child ren are allowed a one-third dis count and infants can travel for just 10 per cent of the fare. Aeroflot is to introduce first- class seats on its domestic network for the first time. Pan American has applied to the US Civil Aeronautics Board to fly non-stop Boeing 747 services from New York to Zurich. Piedmont's profits drop WINSTON-SALEM, NORTH CAROLINA Piedmont Aviation — the parent company at Piedmont Airlines—has reported a $30-5 million net profit for 1982. This is more than $2 million down on the previous year's result, which was a record for the airline. Piedmont senior vice- president T. W. Morton attri butes the slight decrease to "a much broader public use of special discount fares, partic ularly in the fourth quarter". Although the airline's passenger and cargo traffic in the fourth quarter was consid erably up on the comparable 1981 level—as was its traffic throughout 1982—revenues grew more slowly, and yield fell. Piedmont's yield per passenger mile in the last three months of 1982 was 15-24 cents, compared with 16 • 2 cents a year earlier. This revenue level gave Piedmont a loss from its transport opera tions in the fourth quarter, but $12-5 million received from the sale of tax credits and gains from other tax benefits enabled Piedmont to keep its head above water for the three months. It reported a $4-3 million net profit for the period. Although the airline's oper ating revenues for 1982 were up by 16-5 per cent on the 1981 level, to more than $650 million, costs rose by 25 per cent to $630 million. This led to a much decreased 1982 operating profit of $24 mil lion—about 59 per cent down on the 1981 figure. Pied mont's average yield for 1982 was 15-87 cents, compared with 16-15 cents in 1981. The carrier's traffic has remained very strong into 1983. Passengers carried in January were up by 32 per cent on the January 1981 figure, to nearly 740,000. Revenue passenger miles flown were up by 35 per cent. Cargo traffic increased by 27-5 per cent, to 1-92 million ton miles. But Piedmont's load factor for January was down by almost three points, to 48-12 per cent. Its offered capacity in January was up by 43 per cent on January 1981. 639
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