around
the industry
Commercial air transportation’s annual contribution
to the national economy is $237 billion, according to a re
port released recently by the Air TVansport Association.
Entitled “The Economic Benefits of Air TVansporta-
tion,” the report details the airline industry’s expendi
tures for employment, supplies and services, taxes and
capital expenditures, as well as its economic and social
contributions to the nation.
Other beneficial effects noted in the report are:
• Commercial aviation for individuals means job mo
bility, easy access to friends and families far away, travel
to resorts, and a higher standard of living. Approximately
.8% of personal consumption expenditures are for air
transportation compared with .6% just 15 years earlier,
a 33% increase. This growth in expenditures is due to a
higher volume of travel rather than increased fares.
• Air transportation enhances the efficiency of all
business and government activities by geometrically ex
panding the radius of all personal contact, communica
tion and supervision of far-flung activities.
• Carriage of the mail and freight is only the begin
ning of aviation’s contribution to the well-being of the
community. The mobility of the labor force, the develop
ment of tourism, employment by both the airline and air
craft industries are all pluses for the United States. In
addition, the ability to airlift emergency supplies to dis
tressed areas and the maintenance of a back-up fleet of
aircraft for use by the military in times of national emer
gency all contribute to the security of the nation.
Finally, the report notes that government and industry
are making a concerted effort to solve the aviation sys
tem’s current capacity problems.
* * *
American plans to discontinue use of its 737 fleet over
the next few years. The airline had 31 737s at the begin-
ing of 1988. The airline announced last May orders for 50
757-200S and 20 MD-80s.
♦ * *
American’s parent company, AMR Corp., has pur
chased Command Airways, a New York-based regional
carrier which has been an American Eagle feeder carrier
since May 1. 1986. Command has a fleet of 16 aircraft and
operates about 135 daily departures from 11 airports.
* ♦ ♦
American recently said its new nonstop service be
tween Raleigh/Durham and Paris is already operating at
a profit due to large cargo loads.
* * *
Eastern and Continental have announced plans to
build a new $162 million terminal at the east end of New
York’s LaGuardia Airport. The terminal, scheduled for
completion in late 1991, will have nine gates and 250,000
square feet, with a direct connection to Eastern’s existing
shuttle terminal. In addition, a new $10 million flight
kitchen is scheduled for completion next spring.
♦ * *
Delta has orders and options on 215 Boeing and
McDonnell Douglas aircraft valued at an estimated $9.17
billion. Firm orders are for nine MD-lls and nine 767-
300ERs: options, 31 MD-lls and 16 767-300ERs. Addi
tional options are for 100 MD-88s and 50 757-232s. The
airline also has pending orders and options for 42 757-
200s, 12 767-300s, and 85 MD-88s. All orders and op
tions total 354 aircraft worth more than $13.3 billion.
* * *
Beginning January 1, membersof Pan Am’s WorldPass
frequent flyer program will be allowed to accumulate
mileage for two years. Mileage accrued through the end
of 1990 may be used for travel awards until the end of
1993. TYavel awards and the mileage levels needed to
earn the awards will not change significantly.
* * *
Since 1978, more than 125,000 new jobs have been
created in the airline industry, and average compensa
tion for its employees has increased from $30,000 to
$43,000.
* * *
Aviation Daily reports that KLM's order for 10 Fokker
100s specified that they be wired for microwave landing
capability, making the carrier one of the first European
carriers to prepare for MLS installation in Europe.
traffic
Piedmont
Sept. ’88
2,141,014
1,020,074
1,830,808
55.72%
Sept. ’87
1.952,335
881,335
1,606,051
54.88%
Change
-I- 9.7%
-I-15.7%
-I- 14.0%
+ 0.84 pts.
Yesir-to-Date
20,342,657
9,775,309
16,319.059
59.90%
Change
-I- 8.4%
-I- 15.8%
-I- 17.1%
- 0.67 pts.
Passengers
RPMs (000)
ASMS (000)
Load Factor
*Record September for passengers, ASMs, and RPMs. Piedmont boarded more passengers during
the month of September than any prior September in company history—the 100th month in a
row that the company has experienced year-over-year growth in the number of passengers
enplaned.
*Our seven reservations centers answered 2.739.180 calls in September 1988.
USAir
Passengers
RPMs (000)
ASMs (000)
Load Factor
Sept. ’88
2,835,783
1,487,149
2,539.094
58.6%
Sept. ’87
1,999,504
1,040.456
1,673,248
62.2%
Change
-1-41.8%
-1-42.9%
-1-51.7%
- 3.6 pts.
Year-to-Date
24.121,404
12.765,498
20,491,672
62.3%
Change
4-30.7%
-1-31.2%
-h38.8%
- 3.6 pts.
*Record September for passengers and RPMs.
*USAir's September traffic results include those of PSA which was merged into USAir on April 9.
around USAir
USAir recently announced the purchase of
its second 737-300 flight simulator from CAE
Electronics for delivery in late 1989. Included
in the $8.2 million order is an advanced
training device (ATD) and a computer-aided
training system (CATS), both of which will
aid pilots in aircraft systems training.
* * *
Following some renovations, USAir plans
to open a second training school in a vacant
elementary school in Moon Township, PA, in
four to six weeks. The school was closed last
summer because of declining enrollment.
« * ♦
The USAir Group Board of Directors re
cently announced the creation of three new
corporate management positions.
Juliette C. Heintze, formally treasurer of
USAir and USAir Group, was elected vice
president-investor relations for USAir Group
and subsidiary USAir.
Gordon Linkon was elected vice president-
commuter services for USAir Group, and J.
Michael Brady was elected vice president-
taxes for both USAir Group and USAir.
Linkon was most recently president, chair
man and chief executive officer of the former
Florida Express, and Brady was USAir’s vice
president-deputy general counsel and
secretary.
The Board also approved the elections
of Captain Joseph F. McLaughlin as vice
president-flying and Michelle V. Bryan to the
position of secretary for USAir.
USAir’s 4,000 flight attendants, repre
sented by the Association of Flight Atten
dants, AFL-CIO, have approved a new
contract which includes both the PSA/USAir
merger agreement and a new, one-year
agreement for all USAir flight attendants.
The existing USAir flight attendant contract
became amendable on August 31.
Under the terms of the contract, all USAir
flight attendants will receive a 3 percent
across-the-board pay increase retroactive to
September 1. The only exception will be the
former PSA B-scale flight attendants, who
were more highly paid than their counter
parts at USAir. These flight attendants,
about 220 in all, will continue to receive
their higher wage rate until the USAir B-
scale rates reach parity.
Flight attendants at Piedmont also will be
granted pay parity with the USAir/PSA em
ployees when Piedmont is merged into
USAir.
on November 1
number of departures: 1,405
miles flown daily: 534,304
ASMs: 64,894,864
number of aircraft in fleet: 195
average aircraft hop: 380.3 miles
daily block time flown: 1,768 hours
58 minutes
next schedule change: December 1
Brandon Brown, son of INT Piedmont em
ployee Sylvia Curry, recently carried the
torch symbolicsdly beginning the Forsyth
County United Way campaign. Hearing
impaired since birth. Brown received as
sistance from the United 'Way as a child.
Despite his impairment, however, he has
excelled in sports at his local high school
and played on £m international soccer
team. Brandon was selected to carry the
torch as he exemplifies the Olympic
spirit that meikes champions.
Unibed W^y
It brings out the best
in all of us!
Piedmonitor • October 1988