Industry News

Jan. 8, 2005

Briefings...

AAAE, ACI-NA will continue to lobby Congress for more money for explosives detection equipment, letters of intent, and Airport Improvement Program funds and still foresee a $5 billion shortfall to meet security mandates. Airports also want Congress to reclassify bonds as governmental bonds to enable airports to find financing at lower rates, and will press to continue the small community air service development program.

Aeromexico announces the addition of a non-stop flight from San Diego to Puerto Vallarta, starting January 13.

Aircraft Components Co. of Tulsa, OK, and Turbine Aircraft Components, Inc. of Addison, TX, merge and will operate under the name Aircraft Components Company and be headquartered in Tulsa.

CITY OF LOS ANGELES agrees to pay nearly $500 million to ease noise, traffic, and pollution problems in cities near LAX in exchange for an agreement with community groups not to try to block a proposed $11 billion airport expansion; pending FAA approval.

-L.A. Mayor James K. Hahn calls for an end to the independence of the Police Department at LAX, asking commissioners who oversee the airport and the L.A. Police Department to develop and
implement a unified command of the two departments.

Corgan Associates of Dallas, in association with Fentress Bradburn Architects of Denver, is selected to design the new passenger terminal for Sacramento Int?l Airport, beginning in January 2005, on the $650 million, six-year program to replace Terminal B.

Dallas/Ft. Worth Int?l estimates the impact on the North Texas economy of Delta Air Lines? January exodus to be about $782 million. DFW will pay Delta Air Lines Inc. $7 million for 24 gates that the troubled carrier is abandoning and Delta will keep four others. Delta had leased the gates through the end of 2009.

-DFW Int?l also unveils an unprecedented package of concessionaires who will operate 49 restaurants, retail, and service shops in the new International Terminal D when it opens in 2005.

Dept. of Homeland Security (DHS) appropriations measure approved by Congress directs the DHS Secretary, in conjunction with TSA and the Secret Service, to provide a report to the House and Senate Committees on Appropriations by March 1, 2005, on restoring access to Ronald Reagan Washington National Airport (DCA) and other general aviation airports within 15 miles of DCA for security-qualified charter and GA operators.

ELKO (NV) Regional Airport applies to participate in TSA?s opt-out program to provide security screening.

EPA Oil Program officials promise members of the Aviation Coalition (NATA, ATA, AAAE, ACI-NA) a written response to white papers submitted per an EPA request in May 2003 related to Spill Prevention, Control, and Countermeasure (SPCC) regulations. EPA maintains that when a fuel truck is parked at the end of the day it is subject to the original 1974 regulation, requiring secondary containment; the trade groups disagree.

FAA?s Contract Tower Program, under the omnibus spending bill, receives $86 million for the fully funded contract towers and $7 million for the cost-share program.

-FAA funds repairs at 12 additional airports damaged by hurricanes Charley, Frances, Ivan, and Jeanne via a portion of the remaining $4.5 million from emergency legislation that provided a total of $25 million to help pay for hurricane damage to airports. The remaining $4.5 million will be distributed to airports in Alabama, Florida, and Puerto Rico. In October, FAA provided $20.5 million to 71 hurricane-damaged airports.

FirstAIR adds an FBO at Addison Airport (ADS), renovating an existing 24,000-sq.ft. hangar facility.

Forecast International predicts that 5,448 military rotorcraft, with an estimated value of $84 billion, will be produced in 2004-2013 and that annual military rotorcraft production will increase through most of the 2004-2013 timeframe.

Frontier Airlines in February will eliminate direct flights between Los Angeles and both Kansas City and Philadelphia, reducing Los Angeles to a simple spoke of its Denver hub.

GCR & Associates Inc. is awarded a grant by the FAA to oversee the collection of airport safety and maintenance data at some 5,000 airports in the United States.

G&T Conveyor announces the acquisition of The Horsley Company, a producer of custom conveyor systems. In 2002, G&T acquired BAE Automated Systems.

Jet Aviation facilities in Bedford, MA, Dallas, and Teterboro, NJ are named Embraer authorized service centers for the Embraer Legacy.

L-3 Communications? Security and Detection Systems subsidiary unveils the eXaminer 3DX? 6500 explosives detection system (EDS), iner EDS with hardware and software enhancements. Certified by TSA for aviation bag screening.

Missoula Int?l Airport sees the airport director suspended, pending the outcome of a criminal investigation into alleged financial irregularities.

NBAA, along with AOPA, ATA, GAMA, and a Stage 2 aircraft operator, file a brief asking a Federal Court in Washington to uphold FAA?s decision finding the Naples (FL) Airport Stage 2 ban unreasonable. Last August, FAA held the Stage 2 ban violated Naples? obligation as a Federal grant recipient to make the airport available for public use on reasonable terms.

NTSB issues a new publication, Pipeline Accident Report PAR-04/02 - Storage Tank Explosion and Fire in Glenpool, Oklahoma April 7, 2003; http://www.ntsb.gov/publictn/2004/PAR0402.htm.

Ocean City (Md) Municipal Airport installs artificial turf on its runway and taxiway safety areas, becoming the first FAA test site at a municipal airfield. The airport is partnering with FAA to test the turf, provided by Air FieldTurf, and its application over the next 12 months.

Office of Management & Budget completes its review of proposed changes to DOT regulation Part 375, which regulates the operation of foreign civil aircraft owned, controlled, or operated by persons who are not citizens or permanent residents of the U.S. Part 375 changes would expand the provisions of Part 91, Subpart F to some private, foreign aircraft registered in the U.S.

Orlando Int?l opens the NASA Kennedy Space Center Store; travelers can interact through videos exploring distant planets, shop, or educate their children about outer space. Operated by Delaware North Companies Parks and Resorts

Palmdale (CA) Regional Airport reopens for scheduled airline service Dec. 29.

Pilot Pro Shop introduces a low-cost licensing program for pilot shops; email [email protected].

S. 2845, the National Intelligence Reform act of 2004 passes both Houses of Congress and contains a provision in which TSA would establish a program enabling air charter and rental operators to contact the agency with the names of potential customers to be run against a terrorist watch list. The operator would have the right to deny service to any potential client whose name appears on the list.

Southwest Airlines plans to begin service at Pittsburgh Int?l Airport and explores service to Hawaii.

Toronto Pearson Int?l says it will cut landing fees if Ottawa reduces ground rent. Ottawa was expected to charge Toronto roughly $135 million in rent in 2004.

TSA?s Screening Partnership Program Application (opt-out) Period was projected by ACI-NA to attract between 20 to 40 of its members. TSA dropped its initial deadline and is now declaring it will accept applications on a rolling basis. TSA also is allowing ?partial opt-out? applications to be. ACI-NA reports that the process for qualified vendors to obtain Safety Act coverage remains unclear.
- TSA intends to continue to impose the personal information collection requirements of the Alien Flight Training Interim Final Rule (IFR) beyond the current March 31, 2005 expiration date.

U.S. DOT awards two daily slot exemptions to Atlantic Southeast Airlines (ASA) to provide one new daily round-trip flight between Jackson, MS and Reagan Washington National Airport.

Vancouver Airport Services, through an operating subsidiary, assumes the role of airport operator at four Honduran airports.