Inside the Fence
June 2001
May brings stops at the West Coast, Daytona Beach, and the mouth of the Mississippi. Aviation makes it happen,
with time thrown in for a bit of fishing at home ...
Packaged in our cover story is an interview
with Stuart Oran, who is given the task of bringing United Airlines into the fractional ownership business. Oran made an impromptu presentation to NATA members at the Long Beach convention, and association president Jim Coyne announced the carrier had signed on as its newest member — an interesting addition.
Oran agreed to meet at United headquarters
near O’Hare a week later. It seemed fitting to include the interview as part of this issue’s State of the Industry report. The
announcement is yet another signal that we live in redefining times in
aviation.
Asides to the United interview ...
• The company is in serious negotiations
with at least two aircraft manufacturers, but Oran wasn’t ready to
make an announcement. At least one source reported an agreement with Falcon was imminent.
• The Chicago Tribune subsequently reported that United expects to have a fleet of some 200
executive jets on the job by 2005, and will hire 1,000 new pilots for
the venture.
• During our conversation, Oran pointed
out that the aircraft OEM industry will be unable to meet fractional demand,
based on current production rates. Now, consider a part of the conversation
that doesn’t appear in the article, which went like this ...
Airport Business: Speculation heard since United’s announcement is that the company might be looking to acquire an Executive Jet or other fractional player as a quick entry to the market. Is that your intent?
Oran: I don’t think it would be appropriate to comment on discussions with other participants, but
we certainly are serious about entering into the marketplace.
AB: So that answer implies that you have had discussions with current players about an acquisition.
Oran: I don’t think it would be appropriate to comment. I don’t think you should draw anything
from that one way or another.
A stop at the Daytona Beach campus of Embry-Riddle Aeronautical University saw firsthand the investment Signature Flight Support is making in training. Some 200 base/ ops/safety managers were on-hand for Signature Flight University’s week-long training. Nearby, construction suggested the investment ERAU is making in training tomorrow’s pilots, technicians, and aviation managers.
FAA Administrator Jane Garvey told the AAAE convention in New Orleans that the agency soon will release an "evolution plan" that will outline airspace and infrastructure strategies for the next ten years (www.faa.gov). Also forthcoming is the FAA’s proposal to replace the "slottery" at LaGuardia. The temporary allocation program expires in September.
Garvey also reiterated that what happens
at the top 31 congested airports ripples through the rest of the system
— the latter word being the primary point.
Finally, a thought ...
Once United successfully launches its business
aviation adventure, it will be interesting to see which airports it accesses
in a number of cities. LaGuardia or Teterboro? O’Hare or Palwaukee?
LAX or Van Nuys?
Thanks for reading. ipples through the rest
of the system — the latter word being the primary point.
Finally, a thought ...
Once United successfully launches its business
aviation adventure, it will be interesting to see which airports it accesses
in a number of cities. LaGuardia or Teterboro? O’Hare or Palwaukee? LAX or Van Nuys?
Thanks for reading.