Blog Archives
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More from AAAE in San Diego ...
- Thursday May 4, 2006FAA Administrator Marion Blakey says the ultimate goal is a "robust AIP (Airport Improvement Program);" the proposed cuts to AIP for FY07 are themselves robust. Talking to airports here at the annual meeting of the American Association of Airport Executives, Blakey says the cuts don't reflect the importance the Administration places on the program, nor the necessary funding levels. Which of course leads to FAA's current call for a new way to fund the system - a plan which has been formulated but not yet publicized. Blakey says she expects it to be in the near future; observers say we might not find out the details until after November's elections. Blakey says that despite proposed Administration cuts, the agency should be able to "support... -
The Coca Cola Mistake -- Not Listening to its Customers
- Monday May 1, 2006On the trip back from last week's MRO show in Phoenix, I was watching The History Channel on Frontier Airlines' in-flight programming. The show was talking about the history of Coca Cola and Pepsi. It talked about how both companies evolved and grew. Part of the feature included a discussion of Coke's decision to change its recipe in the late '80s. It seems that Coke was worried about Pepsi's growing market share and decided to change its recipe to more closely match Pepsi's. As we now know, that was a big mistake. The backlash was intense. Coke ended up changing its recipe back and once again offered "Classic Coke." It appears that Coke was more obsessed with what Pepsi was doing than with what its customers wanted. If it would have taken... -
Oil & The Free Market
- Monday May 1, 2006"Hark! Hark! The dogs do bark, The beggars are coming to town." That was the beginning of a Mother Goose rhyme during 16th century England. Methinks it applies today. Then, the English homeless were begging for food. Today, the beggars want the guvmint to "do something" about the price of gasoline. They say that the free market "isn't working" in the case of oil and fuel. Hogwash! The free market is working perfectly! The price of oil is basically a matter of supply and demand. When demand goes up and/or supply goes down, prices rise. That tends to cut down on consumption (demand) which tends to lower price. That's the free market and it is working perfectly. The problem is, we the people aren't happy with the resulting price right now... -
A Nice-Guy Legend is Gone
- Monday April 24, 2006"Damn. Just damn." That was one of many heartfelt and appropriate comments posted on AVSIG, world's oldest aviation online forum, after legendary pilot Scott Crossfield died in an airplane accident last week. This blog will not join the many who try to figure out exactly what happened in the accident, nor will we list the many aviation deeds and exploits that created the Crossfield legend. Others will report on those areas expertly and in detail. We will comment on the fact that Scott Crossfield was one more nice man. This was a true top gun, ace of the base aviation hero who was approachable and, well, just an all around nice guy. Before I get into this, let me state up front that Crossfield would not have remembered ever meeting me... -
Budget Debate Heats Up as Airports Meet
- Monday April 24, 2006SAN DIEGO -- Money, money, money that's what is on the minds of airports and aviation these days. The Bush Administration is calling for more than $700 million in cuts from the authorized level for the Airport Improvement Program for FY07, which begins October 1. At the same time, after FY07, nothing is authorized by Congress regarding aviation spending; thus, a concurrent debate is ensuing on how to fund the system in the future and at what levels. This is the central focus as airports from around the country meet this week in San Diego for the annual convention of the American Association of Airport Executives. Kate Lang, deputy administrator for airports for FAA, was an opening day speaker at this year's event and she tells airports... -
Whatever Happened to Common Sense?
- Friday April 21, 2006Is it just me, or is the whole airline situation just plain crazy? For years, we have been hearing of airline losses in the millions (and sometimes billions) of dollars each time a financial report comes out. Southwest and JetBlue were the only airlines that had seemed to have the right solution, but even JetBlue is now in the red with an expected loss for the year. American Airlines reported Wednesday that it had a loss of $92 million in the first quarter. The positive spin the company put forth was that it was less than the $162 million loss posted a year ago. As part of cost-cutting efforts, it announced it would mothball 27 planes by July 1. Ironically in a P.R. move the same day, American announced that it was giving away 20,000... -
Airlines Raise Prices
- Monday April 17, 2006Perhaps the biggest news in aviation last week slipped by with but little notice. It was the big story, front page and center of USA Today on Wednesday, April 12: "Airlines raise base fares sharply, still fill planes." Everybody shout Hallelujah! Why am I, a fellow who makes a living speaking at conventions, conferences, and other business meetings, happy to see airfares rise? Because it is so obvious that the airlines can't continue to lose money on every ticket but also stay in business. I need airlines as does the country so I want them to profit and prosper. Yes, the airlines are currently carrying more people more safely and for a lot less money. Many experts say we are now paying on average and after adjusting for inflation... -
NATA Takes on the IRS, to Little Avail
- Friday April 14, 2006Last year, as part of the Highway Bill, Congress decided that jet fuel should be taxed at the highway diesel fuel rate (24.4 cents/gallon) and not the historic jet-A rate (21.9 cents/gallon). There was a concern that commercial operators were siphoning off the cheaper jet-A for use in diesel-related operations. Problem is, that extra three cents/gallon or so adds up, and it is adding up in the Highway Trust Fund coffers and not that of the Aviation Trust Fund. The intent by Congress was for the Internal Revenue Service to create a reasonable system by which the people stuck in the middle of all of this the fixed base operators/fuel providers could help facilitate refunds for non-commercial users (their customers). Well, the National Air... -
Could We Have Some Standardization Please?
- Wednesday April 12, 2006It's a fact of life. Anyone who flies is subject to security screenings by our friendly TSA. Local policies and procedures can be confusing even for those that fly frequently. The most frustrating thing for me is the TSA’s policy on shoes. Apparently, the general public agrees. A recent L.A. Times article by James Gilden states, "The agency's shoe policy is the most common complaint on mytravelrights.com, the website of the Consumer Travel Rights Center." The lack of standardization is easily evident. Some airports require everyone to take off their shoes. Some require shoes that aren't athletic shoes or sandals to be removed. Some will let you keep your dress shoes on if they don't have any metal in them. Some airports even have... -
User Fees & Toilets
- Monday April 10, 2006Aviation user fees? Hell, no! I believe users should pay their fair share. The guvmint says the FAA needs more money and therefore we need more user fees. It sounds so reasonable that I was beginning to agree. Then I got to thinking about it again. As I wrote in 1990, user fees work only if you trust the party that holds the money. You can trust dog tracks, bookies, and insurance companies, but not the guvmint, and they have proved it. I still remember all those years that they collected our money for the Aviation Trust Fund and then refused absolutely refused to use it as promised. That 1990 column I wrote said..."Does anyone, anywhere, still doubt that the guvmint is using the Aviation Trust Fund to make the deficit appear less...
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