Last summer the FAA demanded American Airlines pay $162.4 million for a number of maintenance violations at both American and its regional affiliate, American Eagle. On Thursday, the agency agreed to settle with American for $24.9 million to wipe the slate clean, based on the efforts the airline made to resolve the outstanding maintenance issues.
Memphis-based Pinnacle Airlines on Wednesday officially emerged from bankruptcy as a wholly owned regional subsidiary of Delta Air Lines.
American Airlines CEO Tom Horton issued an online video apology following a failure of the company’s computer systems last Tuesday, forcing the virtual seizure of its network. The outage affected both mainline American and its American Eagle regional affiliates, which together canceled some 1,000 flights–amounting to nearly two-thirds of the company’s daily operations–and delayed roughly 1,100 by early Tuesday evening.
The 24th annual International Women in Aviation Conference, held March 14 to 16 in Nashville, Tenn., proved its worth last month as a mentoring, networking and outreach event, as attendees packed the show floor to take advantage of the diverse aviation and aerospace job fair.
The world’s airlines will achieve somewhat higher than expected profits this year, according to the latest projections from the International Air Transport Association (IATA). The industry group now expects its members to post a combined net post-tax profit margin of 1.6 percent this year (up from the earlier projection of 1.3 percent) on net income of $10.6 billion (up from $8.4 billion).
Miami, Florida-based Aeronautical Engineers (AEI) received the world’s first supplemental type certificate (STC) from the U.S. Federal Aviation Administration for the MD-80SF passenger-to-freighter conversion, the company announced last week. The STC allows for conversions of the passenger-configured MD-81, MD-82, MD-83 and MD-88, of which McDonnell Douglas built 779.
The proposed merger of American Airlines and US Airways will no doubt undergo close scrutiny by antitrust regulators and face particularly vigorous opposition from consumer advocacy groups. Even supporters concede that the effort toward creating the largest airline in the world will face obstacles.
The boards of AMR Corporation and US Airways Group have unanimously agreed to move forward with the long-anticipated merger of their American Airlines and US Airways subsidiaries, the companies announced Thursday morning.
Embraer’s waning E-Jet backlog received a welcome boost this week with a firm order for 47 seventy-six-seat E175s from Indianapolis-based Republic Airways. The deal, announced Thursday morning, includes options on another 47 of the airplanes, potentially raising its list-price value to $4 billion.
The Regional Transportation Authority (RTA) for Chicago and its surrounding region has publicly charged United Airlines and American Airlines with running “sham” business operations conceived to circumvent city and RTA sales taxes. In a lawsuit filed against United last week, the RTA–a municipal corporation of government that oversees the Chicago area’s public transportation departments–claimed that the airline established shell offices in the town of Sycamore, Illinois, where it pays a total tax rate of 8 percent.