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Friday, October 5, 2007

Interesting Sidelights Topics: Saab AD, Vintage, ACE/Jazz, SkyWest, Porter, Embraer/AeroRepublic

Kathryn Creedy

FAA Issues AD on Saab 2000
FAA, last week, issued a new airworthiness directive (AD) for the Saab 2000 resulting from mandatory continuing airworthiness information (MCAI) in Sweden citing an unsafe condition regarding the control surface balancing procedure in the Saab 2000 Structural Repair Manual (SRM) is incorrect. Incorrect balance, outside the tolerance of the aileron control surface, may lead to vibrations that in [the] worst case can result in flutter. The AD becomes effective November 7, 2007.

Blast From the Past
Vintage Props & Jets is replacing three-year-old Delta Connection service at Naples, Fla. using Beech King Aires in a throw-back to the beginnings of the regional airline industry in the 1970s. The profile fits that era as well with the New Smyrna Beached-based company being family owned. The airline plans to operate nine flights weekly from Naples beginning December 14 including five daily flights to Tampa, three daily to Marathon and two per day to Tallahassee. The 16-year-old airline has been serving Daytona Beach, Fort Lauderdale, Melbourne, in addition to Marsh Harbour and Treasure Cay in the Bahamas.
Vintage Spokesperson Ren Crete indicated service includes $259 one-way to Tallahassee to serve the state legislative and government services market. One-way to Tampa would be $79. The airline is also working on replacing short-lived Delta Connection service at Marathon. The aim is to restore a “more refined” airline experience to Florida airline service, according to the local newspaper, who quoted Airport Authority Spokesperson AnneElena Foster, who pointed out the emphasis will be on comfort.
The King Aires replace the 40-seat Bombardier CRJ 200s flown by Atlantic Southeast Airlines (ASA) used at Naples and Marathon. The airline plans to modify all its 40-seat configurations to 50-seats and redeploy them on the Delta Connection network. ASA said that Naples’ 5,090-foot runway would require severe weight restrictions, limiting cargo and passenger loads on departure. Summer temps restrict the aircraft to 25 to 30 of the 40 seats which would mean a larger loss if the service were continued.

ACE in Secondary Offering of Jazz
In its continued divestiture of its holdings in its regional partner, Jazz, ACE Aviation Holdings Inc. is selling an aggregate of 35.5 million trust units of Jazz Air Income Fund at a price of $7.75 per unit, for gross proceeds of $275.1 million. Jazz Air Income Fund will not receive any of the proceeds from the offering. The offering is expected to close on or about October 22, 2007. The underwriting syndicate is being led by RBC Capital Markets and CIBC World Markets Inc. Immediately following the offering, ACE Aviation Holdings Inc. will retain 24,726,920 units of Jazz Air Income Fund, representing 20.1 percent of the 122,865,143 units issued and outstanding.
The securities offered are not available to be sold in the United States.

SkyWest Launches EWR Service for Midwest
SkyWest’s 50-seat regional jets will launch a fifth daily non-stop Milwaukee-Newark service on December 1 as part of its Midwest Connect contract with Midwest Airlines. The service is part of increased Midwest Airlines service nationwide including a second nonstop roundtrip to its Milwaukee-Los Angeles schedule effective November 1; a third nonstop roundtrip to its Milwaukee-Phoenix schedule November 15 and a fifth Milwaukee-Dallas/Ft. Worth roundtrip effective November 18.

JetBlue in Further Inroads at SLC
JetBlue Airways adds one daily nonstop flight between Salt Lake City and Burbank, Calif., beginning December 15, 2007. With its new service, JetBlue will offer Salt Lake City travelers access to Los Angeles' two easy-in, easy-out airports – Long Beach and Burbank – with a total of three daily flights. With the new service, JetBlue now offers five daily flights from Salt Lake City to California, including once-daily service to San Diego and San Francisco. JetBlue also flies daily to its hub at New York's John F. Kennedy International Airport, and is the only low-fare, low-cost airline to serve all five markets nonstop from Salt Lake City.

Embraer Delivers to Aero Republica
Aero Republica, subsidiary of Copa Holdings, S.A. took delivery of two Embraer ERJ 190s. Aero Republica, which in December 2006 became the first airline in the domestic Colombian market to operate this new aircraft, currently has a fleet of five 190s and eight MD-80 aircraft. The 190s will be used to serve Aero Republica's domestic routes more efficiently, as well as in the further development of international markets. They also play an important role in Aero Republica's alliance with Copa Airlines in Panama, through the joint expansion of route networks that will provide passengers more destinations and frequencies. Aero Republica's fleet modernization and expansion plan includes firm orders for four additional 190 aircraft, two of which are scheduled for delivery before year's end and the remaining two in 2008. The airline also has options for an additional eight 190 aircraft, which expire through 2011, plus eight rolling options.

Porter Airlines increases Halifax service for Holidays
Porter Airlines announced its 2007 holiday schedule featuring additional frequency for flights between Toronto City Center Airport (TCCA)-Ottawa-Halifax. The holiday schedule takes effect December 17, 2007, and runs until January 6, 2008. The schedule features three daily round-trip TCCA-Ottawa-Halifax flights. Porter will offer seven weekday round-trip TCCA-Ottawa flights, six weekday round-trip TCCA-Montreal flights and a reduced weekend schedule on both routes. Flights will not operate on Christmas Day and New Years Day. On January 7, 2008, Porter’s regular schedule will resume with 10 daily weekday round-trips between TCCA and Ottawa. TCCA-Montreal returns to nine flights daily. Halifax flights return to a weekend schedule.