Académique Documents
Professionnel Documents
Culture Documents
ABC Air Cargo Guide 163 eneral aviation 19-20, Table 1-3
g air cargo 264-65, 319-39
ABC World Airways Guide 163 government market 10-12, Table 2004 statistics Table 6-1
ACARS (ARINC communications 1-2 advantages 330
addressing and reporting impact on other industries 5 aircraft 326, 328-29
system) 102 industry suppliers 9-10 air freight market 329-31
accidents related products and services 20 air freight rate types 331-33
Army planes 36 research and development (R & costs 330-31
general aviation 139 D) 5, 7-8, factors affecting rates 337-39
history 38, 40, 41, 42 11, 13 future 328-29
investigation 94-95, 98-100, 190 sales by customer Table 1-2 history 321-25
accrual 430 sales by product group Table 1-1 pallet and container 264-65
A-check 229, 230, Table 12-1 trade balance 5, 8, 20 regional/commuter services 158,
acquisition costs 391 Aerospatiale 117 Table 5-4b
Adam Aircraft Table 4-5 African American travel market special services 333, 335-37
administration, defined 202-3 273-74 statistics Table 11-1
Advanced General Aviation Trans- agricultural aircraft 112, 122 today 325, Table 11-11
portation Experiment Airborne Express 324, 325 web sites 340
(AGATE) 128 Airbus A300 series 14, 42, 383, 391 Air Cargo Guide 337
advance purchase requirements Airbus A310 391 Air Cargo, Inc. 101-2, 336
301 Airbus A320 265 air carrier, defined 21
advertising 123, 266, 267, 280, 302 and Braniff shutdown 445 air carrier airports 125
advertising department 234 cockpit 386 air commerce 21, 48-49, 52
Advisory Circulars 92 competition 383 Air Commerce Act (1926) 33, 48-
aerial advertising 123 financing for Northwest Air- 50, 67, 87
aerial application 112, 122-23, lines 380 Air Corps, U.S. Army 36, 39, 48,
Table 4-3 fleet commonality 378 50, 68, 321
aerial observation 123, Table 4-3 fly-by-wire systems 65 aircraft
“aerial other” category 123, Table operating costs 391 design and development 382-87
4-3 technical aspects 376 evaluation 389-92
Aeritalia 66 Airbus A321 378 insurance costs 305
Aero Design and Engineering 69 Airbus A330/340 65, 375, 378, 383, landing facilities 125, Table 4-4
aeromedical research 93, 94 385-86 manufacturing associations 103-
Aeronautical Radio, Inc. (ARINC) Airbus A350 15, 66, 91, 378 4
102-3, 163 Airbus A380 14, 66, 91, 329 on order Table 13-1
Aeronautics Branch, Department Airbus Industrie regional air carriers 158, Table
of Commerce 49 aircraft on order Table 13-1 5-4a, Table 5-4b
Aerospace Industries Association business jets 117 Aircraft Owners and Pilots As-
(AIA) 4, 103-4, 112 business turbine airplane ship- sociation (AOPA) 105, 122
aerospace industry 4-20 ments Table 4-6 “GA Team 2000” 128
characteristics 5-6 commercial transport products as lobby group 70
civilian aviation market 12-15, 14, 15 optimism of members 117
Table 1-3 competition 13, 66 purpose 68
commercial transport sales fac- design and development 383, aircraft uses 119-25
tors 15-19 385-86 business aviation 119, 121, Table
consolidation 11, 13 financing for airlines 380 4-3
defined 4 and new-generation airliners 63 commercial and industrial avia-
economic profile 7-9 Air Cal 182 tion 122-24
employment 5, 7-8, 10-11 Air California 61
551
55 2 a i r t r a n s p o r tat i o n
external load and medical 124, flight attendants 237-39 usage figures Table 2-4
Table 4-3 flight operations 223-27, Fig. air route traffic control centers
instructional flying 122, Table 7-11 (ARTCCs) 127
4-3 marketing and services 234-37, Air Safety Board 51, 52
other flying 124-25 Fig. 7-13 air taxi 124, 154-55, Table 4-3
personal flying 121-22, Table 4-3 management 202-6 see also regional air carriers
air express 321, 322 new corporate structure 206-9 air tours 124, Table 4-3
Air Florida 62, 177, 412 organization 213-16 air traffic control (ATC)
airframe overhaul 231-33 organizational chart 216-17, Fig. automation 93-94
Air France 42, 325, 326 7-4 hub-and-spoke system 368
air freight 323-24 staff departments 218-22 introduction 38, 42
defined 321 organizational charts Figs. 7-4 military 40
interline agreements 164 to 7-11 role 225, 226
rate factors 337-39 web sites 241 and scheduling 350
rate types 331-33 Air Line Pilots Association Air Traffic Control Center 225
scheduling 345 (ALPA) 401, 402, 415, 417, 421 “air traffic liability” 452
air freight forwarders 323 airlines air traffic and safety, vice-presi-
Air Freight Procedures Agreement accounting and guidance 162 dent of 223
164 associations 100-101 AirTran Table 5-2
air/ground domestic service certification 158, 160-61 air transport, civilian aviation
(ARINC) 102 costs 304-9 market 13-15, Table 1-3
air/ground international service globalization 483 Air Transport Association of
(ARINC) 102 pyramid of authority 202, 208, America(ATA) 100
Airline Clearing House 101 Fig. 7-1 air freight market data 329
Airline Deregulation Act (1978) safety 47, 168 annual reports 158, 437, 440, 441
58-60 statistics 158 capital requirements forecast
and CAB 150-51 wages and fringe benefits 409, 186
competition 177 Table 14-3, Table 14-4 causal model forecasts 247
dormant authority 366 Airlines Reporting Corporation identification codes 163
international counterpart 476 268 interline agreements 164
and labor productivity 406 Airline Tariff Publishing Company nationalization opposed 39
mergers and acquisitions 182 (ATPCO) 101, 298, 301 air transportation
mutual aid agreements 408 air mail defined 21
passage 43, 56, 57, 168 compensation 54, 285, 407 future trends 18-19
pricing 185 history 321-22 air transportation industry 21-26,
wage formula and hour rules legislation 35, 36, 37, 50, 51, 407 46-47, Table 1-4
407 Post Office Department 31-32, and business 25
see also deregulation; regula- 48, 321-22 and economy 22-25
tion of airlines Air Mail Act (1930) 35, 50 and pleasure travel 25-26
airline designators 163 Air Mail Act (1934) 36, 37, 50, 51, Air Transportation Safety and Sys-
airline industry 147-72 407 tem Stabilization Act (2001) 171
airline certification 158, 160-61 Airport and Airway Improvement Air Transport Command 47
airline statistics 158 Act(1982) 186 Air Transport International 325
data collection by DOT 162 Airport and Airways Develop- Air Transport and Its Regulators
industry agreements 163-64 ment Act(1970) 70, 92, 114, 186 (Caves) 55
major and national carriers 151- Airport Development Aid Air Transport World 158
54 Program(ADAP) 92 Airways Modernization Board 54
regional air carriers 154-58, airports Air Wisconsin 62
Table 5-3 air cargo 327 airworthiness certificate 91
statistics Table 6-1 alliances 483-84 Airworthiness Directives (ADs)
structure 148-51, 153-54, Fig. 5-1 alternative 178 229, 231
traffic and financial statistics charges 304-5 Alaska Airlines Table 5-2
165-72, Table 5-5 fleet planning 390 all cargo aircraft, regional air
web sites 173 operating certificates 92 services Table 5-4b
airline management and organiza- operating costs 92 all-cargo airline 325, 327, 337
tion 201-39 private-use 125, Table 4-4 all-cargo certificate 161
functions of management 210- public-use privately owned all-cargo deregulation 57
13 Table 4-4 Allegheny Airlines
line departments 223-39 public-use publicly owned 125 commuter network 155
engineering and maintenance schedule salability 356, Fig. 12- early history 40, 149
227-33, Fig. 7-12 8, Fig. 12-9
index 55 3
mergers and acquisitions 61, f are structure 185 BAE Systems PLC 385
182 financial condition 447, 448 baggage 238, 265, 368
revenue passenger miles Table labor relations 421, 422 balance sheet 437, 446
5-1 mergers and acquisitions 171 Bangor Punta Corporation 71, 72,
Allegheny Commuter 155 revenue passenger miles Table 116
Allegis Corporation 418 5-2 Bankruptcy Code 417
Allied Pilots Association (APA) amortization 305-6, 379, Table 15-5 banks, commercial 431-32, 449
422 analysis, and forecasting 245 barnstormers 67
Allison GMA 3007C engine 72 Anti-Hijacking Act (1974) 93 barriers to entry 176, 178-79
allowable time, for maintenance antitrust immunity 59, 182, 482 basic fares 297
346 AOPA Air Safety Foundation 105 B-check 229, 230, Table 12-1
alternative minimum tax 379 AOPA Foundation, Inc. 105 Beech, Walter 67
Amadeus reservation system 274 Apache Airlines 155 Beech Aircraft Corporation 71
amateur-built aircraft 113 Approach Control 226 history 67, 69, 72
American Airlines Arab oil embargo 56, 150, 167-68 mergers and acquisitions 19,
air express 322 arbitration, voluntary 404 116
air freighters 323 ARC (company) 69 product liability 114
air taxi replacement agreement Argyrus, Chris 202 Beech aircraft
155 Army Air Corps 36, 39, 48, 50, 68, Baron 70, 72
Boeing 707 service between 321 Beechjet-400A 72
coasts 42 ASMs see available seat-miles Beechjet 73
and Boeing 380 assembly service 333, 335, Fig. 11-4 Bonanza 19, 67, 69, 72, 121
certificated domestic route asset-based financing 431 D-18 73
miles Table 2-1 assets 437, Table 15-2 E-18 73
collective bargaining 422 associations 100-108 King Air 90 114
Douglas DC-1 and DC-3 37 aircraft-manufacturing 103-4 King Air 70, 72, 73
early history 36 airline-related 100-101 Model 17 67
fares 150, 185, 300 general aviation 104-6 Model 18 Twin 67
financial condition 309, 447, 448 international aviation 106-8 Queen Air 70
fleet planning 396-99 other airline associations 101-3 Sierra 114
flight attendants’ strike 405 ATA see Air Transport Association Sundowner 114
frequent-flier program 276 of America Super-18 69
labor costs 414, 416, 420 athletic travel market 273 Travel Air 70
labor relations 421 Atlantic Southeast 61 Twin-Bonanza 69
leasing 435 Atlas Air 325 Belgium 476, 478
lift capacity 375 Atlas Air Worldwide Holdings 325 Bellanca Aircraft 69, 70, 72, Table
maintenance costs 374 ATR (company) 63 4-5
mergers and acquisitions 61, Autoland system 390 Bell Helicopter 20, 71
149, 182, 419 available seat-miles (ASMs) Bell Telephone Laboratories 41
ordering agreement with Boe- 2004 statistics Table 6-1 Bendix (company) 69
ing 18 and costs 308, 310, Table 10-4, Bendix Transcontinental Speed
postderegulation 206 Fig. 10-10 Dash 67
predecessors 33, 35 early 1960s 165 Benoist flying boat 31
pricing 299 late 1960s 167 Bermuda Agreement (1946) 471-
profits 445 statistics Table 5-5 72, 475
revenue passenger miles Table Avco (Aviation Corporation) 35, Bermuda II Agreement 475-76
5-1, Table 5-2 36 best fit, line of 252, Fig. 8-3
September 11, 2001 hijackings Avcraft Table 4-6 bilateral agreements 467, 470
66 average, moving 251, 252 Bingham-Parker Act (1926) 33,
two-tier wage scales 416, 420 average revenue 309 48-50, 67, 87
viability 418, 419 averaging down wages 422 Black, Hugo 36
American Champion 72, Table 4-5 Aviat Aircraft Table 4-5 black boxes 99
American Eagle 63, 157, 420, 422 Aviation Distributors and Manu- Black-McKellar Act (1934) 36, 37,
American Express Sky Guide 163 facturers Association (ADMA) 104 50, 51, 407
American General Tiger 72 aviation service industry 129-36 block speed 304, Fig. 13-1
American Red Cross 124 see also fixed-base operators BOAC 40
American Trans Air 422, Table 5-2 Aviation and Transportation Secu- board of directors 203
America West 182 rity Act (2001) 95 Boeing
bankruptcy 62, 170, 419, 445, aircraft on order Table 13-1
448, 449 B-29 Superfortress 40 and American Airlines 380
employee concessions 420 BAC One Eleven 385
554 a i r t r a n s p o r tat i o n
acquired by General Dynamics and Civil Aeronautics Authority civilian aviation market 12-15,
116 39, 87 Table 1-4
acquired by Textron 116 interstate airline industry 148 Civil Reserve Air Fleet (CRAF) 44,
aircraft shipments Table 4-5 national defense 44 47-48
business turbine airplane ship- wage formula 407 Class 1 stations 228
ments Table 4-6 Civil Aeronautics Administration Class 2 stations 228
General Aviation Revitalization 52, 87 Class 3 stations 228
Act(1994) 117 Civil Aeronautics Authority classes of service 271
judgmental forecasts 253 conference on jet age 41 classes of stations 227-28
product liability 114 establishment 39, 51, 87 Clayton Antitrust Act test 182
Cessna aircraft flight personnel certification Clinton, Bill 170, 405, 420, 479
120/140 series 68 40-41 coach fares 286
150 model 114 redesignation as Civil Aeronau- Coast Guard Auxiliary 86
152 model 71, 114 tics Board 52 cockpit voice recorders (CVRs) 99
170 model 69 Civil Aeronautics Board code sharing
172 model 69, 70, 71, 114, 121 criticized 150 changes in 177
180 model 69 regulation of airlines 150 international 481-82, 483
182 model 70, 71 Civil Aeronautics Board (CAB) as marketing strategy 277-78
190/195 series 68, 69 air freight 323, 324 regional air carriers 62-63, 157
206H Stationair 118 air transportation certificates 21 collateral 431-32
207 model 19 bilevel industry vision 149 collective bargaining 412
310 model 69 Bureau of Safety 98 criticized 405-6
Ag Husky 122 carrier reporting requirements future strategies 421-23
Ag Truck 122 162 process 403-5
Bravo 118 certification 53 Collins (company) 69
C-34 68 charters 473-74 collision avoidance systems 94
Caravan 71 creation 52, 87 Colonial Airlines 33, 182, 322, Fig.
Citation 71-72, 117 criticism of 55-56 2-1
Excel 118 demise 60, 151, 169 Columbia Aircraft Table 4-5
T-50 68 and deregulation 55-56, 57, 58, Columbia route 33
T206H Turbo Stationair 118 59-60, 150-51, 475 Columbia (space shuttle) 12
CFM 56-5C-1 engine 385 early 1970s 167 Comair 61, 157, 421
CFM International engine 385 economic functions 52-54, 80 combination carrier 325, 327, 337
chain reaction effect 361-62, Fig. “failing carrier” doctrine 374 combined airline ticket offices
12-13 fares 53, 185, 285, 286-87, 413, (CATOs) 267
Challenger (space shuttle) 12 472 Comité International Technique
change of gauge 472 Federal Aviation Act (1958) 54- d’Experts Juridiques Aeriens
change in quantity demanded 55 (CITEJA) 463
291-92 feeder lines 40 Commander 114 B 72
changes in demand 289-92, Fig. international aviation 467 Commander Aircraft Table 4-5
10-2 interstate airline industry 148 Commerce Department see De-
charter airlines 263 and investment risks 446 partment of Commerce
charters 473-74 joint capacity-restraint agree- commercial banks 431-32, 449
Chase Econometrics 247 ments 474 commercial and industrial avia-
Chennault, Claire Lee 324 labor productivity 406 tion 21, 122-24
Chicago Conference (1944) 464-70, load factor 191 commercial transport sales factors
479 management skills needed by 15-19
Chicago and Southern Air Lines carriers 206 commission overrides 275-76
182 mergers and acquisitions 181, Commission to Ensure a Strong,
Chicago standard form 467, 470, 182 Competitive Airline Industry 479
471 mutual aid agreements 408 committee system, scheduling 346
Cirrus Design 117, Table 4-5 and national defense 44 common fares 297, Fig. 10-7
Cirrus Design SR 20 118 regional air carriers 154-55 common shareholders 433
Citicorp Venture Capital 436 response to deteriorating finan- common stock 433
Citizen and Immigration Service cial conditions 150 communication 215
190 route regulation 53, 366 commuter air carrier fitness deter-
city ticket offices (CTOs) 267 study on regulatory reform 56 minations 161
Civil Aeromedical Institute 93 Civil Air Patrol 39 Commuter Airline Association of
Civil Aeronautics Act (1938) 51-52 Civil Aviation Security Program America 100-101
aviation classifications 21 93 competition
and air freight rates 339
556 a i r t r a n s p o r tat i o n
hazardous material specifica- disposable personal income (DI) web sites 197
tions 337 247, 248 economic planning department
international aviation 470 distance, and elasticity 295 220, Fig. 7-10
maintenance cost reporting 305 distribution service 335 economies of scale 176, 179-81,
mergers and acquisitions 183 dividend income 430 274, 375
on-time performance reporting division, defined 203 economies of scope 274, 375
275 Doolittle, James H. 35 economy-class service 264
organization 81, Fig. 3-1 dormant authority 366 educational travel 270
policy 479-80 Dornier 63 Eisenhower, Dwight D. 42, 54, 84
Research and Special Programs DOT see Department of Transpor- elastic demand 292-94, Fig. 10-3,
Administration (RSPA) 86- tation Fig. 10-4
87 Douglas, A. Stone 72 elasticity of demand 292-96
scheduling tools 369 Douglas, Donald 37 elasticity determinants 295
Transportation Security Admin- Douglas DC-1 36, 37 electronic components 10
istration 95 Douglas DC-2 37 electronic flight instrumentation
Departure Control 225 Douglas DC-3 (EFIS) 65
dependant variables 247 business aviation 73 Embraer (company) 63, 66, Table
depreciation 305-6, 379, 429, 451, design and development 37, 43 4-6
Table 15-5 impact 322 Embraer EMB-135 378
deregulation 55-57 military conversion 39 Embraer EMB-145 378
airline financing 428 as nonscheduled air carriers 149 emergency board 404
airline management 206 popularity 42 Emery Worldwide 324, 325, 327
all-cargo 57 transcontinental travel time 356 Empire Airlines 61
Civil Aeronautics Board 55-56, Douglas DC-4 39, 149 employee ownership 420, 423
57, 58, 59-60, 150-51, 475 Douglas DC-4E 39 employee stock ownership plans
Department of Transportation Douglas DC-6 40, 150 (ESOPs) 417, 420, 423
60, 150-51 Douglas DC-7 40, 41, 232 employment
financial impact 446, 449, 450 DRI-WEFA Incorporated 23 aerospace industry 5, 7-8, 10-11
fleet planning 375 duty free service 265 airline 400, Table 14-1
general aviation 73 air transport industry 43
labor relations 412-23 Eastern Airlines employment contracts 350-51
marketing strategies 274-80 air express 322 “end-to-end” mergers 182-83
mergers 60-62 bankruptcy 151, 170 engineering and maintenance
new-generation airliners 63-66 Boeing 727 42 control (EMAC) system 232
passenger marketing 274-80 certificated domestic route engineering and maintenance
regional/commuter airlines 62- miles Table 2-1 department 227-33
63 collective bargaining 418 classes of stations 227-28
routing and scheduling 366 demise 61, 177, 182, 287, 419, contract maintenance 233
structure of airline industry 445, 448, 449, 450 nonroutine maintenance 231
150-51 early history 36, 38 organization Fig. 7-12
see also Airline Deregulation financial condition 447 overhaul of airframes 231-33
Act (1978); regulation of losses 165, 445 overhaul of engines and other
airlines mechanics’ strike 405 components 233
design characteristics 389-90 mergers and acquisitions 61, routine airframe maintenance
Detroit News Trophy Race 68 182 229-31
DHL Airways 325, 328 postderegulation 206 types of maintenance 228-29
Diamond Aircraft 117, Table 4-5 revenue passenger miles Table engines
dilution 302 5-1 Allison GMA 3007C 72
dimensional weight 331 strike against 169, 445 CFM 56-5C-1 385
diminishing returns, law of 310, travel agents 268 CFM International 385
Table 10-4 union concessions 415, 419 General Electric CF6-80C2 65,
direct impacts 23, Table 1-4 venture capital 436 385, 386
directing 212 Eastern Air Transport 36 General Electric fan-jet 66
directionality, and air freight rates Eastern Shuttle 62 Lycoming 71
338 easyJet 181, 278 maintenance 230-31
directional pricing 301 economic characteristics 175-96 overhauling 232, 233
direct operating costs 304-6 airline passenger load factors Pratt & Whitney 382
direct selling methods 180-81, 268 191-95 Pratt & Whitney fan-jet 66
discrete address beacon system airlines as oligopolists 177-86 Pratt & Whitney Hornet 37
(DABS) 94 other unique characteristics 186- Pratt & Whitney J57 41
diseconomy of scale 180 90
558 a i r t r a n s p o r tat i o n
demise 61, 170, 177, 182, 287, as managers 207 JT8D-200 series 435
419, 445, 448, 449 Piper, William T. 68 JT9D-7R4G2 390
financial condition 447 Piper aircraft PW4000 65, 385, 386
founding 37 Apache 69 R985 radial 73
international service 43, 474, 479 Cherokee 70, 114 R-2000 39
jet orders 41 Comanche 70, 121 Wasp 33, 37
jumbo-jet service across Atlantic Cubs 68 preferred stock 433
42 Lance 19 Prescott, Bob 323
losses 165, 445 Meridian 117 president, role of 203
mergers and acquisitions 60, Pacer 121 presidential intervention 403, 405
151, 182 Super Cub 69 pricing
postderegulation 206 Tomahawk 114 analysis 302-3
revenue passenger miles Table Tri-Pacer 69, 70 and demand 288-95, Fig. 10-1
5-1 Twin Comanche 70 and marketing 234, 260, 265-66
union concessions 415, 416, 418 Piper Aircraft Corporation and output determination 309-
use of 747 aircraft 386 early history 68, 69 15, Table 10-6
venture capital 436 emergence from bankruptcy 19, process 298-304
Pan American Airways see Pan 72 strategies and objectives 299
American liability 114 tactics 299-302
Pan-American Conference 462, 463 ownership 71, 116 web sites 317
Pan American Shuttle 61 see also New Piper Aircraft see also fares; fuel prices
Pan American World Airways see Corporation primary-use categories 113, Table
Pan American Piston-Engine Aircraft Revitaliza- 4-3
Paris Convention (1919) 461-62, tion Committee (PEARC) 128 priority reserved air freight 332
463 place, in marketing mix 260, private debt placement 432
passenger fares see fares 267-69 privately owned airports Table 4-4
passenger load factor see load plan aircraft 392 private-use airports 125, Table 4-4
factor planning procedure, defined 211
passenger marketing 257-80 defined 244 product, in marketing mix 260,
consumer-oriented marketing for forecasting 245 261-62
concept 269-74 as management function 210-12 product development 272-73
marketing concept development principles 213-15 product differentiation 261
259-60 see also fleet planning product improvement 272
marketing mix 260-69 Planning Grant Program (PGP) 92 production certificate 91
strategies since deregulation PLIN (private-line intercity production costs 266
274-80 network)(ARINC) 103 production-oriented period 259,
web sites 281 point-to-point carriers, relation- 269
passengers, general aviation 22 ships 278-79 product liability 19, 71, 72, 114,
passenger service costs 306-7 point-to-point service 151, 378, 413 116, 117, 127
pattern bargaining 407, 412 point-to-point service (ARINC) professional airline manager 37-38
Patterson, William A. 37, 38 102 Professional Air Traffic Controllers
payload Fig. 13-1 Polar Air Cargo 325 Organization (PATCO) 415
payload-range diagrams 390 policy, defined 211 profitability 17, 46, Table 2-3, Table
Peach, Bob 37 policy and procedures manual 211 15-1
peak pricing 302 poll forecasts 255 profit maximization, short run
Pennsylvania Airlines 61 positioning flights 192 314-15, Table 10-6, Fig. 10-11
People Express 61, 153, 182, 412, Post, Wiley 121 profit-sharing 417, 420-21, 422,
436 Postal Service 155, 190, 345 423, 435
People University, Southwest Post Office Department progressive overhaul/maintenance
Airlines 214 air cargo beginnings 321 230, 231-32
Permanent Court of International air commerce 39 progress payments 391, 433
justice 466 air mail 31-32, 48, 321-22 projected industry environment
personal flying 121-22, 140, Table air mail compensation 54, 285 388
4-3 wages and hours of pilots 406-7 promotion, in marketing mix 260,
personal selling 266 Pratt & Whitney (company) 65, 266-67
personnel department 218, Fig. 7-7 435 promotional fares 271-72, 298
physical performance factors 390 Pratt & Whitney engines Provincetown-Boston Airways 61
pickup and delivery service 336 efficiency 382 Prudential Insurance Company of
Piedmont Airlines 40, 61, 149, 182, fan-jet 66 America 440
445 Hornet 37 psychographic segmentation 273
pilots 129, 140, Table 4-7 J57 41 public equity offering 433
index 565
publicly owned airports 125, Table regulations, of specific airlines routine scheduled maintenance
4-4 211-12 229
public-use airports 125 rejected demand by other airlines RPMs see revenue passenger miles
pushdown 397 303 rules 211-12
pyramid of authority 202, 208, related products and services 7, 20 “runaway airlines” 415
Fig. 7-1 religious travel 270 Ryan (company) 69
Renault 117
qualitative service 262 repairables 230 Sabena World Airways 324
quantitative service 262 repair stations, FAA certification Sabreliner 117
quotas 345 91 SABRE reservation system 274
replacement aircraft 17 safety
Railroad Revitalization and Regu- Republic Airlines airlines 47, 168
latory Reform Act (1976) 86 collective bargaining 418 Air Safety Board 51, 52
Railway Express Agency (REA) mergers and acquisitions 60, 61, air traffic and safety, vice-presi-
321, 322, 323 149, 182 dent of 223
Railway Labor Act (1926) 54, 401- union concessions 415 Air Transportation Safety and
6, 409, 412 research and development (R & D) System Stabilization Act
Raytheon 11, 19, 71, 116, Table 4-6 5, 7-8, 11, 13 (2001) 171
Raytheon Hawker 800 XP 118 reservations, sales, and promo- AOPA Air Safety Foundation
Raytheon Premier I 117 tional costs 307 105
Raytheon Travel Air 117 reservations systems see compu- Civil Aeronautics Board, Bu-
Reagan, Ronald 116, 415 terized reservation systems reau of Safety 98
recapture 397 restricted articles 337 FAA regulations 129
recession, impact on airline indus- return on investment (ROI) 448, International Civil Aviation
try 190 449, 450, Table 15-1, Fig. 13-1 Organization 94
refunds 302 revenue, total Table 10-3, Fig. 10-8 and maintenance 230
regional air carriers 20, 154-58, revenue passenger miles (RPMs) National Highway Traffic Safety
Table 5-3 2004 statistics Table 6-1 Administration 86
code sharing 157 average yield 44, Table 2-2 National Transportation Safety
fitness determination 161 early 1960s 165 Board 55, 80, 94, 95-100, 190,
ownership 163 early 1970s 167 Fig. 3-3
post deregulation 62-63 early 1980s 169 September 11, 2001 hijackings
see also air taxi late 1960s 167 66-67, 95, 214
Regional Airline Association late 1970s 168 Transportation Safety Act (1974)
(RAA) 100-101, 158 late 1980s 169 95-96, 97
regional flight dispatch manag- major and national carriers 151, St. Lawrence Seaway Authority 84
ers 223 Table 5-1, Table 5-2 St. Lawrence Seaway Develop-
regional jet (RJ) concept 368 mid-1990s to the 21st century ment Corporation 84-85
regional manager of flight opera- 170 sale and lease-back 430, 452
tions 224-25 and pricing 309, Table 10-3, Fig. sales, ticketing, and travel win-
regulation of airlines 10-9 dows 302
Civil Aeronautics Board 55-56 statistics Table 5-5 sales force opinion method 254-55
Department of Commerce 190 Rickenbacker, Eddie 38, 436 sales-oriented period 259
Department of Transportation Robertson Aircraft Corp. Fig. 2-1 sales planning department 236
(DOT) 190 Robson, John E. 56 sales and services department 236-
economic developments 43-46 Rockefeller, Laurence 436 37, Fig. 7-14
Federal Aviation Administra- Rocky Mountain Airways 61 schedule delay 368
tion (FAA) 129, 190, 231, Roeck, Thomas J. 420 scheduled services 263
232, 432 Rolls-Royce (company) 42, 65, 381 schedule plot 346
fleet planning 374-75 Rolls-Royce engines scheduling 343-69
government regulation 190 efficiency 382 aim of 344-46
labor relations 406-12, Table 14-2 fan-jet 66 data limitations 369
reasons for 46-48 RB 211-524D4D 65 defined 344
Transportation Security Regula- RB 211-524134a 386 development process Fig. 12-1
tions (TSR) 95 Roosevelt, Franklin D. 36, 39, 51 equipment assignment and
web sites 109 rotables 230 types of schedules 364-66
see also Airline Deregulation round-trip purchase requirements equipment maintenance 344,
Act (1978); deregulation; 301 346-49, Table 12-1, Fig. 12-13
Federal Aviation Regula- routine airframe maintenance flight operations and crew
tions 229-31 scheduling 344, 349-51
frequency 188
566 a i r t r a n s p o r tat i o n
ground operations and facility short-term period 310 Stage 3 noise standards 17, 179,
limitations 344, 351-53 show cause order 160, 161, 286 381, 392
hub-and-spoke scheduling 366- shuttle airlines 263 standalone cabotage Fig. 16-1
68, Fig. 12-15 shuttle services 271 Standard Agent’s Ticket and Area
planning and coordination 353- sightseeing 124, Table 4-3 Settlement Plan 164
64 Singapore 476 standard fares 297
departure time sensitivity 356, singles travel market 273 Standard and Poor’s 445
Fig. 12-6, Fig. 12-7 Skinner, Samuel K. 420 standards, performance 213
example 363-64 skip-stop 365 standby travel 271
load-factor leverage 362-63 Skymaster 39 State Department 94, 389, 467, 470
as marketing variable 234 Sleeper Transport see Douglas station and ground expenses 306
operational factors in schedule DC-3 station personnel, as scheduling
planning 349-51 Slick (carrier) 323 factor 359-60, Fig. 12-11
schedule adjustments 358-62, Small Aircraft Transportation station plotting chart 352, Fig. 12-4
Fig. 12-12 System (SATS) 74-75 Stearman, Lloyd 67
schedule salability 355-58, Fig. Small Package Shipment Agree- Stout Metal Aircraft Company 34
12-9 ment 164 strikes
traffic flow 354-55, Fig. 12-5 Smith, C. R. 37 against Continental 153
publishing schedules 163-64 Smith, Frederick W. 323 airline Table 14-2
web sites 371 smoothing 251, Fig. 8-3 air traffic controllers’ 192, 287
scheduling department 346 Snell, Bertrand H. 84 American Airlines 405
seasonal variations 249, 251, Fig. Socata Table 4-5 Eastern Airlines 169, 405, 445
8-2 Socony-Vacuum Oil Company 38 International Association of
seating configurations 263-64, 389 Southern Air Lines 60, 149 Machinists 153, 403
seat-mile 308 Southern Airways 182 National Airlines 414
Second International Conference Southwest Airlines 263 Northwest Airlines 414
of Private Air Law 463 corporate culture 424 pilots’ 153
Section 401 certificates 148, 160-61 early history 149, 153 United Airlines 396
self-help, in collective bargaining employee ownership 420 subsidies, government 44-45, 47,
403, 405 expansion 177, 375, 412 59, 149, 186
semi-averages 251, 252 financial condition 419, 447, 448 Suburban Airlines 61
Senate Committee on Interstate labor costs 414 SuperGuppies 385
Commerce 48 mergers and acquisitions 61 supplemental air carriers 149, 473
Senate Judiciary Committee, pricing 299 supplemental services (ARINC)
Subcommittee on Administrative profits 62, 447 103
Practice and Procedure 56 profit-sharing plan 421 supply factors 266
senior vice-president, role of 203, revenue passenger miles Table “survival bargaining” 415, 416
227, 234 5-2 Symphony Aircraft Table 4-5
September 11, 2001 training programs 214 system constraints, in fleet plan-
and airline industry 13, 66-67 Southwest Airways 182 ning 389
and airline profitability 17, 66- sovereignty of airspace 460-63 system operations control (SOC)
67, 287, 309 span of control 213, 215 223, 225-26, 227
and airline safety and security specialized freight services 336-37
66, 95, 214 specific commodity rate 331-32, TAG Aviation 117
and air transport 13 Fig. 11-1 Taiwan 476
and defense spending 7 speed package service 332 target segment pricing 300
effect on general aviation 128 spill 303, 396-97 Tax Reform Act (1986) 71, 116,
effect on travel patterns 264 Spirit 62 379, 430
and hub-and-spoke system 280, Spirit of St. Louis 121 Taylor Aircraft Company 68
378 split charters 473 Taylorcraft 72
impact on airlines 171 “spoiled” seats 303-4 TC 20 (organization) 104
services planning department Spoils Conference 35, 36 Teamsters Union 416
234, 236 stacking losses 338 technological turnover 186-87
service stations 227 staff departments 218-22 terminal control areas (TCAs)
Shaffer, Jack 70 organizational charts Figs. 7-4 to 70-71, 114
Sherman Antitrust Act test 182 7-11 terminal radar approach control
shift in demand 289-92, Fig. 10-2 staffing 212 (TRACON) 127
Shipping Board 83 staff personnel 216 terminal space 178-79
short-term cash forecast 452-53 Stage 2 aircraft 179, 446 Texaco Trophy Race 67
short-term forecast 244 Stage 3 aircraft 327 Texas Air Corporation
short-term loan 431, 432 collective bargaining 418
index 567
mergers and acquisitions 60, 61, e arly history 38 Transport Worker’s Union
182, 415, 418 employee ownership 423 (TWU) 401
as new entrant 153 extended twin-engine opera- United Aircraft and Transport
Texas Instruments 11 tions (ETOPS) 65 Company 33
Texas International Airlines 60, fare structure 185 United Airlines
182, 415 financial condition 448 aircraft orders 380
Textron 11, 19, 71, 116 international charters 474 air freight 323, 324
Thailand 476 international flights 474 bankruptcy 171, 449
third-freedom rights 470, 480, 481, leasing 435 bankruptcy possibility 309
Fig. 16-1 losses 165, 445 Boeing 247 purchases 36-37
Third Package 258 mergers and acquisitions 33, 36, Boeing 727 operations 171
ticket counter space 353 61, 149, 182, 418, 419 certificated domestic route
Tiger Aircraft Table 4-5 revenue passenger miles Table miles Table 2-1
time, and elasticity 295 5-1 collective bargaining 418
time-series analysis 249-53, Fig. 8-2 union concessions 419 collision 41
accuracy 253 travel agents 164, 168, 180, 267-68, Douglas airplane purchases 37
time zone effect 358-59, Fig. 12-10 275-76 early history 34, 35, 36, 38
“Tin Goose, “ 34-35, 36 Travel Air Manufacturing Com- employee concessions 17, 420
TNT (carrier) 328 pany 67 employee ownership 423
top management 202, 203, 205, 208 Travel Industry Association of fare structure 185
total costs, short run 310, Table America 269 hub-and-spoke system 279, 365
10-14 trend analysis 249-53, Fig. 8-2, image 290
total revenue Table 10-3, Fig. 10-8 Fig. 8-3 international flights 479, 480-81
Tower Control 225, 226 trend extension 249 labor costs 414
tower-controlled airports 126-27 trends 249-50, Fig. 8-2 leveraged buyout collapse 445
trade balance 5, 8, 20 Trident 385 lift capacity 375
traffic flow 354-55, Fig. 12-5 Trippe, Juan 37, 42, 436 liquor served on flights 254
traffic statistics 165-72, Table 2-1, TriStar 42 losses 445
Table 5-5 Truman, Harry S. 40 marketing 214
Transamerica 418 Trump Shuttle 62 mergers and acquisitions 61, 62,
Transcontinental Air Transport trunk carriers, defined 148 151, 182, 322
(TAT) 35 Turbo Commander 73 pilot-management relations 415,
Transcontinental and Western Air turboprops 41, 42, 73 418
35, 38, 323 turn time 361 postderegulation 206
see also Trans World Airlines TWA see Trans World Airlines pricing 299
Transcontinental and Western Air twin-engine planes 65, 67, 69 revenue passenger miles Table
Express see Transcontinental and Two Freedoms Agreement 466-67, 5-1, Table 5-2
Western Air Fig. 16-1 September 11, 2001 hijackings
Transportation, Department of see two-tier wage scales 66
Department of Transportation Air Line Pilots Association 417 strike 396
Transportation Safety Act (1974) American Airlines 416, 420 viability 418, 419
95-96, 97 bargaining objectives 416-17, United Express 62, 63, 157
Transportation Security Adminis- 422 United Kingdom 40, 471-72, 475,
tration (TSA) 95 financially unhealthy airlines 477, 481
Transportation Security 419 United Parcel Service (UPS) 325,
Regulations(TSR) 95 type certificate 91 327, 328, 381, 422
Transportation Statistics Annual United States Coast Guard 85-86
Report 87 unconstrained operating plan 388 unit elasticity 295
Transport Worker’s Union (TWU) uncontrollable variables 260 unit operating cost Fig. 13-1
401 “Uniform System of Accounts and unity of objectives 213
Trans Star 61 Reports for Large Certificated Air Universal Air Travel Plan (UATP)
Trans World Airlines (TWA) Carriers” 162 164, 285
air express 322 unions 400-401 unrestricted Y fare 184
air freighters 324 Independent Union of Flight UPS see United Parcel Service
bankruptcy 170, 419, 445, 448, Attendants 416 Urban Mass Transportation Ad-
449 International Association of ministration (UMTA) 85
certificated domestic route Machinists 153, 167, 401, USAir
miles Table 2-1 403, 419 financial difficulty 419, 445
collective bargaining 417 membership 187, 412 labor relations 419
collision 41 Teamsters Union 416 mergers and acquisitions 61, 62,
Douglas DC-1 purchase 37 182
568 a i r t r a n s p o r tat i o n
profits 445 wages, averaging down 422 West Coast Airlines 149, 182
USAir Express 157 walk-around inspection 229, 239, Western Air Express 33, 35, 36,
U.S. Airlines 323 Table 12-2 322, Fig. 2-1
US Airways 182 Wallace, Dwane 68 Western Airlines
bankruptcy 17, 171, 309, 447 War Department 31, 32 mergers and acquisitions 61,
commuter network 155 Warner Super-Scarab engine 68 151, 182
employee ownership 420, 423 Warsaw Convention (1929) 464 revenue passenger miles Table
labor relations 421 Weather Bureau 226 5-1
lift capacity 375 Weather Bureau, Department of union concessions 415
mergers and acquisitions 37, Agriculture 32, 49 Wharton Econometrics Associates
149, 171 weather conditions 32, 349-50, 390 247
revenue passenger miles Table weather information 35, 94, 102, whipsaw bargaining 407, 417
5-2 126, 226-27 Whitney, J. H. 436
US Airways Express 157 weather modification 123 “wide-body” 42
“US Regional Airlines Industry to Weaver, Buck 67 Wilcox (company) 69
1996” 163 Weaver Aircraft Company wildlife conservation 123
Utility Airplane Council 112 (WACO) 67, 72 Williams Research 71
see also Aerospace Industries web sites Wolf, Stephen 420
Association air cargo 340 women’s travel market 273
airline financing 455 Woolman, C. E. 38
Valsan 381 airline industry 173 working capital balance 451-52
value-added pricing 301 airline labor relations 426 work rules 414, 417
variable costs 302-3, 308 airline management and organi- World Airways 412
Varney Speed Lines 34, Fig. 2-1 zation 241 World Aviation Directory 158
vendor financing 435 airline passenger marketing 281 WORLDSPAN reservation system
venture capital 435-37 airline pricing, demand, and 274
vice-presidents 223, 224, 227 output determination 317 Wright Aeronautical 39
Vickers Viscount 41 airline scheduling 371 Wright Company 321
Virgin Atlantic Airways 423 airline ticket sales 180-81, 268-69 Wright Cyclone 37
virtual carriers 62 aviation overview 27
visual flight rules (VFR) 90 economic characteristics 197 “yellow dog” contracts 402
volume-related personnel 216 fleet planning 395 Y fare 184
“Voluntary Accounting System for forecasting 256 yield 44, 309, Table 2-2, Table 10-3,
Small Air Carriers” 162 general aviation industry 143 Fig. 10-9
voluntary arbitration 404 historical perspective 75
international aviation 486 zone pricing 300
Waco Classic 72 regulators and associations 109