2007 NetLetter #970 - April 13th 2007

#970 - April 13th 2007
Air Canada News
Air Canada Air Canada will operate a second daily direct flight between Beijing and Vancouver from July 2 to October 1 this year.
The company will operate a  211-seat Boeing 767-300 aircraft to meet increasing passenger demand over the summer tourist peak. The carrier will also increase the number of flights between Shanghai and Toronto from two to three times a week from April 13 to June 30, and seven times a week from July 1 before returning to three a week in winter.
A321 shows our 70th anniversary pride! Fin 453 recently had our 70th anniversary logo, designed by our own Multimedia Studio, applied to its fin. The logo will also be applied to one of our 767s in the near future as well.
Canada's Airlines: Risky Business
Our chief pilot, Vesta Stevenson found this on the internet and thought we might pass it along to our readers who are globally isolated from current news


It's a tough business, trying to run an airline while making a profit. Few have been able to do it in Canada in the days since al-Qaeda militants changed air travel forever by using four airliners to launch attacks in the United States on Sept. 11, 2001. Spiking fuel prices didn't do much for the industry's bottom line, either.

Wardair * one of the country's first discount air carriers * hung on for 37 years before it was bought out by Canadian Airlines, which was the offspring of the merger between CP Airlines and Pacific Western. By 1999, it would be bought out by Air Canada.

Greyhound Air, Roots Air and Royal all tried but failed.
WestJet opened for business in 1996 as a low-cost airline serving mainly Western Canada. As other airlines folded or were bought out, WestJet slowly expanded its reach until it hit the East Coast and vacation spots in the United States.

Canada 3000 shutdown strands thousands

CanJet did the same from its base in Halifax, beginning in May 2000. Within a year, it was bought out by Canada 3000 * at the time, the country's second-largest national air carrier. It, too, buckled under the pressures of competition for a profitable slice of a dwindling air travel pie. On Nov. 9, 2001, Canada 3000 abruptly ceased operations, leaving thousands of travellers looking for other ways to get home.

The hole left by the departure of Canada 3000 was filled less than a year later by the arrival of Jetsgo * and the return of CanJet under a new owner. Jetsgo reported sales of $2 million in its first week of operations. Both "no frills" airlines were off to promising starts.

Still, the turmoil in the skies continued as Air Canada filed for bankruptcy protection on April 1, 2003, after suffering a string of heavy losses. It would remain under the protection of the courts for 1½ years, emerging as a leaner, more efficient airline.

Rising fuel prices wreak havoc in 2005 But 2005 got off to an ominous start as fuel prices rose steadily and the need to keep the lid on ticket prices proving a bitter combination for the global airline industry.

Traffic had begun to rebound over the previous year, easing the hangover from the Sept. 11 attacks that had sent an already stalling industry into freefall. Two of the largest U.S. airlines, United Airlines and US Airways, were in bankruptcy protection.
A third, Delta, warned in March 2005, that it was losing a lot of money and might file for bankruptcy protection, too. In February, Canada's WestJet declared its first quarterly loss in eight years, blaming the shortfall on the fact it was replacing a large chunk of its fleet.
Air Canada, on the other hand, which emerged in September 2004 from 18 months in creditor protection, announced a profit in the final quarter of 2004. Air Canada's profit came in spite of a complaint heard around the industry: jet fuel prices were killing them. Air Canada said its fuel cost $142 million more in 2004 than in the previous year, an increase of 49 per cent.
Delta reported a loss of $5.2 billion in 2004, the largest single-year loss ever for an U.S. airline.
Jetsgo folds after fighting 'without a war chest' Intense competition at the ticket counter meant that airlines couldn't pass on those fuel costs to their customers by increasing ticket prices.
The competition was brutal * and possibly no airline competed as hard as Jetsgo, which operated under the motto: "Pay a little. Fly a lot." In late 2004, the airline was selling some seats for $1.
It was a bankruptcy in the making, said airline analyst Joe D'Cruz of the Rotman School of Management. "Jetsgo had been an airline in serious financial stress for quite some time, and in the middle of that they decided to take on WestJet in a price war," he told CBC News. "Here's an airline trying to fight a price war without a war chest."

On March 11, 2005, Jetsgo was gone, despite having captured up to 10 per cent of the domestic market. Thousands of passengers were stranded and 1,200 employees were suddenly out of work.
CanJet drops scheduled airline business CanJet and WestJet stepped up to pick up some of the demand. CanJet, which resumed operations in 2002 with three old Boeing 737s flying to three destinations, had expanded its fleet to 10 aircraft and 14 North American destinations. It retained its focus on Atlantic Canada. It also began operating a small charter business.
In June 2006, CanJet celebrated its fourth birthday with a huge cake and lots of optimism for the future.
Three months later, on Sept. 5, the airline's chairman announced that CanJet was getting out of the scheduled airline business to focus on its charter operations. "With the rising business risks of operating a scheduled airline, IMP has decided to suspend year-round scheduled airline service and focus on their increasing charter business," said Kenneth Rowe, the chairman and chief executive officer of parent company IMP Group Ltd.
The move left some people worried that Atlantic Canada would be under-serviced by the major carriers. In March 2007, Vancouver-based Harmony Airways announced it would stop all of its scheduled service by early April. Its billionaire owner, David Ho, called it a restructuring to focus on other opportunities. "I want to be very clear, this is not a bankruptcy. This is not a creditor protection arrangement and this is not a company dissolution."
Ho blamed increasing costs, overcapacity in the market and "aggressive price competition from larger carriers." About 350 staff will be laid off.
By 2007, Air Canada and WestJet were regularly reporting fuller planes and rosier bottom lines. But for smaller carriers, the news hasn't been as good. The Canadian airline business remains a risky place.

Amelia Article Follow-up
From our chief pilot Vesta
Subject: Re: Amelia Earhart info

I'm the 'Amelia' nut.  My mother's youngest brother, my uncle, so the story goes, helped to service her aircraft when she was in Harbour Grace,NL. Unfortunately for me, the promised photos I was supposed to receive are lost.

Vesta Stevenson


From Jim Coupethwaite
Subject: Re: Amelia Earhart info
Jim Coupethwaite wrote:
Hi Guys,
Lots of info on the Amelia Earhart available on this web site. www.tighar.org
It is the best one I have seen.
Keep up the great work.
Regds,
Jim Coupethwaite This e-mail address is being protected from spambots. You need JavaScript enabled to view it
From: our chief pilot Vesta
Subject: history of CPA NetLetter #969

A reader had asked if Air Maritime formed part a purchase by Canadian Airlines, Vesta sent this -
May I add that I think Air Maritime became Eastern Provincial Airways based in Gander, NL  my cousin married Jim Lewington former president of EPA.
Vesta

From James Griffith
Did I miss something? Was Transair not part of Pacific Western's genealogy?
Jim Griffith < This e-mail address is being protected from spambots. You need JavaScript enabled to view it >
Nanaimo Coffee Klatch
The following people were at the Nanaimo coffee klatch on Apr 11th., - Terry Baker , Leo Goulet,  Ray Tsuji, Cec McCulloch, Elaine Murray, Hans & Eppie Brouwer, Carol & Bryan Humphrey
Next meeting on Wednesday May 9th,.
Readers comments

Just a short note for you, Terry, Vesta and Alan, as I read the latest ( #968) Netletter.

It is obvious to me the amount of ongoing work you folks do, producing the Netletter, to ensure Air Canada employees past and present have a place to remain up-to-date and informed. In my opinion this is probably the most interesting vehicle in keeping retirees and employees in touch with our great Company. Even though I am retired now ten years, I still feel and refer to Air Canada "the Company" I still belong too. I consider too the fact I still have been asked to continue flying the Lockheed over these years as a privilege, indeed.

A personal "thank you"  for your continuing efforts in producing such a great entity. Keep up your great work. Hope to see you again one day there on the "West Coast".
Capt. Alan MacLeod  Retired

(Alan was/is one of the pilots for the CF-TCC aircraft which visits various airports in Canada - eds)

Found on the Internet

Virgin Atlantic Airways completed its final trial of a proposed "starting grid" holding area in December at Heathrow and Gatwick airports as part of its aim to reduce fuel burn and c02 emissions.
A "starting grid" is a holding area close to the active runway, which has several parking bays. This allows aircraft to be towed closer to the runway before taking off. An aircraft would only be required to start its engines 10 minutes before take off. Trials were undertaken with a B747-400. A longer trial is planned early this year at SFO, LAX and JFK.

Swiss International Air Lines provided its staff with a pre-Christmas bonus for the way they supported the corporate turn around. Every employee received a one time "thank you' gift of  chf2,000 (ca$2,000) as a sign of gratitude.

BAA and BRITISH AIRWAYS announced March 27, 2008 as opening date for 70,000 sq m Terminal 5 at Heathrow (LHR), slated to handle 30m pax
annually; 90% of construction-related work is complete and project is
on budget.

Premium Pay-Per-Use Lounge Opens in YVR's Domestic Terminal
Domestic passengers can now enjoy a first-class lounge experience at YVR's new Plaza Premium Lounge, located post-security at the junction between A and B piers in the Domestic Terminal.
Open to all domestic passengers, regardless of airline, travel class or membership programs, the Plaza Premium Lounge offers spectacular runway views, comfortable seating, refreshments and business services for a nominal ca$25 entrance fee.
Remember who!

Remember who response!

The following information from Patricia McGilligan who identifies the people in the YYC photo in NetLetter nr 969 -

nr 1. Lady was a stewardess (can't remember name)


nr 2. Mrs. Wally Rowan (Wally was Arpt Mgr)  YYC...believe one of them involved in the AC crash  over BC (after Football Game) about 1953.

nr 3. Kay Head...Secretary DSM YYC...Believe she died few years ago

nr 4. Mr Gordon MacGregor (President) AC

nr 5. Mrs Earnie Locke...wife of  DSM YYC...believe they retired in Maritimes..believe one of them died.

nr 6. myself..Patricia McGilligan ..Reservation Agent
This picture was taken at the Palliser Htl YYC during one of Mr McGregor's visits.

I have the original pictures of this visit...Mr Gordon Wood vp.Sales and the vp. Opns..can't remember his name at moment..am having one of those  'senior moments'

When Catterina Trotto was still with AC, I loaned her my pictures, and she made copies for AC (History Museum ?)...
Pat   This e-mail address is being protected from spambots. You need JavaScript enabled to view it
Mystery Photo #2
Here is another photo from YYC circa 1954 - can anyone identify it?
Where are they now?
DC-8 fin 866 c/n 45980 CF-TJZ was last with Florida West N161DB and is reported to be stored at Viracopos Airport near Sao Paula, Brazil
Star Alliance News
Star AllianceClaiming it has "no other option," United Airlines will add a $10 surcharge to tickets for flights originating from Los Angeles International Airport with immediate effect owing to a rent increase

SAS Scandinavian Airlines has introduced a new security system which allows staff at departure gates to confirm that a given item of hand luggage belongs to the same person who was in possession of it at check in.

All passengers departing on flights have their index finger scanned and the information stored along side  the individual data on the baggage tag. A second scan is taken at the departure gate, ensuring that the person who checked in the baggage is the person who boards the aircraft.

Air China and Shanghai Airlines are expected to join the alliance by the end of 2007.
Help Wanted

(from Sean Keating)
I am researching the history of aviation in Bermuda.

I am looking for details on first TCA trial flight to Bermuda. It was reportedly in Sep 1946 when a TCA North Star was used on 5-hour survey flight Montreal to Bermuda.

According to the Larry Milberry book, only the prototype was flying then.
Was it used by TCA for this trial flight?  Many thanks for your help,
Tom Singfield  Aviation Historian Horsham UK   This e-mail address is being protected from spambots. You need JavaScript enabled to view it

(kindly copy the NetLetter so we may pass the info along - eds)

Terry's Travel Tips

Terry Baker

Lynda Campbell sends us this referring to her recent stay on Vancouver Island -

Hello
Just want to tell you how much I'm enjoying the beautiful Saanich Peninsula.  I think it's Canada's heaven. We've been here for 2 wks with one more to go.  It could be a little warmer, say the locals, but for us it's been great.  Checking the weather channel and seeing that it's been snowing back home in Ontario, it's almost like being down South ... I said almost!
Thank you for the great Netletter, it's always a joy to read.
Rgds Lynda    This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Modern air travel would be very enjoyable if you could only learn to enjoy boredom, discomfort and fatigue.
Value Added Tax in the U.K.
VAT in the UK
To be able to claim a tax refund you must:
* Be an eligible traveller who is:
- a non European Community visitor to the UK; or
- a UK resident emigrating from the European Community.
* Complete a valid tax refund document obtained from the retailer.
* Present the tax refund document and goods to Customs on departure from the European Community.
* Export the goods within the required time limits.
You can buy any goods under the Scheme on which you pay VAT except:
* new or used motor vehicles
* a boat that you intend sail to a destination outside the EC
* goods costing over £600 in value exported for business purposes
* goods to be exported as freight
* apart from antiques, goods needing an export licence
* unmounted gemstones
* bullion weighing over 125g, 2.75 troy ounces or 10 Tolas
* mail order goods including those purchased over the internet
* goods for consumption in the EC, for example, perfume which is wholly or partly consumed in the EC.
Not all shops operate the scheme so look for shops displaying a "Tax Free Shopping" sign or ask a shop assistant before you buy.
How the scheme works
When you buy the goods the retailer will ask you for proof that you are entitled to use the scheme. This will normally be achieved by production of your passport although you may be asked for another form of identification. They will then ask you to fill in a simple refund form.
The main thing to remember is that you need to have one of these forms to make your claim, till receipts alone will not do.
If you are:
* leaving the UK direct for a destination outside the EC, you must show your goods and refund form to UK Customs at the airport/port you are leaving from
* leaving the EC via another EC country, you must show your goods and refund form to Customs staff of that country
* leaving the EC on a transit flight via another EC member state, you must show Customs in the last EC country your refund form and any goods you have as hand baggage. You must show Customs in the UK your refund form and any goods to be carried in the hold of the aircraft.
After Customs have certified your form you can get your refund by:
* posting the form to the retailer from whom you bought the goods
* posting the form to a commercial refund company
* handing your form in at a refund booth to get immediate payment.
* note, Customs are not responsible for making the refund so when you buy the goods ask the retailer how the refund will be paid. If you do not receive your refund within a reasonable period of time you should contact the retailer concerned, not HM Revenue & Customs.

Smilies
On a low cost airlines  flight (there is no assigned seating, you just sit where you want), passengers were apparently having a hard time choosing, when a flight attendant announced, "People, people we're not picking out furniture
here, find a seat and get in it!"

"As you exit the plane, make sure to gather all of your belongings.
Anything left behind will be distributed evenly among the flight attendants.

Please do not leave children or spouses."