EKSPARK AIRLINE: 81 Sheremetyevo 1 Airport, Moscow, 125190, Russia; Phone 7 (95) 348-3301; Fax 7 (95) 348-3300; Year Founded 1993. Ekspark is founded at Sheremetyevo Airport, Moscow, in 1993 to offer worldwide ad hoc cargo charters. A. E. Sidorenko is managing director and he inaugurates revenue services with a single Ilyushin Il-76.
One-plane flights continue apace in 1994-2000, including a number under contract to the UN.
EL AL ISRAEL AIRLINES, LTD.: P. O. Box 41, Ben-Gurion International Airport, Tel Aviv, 70100, Israel; Phone 972 (3) 971-6111; Fax 972 (3) 971-6040; Http://www. elal. co. il; Code LY; Year Founded 1948. The Israeli Ministry of Transport officially authorizes creation of a state airline on August 18, 1948. Even before the carrier is registered, it is named El Al (To the Skies) Israel National Aviation Company and on September 27, it acquires its first aircraft, an ex-military Douglas C-54.
Flying from Ekron Air Base in the Negev, the plane is dispatched to Geneva two days later to return home Israel’s first president, Chaim Weizmann. Meanwhile, in the U. S., former Transcontinental and Western Air Lines (TWA) flight engineer Al Schwimmer, owner of the Schwimmer Aviation Corporation, is attempting to obtain, in contravention of the arms embargo, additional aircraft for the infant carrier.
Having established the “paper” Panamanian carrier Lineas Aereas de Panama, S. A. and recruited contract pilots, Schwimmer acquires a total of 10 Curtiss C-46 Commandos and 4 Lockheed C-69 Constellations, which he begins to deliver to Lydda, along with cargos of arms. Although the Commandos make successful ferry flights, the U. S. government orders the Constellations, waiting their turn at Milville, New Jersey, to be impounded.
Pilot Sam Lewis is able to take off with one of the Lockheeds before it can be taken over and successfully delivers it to the Israelis. Although Lewis will be acquitted, Schwimmer is later convicted of violating the U. S. neutrality and export control law and is fined $10,000. Under control of the Israeli Air Force Transport Command, the Lockheed and Commandoes are employed to fly supplies to Israel from Prague, Czechoslovakia.
In October, France becomes the first West European country to grant Israel landing rights and nonscheduled charter flights are made between Tel Aviv and Paris. Capitalized at I?2 million, El Al is incorporated at Tel Aviv on November 15, with the Israeli government as the major shareholder (80%). Others contributing share capital are the national shipping line, ZIM, and labor interests.
Early in January 1949, Aryeh Pincus becomes first president. On January 31, a Curtiss C-46 Commando is borrowed from the Air Force to fly the national finance minister on a three-week mission to Europe.
Two Douglas DC-4s are acquired from American Airlines; christened Rechovoth and Herzl, they arrive at Tel Aviv in March and July, respectively.
Meanwhile, the C-69 smuggled out of the U. S. earlier has been converted to civil L-049 standard. On June 9, it damages its undercarriage in a bad landing at Prague; it is later repaired, only to crash on the seashore near Tel Aviv while attempting an emergency landing.
On July 15, El Al receives its formal Certificate to Commence Business and scheduled Douglas service is inaugurated by the Herzl, on July 31, over a Tel Aviv-Paris (ORY) route via Rome. The same aircraft is employed on August 16-17 to return to Israel the remains of Herzl, Zionism’s founder, from Vienna.
To provide additional capacity on the Paris route, El Al charters DC-3s from South African-based Universal Airways (Pty.), Ltd.
Associate Arkia Israel Inland Airlines, Ltd. is formed to handle domestic flights while the flag carrier concentrates on international operations. Additional routes opened during the year are those to Rome and Zurich on December 18 and London via Rome on December 22.
At year’s end, two offices are opened in New York and airline employment is 130. A total of 2,154 passengers and 300 tons of cargo are carried during the first 6 months; start-up costs lead to a net loss of $435,000.
Two C-46s are transferred to the carrier from the Air Force on January 24, 1950 and are employed to inaugurate freight service to Europe, occasionally being employed as passenger transports to supplement the DC-4s.
The C-54A Herzl, with 4 crew and 56 passengers, fails its takeoff from Lydda Airport on February 5-6; although the aircraft must be written off, there are no fatalities.
Three additional DC-4s are purchased, two from United Airlines and one from Trans-Caribbean Airways, arriving in Israel in May and June.
A charter route is extended to Istanbul in March, and scheduled flights begin to Vienna in July, and Nicosia and Athens in October. DC-4s launch charter flights to New York via Rome, Paris, Shannon, and Gander in June.
Al Schwimmer is finally able to legally sell his remaining three Constellations to El Al on July 1. These are sent to Burbank for conversion to civil L-049 standard.
In September, Universal Airways (Pty.), Ltd., the South African company that had been conducting Johannesburg-Tel Aviv DC-3 service, is acquired. DC-4s replace DC-3s on October 29, flying Tel Aviv-Khartoum-Nairobi-Livingstone-Johannesburg.
The first ex-U. S. Air Force C-69/L-049 Constellation arrives at Tel Aviv on December 22, where it is christened Mazal Tov (Good Luck). The new “Connie” flies its first service, a New York charter, on December 28-29.
Passenger boardings during the first full year of international services are 4,699, with 700 tons of cargo carried over 8 weekly European flights. The employee population is 375 and the net profit is $265,000.
The first regularly scheduled El Al L-049 service to London and Paris begins in late January 1951.
Employing a borrowed Air Force C-47, scheduled service is started to Istanbul on March 1. The second Lockheed is delivered on March 25.
On April 29, El Al publishes its first comprehensive schedule and on May 16 opens a scheduled Constellation service from Tel Aviv to New York via London, becoming the first airline outside Europe or North America to fly the North Atlantic. One thousand passengers fly the carrier’s transatlantic route this inaugural year.
A DC-4 is sold to Trans-Caribbean Airways on June 24 and the third L-049 is acquired on August 8.
During the fall Constellations assume the Johannesburg route and begin to replace DC-4s on the company’s services to Europe.
While descending to Zurich on a November 21 cargo flight, a DC-4 crash-lands (six dead).
On December 13, a contract is signed that provides for the carrier’s New York flights to be serviced at Idlewild Airport by Lockheed Aircraft.
Enplanements grow to 15,000, freight to 800 tons, employment to 592, and the net profit to $722,000.
The last two DC-4s are sold in January and April, 1952, respectively. During the latter month, two passenger-configured C-46s are acquired from the Air Force and are placed on the Vienna and Istanbul services.
On May 1, the carrier initiates the first tourist-class transatlantic flights from New York (IDL) to London and Paris.
As the result of a new bilateral agreement with Italy, flights commence on May 25 to Athens, Rome, and Vienna.
North Atlantic enplanements reach 6,000, while systemwide, bookings total 21,904, although freight is level. Employment soars to 1,006 while the net profit drops to $12,000.
AC-46 is sold in May 1953 while, in August, an Airspeed AS-65 Consul is acquired and begins four years as a crew trainer.
In October, a fourth L-049 is purchased for tourist-class services from California Hawaiian Airlines and is registered on December 24.
North Atlantic boardings climb to 8,000, a number that will remain level each year through 1957. Overall, 28,801 passengers are transported and 900 tons of freight flown; however, a $492,000 net loss is suffered.
The new Constellation enters service in early spring 1954, allowing transatlantic flights to increase to thrice weekly in July.
Although passenger boardings increase to 30,277, freight is off by 100 tons and the net loss skyrockets to $1,137,000.
On June 22, 1955, El Al follows British Overseas Airways Corporation (BOAC) as the second carrier to order the Bristol 175 Britannia turboprop, when three are requested from Britain.
While nearing the Bulgaria and Greece border on a London-Tel Aviv flight via Vienna on July 27, Flight 402/26, an L-049 with 7 crew and 51 passengers, mistakes Bulgaria’s Struman Valley for the regular Var-dar Valley route, is attacked by Bulgarian MIG-15s, and shot down. Although the Israeli government loudly protests, it will be years before a tiny sum in compensation is paid. Bulgaria does, however, express regret that its air force had exhibited “a certain haste” in closing with the Constellation. Later in the year, the Israeli Ministry of Communications will release the Report of Commission of Inquiry on the Shooting Down of El Al Aircraft 4X-AKC on 27 July 1955 (Jerusalem: Government Printer).
In October, a temporary replacement L-049 is leased from South African Airways (Pty.), Ltd. for service on the Johannesburg-Tel Aviv route; it is joined by a DC-6B leased from Alitalia, S. p.A. for flights from Tel Aviv to London via Rome and Paris.
In November, two L-049s are purchased from Cubana (Compania Cubana de Aviacion, S. A.).
The final purchased L-049 is registered on December 16 and, late in the month, a DC-6B is leased from Union Aeromaritime de Transports, S. A. (UAT) for service on the South African run.
Bookings increase to 34,462; however, cargo drops to only 500 tons and the net loss increases to $1,989,000. Airline employment stands at 1,082.
The final L-049 enters scheduled service in February 1956 and is employed to start new routes to Amsterdam on March 5 and Brussels on March 8.
In March, a DC-6B leased from Sabena Belgian World Airlines, S. A. replaces that chartered from Union Aeromaritime de Transports, S. A. (UAT) on the Johannesburg route.
El Al Israel Airlines, Ltd. is the only airline to fly passengers to and from Israel during the October Suez War.
To get around landing prohibitions instituted by many African nations following the Suez War, the carrier rents a DC-6B and a DC-7C from Sabena Belgian World Airlines, S. A. and begins flying them Tel Aviv-Benghazi-Kano-Leopoldville and Tel Aviv-Tunis-Fort Lamy-Brazzaville-Johannesburg.
In November, Efraim Ben-Arzi succeeds Aryeh Pincus as president.
Passenger traffic accelerates to 36,671, cargo is up 100 tons, and the employee population is up to 1,136; the net loss, if not as large as that of 1955, is still huge at $1,367,000.
Employed in training since July 1953, the carrier’s Airspeed AS-65 Consul is withdrawn on February 18, 1957.
The long-awaited Bristol 175 Britannias, Britannia 313s, arrive at Tel Aviv on September 5, October 19, and November 29, respectively. The first round trip Tel Aviv-New York proving flight is completed on October 30. On the return leg of another proving flight, New York-London, on December 8, a record journey time of 8 hrs. 3 min. is recorded.
In the longest nonstop flight by a commercial airliner to date, a Britannia 313 makes a direct 6,200-mile New York-Tel Aviv proving flight in just over 15 hours on December 18-19. The first scheduled Britannia service Tel Aviv-London-New York is launched on December 22; the return flight results in another speed record—this one for scheduled commercial transatlantic flight—once again, 8 hrs. 3 min.
During the year, bookings rise to 38,004, freight is level, employment drops to 1,084, and the net loss improves to $733,000.
An El Al Britannia returning to Tel Aviv from New York on January 8, 1958, establishes a new speed record of 7 hrs. 44 min. New York frequencies are increased, with all three Britannias on the North Atlantic by January 16.
Displaced by the turboprops, company L-049s are assigned to European service, including the new destinations of Cologne on February 24 and Munich on March 25.
A fire at Lod Airport on April 2 badly damages an L-049, which is later repaired.
On July 17, Bristol rents a fourth Britannia to El Al.
Enplanements for the year are 46,384 (19,000 on the North Atlantic), cargo is up by 100 tons, and the employee population grows to 1,394; the net loss declines to $684,000.
The lease for the fourth Britannia expires on March 6, 1959 and the aircraft is returned to its manufacturer. Britannias open a new route to Tehran in August.
Despite significant growth in passenger boardings to 69,879 (25,000 transatlantic), a 300-ton increase in cargo, and a boost in airline employment to 1,517, the net loss skyrockets again, up to $1,136,000, as big invoices for the Britannias come due.
The carrier’s first two Boeing 707-458s are ordered on March 25, 1960. As part of Operation Garibaldi, a company Britannia 313 lands at Buenos Aires on May 20 with Israel’s unsuspecting UN ambassador Abba Eban and a delegation to participate in Argentina’s independence day celebrations. Co-opted by the Mossad, a member of the delegation feigns illness and is taken to hospital. Meanwhile, an El Al Israel Airlines employee has spent weeks ingratiating himself with airport officials. Thus, on May 21, commandos are able to quickly smuggle aboard one Rikardo Klement in the faking delegate’s place and take off at 12:05 a. m. for Israel with a man who is, in fact, the infamous Holocaust architect Adolph Eichmann.
In addition to their North Atlantic frequencies, the airline’s Britannia 313s are, by summer, also flying all European services, except for two L-049 flights to Istanbul and Nicosia. The DC-6B leased from Sabena is returned and replaced on the South African run by a DC-7C chartered from the Belgians.
Arrangements are made with the Brazilian carrier VARIG Brazilian Airlines (Viacao Area Rio Grandense, S. A.) for a six-month lease of a B-707-441, which arrives at Tel Aviv in December.
Passenger traffic increases to 95,533 (32,000 on the North Atlantic); freight and employment remain level and for the first time since 1952, a net profit is reported—the same net profit as in 1952—$12,000.
The leased Brazilian airliner allows El Al to offer its first pure-jet service Tel Aviv-New York on January 8, 1961. The frequency is increased to twice weekly on February 19. Also during this month, a third B-707-458 is ordered.
The first two purchased 707-458s are delivered to Tel Aviv on April 22 and June 7, respectively. The VARIG Brazilian Airlines (Viacao Area Rio Grandense, S. A.) plane is returned in May, the same month two B-720-058Bs (B-720Bs) are ordered.
On June 15, during the return leg of its maiden transatlantic flight, a company B-707-458 establishes three world records for speed, distance, and service. By summer, six weekly flights are offered by jet and two by turboprop.
Following conclusion of the annual tourist season, the last two Constellations are withdrawn on October 15.
North Atlantic enplanements soar to 43,000, as overall bookings climb to 116,502; freight doubles to 2,000 tons, the number of employees is boosted to 1,644, and the company’s largest ever net profit ($871,000) is recorded.
On February 6, 1962, the four surplus L-049s are sold to the new U. K. tour airline Euravia, Ltd. The third B-707-458 is delivered on February 13, the same day two more Constellations are sold. Additionally, the first of three Britannia 313s is leased to British United Airways, Ltd. (BUA); the second and third turboprops are chartered to the same British independent in March.
The DC-7C lease with Sabena Belgian World Airlines, S. A. expires and the aircraft is returned to Brussels.
The company’s thirteenth year is marked as its “Bar Mitzvah” year.
On March 23 and April 30, respectively, the two B-720-058Bs arrive. The first is placed on the route to London via Zurich on April 1 and on June 14 the second takes over the Johannesburg service via Tehran and Nairobi. The long-legged new jetliners allow Israel’s flag carrier to avoid flying over the airspace of hostile Arab states.
During the summer, jets are introduced on several of the European routes.
Transatlantic bookings rise to 56,000, with systemwide enplanements up to 171,068. Freight grows by 1,000 tons and the number of employees increases by almost 400. A net profit of $616,000 is recorded.
Wildcat strikes by flight crews between March 6 and September 15, 1963 cut the number of flights available. A Britannia leased to British United Airways, Ltd. (BUA) is operated by the British carrier on behalf of El Al at the beginning of the job action; the turboprop is returned to Israel on April 8.
Passenger traffic grows to 206,655 and freight doubles to 6,000 tons; 150 new employees are hired, but the labor actions force a $946,000 net loss.
El Al’s first Britannia 313 is sold to Globe-Air, Ltd. of Switzerland on April 3, 1964.
Jet service is inaugurated to Rhodes on June 30.
A second Britannia leased to British United Airways, Ltd. (BUA) is
Returned on September 27, even as El Al orders a fourth B-707, this time a Dash-358B.
Scheduled flights to Copenhagen begin on October 11.
Passenger boardings incline upward to 231,376, freight is level, and only 80 employees are added; increased traffic, labor peace, and lease payments bring the company a record $1,096,000 net profit.
One of the three remaining Britannias is sold to Globe-Air of Switzerland on March 8, 1965. New offices are opened in various cities, including Jerusalem, and the head office at Lod Airport is refurbished.
On March 15, Greece approves a $2.5-million charter deal that will allow El Al to fly about 7,000 AHEPA members from the U. S. to Athens for a convention; the operation will require 42 round trips and will be the largest and longest airlift in airline history to date.
A new seven-year development plan is unveiled. From May-Novem-ber, a B-707-373C is leased to El Al from World Airways for use while the fourth purchased Boeing is awaited.
A total of 288,336 passengers are carried, cargo traffic is up by 1,000 tons, employment grows slightly, and the net profit falls to $243,000.
On January 1, 1966, President Efraim Ben-Arzi succeeds Moshe Carmel as board chairman and Shlomo Lahat is named president.
The new B-707-358B is delivered on January 7; however, due to a crew strike, the plane is immediately chartered to The Flying Tiger Line, which in turn wet-leases the aircraft back to El Al with a Flying Tiger crew.
On April 22, a Britannia is sold to British Eagle International Airlines, Ltd. Another B-707-358B is ordered in July. On October 3, The Flying Tiger Line charter is concluded and the B-707-358B is reregistered with El Al.
Freight grows by 1,000 tons, 200 more workers are recruited, bookings rise to 298,206, and the net profit rises to $602,000.
The last Britannia is disposed of to Air Spain, S. A. in February 1967, making the carrier the first pure-jet airline in the Middle East.
On February 2, the B-707-358B requested the previous year is delivered.
Between May 14-24, the airline transports 11,500 tourists from Israel.
Airline operations are significantly interrupted by the Arab-Israeli Six-Day War. When war erupts on June 5, El Al is the only carrier linking Israel with the rest of the world, including New York City. On June 12, a day after war’s end, a B-720-058B makes a proving flight Tel Aviv-Nairobi. Five days later, on June 17, the carrier is able to report that its airliners are now flying over the Sinai for the first time, saving seven hours on flights to Johannesburg.
In mid-summer, Chairman Ben Arzi and President Lahat resign their posts following a charter debate with the Ministry of Tourism and are replaced by Moshe Carmel and Mordechai Ben-Ari.
In the fall, a Handley Page Herald 200 is wet-leased from Arkia Israel Airlines, Ltd. and placed on the Nicosia service.
Passenger boardings climb to 314,404 and cargo is up another 1,000 tons; the workforce is increased by 200 and the net profit is $338,000.
The workforce in 1968 is 3,136.
A B-707-349C is wet-leased (with crew) from The Flying Tiger Line on April 1 and employed to open new services to Geneva on April 1 and Nice on April 5.
El Al becomes the first airline in the world to order the B-747B.
The wholly owned airline catering subsidiary Teshnet is formed.
Three Popular Front for the Liberation of Palestine (PFLP) gunmen hijack one of the carrier’s B-707-458s, Flight 426 en route from Rome’s Fiumicino Airport for Lod, Israel, with 10 crew and 38 passengers, to Algeria on July 23. Israel is asked to surrender 15 Palestinians and publicly vows to protect its airline by increasing security. Ten Israeli women and children are released on July 28, while the others will be held for another month. Israel refuses to meet the demand by releasing any Arabs. The Stratoliner will be returned to Lod on August 31 via Rome, where it is taken by a French crew provided by Air France.
The Flying Tiger Line jetliner leased in April is returned; however, a second is wet-leased in August to replace the one stolen. The new charter is employed to open August service to Bucharest, the carrier’s 21st destination.
A B-720-048 leased from Aer Lingus Irish Airlines, Ltd. begins a six-month charter in September.
On December 26, two PFLP gunmen attack and set fire to Flight 253, a B-707-358B with 47 passengers, taxiing on the ground at Athens in preparation for takeoff and the continuation of a service that had originated in Tel Aviv and that is continuing on to Paris and New York. One passenger is killed and another is wounded; the Stratoliner suffers significant damage, including the loss of one engine. Although both terrorists are captured and will be imprisoned, Israeli heli-borne commandos will attack Beirut International Airport two days later and destroy a dozen Lebanese airliners in retaliation.
At year’s end, The Flying Tiger Line lease expires.
Traffic climbs to 364,360 passengers and cargo is up 2,000 tons. Despite the terrorist incidents, this first complete year after the June War brings a record net profit of $2,220,000 on revenues of $52 million.
A B-707-358B is received on January 22, 1969.
On February 18, Flight 432, a B-720-058B, is attacked by four PFLP gunmen on the taxiway at Zurich as it is preparing to take off for the continuation of a service from Tel Aviv to Amsterdam. A trainee pilot is killed, while an armed passenger, standing in an open doorway, returns fire and kills one of the pirates. The aircraft is substantially damaged. The three surviving terrorists are all captured and will receive 12-year prison terms.
The first B-707-358C convertible passenger and cargo airliner is delivered on May 15.
On September 8, the PFLP attacks the Brussels office; similar assaults take place during the month at Athens, Istanbul, and Tehran.
The first all-cargo Tel Aviv-New York via Paris flight is made by the B-707-358C on September 28.
A total of 13,000 tons of cargo and 464,915 passengers are transported on the year and a net profit of $1.9 million is banked.
A second B-707-358C is delivered on January 28, 1970.
An El Al passenger bus at Munich Airport is attacked by PFLP gunmen on February 10 (two dead).
In April, service is started to Addis Ababa.
On September 6, as part of a PFLP conspiracy to hijack several Western airliners, two terrorists attempt to capture Capt. Uri Bar-Lev’s Flight 219,a B-707-458 with 158 passengers and en route from Tel Aviv to New York. In the ensuing gun battle, one hijacker is killed and his accomplice, a woman, is captured while a steward and two passengers are wounded. As she is being taken down, the female drops a hand grenade; only a faulty spring keeps the bomb from exploding. The plane diverts to London (LHR) for assistance. El Al facilities at Athens are strengthened two days later following the arrest by police of two Lebanese men after explosives are found in their hotel room.
Over 1,000 ground service personnel strike the company at Tel Aviv on September 20, with half returning to work the next day.
The crew of the B-707-458 that brings Prime Minister Golda Meir to the U. S. on October 25 reports a near miss with an Israeli fighter over Tel Aviv during takeoff.
The company settles with its Tel Aviv ground personnel on November 7, bringing an end to their work stoppages.
The employee population is now 3,883. Enplanements grow slightly during the year to 469,001 but cargo is up by 5,000 tons. The net profit is $1.4 million.
Scheduled service to Montreal via Amsterdam is inaugurated on March 28, 1971; two days later, Marseilles becomes a destination, replacing Nice.
The first B-747-258B is delivered at Tel Aviv on June 2 and is inspected by Prime Minister Meir and other VIPs the next day. It is placed, five days later, on the Tel Aviv-London-New York route. On November 22, a second B-747-258B is received and it, too, is immediately assigned to the North Atlantic.
At year’s end, the fleet comprises 2 Jumbojets, 8 B-707s, and 2 B-720-058Bs. A second Jumbojet is delivered later in the year.
Enplanements soar to 520,770 and cargo is up to 21,000 tons; the net profit falls to $300,000.
A 24-hour strike by maintenance workers on January 16, 1972 halts some of the line’s flights. The same personnel stage a two-day workout at Tel Aviv between April 10 and 12. Between August and September, a B-707-321 is leased from British Midland Airways, Ltd. while another B-747 is ordered.
Meanwhile, on August 16, two Arabs, A. Zaid and M. Ali Hasham, give a record player (with a concealed bomb inside) as a gift to two British women, R. Watkin and A. Walton, vacationing in Rome. The women board an El Al B-707-458 flight for Tel Aviv and, just after takeoff, the bomb explodes, injuring 4 of the 148 aboard. The aircraft returns safely to Fiumicino Airport; Zaid and Hasham are arrested by Rome police four days later.
En route from Tel Aviv to New York on September 15, a B-747-258B makes an emergency landing at Rome after experiencing engine trouble.
Company officials and French police report that a bomb alert will delay a Jumbojet at Paris for an hour on September 28; no explosive is found. The next day, El Al security officials reveal that passenger S. Lifavitzky had disclosed to them that, shortly before boarding, she had been approached by a girl at Paris (ORY) and offered $100 to take a transistor radio to Tel Aviv. Passenger traffic rises to 678,920 and freight is up by 4,000 tons. The net profit falls to only $3,000.
The employee population in the twenty-fifth anniversary year of 1973 is 4,900.
A strike at Tel Aviv by maintenance workers on February 19 forces the carrier to cancel all of its outgoing flights.
Between March 4 and March 7, Iraqi national N. D. Al-Jawari is sought by U. S. authorities on charges of attempting to blow up the El Al terminal at New York (JFK). Also on March 7, police defuse a bomb in the same terminal.
Two vehicles carrying National Arab Youth Organization gunmen smash through the gate at Cyprus’s Nicosia International Airport on April 10 to attack an El Al airliner on the ground; Israeli security personnel return fire killing one commando and wounding two others. Boeing’s 200th delivered Jumbojet is a B-747-258B provided to El Al on April 18. It is employed to launch the first scheduled nonstop service Tel Aviv-New York on April 29, at that time the world’s longest duration nonstop civil route.
Unduplicated mileage flown by the airline is now 28,420.
Destined for New York, diamonds worth more than $100,000 disappear from a company airliner during a July 18 flight between Tel Aviv and London.
Italian police, on September 5, raid an apartment that an Arab had rented for a month at Ostia, near Rome, and seize two Soviet-made, lightweight launchers for ground-to-air missiles. Italian security sources suggest that the missiles would have been fired at an El Al jetliner landing or taking off from nearby Fiumicino International Airport.
Prior to the Yom Kippur War, service is inaugurated to South America over a mid-Atlantic route to Buenos Aires via Paris and Monrovia. When the Yom Kippur War becomes one of attrition after October 9, the company’s fleet is employed on airlift flights and, as in 1967, is the only air link to the outside world. Something over 5,500 tons of supplies are brought to Israel before the cease fire. In November, service to Addis Ababa is suspended.
Systemwide passenger traffic is up to 689,564 and 30,000 tons of cargo are carried; despite the conflict, the net profit climbs to $243,000.
Airline employment is 4,850 in 1974.
Mechanics, members of the IAM, go out on strike against the carrier at New York (JFK) on January 5. The job action is settled by mediated agreement on January 15.
During the Cypriot-Turkish conflict of July, El Al is again the only airline flying in and out of Israel.
Transport Minister Gad Yacobi threatens to shutdown the carrier on December 27 if maintenance crews refuse to end their slowdown within 24 hours; the workers fail to comply and airline operations halt.
Passenger boardings swell to 756,887 this year and cargo climbs to
33,000 tons.
The workforce grows to 5,128 in 1975.
The nine-day-old slowdown by maintenance workers, which had caused suspension of operations the previous December 28, ends on January 4.
Two men fire bazooka rockets at a B-707-358B at Paris (ORY) on January 13; the projectiles miss the Boeing, but hit an Inex-Adria DC-9-32, causing minor damage. The attackers, members of the Mohammed Boudia Commando, escape by car.
On December 31, a fourth Jumbojet is delivered, a B-747-258C, the carrier’s first combi. Strikes plague the carrier during the year, keeping freight traffic level and allowing enplanements to grow to only 759,943. A net loss of $79,000 is suffered.
Employment in 1976 is reduced 5.5% to 4,845 and orders are placed for 5 additional Jumbojets. The new B-747-258C begins dedicated allcargo service during the first week of January. On January 16, the first computerized reservations system, CARMEL, comes on line.
Just one hour before a B-707-358B with 110 passengers is scheduled to land at Nairobi Airport on January 18, Kenyan police arrest three Palestinians and the West German terrorists Brigette Schultz and Thomas Reuter. They are hiding in wait with two Soviet-made SAM-7 shoulder-fire missile launchers, preparing to shoot it down. Covertly removed to Israel, the Germans are secretly tried, convicted, and imprisoned.
The Entebbe hijacking and rescue of passengers, largely Jewish, aboard an Air France airliner occurs in July, after which stringent new airline security measures are adopted atop those already in place.
The same month Cargo Air Lines, Ltd. (CAL) is registered; it is required to lease its aircraft from El Al.
Four die and 20 are wounded in the attempted hijacking of a B-707-358B by PFLP members at Yeslikoy Airport, Istanbul, on August 11. All of the would-be pirates are taken into custody by Turkish police.
B-707-358C service to Mexico City via Amsterdam and Montreal is initiated on November 9.
Passenger boardings climb to 767,745, while freight accelerates by
1,000 tons; the net loss skyrockets to $1.2 million.
On January 13, 1977, a B-747-273C is leased for two months from World Airways.
Engineers and technicians strike, disrupting services on February 18 and May 1; meanwhile, on March 1, the Boeing B-720-025B Aline is chartered for six months from Trans-European Airways.
A B-747-124SF, formerly flown by Continental Airlines and the Iranian Air Force, is acquired on June 21 and a B-747-123F is leased for six months from The Flying Tiger Line on August 15.
During the year, a B-707-329 is leased from Israel Aircraft Industries.
Service is started to Lisbon in September and, on October 2, the wholly owned charter subsidiary Sun d’Or, Ltd. (originally El Al Charter Services) is formed.
Following Egyptian President Sadat’s November visit, Prime Minister Menachem Begin flies to Cairo aboard a specially outfitted El Al B-707-358C.
Also in November, President Ben-Ari succeeds Moshe Carmel as chairman with Mordechai “Motti” Hod becoming president.
Former Israeli Air Force fighter pilot Capt. Hillel Alroy is chosen to fly the El Al press plane from Tel Aviv to Abu Suweir military air base at Is-mailia, Egypt, for the Begin-Sadat summit meeting on December 15.
Enplanements rise to 964,507, freight is up 1,000 tons, airline employment grows to 5,260, and a net profit is registered, $300,000.
The workforce in 1978 is 6,121.
A renewed U. S.-Israel bilateral air treaty is signed.
Anew B-747-258C arrives at Tel Aviv on June 17, allowing the leased The Flying Tiger Line B-747-123F to be returned in July.
Eighteen members of an El Al crew, who survive an Arab terrorist attack in London while riding on a bus to their hotel, return to Tel Aviv on August 22. El Al’s President Hod criticizes the U. K. for failing to provide armed escorts for his crews and for refusing to allow his security men to keep their weapons after arrival in the U. K.
The Boeing 720B leased from Trans-European Airways in 1977 is rechartered in September and October.
In December, El Al begins to evacuate Jews and others from Tehran.
Cargo swells 29.5% to 49,000 tons and passenger boardings jump 15.2% to pass the million mark for the first time (1,089,910). An operating loss of $45 million is suffered, although $10,000 in net gain is realized.
To assist in the Tehran evacuation, a DC-8-63CF is leased for three months from Airlift International on January 17, 1979.
El Al suspends service to Tehran on February 10.
A B-747-258F is accepted on March 19.
On April 1, service is inaugurated to Chicago and Miami and that to Mexico City is rerouted via Rome and New York.
President Sadat and Prime Minister Begin, in a joint April 5 statement, announce the establishment of reciprocal commercial air services between Egypt and Israel.
An order is placed for two B-767-200ERs.
Twelve persons are wounded in the abortive April 16 attempt by a Palestinian guerrilla group to take over a company jetliner at Brussels.
An unprofitable destination, Mexico City is dropped from the route network in October. As the result of continuing loss, Ralphael “Rafi” Harlev, former deputy of the Israeli Air Force, becomes acting president on July 3; Chairman Ben-Ari is replaced by Avraham “Buma” Shavit on November 13.
New agreements are reached with company pilots and flight attendants in December and only 90 employees are laid off.
Another B-747-258B is delivered on December 21.
On the year, freight drops by 1,000 tons and passenger boardings rise to 1,126,510. Still, expenses led by fuel costs cause a net loss of $23.9 million.
Technical difficulties and a failure to complete arrangements prevent the inauguration of reciprocal airline services to Egypt in January 1980. A substantial cost-cutting program is, however, undertaken; cost reductions, new marketing strategies, and nearly 600 staff cuts are effected.
Company officials receive loud protests on February 18 when they announce plans to change stewardess uniforms.
A B-707-458 is sold to Zaire Aero Service, S. A., also in February.
On March 3, regularly scheduled, roundtrip service is inaugurated to Cairo, the only Arab nation into which El Al flies.
Also in March, the carrier terminates its association with Arkia Israel Airlines, Ltd., the domestic airline.
Itzhak Shander is named acting president on April 1 and orders are placed for two more B-767-258s and two B-737-258As.
Maintenance workers take an “organized holiday” on May 25 over their wage dispute with the company, grounding all departing flights from Tel Aviv.
An October 15 consultant’s report recommends additional layoffs, leading to additional unrest. In October, two B-737-2M8s are leased for two years from Trans-European Airways, S. A.
A new labor agreement is signed on December 23 resulting in many saved jobs. Freight traffic increases to 61,000 tons and passenger traffic increases to 1,250,602. This year’s net loss is the worst yet, $98.7 million.
Airline employment in 1981 stands at 4,928.
A bomb explodes in the carrier’s Istanbul office on May 18, but no injuries are reported. In July, the carrier’s B-747-124F is wet-leased to AVIANCA Colombian Airlines (Aerovias Nacionales de Colombia, S. A.).
Among concessions made by Prime Minister Begin on August 4 to minority religious parties, whose support he needs to form a government, is the eventual cessation of El Al flights on the Jewish Sabbath, a move that will cost the airline as much as $50 million per year.
In October, scheduled service is begun to Eilat. Cargo is up by 5,000 tons but enplanements drop to 1,178,350. On revenues of $443 million, the loss is $47.4 million.
The carrier suffers a year of turmoil in 1982.
On April 23, a B-707-331B purchased from Trans World Airlines is delivered.
On May 2, the Israeli cabinet decides, in principle, that El Al cannot operate in Israel on the Jewish Sabbath or other Jewish religious holidays.
The first Trans-European Airways, S. A. B-737-2M8 is returned in June, the same month in which Boston joins the route network.
The army’s invasion of Lebanon in July hurts the tourist market. Also in July, the AVIANCA Colombian Airlines (Aerovias Nacionales de Colombia, S. A.) lease is fulfilled and the Jumbofreighter is returned.
Company employees and other labor groups demonstrate after a parliamentary committee approves by an 11-10 vote the cabinet’s decision the previous May to ground the carrier on the Sabbath and holidays. Four demonstrators are hurt and eight arrested after August 25 scuffles with police. In solidarity with El Al employees actions against the government’s grounding of flights on the holy day, General Labor Federation airport workers Chairman Shmuel Azulai announces on August 30 that his workers will strike Ben Gurion International Airport at Tel Aviv on the Sabbath. El Al employees now fear the loss of their jobs.
On September 2, the Supreme Court bars the government from carrying out its decision to ban El Al flights on the Sabbath and Jewish holidays. The ban will, however, be instituted. As the result of a steward’s strike, the carrier is shut down on September 12 and placed into financial receivership; it will not fly passengers for the remainder of the year.
The second Trans-European Airways, S. A. B-737-2M8 is returned on September 30.
Israel’s unions begin a 24-hour general strike on October 14 to protest the government’s ultimatum that the carrier will be sold or liquidated unless its workers accept management’s principles for restructuring the company. Five days later, on October 19, the airline’s directors ask the government to liquidate the airline because its employees give only limited support to management’s reorganization plan and refuse a contract with those terms, which include significant layoffs.
Government tourism officials on October 24 cite the carrier’s strike as a major factor in a recent sharp decline in the number of visitors to Israel. However, on the very same day the Israeli cabinet backs El Al’s directors in their decision to dissolve the airline. In protest of the government’s decision to liquidate the airline unless the workers accept a reorganization under which many of them would be laid off, El Al employees force the closing of Ben Gurion International Airport on October 27 by blocking its runways with jetliners. The airport reopens the next day after the government agrees to talk with worker representatives.
El Al’s shareholders, on November 25, vote to liquidate the strike-disrupted airline, now with a deficit of some $300 million. Two days later, the employees obtain a temporary injunction barring management from putting the carrier into voluntary liquidation as a prelude to the establishment of a new airline.
On December 5, Jerusalem District Court Judge Yaakov Bazak appoints Amram Blum official receiver and provisional liquidator. The Histadrut Labor Federation, on December 28, signs a new labor agreement on behalf of El Al’s employees, but legal obstacles prevent an immediate reversal of the liquidation order. Since 1979, the company has endured a total of 69 strikes.
Passenger bookings are still up, to 1,254,703 and freight climbs by
2.000 tons. This year the loss is $32.6 million.
Following new labor agreements and with renewed government support, Judge Bazak reverses his liquidation order on January 12, 1983, and, under Acting President Harlev, preparations are made to resume passenger and cargo flights. As part of the arrangement, the workforce is reduced 20% during the year to 4,830. The government drops its plans to sell the airline to private concerns on January 17, the same day the carrier resumes flying after striking pilots return to work under court-sanctioned threats of dismissal.
The two purchased B-737-258s are delivered next day.
The first B-767-258ER is delivered on July 12.
A B-707-328B is leased for six months from TRATCO on July 15 and Madrid becomes a new destination in August.
The second B-767-258ER arrives at Tel Aviv on September 13.
By the end of September, the airline is operating 95 frequencies per week to 26 destinations.
Passenger boardings for the June 30 reporting period have declined to
1.017.000 and freight is off by 2,000 tons. The largest net loss in company history is recorded: $123.3 million.
Airline employment falls in 1984 to 4,123 and a machinist’s strike begins on March 16, with support from American labor.
Two B-767-258ERs are delivered (March 26 and June 1). On March 26, one of those received in 1983 flies the 5,800 miles from Montreal-Tel Aviv with 90 passengers aboard, becoming the first twin-engine aircraft to fly a North Atlantic commercial passenger service under the “60-minute Rule” Extended Range Twin-Engine Operations (ETOP) requirement of the U. S. FAA. The inaugural flight requires 10 hrs. 52 min.
On June 17, scheduled service is undertaken to Los Angeles and renewed to Chicago.
Passenger boardings this year jump 15.9% to 1,311,000, and freight skyrockets 42.8% to 616.2 million FTKs. Although expenses are $448.9 million on revenues of $434.6 million, the operating loss is down to $14.3 million and a net profit of $1.6 million is realized.
The workforce remains level in 1985. The fleet now comprises 6 B-707-320s, 2 B-737-258As, 8 B-747-258Bs, and 4 B-767-258ERs.
The B-767-258ERs are placed on the Los Angeles and New York runs in February. Twice-weekly service to Manchester, England, begins on April 22.
On May 15, the machinist union strike enters its 15 th month. As the result of a growing strain between the Israeli and U. S. labor movements, Prime Minister Shimon Peres intervenes in an attempt to force a settlement.
Enplanements accelerate 5.3% to 1,515,000 and cargo jumps 10.2% to 678.93 million FTKs. The net loss is $9.7 million.
In 1985, the carrier ranks as the 17th largest airline in the world in terms of freight haulage and 17th in terms of productivity.
Service is launched to Toronto on April 2, 1986 as an extension of the Montreal route.
On April 17, a carefully concealed bomb, made up of 10 pounds of plastic explosive, is discovered at London (LHR) by El Al security men in a bag carried by an Irish woman, Anne-Marie Murphy. She is about to board a Jumbojet scheduled to leave for Tel Aviv as Flight 16, with 340 passengers. The plane departs without her.
The next day, British police arrest Mrs. Murphy’s fiance, Jordanian Nezar Hindawi, after she tells them that it was he who took her to the airport and gave her the bag. Murphy is released on April 19 after two days of questioning, but Hindawi is held. On April 21, Hindawi’s brother is arrested in West Germany in connection with an April 5 discotheque bombing, which triggers an American air raid on Libya.
A tentative agreement is reached between the machinists and the airline on May 30 after Prime Minister Peres and AFL-CIO President Lane Kirkland intervene to end the job action. Acceptance of the agreement is ratified by union membership on July 14.
As a conveyer belt is loading suitcases and other luggage into a B-747-258B being prepared at Madrid’s Barajas Airport on June 26 for a service to Tel Aviv, a bomb in one of the pieces of baggage explodes; a total of 13 people are injured, three seriously.
Nezar Hindawi, the Jordanian involved in the April bombing plot, is convicted in London on October 14 and sentenced to 45 years in prison. The same day, the British government, charging there is evidence of Syrian complicity in the failed attempt, breaks off diplomatic relations with Syria, a move reciprocated the same day.
A B-707-458 is sold to Deutsche Lufthansa, A. G. for museum purposes on November 20.
Passenger boardings climb 4.7% this year to 1,511,500, but cargo is down by 1.3% to 670.1 million FTKs. The loss is $6.7 million.
In terms of traffic and profit, 1987 is a good year for the carrier.
The company begins to target churchgoers in the U. S. for trips to the Holy Land, advertising tour packages on Pat Robertson’s The 700 Club.
A B-747-238B, formerly flown by Qantas Airways (Pty.), Ltd., is delivered to El Al on November 16 and the first B-757-258 arrives on November 25; it is placed in service to Brussels on December 20. Meanwhile, the second B-757-258 arrives at Tel Aviv from Seattle on December 17.
Passenger boardings for the year accelerate 13.3% to 1,707,366, freight soars to 139,000 tons, and, for the first time in a decade, a net profit is recorded: $15.2 million atop a $34.9-million operating gain. These figures are made on revenues of $567 million.
After flying its last service between Madrid and Tel Aviv, a B-707-358B is sold to Jet Aviation Components and Aircraft on April 15, 1988.
On May 7, a second B-747-238B is purchased from Qantas Airways, (Pty.), Ltd.; it will be leased back to its former owner for six months in September.
Also in May, the carrier records its longest nonstop flight, the 7,000mi. Los Angeles-Tel Aviv service, traveled in 13 hrs. 41 min.
A third B-757-258 is delivered on July 19.
During the year, an agreement is signed with LOT Polish Airlines, S. A. for pooled service to Poland. Following the completion of an Israel-Hungary bilateral agreement, special nonstop flights to Budapest begin on November 12.
Airline employment is now 4,174. Freight grows to 146,000 tons, enplanements are level, and a second consecutive net profit ($18.2 million) is reported.
Aeroflot Soviet Airlines and El Al officials secretly explore cooperation in January 1989. Service is started to Stockholm on March 13, Budapest on March 27, and Warsaw on March 28. On April 11, operations are launched to Zagreb.
In late June, a B-757-258 brings injured to Israel from Yerevan, Armenia.
In August, the government announces plans for the airline’s privatization.
Direct scheduled flights between Eilat and Europe, without an intermediate Tel Aviv stop, are expanded in October.
In the fall, an agreement is reached with the U. S. new entrant, North American Airlines, whereby the American carrier would act as an El Al feeder, employing two B-757s leased by the Israelis.
On November 18, the carrier closes off the transit route for thousands of Soviet Jews seeking to “vacation” in Israel because of a landing rights dispute with Cyprus.
In December, Aeroflot Soviet Airlines and El Al sign reciprocal authority agreements.
A total of 1.7 million passengers are flown on the year, along with
165,000 tons of cargo. Airline employment is 4,125 and the net profit is $24.6 million.
On January 1, 1990, with the Cyprus impasse resolved, the first charter flight is made to Moscow to begin airlifting Russian Jews to Israel in Operation Exodus.
On January 22, North American Airlines begins New York-Los Angeles B-757-230 flights pursuant to its agreement with El Al. In July, it is announced that El Al will purchase 24.9% shareholding of Daniel McKinnon’s U. S. feeder, in a purchase worth $400,000.
The airline is the major beneficiary of Mideast service suspensions by other carriers following Iraq’s August 2 invasion of Kuwait.
On October 21, in the face of Mideast turmoil, the company introduces a television advertising campaign that relies on historical footage concerning the Zionist movement.
Tel Aviv to Prague and Berlin flights begin, also in October.
With the tourist season over, the company is able to shift some emphasis to cargo; two B-747-258s are converted to combis.
As a result of the crisis in Kuwait, the Israeli operator ends up the year with a huge 76% increase in passenger boardings to 3,109,357. Freight also does well, climbing 71.4% to 1.54 billion FTKs. A net $14.1-million profit is earned.
Company employment inches downward by 0.4% in 1991 to 3,430 and the fleet now includes 4 B-747-258Bs, 3 B-757-258s, 2 each B-737-258As, B-747-258Cs, B-757-258ERs, B-767-258s, and B-767-258ERs, and 1 each B-707-358C, B-747-124F, B-747-238B, and B-747-258F. Orders are outstanding for two B-747-458s.
During Operation Desert Storm and the Iraqi Scud missile attacks of January and February, most of the fleet is kept away from its Tel Aviv base at night. With traffic down because of the Gulf War, President Harlev, long since confirmed in his post, again targets fundamentalist Christians in the southern U. S., offering them deep discount Holy Land tour packages.
During May 24-25, in Operation Solomon coordinated between the airline and the Jewish Agency for Israel, 14,200 Jews are airlifted to Israel from Ethiopia. Thirty-three company aircraft make a total of 10 flights each into besieged Addis Ababa after U. S. President George Bush personally obtains Ethiopian government permission for the evacuation. One B-747-258C, converted to a special “high density” seating configuration in 12 hrs., lands at Ben Gurion International Airport on the first day with 1,086 refugees aboard, a new world’s record for passengers carried. During the flight, three babies are born aboard, with the births attended by cabin crew and doctors aboard.
Service is initiated to Moscow and St. Petersburg during the summer, while frequencies on other routes are increased. With the decades-old ban on flights over Soviet airspace lifted, El Al officials rush in their quest for routes to Beijing and other Far East destinations.
Business-class seating is increased. A frequent flyer program is established; however, a $35 membership fee is charged and mileage awards must be accrued within a year.
A new 22,000-sq.-ft. cargo terminal is opened at Miami (MIA) in December that allows the carrier to expand its freight business into Latin America.
Customer bookings slip 0.9% to 1,750,670, but cargo is up by 5.8% to 991.48 million FTKs. Revenues increase 12% to $877.6 million and a net profit of $38.9 million is generated atop operating gain of $30.7 million.
The workforce grows 3% in 1992 to 3,533.
It is revealed early in the year that, since 1989, over 400,000 Russian Jews have arrived at Tel Aviv; President Harlev now pledges that the airline will carry immigrants from any point in the world on 12-hr. notice.
Service from New York to Tel Aviv is expanded on March 29 from 8 to 11 weekly nonstops. Scheduled weekly flights begin to Riga (Latvia) and to the Anatolia region of Turkey in March, to Sofia (Bulgaria) in April.
On June 21 the number of frequencies between New York and Tel Aviv reaches 21 and, simultaneously, the route from Los Angeles to Tel Aviv is boosted from three weekly trips to four.
Weekly flights to Baltimore (BWI), Boston, Chicago, and Miami from Tel Aviv begin on June 22.
During the summer, the thrice-weekly roundtrip charter service to Nagoya is converted into scheduled frequencies.
In September, the company enters into a code-sharing agreement with VASP (Viacao Aerea Sao Paulo, S. A.); the Brazilian carrier purchases blocks of seats on El Al return flights between Brazil and Israel.
While climbing away on an all-cargo service to Tel Aviv on October 4, Flight 1862, a B-747-258F with three crew and one passenger suffers the separation from its wing of the No. 3 engine and pylon. As the power plant is falling, it collides with the No. 4 engine, breaking it loose as well. Unable to recover and return to Schiphol Airport for an emergency landing, the Jumbojet crashes into a crowded 10-story apartment complex in the Bijlmermeer section of Amsterdam. All aboard the freighter are killed, along with 47 people on the ground. This is the first crash in the Israeli company’s 44-year history (excluding the L-049 shot down in 1955) and the worst in The Netherlands history.
The British Broadcasting Corporation will report on October 1, 1998, that the freighter was transporting a shipment of the chemical dimethyl methylphosphonate (DMPP) used in building materials and, on a more sinister note, in the manufacture of the nerve gas, sarin. The chemicals, from a Pennsylvania concern, were headed for the Israel Institute for Biological Research in Ness Ziona, near Tel Aviv. Although Dutch government officials were told of the chemical in the shipment, Israeli officials will deny rumors of them. Denials will not be disproved until newspapers in The Netherlands publish the plane’s documents six years later.
The U. S. southwestern market is opened on October 20 in cooperation with North American Airlines. Passengers checked in at Dallas (DFW) receive security and are flown to New York (JFK). There they transfer directly to an El Al flight at the next gate for a final leg to Tel Aviv. The return service operates similarly, in reverse.
Passenger boardings rise 11.8% to 1,950,319 as freight falls 6.1% to 928.15 million FTKs. Revenues swell 6.8% to $937.8 million and the operating surplus is $33.8 million. There is a net gain of $31.5 million.
The employment gains made the previous year are all but lost in 1993 when the payroll is cut 2.9% to 3,430.
The fleet of President Harlev and Vice President-Operation Amos Amir now includes 5 B-757-258s, 3 each B-747-258Bs and B-757-258s, 2 each B-737-258As chartered to Arkia Israel Airlines, Ltd., B-757-258ERs, B-767-258s, B-767-258ERs, and 1 each B-707-358C, B-757-147F, B-757-238B, and B-747-228F leased from Cargolux Airlines International, S. A. Everything having to do with passenger and customer services is combined into a single large department under the leadership of Vice President-Customer Services Daniel Kesten.
Destinations served in North America include New York, Los Angeles, Miami, Montreal, Boston, and Toronto. Flights are also made to the international markets of Amsterdam, Antaly, Athens, Bangkok,
Barcelona, Beijing, Berlin, Bombay, Brussels, Bucharest, Cairo, Cologne, Copenhagen, Johannesburg, Manchester, Marseilles, Moscow, Munich, Nairobi, Paris, Rome, Vienna, Warsaw, Zagreb, and Zurich. As in previous years, many of the regional destinations are offered as continuations from Tel Aviv.
On October 18, the carrier begins to mount special safety cameras on all of its aircraft.
Privatization fails to occur on schedule.
Customer bookings increase 10% to 1,874,000 while cargo jumps 5.4% to 790.93 million FTKs. Net profit falls to $7.7 million.
The number of employees is increased by 3% in 1994 to 3,533 and the first B-747-458 is delivered in April, followed by the second at the end of May.
The U. S. DOT proposes, on June 2, the reduction in the number of El Al flights between New York and Israel in retaliation for the Israeli government’s refusal to allow World Airways to fly the same route.
Transport Minister Yisrael Kessar announces on June 6 that, after the airline is removed from its 13-year-old receivership in October, the government will divest 51% of its stake, as shares will be sold on the Tel Aviv and overseas stock exchanges. The government itself will retain a “golden share” to protect vital state interests while special stock purchase rights will be offered to employees. This scheme is delayed by government bureaucracy.
Plans are also made to extend the route network to New Delhi, Seoul, and Milan and flights begin to Hong Kong.
Late in the year, the company joins with Air Holland Charter, B. V., to form the joint venture charter airline Starling Airlines. Owned 52% by the Netherlands carrier and 48% by El Al, the new entrant will begin flying inclusive-tours to Mediterranean destinations with Air Holland Charter, B. V. aircraft early in the new year.
Passenger boardings jump 15.7% to 2,481,291 while freight rises by 7.8% to pass the one-billion mark at 1.03 billion-ton kilometers. Revenues swell 11.7% to $1.05 billion and operating expenses jump just 10.3% to $1.03 billion. Consequently, an operating gain of $16 million is shown while net profit grows to $14 million.
There is no change in the workforce during 1995.
The receivership ends in February, when Yosei Ciechanover, former chief of the Israeli Discount Bank, is appointed to lead a new board. In addition to the company’s two weekly roundtrips from Tel Aviv to Newark via London, El Al initiates a nonstop service from Tel Aviv to Newark on March 26.
On June 12, weekly nonstop roundtrips commence between Tel Aviv and Chicago (ORD) and Miami. Additional frequencies are initiated to Milan, St. Petersburg, and Los Angeles. The number of weekly B-747-258B flights to New Jersey is increased to four on June 18 with the addition of a second nonstop roundtrip.
During the winter holiday season, flights are offered to Tel Aviv from Atlanta, Dallas, and Orlando via New York (JFK).
Weekly service between Tel Aviv and Tashkent, Uzbekistan, begins on November 1.
Enplanements accelerate 18% to 2,928,804 and cargo continues its climb, up 13.7% to 1.17 billion FTKs. Operating income swells 17.5% to $1.21 billion and a net $15-million profit is recorded.
Airline employment is reduced by 3.6% in 1996 to 3,407.
The all-owned fleet includes 4 B-757-248ERs, 3 each B-747-258Bs, B-747-258Cs, B-747-458s, and B-757-258s, 1 of which is chartered to Arkia Israeli Airlines, Ltd. Also operated are 2 each B-767-258ERs, B-747-245Fs, and B-737-258As, with Arkia also leasing one of the latter, plus 1 each B-727-147F, B-747-238B, and B-767-258.
On March 17, President Harlev resigns over the government’s failure to privatize the carrier. Also in March, Arkia Israel Airlines, Ltd. DHC-7-102s take over El Al’s scheduled flights to Cyprus.
Daily commercial service is inaugurated between Israel and Jordan on May 25 in cooperation with Royal Jordanian Airlines.
When the summer season begins on June 1, the company introduces new weekly nonstop roundtrip frequencies from Tel Aviv to Atlanta,
Orlando, and San Francisco. The company is now the only carrier offering nonstops from Tel Aviv to Miami, Chicago, and Los Angeles.
On July 10, the carrier inaugurates Tuesday over and Wednesday back nonstops between Tel Aviv and Atlanta, just in time for the Summer Olympic Games.
A block-seat and code-sharing agreement is signed with Finnair O/Y in July covering services on a route from Tel Aviv to Helsinki.
During October, Joel Feldschuh, Champion Motors CEO and close friend of the new prime minister, Benjamin Netanyahu, is named president.
On November 1, the company prepares to join with American Airlines in offering dual-designator flights from Tel Aviv to Newark and Chicago and domestic code-sharing on American frequencies beyond those gateways to Miami and Los Angeles. The alliance becomes embroiled in U. S.-Israel politics and is not effected.
Customer bookings dip 1.6% to 2,880,596 but 1.19 billion freight FTKs are operated, a 1.2% increase. On $1.2-billion operating revenues, the previous year’s net gain becomes an $83-million loss. Much of the loss is laid to monetary problems and higher fuel costs.
The employee population is reduced by 2.3% in 1997 to 3,443.
In January, President Feldschuh announces that the airline is in a negative cash flow situation. Consequently, 150 permanent staff are laid off (the first staff cuts since 1982) and a 7% salary increment is postponed.
As the basis for a package tour from Histour-Altiv, El Al in February offers roundtrip fares of $617 to the U. S., $343 for night flights to London, Paris, Amsterdam and Rome, and $409 for day flights to these and a host of other European destinations.
In the wake of the huge 1996 net loss, the board of directors on April 1 orders President Feldschuh to prepare a detailed strategic recovery plan. Components of the plan include improved customer service, a separate profit center for cargo, conclusion of the American Airlines alliance, fleet renewal, and a renewed effort to overturn the 15-year-old government ban on operations during the Jewish Sabbath. The principal arguments against the latter are financial; the company is losing $50 million in profits per year by having a billion dollars worth of equipment idle for 2i‘2 days per week.
World History
