SWISS WORLD AIRWAYS, LTD.: Switzerland (1996-1998). In early 1996, Swissair, A. G. announces that it will drop most of its long-haul flights from Geneva, which is located in the French-speaking western part of the nation, and transfer them to its headquarters base at Zurich.
This announcement has far-reaching impact and sets off a storm of political and citizen protest in Geneva, where the move is viewed as an affront by those seeking to curry favor with the major commercial banks and insurance companies located in the German-speaking center east of the country. The financial resources available in the Zurich area are known to be greater than those in Geneva, which is home to most private banks, many international organizations, as well as the European headquarters of the United Nations.
When it is determined that reversal of the Swissair edict is impossible, SWA is established at Geneva, with financial support from the city council and private investors. The founders make it clear that they wish only to assure appropriate long-haul service into Geneva and are not interested in establishing a competitor to Swissair, A. G.
Their new enterprise is initially known as SWAN: Swiss World Air Network, Ltd. Former ICAO Secretary General Philippe Rochat is appointed chairman, with Swissair pilot Pierre a Porta as president. Plans are announced for the inauguration of scheduled passenger services at the beginning of 1998.
1997-1998 is taken up with achieving certification from the Swiss Office of Civil Aviation at Berne and in establishing the infrastructure, personnel base, and aircraft necessary to start up. SWAN, which now changes its name, proves that it has achieved the financial basis necessary to maintain operations for a year. At the same time, an aircraft serving agreement is signed with British Airways, Ltd. (2), which meets a requirement for the demonstration of a high-level of aircraft maintenance.
In March 1997, former Air Canada, Ltd. executive Peter Leishman, who has also been involved in the launch of the U. K. discount airlines easyJet, Ltd. and Debonair Airways, Ltd., is named president/ administrator/director general, with former President a Porta as his chief deputy.
With a lengthy French-language review of the reasons for formation. as well as other information deemed to be of value, SWA opens a homepage on the World Wide Web in March 1998.
During the spring, arrangements are completed with Ansett for the lease of a Boeing 767-219ER surplus from its partner, Air New Zealand, Ltd. The new entrant hires New York-based Tool Box to handle its advertising, even though that firm has no prior experience with airlines. It also designs a revolutionary frequent flyer program that will employ a scratch-off ticket that instantly rewards passengers.
Painted in a simple white livery with black trim, the long-range New Zealand wide-body is delivered on July 17. On August 19, the company signs a contract to lease four B-737-700ERs, which will begin delivery next February.
Certification is received from the Office of Civil Aviation on September 8. Two days later, six-times-a-week roundtrips are inaugurated from Geneva to Newark (EWR) in the U. S., which serves the New York area.
Jubilant officials now announce plans to launch service in 1999 from Geneva to Washington, D. C. (IAD) and Montreal (YUL) and possibly to Miami, as well as from Berne to Newark.
Citing competition from Swissair, A. G. and launch problems, the new entrant, on November 4, postpones the inauguration of flights between Basel and Newark (EWR).
Negotiations, revealed on November 19, are undertaken with a London bank concerning an initial public offering to be made during the first half of 1999; it will be designed to raise SFr 35 million ($25.2 million). The income would help finance new routes, starting with Geneva to Washington, D. C. (IAD).
Having achieved only a 50% seat occupancy on its New York services, during the last week of November the company makes an urgent bid to raise $2 million to keep itself afloat. When the money is not found, the company’s board orders the carrier into receivership on December 2. Flights are suspended and Director General Leishman resigns from all of his posts.
The company’s vice presidents and a council of administration, headed by the Geneva official appointed to oversee it upon the receivership filing, now act as an interim board to guide what is left of SWA. In a note to shareholders, it is announced that an administrator will be sought to oversee the end of western Switzerland’s airline dream.
On December 24, a group of anonymous shareholders petition the interim board for permission to present a recovery plan. A meeting is set up for January 21, with the understanding that, if it is to maintain its Swiss government operating certificate, the carrier must be back in the air by May. Simultaneously, the Geneva newspaper Le Temps reports that the shareholders seeking to restart the airline are headed by Saudi Arabian businessman Hani Yamani.
SWISSAIR (SCHWEIZERISCHE LUFTVERKEHR, A. G./SWISS AIR TRANSPORT COMPANY, LTD.): Zurich-Flughafen, Zurich, CH-8058, Switzerland; Phone 41 (4) 812-1212; Fax 41 (4) 810-8046; Http://www. swissair. com; Code SR; Year Founded 1931. On March 26, 1931, Ad Astra Aero, A. G. and Baselr Luftverkehrs, A. G. (Basle Air Transport-Balair) merge to create Schweizerische Luftverkehr/ Swiss Air Transport, Ltd., recognized thereafter as Swissair, A. G. Balz Zimmerman and Walter Mittelholzer, formerly of Balair and Ad Astra, respectively, are appointed as joint managing directors, with initial capitalization of SFr 800,000.
A fleet is assembled comprising 8 Fokker F-VUb/3ms, 2 Dornier Merkurs, 1 F-VIIa, 1 Messerschmitt M-18d, and 1 Comte AC-4, having a combined total capacity of 86 seats. Ten pilots, seven radio operators, and eight flight engineers are employed. Revenue flight operations begin on March 31 and are restricted to the summer season and only made in good weather. By the end of the year’s service in October, the route network stands at 2,800 miles and the workforce totals 64.
Service is resumed in March 1932. The carrier becomes the first European airline to operate American-made equipment when it receives two Lockheed Model 9 Orions; the fastest commercial aircraft now available in Europe, these are placed on the Zurich-Vienna via Munich express route on May 2. March-October summer-only operations also continue in 1933. During the year, the carrier also links Switzerland with the European night airmail network with service between Basel and Frankfurt.
In the spring of 1934, a Curtiss AT-32C Condor II is placed in service on the Zurich-Berlin route. The first of 16 company air hostesses and, indeed, the first European stewardesses, led by the “Airborne Angel” Nelly Diener, are sent aloft to assist passengers on this biplane American transport. In March, the first production model Clark G. A. 43 is delivered; this American aircraft is placed in passenger service on a route Zurich-Basel-Geneva and on night mail runs Zurich-Frankfurt.
The Condor II experiment ends on July 27 following its crash near Tuttlingen, in Germany, which claims the life of, among others, Nelly Diener. Orders are now placed, via the Dutch aircraft manufacturer and sales agent Fokker, for Douglas DC-2s. The first of the new transports arrives on December 4.
Two more DC-2s are delivered in January 1935, followed by a third on February 15. In March, the fourth and final Clark G. A. 43 is ordered. Following the lead of KLM (Royal Dutch Airlines, N. V.), Swissair now introduces the Douglas DC-2 on its European service. In cooperation with Imperial Airways, Ltd., the American transports on April 1 begin a Zurich-London link via Basel—the first Swiss over-water operation.
On July 21, an F-VIIb/3m crashes into a forested mountainside near Berne (13 dead). Two days later, the DC-2 fleet is completed with the delivery of the sixth aircraft. Success leads to the decision to begin DC-2 winter operations on December 16, again over the Zurich-London route. This is the company’s first all-year service. At year’s end, the Clark G. A. 43 is delivered. Placed in service, it is lost in April 1936 when it crashes into Mount Rigi in the Swiss Alps (two dead).
Mittelholzer and Zimmerman, the joint managing directors, both die in 1937, the former in a climbing accident in Austria on May 9 and the latter by heart attack on October 13. Before Zimmerman’s death in October, a Junkers Ju-86Z is acquired, the first Clark G. A. 43 is sold to Spanish Republican sympathizers in France, and an order is placed for five DC-3s that are placed into service during 1938.
In 1939, the fleet comprises 5 DC-3s, 6 DC-2s, 1 de Havilland DH 89A Dragon Rapide, the original Fokker F-VIIs and Comte AC-4. Following the loss of a DC-2 in a crash at Senlis, near Paris, on January 7, a Ju-86 piloted by noted pilot-author Walter Ackermann, crashes at Constance in Germany on July 20. Swiss civil aviation is banned on August 29, just before the eruption of World War II. Unable to workout routes with the Germans, French, British, or French, the company is forced to lay off 85 workers on December 31.
In early 1940 , the company is able to gain permission to operate over a limited number of routes, mostly from Ticino. These include Locarno to Barcelona, Zurich to Munich, and Zurich to Berlin via Stuttgart. With a view to postwar expansion, the company’s share capital is raised in 1943 to SFr 1 million. A company DC-2 is destroyed at Stuttgart Airport on August 9, 1944 during an American bombing raid. Twelve days later, the carrier ceases operations to Stuttgart and Berlin, its last foreign destinations.
In 1945, the fleet is enlarged through the addition of three more DC-3s and after a five-year hiatus, the Lisbon route is reopened on May 12.
Services resume on July 30 between Geneva and Paris and Zurich and Paris. Zurich-Amsterdam flights resume on September 19. London is served from Zurich beginning on September 29 and Geneva on November 5. Special flights are also undertaken to Barcelona, Tunis, and Malmo. The fleet now comprises 4 DC-3s and 2 DC-2s.
Orders are placed in 1946 for the carrier’s first four-engine airliner, the unpressurized DC-4. The last production DC-3, a DC-3A, is delivered in May. During the summer, special frequencies are initiated to Prague, Warsaw, and Barcelona. Capitalization is increased on August 26 to SFr 20 million and after a 16-hour flight, the initial DC-4, christened Geneva, arrives at Zurich on November 24.
In February 1947, the operations of the independent airline Alpar Bern, A. G. are taken over and Swissair is officially recognized as the national airline of the Confederation. Public institutions acquire 30% of the share capital, while the remaining 70% remains in private hands — an arrangement that will remain unchanged. On March 8, a special DC-4 service is undertaken to Johannesburg.
The first DC-4 transatlantic proving flight is made on May 2, Geneva-Washington, D. C. via London, Shannon, and Gander. The return flight to Switzerland is made four days later. Four more of these irregular flights across the North Atlantic are made before October; 1,000 passengers travel the route this first year it is available. On October 10, a proving flight is made to Rio de Janeiro and Buenos Aires.
Two additional transatlantic proving flights are completed during the first quarter of 1948 before regularly scheduled service is inaugurated on March 25. Some 2,000 transatlantic passengers are carried this year as 17 flights are made from Geneva to New York and 4 from Zurich. Additionally, 20 special DC-4 frequencies are run from Geneva to Johannesburg. The company’s special services also include several flights to Middle East destinations.
On the whole, these give Swissair the opportunity to gain the commercial and technical experience necessary to inaugurate regularly scheduled long-haul services and for flight crews to be trained. Meanwhile, operations are moved from Dubendorf to Kloten Airport, their current location.
The first Convair CV-240s join the fleet in January 1949, the delivery flight for the first being organized by young engineer and future chairman Armin Baltensweiler. Regularly scheduled Zurich-New York via Geneva, Shannon, and Gander DC-4 flights commence on April 29. Service to Glasgow is simultaneously started. Devaluation of the pound sterling on September 18 produces a severe revenue crisis.
Dr. Walter Berchtold, a mountain climber and former railway manager, becomes president on May 2, 1950. The continuing financial crisis results in increased short-term government assistance, principally in the purchasing and leasing to Swissair of two pressurized DC-6Bs and the advancement to the carrier of SFr 15 million.
In return for the loan, the government requires Swissair to reduce its share capital to SFr 14 million, a move agreed to at an Extraordinary Shareholders’ Assembly held on November 10. A spare-parts pool is entered into with Sabena Belgian World Airlines, S. A. and SAS (Scandinavian Airlines System).
En route from Geneva to New York via Shannon and Gander on December 1, a DC-4 with 11 crew and 20 passengers is forced by poor weather to divert to Sydney. While landing, the plane hits light poles and lands heavily, losing a wing. Although there are no injuries and everyone is safely evacuated, the aircraft catches fire and is destroyed.
North Atlantic passenger boardings this year rise to 4,000.
On January 9, 1951, a DC-4 flies New York to Zurich in a record 16 hrs. 44 min. A third DC-6B is ordered in January, while the first two arrive in June and July. These join in the transatlantic service on August 18 and help to bring the year’s bookings on that route to more than 6,000. In October, three more DC-6Bs are requested from America. Weekly flights are initiated from New York to Tel Aviv on December 2.
A DC-4 with 4 crew and 16 passengers must be written off after a hard landing at Schiphol Airport, Amsterdam, on December 14; there are no fatalities.
A total of 7.5 million revenue passenger miles are flown on the year and a net profit exceeding SFr 1 million is posted.
A DC-6B makes the New York to Geneva flight on February 1, 1952 in a record 10 hrs. 27 min. Meanwhile, a DC-4 is acquired from Pan American World Airways (1). On April 4, a new route is opened to New York from Zurich via Frankfurt and Shannon. The world’s longest operator of the Douglas DC-2 loses its final machine in a crash at Kosti, Sudan, on August 29. At the end of summer, the carrier’s administration is reorganized and the famous Swiss arrow logo is introduced. The third DC-6B is delivered in November. North Atlantic traffic is up to 10,000. Three additional DC-6Bs arrive in October and November 1953 as North Atlantic bookings increase to 15,000.
New DC-6B routes are extended on May 27, 1954 from Zurich to Rio de Janeiro and Sao Paulo via Geneva, Lisbon, Dakar, and Recife.
For whatever reason, a CV-240 with four crew and five passengers has not been refueled before departing Geneva for a flight to London on the evening of June 19. Suffering fuel exhaustion, both engines of the Convair stop, forcing the aircraft to ditch in the dark in the English Channel near Folkstone (three dead).
At year’s end, four DC-7Cs are ordered, the first of their type to be requested by a European operator. Transatlantic enplanements are 20,000.
Service is started to Damascus on April 17, 1955. To modernize the short-haul fleet, 8 (later 11) Convair CV-440s are ordered in September. In December, two DC-6s financed by the government in 1949-1950 are purchased from it and the SFr 15 million advanced are paid back in full. North Atlantic bookings accelerate to 22,000.
On January 30, 1956, two Douglas DC-8s are ordered, with one more requested in September. The first CV-440 is delivered on June 10 and enters European service shortly thereafter.
On July 15, on a delivery flight from San Diego to Zurich via New York, Gander, and Shannon, a brand new CV-440 with four crew makes an abnormally steep turn into its final approach into Shannon, drops, and crashes; there are no survivors.
In the wake of the Hungarian Revolution, Swissair flies relief sorties to Budapest. The carrier also transports the first UN peacekeeping troops on 37 flights from Naples to the Suez Canal zone. The first two DC-7Cs arrive at Zurich on November 12 and December 8 and enter transatlantic operations in December; on the North Atlantic, boardings rise to 24,000.
A DC-7C flies from New York to Rome on January 26, 1957 in a record 9 hrs. 58 min. Services to the Far East commence on April 1, 1957; a DC-6B makes an inaugural flight from Zurich to Tokyo via Geneva, Beirut, Karachi, Bombay, Bangkok, and Manila. The Brazil route is extended to Buenos Aires via Montevideo on April 7. Regularly scheduled weekly flights over the Zurich-Tokyo route are begun on April 23. Nonstop New York to Lisbon flights begin on May 5.
While on a training flight from Zurich, a DC-3 with nine crew is lost in Lake Constance on June 18; there are no survivors.
Weekly Geneva-Tokyo multistage flights start on July 5 via Zurich, Athens, Cairo, Karachi, Calcutta, Bangkok, and Hong Kong. The last of the CV-440s is delivered on July 1 and two more DC-7Cs arrive, one each on June 22 and August 10. On October 30, a fifth DC-7C is ordered and a seventh DC-6B is leased. A DC-6A freighter is ordered on July 8; later in the year, 36% interest is taken in Balair Air Charter, A. G. North Atlantic bookings for the year are 33,000.
Board Chairman Rudolf Heberlein dies on January 6, 1958 and is succeeded by Ernst Schmidheiny. On April 11, the company is one of four European airlines charged by Pan American World Airways (1) with violating lATA rules by serving full meals disguised as sandwiches, on economy flights; the industry association promises to investigate this “sandwich” incident.
Three new aircraft are now delivered: a DC-6B on June 18, a DC-6A on October 2, and a DC-7C on November 6. Orderly retirement of the DC-4s begins with the first-received Geneva, which is renamed Uri and transferred to Balair Air Charter, A. G. On October 6, Swissair, and SAS (Scandinavian Airlines System) initial a maintenance cooperation agreement. The same day, orders are placed for five Convair CV-880Ms. Bahrain joins the route network on November 1. North Atlantic passenger traffic rises to 42,000.
Services are added to Kuwait and Ankara in April 1959, with Tehran joining the route network in May. The company, under contract to the government, opens the Swiss Civil Aviation School (SLS) on June 26. On September 30, the previous year’s Convair order is upgraded to seven Convair CV-990A Coronados, although the carrier agrees to acquire a pair of CV-880Ms on lease as a stop-gap until the 990s can be delivered. The year’s transatlantic enplanements reach 45,000.
New York to Geneva and Zurich service begins on February 28, 1960. Service is inaugurated to Warsaw in April. The first DC-8-33 is delivered to Zurich on April 24. Two undelivered CV-990As are leased to SAS (Scandinavian Airlines System) which, in turn, charters four Sud SE-210 Caravelle Ills to the Swiss flag line, beginning on May 2. The French-made trijets are introduced on the Zurich-London service on May 21. A third weekly Far East service (terminating at Hong Kong) is begun two days later.
The first DC-8-33 is placed in scheduled transatlantic service on May 30, flying from Zurich to New York’s Idlewild Airport via Geneva. The second DC-8-33 arrives on June 20, followed by the second Caravelle on June 25. Two more SE-210s arrive on July 8 and August 13, respectively, followed by the third DC-8-33 on August 31. On December 21, four new Caravelle Ills are ordered from France. North Atlantic bookings jump to 56,000.
The first of two leased CV-880Ms is received from Convair on August 11, 1961. During the August 21-22 delivery flight from New York (IDL) to Zurich, the second CV-880M establishes a distance and speed record of 3,855 mi. in 6 hr. 57 min.
A third weekly Far Eastern frequency is begun as the Hong Kong route is stretched to Tokyo on September 10 with one of the CV-880Ms. Orderly retirement of the DC-6A/Bs and DC-7Cs begins.
Systemwide, enplanements total 1.46 million (73,000 on the North Atlantic).
The first four CV-990As are delivered between January 12 and February 3, 1962. They are christened Luzern, St. Gallen, Canton de Vaud, and Basel-Land. The CV-880Ms are returned to Convair. The Coronado’s begin a frequency to Rio on February 25.
The first CV-990A Far Eastern service is undertaken on March 9 from Zurich to Tokyo via Cairo, Karachi, Calcutta, Bangkok, and Hong Kong.
The first three of the 1960 Caravelle order are delivered between March 17 and March 19. Service is started to Accra and Lagos and Montreal and Chicago on May 2 and 17, respectively.
The fourth Coronado arrives at Zurich on August 3. The Buenos Aires route is extended to Santiago de Chile on August 26. The two loaned CV-880s are now returned to Convair. The final Caravelle is delivered on October 19. Also in October, four DC-8-62s are requested. North Atlantic enplanements jump to 83,000.
A route is opened to Algiers on April 1, 1963. On September 4, Flight 306, a SE-210 Caravelle III with 6 crew and 74 passengers en route to Geneva, crashes and burns in the village of Humlikon, near Durrenasch (Canton Aargau), following takeoff from Zurich. There are no survivors and 43 people are killed on the ground, 20% of the community’s population.
Piloted by Capt. Siegfried Hale, the fourth DC-8-33 begins its delivery flight on October 26. The 7,460-mi. mission from Long Beach to the pickup point at Beirut, Lebanon—the longest nonstop flight by a commercial airliner to date—is completed in 13 hrs. 58 min. The Douglas reaches Switzerland on October 30. By year’s end, all DC-6/7s have been sold, leaving only 3 DC-3s and 11 CV-440s as propeller types within the fleet.
Systemwide, passenger enplanements total 1,801,599.
The workforce in 1964 is 8,682 strong. A sixth CV-990A arrives on February 28. Scheduled DC-3 operations cease on March 31 and the last three machines are retired. An order is placed for 12 DC-9-15s on May 13, making Swissair the first European carrier to purchase a new twin-jet. Geneva-Tunis and Zurich-Tripoli services begin on July 6. Later, in the fall, a DC-3 is sold to the South African carrier Commercial Air Services (Pty.), Ltd.
Overall passenger bookings climb to 1,978,000 and a net profit of $3.5 million is recorded on total revenues of $108.41 million.
Airline employment stands at 8,922 in 1965. The Vatican, on January 18, dispenses the company’s passengers from Friday abstinence. On March 22, as the result of an agreement with
El Al Israel Airlines, Ltd. that allows the Swiss to open a new route through Lydda to the Far East, the airline loses its landing and overflight rights over several Mideast countries through an Arab League boycott. The Caravelles leased from SAS (Scandinavian Airlines System) are purchased outright in April.
New routes are opened during the year to Frankfurt, Casablanca, Budapest, Abidjan, and Monrovia. Cargo space at New York (JFK) is doubled and new cargo handling equipment is installed. A new flight numbering system is adopted late in the year and two DC-8-33s are sold. Fritz Gugelmann is elected board chairman at year’s end, succeeding Ernst Schmidheiny, who remains on the board.
Passenger boardings rise 14% to 2.3 million.
On February 1, 1966, two CV-990As are acquired from the Scandinavian consortium. During February and March, SAS (Scandinavian Airlines System) returns the two CV-990As, Adils Viking and Ring Viking, leased in 1960. Re-liveried, the former is named Winterhur while the latter becomes the St. Gotthard, later Nidwalden.
In April, a fourth Far Eastern frequency is initiated. The first three DC-9-15s arrive in July, August, and December, respectively, and Zagreb is added to the route network during the summer.
Passenger traffic rises to 2,410,096 and total revenues for the year are $160 million.
On January 1, 1967, the Federal Transport Department grants the carrier’s 15-year renewable concession confirming it as the national airline. On February 10, a CV-440 crashes near Zurich while on a training flight (four dead). Two additional DC-9-15s arrive at Zurich on March 11 and June 27, respectively. Meanwhile, a BAC 1-11-207 is leased, with crew, for a year from British Eagle International Airways, Ltd. on April 1, and is placed into service from Zurich to Dusseldorf, Prague, and Nice.
The Budapest service is extended to Bucharest on April 5 and the Stockholm to Helsinki service begins on April 11. On April 28, the board of directors authorizes a December order placed for two Boeing 747-100s. A new Balsberg head office is occupied on May 10. The DC-9-15 order is upgraded to DC-9-32s on July 6 and the Warsaw terminus is stretched to Moscow on July 27. Seven DC-9-32s join the fleet during the remainder of the summer, but five are immediately leased to capacity-poor SAS (Scandinavian Airlines System).
On November 5, Malaga becomes the fourth Spanish destination. The first DC-8-62 is delivered on November 24 and a DC-8-33 is withdrawn and sold back to Douglas. On the economic side, bearer shares are issued for the first time.
Enplanements drop back to 2,337,582 while total revenues are $178.4 million.
Airline employment in 1968 is 11,185. Two DC-8-62s and a DC-8-62CF are delivered, as well as eight DC-9-32s; five DC-9-32s out on lease to SAS (Scandinavian Airlines System) are returned from Stockholm, allowing five DC-9-15s to be resold to Douglas.
The BAC 1-11-207 originally constructed for Central African Airways Corporation is turned over to Zambia Airways Corporation, its successor, on March 27. It is briefly replaced by a BAC 1-11-205 chartered from British Eagle International Airways, Ltd.
A CV-990A is transferred to Balair Air Charter, A. G. on March 28 and a long-haul DC-8-62 Zurich-Johannesburg route via Geneva, Nairobi, and Dar es Salaam is begun on April 1.
The final CV-440 service is flown on October 31 and the last Metropolitan is disposed of on November 1, making Swissair Europe’s third all-jet operator after British Overseas Airways Corporation, Ltd. (BOAC) and TAP-Air Portugal, S. A. The same day, a Hong Kong service is extended to Tokyo.
Cargo traffic for the year swells by 49% and passenger boardings jump 13.3% to 2,696,172. Revenues are now $161.8 million.
The 1969 workforce is 11,952. Two DC-9-32s, a DC-9-33F, a DC-862, and a DC-8-62CF are delivered as SE-210 retirements continue. Orders are placed for six DC-10-10s.
Multistage Zurich-Singapore service via Geneva, Athens, Karachi, Bombay, and Colombo, is initiated in April and a route is reopened to Damascus, while operations to Innsbruck are withdrawn. The CV-990A St. Gallen flies Pope Paul VI to and from Geneva.
On December 22, seven submarine guns are taken from the baggage hold of a DC-9-32 when it lands at Geneva on a flight from Zurich to Beirut; two Lebanese passengers are arrested.
Enplanements for the year soar to 3,888,720.
Airline employment is increased to 13,280 in 1970. The last DC-8-62 is delivered on February 9 and the DC-10 order is upgraded on February 19 to one for DC-10-30s.
Some 9 min. after takeoff from Zurich on a February 21 service to Tel Aviv, Flight 330, the CV-990A Basle-Land with 9 crew and 38 passengers, is rocked over Wurenlingen by a bomb explosion in the aft part of the aircraft. The aircraft attempts to return to the airport, but crashes en route and there are no survivors.
Later in the day, another bomb goes off aboard a Caravelle that has departed Frankfurt for Vienna, but that plane is able to land safely. No person or group will claim responsibility and no one is ever indicted for either explosion.
Also in February, the KSSU Group for technical and operational cooperation is formed with SAS (Scandinavian Airlines System), KLM (Royal Dutch Airlines, N. V.), and UTA French Airlines, S. A.; the 4-
Airline pact is signed for a 10-year period.
On April 1, DC-8-62 service to Kinshasa and Johannesburg, to Douala and Oslo via Copenhagen is inaugurated. On April 24, a BAC 111-500 (with crew) is leased from British United Airways, Ltd. for a six-month period as replacement for the CV-990A lost on February 21.
Four more DC-9-32s arrive in early fall. On September 6, Flight 100, a DC-8-62 with 12 crew and 143 passengers en route from Zurich to New York, is one of three Western airliners hijacked to Zerqa, a military air base 20 mi. N of Amman, Jordan, by Popular Front for the Liberation of Palestine guerrillas. The hostages are released and together with a BOAC VC10 and a TWA B-707-331B, the plane is blown up on September 13.
Passenger boardings this year climb a slight 1% to 3.92 million and freight is up 6%. In terms of passengers carried, Swissair is now the 23rd largest airline in the world; it ranks 21st in freight tonnage and 18th in employment.
Orders are placed for four DC-10-30s on February 18, 1971. The carrier’s first B-747-257B arrives at Zurich on February 27, where it is christened Geneve. It enters service on the Zurich-New York via Geneva route on April 1. The second Jumbojet, the Zurich, is delivered on April 16 and starts flying to America on April 29.
New flights are added to Nicosia on April 21, Boston on May 8, Libreville on May 13 and in cooperation with Alitalia, S. p.A., Genoa on June 1. Walter Berchtold retires as president on December 31.
Enplanements during the 12 months increase to 4,506,620.
On January 1, 1972, Armin Baltensweiler becomes president and the workforce is now 13,707. The twenty-fifth anniversary of North Atlantic service is celebrated in April, during which month the first anniversary of wide-body service is also noted. The Swiss government issues a new postage stamp in honor of the carrier.
Declaring himself to be the “reincarnation of Jesus Christ Superstar,” 30-year-old New York City resident M. V. Maimone hijacks a DC-9-32 en route from Geneva to Rome on April 17 by brandishing what turns out to be a box of cigars. Told the craft is low on fuel and cannot take him to Argentina as requested, Maimone permits the Douglas to fly on to Rome. On the ground at Rome, he demands an audience with the Pope, but is arrested by police instead. He will be tried and sentenced to a prison term of six years. Allowed to post bail in order to go home and put his affairs in order, Maimone simply disappears.
A ban on night movements of aircraft at Zurich, Geneva, and Basel Airports comes into effect on November 1. The first of eight DC-10-30s is delivered on December 9; christened St. Gallen, it is placed in transatlantic service to Chicago on December 15. Swissair is the first carrier to introduce the Douglas wide-body on the transatlantic run.
Passenger boardings rise 3% to 4,646,000 and cargo accelerates 9%.
Another DC-10-30 arrives in 1973 and is placed in service to African destinations; three more will be delivered by year’s end. Ten DC-9-51s are also ordered. The fuel crisis forces curtailment of transatlantic operations during the third quarter.
D. Buholzer, an 18-year-old Swiss teenager, is overpowered at Zurich Airport on December 1 after seizing a DC-9-32 with 5 crew and 140 passengers shortly after it lands on a flight from Vienna. Buholzer, demanding aid to the starving peoples of Africa, had requested newsmen to come aboard and conduct an interview. When they show up, they turn out to be undercover policemen.
Enplanements are still up, however, by 12% to 5,211,810, and cargo traffic rises by 19%. The workforce is now 14,131.
The employee population climbs to 14,603 in 1974. In an organizational change on January 1, the number of divisions is raised to 11. In February, another DC-10-30 is delivered and placed on the African service; the CV-990s now begin phase out. A route is opened to Marseilles on April 1.
En route from Bombay to Karachi on December 2, a DC-8-62 with 150 passengers is hijacked by a youth armed with a toy pistol, who demands to be flown to the Mideast. After the Douglas lands at Karachi for refueling, the pirate is captured by the airliner’s crew. He will be tried and receive a three-year prison sentence.
For the year, an all-time high in passenger bookings to date is reported: 5,373,000, a gain of 3% over 1973; cargo accelerates 15%.
The last CV-990A service, from Tripoli to Zurich, is flown by the Canton de Vaud on January 6, 1975, after which this final Coronado is retired. The last of the original eight-plane order of DC-10-30s arrives in February. Flights are started to Beijing and Shanghai on April 1, as well as to Abu Dhabi, Dhahran, and Salzburg. A CV-990A is sold to Spantax, S. A. on April 5 and service to Toronto begins on April 23.
Beginning on May 11, the company offers a two-week vacation tour to Yugoslavia for nudists and in June, two more Coronados are passed to Spantax, S. A. The former St. Gallen, is presented to the Swiss Transport Museum at Lucerne early in the month. Three of 10 ordered DC-9-51s are delivered in July. Company passengers are now able to enjoy the new Terminal C opens a Zurich Airport.
Enplanements for the year climb 5.2% to 5,649,824, freight grows 5.3%, and the workforce is reduced to 14,360.
New service is inaugurated to Oran, Kuwait, and Dubai in April 1976. Employment drops to 14,342 and the fleet now totals 48 aircraft. A DC-9-32 is sold in November, following the earlier sale of a DC-8-62 to Bal-air Air Charter, A. G. and one to the Swiss charter carrier Societe Aux-iliare de Transport Aerien, S. A. (SATA). Passenger boardings climb 8.4% to pass the 6 million mark for the first time (6,126,000) and cargo soars 11.7%.
In January 1977, the carrier receives the 1976 “Financial Management Award” from Air Transport World magazine.
During the year, routes are extended to Sofia, Linz, and Ankara. A ninth DC-10-30 is delivered and on October 19, 15 DC-9-81s and 2 DC-9-51s are ordered. One more DC-9-32 is withdrawn and orders are placed for 2 DC-9-51s and 15 DC-9-81s (later McDonnell Douglas MD-81s) on October 19.
In 16 days during November and December, a DC-10-30 with 243 passengers aboard makes the carrier’s first around-the-world flight Zurich to Zurich. The mission is completed in 11 stages: Geneva, Karachi, Bangkok, Hong Kong, Shanghai, Tokyo, Honolulu, San Francisco, and Geneva.
Enplanements are 6,540,624 during these 12 months.
The workforce totals 14,777 in 1978 and new flights originate to Oporto (April 1) and to the Algerian city of Annaba on June 29. On July 6, a letter of intent is signed for six Airbus Industrie A310-221s and firm orders placed for two more DC-10-30s. Service to Jeddah begins on November 2 and on December 18 it is announced that a new corporate emblem will replace the 25-year-old logo and arrow.
Passenger boardings are up 4.6% to 6,856,437 and cargo jumps 14.5%. On total revenues of $1.4 billion, expenses reach $1.36 billion, leaving a profit of just under $27.9 million.
The company receives the 1978 “Airline of the Year” award from Air Transport World magazine in January 1979. On March 14, an order worth SFr 697 million is placed for 10 A310-221s.
Service is inaugurated to Dublin on April 1 and withdrawn to Beirut on July 8 because of the Israeli-Lebanese conflict.
After landing at Athens from Geneva on October 8, the DC-8-62 Uri, with 12 crew and 142 passengers, overruns the runway and stops in a public road 80 m. beyond. A fire breaks out and spreads quickly (14 dead).
The public prosecutor files preliminary charges of multiple manslaughter against pilot Fritz Schmutz the next day. They will not be dismissed as expected.
During the Iran hostage crisis, CIA disguise-specialist Tony Mendez is able to smuggle six Americans out of Tehran aboard a Swissair flight; the story is not revealed until October 12, 1997.
A third B-747-257B is requested in December.
Despite soaring fuel prices and the temporary grounding of all DC-10s in the wake of the Chicago American Airlines crash, passenger traffic rises 1.8% to 6,977,611 and freight traffic accelerates 1.2%. On total revenues of $1.47 billion, expenses are $1.43 billion, producing a $30.5-million profit.
Two additional DC-10-30s are delivered in January and February 1980 and Jakarta flights are begun on March 31. The top management structure is realigned on June 1. In July, four (later five) B-747-357s and two DC-10-30ERs are ordered; the former, for which the carrier is launch customer, will be passenger and cargo convertible combis. The first three MD-81s are delivered in August and September and are placed into service over the company’s Zurich to London route on October 5. Service is launched to Amman on December 10. Also during the year, the 100-millionth passenger enplanes at Zurich Airport and a new city rail link is opened at that facility.
Cargo traffic is up 3%, but passenger boardings decline 1% to 6.95 million. With the help of income from subsidiaries, a net $23.1-million profit is posted.
The number of employees in 1981 totals 15,494 and in January the carrier acquires the Hotel Drake in New York City for $73.5 million. The company’s fiftieth birthday is celebrated in Basel ceremonies on March 26.
In April, the holding company Swissair Associated Companies, Ltd. is created to manage the airline’s growing number of associated companies. Deputy Swissair President Hans Schneider is placed in charge as the new concern’s chairman. He is succeeded at deputy president by Executive Vice President-Technical and Operations Robert Staubil.
During the summer, a decision is taken in favor of a two-crew cockpit for the A310. In October, President Baltensweiler is elected IATA president for 1981-1982.
Passenger bookings rise 5% to pass the seven million mark in annual boardings for the first time (7,300,000) and freight grows 7.5%. Revenues rise to $1.67 billion and expenses are $1.65 billion, leaving a $27.7-million profit.
The employee population in 1982 is 15,746, a 1.6% boost. On February 12 after protracted negotiations, a five-year replacement agreement is signed with Crossair, Ltd. and on February 23, the 100 millionth passenger is boarded. Flights begin to Thessaloniki on March 28 and the next day, to Hanover and Nuremberg. On April 30, Chairman Fritz Gugelmann retires and is succeeded by President Baltensweiler; Deputy President Robert Staubli becomes the new president. The new deputy president is Bertranc Jaquiery, while Rolf Krahenbuhl becomes executive vice president-technical and operations and Paul Frei becomes vice president-operations.
A new route is opened to Harare (Zimbabwe) on June 8. Additional highlights of the year include the addition of two more DC-10-30s and the boarding by the airline of its 100-millionth passenger.
Passenger traffic falls 1.8% to 7,168,567 bookings, but freight gains by an equal percentage, climbing to 461.7 million FTKs. Revenues are $1.72 billion, up 0.3%, and expenses are $1.70 billion, up 3.3%; a $27-million net profit is realized, atop an operating gain of $14.3 million.
The workforce is increased a scant 0.9% in 1983 to 16,147. In January, the carrier receives the 1982 “Airline of the Year” award from Air Transport World magazine. Also in Janaury, the marketing and foreign affairs units are merged into a single organization under Deputy President Jaquiery.
The first Jumbojet combi, the B-747-357C, is acquired on March 5 and is christened Basle, followed by the Bern, which arrives on March 19. Service is started to Toulouse on March 27 and Riyadh on December 7. The latter point is the carrier’s 100th destination. Service is also withdrawn from Beirut and Ankara. Meanwhile, during the first six months of the year, two new B-747SP-57s enter service and one sets a new record for the Atlantic crossing of 5 hrs. 47 min.
The first of four A310-221s to be delivered during the year arrives at the end of March and as the first of its type to enter service, begins revenue flights between Zurich and London on April 21. Flights to Moscow are suspended for two weeks in protest of the shooting down of Korean Air/Korean Airlines KAL 007.
In late summer, the readers of Business Traveler Magazine vote the company the world’s No. 1 airline; the carrier will hold that position with subscribers until 1988. The board of directors now approves the introduction of business-class services while Swissair Associated Companies, Ltd. Chairman Schneider announces his retirement, effective at the end of the year. He will be succeeded by Martin Junger.
In September, the company’s first DC-10-30, the St. Gallen, is sold to Ecuatoriana (Empresa Ecuatoriana de Aviacion, S. A.). The third B-747-357C Zurich arrives on November 30, followed by the Geneve, which is delivered on December 4. The board directs the introduction of business-class service on December 15 and in one of the stranger aviation incidents of the year, pilot Fritz Schmutz is convicted by a Greek court for the 1979 fatal Athens crash and fined.
Passenger boardings advance only 0.1% to 7,177,407 while freight does much better, advancing 17.1% to 540.42 million FTKs. On revenues of $1.7 billion, the profits are $38.3 million (operating) and $27 million (net).
The workforce is increased 3.4% to 16,652 in 1984 and the original B-747-257Bs are sold out of service during January. One is leased to the California charter operator Air National, which will employ it to launch summer-scheduled European passenger flights.
Business-class service is introduced systemwide on March 25, the same day flights to Harare and to the Algerian city of Annaba are closed. A frequency is initiated to Larnaca on March 27 and the last DC-8-62 is withdrawn from service in mid-April.
As launch customer, Swissair places an order for eight Fokker 100s on July 5; simultaneously, four more MD-81s are also requested. After a string of problems involving overbooked flights, stranded passengers, and fiscal downturn, Air National’s problems become terminal in early July when the Swissair Jumbojet is attached by a Missouri court for nonpayment of rental fees. The plane is returned in August and the company files for Chapter XI bankruptcy in September.
Boardings decline 1% to 7,074,000, but cargo swells another 17% to 634.09 million FTKs. Capitalization is increased to SFr 568,324,400 and revenues advance 8.6% to $1.7 billion. A gross profit of $152 million is generated and the year’s net profit is $25.8 million, a 7.9% boost.
The employee population advances 4.8% to 17,500 in 1985. The fleet, meanwhile, comprises 4 B-747-357Bs, 11 DC-10-30s, 5 DC-9-32s, 6 DC-9-51s, 17 DC-9-81s, and 3 A310-221s.
The carrier receives the 1984 “Technology Management Award” from Air Transport World in January. In March, Swissair MD-81 first officer Gabriela Luthi becomes the first woman to begin pilot training at the Swiss Civil Aviation School. The Boston Lafayette opens as Swissotel No. 5 and Caracas joins the route network on June 8.
New uniforms are introduced for female flight attendants the company and receives its first extended-range A310-322 in November; the first of its type in the world to enter service, it is placed on the Zurich to London route on December 20.
Cargo is level and enplanements rise 4% to 7.3 million. Revenues are $2.3 billion and expenses are $2.1 billion; profits are $202.4 million (operating) and $36.3 million (net).
As the year closes, the carrier ranks 20th among world airlines in terms of air freight transported, 21st in total number of employees, 11th in revenues generated, and 4th in operating profit. The year’s profit is, in fact, the 35th consecutive one reported since 1950.
The payroll grows 2.3% in 1986 to 17,657. In January, two A310-322s and three MD-81s are added and three DC-9-51s are sold. On March 30, twice-weekly B-747-357B flights begin to Seoul and new markets are initiated at Birmingham on April 1, Malta and Anchorage on April 3, Tirana on May 5, Bahrain on May 29, Ankara on October 26, and Brazzaville on October 28.
Meanwhile, on May 23, a man runs onto Flight 125, a DC-10-30, as passengers are boarding at Chicago (ORD) and holds a knife to a woman’s throat for 30 minutes. The man is subdued and removed from the wide-body slightly injured; the lady suffers only minor cuts.
A new accord is signed with Crossair, Ltd. on September 16 as six more Swissotels are added. “Genussscheine,” a form of dividend-right certificate, is issued for the first time.
Share capital is increased to SFr 615,371,400 and the Genusscheine, a form of dividend-right certificate is issued for the first time. Three people who have played major roles in shaping Swissair’s post-war history pass away: Walter Berchtold on January 23, Fritz Gugelmann on June 23, and Heinz Haas on July 21.
Passenger boardings rise 2.2% to 6,454,497 and freight advances 5.9% to 674.17 million FTKs. Revenues drop 7.4% to $2.18 billion, due largely to exchange rate fluctuations. Expenses fall 7.1% to $1.98 billion, leaving an operating profit of $200 million. The 36th consecutive net profit is down 5.8% to $35 million.
The employee population climbs 1.4% in 1987 to 17,908. Orders are placed for six MD-11s and another MD-81 on March 18. Flights to Oran are closed on March 22 and the Santiago de Chile route opened in 1962 is closed the next day. Service to Dhahran is closed on March 26, to Dublin on March 27, and to Colombo on March 28. Flights begin to Atlanta on March 29 and Turin (by Crossair, Ltd. SAAB 340s) on May 4. Gabriela Luthi begins her career as the first Swissair female pilot.
On July 10, Swissair joins other European carriers in launching the continent-wide computerized reservations system known as Galileo. Crews begin converting to the Fokker 100 in September using a simulator in Montreal. Launch customer for the new Fokker jetliner, the carrier, scheduled to receive its first unit in November, must wait longer because of manufacturing delay. The final B-747-357C, named Ticino, arrives on December 4, while options taken earlier on six additional MD-11s are converted to firm orders on December 16. Later in the month, the carrier features foods from the Grisons region on its intra-European and North African services. It also opens new lounges for business-class passengers at Geneva and Zurich.
Customer bookings for the year advance 7.6% to 6,945,399 and cargo moves ahead by 8.8% to 733.75 million FTKs. Revenues inch up to $2.6 billion, but despite the first profit for the European operation since 1979, exchange rate erosion pushes costs to a point where the carrier’s operating income drops to $69.8 million. Net profit, however, swells to $48.1 million.
The number of workers grows a further 3.8% in 1988 to 18,584. Early in February, a fifth Jumbojet, a combi, is placed into service. Following hand-over ceremonies in Amsterdam at the end of the month, the company’s lead Fokker 100, christened Chur, is employed for crew training at Malta during March. Flights to Khartoum end on March 20; however, a week later, flights are started to Graz. On March 28, service begins to Bordeaux, followed two days later by the start-up of the Catania market.
The world’s first Fokker 100 service is flown on April 5 when the Chur carries passengers from Zurich to Copenhagen. A new cargo terminal is opened on May 30 at Geneva’s Cointrin Airport; it is capable of handling 100,000 tons of freight per year.
Swissair acquires 38.4% equity stake and 41% voting rights shareholding in Crossair, Ltd. on June 13 in exchange for an investment of SFr 111 million. The Swiss Civil Aviation School celebrates its thirtieth anniversary on June 26.
Deputy President Otto Loepfe succeeds Robert Staubli as president on July 31 upon the latter’s retirement. Swiss national councillor Ver-nena Spoerry becomes the first woman elected to the company’s board of directors.
The next day, a new corporate organization is introduced. The new corporate management includes Loepfe, the heads of 1 corporate divisions, and 2 delegates to the president. Vice Presidents Heinz Buchi, Andre Clemmer, Alfons Bernhardsgrutter, and Heinz Galli all retire and Paul Reutlinger and Stephan Frohlic join the management team.
Eight Fokker 100s and three MD-81s join the fleet while the last DC-9-32 revenue flight is made, bringing to a close the company’s Dash-32 and Dash-51 era.
Passenger boardings ascend 4.2% to 7,236,126 and freight swells 10.9% to 813.91 million FTKs. Revenues increase 5.5% to $2.8 billion, costs rise 6.8%, and operating income declines to $40.5 million. Net gain manages to increase again, to $52.5 million.
Company employment grows 3.8% in 1989 to 20,300 and the fleet now includes 55 jetliners. A cooperative agreement is signed between Delta Air Lines Chairman Ronald Allen and Swissair Chairman Bal-tensweiler on March 14; the two promise to assist one another in marketing and operational areas.
Under terms of the agreement, the Swiss and American airlines will coordinate and share frequent flyer programs, ground handling, schedules, and codes over the North Atlantic from Zurich to New York (JFK),
Atlanta, and six other U. S. gateways plus a route from Geneva to JFK. Swissair will code-share with Delta on the latter’s intra-American routes while Delta will operate dual-designator flights via Zurich to nine European communities, plus Abu Dhabi and Dubai.
Service is inaugurated to Lyon on March 27 and to Izmir and Ljubljana on March 28. The service to Lyon and Ljubljana is operated five times per week on behalf of the carrier by Crossair, while the Izmir route is flown twice weekly by Swissair Fokker 100s. The airline joins the frequent flyer program of USAir on May 1.
Nonstop flights to Japan via Siberia commence on June 28. Service to Glasgow is suspended on July 27, but started to Santiago de Chile on July 31. Also in July, Swissair acquires 2.5 million shares of Delta Air Lines stock (5% equity) for $193.4 million; the Atlanta-based megacarrier purchases 100,000 shares of Swissair stock, a figure also representing 5% equity. A new management structure is completed on August 1 as Swissair, Deutsche Lufthansa, A. G., and Guinness Peat Aviation, Ltd. undertake to jointly construct and operate an aircraft maintenance facility at Shannon, Ireland.
During the fall, onboard telephones are introduced for the use of passengers on flights delayed on the ground at Swiss airports for more than half an hour. In September, the carrier teams with Delta Air Lines and Singapore Airlines, Ltd. to form “Global Excellence,” an alliance offering a worldwide network of quality air services. The agreements between the European, American, and Asian carriers calls for code-sharing, frequent flyer program cooperation, and reciprocal ground handling.
An extraordinary general assembly of shareholders votes on September 12 to increase share capital to SFr 709,171,740 and votes approval of the 5% equity stake taken in Delta Air Lines. About this time, Swissair, Deutsche Lufthansa, A. G., and Guinness Peat Aviation (GPA) undertake to jointly construct and operate an aircraft maintenance facility at Shannon, Ireland.
Goteborg joins the route network on October 29 and Los Angeles on November 1. Later in the month, it is announced that the carrier has finished returning its Fokker 100s to Amsterdam for structural strengthening and will take from the manufacturer all of the jetliners previously assigned to KLM (Royal Dutch Airlines, N. V.). During November, in-flight video news is offered with combined programming from Cable News Network (CNN) and the European Business Channel (EBC).
A cooperative 0.6% equity agreement is inked with Singapore Airlines, Ltd. in December, similar to that signed with Delta Air Lines in March, and emphasis upon the “Global Excellence” program is intensified. In reciprocity, Singapore takes 2.7% shareholding in the Swiss flag line. During the year, the company begins to wet-lease on the Santiago to Buenos Aires route of Ladeco (Linea Aerea del Cobra, S. A.).
Customer bookings swell 6% to 8,620,319, but cargo only inches upward, by 0.1%, to 887.9 million FTKs. Revenues advance by 3.2% to $2.9 billion, expenses crawl up only 0.9% to $2.8 billion, and the operating profit is $104.6 million. Net profit reaches $58.8 million.
The payroll is increased 1.7% in 1990 to 20,655, a figure representing the 22nd largest airline workforce in the world. In April, a joint traffic system agreement is signed with SAS (Scandinavian Airlines System). Flights to Monrovia are suspended on June 5 and to Kuwait on August 2; however, the Boston terminus is stretched to Philadelphia on August 6. During the remainder of the month, flights are halted to Jidda, Tel Aviv, Abu Dhabi, and Dubai as the result of Iraq’s invasion of Kuwait.
A huge order is placed on September 28 for 7 A320-214s and 16 A321-111s for 1995 delivery. Catania departs the route network on October 24; service is initiated to Berlin (Tegel Airport) on October 28, followed by Valencia the next day and Bilbao on October 30. Also in the month, the airline becomes the first international carrier to offer telephone rental service to its incoming passengers.
In Europe during October, the “European Quality Alliance” of Swissair; SAS (Scandinavian Airlines System), Finnair, O/Y, and Austrian Airlines, A. G. is formed. During the year, new staff uniforms are introduced, created by the fashion designer, Luigi Colani.
In December, the Swiss national carrier takes a 10% interest in Austrian Airlines, A. G. and six-times-per-week services are inaugurated between Zurich and Berlin.
Passenger boardings climb a slight 1% to 8,700,325 and freight is up by 4% to 927.37 million FTKs. Revenues ascend 4.4% to $3.58 billion, 13th best in the world. Expenses grow 7.7% to $3.34 billion and cause the operating gain to fall to $244 million, which is still the world’s 7th best operating profit. Net gain plunges to $3 million.
Airline employment is increased by 21.5% in 1991 to 19,302 and the first 2 of 11 MD-11s join the fleet in March. Early in that month, it is reported that the joint traffic system agreement signed with SAS (Scandinavian Airlines System) a year earlier has actually shown a “slightly negative response.” At the same time, service is resumed to Jidda, Tel Aviv, Abu Dhabi, and Dubai.
Code-sharing flights, in cooperation with Air Afrique, S. A., commence on a block-space basis from Zurich to Abidjan via Geneva and Dakar. The equity stake in Crossair, Ltd. is increased to 48.5% and the voting rights shareholding increases to a majority of 51.9% on March 13. Swissair flights to Bordeaux are taken over by Crossair, Ltd. on March 31.
The sixtieth anniversary is celebrated and on May 9, MD-11 service is inaugurated from Zurich to Atlanta. Service is suspended to Jakarta on June 21 and to Anchorage two days later. Service is started to Delhi on June 24, the same day flights to China are inaugurated via Siberia and Mongolia.
Daily MD-11 flights begin in June and July from Zurich to Montreal and Toronto and also in July, Swissair and Austrian Airlines, A. G. begin thrice-weekly joint service to Kiev and St. Petersburg, employing Austrian equipment and flying from Zurich via Vienna. The secession crisis disrupts Yugoslavia services in late June and July; although flights to Ljubljana are cancelled and those to Zagreb are suspended, those to Belgrade are maintained.
In an effort to save $5.5 million per year, the company announces in August that it will move its revenue accounting operations from Zurich to Bombay, India. To compensate for the inequity of the joint traffic system, SAS (Scandinavian Airlines System) in September turns over its profitable daily Copenhagen-Geneva service to its partner as compensation.
Crossair, Ltd. begins replacing the carrier’s flights to Hanover and Nuremberg on October 27 as direct DC-10-30 Switzerland-Johnannes-burg via Nairobi flights begin. Three days later, direct Switzerland to Hong Kong MD-11 service is inaugurated. Also in October, and again with Austrian Airlines, A. G., MD-81 flights are started to Kiev and Vienna. Thrice-weekly nonstop MD-11 frequencies are introduced from Zurich to Johannesburg in November; the previous route via Nairobi is also maintained.
In Europe, a second flight, six times per week, is offered from Zurich to Helsinki and the Zurich to Nuremberg route, flown by Crossair, Ltd. on behalf of the major, is fully transferred to the regional. MD-11 nonstop flights are also introduced to Los Angeles and Rio de Janeiro and CFM International is selected in December to provide the engines for the carrier’s new aircraft. Despite economic difficulties, the carrier is the 21st largest enterprise in Switzerland in turnover terms. Also during the year, Peter Nydegger is appointed chairman of the board of Swissair Associated Companies, Ltd., with Philippe Bruggisser succeeding Rolf Krahenbuhl as president. Rolf Winiger succeeds Paul Frei as head of the flight services division.
Overall customer bookings slide 8.2% to 7,985,740, but cargo inches up 1.9% to 944.64 million FTKs. Cost-cutting and other revenue enhancement programs allow revenues to ascend 1.4% to $3.69 billion and exceed expenses. As a result, there are substantial profits: $273.24 million (operating) and $31.46 million (net). Swissair Group, the parent holding company, enjoys a $74.6-million net gain.
Airline employment in 1992 stands at 19,300. Hannes Goetz succeeds Armin Baltensweiler as board chairman; the latter is named honorary chairman. A “Move” plan is implemented aimed at cost-cutting. Service is launched to Vilnius on January 19 and flights to Caracas are
Suspended on January 26. On February 1, in response to a progressive policy of animal conservation support, the company deletes goose and duck liver, turtle soup, and frogs’ legs from its in-flight menus.
The last DC-10-30s are withdrawn and on March 30, in cooperation with Austrian Airlines, A. G. and SAS (Scandinavian Airlines System), the company opens four-times-per-week A310-322 service from Vienna to Chicago via Copenhagen; Swissair flies the entire route, suspended by the Stockholm-based major. The “Qualiflyer” frequent flyer program is kicked off on April 1 and a streamlined management structure is unveiled on May 1.
The fleet in July comprises 60 aircraft: 5 B-747s, 12 MD-11s, 4 A310-322s, 5 A310-222, 24 MD-11s, and 10 Fokker 100s. Cooperation with Austrian Airlines, A. G. increases on September 1 as passenger and cargo handling at Swiss and Austrian airports pass to the home airline. Service is started to Washington, D. C. on September 14. Four new markets are opened in October: Kiev on the 25th, Minsk on the 27th, St. Petersburg on the 28th, and Yaounde on the 31st.
A marketing agreement is signed with Air Canada, Ltd. in October. The arrangement provides for frequent flyer program linkage, exchange of flight attendants, and code-sharing on flights from Zurich and Geneva to Montreal and also Zurich-only to Toronto, Calgary, and Vancouver during the summer.
On November 1, the company tightens its working relationship with Austrian Airlines, A. G. with the introduction of a “governorship” concept to look after each others interests in their respective home markets. For example, the two partners represent each other with respect to booking offices, check-in, and passenger lounges at their home airports and merge their sales agencies in Switzerland and Austria. Banjul joins the network on November 6. Also during the year, the new Swissair Terminal at Zurich Airport is opened. Plans are announced for the reorganization of top management into a seven-member executive management group under President Loepfe.
Passenger boardings inch up 1.9% to 7,475,090 while freight does better, growing 13% to 1.06 billion FTKs. Revenues increase 2.7% to $3.6 billion and expenses ascend 3% to $3.32 billion. The happy difference allows an operating surplus, slightly down, of $271.78 million and net gain, cut in half, of $13.72 million. Parent Swissair Group experiences a 4.7% jump in operating income to $4.2 billion and an operating profit of $147.66 million. The net profit, including $147.4 million from aircraft sales, is $74.6 million.
In 1993, President Loepfe oversees a workforce of 19,100, still frozen after two years. In January, Swissair receives a “20 Years of Excellence Award in Passenger Service” from Air Transport World magazine. Management is now reorganized and the number of board members is reduced from 30 to 22.
A new marketing structure is introduced on January 1 and in February the 1989 “Global Excellence” code-sharing agreement signed with Delta Air Lines is expanded. Beginning in June, the American carrier begins daily nonstop Cincinnati to Zurich flights, with the Swiss line reserving blocks of seats in all three classes. Later in the month, Swissair inaugurates flights from Zurich to Atlanta and New York and from Geneva to New York, with Delta Air Lines purchasing a similar number of seats. The companies also begin to share terminal facilities in their jointly served cities.
During the year, new scheduled markets are opened at Harare on June 29, Cape Town on July 2, and Muscat on November 6; discontinued flights include to Bonn on March 27 and Vilnius on July 4. Buarulhos Airport becomes a stop on the Sao Paulo route. The lead European customer for the MD-11 experiences two turbine-blade failures on Pratt & Whitney PW4460 engines of its new airliners during the summer; the
World History
