ESSAIR LINES: United States (1939-1946). Founded by World War I pilot and noted barnstormer William “Bill” Long and aeronautical engineer Samuel Marshall at Houston in January 1939 as the nation’s premier “feeder” airline, Essair (“Efficiency, Safety, and Speed by Air”) receives government authority to inaugurate experimental scheduled local service flights over routes from its base.
The firm begins scheduled passenger and cargo services to Amarillo via Abilene later in the month with a Consolidated Model 20A Fleetster. The company is quickly forced to suspend operations in July because of objections to the CAB by competitor Braniff Airways and because the Fleetster, caught up in litigation between the carrier and the Pacific Discount Corp., had its license expire on June 15.
During World War II, founder Long operates pilot training schools for both the USAAF and the RAF. Following a war-delayed hearing, the CAB, on November 5, 1943, turns aside the Braniff complaint, and authorizes Essair to resume service.
The CAB establishes the new classification of “Feeder Airline” on July 11, 1944 and certifies Essair as the first of the new group. Company executive offices are established at Dallas, while an operating base is set up at Houston (HOU). Buddy Lee Wynn steps forward to become the airline’s second major investor.
Equipped with three war surplus Lockheed UC-36As (military Model 10A Electras) converted to civil standard, Essair Lines begins long-delayed, four-stop service from Houston to Amarillo on August 1, 1945, via Austin, San Angelo, Abilene, and Lubbock. With over 25,000 pilot and engineer graduates from his schools, Long receives the Order of the British Empire (OBE) at war’s end.
During the spring of 1946, Robert J. Smith, Braniff Airways’ former executive vice president, buys half-interest in the airline from former backer Wynn for $200,000, much of the money being in the form of a loan from the First National Bank of Dallas. The company is now reorganized with Long becoming board chairman and Smith, president; headquarters are consolidated at Houston (HOU).
Meanwhile, Essair General Manager L. H. Luckey travels to the War Assets Administration depot at Walnut Ridge, Arkansas, and purchases 5 government surplus Douglas C-47s (military DC-3s) for $20,000 each. New CEO Smith objects to the Essair name and, in a marketing move, Smith and Long change the company’s name on May 15 to more accurately reflect its status, becoming Pioneer Air Lines.
ESTONIAN AIR, A. S.: Lennujaama Tee 2, Tallinn, EE0011, Estonia; Phone 372 6401101; Fax 372 6313740; Http://www. estonian-air. ee; Code OV; Year Founded 1991. The newly independent Baltic state acquires the old Aeroflot Soviet Airlines division headquartered at Tallinn on December 1, 1991. With its 10 inherited Tupolev Tu-134As given new livery, General Manager Anti Oidsalu’s newly appointed flag carrier, a government-owned joint-stock company, undertakes scheduled passenger and cargo flights, beginning on December 1, to Helsinki, Stockholm, Frankfurt, Moscow, Kiev, Vilnius, Minsk, Kardia, Kures-saare, and Tartu.
In 1992, the reformed Aeroflot Russian International Airlines (ARIA) presents the Estonian government with a $2-million invoice for the lost Tallinn division. Flights are started at the end of March to Copenhagen and Budapest.
Abandoning the old Aeroflot reservations system, Estonian Air, in April, joins the BABS system of British Airways, Ltd. (2). Later, the company will employ the services of Amadeus, Galileo, Gabriel, and SABRE.
The company joins IATA in December.
Enplanements for the first full year of service total 159,501 and
327,000 FTKs are flown. Revenues total $2.9 million, but expenses are higher, leaving an operating loss of $308,053. The fleet, meanwhile, is increased by 4 Yakovlev Yak-40s and 9 Antonov An-2s.
The workforce totals 676 in 1993 and the fleet includes 11 Tu-134As, 4 Yak-40s, and 12 Antonov An-2s. Flights are started to Amsterdam.
In August, the company joins the IATA Multilateral Interline Agreement. It also becomes a participating member, in November, of the European Billing and Settlement Plans.
Passenger boardings decline by 17.1% to 132,208, but freight inches up 0.9% to 330,000 FTKs. On revenues of $13.2 million, losses are suffered: $686,000 (operating) and $608,000 (net).
The workforce is cut 11.8% in 1994 to 507, but orders are placed for a pair of Boeing 737-5Q8s. Service to Hamburg is introduced.
In April, OV Estonian Air establishes an office in Vilnius.
Customer bookings recover, bouncing upward by 24.6% to 164,593 and cargo is up an equally strong 23.5% to 405,000 FTKs. Although revenues rise 35.9% to $23.01 million, expenses are up 34% to $23.61 million. Consequently, a $596,000 operating loss is taken and the net loss grows to $713,000. The loss figures are later adjusted upward to read minus $1.06-million operating and $1.18-million net.
The employee base is reduced a further 20.1% in 1995 to 405.
An office is opened in Kiev during January. Delivery is taken on July 7 on the carrier’s first Western-manufactured aircraft, a B-737-5Q8 chartered from ILFC. In celebration, a new dark blue, light blue, and white livery is introduced and service is inaugurated at the end of the month to London (LGW). Roundtrips to Amsterdam are initiated in November, the same month an office is opened in Minsk.
Plans are announced by the Estonian Privatisation Agency in December to begin company privatization during the next year, with 66% of the shares offered for sale. Applications will be accepted from Western carriers seeking to become strategic partners.
Enplanements move ahead by 5.9% to 174,247 and cargo grows 7.9% to 437,000 FTKs. Revenues advance 17.4% to $26.23 million, but costs rise 18.1% to $27.67 million. The operating loss increases to $1.43 million while the net loss deepens to $2.21 million.
On February 11, 1996, the second Boeing arrives. The two “Baby Boeings” now replace Tu-134As on services from Tallin to Amsterdam, Copenhagen, Frankfurt, Hamburg, London, and Stockholm. SAS (Scandinavian Airlines System) and a consortium led by Maersk Air, A. S. offer bids to take a 49% minority stake in the carrier. The former sees Estonian as a tool with which to integrate the Estonian market into that of the carrier while the latter recommends that Estonian Air become an efficient carrier able to stand on its own feet and link on its own to Maersk’s operations.
Not surprisingly, the Estonian government chooses the latter and, when privatization is completed on September 1, the ownership breakdown is Maersk Air A. S. group 49%, Estonian government 34%, and the Baltic Cresco investment group of local bankers 15 per cent. Maersk Air executive Borge Thornbeck is seconded over from Copenhagen to become Estonian’s new president. Numerous other company officials and experts will also be seconded, including Aarne Tork, who becomes vice president-technical, and Toomas Leis, vice president-commercial.
Two Fokker 50s, leased from Maersk Air A. S., begin revenue flights on October 21 and 27, respectively.
A strategic pact is signed with Finnair O/Y; it begins on October 29 with dual-designator flights between Helsinki and Tallinn and with cooperative ground handling in those cities. Ten Maersk pilots arrive in November and December to help train Estonian’s new Fokker pilots. At the same time, representatives from Maersk’s unions arrive to help company employees sort themselves into airline unions.
In December, a claims settlement of $700,000 is reached with Aeroflot Russian International Airlines (ARIA) for compensation to the Russian line for loses taken in 1991. Enplanements for the year slip to 172,000 and operating revenues total $27.2 million.
Airline employment in 1997 stands at 380 and the fleet includes 2 B-737-5Q8s and 2 Fokker 50s. The Russian equipment is mostly grounded.
In January, a $1.3-million program is completed for the replacement of ground handling equipment taken over from Aeroflot Soviet Airlines.
The number of dual-designator Fokker 50 flights between Tallinn and Helsinki in cooperation with Finnair O/Y is increased to four per day in February. During the first quarter, the B-737-5Q8s operate nonstop scheduled roundtrips from Tallinn to London, Amsterdam, Hamburg, Copenhagen, Stockholm, Moscow, Kiev, and Minsk. A total of five Estonian Fokker pilots are certified by the end of April, at which point the two Fokkers leased the previous fall return from Eindhoven, The Netherlands, where they have received a new livery from Aviation Cosmetics, B. V.
Also in April, a Fly & Drive product is introduced in cooperation with Avis Rent-a-Car. A full complement of 15 Fokker pilots is ready by June 1, at which point the Danish instructors are able to return home.
During the month, negotiations for code-sharing or other rights are begun with Transaero Airlines, British Airways, Ltd. (2), KLM (Royal Dutch Airlines, N. V.) and the government of the Ukraine.
As part of a marketing agreement, Aeroflot Russian International Airlines (ARIA) starts dual-designator flights four times a week between Moscow and Tallinn from August 15, operating Tu-134 jets belonging to the Estonian carrier. The Blue Star frequent flyer program is established and the first Estonian Air Open golf tournament is held.
Customer bookings this year jump 19% to 230,514 while cargo is up 22% to 980,000 freight FTKs.
Services continue apace in 1998. During the summer, the company takes delivery of a third B-737-5Q8 from Maersk Air, A. S., placing it into service on routes to Helsinki, Stockholm, and Riga.
A strategic marketing agreement is entered into with SAS (Scandinavian Airlines System) on February 12 (effective March 28, 1999). Blue Velvet business-class service is started on May 1, while flights to Riga begin on June 1.
In August, a homepage is opened on the Internet’s World Wide Web.
B-737-5Q8 roundtrips commence on October 25 between Tallinn and both Oslo and Frankfurt, four times a week. The former is operated in cooperation with SAS (Scandinavian Airlines System). The next day, a Blue Velvet business class lounge is opened at Tallinn Airport. A fifth B-737-5Q8 enters service on October 29.
Customer bookings during the 12 months increase 18% to 282,000, but freight traffic falls 8% to 907,000 FTKs.
The pact with SAS (Scandinavian Airlines System) takes effect on March 28, 1999. Estonian now joins the SAS EuroBonus frequent flyer program. The two also offer dual-designator service on their flights from Oslo to Tallinn and Stockholm. Thrice-daily dual-designator roundtrips are started between Tallinn and Copenhagen; weekend flights are also offered.
On July 6, a cooperative agreement is signed with Air Baltic Corporation, A. S. Under its terms, the two begin to code-share on their weekly return services from Riga or Tallinn to Kiev and Minsk, thereby boosting the number of flights to the first point to six and the second to five.
With the beginning of the winter schedule on October 31, Estonian begins to code-share on SAS (Scandinavian Airlines System) four-times-per-weekday roundtrips from Tallinn to Brussels via Stockholm and Copenhagen. One roundtrip to Belgium is also flown on Saturdays and two on Sundays. Additionally, the number of weekly return services by Estonian from Tallinn to Helsinki is boosted from 13 to 21.
Customer bookings climb 3.2% for the year to 291,000, while cargo jumps 42.6% to 1.29 million FTKs.
Airline employment at the beginning of 2000 stands at 370, an 8.8% increase over the previous 12 months. The carrier now operates to 12 locations: Helsinki, Stockholm, Copenhagen, Hamburg, Oslo, Frankfurt, London (LGW), Kiev, Moscow, Minsk, Vilnius, and, with SAS, to Brussels.
Given a sufficiency of sea traffic, service to Helsinki is terminated for the summer on March 26. On March 29, permission for Elk Air, A. S. to operate a competing service from Tallinn to Moscow is withdrawn. In retaliation, Russian aviation authorities order Estonian flights halted, as Elk Air is a partner of Aeroflot Russian International Airlines (ARIA) . The dispute over flights to Moscow leads both companies on April 6 to suspend all service to the Russian capital from Tallinn. Following the route cutback, the B-757-5Q8 employed on the route is subleased to TAROM (Romanian Air Transport-Transporturile Aeri-enne Romane, S. A.).
On May 1, Jorn Eriksen, senior vice president at Maersk Air, A. S., succeeds Borge Thornbech as president; Thornbech returns to an executive position at Maersk. At the same time, the carrier’s commercial department is reorganized into two main functions: scheduled services and customer services.
Four-times-a-day Fokker 50 roundtrip service is resumed on May 5 from Tallinn to Moscow.
A code-sharing agreement is signed with Aerosvit Airlines on October 1 under which the two will jointly sell tickets for the Tallin to Kiev route that Estonian Air B-737-5Q8s fly thrice weekly.
ESTRELLAS DEL AIRE, S. A. de C. V.: Mexico (1992-1996). Estrellas is founded at Mexico City in 1992 as a division of the inter-city bus company, Tres Estrellas del Oro, to offer passenger charter and inclusive-tour flights to regional and international destinations in the Western hemisphere. Revenue operations commence with a single leased Douglas DC-9-14.
No statistics are provided for the privately owned carrier; however, a second DC-9-14 is chartered for the 1993 season. It is returned to its lessor in early 1994. The lone Douglas flies on until the company closes down in 1996.
ETA (EMPRESATRANSPORTES AEREOS, S. A.): Bolivia (19771988). The all-cargo ETA is set up at La Paz in 1977 to provide domestic ad hoc services. Flights commence and continue throughout most of the 1980s with one each Curtiss C-46 Commando and Douglas DC-6, the latter once flown by American Airlines.
The C-46 and its crew are lost in January 1988 when the plane smashes into the mountains near its base. The DC-6 is sold during the summer and the company shuts its doors.
World History
