Tropical storm Rita bears down on Fla. Keys

Tropical storm Rita bears down on Fla. Keys — Tropical Storm Rita raced toward the Florida Keys and the Gulf of Mexico with forecasters expecting it to strengthen into a hurricane on Tuesday, three weeks after Hurricane Katrina swamped New Orleans and hammered the U.S. Gulf Coast. (Reuters)

Hotels open doors, but not to tourists — The city’s famous hotels are starting to reopen, but like New Orleans itself, business as usual is a long way off. (USA Today)

US Airways, America West merger to come in steps — After more than a year in bankruptcy protection, US Airways is a week away from combining with America West to form a new airline. The merger, announced in May, cleared its final hurdle last week with approval from a bankruptcy judge in Alexandria, Va. (USA Today)

Some fliers may soon find loyalty is less rewarding — In spite of what some airline executives have said, Airlines in bankruptcy proceedings have always cut back on service, and there is no reason to expect this time will be different. (The New York Times)

Barbour calls special session on Katrina — Gov. Haley Barbour is calling Mississippi legislators into a special session next week and says he’ll let them debate whether to let coast casinos build on land. (AP)

Boeing says China to buy 2,600 jets — Aersopace giant Boeing Co. expects China will buy 2,600 commercial jet aircraft over the next two decades, underpinned by strong growth in domestic flights, company executives said on Tuesday. (Reuters)

Airport needs new low cost airline service — Now that Delta Air Lines has gutted its schedule at Mobile Regional Airport, local business leaders say that the existing service is not enough to support a vibrant city, and the airport authority needs to entice replacement air service. (Mobile Register)

Lawyers to profit from airline bankruptcies — Delta and Northwest have hired law firms to lead their bankruptcy cases. They’ve tapped legal consultants to handle corporate tax and immigration issues. And they’ve put on the payroll financial and aviation experts to advise them on government procurement matters. It’s the business of bankruptcy, and these days, with four major airlines in Chapter 11, it’s big business. (AP)

Regional airlines could feel Northwests bankruptcy pain — Wednesday’s Chapter 11 bankruptcy filing by Northwest Airlines Corp. could put a squeeze on regional carriers Mesaba Airlines and Pinnacle Airlines Corp., which depend on Northwest for substantially all of their business. (Minneapolis/St. Paul Business Journal)

Low-fare Independence taxis toward bankruptcy — Independence Air, the scrappy low-fare upstart that challenged Northwest in Detroit and Lansing, is expected to be the next airline to fly into bankruptcy — perhaps as early as today, several analysts predicted Monday. (The Detroit News)

Two European airlines to get cellphone system — Two European airlines will allow passengers late next year to use their own cellphones on commercial flights within western Europe, a Geneva-based technology firm said Tuesday. (AP)

Lights! Camera! Hawaii perfect paradise location — For international set-jetters Hawaii is the perfect location. Indiana Jones racing for cover, dinosaurs rampaging in Jurassic Park, Elvis Presley crooning to his bride — the Hawaiian island of Kauai has offered the ultimate exotic backdrop in more than 70 Hollywood movies. (Reuters)

Rita strengthens over Florida Keys — Rapidly strengthening Hurricane Rita lashed the low-lying islands of the Florida Keys with squalls on Tuesday and Gulf Coast communities to the west braced for a possible encore to devastating Hurricane Katrina. (Reuters)

Airfare hikes not expected despite carriers’ troubles — Don’t expect fares to jump just because four major airlines are now in bankruptcy and desperately need the extra cash. So say industry observers who maintain that the slide in ticket prices in recent years won’t reverse course — at least not anytime soon — even with four of the seven largest U.S. carriers operating under Chapter 11. (Los Angeles Times)

How much is that high-speed Internet anyway? — High-speed Internet access is becoming ubiquitous at mid-range and upscale hotels. What aren’t standard are the prices you pay for that access. More and more hotels are offering free wireless access in public areas of the hotel, but what goes on behind closed doors, as in your guest room, is another matter entirely. (USA Today)


Carrie Charney, John Frenaye, Charles Leocha, Marge Purnell, Valerie Schneider, Mary Staley, Stephanus Surjaputra, Richard Wong.

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