Tag Archives: Charlotte

US Airways Group reports a 1Q net profit of $55 million

US Airways Group, Inc. (US Airways) (Phoenix) today reported its first quarter 2013 financial results. For the first quarter 2013, net profit excluding net special items was a record $55 million, or $0.31 per diluted share. Net loss excluding net special items for the first quarter 2012 was $22 million, or ($0.13) per share.

On a GAAP basis, the Company reported a net profit of $44 million for its first quarter 2013, or $0.26 per diluted share, compared to a net profit of $48 million, or $0.28 per diluted share, for the same period in 2012. See the accompanying notes in the Financial Tables section of this press release for a reconciliation of GAAP financial information to non-GAAP financial information.

US Airways Group, Inc. Chairman and CEO Doug Parker stated, “We are extremely pleased to produce these record first quarter results. Our 32,000 hard-working team members continue to run a safe and reliable airline for our customers. These outstanding results are the product of their efforts and provide a solid foundation as we plan for combining with American Airlines.

“Looking forward, our integration planning work with American is going well and we continue to expect that the merger will close in the third quarter of this year. The entire US Airways team is looking forward to working with our colleagues at American to build the premier global airline.”

Revenue and Cost Comparisons

A strong demand environment and record passenger load factors led to record revenue performance. Total revenues in the first quarter were $3.4 billion, up 3.5 percent versus the first quarter 2012 on a 1.3 percent increase in total available seat miles (ASMs). Total revenue per ASM was a record 15.78 cents, up 2.2 percent versus the same period last year, driven by a 2.4 point increase in passenger load factor.

Total operating expenses in the first quarter were $3.3 billion, up 2.2 percent over the same period last year. Mainline cost per available seat mile (CASM) was 13.82 cents, up 1.8 percent on a 1.4 percent increase in mainline ASMs. Excluding special items, fuel and profit sharing, mainline CASM was 8.77 cents, up 0.7 percent versus the same period last year. Express CASM excluding special items and fuel was 15.12 cents, down 1.3 percent on a 0.8 percent increase in ASMs.

Liquidity

As of March 31, 2013, the Company had $2.9 billion in total cash and investments, of which $352 million was restricted, up from $2.7 billion, of which $336 million was restricted on December 31, 2012.

On April 10, the Company launched and priced an offering of 2013-1 Class A and Class B enhanced equipment trust certificates (EETCs) in the aggregate face amount of approximately $820 million. The proceeds from the offering will be used to finance its purchase of 18 Airbus aircraft scheduled to be delivered from September 2013 to June 2014. The transaction is expected to close on April 24, 2013.

As a result of the above mentioned EETC transaction, the Company has secured financing commitments for all of its aircraft deliveries to June 2014.

US Airways’ Chief Financial Officer Derek Kerr stated, “We are extremely pleased with the results of our recent EETC financing transaction. Thanks to our strong financial and operational performance, along with our strategic positioning, we were able to obtain the lowest fixed rate financing on an EETC issued by a major airline since 2003.”

Special Items

The Company recognized approximately $11 million of net special charges in the first quarter. Operating special charges totaled $41 million and primarily included costs related to the merger and the ratification of the US Airways flight attendant collective bargaining agreement. In addition, the Company recognized a $30 million non operating special credit in connection with an award received in an arbitration related to previous investments in auction rate securities.

Merger with American

On February 14, US Airways announced that it had reached a definitive merger agreement with AMR Corporation to create the new American Airlines. The new American will have a robust global network, a strong financial foundation, and is expected to generate more than $1 billion in annual synergies by 2015. The Companies presently expect the transaction to close in the third quarter.

Notable Accomplishments

Marketing and Customer Enhancements

  • Began new daily, non-stop service between its largest hub in Charlotte, N.C. and London’s preferred business airport, Heathrow. The daily flight will supplement the airline’s existing daily service between its international gateway in Philadelphia and Heathrow, and replaces its service between Charlotte and London’s Gatwick airport.
  • Introduced two new choices to DineFresh, its premium meal option for customers flying in Economy to Europe, the Middle East and South America. Since the program’s inception in August 2012, US Airways remains the only U.S.-based carrier to deliver a premium meal option for customers traveling internationally to or from the United States in Economy.
  • Announced new non-stop, daily year-round service from its international gateway in Philadelphia to Salt Lake City on June 8. The new service will give customers in Salt Lake City one-stop access to destinations throughout the East Coast, Europe, the Middle East and the Caribbean.

People

  • The airline’s employees earned approximately $6 million in profit sharing for the first quarter results and an additional $4 million in operational incentive payouts through February.
  • Honored 64 employees for their more than 45 years of service with US Airways (pilots were honored for 40 years) at the airline’s service anniversary dinner.
  • Selected 51 employees to receive the fourth quarter Chairman’s Award, US Airways’ most prestigious honor.
  • Awarded ten employees $10,000 each for providing exceptional service to customers through the airline’s “Above & Beyond” program. The “Above & Beyond” program recognizes employees who provide exceptional service to the airline’s customers and fellow employees. Since launching the program in 2006, the airline has received more than 300,000 A&B coupons and has awarded nearly $7.3 million to more than 9,000 employees.
  • Announced that its 6,800 flight attendants, represented by the Association of Flight Attendants – CWA (AFA), ratified a new contract that provides immediate pay increases and includes support for the merger of US Airways and American Airlines.
  • Announced that its pilots represented by the Air Line Pilots Association (ALPA), at both wholly owned Express carriers, PSA Airlines and Piedmont Airlines, have voted to ratify new five-year collective bargaining agreements.

Other Notable Accomplishments

  • Announced that the Company has received FAA certification on its wide-body Airbus A330 aircraft for SafeRoute®, a cornerstone navigation computer software system for the FAA’s NextGen airspace redesign program.
  • Announced that the US Airways Education Foundation will award $270,000 in grants this year to nonprofit organizations in the airline’s hub cities of Charlotte, N.C., Philadelphia, Phoenix and Washington, D.C.  Grants will be awarded to children’s educational programs aimed to increase academic achievement for those they serve. Since 1992, the US Airways Education Foundation has awarded nearly $4.9 million in scholarships and grants.
  • Announced that its Community Foundation awarded a total of $125,000 in grants to Arizona Opera and Ballet Arizona to assist in facilities renovation.

Copyright Photo: Jan Petzold/AirlinersGallery.com. Airbus A319-112 N742PS (msn 1275) in the PSA retrojet scheme climbs away from Charlotte.

US Airways: AG Slide Show

United to start new service to Guatemala City and San Jose, Costa Rica tomorrow

United Airlines (Chicago) will begin weekly year-round service between its hub at Washington-Dulles International Airport and both Guatemala City, Guatemala, and San Jose, Costa Rica, on April 13.  The airline also will begin weekly year-round service between its Chicago O’Hare hub and San Jose the same day.

All routes will be operated with Boeing 737-800 aircraft with 16 seats in United Business, 48 seats in Economy Plus and 90 seats in United Economy class.  The new flights complement United’s existing service to Guatemala City and San Jose from the airline’s hubs in New York and Houston.

Copyright Photo: Jay Selman. Boeing 737-824 WL N76516 (msn 37096) with the special Eco-Skies/Commitment to the Environment markings arrives at Charlotte.

United Airlines: AG Slide Show

US Airways launches Charlotte-London Heathrow service today

US Airways (Phoenix) today (March 30) will begin daily, nonstop service between its largest hub in Charlotte, North Carolina and London’s preferred business airport, Heathrow. The daily flight will supplement the airline’s existing daily service between its international gateway in Philadelphia and Heathrow, and replaces its current service between Charlotte and London’s Gatwick airport, which ended yesterday.

US Airways will operate the service between Charlotte and London Heathrow with Airbus A330 aircraft that features Envoy, the airline’s international business class. Customers traveling in Envoy will experience the remarkably comfortable and private Envoy Suite equipped with an adjustable seat that reclines into a fully flat bed. The Envoy Suite also features personal in-flight entertainment and a 110-volt universal power outlet.

The flight schedule is as follows:

Charlotte Douglas International Airport (CLT) – London Heathrow Airport (LHR) London Heathrow Airport (LHR) – Charlotte Douglas International Airport (CLT)
Flight Departure Arrival Flight Departure Arrival
730* 7:05 p.m. 8:05 a.m. 731** 10:05 a.m. 2:10 p.m.
 

* Flight arrives next day.

** First day of Charlotte-bound flight is March 31, 2013.

The flight will originate in Miami offering customers in South Florida convenient one-stop service to London via the airline’s Charlotte hub.

Copyright Photo: Bruce Drum. Airbus A330-323X N275AY (msn 370) arrives at the Charlotte-Douglas International Airport hub.

US Airways: AG Slide Show

Delta to transport nine Major League Baseball teams for the 2013 season

Delta Air Lines (Atlanta) begins the 2013 baseball season enjoying relationships with nearly half of the league’s 30 teams.

Delta serves as the official airline of the Atlanta Braves, Cincinnati Reds, Detroit Tigers, Minnesota Twins, New York Yankees, New York Mets, Pittsburgh Pirates and St. Louis Cardinals and is a proud partner of the San Diego Padres. Delta also operates team charters for the Braves, Reds, Twins, Yankees, Mets, Pirates, Padres and Cardinals as well as the Baltimore Orioles, Boston Red Sox, Los Angeles Angels of Anaheim, Philadelphia Phillies and Tampa Bay Rays.

Delta has been partnering with Major League Baseball teams for more than 40 years, beginning with its longstanding partnership with the Atlanta Braves.

Copyright Photo: Bruce Drum. Delta has had a long history of flying sports charters. The division was expanded with the Northwest merger and has dedicated aircraft. Other aircraft are taken out of normal rotation when needed especially for major events and games. Airbus A319-114 N330NB (msn 1549) stops at Charlotte while on a sports charter.

Delta Air Lines: AG Slide Show

PSA Airlines’ pilots ratify the new contract

PSA Airlines’ (2nd) (US Airways Express) (Dayton), a wholly-owned subsidiary of US Airways (Phoenix), represented by the Air Line Pilots Association (ALPA), have voted to ratify a new five-year collective bargaining agreement that was reached on February 14. The new contract was ratified by the airline’s 515 ALPA-represented pilots who are based in in Dayton, Ohio; Knoxville, Tennessee and Charlotte, North Carolina.

Copyright Photo: Bruce Drum. PSA Airlines’ (2nd) Bombardier CRJ200 (CL-600-2B19) N261PS (msn 7959) climbs away from the Charlotte Douglas International Airport hub.

US Airways Express-PSA Airlines: AG Slide Show

Piedmont Airlines’ pilots ratify the new contract

Piedmont Airlines (US Airways Express) (2nd) (Salisbury), a wholly-owned subsidiary of US Airways (Phoenix), represented by the Air Line Pilots Association (ALPA), have voted to ratify a new five-year collective bargaining agreement that was reached on February 1. The new contract was ratified by Piedmont Airlines’ 375 ALPA-represented pilots who are based in Charlottesville, Virginia.; Harrisburg, Pennsylvania.; New Bern, North Carolina; Roanoke, Virginia and Salisbury, Maryland.

Copyright Photo: Bruce Drum. Piedmont Airlines’ (2nd) Bombardier DHC-8-102 N807EX (msn 292) taxies to the runway at the Charlotte-Douglas International Airport hub.

Piedmont Airlines: AG Slide Show

Map: US Airways keeps the historic name and logo in play with Piedmont although the aircraft are branded as US Airways Express (soon American Eagle). Piedmont operates the regional feeder routes for US Airways in the eastern United States mainly serving the Philadelphia and Charlotte hubs:

Piedmont (2nd) 3:2013 Route Map

 

US Airways applies for rights from Charlotte and Philadelphia to Sao Paulo, Brazil

US Airways (Phoenix) has filed an application with the U.S. Department of Transportation (DOT) for the rights to operate daily, year-round service between the airline’s hubs in Charlotte, N.C., and Philadelphia, and Sao Paulo, Brazil.  US Airways will begin service between Charlotte and Sao Paulo on June 8 using frequencies leased from another carrier. An award of rights for Charlotte – Sao Paulo flights will ensure US Airways avoids a service interruption due to the frequency lease terminating prior to Open Skies between the United States and Brazil commencing in 2015.

US Airways’ proposed service between Philadelphia and Sao Paulo would be the airline’s third daily flight to South America and would complement its existing service to Sao Paulo and Rio de Janeiro from its Charlotte hub.

Copyright Photo: Bruce Drum. Boeing 767-2B7 ER N252AU (msn 24765) taxies to the runway at the Charlotte hub.

US Airways: AG Slide Show

US Airways’ flight attendants ratify the new contract

US Airways‘ (Phoenix) flight attendants, represented by the Association of Flight Attendants – CWA (AFA), ratified a new contract today that provides immediate pay increases and includes support for the merger of US  Airways and American Airlines. The new contract opens four-party negotiations with American’s flight attendant union and airline representatives, an initial step in reaching a combined collective bargaining agreement. Eighty percent of flight attendants voting approved the agreement, which covers the airline’s 6,800 flight attendants who are based in US Airways’ four hub cities of Phoenix, Philadelphia, Charlotte, N.C., and Washington, D.C.

Following ratification today, the new contract specifies negotiations to begin within thirty days between airline officials at US Airways and American Airlines, AFA and the union representing American Airlines flight attendants, the Association of Professional Flight Attendants (APFA). The talks would establish protocols for reaching a combined collective bargaining agreement once the merger of US Airways and American Airlines, announced on February 14, is closed. The merger is expected to close by the third quarter of this year following regulatory agency and bankruptcy court approvals.

Copyright Photo: Jay Selman. Will the US Airways logojets survive the merger with American? Probably yes since US Airways’ CEO Doug Parker will be running the new American. Doug has always honored and celebrated the legacies of the previous airlines and wisely promoted local sports teams at his hubs. There may be more logojets coming at the new AA especially those celebrating the local AA hub cities and their sports teams. Airbus A319-112 N717UW (msn 1069) in the Carolina Panthers special sports livery taxies to the runway at the Charlotte hub.

US Airways: AG Slide Show

PSA Airlines and ALPA reach a tentative agreement for a new contract

PSA Airlines (2nd) (US Airways Express) (Dayton), a wholly-owned subsidiary of US Airways (Phoenix), has announced that it has reached a tentative agreement with the Air Line Pilots Association (ALPA), which represents the airline’s 515 pilots.

ALPA will be presenting the details of the tentative agreement to its members for a ratification vote in the coming weeks.  The tentative agreement would cover the airline’s 515 pilots, who are based in Dayton, Ohio; Knoxville, Tennessee and Charlotte, North Carolina.

Copyright Photo: Jay Selman. Bombardier CRJ200 (CL-600-2B19) N207PS (msn 7873) climbs away from the Charlotte hub.

US Airways Express-PSA Airlines: AG Slide Show

Will this be the week of an American-US Airways merger announcement?

American Airlines (Dallas/Fort Worth) and US Airways (Phoenix) are working towards a February 15 deadline to finalize their merger details. According to this report by Reuters, under the draft proposal, Chief Executive Doug Parker of US Airways would become CEO of the new American Airlines, while AMR Corporation’s Tom Horton would serve as a non-executive chairman of the AA board until the spring of 2014, when the combined new company holds its first annual meeting and votes on its management.

The boards of both airlines are expected to vote this week on the merger proposal. AMR’s creditors are due to vote today on the proposal. Depending on these votes a merger could be announced on Thursday or Friday.

US Airways would leave the Star Alliance with any merger. This merger would create the world’s largest airline and would be subject to regulatory government approvals. American Airlines would exit Chapter 11 with any merger.

Even though the merger will be stock merger, in reality, it will be US Airways management taking over American Airlines and retaining the name like America West did with the original US Airways. Since US Airways is still being operated as two airlines (East and West) the new American Airlines will have to get all of its labor agreements together finally with single contracts. A lot of work remains.

Read the full story: CLICK HERE

Top Copyright Photo: Bruce Drum. With a merger, the Star Alliance logojets would probably be one of the first US Airways aircraft to be repainted. Airbus A319-112 N703UW (msn 904) arrives at the Charlotte hub of US Airways.

American Airlines: AG Slide Show

US Airways: AG Slide Show

American Eagle’s pilots file an objection to the American-Republic CPA agreement in the bankruptcy court

American Eagle Airlines‘ (2nd) (Dallas/Fort Worth) pilots are represented by the Air Line Pilots Association, Int’l. (ALPA). The union has filed a formal objection to the capacity purchase agreement (CPA) recently announced between American Airlines (Dallas/Fort Worth) and Republic Airways Holdings (Indianapolis). The objection was filed in the United States Bankruptcy Court for the Southern District of New York.

The proposed agreement between American and Republic would severely divert the flying of large regional jets to a competitor and would needlessly undermine the value of American Eagle, threatening the livelihood of Eagle’s pilots and other employees at the airline. American Eagle, a wholly owned subsidiary of AMR, has provided the substantial majority of regional flying for American Airlines, which is also an AMR subsidiary.

“The Eagle pilots negotiated and approved a labor agreement that provides Eagle with market-competitive labor rates for the next eight years,” said Tony Gutierrez, chairman of the Eagle unit of ALPA. “This potential deal signifies AMR’s huge and unnecessary commitment to a third-party company at the expense of its own employees. If this transaction is approved, it is unclear whether a viable number of large regional jet opportunities for American would remain available to Eagle.”

In December, the bankruptcy court approved a long-term collective bargaining agreement between ALPA and Eagle that met cost-savings targets that Eagle management and AMR represented as necessary for Eagle to position itself as competitive in the regional airline industry. In the pilots’ collective bargaining agreement, Eagle management has committed to “aggressively seek to increase flying opportunities when it is economical, practical and feasible to do so, including, but not limited to, bidding on opportunities to provide additional feed to American Airlines.”

Under the proposed agreement, Republic would operate large regional jets (53 Embraer ERJ 175 aircraft) under the American Eagle brand with service to start in June 2013 and continue to increase through 2015. The agreement will then extend through 2027, as it will run for 12 years from each of the covered aircraft’s entry into service.

“Given the lack of disclosure of the economic considerations that led to this contract, the relationship of this agreement to AMR’s strategic choices, and the lack of consideration for Eagle’s interests, we believe that the Court should decline to approve the Republic motion,” states the objection submitted by ALPA.

Copyright Photo: Jay Selman. Embraer ERJ 140LR (EMB-145LR) N825AE (msn 145589) climbs away from Charlotte.

American Eagle: AG Slide Show

WSJ: American-US Airways merger is in the final stages, could come before February 15

American Airlines (Dallas/Fort Worth) and US Airways (Phoenix) continue to negotiate a very delicate merger proposal that could fall apart at any time. Negotiators are rushing to meet a February 15 deadline according to this report by the Wall Street Journal. The proposal, according to their sources, would be a stock deal with AMR’s creditors holding 72 percent of the new company and US Airways stockholders holding the other 28 percent. US Airways’ Doug Parker would take control of the “new American”. Still to be resolved, what role will American’s CEO Tom Horton play?

This merger, if approved, will create the world’s largest airline.

Read the full article: CLICK HERE

Read the analysis of a prospective AA-US merger by the WSJ: CLICK HERE

Top Copyright Photo: James Helbock. With US Airways’ CEO Doug Parker taking control, was the American new livery approved by Doug? Will this new brand survive the takeover? The first Boeing 737-800, 737-823 N908NN (msn 39238), taxies to the runway at San Diego.

American Airlines: AG Slide Show

US Airways: AG Slide Show

Bottom Copyright Photo: Jay Selman. The US Airways’ 2005 livery and brand will be phased out in any merger. Airbus A321-231 N535UW (msn 3993) climbs away from the runway at the Charlotte hub.

Piedmont Airlines and the Air Line Pilots Association (ALPA) reach a tentative agreement on a new contract

Piedmont Airlines (2nd) (US Airways Express) (Salisbury), a wholly-owned subsidiary of US Airways (Phoenix), has announced that it has reached a tentative agreement with the Air Line Pilots Association (ALPA), which represents the airline’s 375 pilots. The tentative agreement is subject to language being finalized, which is expected to occur over the next few weeks.

Copyright Photo: Bruce Drum. Piedmont Airlines’ Bombardier DHC-8-102 N936HA (msn 145) taxies to the runway at the Charlotte hub.

US Airways Express-Piedmont Airlines (2nd): AG Slide Show

US Airways reports its highest annual profit in company history

US Airways Group, Inc. (US Airways) (Phoenix) today reported its fourth quarter and 2012 financial results. For full year 2012, the Company reported a record net profit of $537 million, or $2.79 per diluted share, which excludes net special items totaling a credit of $100 million. This compares to a full year 2011 net profit of $111 million excluding net special items, or $0.68 per diluted share. On a GAAP basis, the Company reported a record net profit of $637 million, or $3.28 per diluted share for 2012, up 797 percent over the 2011 net profit of $71 million, or $0.44 per diluted share.

For the fourth quarter 2012, net profit excluding net special items was $46 million, or $0.26 per diluted share. Net profit excluding net special items for the fourth quarter 2011 was $21 million, or $0.13 per diluted share. On a GAAP basis, the Company reported a record net profit of $37 million for its fourth quarter 2012, or $0.22 per diluted share, compared to a net profit of $18 million, or $0.11 per diluted share, for the same period in 2011. As previously disclosed, the Company’s fourth quarter and full year results were negatively impacted by approximately $35 million due to Hurricane Sandy. See the accompanying notes in the Financial Tables section of this press release for a reconciliation of GAAP financial information to non-GAAP financial information.

US Airways Group, Inc. Chairman and CEO Doug Parker stated, “We couldn’t be happier with the performance of US Airways in 2012. Our 32,000 hard-working team members did a phenomenal job of running a safe and reliable airline for our customers and these record financial results are the result of their efforts.

A strong demand environment and record passenger yields led to improved revenue performance. Total revenues in the fourth quarter were a record $3.3 billion, up 3.9 percent versus the fourth quarter 2011 on a 1.4 percent increase in total available seat miles (ASMs). Total revenue per ASM was a record 15.58 cents, up 2.5 percent versus the same period last year driven by a two point increase in passenger load factor.

For the full year 2012, total revenues were a record $13.8 billion, up 5.9 percent versus 2011. Total revenue per ASM increased 3.9 percent to a record 15.64 cents, driven by a 3.5 percent increase in passenger yield and a record load factor of 82.9 percent, up from 82.3 percent in 2011.

Total operating expenses in the fourth quarter were $3.2 billion, up 3.5 percent over the same period last year. Mainline cost per available seat mile (CASM) was 13.55 cents, up 2.8 percent on a 0.7 percent increase in mainline ASMs. Excluding special items, fuel and profit sharing, mainline CASM was 8.73 cents, up 2.9 percent versus the same period last year. Express CASM excluding special items and fuel was 14.54 cents, down 2.7 percent on a 4.8 percent increase in ASMs.

For the full year 2012, total operating expenses were $13.0 billion, up 2.7 percent versus 2011. Excluding special items, fuel and profit sharing, mainline CASM increased 0.5 percent to 8.39 cents. Express CASM excluding special items and fuel decreased 1.5 percent to 14.49 cents.

Liquidity

As of December 31, 2012, the Company had $2.71 billion in total cash and investments, of which $336 million was restricted, up from $2.31 billion, of which $365 million was restricted on December 31, 2011.

Special Items

The Company recognized approximately $9 million of net special items in the fourth quarter, which are primarily related to corporate transaction and auction rate securities arbitration costs.

Copyright Photo: Bruce Drum. The remaining Boeing 737-400s will be the next type to be retired by US Airways. Boeing 737-4B7 N439US (msn 24781) climbs away from the runway at Charlotte.

US Airways: AG Slide Show

US Airways to switch the Charlotte-London route to Heathrow Airport on March 30

US Airways (Phoenix) today announced that service between the airline’s largest hub in Charlotte, N.C. and London’s preferred business airport, Heathrow Airport, will start on March 30, 2013. The daily flight will supplement the airline’s existing daily service between its international gateway in Philadelphia and Heathrow and replace its current service between Charlotte and London’s Gatwick Airport, which ends on March 29.

US Airways will operate service between Charlotte and London Heathrow with Airbus A330-300 aircraft with seating for 28 in Envoy, the airline’s international business class, and 263 in the main cabin.

The flight schedule is as follows.

Charlotte Douglas International Airport (CLT) – London Heathrow Airport (LHR) London Heathrow Airport (LHR) – Charlotte Douglas International Airport (CLT)
Flight Departure Arrival Flight Departure Arrival
730* 7:05 p.m. 8:05 a.m. 731** 10:05 a.m. 2:10 p.m.
* Flight arrives next day.

** First day of Charlotte-bound flight is March 31, 2013.

The flight will originate in Miami offering customers in South Florida one-stop service to London via the airline’s Charlotte hub.

US Airways recently announced the launch of new service between Charlotte and its second destination in Brazil, Sao Paulo, beginning on May 5, 2013.

Copyright Photo: Bruce Drum. Airbus A330-323X N277AY (msn 380) taxies to the runway at the Charlotte hub.

US Airways: AG Slide Show

US Airways makes a formal merger proposal to American Airlines

US Airways (Phoenix) has presented a formal merger proposal to American Airlines (Dallas/Fort Worth) according to a report by the Associated Press as reported by the Charlotte Observer. Under the proposal, US Airways’ CEO Doug Parker would head the new company which would retain the American name and the Dallas/Fort Worth headquarters.

Additionally American Airlines’ pilots have approved the new labor contract paving the way for AA to exit Chapter 11 bankruptcy reorganization and also a possible merger with US Airways. American’s CEO Tom Horton, who is likely to lose his job in any merger, has told his employees a decision on the merger proposal will be coming soon.

Read the full report: CLICK HERE

In other news, US Airways will launch daily nonstop service to Sao Paulo, Brazil from its largest hub at Charlotte, North Carolina beginning on May 5, 2013.  The new route is US Airways’ second destination in South America and complements the airline’s existing nonstop service to Rio de Janeiro from Charlotte. US Airways will operate service to Brazil’s largest city on Boeing 767-200 ER aircraft with seating for 18 in Envoy, US Airways’ international business class, and 186 in the main cabin.

Copyright Photo: Bruce Drum. US Airways’ Boeing 767-2B7 ER N256AY (msn 26847) departs from the Charlotte hub. The additional long-range routes are extending the career for the wide-body type with US Airways. A merger with AA would end the US Airways name and brand. However with Doug Parker in control of a new American Airlines there will also be a new long-overdue brand for AA for sure.

American Airlines: AG Slide Show

US Airways: AG Slide Show

US Airways retires the last Boeing 737-300 after 28 years

US Airways (Phoenix) quietly retired its last Boeing 737-300 on November 26 from revenue service. Aircraft 737-3B7 N530AU (msn 24412) operated flight US 1611 from Raleigh/Durham to the Charlotte hub ending 28 years of faithful service for the type with the company per Airliners.net. USAir was the launch customer of the 737-300 and received its first copy (N353AU, later registered as N374US) on November 28, 1984. N530AU was delivered new on June 26, 1989. N530AU was immediately ferried to Miami. US Airways still operates the Boeing 737-400.

Southwest Airlines currently still operates the Boeing 737-300 and is now likely to be the longest operator of the type when retired.

Top Copyright Photo: Bruce Drum. Boeing 737-3B7 N530AU (msn 24412) taxies to the runway at Charlotte.

US Airways: 

Bottom Copyright Photo: Keith Armes. Originally the Boeing 737-300 fleet wore the 1975 Allegheny Airlines livery. Boeing 737-3B7 N351AU (msn 22951) is pictured at Orlando, a popular destination for the new type in the early years. Later the type was relegated to shorter feeder routes.

US Airways awarded the Charlotte-London Heathrow route, flight attendants vote to strike

US Airways (Phoenix) has announced it has been awarded operating slots to inaugurate daily, nonstop service between its Charlotte hub and London’s preferred business airport, Heathrow, beginning in March 2013. US Airways will operate the service between Charlotte and London Heathrow with Airbus A330 aircraft that features Envoy, the airline’s international business class.  Specific schedule and fare details will be released at a later date.

The new service from Charlotte, N.C. will supplement the airline’s existing daily service between its international gateway in Philadelphia and London Heathrow.

The flight will originate in Miami, offering customers in South Florida convenient one-stop service to London via the airline’s Charlotte hub.

On the flip side, US Airways’ flight attendants have voted by a 94 percent margin to authorize a strike should the continued negotiations fail according to this report by Reuters.

Read the full report: CLICK HERE

Copyright Photo: Bruce Drum. Airbus A330-243 N279AY (msn 1011) climbs away from the runway at the Charlotte hub.

US Airways: 

US Airways to return seasonal service to Shannon, Ireland on May 22, 2013

US Airways (Phoenix) resumes daily nonstop service from its international gateway at Philadelphia to Shannon, Ireland on May 22, 2013 after a nearly four-year hiatus.  The airline will operate flights to Shannon on 176-seat dual-class Boeing 757-200 aircraft until September 3, 2013.  The seasonal service complements US Airways’ existing year-round daily service to Dublin, Ireland from Philadelphia and seasonal daily service from its hub in Charlotte, North Carolina.

The flight schedule is as follows:

Philadelphia International Airport (PHL) – Shannon Airport (SNN)
Flight Departure Arrival
776 9:05 p.m. 8:40 a.m.*
Shannon Airport (SNN) – Philadelphia International Airport (PHL)
Flight Departure Arrival
777 11:35 a.m. 2:05 p.m.
*Flight arrives next day.

Copyright Photo: Jay Selman. Boeing 757-225 N924UW (msn 22204) taxies to the runway at Charlotte Douglas International Airport (CLT).

US Airways: 

Pinnacle Airlines reaches a tentative contract agreement with its flight attendants

Pinnacle Airlines Corporation’s (Memphis) wholly owned subsidiary, Pinnacle Airlines Inc. (Memphis), announced  it has reached a tentative agreement with the Association of Flight Attendants-CWA (AFA), the legal representative of the Pinnacle Airlines Flight Attendant group. Pinnacle is seeking concessions from all of its employees in order to emerge successfully from Chapter 11 proceedings with a competitive cost structure. The two sides reached a tentative agreement on concessions that cover pay, retirement, work rules and benefits. The concessions would become effective when concessions are implemented for other labor groups and non-union employees. AFA members at the airline will now have the opportunity to vote on the tentative agreement in the coming days and, if ratified, will avoid the Section 1113 litigation process in bankruptcy court.

The tentative agreement also remains subject to required corporate approvals and review by the Bankruptcy Court.

Copyright Photo: Bruce Drum. Pinnacle Airlines’ Bombardier CRJ200 (CL-600-2B19) N8918B (msn 7918) taxies at Charlotte.

Delta Connection-Pinnacle: 

US Airways’ flight attendants reject the new contract

US Airways‘ (Phoenix) flight attendants, represented by the the Association of Flight Attendants (AFA), voted 51 percent against ratifying the proposed five-year agreement that would have amended existing contracts for the 6,800 flight attendants.

US Airways issued the following statement:

Flight attendants at US Airways, represented by the Association of Flight Attendants (AFA) have voted 51 percent to 49 percent to not ratify a proposed five-year collective bargaining agreement between the carrier and AFA. US Airways and AFA reached a tentative agreement on August 7, 2012 that would have amended existing contracts for the airline’s 6,800 flight attendants who are based in its three hub cities of Charlotte, N.C., Philadelphia and Phoenix and its Washington, D.C. focus city.

“We are disappointed that our flight attendants chose to vote against ratification of a new contract,” said Doug Parker, US Airways’ Chairman and CEO. “The tentative agreement was unanimously endorsed by AFA leaders in each domicile and by the members of the AFA negotiating committee, and we thank them for their leadership. We would also like to express our appreciation to National Mediation Board Member Linda Puchala and Mediator Jim Mackenzie and Veda Shook, AFA’s International President, for their assistance in reaching the tentative agreement. Going forward, our current collective bargaining agreements remain in place, and we will consult with the National Mediation Board (NMB) to determine the next steps.”

Copyright Photo: Bruce Drum. Airbus A319-112 N745VJ (msn 1289) painted in the 1966 Allegheny Airlines legacy livery taxies to the runway at the Charlotte Douglas International Airport hub.

US Airways: 

American and US Airways announce they are now formally exploring a merger

American Airlines (Dallas/Fort Worth) and US Airways (Phoenix) announced today they are now officially exploring a merger. The following statement was issued this morning:

“AMR Corporation (“AMR”), the parent company of American Airlines®, and US Airways Group, Inc. today announced that they have entered into a non-disclosure agreement (“NDA”), under which the companies have agreed to exchange certain confidential information and, in close collaboration with AMR’s Unsecured Creditors Committee, to work in good faith to evaluate a potential combination.

The companies do not expect to provide any further announcements regarding the status of any such discussions unless and until the parties have entered into a transaction or discussions between the parties have been terminated. Furthermore, AMR and US Airways have each agreed while they are evaluating a potential combination that they and their representatives will not engage in discussions with other parties concerning a potential combination of AMR and US Airways. The companies noted that there can be no assurance that a transaction will result from these discussions.”

Top Copyright Photo: Bruce Drum. American is a large Boeing operator with Airbus aircraft on order. Boeing 737-823 N959AN (msn 30828) taxies at Miami.

American Airlines: 

US Airways: 

Bottom Copyright Photo: Bruce Drum. US Airways has a large Airbus fleet. The company is also getting ready to phase out its last Boeing 737-300 after Labor Day. Boeing 737-301 N574US (msn 23739) departs from Charlotte.

US Airways reaches a tentative agreement with its flight attendants

US Airways (Phoenix) has announced that it has reached a tentative agreement on a collective bargaining agreement with the Association of Flight Attendants (AFA), which represents the airline’s 6,800 mainline flight attendants who are based in US Airways’ three hub cities of Phoenix, Philadelphia and Charlotte, N.C., and in its Washington, D.C. focus city.

Copyright Photo: Bruce Drum. Airbus A320-214 N114UW arrives at the Charlotte hub.

US Airways: 

JetBlue reconfigures its Embraer ERJ 190s

JetBlue Airways (New York) today announced the reconfiguration of its Embraer ERJ 190 fleet to offer customers two more rows of its coveted Even More Space seats.  For a small additional fee, sixteen seats in rows 1, 12, 13 and 14 offer extra legroom and are now available on all of the airline’s 100-seat ERJ 190 aircraft.  Rows 1 and 12 offer 38 inches of legroom while rows 13 and 14 offer 39 inches in addition to bonus Even More services including early boarding, early access to overhead bin space and Even More Speed expedited security at select airports.

Copyright Photo: Bruce Drum. Embraer ERJ 190-100 IGW N197GB (msn 19000020) taxies to the runway at Charlotte in the “Dots” livery.

JetBlue: 

US Airways Group reports its highest quarterly profit in its history

US Airways Group, Inc. (US Airways) (Phoenix) today reported its second quarter 2012 results:

  • The Company reported a record second quarter net profit excluding net special charges of $321 million, or $1.61 per diluted share. This is a 203 percent increase versus the Company’s second quarter 2011 net profit excluding net special charges of $106 million, or $0.56 per diluted share.
  • On a GAAP basis, the Company reported record net profit for the second quarter 2012 of $306 million, or $1.54 per diluted share. This is 233 percent above the second quarter 2011 net profit of $92 million, or $0.49 per diluted share. It is also the highest quarterly profit in company history.
  • The Company accrued $33 million during the quarter for its annual employee profit sharing program. In addition, through May US Airways’ employees earned approximately $10 million in operational incentive payouts related to the Company’s outstanding operational performance.

Revenue and Cost Comparisons

Strong passenger demand and record passenger yields led to improved revenue performance. Total revenues in the second quarter were a record $3.8 billion, up 7.2 percent versus the second quarter 2011 on a 1.0 percent increase in total available seat miles (ASMs). Total revenue per ASM was a record 16.30 cents, up 6.1 percent versus the same period last year, driven by a 7.4 percent increase in passenger yields.

Total operating expenses in the second quarter were $3.4 billion, up 0.7 percent over the same period last year. Mainline cost per available seat mile (CASM) was 13.14 cents, down 0.1 percent on a 1.4 percent increase in mainline ASMs. Total average fuel price per gallon fell 3.5 percent versus last year, to $3.18 per gallon. Excluding special charges, fuel, and profit sharing mainline CASM was 8.25 cents, up 1.1 percent versus the same period last year. Express CASM excluding special charges and fuel was 14.19 cents, down 0.1 percent on a 1.1 percent decrease in Express ASMs.

Liquidity

As of June 30, 2012, the Company had $2.9 billion in total cash and investments, of which $393 million was restricted. That is up from $2.6 billion, of which $388 million was restricted, on June 30, 2011.

During the second quarter, the Company completed an enhanced equipment trust certificate offering in the aggregate face amount of approximately $623 million. The proceeds were used to refinance two Airbus aircraft owned by US Airways and to finance the Company’s purchase of twelve Airbus aircraft scheduled to be delivered from Sept. 2012 to March 2013 with the remaining balance used for general corporate purposes.

Special Charges

The Company recognized $15 million of net special charges in the second quarter of 2012. This included $9 million of net operating expense primarily related to corporate transaction and auction rate securities arbitration costs and a gain on a vendor settlement and a $3 million charge associated with the ratification of a new fleet and passenger services contract at Piedmont, a wholly-owned Express subsidiary. In addition, the Company recorded $3 million in nonoperating expense related to debt pre-payment penalties and non-cash write-offs of certain debt issuance costs.

Copyright Photo: Jay Selman.

US Airways: 

US Airways’ CEO Doug Parker makes his case for a merger with American Airlines before the National Press Club

US Airways Group, Inc. (Phoenix) announced its Chairman and CEO Doug Parker presented at yesterday’s (July 18) National Press Club Luncheon in Washington, D.C.  Mr. Parker discussed the current state of the airline industry, the positive impact of mergers for the industry and the benefits of a merger between US Airways and American Airlines.  Mr. Parker was joined at the head table at the National Press Club by the leadership of American Airlines’ three unions, representing 55,000 American Airlines employees: Captain David Bates, President of the Allied Pilots Association; Laura Glading, President of the Association of Professional Flight Attendants; and John Conley, International Vice President and Assistant to the International President, Jim C. Little, of the Transport Workers Union.

Mr. Parker discussed the benefits of mergers in the industry.  He noted how mergers have benefited United and Continental, Delta and Northwest, Southwest and AirTran, and America West and US Airways.  In addition, Mr. Parker pointed out that there are real advantages to combining airlines for employees, customers and communities:

“All four combined airlines provide better networks and are now profitable. By combining complementary networks to provide more attractive and efficient service, mergers have led to increased traffic, cost reductions, and vigorous competition … The benefits of this trend extend way past the bottom line: there are real advantages to combining airlines for employees, customers and communities. Employees will benefit from greater job security and more long-term opportunities if they’re working for a successful airline. Customers will gain more flight options at better times to more places. And whenever two airlines combine, they open the communities that they serve to many more new travelers.”

Mr. Parker outlined the fundamental network challenges that stem from American Airlines’ “cornerstone” strategy, which focuses on five large cities instead of a comprehensive network.  Mr. Parker described how American Airlines has lost market share across the United States and why the cornerstone strategy does not address the network deficiencies of American Airlines versus United and Delta:

“Simply put, American has hubs in Dallas, Chicago and Los Angeles to connect people around the United States, and strong international gateways in both JFK and Miami. But that leaves a large hole in the network up and down the East Coast. This means American cannot easily serve the popular and highly lucrative East Coast region, which causes it to miss out on an enormous source of corporate business, as well as all the consumers who travel up and down the Eastern seaboard.”

Mr. Parker explained how a merger with US Airways solves American Airlines’ network challenges and creates a more comprehensive network. In particular, he noted that the networks are complementary and combining them would result in significant benefits to all stakeholders, including customers, communities, US Airways shareholders, American Airlines creditors and employees:

“A combination with US Airways would create such a network. We’ve taken a long, hard look at American, and we know that together we can build the greatest airline in the world—an airline that can compete more effectively with the networks of United, Delta and others. Together, American and US Airways can connect more communities and provide greater benefits for American’s creditors and US Airways’ shareholders than either airline could on a standalone basis. Furthermore, we would also save thousands of jobs and offer better compensation and long-term opportunities for employees of both airlines.”

Mr. Parker highlighted American Airlines’ merger protocol, which American Airlines recently announced it was ready to move forward with, and reiterated his desire to present US Airways’ plan to American Airlines:

“All that we want is a fair chance to present our plan, and to compare it to all others in a process that doesn’t disadvantage any of the options, and that determines the best plan based on what is best for the owners of AMR—its creditors. We understand there may be as many as four other airlines included in this merger analysis project, and we welcome the competition. We are certain that any objective analysis will conclude that the best plan for the creditors, employees and customers of American is a merger with US Airways during the bankruptcy process.”

Mr. Parker praised the efforts of American Airlines’ three unions – the Allied Pilots Association, the Association of Professional Flight Attendants and the Transport Workers Union – to support the merger:

“The decision by those labor leaders to come out in support of a merger was an unprecedented move on their part, and I think is one of the great untold stories of this process so far. Some people improperly characterize their support as being driven by US Airways’ willingness to pay their members more. But as they will tell you, the gap between our proposals and American’s is not very large. Their support is not driven by short-term gains, but rather by the fact they have taken the time to study the long term strategic underpinnings of each plan. They have hired advisors to help them and they have listened and led. In the end, they have supported this merger because they understand the best thing for their members is a strong, competitive merged airline with a long-term strategic advantage.

The employees of American Airlines are lucky to have these forward-thinking leaders representing them and I’m proud to be working with them.”

A replay of the webcast is available at http://www.press.org/events/npc-luncheon-doug-parker-ceo-us-airways.  A copy of Mr. Parker’s speech, as prepared, is available athttp://www.usairways.com/en-US/aboutus/investorrelations/webcast.html.

Copyright Photo: Jay Selman. US Airways has become what it is today through mergers of several local service airlines including Piedmont Airlines. The company honors its colorful past with its legacy logojets. Airbus A319-112 N744P climbs aways from the Charlotte hub dressed in Piedmont Airlines 1974 color scheme.

US Airways: 

JetBlue Airways is coming to Providence, Rhode Island 0n November 29

JetBlue Airways (New York) has selected Providence, Rhode Island as the 75th destination in its growing route network.  Governor Lincoln Chafee, Rhode Island Airport Corporation Board Chair Dr. Kathleen Hittner, and top leaders of government, the business community and travel and tourism officials joined JetBlue’s President and CEO Dave Barger at a press event on the steps of the state capitol this morning to reveal JetBlue’s intent to serve T.F. Green International Airport (PVD), with twice daily nonstop service to Orlando International Airport (MCO) and one daily flight to Fort Lauderdale/Hollywood International Airport (FLL) in Florida beginning on Thursday, November 29, 2012.

JetBlue’s schedule between Providence and Orlando:

PVD to MCO: MCO to PVD:
Depart – Arrive Depart – Arrive
8:00 a.m. – 11:10 a.m.

3:20 p.m. – 6:30 p.m.

11:55 a.m. – 2:35 p.m.

6:55 p.m. – 9:35 p.m.

- Flights operate year round beginning Thurs., Nov. 29, 2012 -

Customers traveling between Providence and Orlando can conveniently connect onwards to three other cities in JetBlue’s route network: Aguadilla, Puerto Rico; Montego Bay, Jamaica; or Nassau, The Bahamas.

JetBlue’s schedule between Providence and Fort Lauderdale/Hollywood:

PVD to FLL: FLL to PVD:
Depart – Arrive Depart – Arrive
4:15 p.m. – 7:40 p.m. 12:35 p.m. – 3:30 p.m.
- Flights operate year round beginning Thurs., Nov. 29, 2012 -

JetBlue offers service from six additional New England airports, including: Burlington, Vermont; Hartford/Springfield, Connecticut; Martha’s Vineyard and Nantucket, Massachusetts; Portland, Maine; and Boston, where JetBlue is the largest carrier and serves 45 nonstop destinations.

Copyright Photo: Bruce Drum.

JetBlue Airways: 

Piedmont Airlines’ fleet and passenger service employees ratify the contract

Piedmont Airlines (2nd) (subsidiary of US Airways) (US Airways Express) (Salisbury) fleet and passenger service employees have voted to ratify the new collective bargaining agreement previously announced on May 31. The new four and a half year agreement was ratified by Piedmont Airlines’ more than 3,000 employees who are represented by the Communications Workers of America (CWA).

Copyright Photo: Bruce Drum.

US Airways Express-Piedmont Airlines: 

US Airways announces a new code share agreement with Croatia Airlines

US Airways (Phoenix) and Croatia Airlines (Zagreb) today (June 27) announced a new bilateral codeshare agreement after receiving approval from the Croatian Civil Aviation Agency and the U.S. Department of Transportation (DOT). US Airways’ customers will enjoy expanded service to destinations in Croatia and the convenience of a single-ticket purchase for a seamless travel experience. Customers traveling on Croatia Airlines will also receive expanded access to the United States.

US Airways customers will be able to connect to Zagreb on Croatia Airlines flights from Amsterdam, Brussels, Frankfurt, London-Heathrow, Munich and Zurich. Equally, Croatia Airlines’ customers traveling from Zagreb will have access to US Airways’ East Coast hubs of Charlotte and Philadelphia when traveling from these European destinations. Croatia Airlines will also add its code on US Airways flights from Philadelphia to Cleveland, Detroit and St. Louis. In the future, US Airways and Croatia Airlines intend to expand their relationship to include flights to and from Dubrovnik and Split.

Top Copyright Photo: Jay Selman.

US Airways: 

Croatia Airlines: 

Bottom Copyright Photo: Keith Burton.

Southwest Airlines and AirTran Airways aircraft maintenance technicians ratify Seniority Integration Agreement

Southwest Airlines (Dallas) announced the Aircraft Maintenance Technicians (AMT) from Southwest Airlines, represented by the Aircraft Mechanics Fraternal Association (AMFA), and AirTran Airways (Dallas), represented by the International Brotherhood of Teamsters (IBT) Local 528, voted to ratify their Seniority Integration Agreement. This agreement integrates the two groups’ seniority lists. Southwest Airlines finalized closing of the acquisition of AirTran Holdings, Inc., on May 2, 2011.

AMFA represents approximately 1,750 Southwest Airlines Aircraft Maintenance Technicians, and the IBT represents close to 500 Mechanics from AirTran Airways.

Today’s vote by the AMTs means they now join the Pilots, Flight Attendants, Flight Instructors, Dispatchers, and Ramp, Operations, Provisioning and Freight Agents as having successfully completed the Seniority Integration negotiation process. Work groups still in seniority integration negotiations include Customer Service Agents and Customer Support and Service Employees and Materials Specialists.

This moves the merger one step closer.

Top Copyright Photo: Bruce Drum.

Southwest Airlines: 

AirTran Airways: 

Bottom Copyright Photo: Jay Selman. The AirTran Boeing 717s will not be painted in Southwest’s livery.

US Airways’ CEO Doug Parker: American would be a more competitive airline with US Airways

US Airways‘ (Phoenix) Doug Parker continues to plead his case before various audiences for a merger with American Airlines (Dallas/Fort Worth) despite continued resistance by AA’s upper management which wants to come out of Chapter 11 as a stand alone carrier. According to Reuters, Parker has stated American “sat out” the previous merger movement and as a result is weak in certain geographic areas when compared to other strong competitors. Together he feels they could be a superior carrier. Over to you AA.

Read the full report: CLICK HERE

Copyright Photo: Jay Selman.

US Airways: 

US Airways to file for antitrust immunity next month for a merger with American Airlines

US Airways (Phoenix) is planning to file the necessary paperwork with the antitrust regulators for a proposed merger with AMR Corporation (Dallas/Fort Worth), the bankrupt parent of American Airlines (Dallas/Fort Worth), according to this report by Reuters. US Airways believes such a filing would ease antitrust concerns about a possible merger. Meanwhile American’s management is proceeding with their own Chapter 11 reorganization as a stand-alone carrier despite undying pressure from the unsecured creditors and the unions to consider a merger with US Airways.

Read the full report: CLICK HERE

Top Copyright Photo: Jay Selman.

US Airways: 

American: 

Bottom Copyright Photo: Bruce Drum.

US Airways launches flights to 14 new destinations from Washington, D.C.’s Reagan National Airport

US Airways (Phoenix) yesterday (March 25) began new service to 11 communities and improved service to three from Washington, D.C’s Reagan National Airport. The airline launched nonstop flights to Birmingham, Ala.; Fayetteville, N.C.; Islip, N.Y.; Little Rock, Ark.; Jacksonville, N.C.; Pensacola, Fla.; Tallahassee, Fla. and Ft. Walton Beach, Fla. US Airways will be the sole carrier to provide service to customers in these communities to Washington’s downtown airport.

New service also began to Memphis, Tenn.; Omaha, Neb. and Ottawa, Ontario.  These communities are currently served by other carriers at Reagan National. In addition to the 11 new communities the airline did not previously serve, it has also added improved service on existing routes between Reagan National and Savannah, Ga.; Bangor, Maine and Hartford, Conn.

On March 21, the airline also announced that it would begin service to six additional communities from the District’s downtown airport. Once these flights commence in June and July, the airline will have a total of 22 new routes served from Reagan National. The new flights are a part of US Airways’ plan to focus on its core service areas of Washington, D.C., Philadelphia, Phoenix and Charlotte, N.C.

Beginning July 11, 99 percent of the airline’s available seat miles (ASMs) will operate to or from its core service areas and US Airways Shuttle that operates hourly between Washington, Boston and New York’s LaGuardia Airport.

Copyright Photo: Bruce Drum.

US Airways Express-Republic Slide Show: CLICK HERE

US Airways and Mesa Air Group extend their contract

US Airways (Phoenix) and the Mesa Air Group, Inc. (Phoenix) have announced they have reached an agreement in principle to extend their code share agreement covering 38 Bombardier CRJ900 aircraft for an additional term of 39 months to September 2015. Under the term sheet, Mesa Airlines, Inc., a wholly owned subsidiary of Mesa Air Group, will continue to provide regional jet service under the US Airways Express banner. The agreement is subject to approval by Mesa’s and US Airways Boards of Directors and the Bankruptcy Court overseeing Mesa’s restructuring.

Copyright Photo: Bruce Drum. Please click on photo for more background information.

Under the agreement Mesa will continue to provide US Airways Express service out of US Airways’ hubs in Phoenix, AZ and Charlotte, NC utilizing aircraft in Mesa’s current fleet.

Mesa Air Group proposes to make US Airways a part owner

Mesa Air Group (Phoenix) is proposing to issue 10 percent of its post-bankruptcy stock to US Airways in exchange for a new US Airways Express contract under its restructuring plan filed September 17 in the U.S. Bankruptcy Court in New York.

Read the full report from Bloomberg Businessweek:

CLICK HERE

Copyright Photo: Bruce Drum. Mesa’s Bombardier CRJ900 (CL-600-2D24) N919FJ (msn 15019) taxies to the runway at Charlotte.

Dynamic Aviation establishes Dynamic Airways as a new charter airline

Dynamic Aviation (Bridgewater Airpark, VA) has established Dynamic Airways as a new charter airline. The new airline is planning to start FAA proving flights as it prepares to obtain its AOC.

Copyright Photo: Jay Selman. The first aircraft is this ex-Midwest Airlines McDonnell Douglas MD-88 now registered as N880DA (msn 49760, ex N701ME). The airliner is pictured at Charlotte.

US Airways’ pilots protest pay and the slow pace of contract talks

The US Airline Pilots Association (USAPA), representing the pilots of US Airways (Phoenix) are picketing at the Philadelphia International Airport today (September 8) to bring attention to what it believes to be US Airways’ deliberate efforts to drag out contract negotiations since 2005, while benefiting from paying its pilots the lowest wages among the major airlines.

In September 2005, US Airways and America West Airlines announced a merger of the two carriers. In USAPA’s view, that attempt at consolidation has not gone smoothly.

Because of the separate pilot contracts, US Airways is really two airlines (East and West) operating under the same brand but the flight crews and aircraft are not mixed.

According to the union, the US Airways pilots entered contract negotiations with management in November 2005 under the terms of a Transition Agreement at the time of the US Airways-America West merger. In April 2009, USAPA requested a National Mediation Board (NMB) facilitator to assist the parties in reaching an agreement, but US Airways rejected that proposal. In November 2009, USAPA applied directly to the NMB for federally-mediated talks. The NMB granted that request in January 2010. NMB-mediated contract negotiations are currently ongoing.

USAPA believes that, should US Airways management fail to adequately address the pilots’ concerns, contract talks could reach an impasse and end in a self-help situation.

Copyright Photo: Bruce Drum. Belonging to the East fleet, Airbus A319-112 N733UW (msn 1205), dressed in the NFL’s Pittsburgh Steelers brand, taxies to the runway at Charlotte. The NFL begins a new football season on September 9.

US Airways to add more New York LaGuardia flights

US Airways (Phoenix) announced it is adding more flights from more destinations to New York City, including new service from seven East Coast cities to New York’s LaGuardia Airport. Two of the cities receiving new air service, Hartford, CT. and Harrisburg, PA., currently do not have nonstop flights to LaGuardia on any other airline. In addition to the seven new markets, three additional cities are seeing an increase in round trips to LaGuardia.

The new and expanded service begins on October 31 and will be operated by US Airways Express partners Air Wisconsin, Chautauqua Airlines, Piedmont Airlines (2nd), PSA Airlines (2nd) and Republic Airlines (2nd). With these additions, US Airways increases its presence at LaGuardia to 194 peak-day departures to 34 airports.

Click below for additional details:

CLICK HERE

Copyright Photo: Dave Campbell. PSA Airlines’ (2nd) Bombardier CRJ700 N702PS (msn 10135) climbs away from Charlotte.

ExpressJet loses $18.6 million in the 2Q

ExpressJet Holdings, Inc. (Houston), parent company of regional and charter airline operator, ExpressJet Airlines (Houston) reported a second quarter loss of $5 million or $0.27 per diluted share excluding special items primarily related to non-cash adjustments of deferred tax assets and impairment of fixed assets. Including special items, ExpressJet’s loss totaled $18.6 million or $0.99 per diluted share for second quarter 2010.

For the six months ended June 30, ExpressJet’s loss excluding special items totaled $18.2 million or $1.00 per diluted share. Including special items, ExpressJet reported a loss of $34.7 million or $1.92 per diluted share for the six months ended June 30, 2010.

Subsequent to quarter-end, ExpressJet announced that it signed a definitive merger agreement with SkyWest, Inc. (Nasdaq:SKYW – News) whereby SkyWest, Inc. will acquire all of the outstanding common shares of ExpressJet for $6.75 per share in cash subject to the conditions of the definitive merger agreement. SkyWest, Inc. advised that its intention is that ExpressJet will be merged with its wholly-owned subsidiary, Atlantic Southeast Airlines following the closing of the transaction and receipt of all required regulatory approvals.

Copyright Photo: Bruce Drum. ExpressJet’s Embraer ERJ 145LR N15980 (msn 145202) taxies to the active runway at Charlotte.

US Airways wins DOT approval for Charlotte-Sao Paulo

US Airways (Phoenix) has gained approval from the U.S. Department of Transportation (DOT) to lease a slot from United Airlines in order to start the proposed Charlotte-Sao Paulo route. However the Brazilians have yet to give approval for the new route.

Read the full story from the Charlotte Observer:

CLICK HERE

Copyright Photo: Jay Selman. Airbus A330-243 N281AY (msn 1041) lifts off from the CLT hub.

US Airways produces the second highest quarterly profit since the merger

US Airways (Phoenix) reported a net profit for the second quarter 2010 of $279 million, or $1.41 per diluted share. This is the second highest quarterly profit since the merger of US Airways and America West in 2005.

Excluding special items, US Airways reported a net profit of $265 million, or $1.34 per diluted share, for the second quarter 2010.

Copyright Photo: Jay Selman. Airbus A319-112 N717UW (msn 1069) dressed in the uniform of the NFL Carolina Panthers departs from the Charlotte hub.

US Airways to distribute $5.1 million to its 31,000 employees ($150 each employee)

US Airways (Phoenix) for the first time since its 2005 merger with America West Airlines, scored Number 1 in each of the on-time performance, baggage handling and customer satisfaction measures among the “Big Five” network carriers in the U.S. Department of Transportation’s (DOT) May 2010 Air Travel Consumer Report. As a result, the airline will distribute $5.1 million among its 31,000 employees later this month. The airline awards $50 per metric (on time, baggage and complaints) when it places first among the larger network carriers; a “triple play” performance means each employee will receive a $150 bonus for May’s results.

Copyright Photo: Jay Selman. Airbus A330-243 N281AY (msn 1041) rotates at the Charlotte hub.

Falcon Air Express is operating McDonnell Douglas DC-9-83 N836NK for Gold Transportation Services

Copyright Photo: Jay Selman.

Falcon Air Express (Miami) is operating its ex-Spirit Airlines McDonnell Douglas DC-9-83 (MD-83) N836NK (msn 53045) for Gold Transportation Services (Atlantic City), a tour operator, now with titles.

Copyright Photo: Jay Selman. N836NK passed through Charlotte and carries small titles.

Updated

US Airways continues building Its Charlotte hub as It resumes service to Baton Rouge

US Airways (Phoenix) today (June 24) resumes daily nonstop flights from its largest hub at Charlotte Douglas International Airport to Baton Rouge, LA after a seven-year hiatus.

Baton Rouge is the second domestic destination to return to service this year from US Airways’ Charlotte hub; service to Melbourne, FL resumed on February 11 after a 12-year hiatus. Since May 13, the airline has added new nonstop service to Rome, Ottawa, Puerto Vallarta and Los Cabos from Charlotte. Last December, the airline began its first-ever service to South America with daily nonstop flights to Rio de Janeiro, Brazil from its Charlotte hub.

Wholly owned US Airways Express carrier PSA Airlines will operate three roundtrip flights a day with 50-seat CRJ200 regional jets.

Copyright Photo: Bruce Drum. PSA’s Bombardier CRJ200 (CL-600-2B19) N241PS (msn 7909) taxies to the runway at Charlotte.

Republic Airlines’ N103HQ is slightly damaged at Providence

US Airways Express Flight US 3315, an Embraer 170-200LR (ERJ 175) N103HQ (msn 17000159) bound for Philadelphia yesterday and operated by Republic Airlines (2nd), was being pushed away from a gate by an airline employee when it hit the empty, stationary US Airways Flight US 815, an Airbus A321 (N190UW) bound for Charlotte as flight US 815.

There were no injuries to the 36 on board the Republic flight, but the starboard side winglet took the brunt of the damage on the Embraer, while the A321 suffered damaged to the APU doors at the base of the tail.

Read the full report:

CLICK HERE

Copyright Photo: Jay Selman. Republic Airlines’ Embraer ERJ 170-200LR (ERJ 175) N103HQ (msn 17000159) taxies to the runway at Charlotte.

US Airways Group reports a first quarter net loss of $45 million

US Airways Group, Inc. (Phoenix) reported its first quarter net loss of $89 million, or ($0.55) per share, which excludes special items totaling a net credit of $44 million. Net loss excluding special items for the first quarter 2009 was $260 million, or ($2.28) per share. On a GAAP basis, the Company reported a net loss of $45 million for its first quarter 2010, or ($0.28) per share, compared to a net loss of $103 million, or ($0.90) per share, for the same period in 2009.

Copyright Photo: Jay Selman. Airbus A319-112 N753US (msn 1326) of US Airways climbs away from the runway at Charlotte.

JetBlue Airways swings to a first quarter loss, will serve DCA starting on November 1

JetBlue Airways (New York-JFK) reported a net loss for the first quarter of $1 million, or $0.01 per diluted share. This compares to JetBlue’s first quarter 2009 net income of $12 million, or $0.05 per diluted share.

In other news, jetBlue announce plans to serve the Ronald Reagan Washington National Airport (DCA), its third airport in the Washington/Baltimore area, with seven daily nonstop flights to Boston’s Logan International Airport (BOS) and one daily nonstop flight each to Fort Lauderdale-Hollywood International Airport (FLL) and Orlando International Airport (MCO) beginning November 1, 2010.

DCA will be JetBlue’s 62nd destination. The carrier also serves the region with service from Washington Dulles International Airport (IAD) and Baltimore/Washington International Thurgood Marshall Airport (BWI). With the addition of DCA’s seven daily shuttle flights to Boston — complementing five daily nonstop flights from BWI and six daily flights between Boston and IAD — JetBlue will become the largest carrier for flights between Boston and the Washington DC region offering 18 conveniently-timed departures.

Copyright Photo: Bruce Drum. Embraer ERJ 190-100 IGW N192JB (msn 19000014) taxies to the runway at Charlotte.

PSA Airlines CRJ200 aborts takeoff at Charleston, WV and overruns the runway

PSA Airlines (2nd) (US Airways Express) (Dayton) had an incident at Charleston, WV yesterday (January 19). A CRJ200 (N245PS) operating as US Airways Express flight US/JIA to Charlotte aborted its takeoff on runway 23 and overran the runway. There were no reported injuries.

News link:

aircrewbuzz.com/2010/01/psa-airlines-crj-200-runway-overrun-at.html

US Airways to launch Charlotte-Rio de Janeiro flights today

US Airways (Phoenix) will now serve South America when it launches daily Boeing 767-200 ER service tonight (December 15) between the Charlotte hub and Rio de Janeiro.

Press release:

finance.yahoo.com/news/Let-the-Carnival-Begin-US-bw-2765513891.html?x=0&.v=1

Copyright Photo: Bruce Drum.

US Airways to start seasonal Philadelphia-Anchorage 757 flights

US Airways (Phoenix) will start summer season service between the Philadelphia hub and Anchorage starting on June 1, 2010 with Boeing 757-200s. The flights will continue through September 7, 2010.

Press release:

finance.yahoo.com/news/US-Airways-Bridges-the-Cradle-bw-3918174820.html?x=0&.v=1

Copyright Photo: Bruce Drum.

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