Category Archives: Delta Connection

Delta to start Seattle/Tacoma – Vancouver service on June 5, 2014

Delta Air Lines (Atlanta) will start Delta Connection service (five flights a day) between its building Seattle/Tacoma focus city and Vancouver on June 5, 2014 per Airline Route. The new route will be operated with Bombardier CRJ900 aircraft (probably by SkyWest Airlines). This is another replacement of an Alaska Airlines/Horizon Air feeder route in the disintegrating Delta-Alaska relationship at SeaTac.

Copyright Photo: TMK Photography/AirlinersGallery.com. SkyWest Airlines’ Bombardier CRJ900 (CL-600-2D24) N822SK (msn 15203) taxies at Toronto (Pearson).

Delta Connection/SkyWest Airlines:

Delta to add more routes to Seattle/Tacoma

Delta Air Lines (Atlanta) will add new daily nonstop flights to Seattle-Tacoma International Airport from San Diego International Airport and Portland International Airport as well as an additional flight from Ted Stevens Anchorage International Airport, beginning next year. The new service will provide customers with convenient connections to the airline’s growing international network from Seattle/Tacoma.

Delta’s new and expanded Seattle/Tacoma service includes:

Four new daily nonstop flights from San Diego beginning on June 2, 2014.
Four new daily nonstop flights from Portland, Ore. beginning on September 2, 2014.
One summer seasonal flight from Anchorage, Alaska beginning on June 5, 2014 in addition to returning seasonal service which begins on May 23, 2014.

Delta’s new service from San Diego and Portland will be operated by Delta Connection carrier SkyWest Airlines (St. George) using 76-seat, two-class Bombardier CRJ900s. The additional Anchorage-Seattle seasonal service will be operated with a Boeing 737-800. Each aircraft is equipped with First Class and Economy Comfort seating as well as onboard Wi-Fi.

What message does this SEA continued build-up send to partner Alaska Airlines (Seattle/Tacoma)?

Copyright Photo: Michael B. Ing/AirlinersGallery.com. SkyWest Airlines’ Bombardier CRJ900 (CL-600-2D24) N810SK (msn 15093) in Delta Connection colors departs from Los Angeles.

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Delta Connection-SkyWest Airlines:

Delta to expand Seattle/Tacoma operations with new flights to Las Vegas, Los Angeles and San Francisco

Delta Air Lines (Atlanta) despite having a close relationship with Alaska Airlines (Seattle/Tacoma), will offer new daily nonstop service to Seattle-Tacoma International Airport from San Francisco International Airport as well as increased service from Las Vegas’ McCarran International Airport and Los Angeles International Airport, beginning next year. The new service is designed to provide customers access to the airline’s growing trans-Atlantic and trans-Pacific network from its global gateway in Seattle/Tacoma.

Details of Delta’s new and expanded Seattle/Tacoma service include:

Six new daily nonstop flights from San Francisco beginning March 29, 2014, increasing to seven daily flights on June 5, 2014.
Two additional flights from Las Vegas for a total of three daily nonstop flights beginning Jan. 6, 2014, increasing to five daily nonstop flights on April 1, 2014.
Two additional flights from Los Angeles for a total of seven daily nonstop flights beginning June 5, 2014.

The Seattle area is one of Delta’s fastest-growing international gateways. The airline currently operates nonstop service to six international markets including Amsterdam, Beijing, Osaka, Paris, Shanghai-Pudong and Tokyo, and recently announced additional service in 2014 to London-Heathrow, Hong Kong and Seoul, pending government approval. The new and additional flights will allow for convenient connections to all of Seattle’s international Delta flights.

As of January 1, 2014, every international Delta flight from Seattle/Tacoma will feature full flat-bed seats in BusinessElite, Economy Comfort seating and entertainment on demand in every seat throughout the aircraft.

Delta’s service from San Francisco and Los Angeles will be operated by Delta Connection carrier Compass Airlines (Delta Connection) using two-class Embraer ERJ 175s, with the exception of one daily mainline flight from Los Angeles. Additionally, Delta’s Las Vegas-Seattle/Tacoma service will be operated by Delta Connection carrier SkyWest Airlines (Delta Connection) (St. George) using two-class Canadair CRJ700s and CRJ900s. Each aircraft is equipped with First Class and Economy Comfort seating as well as onboard Wi-Fi.

Copyright Photo: Tony Storck/AirlinersGallery.com. Embraer ERJ 170-200LR (ERJ 175) N613CZ (msn 17000203) prepares to land at Washington (Reagan National).

Delta Air Lines:

Delta Connection-SkyWest Airlines:

Delta Connection-Compass Airlines:

Delta Connection to start weekly Orlando-Norfolk flights on December 21

Delta Air Lines (Atlanta) is planning to launch weekly Delta Connection service between Orlando and Norfolk, Virginia. The new route will be operated on Saturdays with Bombardier CRJ700 aircraft per Airline Route.

The operator is unspecified.

Copyright Photo: Michael B. Ing/AirlinersGallery.com. SkyWest Airlines‘ Bombardier CRJ700 (CL-600-2C10) N604SK (msn 10249) lands at Long Beach, California.

Delta Air Lines:

Delta Connection-SkyWest Airlines:

Delta to operate Raleigh/Durham-Fort Lauderdale/Hollywood flights this winter

Delta Air Lines (Atlanta) is planning to operate weekly Raleigh/Durham-Fort Lauderdale/Hollywood flights this winter starting on December 21 per Airline Route. The route will be flown by Delta Connection Bombardier CRJ700s. The operator is not specified (probably ExpressJet Airlines).

Copyright Photo: Michael B. Ing/AirlinersGallery.com. Bombardier CRJ700 (CL-600-2C10) N603SK (msn 10248) arrives at Los Angeles.

Delta Air Lines:

Delta Connection-SkyWest:

SkyWest reports increased net income of $20.7 million in the second quarter

SkyWest, Inc. (SkyWest Airlines and Atlantic Southeast Airlines) (St. George) today reported net income of $20.7 million, or $0.39 per diluted share, for the quarter ended June 30, 2013, compared to net income of $17.0 million, or $0.33 per diluted share, for the same period last year.

SkyWest also reported net income of $24.0 million, or $0.46 per diluted share, for the six months ended June 30, 2013, compared to $16.3 million, or $0.32 per diluted share, for the same period last year.

Quarter Highlights

SkyWest experienced improved financial results for the quarter ended June 30, 2013 compared to its financial results for the quarter ended June 30, 2012. SkyWest generated additional block hour production and corresponding operating revenues (after giving effect to reduced fuel and certain engine overhaul pass through revenues) as a result of increased utilization and increasing the size of its aircraft fleet between June 30, 2013 and June 30, 2012. Following are selected highlights from SkyWest’s quarter ended June 30, 2013, compared to the quarter ended June 30, 2012:

Increased pretax income 17.8% to $33.7 million, compared to $28.6 million
Increased fully-diluted EPS 18.2% to $0.39, compared to $0.33
Increased block hour production 6.1% to 609,711 block hours, compared to 574,884 block hours
Recorded approximately $28.2 million in additional revenues (net of fuel and certain engine overhaul pass through revenues), primarily related to increased block hour production
Increased total aircraft fleet to 760 aircraft as of June 30, 2013, compared to 725 aircraft as of June 30, 2012

Commenting on the results, Jerry C. Atkin, SkyWest’s Chairman and CEO, said “We are pleased with the progress we continue to make in producing improved operational and financial performance as compared to the same period last year.” He continued, “We will remain focused on our profit improvement objectives while continuing to deal with the ever-present challenges in the airline industry.”

Financial and Operating Results

Operating revenues totaled $839.1 million for the quarter ended June 30, 2013, compared to $937.2 million for the same period last year or a decrease of $98.1 million. The decrease was due primarily to the reduction of $117.9 million of fuel and certain engine overhaul amounts which were directly reimbursed by SkyWest’s major partners and recorded as operating revenues. However, this reduction was partially offset by recording approximately $28.2 million in additional operating revenues primarily resulting from a 6.1% increase total block hours for the quarter ended June 30, 2013, compared to the quarter ended June 30, 2012.

Total airline expenses (consisting of total operating and interest expenses) decreased $103.7 million, or 11.4%, during the quarter ended June 30, 2013, compared to the same period in 2012. However, after excluding pass-through costs for fuel and certain engine overhaul expenses, total airline expenses increased $14.2 million or only 1.9% which was less than the 6.1% increase in block hours produced.

Under certain of its agreements with its major partners, SkyWest recognizes revenue at fixed hourly rates for mature engine maintenance on regional jet engines and SkyWest recognizes engine maintenance expense on its CRJ200 regional jet engines on an as-incurred basis as maintenance expense. During the quarter ended June 30, 2013, CRJ200 engine expense under these agreements decreased $3.2 million to $10.6 million compared to $13.8 million for the quarter ended June 30, 2012, as a result of decreased engine overhaul expense due to the timing of scheduled engine maintenance events. SkyWest was reimbursed approximately $12.8 million and $10.2 million for engine overhaul expense, under its agreements, in each of the periods ended June 30, 2013 and 2012, respectively.

Liquidity

At June 30, 2013, SkyWest had $665.6 million in cash and marketable securities, compared to $709.4 million as of December 31, 2012. The decrease in cash and marketable securities of $43.8 million was primarily the result of the payment of scheduled semi-annual lease and debt payments as well as making deposits on recent aircraft orders. Cash and marketable securities increased $34.1 million during the quarter ended June 30, 2013 compared to the balance of $631.5 as of the quarter ended March 31, 2013. SkyWest’s long-term debt was $1.38 billion as of June 30, 2013, compared to $1.47 billion as of December 31, 2012. The decrease in long-term debt for the six-months ended June 30, 2013 was due primarily to SkyWest’s payment of normal recurring debt obligations. SkyWest has significant long-term lease obligations that are recorded as operating leases and are not reflected as liabilities on SkyWest’s consolidated balance sheets. At a 4.7% discount rate, the present value of these lease obligations was approximately $1.5 billion as of June 30, 2013.

Recent Business Developments

On May 21, 2013, SkyWest announced it had entered into a Capacity Purchase Agreement (“CPA”) with United Airlines, Inc. (Chicago) to operate 40 new Embraer ERJ 175 dual-class regional jet aircraft. The CPA is for 12 years and the aircraft will be operated by SkyWest’s wholly-owned subsidiary, SkyWest Airlines, Inc. (St. George). Deliveries for these aircraft are scheduled to begin in April 2014 and continue through August 2015.

Additionally, on May 21, 2013 SkyWest announced it reached an agreement with Embraer S.A. for the purchase of 100 new ERJ 175 dual-class regional jet aircraft, 40 of which are considered firm and 60 aircraft remain conditional upon SkyWest entering into capacity purchase agreements with other major airlines. SkyWest intends to place the 40 new aircraft into service under the terms of the United CPA discussed above.

On June 17, 2013, SkyWest and Embraer jointly announced an aircraft purchase agreement covering 100 E175-E2 dual-class regional jet aircraft and an option to purchase an additional 100 of the same aircraft. Deliveries for these E2 aircraft are tentatively planned for 2020.

On August 2, 2012, SkyWest announced the award of 34 additional dual-class aircraft and the removal of 66 CRJ200 aircraft under its Delta Connection Agreements with Delta Airlines, Inc. (Atlanta) and by end of May 2013, all 34 of these dual-class aircraft had been delivered. As of June 30, 2013 SkyWest had removed 24 (22 placed in contract with another partner; other 2 removed from fleet) of the 66 CRJ200 aircraft and currently anticipates removing another 24 CRJ200 aircraft during the months of September 2013 through December 2013. These 24 aircraft have been financed by Delta and will be returned to Delta with no further obligation by SkyWest. SkyWest believes the remaining 18 aircraft will be removed at various times through 2014 and early 2015.

Copyright Photo: Michael B. Ing/AirlinersGallery.com. The CRJ200s will be totally removed from the Delta Connection contract by early 2015. SkyWest Airlines Bombardier CRJ200 (CL-600-2B19) N423SW (msn 7456) approaches Los Angeles International Airport.

Delta Connection-SkyWest Airlines:

Delta to launch its Los Angeles-San Francisco hourly shuttle on September 3

Delta Air Lines (Atlanta) has confirmed our previous report. Delta will begin hourly, nonstop Delta Shuttle service between Los Angeles International and San Francisco International airports on September 3, 2013. The Delta Shuttle introduces 14 daily flights and a product tailored to business travelers while adding a California perspective to its popular New York-based shuttle.

Flights depart at the top of the hour beginning at 7 a.m. Monday through Friday and will be operated by Delta Connection partner, Compass Airlines (Delta Connection) (Minneapolis/St. Paul) using Embraer ERJ 175 aircraft which accommodate 76 passengers in 12 First Class, 12 Economy Comfort and 52 Economy seats.

Customers flying the Delta Shuttle between Los Angeles and San Francisco will enjoy:

Check-in as close as 30 minutes prior to departure
Dedicated check-in counters exclusively for Shuttle customers
Gates located near security
Complimentary newspapers for all customers including The Wall Street Journal, USA Today, Financial Times and more
Assigned seating
Two classes of service with complimentary upgrades for SkyMiles Medallion members when available.
Complimentary onboard snacks provided by LYFE Kitchen, a California-based lifestyle food brand, offering great-tasting, good-for-you food
Complimentary beverages in-flight including Sierra Nevada Brewing Co. craft beer, Starbucks coffee and wine from Wente Vineyards in all classes of service
Cocktails available for purchase in Economy
Access to in-flight Wi-Fi on all Shuttle flights

Delta has partnered with the City of Los Angeles and Los Angeles World Airports to invest $229 million to overhaul Terminal 5 at Los Angeles International Airport. The construction project has already begun and will be complete in 2015. Highlights of the project include doubling the size of the ticketing lobby and federal security screening checkpoints; an exclusive Sky Priority experience with a separate lobby and checkpoint; a renovation of the Delta Sky Club; new baggage carousels; upgraded facilities to improve international baggage recheck; and new finishes providing a cleaner, brighter customer experience. All Delta and Delta Connection flights serving Los Angeles offer customers the option of First Class, Economy Comfort or Economy seating, along with in-flight Wi-Fi. Delta operates the largest Wi-Fi-equipped fleet in the world, including all Delta Connection two-class regional jets.

In other news, Delta is also adding weekly Delta Connection Bombardier CRJ900 service from both Orlando and Raleigh/Durham to Nassau in the Bahamas beginning on December 21 per Airline Route. The carrier will also launch seasonal CRJ900 service between Fargo, North Dakota and the Atlanta hub also on December 21.

Copyright Photo: Brian McDonough/AirlinersGallery.com. Compass Airlines’ Embraer ERJ 170-200LR (ERJ 175) N612CZ (msn 17000201) arrives at Washington’s Dulles International Airport.

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Delta Connection-Compass Airlines:

Delta to fly to Aspen, Colorado this winter

Delta Air Lines (Atlanta) will add new nonstop seasonal service to Aspen/Snowmass, Colorado with daily flights from Atlanta and Saturday-only flights from Minneapolis-St. Paul, effective on December 21, 2013.

The new service will be operated by Delta Connection carrier, SkyWest Airlines (Delta Connection) (St. George, Utah), using a two-class, 65-seat Bombardier CRJ700 aircraft, featuring nine First Class seats and eight Economy Comfort seats.

The schedule for Delta’s new nonstop service connecting Aspen to Atlanta and Minneapolis is as follows:

Service	Frequency	Departs	Arrives	Service Begins	Service Ends
ASE-ATL	Daily	12:45 p.m.	5:53 p.m.	Dec. 21, 2013	March 30, 2014
ATL-ASE	Daily	10:10 a.m.	11:59 a.m.	Dec. 21, 2013	March 30, 2014

Service	Frequency	Departs	Arrives	Service Begins	Service Ends
ASE-MSP	Saturday only	2 p.m.	5:11 p.m.	Dec. 21, 2013	March 29, 2014
MSP-ASE	Saturday only	11:40 a.m.	1:13 p.m.	Dec. 21, 2013	March 29, 2014

Copyright Photo: Michael B. Ing/AirlinersGallery.com. Bombardier CRJ700 (CL-600-2C10) N609SK (msn 10020) Climbs away from the runway at Los Angeles International Airport.

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Delta Connection-SkyWest Airlines:

Delta to add Pittsburgh-Nassau and Pittsburgh-Punta Cana weekly service in December

Delta Air LInes (Atlanta) is planning to launch weekly flights from Pittsburgh to both Nassau, Bahamas and Punta Cana, Dominican Republic on December 21, 2013 per Airline Route. The flights will be operated on Saturdays and will be flown with Delta Connection Bombardier CRJ900s (carrier not specified).

Copyright Photo: Ton Jochems/AirlinersGallery.com. SkyWest Airlines Bombardier CRJ900 (CL-600-2D24) N810SK (msn 15093) lands at Las Vegas.

Delta Air Lines:

Delta Air Lines adds additional flights at Los Angeles International Airport

Delta Air Lines (Atlanta) will debut increased domestic service beginning this fall at Los Angeles International Airport with new daily flights to four destinations and expanded service to nine existing markets.

Delta currently operates more than 115 peak-day departures to 40 destinations from Los Angeles, and every flight offers BusinessElite/First Class and Economy Comfort seating. Additionally, every domestic flight features Wi-Fi service.

Delta’s new and expanded Los Angeles service includes (effective dates):

Pacific Northwest service with four new daily flights to Portland, Oregon*, as well as two additional daily flights to Seattle/Tacoma* (September 3)
Expanded Bay Area service with three additional daily flights to San Francisco*, two additional daily flights to Oakland, California*, and one additional daily flight to San Jose, California*, (September 3)
One additional daily flight to New Orleans (September 3)
One additional daily flight to Kansas City, Missouri * (September 3)
Additional flights to both Indianapolis and Columbus, Ohio resulting in daily service (September 3)
Retimed daily service to Tampa, Florida, and Raleigh, North Carolina (September 3)
New limited daily service to Missoula, Montana*, and Kalispell, Montana * (December 21 – January 5)
New limited daily (December 21 – January 5) and Saturday only (Januray 11 – March 29) service to Jackson Hole, Wyoming *
Seasonal limited daily (December 21 – January 5) and Saturday only (Januray 11 – March 29) service to Bozeman, Montana * (December 21 – March 29)

*A portion of travel for some itineraries may be on the Delta Connection® carriers: Compass Airlines and SkyWest Airlines (Delta Connection).

Delta is remodeling Terminal 5 at LAX in conjunction with its partnership with the City of Los Angeles and Los Angeles World Airports. The current project will double the size of the ticketing lobby and screening checkpoints, open an exclusive, separate Sky Priority lobby and checkpoint, and include renovations to the Delta Sky Club and new baggage carousels.

On July 3, Delta added its code to Virgin Atlantic Airways’ twice-daily service to London’s Heathrow Airport as part of its codesharing agreement providing convenient bookings for Delta customers.

Earlier this year, Delta announced increased service at LAX with daily, year-round and seasonal service to 14 destinations, including eight new markets. By this winter, Delta and its partners including Virgin Australia Airlines, Alaska Airlines, Air France-KLM and Virgin Atlantic will operate more than 170 peak-day departures to 59 nonstop destinations, including Amsterdam, London-Heathrow, Paris, Sydney and Tokyo, from Los Angeles.

Copyright Photo: Michael B. Ing/AirlinersGallery.com. SkyWest Airlines Bombardier CRJ900 (CL-600-2D24) N822SK (msn 15203) approaches the runway at Los Angeles International Airport.

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SkyWest Airlines-Delta Connection: