Category Archives: JetBlue Airways

JetBlue to add extra flights to Fort Lauderdale/Hollywood for the Super Bowl

JetBlue Airways today announced it is gearing up for the big game by adding flights to Fort Lauderdale-Hollywood International Airport (FLL), the airline’s South Florida focus city and just 14 miles from Hard Rock Stadium in Miami Gardens, Fla. The airline known for the most legroom in coach (a) will also offer an unbeatable onboard entertainment experience for football fans flying throughout the U.S. on game day.

For travelers who can’t make it to the big game, those flying domestically with JetBlue will be able to watch the action with all the comforts of their own living room. (Graphic: Business Wire) 

For travelers who can’t make it to the big game, those flying domestically with JetBlue will be able to watch the action with all the comforts of their own living room. (Graphic: Business Wire)

City of Champions
Between January 30 and February 3, JetBlue will add more than a dozen flights between San Francisco International Airport (SFO) and Fort Lauderdale/Hollywood to help fans from the winning west coast city cheer on their team in South Florida.

In San Francisco, where JetBlue typically operates up to three daily flights to Fort Lauderdale, JetBlue will offer up to five daily flights on peak travel days. Flight schedules have been expanded to ensure travelers arrive in South Florida in time for the big game, with return direction flights offered across a variety of convenient times.

The Big Apple to the Big Game

JetBlue, New York’s Hometown Airline®, is also expanding service to South Florida from the Big Apple. Between January 30 and February 4, the airline has added ten flights to its schedule between New York’s John F. KennedyInternational Airport (JFK) and Fort Lauderdale/Hollywood. The result is 2,000 added seats for fans interested in flying to the big game.

A Market Leader in Fort Lauderdale
Fort Lauderdale-Hollywood is one of JetBlue’s fast-growing focus cities, serving customers throughout South Florida and offering a fast and convenient alternative for Miami-Dade bound travelers. JetBlue, which is also one of the largest airlines in Fort Lauderdale, serves the South Florida city with over 100 daily flights from more than 50 nonstop destinations across the U.S., Caribbean and Latin America. No matter who fans may be cheering for or where they may visiting from, JetBlue is a top choice for traveling to the big game this year.

JetBlue aircraft photo gallery:

 

JetBlue announces plans for new service to Guatemala City, new domestic routes and schedule refinements

JetBlue Airways has announced a series of schedule and route changes as the airline kicks off 2020 and prepares to celebrate its 20th anniversary next month. With flights landing in a new Central American city, more flights in popular JetBlue markets and routes, and adjustments to Caribbean and West Coast flying, the moves allow the airline to play to its strengths and better meet customer demand while delivering long-term value to owners.

Touching Down in Its 25th Country

JetBlue will launch new service to Guatemala City’s La Aurora International Airport (GUA) starting June 1, 2020 (a). Nonstop flights will operate daily between Guatemala City and New York’s John F. Kennedy International Airport (JFK) with seats available for purchase starting today.

Guatemala is set to become the 25th country served by JetBlue and advances the airline’s leadership position in Latin America and the Caribbean. With a mix of customers traveling between the U.S. and the Central American city to visit friends and relatives, as well as for leisure, Guatemala City builds on JetBlue’s success in the broader region and supports the airline’s ongoing focus city build out strategy in the Northeast.

Schedule between New York (JFK) and Guatemala City (GUA)
Daily Beginning June 1, 2020

JFK – GUA Flight #625

GUA – JFK Flight #628

7:00 p.m. – 10:15 p.m.

11:25 p.m. – 6:00 a.m. (+1)

Bigger Service in Big Sky and New Service in Nashville

JetBlue also announced it is expanding its successful service at Montana’s Bozeman Yellowstone International Airport (BZN) with flights to and from the east coast. New nonstop service from New York-JFK and Boston Logan International Airport (BOS) will operate on both a summer seasonal and winter seasonal schedule starting in June. New York flights will operate three times weekly or up to daily at various times throughout the seasons. Bostonflights will operate twice weekly on Saturdays and Wednesdays. Schedule dates for the winter season will be announced as part of our next schedule extensions for the period.

The fastest-growing city in the state, Bozeman is a mecca of outdoor recreation and urban sophistication. Centrally located between the north and west entrances to Yellowstone National Park, and just a short drive to two world-class ski areas, Big Sky Resort and Bridger Bowl, accessing this incredible area is now easier than ever.

Schedule between New York (JFK) and Bozeman (BZN)
Up to Daily Beginning June 11, 2020

JFK – BZN Flight #947

BZN – JFK Flight #944

6:59 p.m. – 9:50 p.m.

10:38 p.m. – 5:05 a.m. (+1)

Schedule between Boston (BOS) and Bozeman (BZN)
Saturdays and Wednesdays; Beginning June 13, 2020

BOS – BZN Flight #257

BZN – BOS Flight #256

11:46 a.m. – 2:54 p.m.

3:40 p.m. – 10:00 p.m.

JetBlue first landed in Bozeman with nonstop service from Long Beach, Calif. in 2018. Flights between Montana and Southern California continue to operate on summer seasonal and winter seasonal schedules in 2020.

Additionally, JetBlue announced it is adding service from a third focus city to Nashville International Airport (BNA) with new nonstop flights between Music City and New York-JFK. Flights will operate twice daily starting April 28, 2020.

Schedule between New York (JFK) and Nashville (BNA)
Daily Beginning April 28 2020

JFK – BNA Flight #1073

BNA – JFK Flight #1074

8:00 a.m. – 9:39 a.m.

10:25 a.m. – 1:48 p.m.

JFK – BNA Flight #983

BNA – JFK Flight #978

4:40 p.m. – 6:19 p.m.

7:05 p.m. – 10:28 p.m.

JetBlue first launched flights in Nashville in 2016 with nonstop service between Tennessee’s capital city and both Boston and Fort Lauderdale/Hollywood.

JetBlue will operate new Guatemala City, Bozeman and Nashville routes service using its Airbus A320 aircraft offering the airline’s award-winning service featuring the most legroom in coach (b); free Fly-Fi, the fastest broadband internet in the sky (c); complimentary and unlimited name-brand snacks and soft drinks; free, live DIRECTV® programming and 100+ channels of SiriusXM® radio at every seat.

Redeploying Aircraft to High-Value Markets & Routes

To enable the new city, multi-route expansions and frequency additions, JetBlue will redeploy aircraft by adding flights on some existing routes and reducing flights on others that are not meeting expectations.

Throughout 2020, JetBlue will increase flights on more than a half dozen popular routes during peak travel periods in New York, Boston, Fort Lauderdale/Hollywood, Orlando and Latin America and the Caribbean.

Effective April 29, 2020, JetBlue will end service at Oakland International Airport (OAK) where it currently serves New York-JFK, Boston and Long Beach. JetBlue will continue to serve Bay Area travelers from airports in San Francisco and San Jose. In addition, JetBlue will reduce or eliminate flights on a half dozen short-haul routes in Long Beach as well as additional flights from Fort Lauderdale/Hollywood and Orlando.

Nearly three and a half years after becoming the first airline to operate commercial service between the U.S. and Cuba in more than 50 years, JetBlue remains committed to serving Cuba via Havana’s José Martí International Airport (HAV). At the same time, changes to the regulatory landscape have affected travel trends to the island. To best meet current demand JetBlue will adjust schedules to maintain up to three daily flights to Havana from Fort Lauderdale and revise to once weekly service on Saturdays from New York-JFK. Through these gateway cities, JetBlue will continue to offer travelers convenient nonstop and connecting options to Cuba from across the airline’s network.

JetBlue aircraft photo gallery:

JetBlue prepares its business for a new climate reality

JetBlue Airways has made this announcement:

 

JetBlue today announced that it will offset carbon dioxide emissions (CO2) from jet fuel for all domestic JetBlue flights beginning in July 2020, making it the first major U.S. airline to take this critical and measurable step toward reducing its contribution to global warming. JetBlue also announced plans to start flying with sustainable aviation fuel in mid-2020 on flights from San Francisco International Airport.

As part of the airline’s plan to prepare for a changing climate, these commitments underscore JetBlue’s long-term strategy to ensure a more sustainable business for crewmembers, customers, shareholders and communities served by JetBlue. The efforts also build on the airline’s existing programs like investments in fuel-saving technologies and aircraft, as well as advocating for a more fuel-efficient air traffic control system that would reduce emissions from flying.

“Air travel connects people and cultures, and supports a global economy, yet we must act to limit this critical industry’s contributions to climate change,” said Robin Hayes, chief executive officer, JetBlue. “We reduce where we can and offset where we can’t. By offsetting all of our domestic flying, we’re preparing our business for the lower-carbon economy that aviation – and all sectors – must plan for.”

Offsetting Emissions From Domestic Flights Starting 2020

JetBlue first began offsetting carbon dioxide emissions with programs to balance customer flying during specific times of year but today’s moves expand those efforts to reduce emissions associated with fuel use in a bigger way.

JetBlue will continue to partner with Carbonfund.org—a leading U.S. based nonprofit carbon reduction and climate solutions organization. Since 2008, JetBlue has already offset more than 2.6 billion pounds of CO2 emissions in partnership with Carbonfund.org. JetBlue’s new carbon offsetting partners now also include established experts in the space – EcoAct and South Pole.

This expansion is expected to offset an additional 15-17 billion pounds (7 to 8 million metric tons) of emissions per year – the annual equivalent of removing more than 1.5 million passenger vehicles from the road. JetBlue will offer ways for the airline’s customers and communities to connect with the carbon offsetting projects JetBlue is engaging with..

When projects that reduce CO₂ emissions are developed, every ton of emissions reduced results in the creation of one carbon offset or carbon credit. A carbon credit is a tradeable certificate that represents the avoidance or removal of one ton of carbon dioxide emissions. Buying carbon credits means investing in emission reduction projects that require carbon offsetting financing in order to take place. (a)

“The airline industry is one of the few industries that has collectively committed to an international emissions reduction goal,” said Hayes. “Air travel brings so much good to the world and JetBlue has always been about making our essential industry better. Carbon offsetting is a bridge to, not a silver bullet for, a lower carbon future. Reducing and mitigating our greenhouse gas emissions is a fundamental aspect of our business plan and our mission to inspire humanity.”

Flying with Sustainable Aviation Fuel on Flights from San Francisco in 2020

Carbon offsetting is a bridge to other industry-wide environmental improvements like fuel with lower emissions. JetBlue has agreed to purchase sustainable aviation fuel (SAF) from Neste, the world’s largest producer of renewable diesel and a pioneer in renewable jet fuel, starting in 2020.

Neste MY Renewable Jet Fuel™ is produced 100 percent from waste and residue raw materials. Over the lifecycle, it has up to 80 percent smaller carbon footprint compared to fossil jet fuel. Safety is JetBlue’s number one priority and the fuel is fully compatible with the existing jet engine technology and fuel distribution infrastructure when blended with fossil jet fuel. The fuel is being shipped via the fuel pipeline to the airport where it will be safely used alongside regular fuel without safety or operational impact.

JetBlue is continually exploring SAF options and views SAF as a critical part of the industry’s transition to a lower-carbon model. With agreements like these, JetBlue is helping to kick-start the SAF market and lead the economics on these lower carbon fuels.

Types of Carbon Offsetting Projects Selected by JetBlue

As part of its offsetting program, JetBlue selects projects around the globe that will offset the use of jet fuel. Many projects operate in less economically developed countries where a bigger community impact can be made. Emissions reduction projects reduce the amount of greenhouse gas in the atmosphere in at least one of three ways – avoiding greenhouse gas emissions in favor of renewable sources, removing emissions from the atmosphere, and destroying emissions when possible.

JetBlue will support carbon offsets projects focused on but not limited to:

  • Forestry: Forest conservation projects prevent deforestation by helping voluntarily forego plans that would have converted forests for other purposes, thereby sequestering CO2 emissions from the atmosphere in trees and soil while having additional co-benefits for communities and local wildlife.
  • Landfill Gas Capture (LFG): Landfill gas is a natural byproduct of the decomposition of organic material in landfills. Instead of escaping into the air, LFG can be captured, converted and used as a renewable energy resource. In addition, LFG energy projects generate revenue and create jobs in the local community and beyond.
  • Solar/Wind: These projects develop expansive solar and wind farms, generating power that otherwise would have been supplied by fossil fuels like coal, diesel and furnace oil. These projects also create jobs and revenues for local communities.

All of JetBlue’s purchased carbon offsets are audited, verified and retired on the airline’s behalf. The offsets will benefit physical projects and are verified and enforceable, as reputable carbon offset auditors have confirmed the claims behind a program and the project is on a public database. These projects are also permanent and ongoing. The sale of carbon offsets help to finance the projects. (b)

JetBlue Mitigates its Contribution to Climate Change

JetBlue’s carbon offsetting and sustainable fuel purchase is just one example of the efforts that JetBlue is making to mitigate its contribution to climate change in response to public and market demand.

  • More Fuel Efficient Aircraft: JetBlue operates a robust fuel savings strategy that starts with its new fuel efficient fleet. The airline’s incoming 85 new Airbus A321neo (new engine option) aircraft will help reduce carbon emissions more than ever before. All A321neo aircraft improve fuel economy by 20 percent through newly designed engine technology and cabin changes. In addition, the acquisition of 70 Airbus A220s to replace older aircraft marks a major investment over several years, reducing emissions per seat by about 40 percent compared to the older aircraft they will replace.
  • Air Traffic Control (ATC) Modernization: JetBlue is also advocating for a more efficient ATC system. Current ATC inefficiencies account for as much as 12 percent of fuel burn and resulting emissions.

JetBlue focuses on issues that have the potential to impact its business. Customers, crewmembers and community are key to JetBlue’s sustainability strategy. Demand from these groups for responsible service is one of the motivations behind changes that help reduce the airline’s environmental impact.

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JetBlue celebrates new year of Boston growth with plans to bolster flights to New York and other key cities in 2020

JetBlue Airways today announced its momentum in New England will continue in 2020 with more flights being added on a number of top performing routes at Logan International Airport (BOS). JetBlue – which already carries more customers to more nonstop destinations and operates more flights than any other airline in Boston – is on track to strengthen its leadership position in the market and advance its targeted plan to build out the airline’s Boston focus city strategy.

L-G-A Ten Times per Day

In spring 2020, JetBlue will expand nonstop service between Boston and New York City’s LaGuardia Airport (LGA) by offering up to ten daily roundtrips on this key business route. Flights will be operated using the airline’s Embraer 190 aircraft, which features comfortable two-by-two seating with the most legroom in coach (a); 36 channels of free, live DIRECTV® programming on personal seatback televisions; free Fly-Fi high-speed wireless internet (b); as well as complimentary and unlimited name-brand snacks and soft drinks.

New, expanded service between Boston and LaGuardia will complement JetBlue’s additional service from Boston to both New York’s John F. Kennedy International Airport (JFK) and Newark Liberty International Airport (EWR) and result in up to 22 daily flights to New York’s three major metropolitan airports from Logan.

Boosting Boston to Austin

In summer 2020, JetBlue will increase flights between Boston and Austin–Bergstrom International Airport (AUS) with up to three daily roundtrips. The added daily flight will offer travelers a new morning departure from the Texascapital to New England, as well as an evening return. Together, with the two additional daily trips, travelers will have more options than ever to choose from when flying between the Lone Star State and Boston.

More Flights to Top Destinations

In addition to New York and Austin, JetBlue will phase in added flights in 2020 on more than a dozen routes, coast-to-coast between Boston and:

  • Charlotte-Douglas International Airport (CLT)
  • Chicago’s O’Hare International Airport (ORD)
  • Cleveland Hopkins International Airport (CLE)
  • Denver International Airport (DEN)
  • Detroit Metropolitan Wayne County Airport (DTW)
  • Los Angeles International Airport (LAX)
  • Nantucket Memorial Airport (ACK)
  • Newark Liberty International Airport (EWR)
  • Philadelphia International Airport (PHL)
  • Phoenix Sky Harbor International Airport (PHX)
  • San Diego International Airport (SAN)
  • San Francisco International Airport (SFO)
  • Mineta San Jose International Airport (SJC)
  • Seattle–Tacoma International Airport (SEA)
  • Ronald Reagan Washington National Airport (DCA)

In 2020, JetBlue will offer upwards of 180 daily departures from Boston Logan.

Routes from BOS:

JetBlue aircraft photo gallery:

 

JetBlue expands its lineup of free entertainment with launch of new onboard content partners

JetBlue Airways made this announcement:

 

JetBlue, the only major U.S. airline with free high speed Fly-Fi® and seatback screens at every seat, on every plane, is providing customers with even more inflight entertainment (IFE) options based on their feedback with the launch of its newest onboard offerings from SHOWTIME, Spotify, INSCAPE and PressReader. Starting this month, customers onboard the airline’s HD touchscreen-equipped aircraft (a) can enjoy access to full seasons of the hottest shows from SHOWTIME, chart-topping podcasts from Spotify, the day’s biggest headlines from PressReader, curated meditation and relaxation content from INSCAPE and much more.

JetBlue’s latest partnerships build on the airline’s ongoing efforts to provide a “multi-screen experience,” which allows customers to use a range of devices simultaneously, including HD seatback entertainment, just as they would in their living room. JetBlue’s newest IFE partners will complement the airline’s already-free 100+ channels of DIRECTV®, hundreds of free movies and up to nearly 60 full seasons of your favorite shows, and individual in-seat USB/power outlets that are available on its Airbus A320, A321 and A321neo aircraft. JetBlue’s free high speed Fly-Fi – powered by Viasat – is capable of streaming video and is available across the fleet, with expanded coverage being introduced on A320 and A321neo aircraft that will keep customers connected even overwater or in international BlueCities.

New offerings include:

  • SHOWTIME: Customers can binge-watch full seasons of select SHOWTIME hit series on their individual HD seatback screens. JetBlue customers connected to Fly-Fi can also take advantage of a special 30-day free trial offer to the SHOWTIME streaming service and enjoy unlimited, commercial-free access to the entire SHOWTIME library – every original series, movie, documentary and more – all on their personal devices.
  • Spotify: JetBlue’s newest collaboration with Spotify, the airline’s exclusive podcast partner, will bring podcasts from Anchor, Gimlet, Parcast and Spotify Studios to seatback screens. Titles include Business of HYPE, Conspiracy Theories, Dope Labs, Heavyweight, The Horror of Dolores Roach, and Superwomen with Rebecca Minkoff.
  • INSCAPE: As JetBlue’s new meditation partner, INSCAPE will keep travelers relaxed at 35,000 feet with 20 curated inflight meditation sessions available on seatback screens, with topics ranging from “Flying without Fear” and “Jet Lag Relief,” to “Inflight Mindfulness,” as well as breathing exercises and sleepscapes. Customers can continue their practice with INSCAPE by downloading the app to their personal device or by visiting their flagship studio in JetBlue’s hometown of New York City.
  • PressReader: With the addition of PressReader, the largest all-you-can-read platform of newspapers and magazines, JetBlue customers can now enjoy unlimited access to thousands of local and national news publications and magazines, such as the Los Angeles Times, Rolling Stone, Newsweek and Vanity Fair, among others via the PressReader app. Travelers flying with JetBlue can register for 24 hours of free, unlimited access once connected to the airline’s high-speed broadband Fly-Fi (b). PressReader also offers an exclusive discount on a monthly subscription after the free access experience – $9.99 for 15 publications.

Additionally, JetBlue has rolled out fresh content on JetBlue TV, the first and only airline-owned seatback channel. Curating relevant, snackable videos across a variety of verticals, the airline has refreshed its line-up to include new, short and mid-form digital content to suit the tastes and interests of all travelers. New content partners include:

  • Food52 (Food): Big Little Recipes, Hit the Road, Snack and More Ketchup, Please
  • Houzz (Lifestyle/Design): A behind-the-scenes look at incredible home renovations in destinations throughout the JetBlue network
  • The Nantucket Project(Business): A thought leadership series highlighting notable figures with impactful ideas
  • PureWow (Entertainment): It’s Wine O’Clock, Hack My Travel and Vacation Confessions
  • Thrillist (Travel): What to Know Before You Go, Gatekeepers
  • Well + Good (Health): Inflight Fit, You Versus Food and What the Wellness

Since its inception, JetBlue has revolutionized the air travel experience and continues to offer industry-leading comfort from takeoff to touchdown with The Most Legroom in Coach® (c) and award-winning customer service to match. The airline continues to invest in the customer experience through the restyling of its Airbus A320 aircraft and the introduction of its first Airbus A321neo aircraft, which officially entered service in September.

JetBlue recently announced future orders for the Airbus A321LR, A321XLR and A220-300 aircraft. Those aircraft will usher in the next chapter of the JetBlue story with a reduced carbon footprint, a best-in-class customer experience from award-winning crewmembers and the promise to broaden the customer-focused airline’s reach within the Americas and into Europe in the years ahead.

JetBlue aircraft photo gallery:

JetBlue announces its third quarter financial results

JetBlue's 2019 "Bear Force One"

JetBlue Airways Corporation today reported its results for the third quarter 2019:

 

  • Reported diluted earnings per share of $0.63 in the third quarter of 2019 compared to a diluted earnings per share of $0.16 in the third quarter of 2018. Adjusted diluted earnings per share was $0.59(1) in the third quarter of 2019 versus $0.42(1) in the third quarter of 2018. Note A to this earnings release includes the GAAP to Non-GAAP reconciliation between reported and adjusted diluted earnings per share.
  • GAAP pre-tax income of $254 million in the third quarter of 2019, compared to a pre-tax income of $68 million in the third quarter of 2018. Excluding the one-time items, adjusted pre-tax income of $239 million(1), up 32% from an adjusted pre-tax income of $180 million(1) in the third quarter of 2018.
  • Pre-tax margin of 12.2%, up from a pre-tax margin of 3.4% in the third quarter of 2018. Adjusted pre-tax margin of 11.4%(1), a 2.4 percentage point increase year over year from an adjusted pre-tax margin of 9.0%(1), exclusive of the one-time items.

Highlights from the Third Quarter 2019

  • Third quarter 2019 revenue per available seat mile (RASM) declined (0.9)% year over year. This decline is slightly better than the mid-point of our updated guidance range of (2.0)% to 0.0%.
  • Operating expenses per available seat mile, excluding fuel (CASM ex-fuel)(1) increased 0.3%, better than the low end of our initial guidance range of 0.5% to 2.5%. This improvement is driven by the compounding benefits of the Structural Cost Program, and the favorable timing of expenses from the third into the fourth quarter of 2019.

Key Guidance for the Fourth Quarter and Full Year 2019:

  • Capacity is expected to increase between 4.5% and 6.5% year over year in the fourth quarter 2019. For the full year 2019, JetBlue expects capacity to increase between 6.0% and 7.0%.
  • RASM growth is expected to range between (3.5)% and (0.5)% for the fourth quarter 2019 compared to the same period in 2018.
  • CASM ex-fuel is expected to range between (1.0)% and 1.0% for the fourth quarter of 2019. For the full year 2019, JetBlue expects year over year CASM ex-fuel growth between 0.5% and 1.0%.

Executing our Plan to Reach our EPS Commitments

“I want to thank all the teams at JetBlue for executing our plan to create long-term value for our customers and owners. We are gaining traction on all of the strategic ‘Building Blocks’ we laid out in our last Investor Day. We are just beginning to see the benefits of our revenue, cost, fleet and capital allocation efforts, with additional opportunities ahead of us. Despite some near-term pressures on revenue in our international markets and NEO delays, we believe we are on track to deliver on our goal of $2.50 to 3.00 dollars EPS in 2020,” said Robin Hayes, JetBlue’s Chief Executive Officer.

“I’m particularly pleased with the progress we are making to improve our unit costs as we deliver on our commitments. In the third quarter, we beat the low end of our CASM ex-Fuel guidance, despite over a half point of capacity lost due to Hurricane Dorian. Our improved completion factor more than offset any storm impact.”

“In our commercial building blocks, we believe that our plan to strengthen our unit revenues into 2020 can return us to positive RASM growth. Our efforts into 2020 include a second year of network reallocation and ancillary initiatives, innovations from JetBlue Travel Products, our ongoing work in Loyalty, as well as the contribution from Fare Options 2.0 launching this quarter.”

Revenue Performance and Outlook

“During the third quarter our capacity grew 4.8 percent, near the high end of our guidance range of 3 to 5 percent. Higher capacity growth was the result of solid improvement in our completion factor. Our operational initiatives more than offset the impact of hurricane Dorian and runway construction in Fort Lauderdale and JFK,” said Joanna Geraghty, JetBlue’s President and Chief Operating Officer.

“Our Latin and Caribbean franchise was impacted by disruption in multiple markets. We saw challenges begin earlier this year, but ramped significantly through the summer. We’ve taken quick action and are redeploying capacity to manage demand in the impacted markets.

For the fourth quarter, we expect RASM to decline between (3.5) and (0.5) percent year over year. We anticipate steady demand in the domestic market, led by transcon and business travel, and see a broadly decelerating domestic yield environment for JetBlue and the industry. In our international markets, we expect capacity and demand challenges to continue into the fourth quarter. We expect ongoing capacity adjustments, combined with demand recovery, to further improve our international RASM trends into next year.”

Cost Performance, Outlook and Balance Sheet

“During the third quarter, CASM ex‐fuel increased 0.3 percent year over year, beating the low end of our guidance range of 0.5 to 2.5 percent. CASM ex-fuel growth was driven by ongoing Structural Cost Program benefits, but also benefited by a half point of timing as expenses shift to the fourth quarter,” said Steve Priest, JetBlue’s EVP Chief Financial Officer.

“I’m thrilled with the progress we are making on better controlling our cost growth. We entered the fourth quarter ahead of plan for the year, and are well on pace to beat the mid-point of our original full year 2019 cost guidance of 1.0 percent. We now estimate our CASM ex-Fuel guide for 2019 should range between 0.5 and 1.0 percent.

I’m proud of the efforts of our team to overcome lower scheduled capacity growth, manage through runway construction in Fort Lauderdale and JFK, and manage the impact of NEO delays and hurricane Dorian. This is the result of relentless execution of our Structural Cost Program, and an outstanding focus on costs by the entire JetBlue team.”

Capital Allocation and Liquidity

JetBlue ended the quarter with approximately $994 million in unrestricted cash, cash equivalents, and short term investments, or 12.4% of trailing twelve month revenue. JetBlue repaid $76 million in regularly scheduled debt and capital lease obligations for the third quarter.

Fuel Expense and Hedging

The realized fuel price in the quarter was $2.06 per gallon, an 11% decline versus third quarter 2018 realized fuel price of $2.32.

JetBlue has entered into forward fuel derivative contracts to hedge its fuel consumption for the fourth quarter of 2019. Based on the forward curve as of October 11th, JetBlue expects an average all-in price per gallon of fuel of $2.07 in the fourth quarter of 2019.

Notes

(1) Note A provides a reconciliation of non-GAAP financial measures used in this release and provides the reasons management uses those measures.

Top Copyright Photo: JetBlue Airways Airbus A320-232 N632JB (msn 2647) (Boston Bruins) LGB (Michael B. Ing). Image: 947651.

JetBlue Airways aircraft slide show: