Category Archives: JetBlue Airways

JetBlue secures slots at two London airports for next summer

JetBlue Airways is planning to take delivery of its first Airbus A321LR long-range aircraft next year in time to launch new services to London.

JetBlue is planning to fly from both New York (JFK) and Boston to London in the summer of 2021.

However London airports are slot-controlled. The airline desires to fly to Heathrow Airport (of course) but LHR slots remain elusive unless the slots can be purchased from another airline that is retrenching due to COVID-19.

For now, the carrier will have to split its London operations to two airports – Gatwick (LGW) and Stansted (STN) where it has now secured some slots.

JetBlue Airways aircraft photo gallery:

JetBlue inflight crew members decline to ratify contract

JetBlue Airways made this announcement:

JetBlue with its inflight crew members represented by the Transport Workers Union (TWU), have announced that its crew members have voted not to approve the tentative agreement between JetBlue and TWU.

“We are disappointed in the results of the vote,” said Ian Deason, head of customer experience, JetBlue. “Both the TWU and JetBlue worked through unprecedented circumstances to reach an agreement that was fair to our inflight crew members. We will work with TWU to determine next steps.”

NYC Test and Trace Corps and Port Authority open free COVID-19 testing site at JetBlue’s Terminal 5 at JFK Airport

JetBlue Airways has made this announcement:

In partnership with the Port Authority of New York and New Jersey and JetBlue, New York’s Hometown Airline®, the NYC Test & Trace Corps today announced the opening of a new COVID-19 testing site at JetBlue’s Terminal 5 at (T5) John F. Kennedy International Airport.

The new testing location opens today and will be fully-operational for six months, with the capacity for up to 600 tests per day. The site will provide free, walk-in testing seven days a week, from 9 a.m. – 7 p.m. With more than 40,000 essential airline and airport workers at JFK, the new testing site will bolster outreach to this critical frontline group while also allowing those who must travel the chance to test before and after a flight and receive results within 48 hours on average.

The new JFK site becomes the second free testing location at a New York City airport, following the opening last month of a site at LaGuardia Airport’s Terminal B garage with the capacity to test 400 individuals a day. New Yorkers can visit more than 200 testing sites across the five boroughs. To find the nearest testing site go to nyc.gov/covidtest or call the NYC Test & Trace Corps hotline at (212)-COVID19.

In addition to the new testing site, Test & Trace Corps is partnering with JetBlue to help travelers understand and comply with New York State’s recently updated requirements for out of state travel. Under the new guidance, travelers who are arriving from any state that does not share a border with New York or CDC Level 2 or 3 Travel Advisory countries can opt to shorten the mandatory quarantine upon return to New York by taking a test no more than 72 hours prior to arrival in New York (the result is not needed prior to arrival), completing the New York State Traveler Health Form prior to landing in New York, quarantining for three days and on day four, taking a second test. When both negative tests results are confirmed, the quarantine can end.

To help promote safe reentry into New York, Test & Trace Corps will trial a partnership with JetBlue to distribute test kits to customers on select flights over a period of several days. The test is a nucleic acid amplification test (NAAT) and includes clinician support by Picture Genetics by Fulgent Genetics, a certified and accredited clinical diagnostic lab. Customers will be offered a test kit upon boarding, which they can keep until they are within 72 hours of their return to New York, and then self-administer and mail in order to satisfy New York State’s pre-arrival testing requirement. Once the lab receives the test, results will be provided within 48 hours. The traveler must still quarantine for four days upon their return to New York and test negative on the fourth day in order to end quarantine before the typical 14-day quarantine period.

JetBlue Airways aircraft photo gallery:

JetBlue refreshes and upgrades its Mint experience

JetBlue Airways has announced the first major refresh of its JetBlue Mint® service, the airline’s premium travel experience that disrupted the industry with its category redefining fares and award-winning product. The airline, which made highly curated partners central to the Mint experience, is introducing a completely new lineup for Mint, including Delicious Hospitality Group, Tuft & Needle, Wanderfuel and Master & Dynamic.

The new partners will transition into all Mint flights over the next six weeks, appearing on flights as early as November 18.

When it was introduced in 2014, JetBlue Mint disrupted the domestic “business class” category, making premium travel more accessible for a fraction of the cost that legacy carriers were charging. Now, the refresh of JetBlue’s Mint partnerships sets the stage for the biggest shake-up yet of the premium category when, next year, JetBlue unveils its fully reimagined version of Mint for its London service in 2021.

“JetBlue’s reimagined Mint is turning the journey itself into a destination, offering the comforts of a premium travel experience at a more affordable price point,” said Elizabeth Windram, vice president of marketing, JetBlue. “This onboard refresh allows us to reset that high bar we set in 2014, with the very best in dining and hospitality, comfort and wellness at 35,000 feet. And for those who can’t wait to see what we have in store for our London flights, well let’s just say this is a little teaser for what we have in mind.”

JetBlue’s newest Mint partners will encourage discovery with high quality food, expertly curated premium amenities and purposeful, custom-for-JetBlue products that will make travelers forget they are in the sky.

Dining with Delicious Hospitality Group Takes Flight

JetBlue tapped SoHo-based Delicious Hospitality Group (DHG) – the team behind acclaimed New York Cityrestaurants Charlie Bird, Legacy Records and Pasquale Jones – to bring their inventive culinary style, extraordinary wine and cocktail programs, and tactile dining aesthetics to the skies. Developed in partnership with Chef/Owner Ryan Hardy and Wine Director Grant Reynolds, the new Mint dining experience was created by reimagining elevated hospitality in-flight. It will feature a rotating menu of small plates that customers can choose from, individually inspired by each of DHG’s three restaurants, starting with Charlie Bird. Once onboard, customers will delight in high-quality fare prepared with seasonal ingredients, alongside a selection of international wines and craft cocktails to be shaken on-board. To complete the experience, DHG redesigned plate ware to mimic their New York City table tops and has shared access to their revered music playlists capturing the ambiance synonymous with dining in one of their restaurants.

Catching Zzz’s with Tuft & Needle

Keeping customers’ comfort top of mind, JetBlue collaborated with Tuft & Needle, the digitally native mattress company that pioneered the bed-in-a-box trend, to develop a cohesive sleep experience onboard. Travelers can kick back and relax with a convertible blanket with a built-in foot pocket, a memory foam lined pillow with a pillowcase and snooze kits that include a matching eye mask and ear plugs.

Wellness in the Air with Wanderfuel

JetBlue is putting a fresh spin on the traditional airline amenity kit with the introduction of its new “wellness kit” concept. Developed in partnership with Wanderfuel, a brand that specializes in carefully curated travel kits designed with leading nutritionist Sarah Wragge, the airline’s four wellness kits will pamper customers with a rotating selection of healthy snacks, supplements and personal care items designed to help customers feel their best throughout their entire travel journey. Travelers will receive one of four kits catered to the time of day and destination they are flying to: Awake, for breakfast and morning flights; Flow, for lunch and dinner flights; Sleep, for shuteye flights; and Renewal, for Caribbean flights.

Tune In (or Out) with Master & Dynamic

Mint customers will enjoypremium headsets from New York City’s luxury audio brand, Master & Dynamic. The custom-for-JetBlue MH40 Over-Ear headphones will enable travelers to tune in to JetBlue’s industry-leading seatback entertainment with noise reduction, a brilliant, genre-agnostic sound profile, and a vintage aviation-inspired design.

JetBlue operates more than 90 daily Mint flights in 18 JetBlue cities. Most recently, the airline expanded Mint service in the broader metro area to Newark Liberty International Airport (EWR) with daily nonstop service to both Los Angeles International Airport (LAX) and San Francisco International Airport (SFO).

Mont routes:

Aruba becomes first Caribbean nation to partner with JetBlue on entry testing

JetBlue Airways today announced Aruba is the first Caribbean nation to partner with the airline for seamless entry testing through JetBlue’s testing partner, Vault. The decision by Aruba to begin accepting the convenient PCR test facilitated by Vault’s technology platform for JetBlue customers arriving on the island was made after assessing the supervised testing process. It also comes as a result of the airline’s initiative to work with destination regions to promote safer travel with easy testing. JetBlue and Aruba are equally dedicated to helping keep those working and traveling safe while providing viable options for those who want or need to travel, including those seeking to vacation.

Aruba has required negative COVID-19 PCR test results since reopening to visitors, all in order to protect travelers and residents and allow them to enjoy the beauty of the island and contribute to the tourism industry that drives the Aruban economy. The supervised at-home test facilitated by Vault’s platform is the first and only saliva-based test accepted for entry of JetBlue customers by Aruban authorities. The test option with Vault provides convenience, quick turnaround, and accuracy. Vault facilitates all testing conducted by its collaborating laboratory. JetBlue customers receive a dedicated customer support phone line through the process.

The simple saliva test is administered via online video connection facilitated by Vault, with a test supervisor who helps ensure the customer is providing their sample properly. The sample is then overnighted to a laboratory for processing within 72 hours. In addition to priority support, Vault has created a dedicated landing page for JetBlue customers with current travel scheduled to Aruba, located at https://learn.vaulthealth.com/aruba/.

JetBlue aircraft photo gallery:

JetBlue announces additional Thanksgiving flying to support holiday demand

JetBlue Airways today announced it is expanding service from New York City over the peak Thanksgiving weekend, with additional nonstop flights from New York, Newark and Westchester County airports. Additions include Florida destinations like Fort Lauderdale/Hollywood, Fort Myers, Orlando and Tampa, and more frequency in popular VFR markets like Port-au-Prince, San Juan, Santiago and Santo Domingo. Plus high-demand transcontinental routes to Los Angeles and San Francisco.

These additional 25 flights will operate between November 20th and November 30th, as part of JetBlue’s strategy to add capacity in routes with strong potential for leisure and VFR demand.

Thanksgiving holiday demand routes include:

  • New York City (JFK) – Los Angeles
  • New York City (JFK) – Port-au-Prince
  • New York City (JFK) – Santo Domingo
  • New York City (JFK) – San Francisco
  • New York City (JFK) – San Juan
  • New York City (JFK) – Santiago
  • Newark -– Fort Lauderdale
  • Newark – Orlando
  • Newark – Fort Myers
  • Newark – Tampa
  • Westchester County – Fort Lauderdale
  • Westchester County – Orlando

JetBlue aircraft photo gallery:

JetBlue to launch service to Georgetown, Guyana on December 11

JetBlue Airways today announced a revised launch timeline for new nonstop service between New York’s John F. Kennedy International Airport (JFK) and Georgetown, Guyana’s Cheddi Jagan International Airport (GEO). Flights will initially operate up to four times weekly on JetBlue’s new Airbus A321neo aircraft beginning December 11, 2020 with seats available for purchase starting today.

Guyana becomes the fourth country in South America JetBlue serves and grows the airline’s presence in the Caribbean and Latin America to nearly 40 destinations. The new nonstop flights between New York City and Georgetown will be made possible by the A321neo’s extended range and fuel efficiency.

Schedule between New York (JFK) and Georgetown (GEO)

Beginning December 11, 2020

JFK – GEO Flight #1965

GEO – JFK Flight #1966

3:40 p.m. – 10:13 p.m.

11:59 p.m. – 5:00 a.m. (+1)

JetBlue Airways Airbus A321-231 WL N996JL (msn 8342) (Prism) JFK (Fred Freketic). Image: 945823.

Copyright Photo: JetBlue Airways Airbus A321-271NX WL N2029J (msn 9054) JFK (Fred Freketic). Image: 949317.

JetBlue A321neo aircraft feature the Collins Meridian seat – which is the widest seat available for the single aisle Airbus family of aircraft – with enhanced cushion comfort, adjustable headrests, power connections at every seat and the most legroom in coach (a). Inflight entertainment is powered by Thales AVANT and ViaSat-2 connectivity. With this system – featuring 10.1 inch, 1080P high definition screens, more than 100 channels of live television with DVR-like pause and rewind functionality, picture-in-picture function and more – JetBlue offers customers expanded entertainment choices in nearly every region the airline flies (b).

The A321neo – the newest aircraft type to join JetBlue’s growing fleet of more than 250 aircraft – boasts a 20% increase in fuel efficiency which supports some 500 nautical miles of extended range. The longer-range flying capabilities of the A321neo open up a host of new markets which JetBlue’s existing fleet could not serve with nonstop flights. Each JetBlue Airbus A321neo is powered by two Pratt & Whitney GTF engines, which produce a smaller noise footprint and lower operating costs.

JetBlue initially announced the new route between New York City and Georgetown in September 2019, but temporarily paused the sale of seats and adjusted the launch schedule in response to changes in global travel demand.

JetBlue aircraft slide show:

Tailfins:

JetBlue reports a GAAP pre-tax loss of $578 million in the third quarter

JetBlue Airways Corporation today reported its results for the third quarter 2020:

  • Reported GAAP loss per share of ($1.44) in the third quarter of 2020 compared to a diluted earnings per share of $0.63 in the third quarter of 2019. Adjusted loss per share was ($1.75)(1) in the third quarter of 2020 versus adjusted diluted earnings per share of $0.59(1) in the third quarter of 2019. Note A to this earnings release includes the GAAP to Non-GAAP reconciliation between reported and adjusted diluted earnings per share.
  • GAAP pre-tax loss of ($578) million in the third quarter of 2020, compared to a pre-tax income of $254 million in the third quarter of 2019. Excluding one-time items, adjusted pre-tax loss of ($690) million(1) in the third quarter of 2020 versus adjusted pre-tax income of $239 million(1) in the third quarter of 2019. 

Operational Highlights from the Third Quarter

  • Third quarter 2020 revenue declined 76% year over year as a result of the impact of COVID-19. The decline is better than our initial planning assumption for the quarter of 80%, as a result improving leisure and visiting friends and relatives (“VFR”) travel trends throughout the quarter.
  • Reduced third quarter 2020 capacity by 58% year over year compared to an initial planning assumption of a decrease of at least 45%, as a result of actions taken to manage cash burn and protect liquidity.
  • Operating expenses declined 45% year over year. Excluding special items, adjusted operating expenses(1)declined 39% year over year. We successfully reduced our third quarter expenses by taking capacity actions to reduce variable costs and reducing fixed costs by adjusting work schedules and eliminating discretionary spend.

Balance Sheet and Liquidity

  • JetBlue ended the third quarter with approximately $3.1 billion in unrestricted cash, cash equivalents, and short-term investments, and restricted cash for CARES Act Payroll Support Program (“PSP”), or 38% of 2019 revenue.
  • JetBlue repaid $95 million in regularly scheduled debt and finance lease obligations during the third quarter of 2020.
  • In the third quarter the U.S. Treasury updated the amount of the CARES Act Loan Program facility to $1.95 billion, and allocated JetBlue an additional amount of $27 million related to the original PSP allocation of $936 million.
  • JetBlue has taken the following measures in the third quarter to manage liquidity:
    • Refinanced the $1 billion 364-day term loan maturing in early 2021 with EETC transactions.
    • Executed over $300 million under sale-leaseback transactions for new aircraft and existing aircraft in our fleet.
    • Drew $114 million from the CARES Act Loan Program facility.
    • Continued to execute significant variable and fixed cost savings through aggressive capacity management and adjusted work schedules.
    • Redeployed assets to capture short-term, tactical cash generation opportunities.
  • Resulting from the actions taken, JetBlue’s average daily cash burn in the third quarter was $6.1 million, ahead of the $7 to $9 million range expected in late July. JetBlue expects average daily cash burn in the fourth quarter to range between $4 and $6 million.

Fuel Expense and Hedging

The realized fuel price in the quarter was $1.23 per gallon, a 40% decline versus third quarter 2019 realized fuel price of $2.06.

JetBlue has entered into forward fuel derivative contracts to hedge its fuel consumption for the fourth quarter of 2020. Based on the forward curve as of October 19th, JetBlue expects an average all-in price per gallon of fuel of $1.23 in the fourth quarter of 2020.

Our Recovery Plan and Actions Taken to Position JetBlue for Future Success

“Day in and day out, our crewmembers continue to deliver on our mission – to Inspire Humanity. Their dedication and passion for delivering outstanding service has been remarkable, especially as we work to restore our customers’ confidence in air travel,” said Robin Hayes, JetBlue’s Chief Executive Officer.

“Our efforts to raise liquidity, reshape our network, and reduce costs, are bearing fruit, and have helped us navigate the immediate crisis. We are confident that our low-cost, low fare leisure model, with the best crewmembers in the industry, and a brand that customers trust, will all help JetBlue emerge stronger from this crisis.

In the near term, we continue to manage our daily flying and take tactical actions to ensure we generate cash as demand recovers. We are also executing revenue and cost initiatives, redeploying our aircraft to new, cash accretive markets, and setting JetBlue up for a strong rebound. Naturally, we aim to be free cash flow positive, with the goal of repairing our balance sheet over the coming years.”

Action Plan, Revenue and Capacity

“In the third quarter, our revenue declined 76% year over year, a welcome improvement compared to our initial expectation. We saw a modest, sequential improvement in August and September demand as new case counts decreased, and quarantine restrictions in some states were eased. Our Northeast geography continues to be disproportionately impacted, though we believe it will undoubtedly rebound as it always has with past challenges,” said Joanna Geraghty, JetBlue’s President and Chief Operating Officer.

“Our planning assumption for the fourth quarter is a revenue decline of approximately 65% year over year. Although there still quite a lot of uncertainty about the evolution of the coronavirus, we are starting to see the booking curve extend slightly into the upcoming Thanksgiving and December holiday travel period, and we are encouraged by Customers responding positively to our promotional activity including an early holiday sale in late September. For the fourth quarter, our current planning assumption is for capacity to decline approximately 45% year over year, given our current expectations for improved bookings.”

Financial Performance and Outlook

“Our average daily cash burn for the third quarter was $6.1 million dollars, ahead of the $7 to $9 million dollar range we anticipated 3 months ago. This was the result of a modest improvement in demand, beginning in August, variable cost savings achieved through a balanced approach to capacity, and the many actions we took to minimize fixed costs across our business. For the fourth quarter, we estimate our daily cash burn to be between $4 and $6 million dollars,” said Steve Priest, JetBlue’s Chief Financial Officer.

“Earlier this month, we reached a second negotiated agreement with Airbus to defer additional aircraft and associated capital expenditure over the next few years. Since the beginning of the crisis we have reduced aircraft and non-aircraft CAPEX by approximately $2 billion dollars between 2020 and 2022.

At the end of September, our total liquidity was approximately $3.1 billion dollars. During the quarter, we refinanced our $1 billion dollar 364-day term loan and continued our focus on maintaining liquidity. We have approximately $1 billion dollars of traditional unencumbered assets, excluding the value of our TrueBlue loyalty program and our subsidiaries.

As we navigate the current environment with a steady hand, we are shifting our work to rebuilding our margins. We are taking an aggressive approach to improving our cost structure, better aligning our fixed and variable cost base, to temporarily lower revenue and capacity. We believe that our work will return JetBlue to profitability with structurally better margins, and our ultimate intention is to achieve superior pre-tax margins versus the industry.”

JetBlue reaches a tentative agreement with the Transport Workers Union (TWU)

JetBlue Airways has announced it has reached a tentative agreement with the Transport Workers Union (TWU), regarding the process toward a contract for JetBlue’s inflight crewmembers.

The agreement is subject to a ratification process which includes final documentation, review, and consideration by JetBlue’s TWU leadership team before being distributed to inflight crewmembers for a final vote.

 

JetBlue shows off its first Airbus A220 and new tailfin design

JetBlue Airways made this announcement on social media:

City hops. Island hops. Short hops. Our new A220s will make it easier to bounce from place to place. Is it any surprise the tailfin pattern is named, um, Hops?

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