Tag Archives: Allegiant Air

Allegiant is encouraged by an uptick in demand in March, traffic is down by 26.2% from 2019

Allegiant Air Airbus A319-112 N302NV (msn 2387) (Vegas Golden Knights) LAS (Gunter Mayer). Image: 953312.

Allegiant Travel Company reported its preliminary passenger traffic results for March 2021 as well as first quarter 2021.

“We are encouraged by the meaningful improvement in customer demand throughout the month of March,” statedย Gregory Anderson, executive vice president and chief financial officer. “Average daily bookings for the month exceeded average daily bookings during the same time period in 2019. The significant improvement in March demand coupled with our industry-leading cost structure enabled us to generate positive EPS and EBITDA for the month of March, excluding the benefit from the payroll support grant. For the March quarter, we expect adjusted1ย CASM, excluding fuel, to be down 3 to 4 percent, year over two-year.”

“Capacity was up roughly three percent, when compared to 2019, with March capacity up 14 percent,” statedย Drew Wells, senior vice president, revenue. “Although this caused some load pressure, our focus remains on generating positive cash flows and optimizing profits. We continue to expect first quarter total revenue to fall in the middle of our previous guide of down 35 to 40 percent, when compared with 2019. We remain optimistic about peak summer travel. With national vaccination rates steadily increasing and average daily bookings trending in the right direction, we expect sequential revenue improvements into the second quarter.”

1ย Adjusted to exclude the impact of the payroll support grant.

Scheduled Service โ€“ Year Over Two-Year Comparison
March 2021 March 2019 Change
Passengers 1,095,572 1,484,326 (26.2%)
Revenue passenger miles (000) 1,022,480 1,386,501 (26.3%)
Available seat miles (000) 1,832,250 1,610,575 13.8%
Load factor 55.8% 86.1% (30.3 pts)
Departures 11,710 10,297 13.7%
Average stage length (miles) 899 914 (1.6%)
1stย Quarter 2021 1stย Quarter 2019 Change
Passengers 2,323,302 3,421,538 (32.1%)
Revenue passenger miles (000) 2,166,417 3,191,045 (32.1%)
Available seat miles (000) 3,921,090 3,802,132 3.1%
Load factor 55.3% 83.9% (28.6pts)
Departures 24,947 24,344 2.5%
Average stage length (miles) 902 908 (0.7%)

 

Total System* – Year Over Two-Year Comparison
March 2021 March 2019 Change
Passengers 1,102,869 1,499,688 (26.5%)
Available seat miles (000) 1,884,130 1,655,330 13.8%
Departures 12,144 10,660 13.9%
Average stage length (miles) 892 908 (1.8%)

 

1stย Quarter 2021 1stย Quarter 2019 Change
Passengers 2,334,503 3,450,278 (32.3%)
Available seat miles (000) 4,013,989 3,910,239 2.7%
Departures 25,684 25,200 1.9%
Average stage length (miles) 898 904 (0.7%)

 

Scheduled Service โ€“ Year Over Year Comparison
March 2021 March 2020 Change
Passengers 1,095,572 892,966 22.7%
Revenue passenger miles (000) 1,022,480 839,766 21.8%
Available seat miles (000) 1,832,250 1,413,348 29.6%
Load factor 55.8% 59.4% (3.6 pts)
Departures 11,710 8,926 31.2%
Average stage length (miles) 899 914 (1.6%)
1stย Quarter 2021 1stย Quarter 2020 Change
Passengers 2,323,302 3,154,606 (26.4%)
Revenue passenger miles (000) 2,166,417 2,925,482 (25.9%)
Available seat miles (000) 3,921,090 3,964,009 (1.1%)
Load factor 55.3% 73.8% (18.5pts)
Departures 24,947 25,484 (2.1%)
Average stage length (miles) 902 900 0.2%

 

Total System* – Year Over Year Comparison
March 2021 March 2020 Change
Passengers 1,102,869 898,986 22.7%
Available seat miles (000) 1,884,130 1,441,144 30.7%
Departures 12,144 9,172 32.4%
Average stage length (miles) 892 908

 

 (1.8%)

 

 

1stย Quarter 2021 1stย Quarter 2020 Change
Passengers 2,334,503 3,175,450 (26.5%)
Available seat miles (000) 4,013,989 4,067,671 (1.3%)
Departures 25,684 26,312 (2.4%)
Average stage length (miles) 898 895 0.3%

 

*Total system includes scheduled service and fixed fee contract.ย  System revenue passenger miles and system load factor are not useful statistics as system available seat miles include both ASMs flown by fixed fee flying as well as non-revenue producing repositioning flights used for operational needs.ย  Fixed fee flying is better measured through dollar contribution versus operational statistics.

 

Preliminary Financial Results
$ per gallon
March 2021ย estimated average fuel cost per gallon โ€“ system $1.99
$ per gallon
1st quarter 2021 estimated average fuel cost per gallon โ€“ system $1.86

Top Copyright Photo: Allegiant Air Airbus A319-112 N302NV (msn 2387) (Vegas Golden Knights) LAS (Gunter Mayer). Image: 953312.

Allegiant Air aircraft slide show:

Allegiant announces a new base at Austin

Allegiant Travel Company today announced plans to establish a base of operations at the South Terminal at Austin-Bergstrom International Airport (AUS). The Las Vegas-based company will invest $75 million to establish the new base in Austin, creating at least 89 high-wage jobs and housIng three Airbus A320 aircraft.

The company plans to begin its base operations in Austin on November 18, 2021.

Allegiant began operating at AUS inย October 2013ย with service fromย Austinย toย Las Vegasย and currently offers 14 nonstop routes โ€“ toย Orlando-Sanfordย andย Destin-Fort Walton Beach, Fla.;ย Cincinnati, Ohio;ย Memphisย andย Knoxville, Tenn.;ย Albuquerque, N.M.;ย Pittsburgh, Pa.;ย Indianapolis, Ind.;ย Des Moines, Iowa;ย Asheville, N.C.;ย Grand Rapids, Mich.;ย Bozeman, Mont.ย (new service startingย May 27, 2021) andย Bentonville, Ark.ย (new service startingย July 2, 2021) as well as Las Vegas.ย 

Since establishing service, Allegiant has flown more than 1.1 million passengers throughย Austin.

Allegiant Air aircraft photo gallery:

Allegiant Air aircraft slide show:

 

Allegiant sees a “moderate increase in travel demand” in February

Allegiant Travel Company today reported preliminary passenger traffic results forย February 2021.

“Over the last month, we have been pleased to see a moderate increase in travel demand,” statedย Drew Wells, senior vice president, revenue. “We met the increase in demand with increased supply, with February ASMs up roughly 6 percent from February of 2019, focusing on total revenue and profitability rather than unit metrics like load factor. We expect first quarter total revenue to be down between 35 and 40 percent on a year over two-year basis, a significant improvement over the fourth quarter. First quarter capacity is expected to be up between 2.0 and 4.5 percent, when compared to the first quarter of 2019, but we will continue to refine as dictated by demand.”

Scheduled Service

February 2021 February 2020 Change
Passengers 679,906 1,200,606 (43.4%)
Revenue passenger miles (000) 636,119 1,120,943 (43.3%)
Available seat miles (000) 1,203,720 1,370,619 (12.2%)
Load factor 52.8% 81.8% (29.0pts)
Departures 7,630 8,784 (13.1%)
Average stage length (miles) 907 902 0.6%

 

 

Total System*

February 2021 February 2020 Change
Passengers 680,930 1,207,325 (43.6%)
Available seat miles (000) 1,223,407 1,405,458 (13.0%)
Departures 7,783 9,059 (14.1%)
Average stage length (miles) 904 898 0.7%

 

*Total system includes scheduled service and fixed fee contract.ย  System revenue passenger miles and system load factor are not useful statistics as system available seat miles include both ASMs flown by fixed fee flying as well as non-revenue producing repositioning flights used for operational needs.ย  Fixed fee flying is better measured through dollar contribution versus operational statistics.

Preliminary Financial Results

$ per gallon
February 2021ย estimated average fuel cost per gallon โ€“ system $1.83

Allegiant announces two new routes from Key West

Allegiant Air announced two new nonstop routes connecting Key West with Pittsburgh and St. Petersburg-Clearwater.

The new routes come just a week after Allegiant announced its second largest network expansion in company history. The additions came in response to customer demand.

Also, Allegiant announced it is expanding the special limited route connectingย Punta Gorda, Fla.ย viaย Punta Gorda Airportย (PGD) andย Rapid City, SDย viaย Rapid City Regional Airportย (RAP).

New logo jet for the Vegas Golden Knights:

The route was originally planned to operate for two weeks in August, to coincide with the Sturgis Motorcycle Rally inย South Dakota. It proved so popular, the airline quickly expanded service for the entire summer. The new route beginsย June 4ย and will operate twice weekly.

The new nonstop service to Key West International Airport (EYW) in Key West, Fla. from Pittsburgh, Pa. via Pittsburgh International Airport (PIT) begins June 3, 2021.

The nonstop service to St. Peteโ€“Clearwater, Fla. via St. Pete-Clearwater International Airport (PIE) from Portsmouth, New Hampshire via Portsmouth International Airport (PSM) begins June 2, 2021.

Allegiant Air aircraft photo gallery:

Allegiant Air aircraft slide show:

Allegiant announces a major expansion with 34 new nonstop routes

Allegiant Air today announced 34 new nonstop routes, including nine special limited routes for the Sturgis Rally 2021.

Additionally, Allegiant will offer nine special limited routes toย Rapid City, S.D.ย viaย Rapid City Regional Airportย (RAP) with one-way fares as low asย $99.* The routes will provide an affordable option to those who plan to attend the annual City of Sturgis Motorcycle Rally in August.

The new routes toย Austin-Bergstrom International Airportย (AUS)ย include:

  1. Bentonville, Arkansasย viaย Northwest Arkansas National Airportย (XNA)ย โ€“ beginningย July 2, 2021ย with one-way fares as low asย $49.*
  2. Bozeman, Montanaย viaย Bozeman Yellowstone International Airportย (BZN) โ€“ย beginningย May 27, 2021ย with one-way fares as low asย $59.*

The new routes toย Boston Logan International Airportย (BOS)ย include:

  1. Norfolk, Virginiaย viaย Norfolk International Airportย (ORF)ย โ€“ beginningย May 28, 2021ย with one-way fares as low asย $39.*
  2. Indianapolis, Indianaย viaย Indianapolis International Airportย (IND) โ€“ย beginningย May 28, 2021ย with one-way fares as low asย $49.*

The new routes toย Bozeman Yellowstone International Airportย (BZN)ย include:

  1. Austin, Texasย viaย Austin-Bergstrom International Airportย (AUS)ย โ€“ beginningย May 27, 2021ย with one-way fares as low asย $59.
  2. Oakland, Californiaย viaย Oakland International Airportย (OAK)ย โ€“ beginningย May 28, 2021ย with one-way fares as low asย $49.
  3. San Diego, Californiaย viaย San Diego International Airportย (SAN)ย โ€“ beginningย June 3, 2021ย with one-way fares as low asย $49.

The new routes fromย Des Moines International Airportย (DSM)ย include:

  1. Houston, Texasย viaย William P. Hobby Airportย (HOU) โ€“ beginningย July 1, 2021ย with fares as low asย $59.*
  2. San Diego, Californiaย viaย San Diego International Airportย (SAN)ย โ€“ beginningย July 1, 2021ย with fares as low asย $59.*
  3. Portland, Oregonย viaย Portland International Airportย (PDX) โ€“ย beginningย July 1, 2021ย with fares as low asย $59.*

The new routes toย Destin-Fort Walton Beach Airportย (VPS)ย include:

  1. Asheville, North Carolinaย viaย Asheville Regional Airportย (AVL)ย โ€“ beginningย May 27, 2021ย with fares as low asย $39.*
  2. St. Cloud, Minnesotaย viaย St. Cloud Regional Airportย (STC) โ€“ beginningย June 6, 2021ย with one-way fares as low asย $79.*
  3. Clarksburg, West Virginiaย viaย North Central West Virginia Airportย (CKB)ย โ€“ beginningย May 26, 2021ย with one-way fares as low asย $49.*

The new routes toย William P. Hobby Airportย (HOU)ย include:

  1. Springfield, Missouriย viaย Springfield-Branson National Airportย (SGF)ย โ€“ beginningย May 28, 2021ย with one-way fares as low asย $59.*
  2. Lexington, Kentuckyย viaย Blue Grass Airportย (LEX) โ€“ beginningย June 3, 2021ย with one-way fares as low asย $59.*

The new routes fromย Indianapolis International Airportย (IND)ย include:

  1. Boston, Massachusettsย viaย Boston Logan International Airportย (BOS)ย โ€“ beginningย May 28, 2021ย with fares as low asย $49.*
  2. Los Angeles, Californiaย viaย Los Angeles International Airportย (LAX) โ€“ย beginningย May 28, 2021ย with fares as low asย $69.*

The new routes toย Los Angeles International Airportย (LAX)ย include:

  1. Indianapolis, Indianaย viaย Indianapolis International Airportย (IND)ย โ€“ beginningย May 28, 2021ย with fares as low asย $69.*
  2. Omaha, Nebraskaย viaย Omaha Eppley Airfieldย (OMA) โ€“ย beginningย June 4, 2021ย with fares as low asย $69.*
  3. Rapid City, South Dakotaย viaย Rapid City Regional Airportย (RAP)ย โ€“ beginningย June 4, 2021ย with fares as low asย $79.*
  4. Shreveport, Louisianaย viaย Shreveport Regional Airportย (SHV)ย โ€“ beginningย July 2, 2021ย with fares as low asย $79.*

The new routes toย Nashville International Airportย (BNA)ย include:

  1. Albany, New Yorkย viaย Albany International Airportย (ALB)ย โ€“ beginningย May 14, 2021ย with one-way fares as low asย $49.*
  2. McAllen, Texasย viaย McAllen International Airportย (MFE)ย โ€“ beginningย May 27, 2021ย with one-way fares as low asย $69.*
  3. Portsmouth, New Hampshireย viaย Portsmouth International Airportย (PSM) โ€“ beginningย May 27, 2021ย with one-way fares as low asย $69.*
  4. Boise, Idahoย viaย Boise International Airportย (BOI)ย โ€“ beginningย May 28, 2021ย with one-way fares as low asย $69.*ย 

The new routes toย Portland International Airportย (PDX)ย include:

  1. Billings, Montanaย viaย Billings Logan International Airportย (BIL)ย โ€“ beginningย May 7, 2021ย with fares as low asย $59.*
  2. Missoula, Montanaย viaย Missoula International Airportย (MSO) โ€“ย beginningย May 7, 2021ย with fares as low asย $59.*
  3. Grand Rapids, Michiganย viaย Gerald R. Ford International Airportย (GRR)ย โ€“ beginningย June 4, 2021ย with fares as low asย $79.*
  4. Des Moines, Iowaย viaย Des Moines International Airportย (DSM)ย โ€“ beginningย July 1, 2021ย with one-way fares as low asย $59.*

The new routes toย San Diego International Airportย (SAN)ย include:

  1. Bozeman, Montanaย viaย Bozeman Yellowstone International Airportย (BZN)ย โ€“ beginningย June 3, 2021ย with one-way fares as low asย $49.*ย 
  2. Kalispell, Montanaย viaย Glacier Park International Airportย (FCA) โ€“ย beginningย May 28, 2021ย with one-way fares as low asย $49.*
  3. Mesa, Arizonaย viaย Phoenix-Mesa Gateway Airportย (AZA) โ€“ย beginningย May 27, 2021ย with one-way fares as low asย $39. *
  4. Pasco, Washingtonย viaย Tri-Cities Airportย (PSC) โ€“ย beginningย May 28, 2021ย with one-way fares as low asย $59.*
  5. Des Moines, Iowaย viaย Des Moines International Airportย (DSM)ย โ€“ beginningย July 1, 2021ย with one-way fares as low asย $59.*

The new routes fromย North Central West Virginia Airportย (CKB)ย include:

  1. Destin, Floridaย viaย Destin-Fort Walton Beach Airportย (VPS)ย โ€“ beginningย May 26, 2021ย with one-way fares as low asย $49.*
  2. Chicago, Illinoisย viaย Midway International Airportย (MDW) โ€“ย beginningย June 3, 2021ย with one-way fares as low asย $39.*

The new route fromย Appleton, Wis.ย viaย Appleton International Airportย toย Savannah, Ga.ย viaย Savannah/Hilton Head International Airportย (SAV)ย beginsย May 28, 2021ย with faresย as low asย $49.*

The new route fromย Concord, N.C.ย viaย Concord-Padgett Regional Airportย (USA) toย Sarasota, Fla.ย viaย Sarasota-Bradenton International Airportย (SRQ)ย beginsย May 28, 2021ย with faresย as low asย $49.*

The new route fromย Bangor, Maineย viaย Bangor International Airportย (BGR) toย Fort Lauderdale, Fla.ย viaย Fort Lauderdale-Hollywood International Airportย (FLL)ย beginsย May 28, 2021ย with faresย as low asย $79.*

The new route fromย Cincinnati/Northern Kentucky International Airportย (CVG) toย Key West, Fla.ย viaย Key West International Airportย (EYW)ย beginsย June 9, 2021ย with faresย as low asย $59.*

The new nonstop routeย from Bill andย Hillary Clinton National Airportย (LIT) toย St. Petersburg, Fla., via St. Peteโ€“Clearwater International Airport (PIE)ย beginsย May 27, 2021ย with faresย as low asย $59.*

Special limited routes toย Rapid City Regional Airportย (RAP) for Sturgis Rally 2021 include:

  1. Appleton, Wisconsinย viaย Appleton International Airportย (ATW)ย โ€“ beginningย Aug. 4, 2021ย with fares as low asย $99.*
  2. Indianapolis, Indianaย viaย Indianapolis International Airportย (IND) โ€“ย beginningย Aug. 4, 2021ย with fares as low asย $99.*
  3. Peoria, Illinoisย via Generalย Wayne A.ย Downingย Peoriaย International Airport (PIA)ย โ€“ beginningย Aug. 4, 2021ย with fares as low asย $99.*
  4. Nashville, Tennesseeย viaย Nashville International Airportย (BNA)ย โ€“ beginningย Aug. 4, 2021ย with fares as low asย $99.*
  5. Pittsburgh, Pennsylvaniaย viaย Pittsburgh International Airportย (PIT)ย โ€“ beginningย Aug. 5, 2021ย with fares as low asย $99.*
  6. Grand Rapids, Michiganย viaย Gerald R. Ford International Airportย (GRR)ย โ€“ beginningย Aug. 4, 2021ย with fares as low asย $99.*
  7. Orlando/Sanford, Floridaย viaย Orlando Sanford International Airportย (SFB)ย โ€“ beginningย Aug. 5, 2021ย with fares as low asย $99.*
  8. Knoxville, Tennesseeย viaย McGhee Tyson Airportย (TYS)ย โ€“ beginningย Aug. 4, 2021ย with fares as low asย $99.*
  9. Punta Gorda, Floridaย viaย Punta Gorda Airportย (PGD)ย โ€“ beginningย Aug. 6, 2021ย with fares as low asย $99.*

*About the introductory one-way fares:

Seats and dates are limited and fares are not available on all flights. Flights must be purchased byย Feb. 10, 2021ย for travel byย Aug. 16, 2021. Price displayed includes taxes, carrier charges & government fees. Fare rules, routes and schedules are subject to change without notice. Optional baggage charges and additional restrictions may apply.

Allegiant Air aircraft photo gallery:

Allegiant Air aircraft slide show:

Allegiant reports 4Q and 2020 financial results

Allegiant Travel Company issued this report:

Allegiant Travel Company today reported the following financial results for the fourth quarter and full year 2020, as well as comparisons to the prior year:

Consolidated Three Months Ended
December 31,		 Percent
Change		 Twelve Months Ended
December 31,		 Percent
Change
(unaudited) (in millions, except per
share amounts)		 2020 2019 2020 2019
Total operating revenue $ 246.6 $ 461.1 (46.5) $ 990.1 $ 1,841.0 (46.2)
Operating income (loss) (23.6) 92.7 (125.5) (281.0) 364.0 (177.2)
Income (loss) before income taxes (39.2) 78.6 (149.9) (361.1) 301.2 (219.9)
Net income (loss) (28.8) 60.5 (147.6) (184.1) 232.1 (179.3)
Diluted earnings (loss) per share $ (1.79) $ 3.72 (148.1) $ (11.53) $ 14.26 (180.9)

 

Consolidated – adjusted Three Months Ended
December 31,		 Percent
Change		 Twelve Months Ended
December 31,		 Percent
Change
(unaudited) (in millions, except per
share amounts)		 2020 2019 2020 2019
Adjusted operating income (loss)ย (1) (2) $ (7.8) $ 92.7 (108.4) $ (140.1) $ 364.0 (138.5)
Adjusted income (loss) before income
taxes(1) (2)		 (23.4) 78.6 (129.8) (193.6) 301.2 (164.3)
Adjusted net income (loss)(1) (2) (18.0) 60.5 (129.8) (149.1) 231.9 (164.3)
Adjusted diluted earnings (loss) per
shareย (1) (2)		 $ (1.12) $ 3.72 (130.1) $ (9.33) $ 14.42 (164.7)
(1) Adjusted numbers exclude COVID related special charges, the benefit from the CARES Act payroll support program (as applicable), the benefit from the Employee Retention Credit (as applicable) and the portion of the tax benefit attributable to the CARES Act (as applicable).
(2) Denotes a non-GAAP financial measure. Refer to the Non-GAAP Presentation section within this document for further information.

“With the close of the fourth quarter, we completed the most challenging year the industry has faced in its history,” statedย Maurice J. Gallagher, Jr., chairman and CEO ofย Allegiant Travel Company. “We still have a long road ahead to a full recovery, but we are gaining momentum and moving in the right direction. We finished the quarter with an adjusted loss per share ofย $1.12ย – an improvement of 81 percent when compared to our second quarter lows. The fourth quarter continued the trend of sequential improvement to total revenue, which came in atย $247 million, up 85 percent from the second quarter. Similar improvements were seen in load factor at 58.2 percent. Booking trends suggest we will continue to see both revenue and load improvements into the first quarter.

Although the exact timing of a full recovery is unknown, the improvements observed in the fourth quarter coupled with the vaccine rollout suggest recovery is on the horizon. Furthermore, our internal weekly tracking surveys indicate customer travel intention has been improving for the last several weeks. Our 100 percent domestic network focusing on the leisure traveler and predicated around a low cost, low utilization model positions us favorably for a quick recovery.

From the onset of the pandemic, we have worked diligently to strengthen the balance sheet and improve cash balances. Arguably, our balance sheet is stronger today than a year ago. We are well positioned to be opportunistic related to our network and fleet as conditions improve. In early January, we announced service on 21 new routes, including three new cities. Preliminary booking trends on those routes have exceeded our expectations. Our current runway to grow the network has expanded to include over 1000 incremental routes. The flexibility of our model along with structural cost savings will enable us to continue improving the network in the months ahead.

The last ten months have been challenging, but I remain optimistic about 2021. I have been continually reminded of the quality of our team members throughout the pandemic. They have executed flawlessly, enabling us to lead the industry in the percentage of our schedule made available for sale and flown in 2020, with some of the highest load factors in the industry. They have assisted in removing structural costs from the business, enabling us to improve upon our already industry leading cost structure. Because of their efforts, I believe we will be among the first to return to profitability. I am very proud of the work they have done.”

Fourth Quarter 2020 Results

  • Adjusted loss per share(1)ย ofย $1.12, an improvement of 81 percent versus the second quarter and 74 percent as compared with the third quarter
  • Total revenueย for the quarter wasย $246.6 million, down 47 percent versus the prior year, the lowest year over year reduction since the onset of the pandemic
    • Sequential quarterly improvement in total revenue with fourth quarter total revenue up 85 percent from the second quarter and 23 percent from the third quarter
    • Completed the quarter with aย load factorย of 58.2 percent, the highest quarter since the onset of the pandemic
    • Average total ancillary revenue per passenger (includes air-related and third party products) continues to remain strong atย $57.18, nearly flat from prior year
  • Adjusted Operating CASM, excluding fuel(1)ย ofย 6.07 cents, down 10 percent from the prior year, on capacity reductions of 16 percent
  • Recognized total one-time, non-recurring,ย special charges related to COVID-19ย ofย $25.4 millionย during the fourth quarter
  • Recognized aย CARES Act employee retention creditย ofย $9.6 million, which is recorded as an offset to salary and benefits expense
  • Announced 15ย new non-stop routesย including two new cities during the fourth quarter and another 21 new non-stop routes including three new cities in early January bringing total routes served to 543 and 129 cities

Full Year 2020 Update

  • Reported total revenue ofย $990.1 million, down 46 percent versus prior year, among the lowest revenue reductions in the industry
    • Reducedย full year capacityย by 19 percent, the smallest reduction in the industry, with reported load factors of 59.5 percent
    • Average total ancillary revenue per passenger (includes air-related and third party products) increased 3 percent versus 2019 toย $58.46
  • Adjusted Operating CASM, excluding fuel(1)ย ofย 6.92 cents, up 7 percent from prior year on capacity reductions of 19 percent.
  • Employed a surgical approach to marketing efforts, which resulted in a full year decrease inย cost per bookingย of 46 percent

(1) Adjusted numbers exclude COVID related special charges, the benefit from the CARES Act payroll support program (as applicable), the benefit from the Employee Retention Credit (as applicable) and the portion of the tax benefit attributable to the CARES Act (as applicable).

Balance Sheet, Cash and Liquidity

  • Totalย cash and investmentsย atย December 31, 2020ย wereย $685 million
  • Totalย sources of liquidityย received during the fourth quarter wereย $160 million
    • Issuedย $150 millionย of senior secured notesย backed by same collateral package pledged to existing Term Loan
    • Received remainingย $10 millionย related to a sale leasebackย transaction that closed during the third quarter
  • Totalย sources of liquidityย received during full year 2020 wereย $724 million
    • Includes $177 million related to the CARES Act payroll support program, $150 million in senior secured notes, $115 million in secured financings backed by aircraft and engines, $100 million upsize of Term Loan B, $94 million in tax refunds related to net operating loss carry backs, and $88 million in proceeds from sale leasebacks
    • Repaidย $182 millionย in net principalย payments during full year 2020
    • Total debt increasedย $237 millionย versus year end 2019 withย debt, net of liquidity, as ofย December 31, 2020ย atย $974 million, roughly unchanged fromย December 31, 2019
  • Fourth quarterย interest expenseย ofย $16 million, down 11 percent from prior year
  • $268 millionย in additional liquidityย expected to be received during 1H21, none of which will increase debt balances
    • $92 millionย related to the extension of the CARES Act payroll support program, of whichย $45.9 millionย has been received
      • Entireย $92 millionย will be recognized as a payroll expense offset during the first quarter of 2021
    • $147 millionย in federal income tax refunds related to 2019 and 2020 net operating losses
    • $29 millionย in various other tax refunds
  • Air traffic liabilityย atย December 31stย wasย $308 million
    • Balance related to future scheduled flights isย $86 million
    • Balance related to travel vouchers issued for future use isย $222 million

Capital Expenditures

  • Fourth quarter spend wasย $105 million,ย which includedย $94 millionย for the acquisition of three aircraft and three engines along with induction costs,ย $6 millionย in other airline capital expenditures andย $5 millionย in deferred heavy maintenance
    • Two aircraft initially intended to be purchased during the fourth quarter were delayed until the first quarter of 2021
  • Full year 2020 capital expenditures wereย $335 million, comprised ofย $206 millionย in aircraft and engine purchases,ย $45 millionย in deferred heavy maintenance,ย $38 millionย in other airline capital expenditures, andย $46 millionย in non-airline projects
  • Full year 2021 capital expenditures, including deferred heavy maintenance, expected to be roughlyย $200 million
  • Includes two outstanding purchase agreements, two aircraft initially planned to be purchased during the fourth quarter of 2020, and newly signed purchase agreements for two aircraft
Guidance, subject to revision
First Quarter 2021 guidance
System ASMs – year over year change(1) 0.5 to 5.5%
Scheduled Serviceย  ASMs – year over year change(1) 0.5 to 5.5%
Full year 2021 guidance
CAPEX
Aircraft, engines and induction costs (millions) $115ย toย $125
Capitalized Airbus deferred heavy maintenance (millions) $50ย toย $60
Other capital expenditures (millions) $20ย toย $30
Interest expense $50ย toย $55
Principal payments(2) $170ย toย $180
(1) Year over year percentage changes compare 2021 to 2019
(2) Excludesย $46 millionย repayment of revolving credit facility as we expect to enter into an agreement for a new facility during 2021

Aircraft Fleet Plan by End of Period

Aircraft – (seats per AC) YE20 1Q21 2Q21 3Q21 YE21
A319 (156 seats) 34 35 35 35 35
A320 (177 seats) 25 27 23 20 19
A320 (186 seats) 36 39 47 53 54
Total 95 101 105 108 108
Aircraft listed in table above include return to service aircraft previously in storage and future purchase and lease aircraft under contract (subject to change)

Allegiant reports December 2020 traffic

Allegiant Travel Company reported preliminary passenger traffic results forย December 2020.

“As expected, the fourth quarter highlighted the divergence in strength between peak travel periods and non-peak periods,” statedย Drew Wells, vice president of revenue. “Demand remained soft throughout much of December before accelerating during the peak holiday travel period at the end of the month. Load factors during the peak period came in at nearly 60 percent, which aided in completing the quarter with a load factor of 58.2 percent, the best since the onset of the pandemic. Over the last several weeks, we have been encouraged by favorable forward booking trends as flight volumes begin to pick up mid-February and into peak Spring Break travel. We remain cognizant that the situation is fluid and will continue to manage capacity to meet the changing demand environment.”

Scheduled Service
December 2020 December 2019 Change
Passengers 673,041 1,308,341 (48.6%)
Revenue passenger miles (000) 611,429 1,165,902 (47.6%)
Available seat miles (000) 1,128,200 1,411,107 (20.0%)
Load factor 54.2% 82.6% (28.4pts)
Departures 7,281 9,423 (22.7%)
Average stage length (miles) 891 871 2.3%
4thย Quarter 2020 4thย Quarter 2019 Change
Passengers 2,129,292 3,516,263 (39.4%)
Revenue passenger miles (000) 1,878,831 3,073,055 (38.9%)
Available seat miles (000) 3,226,050 3,745,031 (13.9%)
Load factor 58.2% 82.1% (23.9 pts)
Departures 21,399 25,541 (16.2%)
Average stage length (miles) 868 856 1.4%
YTD 2020 YTD 2019 Change
Passengers 8,553,623 14,823,267 (42.3%)
Revenue passenger miles (000) 7,626,470 13,038,003 (41.5%)
Available seat miles (000) 12,814,080 15,545,818 (17.6%)
Load factor 59.5% 83.9% (24.4 pts)
Departures 85,276 105,690 (19.3%)
Average stage length (miles) 867 859 0.9%

 

Total System*
December 2020 December 2019 Change
Passengers 679,424 1,318,872 (48.5%)
Available seat miles (000) 1,147,534 1,453,592 (21.1%)
Departures 7,471 9,742 (23.3%)
Average stage length (miles) 883 868 1.7%
4thย Quarter 2020 4thย Quarter 2019 Change
Passengers 2,159,035 3,585,966 (39.8%)
Available seat miles (000) 3,315,599 3,928,536 (15.6%)
Departures 22,189 27,088 (18.1%)
Average stage length (miles) 860 846 1.7%
YTD 2020 YTD 2019 Change
Passengers 8,623,984 15,012,149 (42.6%)
Available seat miles (000) 13,125,533 16,174,240 (18.8%)
Departures 87,955 110,542 (20.4%)
Average stage length (miles) 862 855 0.8%

*Total system includes scheduled service and fixed fee contract.ย  System revenue passenger miles and system load factor are not useful statistics as system available seat miles include both ASMs flown by fixed fee flying as well as non-revenue producing repositioning flights used for operational needs.ย  Fixed fee flying is better measured through dollar contribution versus operational statistics.

Preliminary Financial Results
$ per gallon
December 2020ย estimated average fuel cost per gallon โ€“ system $1.56
$ per gallon
4thย quarter 2020 estimated average fuel cost per gallon โ€“ system $1.41

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Allegiant announces nine new routes and three new destinations

Allegiant Air today announced 21 new nonstop routes, including nine routes to three new cities: Portland, Oregon; Key West, Florida, and Jackson Hole, Wyoming.

Included as part of today’s announcement are eight routes that were delayed in 2020 due to the COVID-19 pandemic.

New service fromย Jackson Hole Airportย (JAC) includes:

  1. Los Angeles, Californiaย viaย Los Angeles International Airportย (LAX)ย โ€“ beginningย June 2, 2021ย with fares as low asย $59ย each way.*
  2. Phoenix, Arizonaย viaย Phoenix Mesa Gateway Airportย (AZA)ย โ€“ beginningย June 2, 2021ย with fares as low asย $59ย each way.*
  3. Las Vegas, Nevadaย viaย McCarran International Airportย (LAS) โ€“ย beginningย June 4, 2021ย with fares as low asย $49ย each way.*
  4. Reno, Nevadaย viaย Reno-Tahoe International Airportย (RNO) โ€“ย beginningย June 4, 2021ย with fares as low asย $49ย each way.*

New service fromย Key West International Airportย (EYW) includes:

  1. Nashville, Tennesseeย viaย Nashville International Airportย (BNA)ย โ€“ beginningย June 2, 2021ย with fares as low asย $59ย each way.*
  2. Sanford, Floridaย viaย Orlando Sanford International Airportย (SFB)ย โ€“ beginningย June 4, 2021ย with fares as low asย $49ย each way.*

New service fromย Portland International Airportย (PDX) includes:

  1. Santa Maria, Californiaย viaย Santa Maria Airportย (SMX)ย โ€“ beginningย April 15, 2021ย with fares as low asย $49ย each way.*
  2. Monterey, Californiaย viaย Monterey Regional Airportย (MRY)ย โ€“ beginningย May 28, 2021ย with fares as low asย $49ย each way.*
  3. Idaho Falls, Idahoย viaย Idaho Falls Regional Airportย (IDA) โ€“ย beginningย May 28, 2021ย with fares as low asย $49ย each way.*

New service fromย General Wayne A. Downing International Airportย (PIA) includes:

  1. Sarasota, Floridaย viaย Sarasota-Bradenton International Airportย (SRQ)ย โ€“ beginningย May 27, 2021ย with fares as low asย $59ย each way.*
  2. Denver, Coloradoย viaย Denver International Airportย (DEN)ย โ€“ beginningย May 28, 2021ย with fares as low asย $39ย each way.*

The new route to/fromย Charleston, South Carolinaย viaย Charleston International Airportย (CHS) includes:

  1. Belleville, Illinois/ย St. Louis, Missouriย viaย MidAmerica St. Louis Airportย (BLV) โ€“ beginningย May 28, 2021ย with fares as low asย $49ย each way.*ย ย 

The new route to/fromย Baltimore, Marylandย viaย Baltimore/Washington International Thurgood Marshall Airportย (BWI) includes:

  1. Punta Gorda, Floridaย viaย Punta Gorda Airportย (PGD) โ€“ beginningย May 27, 2021ย with fares as low asย $59ย each way.*

In addition to these new routes, Allegiant is announcing new dates for eight routes that were postponed in 2020 due to the pandemic. Allegiantย is offering one-way fares on those routes as low asย $39.*

The rescheduled routes toย Norfolk International Airportย (ORF)ย include:

  1. Pittsburgh, Pennsylvaniaย viaย Pittsburgh International Airportย (PIT) โ€“ beginningย June 3, 2021ย with fares as low asย $49.*
  2. Columbus, Ohioย viaย Rickenbacker International Airportย (LCK) โ€“ย beginningย June 3, 2021ย with one-way fares as low asย $49.*

The rescheduled route toย Nashville, Tennesseeย viaย Nashville International Airportย (BNA) includes:

  1. Greensboro, North Carolinaย viaย Piedmont Triad International Airportย (GSO) โ€“ย beginningย June 3, 2021ย with fares as low asย $39ย each way.*

The rescheduled route to/fromย Boston, Massachusettsย viaย Boston Logan International Airportย (BOS)ย includes:

  1. Grand Rapids, Michiganย viaย Gerald R. Ford Airportย (GRR)ย โ€“ beginningย March 5, 2021ย with fares as low asย $49ย each way.*

The rescheduled route to/fromย Louisville, Kentuckyย viaย Louisville International Airportย (SDF)ย includes:

  1. Charleston, South Carolinaย viaย Charleston International Airportย (CHS)ย โ€“ beginningย May 28, 2021ย with fares as low asย $49ย each way.*

The rescheduled route to/fromย Myrtle Beach,ย Floridaย viaย Myrtle Beach International Airportย (MYR)ย includes:

  1. Knoxville, Tennesseeย viaย McGhee Tyson Airportย (TYS)ย โ€“ beginningย June 2, 2021ย with fares as low asย $39ย each way.*

The rescheduled routes to/fromย Hudson Valley,ย New Yorkย viaย New York Stewart International Airportย (SWF) include:

  1. Destin, Floridaย viaย Destin-Fort Walton Beach Airportย (VPS) โ€“ย beginningย June 13, 2021ย with fares as low asย $59ย each way.*
  2. Savannah, Georgiaย viaย Savannah International Airportย (SAV) โ€“ย beginningย May 26, 2021ย with fares as low asย $59ย each way.*

Allegiant reports a decline in bookings and an increase in cancellations

Allegiant Air is reporting a softening in traffic due to rising COVID-19 cases:

Allegiant Travel Company reported preliminary passenger traffic results forย November 2020.

“Over the course of the last several weeks, we have seen a deceleration of bookings coupled with an increase in cancellations related to recent surges in COVID-19 cases and new travel restrictions,” statedย Drew Wells, vice president of revenue.

“Average daily bookings were roughlyย $3 millionย during the month of October, whereas November daily bookings averaged roughlyย $2.2 million. There continues to be a divergence in terms of strength between peak travel periods and non-peak periods, with peak days showing far more resiliency, a trend expected to hold through the Christmas holiday. We continue to approach demand as we have since the onset of the pandemic by maintaining a wide selling presence and cutting capacity as dictated by demand trends.

Despite recent booking weakness, fourth quarter capacity reductions are still expected to be roughly 15 percent as compared with prior year.”ย ย 

Scheduled Service
November 2020 November 2019 Change
Passengers 682,976 1,101,346 (38.0%)
Revenue passenger miles (000) 596,377 962,614 (38.0%)
Available seat miles (000) 1,034,482 1,197,831 (13.6%)
Load factor 57.6% 80.4% (22.8pts)
Departures 6,940 8,189 (15.3%)
Average stage length (miles) 861 857 0.5%
Total System*
November 2020 November 2019 Change
Passengers 692,327 1,129,065 (38.7%)
Available seat miles (000) 1,065,731 1,255,381 (15.1%)
Departures 7,201 8,739 (17.6%)
Average stage length (miles) 854 841 1.5%

*Total system includes scheduled service and fixed fee contract.ย  System revenue passenger miles and system load factor are not useful statistics as system available seat miles include both ASMs flown by fixed fee flying as well as non-revenue producing repositioning flights used for operational needs.ย  Fixed fee flying is better measured through dollar contribution versus operational statistics.

Preliminary Financial Results
$ per gallon
November 2020ย estimated average fuel cost per gallon โ€“ system $1.39

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Allegiant Air announces 15 new routes and two new destinations

Allegiant Airtoday announced 15 new nonstop routes, including nine routes to two new cities: Orange County, California and Spokane, Washington.

The new routes to/from Orange County, California via John Wayne Airport (SNA) include:

  1. Boise, Idaho via Boise Airport (BOI) โ€“ beginning Feb. 12, 2021 with fares as low as $49* each way.
  2. Grand Junction, Colorado via Grand Junction Regional Airport (GJT) โ€“ beginning Feb. 12, 2021with fares as low as $69* each way.
  3. Medford, Oregonย via Rogue Valley International-Medford Airport (MFR) โ€“ beginning Feb. 12, 2021 with fares as low as $69* each way.
  4. Provo, Utahย via Provo Airport (PVU)ย โ€“ beginning Feb. 12, 2021 with fares as low as $49* each way.
  5. Las Vegas, Nevada via McCarran International Airport (LAS) โ€“ beginning Feb. 18, 2021 with fares as low as $39* each way.
  6. Missoula, Montanaย via Missoula International Airport (MSO) โ€“ beginning Feb. 18, 2021 with fares as low as $69* each way.
  7. Reno, Nevada via Reno-Tahoe International Airport (RNO) โ€“ beginning Feb. 18, 2021 with fares as low as $39* each way.
  8. Spokane, Washington via Spokane International Airport (GEG) โ€“ beginning Feb. 18, 2021 with fares as low as $69* each way.

The new routes to/from Las Vegas, Nevada via McCarran International Airport (LAS) include:

  1. Spokane, Washingtonย via Spokane International Airport (GEG)ย โ€“ beginning Feb. 11, 2021 with fares as low as $49* each way.
  2. Orange County, California via John Wayne Airport (SNA) โ€“ beginning Feb. 18, 2021 with fares as low as $39* each way.
  3. Asheville, North Carolina via Asheville Regional Airport (AVL) โ€“ beginning Mar. 4, 2021 with fares as low as $79* each way.
  4. Flint, Michigan via Flint Bishop International Airport (FNT) โ€“ beginning Mar. 4, 2021 with fares as low as $59* each way.

The new routes to/from Grand Rapids, Michigan via Gerald R. Ford International Airport (GRR) include:

  1. Newark, New Jerseyย via Newark Liberty International Airport (EWR) โ€“ beginning Mar. 5, 2021with fares as low as $59* each way.
  2. Destin, Florida via Destin-Fort Walton Beach Airport (VPS) โ€“ beginning Mar. 5, 2021 with fares as low as $49* each way.

The new route to/from St. Petersburg, Florida via St. Peteโ€“Clearwater International Airport (PIE) includes:

  1. Fargo, North Dakota via Hector International Airport (FAR) โ€“ beginning Feb. 11, 2021 with fares as low as $79* each way.

The new route to/from Houston, Texas via William P. Hobby Airport (HOU) includes:

  1. Mesa, Arizona via Phoenix-Mesa Gateway Airport (AZA) โ€“ beginning Feb. 11, 2021 with fares as low as $49* each way.

*About the introductory one-way fares:

Seats and dates are limited and fares are not available on all flights. Flights must be purchased by Nov. 18, 2020 for travel by May 24, 2021. Price displayed includes taxes, carrier charges & government fees. Fare rules, routes and schedules are subject to change without notice. Optional baggage charges and additional restrictions may apply.

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