Tag Archives: Long Beach

Republic Airways Holdings hopes to increase its flying for American Airlines

Republic Airways Holdings (Indianapolis) is betting the AMR Corporation (Dallas/Fort Worth) will want to downsize the flying currently being performed by its subsidiary American Eagle Airlines (Dallas/Fort Worth). Republic hopes to expand its now small regional fleet flying for American Airlines (Dallas/Fort Worth) (currently by Chautauqua Airlines as American Connection) according to this article by Bloomberg Businessweek.

Read the full article: CLICK HERE

Copyright Photo: Stephen Tornblom. Although the titles say “Republic Airways” (after the holding company), this Embraer ERJ 170-100SU N821MD (msn 17000042) is actually operated by subsidiary Republic Airlines (2nd) (Indianapolis).

Republic Airways:

Allegiant’s pilots pick the Teamsters to represent them

Allegiant Air‘s (Las Vegas) pilots have selected the Teamsters to represent them. The company issued the following statement:

Allegiant has received notification from the National Mediation Board (NMB) that employees voting in the pilot election have chosen to be represented by the International Brotherhood of Teamsters (IBT).

“Allegiant respects the right of the pilot group to elect third-party representation, and we will work with the IBT to the best interests of both our employees and the Company,” Maurice J. Gallagher, Jr., Allegiant CEO and Chairman, said. “Contract negotiations can be a lengthy process and we do not anticipate any disruptions to our business or operations.”

Copyright Photo: Stephen Tornblom. McDonnell Douglas DC-9-83 (MD-83) N868GA (msn 49554) prepares to taxi from the gate at Long Beach.

Allegiant:

Allegiant to start Sanford-Lansing service on November 1

Allegiant Air (Las vegas) will open up the Sanford (near Orlando)-Lansing, Michigan route on November 1 per Airline Route. The new route will be operated two days a week.

Additionally the carrier will start twice-weekly Sanford-Columbus, Ohio (Rickenbacker) service on October 25.

The fast-growing company will also add a new route linking Mesa (near Phoenix) and Rochester, MN on November 1. As is their business plan, the route will initially be operated two days a week.

Copyright Photo: Michael B. Ing. McDonnell Douglas DC-9-83 (MD-83) N866GA (msn 49910) is pictured in action at Long beach.

Allegiant:

Allegiant’s second quarter net income rises by 110% to $25.2 million

Allegiant Travel Company (Allegiant Air) (Las Vegas) is steady profit machine finding profits in its underserved small markets. It really has no competition in these markets.

The travel group reported its second quarter net profit increased over 110 percent to $25.2 million.

Here is the full company statement:

“Allegiant Travel Company reported the following financial results for the second quarter 2012 as well as comparisons to prior year equivalents:

Unaudited	2Q12	2Q11	Change
Total operating revenue (millions)	$231.2	$200.4	15.3%
Operating income (millions)	$41.9	$20.7	102.1%
Operating margin	18.1%	10.3%	7.8pp
EBITDA (millions)	$54.9	$30.9	77.9%
EBITDA margin	23.8%	15.4%	8.4pp
Net income (millions)	$25.2	$11.9	110.8%
Diluted earnings per share	$1.30	$0.62	109.7%

“We are very proud to report our 38^th consecutive profitable quarter,” stated Maurice J. Gallagher, Jr., Chairman and CEO of Allegiant Travel Company. “I’d like to thank our Team Members for their great efforts and contributions to another successful quarter.”

Notable company highlights

CASM ex-fuel declined 13.9 percent to 5.1 cents, cost per passenger ex-fuel decreased 11.4 percent to $52.98
Announced acquisition of 19 A319 aircraft
Announced retirement of two MD-87s by the second quarter of 2013
Currently testing new website. Only a limited portion of web traffic is pointed to the new site. We expect to have 100 percent of traffic on it by the fourth quarter
Instituted new boarding process to support carry-on bag policy
Initiated service to Honolulu from Las Vegas and Fresno, Calif
Announced service to Honolulu from Bellingham, Wash, Eugene, Ore, Santa Maria, Monterey, and Stockton, Calif to begin in mid November
Announced service to Maui from Bellingham, Wash to begin in mid-November
As of Aug 1, we have 30 MD-80s with 166 seats. Expect all west coast scheduled MD-80s to have 166 seats by end of the third quarter of 2012.
Received ETOPS certification and Flag Carrier Status – permits international scheduled flying
Since July 2, operating four 757s
Started Oakland and Punta Gorda bases, currently serving eight markets and seven markets, respectively

Revenue performance

Average fare — ancillary air-related revenue per passenger grew 7.8 percent
Ancillary revenues per passenger were $39.67 in the second quarter, highest in the company’s history

	2Q12	2Q11	Change
Scheduled Service:
Average fare – scheduled service	$89.43	$91.17	(1.9)%
Average fare – ancillary air-related charges	$33.90	$31.45	7.8%
Average fare – ancillary third party products	$5.77	$5.68	1.6%
Average fare – total	$129.10	$128.30	0.6%
Scheduled service passenger revenue per ASM (PRASM) (cents)	8.75	9.27	(5.6)%
Total scheduled service revenue* per ASM (TRASM) (cents)	12.63	13.04	(3.1)%
Load factor	90.1%	92.0%	(1.9)pp
Passengers (millions)	1.7	1.5	16.0%
Average passengers per departure	140	136	2.9%

* Total scheduled service revenue includes scheduled service, ancillary air-related, and ancillary third party revenue.

Cost performance

Cost per ASM excluding fuel decreased 13.9 percent to 5.1 cents, total cost per ASM decreased 10.9 percent to 10.16 cents
Aircraft fuel expense per gallon declined 2.5 percent or $.08 per gallon
Fuel cost per passenger was $52.50, a $2.93 decrease or a 5.3 percent drop from the second quarter 2011
Salary and benefit expense per passenger declined 3.4 percent primarily due to outsourcing of station personnel in Las Vegas in the second quarter of 2011 and continued productivity gains
Sales and marketing expense per passenger decreased 11.7 percent primarily due to an 8 percent decline in payment processing cost per passenger resulting from increased debit card usage
Maintenance and repairs expense per passenger decreased 34.9 percent due primarily to a 64 percent decline in engine overhaul expenses
Station operations expense per passenger increased 2.8 percent primarily due to outsourcing Las Vegas station personnel

	2Q12	2Q11	Change
Total System*:
Operating expense per passenger	$105.48	$115.24	(8.5)%
Operating expense per passenger, excluding fuel	$52.98	$59.81	(11.4)%
Operating expense per ASM (CASM) (cents)	10.16	11.40	(10.9)%
Operating expense, excluding fuel per ASM (CASM ex fuel) (cents)	5.10	5.92	(13.9)%

* Total system includes scheduled service, fixed-fee contract and non-revenue flying.

Third party products performance

Ancillary revenue — third party products per passenger increased 1.6 percent, our ninth consecutive quarter of year over year increases
Third party ancillary gross margin improved to 29.7 percent versus 28.1 percent last year
41 percent of hotel room night growth occurred outside of Las Vegas
Rental car days grew 28.4 percent year over year

Supplemental Ancillary Revenue Information Unaudited (millions)	2Q12	2Q11	Change
Gross ancillary revenue – third party products	$32,909	$29,547	11.4%
Cost of goods sold	($21,909)	($20,046)	9.3%
Transaction costs*	($1,218)	($1,210)	0.7%
Ancillary revenue – third party products	$9,782	$8,291	18.0%
As percent of gross	29.7%	28.1%	1.6pp
As percent of income before taxes	24.5%	43.9%	(19.4)pp
Ancillary revenue – third party products/scheduled passenger	$5.77	$5.68	1.6%
Hotel room nights (thousands)	204.3	186.2	9.8%
Rental car days (thousands)	201.6	157.0	28.4%

* Includes payment expenses and travel agency commissions.

Balance sheet highlights

Financed two 757s in the quarter for $14 million
$33 million of total debt secured by six 757 aircraft
Currently have $45 million in share repurchase authority

Unaudited (millions)	6/30/12	12/31/11	Change
Unrestricted cash*	$390.1	$319.5	22.1%
Unrestricted cash net of air traffic liability	$232.4	$200.8	15.8%
Total debt	$156.2	$146.1	6.9%
Total stockholders’ equity	$403.0	$351.5	14.6%

	Six months ended June 30,
Unaudited (millions)	2012	2011	Change
Capital expenditures	$61.1	$51.2	19.2%
* Unrestricted cash includes investments in marketable securities.

At this time, Allegiant Travel Company provides the following guidance to investors, subject to revision.

Guidance, subject to revision

Revenue guidance	July 2012	3Q12
Estimated PRASM year-over-year change	(3) to (1)%	(9) to (7)%

Fixed fee and other revenue guidance		3Q12
Fixed fee and other revenue (millions)		$10 to $12

Aircraft guidance		3Q12
Number of MD-80s to be converted to 166 seats*		37 to 39

Capacity guidance
System	3Q12	4Q12
Departure year-over-year growth	+2 to 6%	+5 to 9%
ASM year-over-year growth	+14 to 18%	+19 to 23%
Scheduled
Departure year-over-year growth	+3 to 7%	+6 to 10%
ASM year-over-year growth	+15 to 19%	+22 to 26%

Cost guidance	3Q12	FY12
CASM ex fuel — year-over-year change	(2) to 0%	(10) to (5)%

CAPEX guidance		FY12
Capital expenditures (millions)		$105 to $115

Full year capacity guidance	FY12	FY13
Scheduled ASM year-over-year growth	+20 to 25%	+20 to 25%

CASM ex fuel — cost per available seat mile excluding fuel expense
* Number of aircraft expected to be completed by end of the quarter

Copyright Photo: Stephen Tornblom.McDonnell Douglas DC-9-83 (MD-83) N865GA at Long Beacg shows off the updated 2010 livery.

Allegiant:

SkyWest pilot kills himself after trying to steal a CRJ200 at St. George, Utah

SkyWest Airlines‘ (St. George) pilot, who was wanted for the murder of his former girlfriend in Colorado, attempted to steal an unoccupied SkyWest regional jet from the St. George Airport yesterday (July 17). The pilot then committed suicide after smashing the unoccupied Bombardier CRJ200 (CL-600-2B19) N865AS (msn 7507) into the loading bridge according to this report by the The Salt Lake Tribune.

Read the full report (with photos): CLICK HERE

SkyWest Airlines:

JetBlue to fly to Cartagena, Colombia

JetBlue Airways (New York) plans to add another Caribbean gem to its network: Cartagena, the vibrant city on Colombia’s Caribbean coast. Starting on November 2, 2012, subject to receipt of government approval, travelers will be able to fly to and from New York’s John F. Kennedy International Airport three times per week – the only nonstop service between New York and Cartagena.

Cartagena will be JetBlue’s second destination in Colombia and its third route to the country. Earlier this summer, JetBlue added a daily Fort Lauderdale/Hollywood to Bogota service to complement its existing daily Orlando to Bogota route. The airline has offered service to Colombia since 2009.

JetBlue’s schedule between New York and Cartagena:

New York (JFK) to Cartagena (CTG):	Cartagena (CTG) to New York (JFK):
Depart – Arrive	Depart – Arrive
8:25 a.m. – 1:10 p.m.	2:05 p.m. – 7:30 p.m.
– Flights operate on Tuesdays, Fridays and Sundays effective November 2, 2012 – – All times local –

JetBlue’s flights between New York and Cartagena will be operated with its Airbus A320 aircraft.

JetBlue:

Frontier Airlines to fly Kansas City-Fort Myers

Frontier Airlines (2nd)-Republic Airlines (2nd) Embraer ERJ 190-100 IGW N174HQ (msn 19000211) LGB (James Helbock) “Buddy”, originally uploaded by Airliners Gallery.

Frontier Airlines (2nd) (Denver) announced new seasonal nonstop service between Kansas City International Airport (MCI) and Southwest Florida International Airport (RSW) in Fort Myers, Fla., the airline’s 15th nonstop destination from Kansas City.

Frontier will offer a once-weekly roundtrip flight beginning on December 18, 2010, and will increase service to two weekly roundtrip flights in February.

Republic Airlines (2nd) will operate a 99-seat Embraer ERJ 190 aircraft on this new route for Frontier.

Horizon Air wins a tentative agreement with its pilots

Horizon Air Bombardier CRJ700 (CL-600-2C10) N601QX (msn 10009) LGB (Michael B. Ing), originally uploaded by Airliners Gallery.

Horizon Air (Seattle/Tacoma) and the International Brotherhood of Teamsters (IBT) jointly announced that, with the assistance of federal mediation, they have reached an agreement in principle on a new contract for the airline’s 686 pilots.

In the coming weeks, Horizon and the IBT will focus on finalizing the language for the agreed-upon items. The intent is to reach a tentative agreement that the IBT would present to Horizon pilots for ratification.

Horizon’s pilot contract became amendable in September 2006. After years of negotiations, in January 2010 both Horizon and the IBT requested federal mediation to work through the remaining open items.

Per federal law, airline contracts don’t expire. An existing contract remains in effect after the amendable date until a new contract is agreed to by the negotiating teams and ratified by represented members.

JetBlue Airways to add Hartford/Springfield on November 17

JetBlue Airways Airbus A320-232 N568JB (msn 2063) (Blueberries) LGB (Michael B. Ing), originally uploaded by Airliners Gallery.

JetBlue Airways (New York-JFK) will add Hartford/Springfield on November 17 with nonstop service to both Orlando and Fort Lauderdale/Hollywood.

Read the full press release:

http://finance.yahoo.com/news/JetBlue-to-Enter-the-Gateway-prnews-2445875445.html?x=0&.v=1

American, JetBlue announce slot swap, interline agreement

Copyright Photo: Michael B. Ing. JetBlue's Embraer ERJ 190-100 IGW N258JB (msn 19000047) prepares to land at the Long Beach focus city. Due to this new arrangement, the ERJ 190s are expected to leave the West Coast and return to the East Coast in May 2010 and will be operated from DCA.

American Airlines (Dallas/Fort Worth) and JetBlue Airways (New York-JFK) announced an agreement for collaboration that will offer JetBlue customers connections to American’s international flights from New York’s John F.Kennedy International Airport (JFK) and Boston’s Logan International Airport, where JetBlue is the largest domestic airline, and offer American’s customers convenient nonstop domestic flight options on JetBlue from those markets.

Under terms of the agreement, American intends to transfer eight slot pairs at Washington’s Ronald Reagan National Airport and one slot pair at White Plains, NY to JetBlue, and JetBlue intends to transfer 12 slot pairs at New York’s John F.Kennedy International Airport to American.

The agreement will provide customers with interline service in non-overlapping markets, which will offer them more choices and convenient connections. The companies are also exploring other commercial cooperation.

On domestic routes where the carriers don’t currently compete, American customers can book convenient, nonstop JetBlue flights from JFK and Boston to 18 domestic markets, including Portland, ME; Nantucket; and Burlington, VT.

Starting in summer 2010, American and American Eagle will expand the routes and service they offer customers from New York. Including previously announced additions, by year end at LaGuardia and JFK combined, American and American Eagle will add 31 total flights to and from 13 additional routes, bringing total NYC departures to 216 and unique destinations to 63. The announcement includes seven new destinations served on 23 new roundtrip flights. When combined with new options for travel on JetBlue, American’s New York customers will have access to 81 unique destinations on 271 nonstop flights by the end of 2010. In addition, American serves four destinations with 18 daily departures out of Newark’s Liberty International Airport.

LGA

New American Eagle Bombardier CRJ700 regional jets, outfitted with First Class as well as new Coach Class seats, will fly new routes from LaGuardia to Minneapolis-St. Paul four times daily, to Atlanta seven times daily, and five times daily to Charlotte. The CRJ700s will also be used to fly existing routes from LaGuardia to Toronto and Raleigh-Durham, giving passengers in those markets access to First Class service.

American will also increase mainline daily flights to and from Miami and Chicago from LaGuardia.

JFK

As previously announced, American begins service in April and May to San Jose, Costa Rica; Madrid, and Manchester, England. Previously announced nonstop service to Austin will begin in July.

American also announced it will add twice-daily, nonstop service to and from Fort Lauderdale/Hollywood in November and increase daily frequencies to Orlando, Las Vegas, and Miami effective in November.

American Eagle previously announced daily round-trip service on regional jets to and from Columbus, Ohio, and St. Louis. American Eagle today announced twice-daily service to and from both Indianapolis, and Cincinnati. In addition, American Eagle will begin one flight daily to and from Norfolk. Those new flights will use Embraer regional jets and are slated to begin by year end. They will be assigned times so that customers can make connections to American’s international flights. The airline will also assign the two-class CRJ700s to upgrade existing routes from JFK, offering First Class service to Washington (Reagan National), Boston, and Toronto starting in early 2011.

DCA

JetBlue Airways also announced plans to serve the Ronald Reagan Washington National Airport (DCA) beginning in November 2010. JetBlue intends to initially offer travelers at least eight daily departures from DCA to select East Coast destinations, complementing its existing service from Washington Dulles International Airport and Baltimore/Washington International Thurgood Marshall Airport.