RJP
Registered Eye-Poker
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- Jul 20, 2004
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Another fine AQ plan goes down the tubes....
Pacific Business News (Honolulu) - February 26, 2005
http://pacific.bizjournals.com/pacific/stories/2005/02/21/daily64.html
LATEST NEWS
11:47 AM HST Saturday
Aloha Airlines: Too much capacity to Las Vegas
Aloha Airlines says the Hawaii-Vegas air corridor has become unprofitable because too many airlines are flying it. But the local carrier says it has found a way to continue serving the market anyhow.
"Non-stop Las Vegas service was unprofitable due to overcapacity and highly discounted fares," Aloha said Friday. "To continue serving its Hawaii customers, Aloha will operate daily Las Vegas service via Oakland."
That begins April 3.
Hawaiian Airlines also flies Hawaii-Vegas, and so do charter carriers. Many local residents fly to Vegas on charter aircraft affiliated with Boyd Gaming's California Hotel, which despite its name is a mecca for vacationers from Hawaii.
Aloha, which has the power under Chapter 11 of federal bankruptcy law to back out of contracts such as aircraft leases, also announced Friday that it will return two Boeing 737-700 aircraft this year.
The airline previously suspended service to other Pacific locations and announced its intention to stop serving Vancouver and Burbank.
Despite that, Aloha plans some mainland service expansions.
In April it will boost nonstop service from Orange County to five flights a day, and offer double-daily service from San Diego.
In July, it will add a fourth daily flight from Oakland, with the new flight being one of two nonstops to Maui.
Aloha also flies to Sacramento and Reno.
The bankruptcy court Friday approved Aloha motions to take $5 million in debtor-in-possession funding to keep flying while the company works to secure union agreements.
In a setback to that effort, Aloha mechanics, the last union to accept labor cost reductions, voted Thursday night against ratifying a tentative five-year contract agreement negotiated by their union.
The rejection appeared to take both management and the union by surprise, and the timing of it created a fresh problem. Expecting ratification, the airline had negotiated new wages to kick in Feb. 1. Employees belonging to the other four unions at Aloha got paychecks Friday reflecting 10 percent pay cuts. Workers who thought everyone's pay cuts would start at the same time expressed anger with both the mechanics and the management.
Did they mention that the 737-700 is weight-restricted and totally inadequate for LAS-HNL?
Pacific Business News (Honolulu) - February 26, 2005
http://pacific.bizjournals.com/pacific/stories/2005/02/21/daily64.html
LATEST NEWS
11:47 AM HST Saturday
Aloha Airlines: Too much capacity to Las Vegas
Aloha Airlines says the Hawaii-Vegas air corridor has become unprofitable because too many airlines are flying it. But the local carrier says it has found a way to continue serving the market anyhow.
"Non-stop Las Vegas service was unprofitable due to overcapacity and highly discounted fares," Aloha said Friday. "To continue serving its Hawaii customers, Aloha will operate daily Las Vegas service via Oakland."
That begins April 3.
Hawaiian Airlines also flies Hawaii-Vegas, and so do charter carriers. Many local residents fly to Vegas on charter aircraft affiliated with Boyd Gaming's California Hotel, which despite its name is a mecca for vacationers from Hawaii.
Aloha, which has the power under Chapter 11 of federal bankruptcy law to back out of contracts such as aircraft leases, also announced Friday that it will return two Boeing 737-700 aircraft this year.
The airline previously suspended service to other Pacific locations and announced its intention to stop serving Vancouver and Burbank.
Despite that, Aloha plans some mainland service expansions.
In April it will boost nonstop service from Orange County to five flights a day, and offer double-daily service from San Diego.
In July, it will add a fourth daily flight from Oakland, with the new flight being one of two nonstops to Maui.
Aloha also flies to Sacramento and Reno.
The bankruptcy court Friday approved Aloha motions to take $5 million in debtor-in-possession funding to keep flying while the company works to secure union agreements.
In a setback to that effort, Aloha mechanics, the last union to accept labor cost reductions, voted Thursday night against ratifying a tentative five-year contract agreement negotiated by their union.
The rejection appeared to take both management and the union by surprise, and the timing of it created a fresh problem. Expecting ratification, the airline had negotiated new wages to kick in Feb. 1. Employees belonging to the other four unions at Aloha got paychecks Friday reflecting 10 percent pay cuts. Workers who thought everyone's pay cuts would start at the same time expressed anger with both the mechanics and the management.
Did they mention that the 737-700 is weight-restricted and totally inadequate for LAS-HNL?
