Another small victory for DL...Airtran leaves GSO

[Ty Webb]

Those cities aren't paying us, period. The local merchants have agreed to put money into a "travel bank" that guarantees a certain level of ridership. If it falls below a certain level, then travel bank money kicks in.

The interesting thing to me is that those cities that have a travel bank felt so "reamed" by the dominant carrier that they were willing to organize and contribute to a travel bank to lure Airtran into the market.

That says a lot about the treatment they were getting from the legacy carrier- doesn't it.

 

[flx757]

Ty,

Hey man. Aren't you about to graduate from that "flap operator" position of your'n into a "flap director's" job?

Hope things are holding up well for you. See ya around. Take care and keep 'em all straight.

http://www.weebls-stuff.com/testy/cowbell.swf

 

[Fly-By-Cable]

I logged into CrewTrack today (AirTran Crew website) and got a message that went something like this:



Due to delivery problems on some new 717's, company had canceled a number of flights to TLH and GSO...and so on and so forth...asking to be patient with reassignments and pay protection...



So may be they're just short on planes right now.

 

[FDJ2]

Those cities aren't paying us, period. The local merchants have agreed to put money into a "travel bank" that guarantees a certain level of ridership. If it falls below a certain level, then travel bank money kicks in.

Well isn't that special. Must be nice having that kind of subsidy.

 

[Ty Webb]

Funny thing is that your company's policies actually encouraged the people in these communities to work together to bring us in there.

Now, that's sassy.

 

[FLB717]

Blue Bayou,

It's easy to scam passenger from NYC to LA, or NYC to all of Florida from DAl and AA . Lets see when you get those EJets how well you do it from EVV to NYC. I doubt you will find the pickings so easy. We have been at this small market stuff for 10 years and let me tell you it is tuff. You may be the next thing to Jesus in those markets, but I doubt it, I think you will find it.....interesting.

 

[46Driver]

Well isn't that special. Must be nice having that kind of subsidy.

The communities don't have any choice. Low airfare helps all the businesses in the city - and if one carrier is charging exorbitant rates (in this case Delta), it makes good economic sense for the city to support competition. If Delta lowered their fares to these cities, they wouldn't face these kinds of problems.

 

[pilotyip]

Lower prices, lower wages

If DAL charged AirTran prices, they would have to pay Airtran wages not only to pilots but to everyone in the company. So when Airtran leaves a city like TOL it restores high tickets prices and and DAL sends in a regional carrier.

 

[Joe Peeoznotz]

Those cities aren't paying us, period. The local merchants have agreed to put money into a "travel bank" that guarantees a certain level of ridership. If it falls below a certain level, then travel bank money kicks in.

The interesting thing to me is that those cities that have a travel bank felt so "reamed" by the dominant carrier that they were willing to organize and contribute to a travel bank to lure Airtran into the market.

That says a lot about the treatment they were getting from the legacy carrier- doesn't it.

Are you still trying to peddle this bs? Wichita and Tallahassee are both subsidized by taxpayers. It is illegal to siphon off Airport revenue, so the cities get around this by pilfering the tax payers. Yes, travel banks do exist, as Rochester comes to mind. Are they still paying you guys? I still would like to see you guys break out this revenue. My guess is you wouldn't be profitable.

 

[Joe Peeoznotz]

Well isn't that special. Must be nice having that kind of subsidy.

Actually, DL inquired about the subsidy at Wichita. They felt that they too should be entitled to some money. Although, I think it was more of a ploy to get the city to stop supporting Airtran.

 

[Ty Webb]

Ty,

Hey man. Aren't you about to graduate from that "flap operator" position of your'n into a "flap director's" job?

Hope things are holding up well for you. See ya around. Take care and keep 'em all straight.

http://www.weebls-stuff.com/testy/cowbell.swf

Thanks for the link . . . . one of my favorite episodes.

Some of my classmates were awarded CA737 but I am holding out for 717. Probably wait until after the holidays . . . . enjoying life too much to be bothered with reserve.

If you're in the area, just stop by the Florabama . . . . .

 

[Ty Webb]

Are you still trying to peddle this bs? Wichita and Tallahassee are both subsidized by taxpayers.

More squawking from the peenotz gallery. Why don't you post some information to support your allegation? Otherwise, it's just more noise.

PS., are you guys still selling tickets from DFW to FL via MSY to get around the law in DFW?

Squawk, Squawk, Thump.

 

[Joe Peeoznotz]

More squawking from the peenotz gallery. Why don't you post some information to support your allegation? Otherwise, it's just more noise.

.

Here you go pinhead.

http://www.kansas.com/mld/kansas/news/3812530.htm

 

[Citrusflyer]

Travel Banks are not a profit making enterprise. The "bank" is set up by the COC and local business to bring us to a break-even point only. If the locals don't use us as they agreed to when we agreed to start service they have to pony up the $$ to the break even point NOT FOR A PROFIT!


Travel banks wouldn't even be necessary it the COC and Mayor thought they were getting fair ticket pricing. They courted Airtran, jetblue, and <yes> SWA for service, each receiving varying offers. I don't know why some on this board feel they can run Wichita (or Toledo, etc) better than those elected and those living there, but if you can maybe you should go into politics and leave the flying to others.

 

[FDJ2]

The city offered to cover AirTran's for losses of up to $3 million in the first 12 months of business and an additional $1.5 million in the second year.

And the city is providing AirTran up $600,000 in marketing.


Wow. It must be nice to be subsidized by a city. If the subsidies go, will Airtran pull out?

 

[FLB717]

We will stay for as long as Delta continues to screw to public, ask TLH how the fares have changed after our departure has been anounced.

 

[Ty Webb]

We're not in the business of operating at "break-even". The guarantee, or "travel bank" only guarantees break even . . . . . . if all we are doing is "break-even" then we wouldn;t be there.


As for Pete Austin . . . err, excuse me, Joe Peenotz- that article was from 2002. Is that the best you can do?

I sure hope that you aren't slamming us on this message board and then riding us to get to work. I have met a few SWA guys who commute on us from ICT and MCI, and I sure hope you weren't one of those guys that shakes my hand, accepts a seat in business class, and then slams us on a message board.

I do a couple of MCI and ICT overnights next month, so I'll be sure to ask any SWA commuters if they feel like you do.

Suawk, Squawk, Thump.

 

[BLUE BAYOU]

I guess I was right about some of the subsides, but hey, more power to AAI for coming up with what is soundly a cool way to do business and help communities out that could use a break. When a city ponies up 3 million bucks so that their citizens can save 60 million in travel fares, I think I'd want to move to Wichita, too!!! Good on them.

 

[Ty Webb]

I think that to really understand the whole travel bank thing, one needs to review what happened in MOB (Mobile, AL).

Mobile is 302 NM from ATL, but had astronomical fares and spotty service to ATL, as Delta was the only game in town. AirTran started service to MOB, and Delta immediately matched the low fares. Mobilians were delighted at the sudden benevolance of Delta . . . fares cut in half, more service . . . . what's not to like?

Meanwhile, AirTran was finding it hard to fill up their airplanes. After all, at the same price, which would you have chosen- Delta, with frequent flyer points, nicer airplanes, more frequent service, or AIrTran, with ratty old DC9's, less frequent service, and a fledgling FF program?

AirTran, with low ridership, started warning Mobilians that if they didn;t use the service, they would pull out . . . to no avail. Eventually, they did just that. Delta raised their rates right back to where they had been previously, and the people of Mobile wandered around in a daze, wondering what had happened.

In the end, it was a losing propsition for both- Airtran had lost money on the experiment, and Mobile had lost the opportunity to have lower fares.

Since then, AirTran has learned to get the community involved, in the form of a ticket bank. If the people fail to utilize our service, the travel bank keeps us from losing money. It takes over half a million dollars to open a new station, so the advertising dollars helpd mitigate that cost. The business community has a stake in promoting the new service, and it lowers our exposure.

In the end, if these communities were being chargeD a fair price to begin with, they wouldn;t have a desire to bring us there in the first place.

 

[FLB717]

On a different note. Congrats to MUSIC on his passing the B737 Captain upgrade, well done.