New interisland fares to go as low as $43
By Allison Schaefers and Dave Segal
[email protected], [email protected]
Mesa Air Group Inc., which plans to form an independent
airline to compete interisland against other Hawaii carriers
next year, announced air fares yesterday as low as $43 one
way.
The Phoenix-based regional carrier said it will keep its
Hawaii fares low by using six Bombardier CRJ-200, 50-seat
regional jets to connect the islands with service to Honolulu;
Hilo and Kona on the Big Island; Lihue, Kauai and Kahului,
Maui. The aircraft will be in addition to Mesa's current fleet
of 181 aircraft.
The fares, which range up to $85.50 for one-way trips and from
$86 to $171 for round trips, can be purchased on a one-way
basis requiring no minimum stays or advance purchase.
"We want to make a statement to people that we really want to
focus on winning over the local market," said Jonathan
Ornstein, chairman and chief executive of Mesa. " We want to
show people we want to offer affordable fares and reliable,
high-frequency, quality service at the lowest possible price."
Ornstein said one of the reasons the parent company can do
that is because the rest of Mesa's operation is profitable and
the Hawaii operation won't have to subsidize any other part of
Mesa's business.
Peter Murnane, chief financial officer of Mesa, said Mesa's
published fares are half the published prices of Hawaiian and
Aloha airlines. He noted that Internet fares from Hawaiian and
Aloha may be lower than those airlines' published fares, but
that Mesa also will have lower fares once customers can buy
them online.
Mesa, which expects to begin its new Hawaii service in the
second quarter, also said it can keep fares low by not having
to subsidize unprofitable trans-Pacific service on the
shoulders of its interisland passengers.
"As a low-cost, financially strong company, profitable for 27
of the last 28 consecutive quarters on a pro forma basis, we
believe we are in a unique position to offer these great low
fares," said Mickey Bowman, vice president of scheduling and
planning for the interisland operation.
Murnane discounted some skepticism in the Hawaii marketplace
that the operation wouldn't get off the ground.
"This is six aircraft out of about 190 that we'll have at the
time that we begin," he said. "It's just a small percentage of
our fleet. Not only are we running a profitable operation. I
think it just puts us in a different position than others."
Ornstein said he is undecided between two names for the new
airline and wasn't ready to announce his choice yet.
"In talking to some of the people in the Hawaii travel
industry, one of the things that came to us loud and clear was
that we shouldn't use a Hawaiian name," Ornstein said. "They
said it has too many connotations from other carriers that
have failed. They encouraged us to look at names that express
what we're trying to do -- which is to provide low cost,
high-frequency service -- and to tie it into Hawaii but not
directly."
CROWDED SKIES
Mesa Air Group Inc. announced fares yesterday for the
new interisland airline it plans to start in February.
Fares listed are round trip and range depending upon the
class of flight.
Honolulu to Kahului: $86 to $171
Honolulu to Lihue: $86 to $171
Honolulu to Kona: $93 to $171
Honolulu to Hilo: $93 to $171
By Allison Schaefers and Dave Segal
[email protected], [email protected]
Mesa Air Group Inc., which plans to form an independent
airline to compete interisland against other Hawaii carriers
next year, announced air fares yesterday as low as $43 one
way.
The Phoenix-based regional carrier said it will keep its
Hawaii fares low by using six Bombardier CRJ-200, 50-seat
regional jets to connect the islands with service to Honolulu;
Hilo and Kona on the Big Island; Lihue, Kauai and Kahului,
Maui. The aircraft will be in addition to Mesa's current fleet
of 181 aircraft.
The fares, which range up to $85.50 for one-way trips and from
$86 to $171 for round trips, can be purchased on a one-way
basis requiring no minimum stays or advance purchase.
"We want to make a statement to people that we really want to
focus on winning over the local market," said Jonathan
Ornstein, chairman and chief executive of Mesa. " We want to
show people we want to offer affordable fares and reliable,
high-frequency, quality service at the lowest possible price."
Ornstein said one of the reasons the parent company can do
that is because the rest of Mesa's operation is profitable and
the Hawaii operation won't have to subsidize any other part of
Mesa's business.
Peter Murnane, chief financial officer of Mesa, said Mesa's
published fares are half the published prices of Hawaiian and
Aloha airlines. He noted that Internet fares from Hawaiian and
Aloha may be lower than those airlines' published fares, but
that Mesa also will have lower fares once customers can buy
them online.
Mesa, which expects to begin its new Hawaii service in the
second quarter, also said it can keep fares low by not having
to subsidize unprofitable trans-Pacific service on the
shoulders of its interisland passengers.
"As a low-cost, financially strong company, profitable for 27
of the last 28 consecutive quarters on a pro forma basis, we
believe we are in a unique position to offer these great low
fares," said Mickey Bowman, vice president of scheduling and
planning for the interisland operation.
Murnane discounted some skepticism in the Hawaii marketplace
that the operation wouldn't get off the ground.
"This is six aircraft out of about 190 that we'll have at the
time that we begin," he said. "It's just a small percentage of
our fleet. Not only are we running a profitable operation. I
think it just puts us in a different position than others."
Ornstein said he is undecided between two names for the new
airline and wasn't ready to announce his choice yet.
"In talking to some of the people in the Hawaii travel
industry, one of the things that came to us loud and clear was
that we shouldn't use a Hawaiian name," Ornstein said. "They
said it has too many connotations from other carriers that
have failed. They encouraged us to look at names that express
what we're trying to do -- which is to provide low cost,
high-frequency service -- and to tie it into Hawaii but not
directly."
CROWDED SKIES
Mesa Air Group Inc. announced fares yesterday for the
new interisland airline it plans to start in February.
Fares listed are round trip and range depending upon the
class of flight.
Honolulu to Kahului: $86 to $171
Honolulu to Lihue: $86 to $171
Honolulu to Kona: $93 to $171
Honolulu to Hilo: $93 to $171
