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Midwest Airlines' new COO pledges to hang tough against AirTran
By AVRUM D. LANK
[email protected]
Posted: March 2, 2008
Joseph C. Kolshak is chief operating officer for Midwest Airlines. He joined the Oak Creek company, which operates the leading airline at Milwaukee's Mitchell International Airport, last month, shortly after it was taken private in a deal led by TPG Capital of Fort Worth, Texas.
Kolshak, 50, is a native of Florida who graduated from Marquette University, which he attended on an ROTC scholarship. He came to Midwest after a 20-year career at Delta Air Lines Inc. in Atlanta, retiring as Delta's executive vice president and chief of operations.
He recently spoke with Journal Sentinel reporter Avrum D. Lank:
Q.Do you have any particular plans for Midwest, something new?
A. It is my goal to do everything we can to streamline the check-in function, streamline the passenger-handling function so that, really, the first time the passenger should slow down should be when they arrive at the gate. . . . I want to look at more strategic placement of kiosks (for ticketing). Later this year, the TSA (Transportation Security Administration) are going to move the CTX machines, the x-ray machines (that scan checked baggage). They're going to move those so we will have more room in the lobby to actually do some of these things.
Q. Can you be a little more specific about what those might be?
A. We need to pull the kiosks away from the counter so that you should have to go to the counter only if you need to change a ticket, only if you actually need to talk to an agent. The second thing that I want to do is look at the reliability of the airline. . . .
I think there are things we can do to improve the timeliness of the airline, and it's not just pushing airplanes back on time - certainly we've got to look at that, but we are challenged by de-icing and by inclement weather that we have seen over the last couple of weeks - but it's also looking at our schedule to make sure that we are actually doing what we call "blocking" our flights with adequate time to incorporate de-icing and the other things that occur, as well as congestion in the air space. So I am kind of dissecting that right now to make sure that the schedule is built so that we actually have a chance of being on time.
The second thing is with respect to reliability of the fleet. We operate somewhat of a diverse fleet. We've got new 717s, the Boeing 717, the average age is just a little bit over three years. And then we've got the older but very reliable MD80-series aircraft, and certainly as aircraft age, they require a lot more hands-on time, and I just want to make sure that we have adequate resources so that we are giving those aircraft all the, what I call the "touch time," that they need.
Q. What about new routes?
A. It is probably premature, and we wouldn't mention those in advance of a public announcement. We are certainly looking at a lot of opportunities but keep in mind that fuel is hovering around $100 a barrel, and with fuel at $100 a barrel, markets that once made sense no longer make sense.
Q. Do you have any idea then about changing the fleet, buying more airplanes?
A. On the MD80-series aircraft, we are looking for a replacement. The problem is, it's not as fuel efficient as something like the 737-800 or the newer-generation Airbus aircraft, but the problem is, as fuel has gone up, so have the prices of those fuel-efficient aircraft, unfortunately. So I would say that for the time being we will continue to operate the MD80-series aircraft.
Q. AirTran (Airways) also has expanded in Milwaukee, or announced expansion, and they certainly have beefed up the number of gates they have here. How much of what they do are you taking into account?
A. We are focused like a laser on what AirTran is doing. It is no secret that AirTran wanted to buy Midwest over the last year and a half, and they were unable to do it, so I think they will execute a strategy to try to do through growth what they couldn't do through the financial markets.
And make no mistake about it, AirTran is a very good competitor. I competed with them in Atlanta for the last 10 years, and AirTran has a good route network, they are well-capitalized, and they run a good operation, a solid operation.
But one thing they don't do as well as Midwest is that they don't take care of their passengers to the extent that Midwest Airlines does. . . . We will match them every step of the way, and we will not cede market share to AirTran or to any competitor.
Q.How long do you expect to be at Midwest?
A. As long as they'll keep me. I think 50 is youthful. . . . I am certainly here to stay. . . . I didn't come here for a year or two years. I am here to spend another career at Midwest.
JSOnline.com To hear the entire interview with Joseph Kolshak, and for selected video of the conversation, go to www.JSOnline.com/links.
By AVRUM D. LANK
[email protected]
Posted: March 2, 2008
Joseph C. Kolshak is chief operating officer for Midwest Airlines. He joined the Oak Creek company, which operates the leading airline at Milwaukee's Mitchell International Airport, last month, shortly after it was taken private in a deal led by TPG Capital of Fort Worth, Texas.
Kolshak, 50, is a native of Florida who graduated from Marquette University, which he attended on an ROTC scholarship. He came to Midwest after a 20-year career at Delta Air Lines Inc. in Atlanta, retiring as Delta's executive vice president and chief of operations.
He recently spoke with Journal Sentinel reporter Avrum D. Lank:
Q.Do you have any particular plans for Midwest, something new?
A. It is my goal to do everything we can to streamline the check-in function, streamline the passenger-handling function so that, really, the first time the passenger should slow down should be when they arrive at the gate. . . . I want to look at more strategic placement of kiosks (for ticketing). Later this year, the TSA (Transportation Security Administration) are going to move the CTX machines, the x-ray machines (that scan checked baggage). They're going to move those so we will have more room in the lobby to actually do some of these things.
Q. Can you be a little more specific about what those might be?
A. We need to pull the kiosks away from the counter so that you should have to go to the counter only if you need to change a ticket, only if you actually need to talk to an agent. The second thing that I want to do is look at the reliability of the airline. . . .
I think there are things we can do to improve the timeliness of the airline, and it's not just pushing airplanes back on time - certainly we've got to look at that, but we are challenged by de-icing and by inclement weather that we have seen over the last couple of weeks - but it's also looking at our schedule to make sure that we are actually doing what we call "blocking" our flights with adequate time to incorporate de-icing and the other things that occur, as well as congestion in the air space. So I am kind of dissecting that right now to make sure that the schedule is built so that we actually have a chance of being on time.
The second thing is with respect to reliability of the fleet. We operate somewhat of a diverse fleet. We've got new 717s, the Boeing 717, the average age is just a little bit over three years. And then we've got the older but very reliable MD80-series aircraft, and certainly as aircraft age, they require a lot more hands-on time, and I just want to make sure that we have adequate resources so that we are giving those aircraft all the, what I call the "touch time," that they need.
Q. What about new routes?
A. It is probably premature, and we wouldn't mention those in advance of a public announcement. We are certainly looking at a lot of opportunities but keep in mind that fuel is hovering around $100 a barrel, and with fuel at $100 a barrel, markets that once made sense no longer make sense.
Q. Do you have any idea then about changing the fleet, buying more airplanes?
A. On the MD80-series aircraft, we are looking for a replacement. The problem is, it's not as fuel efficient as something like the 737-800 or the newer-generation Airbus aircraft, but the problem is, as fuel has gone up, so have the prices of those fuel-efficient aircraft, unfortunately. So I would say that for the time being we will continue to operate the MD80-series aircraft.
Q. AirTran (Airways) also has expanded in Milwaukee, or announced expansion, and they certainly have beefed up the number of gates they have here. How much of what they do are you taking into account?
A. We are focused like a laser on what AirTran is doing. It is no secret that AirTran wanted to buy Midwest over the last year and a half, and they were unable to do it, so I think they will execute a strategy to try to do through growth what they couldn't do through the financial markets.
And make no mistake about it, AirTran is a very good competitor. I competed with them in Atlanta for the last 10 years, and AirTran has a good route network, they are well-capitalized, and they run a good operation, a solid operation.
But one thing they don't do as well as Midwest is that they don't take care of their passengers to the extent that Midwest Airlines does. . . . We will match them every step of the way, and we will not cede market share to AirTran or to any competitor.
Q.How long do you expect to be at Midwest?
A. As long as they'll keep me. I think 50 is youthful. . . . I am certainly here to stay. . . . I didn't come here for a year or two years. I am here to spend another career at Midwest.
JSOnline.com To hear the entire interview with Joseph Kolshak, and for selected video of the conversation, go to www.JSOnline.com/links.