October 1985
volume 36, number 9
News about Piedmont. The Up-And-Coming Airline.
Piedmont Empire reacli merger agreement
New destinations, more jet air
craft and more personnel will
join the Piedmont family when
our merger with Empire Airlines
is approved.
The most obvious growth will
be in the Northeast, where we will
increase service at certain shared
destinations and add flights to
some new cities. There’s room to
grow in that 15 of Empire’s 25
destinations are not on our cur
rent route system, although one of
those cities — Buffalo, N.Y. — will
be added in mid-December.
In addition, our F28 fleet will
grow by 17 aircraft beyond the
F28’s we already have on order,
we’ll gain almost 1,000 new em
ployees, and we ll acquire a fourth
hub at Syracuse, New York.
Piedmont and Empire entered
into a merger agreement Octo
ber 2. Under the agreement. Pied
mont will acquire the stock of
Empire Airlines and Empire will
merge into Piedmont and carry
our name. The merger agreement
is subject to the approval of the
Empire stockholders and the
Department of Transportation,
and both approvals are expected
by early 1986. Pending such ap
proval, both airlines will continue
to operate separately.
opportunity
“This is another excellent op
portunity for us to grow,” Bill
Howard, president and chief
executive officer, said.
“The two airlines fit together
well both in terms of route struc
ture and aircraft. Empire has a
strong presence in upstate New
York and New England. This is an
area Piedmont has targeted for
growth, and the acquisition of this
outstanding airline will accelerate
those plans.”
Why are we merging rather
than making Empire a wholly-
owned subsidiary as in the case
of Henson?
“Because Empire’s system is
fairly large and the airline is an
all-jet operator, a merger will
be much more efficient, enabling
us to have cross-utilization of
people, facilities and equipment,”
Howard explained.
“Like us, they have grown
very quickly, and their Syracuse
hub looks much like our hub at
Charlotte before the new terminal
building opened four years ago.
They currently have a program
underway to upgrade the facility.”
beneficial
The merger will be beneficial in
many ways;
* We will gain a Syracuse hub,
basically east-west, which will
complement our BWl hub
which is primarily north-south.
As promised. The Piedmont
Shuttle is expanding into its sec
ond phase. On Jan. 15, Pensaco
la and West Palm Beach will be
added to the list of cities on the
Shuttle route — with three daily
flights each — plus additional
service at Fort Lauderdale and
Orlando.
According to Dick James, staff
vice president-corporate plan
ning, officials of the company
want to initiate service first where
needs are greatest. “The Shuttle
was primarily designed to serve
the needs of travelers within the
state of Florida, so any initial
tie-in with the entire Piedmont
* Our presence in the Northeast
will Increase dramatically as we
add new destinations in five
states and Canada.
* Overnight, we will be one of the
largest carriers in the New York
market with new service to JFK
and additional slots at LG A and
EWR.
* Empire also serves DCA, and
system is by chance right now,”
James explained. “When you
think that the distance between
Pensacola and Fort Lauderdale is
about the same in air time as go
ing from Charlotte to Chicago, you
can see why statewide service
would be so attractive to Florida
businessmen. For a number of
years, conveniently-timed Florida
intrastate jet service simply
didn’t exist.”
Pensacola (PNS) will have daily
nonstops to Orlando and one-stop
or connecting service to Fort
Lauderdale and West Palm Beach
(PBl). Service at West Palm Beach
also includes daily nonstops to
the merger will enable us to
grow at an airport where no
more slots are available.
* Because Empire flies F28’s, the
equipment match-up is ideal.
Just as Piedmont was the
“Airline of the Year” in the major
airline category for 1984, Empire
was voted regional “Airline of the
Orlando as well as one-stop or
connecting service to Tallahassee
and Pensacola.
continued page 6
confirmed page 6
DjUUS/fT.WOSm
Empire’s route system (in blue] will mesh
well with our system. The merger agree
ment is subject to the approval of Empire
stockholders and the Department of
TYansportation. and both approvals
are expected by early 1986.
PI 'Shuttles' to two new Florida markets
6&7