around
the industry
Air TYansport Association President William F. Bolger
reported in a year-end review that domestic passengers
saved more than $3 billion on discount fares in 1986. In
addition, airlines experienced record trciffic in 1986 for
the fourth consecutive year, and 1986 was one of the best
years in terms of safety for U.S. scheduled airlines. Bolger
estimated that 90 percent of airline passengers used
some form of reduced fares last year and the average dis
count was about 60 percent. A survey among air travel
ers by the Gallup Organization revealed that 54 million
adults—32 percent of U.S. adults—took airline trips dur
ing 1986. Seventy-two percent of adult Americans have
flown at least once in their lifetime; 74 percent of men
and 70 percent of women. Fifty-four percent of airline
trips in 1986 were for pleasure or other personal reasons
and 46 percent, for business.
* « *
Among the major carriers for which information was
available, six reported net income and four, losses.
American reported the highest earnings, $279.1 million,
but down from the $345.8 million reported in 1985. Delta
had a net income of $194.4 million: USAir, $98.4 million;
Piedmont, $72.4 million; Southwest, $50.4 million; and
Continental, $17.9 million. Those showing losses in
cluded Eastern which lost $130.8 million in 1986; TWA,
$106.3 million: United, $80.6 million; and PSA, $3.1 mil
lion. Piedmont’s yield of 15,82 cents, down slightly from
the 16.21 cents reported in 1985, was the highest among
the major carriers followed by USAir’s yield of 14.93
cents and Delta's yield of 13.20 cents.
* * *
United will discontinue service to the following eight
airports in April; Fort Wayne, South Bend, Toledo,
Youngstown, Green Bay, Corpus Christi, Lansing, and
Freeport, Bahamas, Lack of sufficient passenger demand
was given as the reason for suspending service.
* * *
Phoenix-based America West, which operates a fleet
of 50 737s, will add up to 12 757s by late 1989. Three
757s will go into service May 15 from ORD, and three
more will be added July 1 to inaugurate long-haul serv
ice to the East Coast, The airline added 12 737s to its
fleet in 1986 which boosted January traffic, year over
year, 70.4 percent. On March 2, the airline introduced the
first of a fleet of 37-passenger dcHavilland aircraft for
feeder traffic. By year end, America West could have the
youngest fleet in the industry with an average age of less
than four years. America West, which now has 4,500
employees who currently control about 15 percent of all
shares of common stock, reported a net profit of $3 mil
lion in 1986 compared to $11.4 million in 1985.
* * *
UAL Inc. has taken a new corporate identity, Allegis
Corp. The company owns United, Hertz, and Westin Ho
tels, among other subsidiaries, and is in the process of
acquiring Hilton International. The goal of the company
is to become a travel corporation designed to meet the
"door-to-door " needs of passengers.
« * 4>
The FAA fined Delta $104,400 for discrepancies in the
airline's operations and some in the area of maintenance,
but none that adversely affected safet}'.
♦ * *
American announced that it will be the launch cus
tomer for both the A300-600ER (a 270-passenger air
craft) and the 767-300ER (a 215-passenger aircraft), and
will use the new equipment to expand its presence in
transatlantic and Caribbean markets. The first of the 15
767-300S on order will be delivered by early 1988. The
first of 25 A300-600S is scheduled to arrive in April 1988.
* * *
The U.S. Department of Transportation has tentatively
selected TWA for Baltimore-London service.
« * *
Presidential Airways ordered 10 more British Aero
space BAe- 146-200S for delivery between now and the
end of 1988. Presidential began service March 23 as a
Continental Express carrier.
* * *
Gull Air Inc., based in Boston, has filed Chapter Eleven
bankruptcy.
2
Piedmont’s 40 city ticket offices (CTOs)
are gaining in prominence thanks in part
to recent promotions held at our six res
ervations centers in Februsiry.
“Tb help our customers become aware
of our CTOs and, in turn, reduce long
lines at the airport, we’re putting new
emphasis on our city ticketing facilities,”
Rod Klassovity, director-sales programs,
explained.
“Now, when people call for reserva
tions, our agents first suggest ticket-
by-mail, then our CTOs, and last, the
airports for purchasing tickets.”
During the February promotion, sales
personnel visited the reservations cen
ters to explain how our CTOs operate.
Above, at our Utica Reservations Cen
ter, Jim Van Woert (center), city sales
manager-ROC, and Jack Henry (second
from right), city sales manager-SYR,
give a slide presentation to agents (1 to r)
Pamela Ulery, Jackie Taylor, Elaine Ame-
rosa, Beth French, Sherry Fitzgerald, eind
Nicolette Cormier.
Klassovity added: “It’s just another
way for us to improve on-time
performance.”
PI to begin Seattle service
from Charlotte on May 15
Piedmont will inaugurate new nonstop,
round-trip service with 737-300 long-range
aircraft from CLT to Seattle, WA (SEA) on
May 15, the first and only nonstop service to
Seattle from the Carolinas.
"The Pacific Northwest, besides being a
strong business market, is an attractive tour
ist destination for travelers,” Dick James,
vice president-planning, said, “and it is one
of the largest regions not served by Pied
mont. It is important for us to have access to
this area to strengthen our identity. We
expect to carry over 50,000 passengers in the
first year alone.”
The new flight, which is a distance of
2,279 statute miles, will depart CLT at
9:05 a.m. and arrive in SEA at 11:36 a.m.
(PDT). It is timed to connect with other
airlines’ flights to such cities as Bangkok,
Hong Kong, Manila, Okinawa, Osaka, Seoul,
Tokyo, and Anchorage. The return flight will
depart SEA at 1:05 p.m. (PDT) and arrive in
CLT at 9:01 p.m. The timing of these flights
will allow connecting opportunities for about
25 online Piedmont destinations, round-trip.
Seattle is the 25th largest metropolitan
area in the United States, and Boeing is the
area’s largest employer with over 45,000
employees.
With the addition of Seattle, Piedmont will
serve 55 destinations nonstop from CLT
where we have over 200 daily departures.
on March 15
number of departures: 1,257
miles flown daily: 437,044
ASMs; 51,730,482
number of aircraft in fleet: 164
average aircraft hop: 347.7
number of airports served: 87
daily block time flown; 1,459 hours,
48 minutes
next schedule change: April 15
tratfic
passengers
revenue passenger miles
available seat miles
load factor
February
1,771,396 -h25.1%
780 million -h20.1%
1.4 billion + 13.8%
55.54% -I- 2.94 pts.
First Two Months
3.513,753
1.6 billion
2.9 billion
54.08%
-h20.5%
-I-16.8%
-(■11.3%
-h 2.52 pts.
Records for the month of February in every category.
The following s(x sfattons set new boarding records in February: CAK. EYW. MCO. VOW. SYR. and TLH.
cargo
(ton miles)
February
First Two Months
U.S. Mail
Air Freight
Air Express
TOTAL
1.834,407
2,529,827
55,689
4,419,923
11.9%
-^57.1%
-I- 9.9%
h-25.3%
3,759,566
4,642,044
103,308
8,504,918
-I- 9.2%
-1-45.9%
-h 7.1%
-^26.5%
Piedmonitor • March 1987