Lcc Tightening The Noose On U

BoeingBoy

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Nov 9, 2003
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I'm somewhat surprised that it hasn't been mentioned here yet, since it will impact U.

ATA filed for Chapter 11 today and Airtran has agreed to purchase some assets including slots in DCA and LGA.

Article

Jim
 
BoeingBoy said:
I'm somewhat surprised that it hasn't been mentioned here yet, since it will impact U.

ATA filed for Chapter 11 today and Airtran has agreed to purchase some assets including slots in DCA and LGA.

Article

Jim
[post="195217"][/post]​

It amounts to 4 ddaily flights at DCA and 9 at LGA. While 0 and 0 is preferable this isn't huge.
 
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Now AWA wants in on the deal...

America West Airlines officials say they want to help pick up the pieces as low-cost carrier ATA goes through bankruptcy reorganization.

Indianapolis-based ATA Airlines Inc. (NASD:ATAH) filed for Chapter 11 under the U.S. Bankruptcy Code Tuesday, facing soaring fuel costs and an industry fare war.

Janice Monahan, spokeswoman for Phoenix-based America West (NYSE:AWA), told The Business Journal that airline officials believe a combined America West-ATA would make a great low-cost airline.

America West management is reviewing ATA's bankruptcy filing to determine the feasibility of such a move. Additional details are expected Wednesday morning in America West's third-quarter earnings conference call.

Orlando, Fla.-based AirTran Airways Inc. announced earlier Tuesday that it plans to take over ATA's airport slots in Chicago, New York and Washington.

© 2004 American City Business Journals Inc.
 
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Bud8EE,

I agree that the number of flights is small, but isn't this two of the markets that our future success depends on? A little nibble here, a little nibble there, and soon U is gone....

Jim
 
ATA has such terrible customer service that it is no surprise they are finally in BK. AWA is considering buying them. They are crazy to hire ATA's employees--unless maybe the ATA people will be so grateful to be working somewhere else.
 
Bud8EE said:
It amounts to 4 ddaily flights at DCA and 9 at LGA. While 0 and 0 is preferable this isn't huge.
[post="195223"][/post]​


Are those slots being used now by ATA?
 
BoeingBoy said:
Bud8EE,

I agree that the number of flights is small, but isn't this two of the markets that our future success depends on? A little nibble here, a little nibble there, and soon U is gone....

Jim
[post="195229"][/post]​

Since Airtran bought the MDW hub, won't it be the exact same flights with the LCC Airtran as the operator instead of LCC ATA.
 
Bud8EE said:
Since Airtran bought the MDW hub, won't it be the exact same flights with the LCC Airtran as the operator instead of LCC ATA.
[post="195366"][/post]​

I actually think AirTran will do better. They have a decent customer following. People who fly them, LOVE them. ATA was a miserably run airline that cared nothing about serving their customers.
 
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Bud8EE: Well, it could be the same flights out of MDW that ATA operates now, or it could be different markets, or a combination.

MMW's: Interesting question - I guess time will tell.

Jim
 
MarkMyWords said:
Would AirTran be able to compete with Southwest in MDW?
[post="195416"][/post]​

It would be interesting to see because AirTran is one of those LCC-plus carriers. They already compete with WN on many routes. FL offers business class, their FF program now allows for travel anywhere, they have an elite membership for FF, they have low fares, they have been crushing Delta in Atlanta, and people who fly them regularly LOVE them. They seem to attract people who are looking for low fares, but also want some other amenities that WN doesn't offer. I can't imagine that ATA travelers would not jump at the opportunity to fly FL based on their experiences with ATA.

I thought AWA was looking at MDW--isn't that one of the reasons why they are considering buying ATA?

I wonder what would happen if AirTran restarted the PHL-PIT service. Before, it just brough fares down in PHL to PIT, but US got all of the business and AirTran couldn't make it work. Now that more time has passed and they have picked up more loyal customers in PHL, I wonder if they could make that route work. I currently pay almost $700 to fly to PIT from PHL and it was about $100 when AirTran was flying. The day they stopped, the fares inched up quickly.

I find it incredible, because I was one of the naysayers, that FL has managed to turn its image around from the ValuJet days. People do not even associate the two anymore. They've done a great job getting rid of that shoddy image.
 
US1YFARE SAYS "ATA has such terrible customer service that it is no surprise they are finally in BK. AWA is considering buying them. They are crazy to hire ATA's employees--unless maybe the ATA people will be so grateful to be working somewhere else."

And U has great customer service??? Their customer service is not what drove them to BK. Their balance sheet did and all the investment they have made in TOP of the line aircraft. They are suffering with HIGH fuel costs the same as EVERY carrier is.
 
mrfish3726 said:
And U has great customer service???
[post="195449"][/post]​

YUP, as we FF have said all along, US frontline employees provide great customer service. That is why we keep coming back.
 
US1YFARE said:
... ... ... They seem to attract people who are looking for low fares, but also want some other amenities that WN doesn't offer ... ... ....
Like a tour of the Everglades, or the occasional smoke/fire.
 
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