Airline Maniac

In the last week, two major low-cost carriers deferred many of their future aircraft deliveries.

On May 27, Jetblue Airways announced that it was deferring delivery of 21 Airbus A320’s. The aircraft are now scheduled to be delivered between 2014 and 2015. For 2008,  Jetblue plans small growth around 4%.

Three days later, on May 30, Airtran Airways released a similar announcement. In Airtran’s press release, they deferred 18 Boeing 737 aircraft. The new aircraft are now seeing delivery dates in 2013 and 2014. Airtran plans to maintain flat growth through at least 2009.

With the airline industry sinking each day due to fuel costs, it is likely that many other carriers will catch on and defer aircraft deliveries themselves.  Look for a lot less planes in the sky soon!

United Airlines has desperately been seeking a merger partner in the last few months. First they flirted with Continental Airlines. Continental reviewed there options, and decisively replied with a “no”. With their tail between their legs, United approached US Airways. Interestingly, it seemed like United had found it’s merger partner. US Airways had merged with American West Airlines in 2005 and was also considering a merger at the time.

After weeks of intense negotiations, something odd happened. United backed up. They told the public that “issues that could significantly dilute benefits from a transaction” had caused them to change there mind. With this in mind, it seems as the only merger from 2008’s “Merger Mania” that could possibly be completed will be the Delta-Northwest one.

The Trans-Atlantic luxury carrier known as Silverjet has left the building. In other words, they have stopped flying. According to Silverjet, they could be back in the air if they receive a rescue package quickly. That rescue package would need to be more then 5 million dollars thick. Most everyone agrees that the chances of them getting that loan are slim to none. With the current economy, many investors are staying away from airlines.
With only one of the four luxury Trans-Atlantic airlines still in buisness, it seems as though the luxury airline concept was a complete failure. L’Avion, the last remaining airline with the luxury concept, states that it currently has “a prudent approach”. Hopefully L’Avion is right, as they are the last example of a Trans-Atlantic luxury airline.

Yes, you heard right. USA 3000 Airlines will stop flying to all of it’s Florida destinations except Fort Myers. According to them, soaring fuel costs have led them to this decision. Markets such as Tampa Bay, Fort Lauderdale, Melbourne, and Sarasota will lose USA 3000 Airlines service in August. Many people will miss there special $39 fares.

On the bright side, USA 3000 Airlines is not leaving anytime soon. They recently announced they will be adding new flights to Cozumel, Montego Bay and Liberia. The flights to Mexico and Jamaica begin December. The Costa Rican flights begins sometime in 2009.

In it’s latest move to cope with rising fuel costs, US Airways will be ending free snack service in all domestic coach class cabins on June 1, 2008. Goodbye, pretzels and peanuts. You will not be missed! Although the free snack has been eliminated, complimentary soft drink service will continue.

With fuel over $130 a barrel, it is only a matter of time until other legacy carriers eliminate snacks. Who knows, soft drinks might be next in airlines’ cost-cutting strategies (Yikes!).

Remember! Bring your own snacks on board. (Most airlines allow it, but be cautious and check with your airline if snacks are allowed)