Hurdles ACA Must Overcome

ACA must set up a reservations system. The airline says it is finalizing an agreement with Navitaire for the use of its Internet-based Open Skies reservation system, which other low-fare carriers use, and has hired GKV Communications to handle its advertising and marketing campaigns.
ACA must develop its own advertising and marketing campaigns. To date, it has relied on United for its marketing, promotion, sales, planning and scheduling. ACA plans to announce detailed consumer marketing and branding plans soon, with a complete advertising program to be introduced about 60 days before the first day of service, which the company estimates to be in early 2004.
The timing of ACA's start as an independent airline cannot be projected. It depends on the terms and timing of its disengagement as a United Express carrier. ACA's current RJ fleet is under contract with United through 2010. ACA can start its low-fare airline if United elects to release ACA from its current contract, or United emerges from Chapter 11 bankruptcy, which is the most likely event. United also could accept ACA's current contract, but that is unlikely because the rates are far above the ones United has agreed to pay its other Express carriers under their new contracts.

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