Topics: ExpressJet, Mesa/Allegiant, Air Wisconsin, Embraer, American Eagle, Horizon, Registered Traveler Program

ExpressJet CO Claim Reduced by $14M
ExpressJet Holdings (XJT) said its claim against Continental (CAL) was reduced by $14.2 million representing changing staff levels and overhead expenses allocated to its capacity purchase agreement (CPA) as well as expenses for the airline’s non-flying business. The dispute was over 2007 block hour rates under the CPA. The decision was made by an arbitration panel. CE0 Jim Ream said he is pleased to have the issue resolved.

New Allegiant Bases at PHX, FLL
With the impact of low-fare airlines long known, Mesa (MESA) and Florida regionals could be impacted by the development of a new Allegiant Air bases at Mesa’s home port in Phoenix and in Fort Lauderdale.
The carrier begins nonstop jet service between Phoenix-Mesa on October 25. It ultimately plans to operate to 13 markets with the new routes set to be announced on August 9, according to the airline. Its mini-hub at FLL begins November 14 serving 12 destinations in the Northeast, Midwest and Southeast. It already has 26 flights out of Orlando and 14 out of Tampa Bay
The self-proclaimed "Official Airline for Sunshine" will base its 130-seat MD-80s at Williams Gateway Airport which becomes the fourth base for the Las Vegas-based airline, which also serves McCarran International Airport (Las Vegas), Orlando Sanford International Airport and St. Petersburg-Clearwater International Airport. Among the 53 cities on its route network are: Allentown, Pa; Bangor, Maine; Chattanooga, Tenn; Des Moines, Iowa; Greenville/Spartanburg, S.C.; Peoria, Ill.; and Toledo, Ohio.

AirWis in PHL Runway Incursion
A US Airways pilot veered into the path of an outbound Air Wisconsin flight to Cincinnati. FAA reported the US Airways pilot was instructed to turn right but turned left, crossing the runway being used by its US Airways Express partner. The Air Whisky pilot, some 1,000 feet from the larger jet, according to a preliminary report, turned at the next intersection to avoid a collision.

Embraer Adds Montenegro Airlines with ERJ-195 Order
Montenegro Airlines, from the Montenegro Republic, signed an agreement with GE Commercial Aviation Services (GECAS) to lease two 116-seat Embraer (ERJ) ERJ-195 jets. Deliveries are scheduled for May 2008 and May 2009. There will be no changes to Embraer’s order book. The aircraft will be used to extend the existing airline’s fleet on its current European network, as well as to reach new, more distant destinations, primarily in Russia, U.K. and Scandinavia.
Montenegro Airlines’ Embraer ERJ-195 jets will be the first in Europe equipped with a business class. The model is already in operation with a single-class layout in the U.K., with Flybe.
On June 30, 2007, the E-Jets family order book had logged 655 firm orders and 719 options, totaling 1,374 aircraft to 38 operators worldwide.
Based in Podgorica, Montenegro Airlines was founded in 1994 as a regular domestic and international passenger and charter carrier, as well as cargo and mail transportation. The airline links Montenegro to the main European cities, such as Belgrade (Serbia), Budapest (Hungary), Frankfurt, Ljubljana (Slovenia), Moscow, Nis (Serbia), Paris, Rome, Skopje (Macedonia), St. Petersburg, Vienna, and Zurich. Montenegro Airlines’ fleet consists of five Fokker 100 aircraft. In the past 10 years of operations, the airline increased the number of passengers carried from 16,000, in 1997, to 500,000, in 2006.

American Eagle Airlines Connects Flint, Mich., to the Big Apple
Continuing its expansion, American Eagle will add nonstop service between LaGuardia Airport (LGA) and Bishop International Airport in Flint, Mich. (FNT), beginning Nov. 4 using Embraer ERJ-135s. The move comes in response to Bishop’s aggressive efforts to gain direct New York City services. However, the new service will clearly have to prove itself to continue because it only offers a single roundtrip daily. American Eagle serves Flint with four daily nonstops to Chicago O'Hare and will begin nonstop service to Dallas/Fort Worth on Sept. 5, with two flights daily.

Passengers Overwhelmingly Favor Registered Traveler Program
In the first major survey of its kind, Business Travel Coalition reported 82 percent of respondents said they want airlines to embrace the Registered Traveler (RT) program to obtain a consistently expeditious security checkpoint processing, without any other in-lane benefits such as not having to remove shoes, laptops and coats. However, in testimony before Congress Transportation Security Administration said the program is not a priority because it doesn't do enough to protect against terrorism.
While passengers favored not having to disrobe or remove laptops, they said the most important factor in favoring RT is consistent treatment from airport to airport and not having to leave a client early because of uncertainty over screening procedures. Eighty percent would opt for the $99 RT membership in return for such consistency and expeditious processing. Thirty nine percent said they would upgrade to the $199 premier RT membership the benefits for which could include reserved parking at one's home airport, remote baggage check-in at hotels, airport concession discounts and global assistance. The survey was done on behalf of FLO Corporation and conducted by BTC and mirrors similar survey’s conducted in 2005.
In testimony, Steven Brill, CEO of Verified Identity Pass, said his company wants to test its shoe scanner which would alleviate the necessity for removing shoes. He expressed frustration with the TSA’s slow acceptance of its technology.
The RT program is being tested at six airports including Kennedy, Orlando, San Jose, Indianapolis, Cincinnati and Newark with plans to include San Franscisco and Little Rock as well as LaGuardia, Westchester and Albany.

Alaska Airlines, Horizon Air Launch Fall Fare Sale
With fares already hotly competitive in its main markets, Alaska Airlines and Horizon Air have launched a fall fare sale, including one-way fares starting at $44 between popular West Coast destinations and starting at $69 for flights between Los Angeles and Mexico destinations. One-way sale fares start as low as $44 between Los Angeles and San Francisco; $49 between Seattle and Boise, Idaho; $79 between Portland, Ore., and Las Vegas; and $189 between Anchorage, Alaska, and Seattle or Portland. One-way fares between Los Angeles and Mexico destinations start as low as $69 to Los Cabos, $79 to Mazatlan; $89 to La Paz, Loreto or Puerto Vallarta; and $99 to Guadalajara, Manzanillo or Ixtapa/Zihuatanejo.