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Friday, May 25, 2007
Regionals Diversifying Revenue Streams
It was clear from the exhibitors at the Regional Airline Association meeting in Memphis, airlines are trying to diversify their revenue streams especially if they have only a single partner, by providing services including ground handling, airport counter operations, and maintenance repair and overhaul. Air Wisconsin is actively pursuing such work and already handles all the United Express operations above the wing at Dulles as well as other services for Northwest (NWACQ), AirTran (AAI) and Allegiant airlines. Its first Northwest station came on line last October and by the end of this year it will have eight Northwest stations. Air Wisconsin has gone through a dramatic transition in the last few years switching from a United Express operation out of Chicago and Denver, to a USAirways Express (LCC) carrier with the vast majority of its traffic coming from the challenging East Coast environment. Comair was actively selling its customer service and MRO capabilities even as manufacturers at the meeting cited a shortage of MRO capacity, especially for refurbishment of aircraft returning to service.

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