EXECUTIVE TRAVEL SKYGUIDE E-ALERT 08/22/05 Welcome to EXECUTIVE TRAVEL SKYGUIDE E-ALERT for the week of August 22, the weekly e-mail of essential business travel news! To sign up for the e-Alert, click here. Northwest tries to fly through mechanics' strike United accepts Northwest paper tickets during strike Cash-starved Delta sells Atlantic Southeast subsidiary United expands large regional jet fleet, brands it "explus" Southwest beefs up PIT, PHL schedules International news briefs: BA revives hot meals at LHR Passenger traffic at PHL growing by leaps and bounds Hyatt rebrands AmeriSuites as "Hyatt Place" AIRLINES Northwest tries to fly through mechanics' strike Members of the Aircraft Mechanics Fraternal Association (AMFA) went on strike against Northwest Airlines on August 20, but the airline managed to operate a fairly normal schedule over the weekend by using replacement workers and outsourcing of some maintenance. Northwest's rate of flight cancellations over the weekend was said to be normal; its on-time performance was spotty, with some outside observers reporting a significant number of departure delays, although most of them were said to be relatively minor. "In the first week of NWA's new maintenance structure, the airline expects to complete more than 96 percent of its flights, a percentage comparable to that achieved in the midst of thunderstorm activity in our hubs," the company said. "During the first day of the new operating plan, NWA completed more than 98 percent of its scheduled flights." The company also said that through Sunday afternoon, its load factor was almost 81 percent. A bigger test for Northwest starts today, when it will operate the 1,400 flights on its regular weekday schedule, vs. 1,300 a day over the weekend. However, the company did move up its lighter fall schedule by a few weeks, so that its total flight operations will be about 17 percent less than a full summer schedule. A critical factor for Northwest has been the fact that other unions, including the pilots and the flight attendants, are not taking any job actions of their own in support of AMFA, which includes aircraft cleaners as well as mechanics. Striking union members are picketing at Northwest's larger airports, and the strike now apparently will turn into a contest of who can last longer: The union workers, who reportedly have no strike fund and now no income; or the airline, which may face increasing maintenance problems over time as its new workforce of technicians tries to keep the industry's oldest fleet operating efficiently. And there's also the issue of revenues: Although the strike thus far hasn't had a major impact on operations, some passengers may look to other airlines rather than take on the uncertainty of whether their Northwest flight might face a delay. A factor in Northwest's favor is that the airline has a lock on most of the home market at its biggest hubs, Detroit and Minneapolis/St. Paul. Travelers booked on Northwest can check flight status at www.nwa.com or 800-441-1818. United accepts Northwest paper tickets during strike United Airlines, perhaps seeing an opportunity to pick up some market share, said it would "accommodate Northwest's disserviced customers" by accepting paper tickets for travel on Northwest (or its domestic code-share partners) on the same itinerary and travel dates. "In circumstances where a passenger cannot be rerouted to the destination shown on the original ticket, United will accept tickets to and from an alternate destination that is within a 300-mile radius of the ticketed city," United said. The offer does not apply for Northwest e-tickets unless they are converted to paper. Details are available at www.united.com/traveloptions or by calling 800-864-8331. Cash-starved Delta sells Atlantic Southeast subsidiary As the latest step in its ongoing efforts to stave off a Chapter 11 filing, Delta Air Lines last week announced it is selling Atlantic Southeast Airlines to SkyWest, Inc. for $425 million in cash. That doesn't mean a loss of service for Delta's regional schedules, however: "ASA will continue to serve Delta customers under a new 15-year Delta Connection agreement, with ASA's fleet of more than 150 aircraft continuing to fly Delta routes," a spokesman said. Delta noted that since it bought ASA six years ago, the company has added more than 100 regional jets to its fleet, as well as 3,000 more employees. However, financial analysts and other industry observers speculated after the announcement that the cash infusion still might not be enough to keep Delta from taking a trip into bankruptcy court sometime in the coming weeks. United expands large regional jet fleet, brands it "explus" United Airlines said last week it will significantly expand its United Express fleet of larger (66-70 seat) regional jets, offering an upgraded three-cabin service it now calls "explus" on several more routes in and out of its Chicago O'Hare hub. United Express will get 26 more of the larger small jets, including Embraer 170s with six first class, 16 Economy Plus and 48 economy seats; and Canadair RJ-700s configured with six seats in first, 28 in Economy Plus and 32 in economy class. United said that with the additional aircraft, it will insure that any O'Hare flights of more than 2-1/2 hours will be operated with mainline United or Ted jets, or with the 66- or 70-seat explus service. Most of the large regional jets out of O'Hare currently fly to Austin, Colorado Springs, White Plains, Portland (Me.), Montreal and Edmonton. United Express will add explus service in September between ORD and Raleigh-Durham, Charleston (S.C.), Myrtle Beach, Norfolk and Savannah. In October, explus will expand to flights between Chicago and Tulsa and Jacksonville, with Memphis to be added later. Southwest beefs up PIT, PHL schedules Citing a "phenomenal" response from air travelers in Pennsylvania, Southwest Airlines said last week it will expand its operations at both Philadelphia and Pittsburgh this fall, phasing in the extra service from October 30 through November 29. At Pittsburgh, Southwest will add new daily non-stop service to Tampa Bay and to Phoenix; a second and third daily flight to Orlando; a fifth and sixth daily departure to Chicago Midway; and a second daily roundtrip to Las Vegas. At Philadelphia, Southwest will add a sixth daily flight to Pittsburgh and a third daily departure to Tampa Bay. International news briefs • British Airways said it will resume hot meal service on international routes out of London Heathrow on Monday (August 22). The hot meal operation was disrupted by a walkout at catering company Gate Gourmet two weeks ago, resulting in widespread flight cancellations. • Korean Air said it now offers Connexion by Boeing high-speed Internet access on its flights 086 from New York JFK and 012 out of Los Angeles, as well as return flights 085 and 011. • Virgin Atlantic has a new "Good Night" service for Upper Class passengers on flights departing after 9 p.m. from JFK, Newark and LAX. Passengers can either dine on-board, or have a sit-down meal in the Virgin Clubhouse before boarding, followed by a snack and nightcap on the plane. • Air New Zealand has finished work on an expansion of its lounge at Los Angeles International, doubling it in size and adding a "quiet zone" and "relaxation zone." Available to Business Premier and Star Alliance Gold passengers, the lounge's enhancement was made in conjunction with the airline's introduction of a refitted business class cabin on its transpacific flights. • Manchester, U.K.-based carrier bmi will terminate its daily service to Washington Dulles on October 30. • All Nippon Airways on October 8 will put a new 777-300ER into service between LAX and Tokyo, offering new cabin configurations as well as Internet and e-mail access. AIRPORTS Passenger traffic at PHL growing by leaps and bounds It's a classic example of what's known in airline circles as "the Southwest effect" - when Southwest Airlines moves into a new market, fares go down across the board, and the number of passengers jumps significantly, from non-flyers taking to the air and from travelers driving quite a ways to get on the low-cost flights. Southwest started flying out of Philadelphia International Airport in May 2004, and airport officials reported last week that during the fiscal year ending June 30, 2005, passenger numbers at PHL jumped by 18.6 percent over the previous year, to more than 31 million. Southwest started with 14 flights a day to six cities and has grown to 46 daily departures to 17 cities, cutting fares and forcing competitors, including the airport's dominant carrier, US Airways, to do likewise. "The proliferation of diminished fares has stimulated an unprecedented demand for air travel at PHL," an airport spokesman said. HOTELS Hyatt rebrands AmeriSuites as "Hyatt Place" Hyatt Hotels, which earlier this year acquired the AmeriSuites chain, plans to rebrand all 143 properties with the name Hyatt Place. The rebranding will be put in place over the next year and a half as Hyatt also works to make improvements to the existing AmeriSuites locations, including physical work on their interiors and technological enhancements to bring the properties up to Hyatt standards. Hyatt has already incorporated AmeriSuites into its Gold Passport frequent-stay program. THIS WEEK'S DEALS AND SPECIALS FOR BUSINESS TRAVELERS Midwest Airlines on September 1 will introduce a new program for small business customers - i.e., companies that spend less than $100,000 a year for travel on the airline. Called Best Care Business, the program lets member companies earn points that can be redeemed for awards geared toward business travelers, like executive-level membership in Midwest's frequent flyer program, airport lounge privileges, and increased flexibility with nonrefundable tickets. Companies that want to enroll can contact Chris Magulski by email at Chris.Magulski@midwestairlines.com. Avis has rolled out "Drive Free III," offering customers a free weekend rental after three paid rentals taken between August 15 and December 15. Renters have to register online at www.avis.com, or by calling 800-722-5909, and must have a Wizard number to participate. For stays from September 6 through December 14, members of Best Western's Gold Crown Club International loyalty plan can earn double program points or double airline miles for each qualified stay at any of the group's 4,000 hotels worldwide. Register at www.bestwestern.com/double, or call 800-WESTERN and mention promotion code DOUBLE. For links to other websites where you can search for bargains, click here: www.executivetravelonline.com/reference/deals.html For in-depth analysis, news, features and opinions about the current business travel scene, check out Joe Sent Me (www.joesentme.com), produced by veteran traveler advocate/journalist Joe Brancatelli and a team of contributors. By Jim Glab To sign up for the e-Alert, click here.