EXECUTIVE TRAVEL SKYGUIDE E-ALERT 10/16/06 Welcome to EXECUTIVE TRAVEL SKYGUIDE E-ALERT for the week of October 16, the weekly e-mail of essential business travel news! To sign up for the e-Alert, click here. Delta, Northwest plan international expansion in 2007 Comair settles labor problem; Mesaba awaits court ruling Delta will add lie-flat seats starting in 2008 Jefferson Airplane awaits takeoff authority Two European start-ups plan all-business-class service to U.S. Los Angeles OKs three-year overhaul of Bradley International Terminal Chicago plans non-stop CTA trains to airports THIS WEEK'S QUESTION FOR READERS: Two European carriers reportedly plan to start all-business-class service to the U.S. soon (see below). Have you flown yet on U.S. start-ups Eos or MAXjet? If not, would you like to? Do you think this kind of all-premium-cabin service offers a viable alternative to the greater frequencies, frequent flyer benefits, etc. of the major carriers? Send your comments to skyguide@aexp.com. Last week, we asked readers if they pick airlines based on the comfort level aboard their regional jets – i.e., size of planes, number of seating classes, etc. According to respondents, the comfort level on the smaller jets is increasingly important, especially as airlines put them on longer and longer routes. "Yes, I do check classes of service (on regional partners)," said reader Dennis Schumer. "The regional jets fly nicely, but seat comfort in general is poor – most probably due to the lack of adequate cushioning in the thinner seats, which makes flights over one hour very uncomfortable." Reader Henry Hardeveldt – who flies more than 200,000 miles a year, agrees. In fact, he says planes like the Embraer 170/190 and the CRJ 900 shouldn't even be called regional jets. "They, as well as their smaller 50-seat cousins, are increasingly used on flights that last up to three hours – hardly 'regional,'" Hardeveldt says. "I avoid 50-seat jets fro flights of much more than an hour whenever I can, and am convinced there is a circle of hell reserved just for those flying Dinky Toys." He praises the extra room on United's "explus" service, which "means the ability to work comfortable – and can help my schedule, since I don't have to choose between mainline and UA Express. I can be equally productive on both." ADVERTISEMENT On October 29, Emirates will begin service from New York's JFK to Dubai via Hamburg, Germany. To promote the 777-200 service, Emirates has special all inclusive fares to Hamburg starting at $425 roundtrip for economy class bookings made by October 31st, valid for travel October 29-November 30 and January 8 - February 28, 2007. Economy class passengers can also choose one free night at the Hamburg Marriott or a rental car for three days. Special introductory fares for Business Class as well as a choice of a rental car for five days or two nights free at Hamburg's Raffles Hotel Vier Jahreszeiten. A Saturday night stay is required for the air fare. Visit www.emirates.com/usa and click on Special Offers; or call 800-777-3999. AIRLINES Delta, Northwest plan international expansion in 2007 Both Delta and Northwest Airlines last week announced plans for new international routes next year, continuing a trend among older "network" carriers of shifting capacity from domestic to overseas markets. Why? No competition from low-fare carriers, so they can bring in more revenue per passenger. Delta's plans include new non-stop service beginning in May 2007 from its Atlanta hub to Prague, Vienna and Dubai. In June 2007, Delta will inaugurate non-stop service between Atlanta and Seoul/Incheon, and will add a second daily Atlanta-Sao Paulo, Brazil frequency for the summer season. At its New York JFK international hub, Delta will boost JFK-London Gatwick service to two flights a day starting in April 2007. It will add new non-stop service from JFK to Pisa/Florence, Italy in May and from JFK to Bucharest, Romania in June. Also in June, Delta will add non-stop JFK-Shannon, Ireland service, replacing its existing one-stop service via Dublin. With the 2007 expansion, Delta said, it will serve 36 transatlantic destinations – including 16 where it offers the only non-stop service by a U.S. carrier. Delta said it is shifting seven more 767-400s from domestic service into its international fleet for next summer, and will standardize its product so that all Asia flights will be on 777-200s and all Europe/South America flights will offer 767-300s or 767-400s. Delta noted that it also plans to add 10 long-range 757-200s to its fleet by early 2007 for possible use on either European ro Hawaiian routes. Delta noted that in spite of recent capacity growth on overseas routes, it filled 83 percent of its international seats last summer, with a 30 percent increase in passengers. Northwest, meanwhile, unveiled plans for new non-stop service from its Detroit hub to Europe next year, including Detroit-Brussels flights starting in May and Detroit-Dusseldorf non-stops in June. In addition, Northwest will open a new European gateway in July 2007 with the inauguration of non-stop Hartford-Amsterdam service. Northwest said it will also work with partner KLM to expand capacity from other markets next year. Those plans include the addition of a second daily Boston-Amsterdam flight starting in July; a fifth daily Detroit-Amsterdam frequency for the summer season; and up to five more flights per week between Los Angeles-Amsterdam. Also in July, Northwest will take over KLM's Newark-Amsterdam service, enabling KLM to add a third daily JFK-AMS frequency. Northwest said it will serve the new transatlantic routes with 757-200s, offering 16 World Business Class seats in a two-by-two configuration, and 144 coach seats arranged three by three. Seat pitch in economy on those planes will be increased by up to four inches, Northwest said. Comair settles labor problem; Mesaba awaits court ruling Comair, which operates as the Delta Connection, reached a tentative agreement late last week with flight attendants on wage reductions, which should avert the possibility of a strike if the deal is ratified by the rank-and-file membership. Before the agreement, the bankrupt carrier had said that it would impose its own terms on flight attendants November 15 if no deal was reached. In Minneapolis, meanwhile, Northwest Airlines' regional partner Mesaba Aviation was coming down to the wire in relations with its unions. A judge is expected to rule as early as today (October 16) whether the airline can void its labor contracts and impose its own wage levels and work rules on unionized employees. The unions have threatened to strike if that happens. The company said last week its cash reserves are dwindling, and it urgently needs lower labor costs. Delta will add lie-flat seats starting in 2008 The enhancements to its BusinessElite business class cabins that Delta announced a few months ago did not include the lie-flat seats that are becoming standard on many foreign carriers. But now Delta says it will bring that very amenity to its international fleet starting in early 2008. That's when it will take delivery of two new long-range 777s that will come equipped with the new "personal sleeper suites" -- BusinessElite seats that lie fully flat as a 6'3" bed, but also have privacy screens, fold-out video monitors, integrated footrests and extra personal stowage compartments, as well as a configuration that provides aisle access for everyone. "Beginning in fall 2008, Delta will add a sleeper seat to the rest of its 777 fleet," a spokesman said. "The airline also expects to offer a lie-flat option on its 767 aircraft. These modifications are expected to be c0omplete by 2010." Jefferson Airplane awaits takeoff authority Virgin America, the San Francisco-based low-cost carrier affiliated with Sir Richard Branson's Virgin Group, is still waiting in the wings for federal approval to start flying – something that is still being studied by the Transportation Department in the face of strong opposition from major U.S. airlines, led by Continental. Although it is many months behind its original planned start-up date, Virgin America is still confident of approval – so much so that last week it unveiled its first aircraft, a red-and-white Airbus A320 named "Jefferson Airplane" in honor of the San Francisco psychedelic rock band from the 1960s. On hand for the festivities were California Governor Arnold Schwarzenegger and Grace Slick, the former lead singer for the Airplane, who listened as her recording of "White Rabbit" was played when the plane was rolled out. The U.S. carriers opposing Virgin America's launch maintain that although its majority owners are Americans who are franchising the brand, it is in fact Branson, a foreign national, who will be controlling the company. INTERNATIONAL Two European start-ups plan all-business-class service to U.S. Now that U.S. companies MAXjet Airways and Eos Airlines have demonstrated that there is indeed a market for all-premium-class service across the Atlantic, two European competitors are planning to join the party. A new U.K. airline called Silverjet said it has acquired a charter carrier called Flyjet and an aircraft leasing company known as Skylease; those purchases will give it quick access to an operating license and to a 767-200. The company said it hopes to start operating all-business-class flights between London's Luton Airport and Newark within three to four months, with fares of around $1,850 roundtrip. Meanwhile, the Wall Street Journal Online said last week that a newly former French company called Elysair hopes to begin all-business-class service in December between Newark and Paris' Orly Airport, using a 757-200 specially configured to carry just 90 passengers. AIRPORTS Los Angeles OKs three-year overhaul of Bradley International Terminal The Los Angeles City Council last week approved a $576 million contract to rebuild and modernize the 22-year-old Bradley International Terminal at LAX, a project that is expected to take more than three years. One of the project's highlights will be the construction of a new checked-baggage security system that will be integrated into the luggage delivery network, freeing up interior terminal space currently occupied by checked-bag security stations. With the new system, passengers will be able to check luggage when they check in, bypassing the current extra stop for checked-luggage screening. Another part of the project that will immediately affect business travelers is the construction of four new consolidated lounges for premium passengers – three for the major global airline alliances and one for passengers of unaffiliated airlines. They will replace the existing 16 individual airline lounges on the terminal's fourth and fifth floors, which will be demolished by the end of next month. The airport will offer two interim lounges for premium international passengers during the months while work is under way on the new permanent lounges, which should be ready by May 2007. An interim first-class lounge is on the terminal's mezzanine level, with space for 133 guests. The interim business class lounge, which can handle 578 persons, is on a vacant ramp area opposite the terminal, accessible by constantly-running shuttles. When the new lounges are finished, the terminal's total premium lounge space will be 72 percent larger. Chicago plans non-stop CTA trains to airports The Chicago Transit Authority, which operates that city's network of subway and elevated trains, said it will inaugurate non-stop service from the Loop to both O'Hare and Midway airports in about two years. The CTA trains currently run to both airports, but with many stops along the way. The dedicated non-stop service will use the same tracks, but with no stops. A new station in the Loop will be built exclusively for the non-stop airport service, which will cost about $10 one-way (vs. $2 for the multi-stop trains), and will operate every 15 minutes. New trains will have more comfortable seats and more room for bags. The multi-stop service currently takes about 45 minutes to O'Hare and half an hour to Midway; the non-stops aren't expected to get there any faster since they will share the tracks with existing services. AIR ROUTES BOSTON (BOS). JetBlue Airways expands its Boston operations on October 18 when it begins one daily non-stop between Boston-Columbus, Ohio and one between Boston and Raleigh-Durham. CHICAGO O'HARE (ORD). On October 22, El Al will increase service between Chicago and Tel Aviv from two flights a week to four (Sunday, Monday, Wednesday and Thursday). LAS VEGAS (LAS). Click Mexicana, a low-cost carrier that's part of Mexico's Grupo Mexicana, on October 16 begins daily service between Las Vegas and Torreon, Mexico, using a 100-seat Fokker 100 with 35-inch pitch. LOS ANGELES (LAX). New low-cost service from Los Angeles to Torreon, Mexico starts October 19 on Click Mexicana, a low-cost carrier that will operate 100-seat Fokker 100s on the route. (Caution: The daily flight departs LAX at 1:40 a.m.!) PORTLAND (PDX). Service on Hawaiian Airlines from Portland to Maui has been increased from three flights a week to daily frequencies. SEATTLE (SEA). Hawaiian Airlines has increased frequencies between Seattle and Maui from four times a week to daily. DEALS AND SPECIAL OFFERS FOR BUSINESS TRAVELERS Starwood Hotels and American Express have come out with a new Starwood Preferred Guest Business Credit Card for small business customers, and an enhanced version of the Starwood Preferred Guest Credit Card for regular customers. New benefits on both cards include 10,000 program points with the first purchase; double points on stays at Starwood properties; and an automatic upgrade to Gold Preferred Guest status when spending on the card tops $30,000 in a calendar year. Holders of both cards will also get a 5,000 point bonus when they convert 20,000 points into airline miles. Holders of the business version also get access to the OPEN Savings program, which provides discounts on purchases from select partners including Delta, JetBlue and FedEx Kinko's. For information, go to www.spg.com/americanexpress. Spirit Airlines, which serves 27 cities in the U.S. and Caribbean from hubs in Detroit and Ft. Lauderdale, has formed a new partnership with Hertz. Members of the airline's Free Spirit frequent flyer program can get bonus miles and rate discounts when they rent from Hertz. Through December 31, members will be able to earn up to 1,500 miles and get savings of up to $20 on rentals. For details, go offers.hertz.com/spiritairlinessave20/index.html. For links to other websites where you can search for bargains, click here: www.executivetravelonline.com/reference/deals.html By Jim Glab Have a question or comment? Send it to skyguide@aexp.com. To sign up for the e-Alert, click here.