Airport System Development
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Domestic Airline Competition, Legacy Carrier Consolidation and the Rise of the Low-Cost Carrier
DOMESTIC AIRLINE COMPETITION, LEGACY CARRIER CONSOLIDATION AND THE RISE OF THE LOW-COST CARRIER A Thesis submitted to the Faculty of the Graduate School of Arts and Sciences of Georgetown University in partial fulfillment of the requirements for the degree of Master of Public Policy in Public Policy By Christian T. Ueland, B.S. Washington, DC April 13, 2017 Copyright 2017 by Christian T. Ueland All Rights Reserved ii The research and writing of this thesis is dedicated to my family and friends. Many thanks, Christian Ueland iii DOMESTIC AIRLINE COMPETITION, LEGACY CARRIER CONSOLIDATION AND THE RISE OF THE LOW-COST CARRIER Christian T. Ueland, B.S. Thesis Advisor: Terry Kennedy, Ph.D. ABSTRACT In the past eight years, the airline market in the United States has gone through a string of bankruptcies, some brought on by the severe economic recession in 2008 and 2009. These financial difficulties provided the impetus for four giant airline mergers, causing concern that market concentration had exceeded a healthy limit. This paper examines the competitive landscape of domestic air travel through an analysis of the relationship between airline fares and different levels of competition in the domestic airline market. Taking US Department of Transportation data from 2008 and 2016, I use an ordinary least squares (OLS) regression model to determine the relationship between average market fares and the type/number of competing airlines in each airport-pair market. The results for each year represent the strength of competitive forces, which I then compare to determine the manner in which competition has changed over the eight-year period. -
Airline Schedules
Airline Schedules This finding aid was produced using ArchivesSpace on January 08, 2019. English (eng) Describing Archives: A Content Standard Special Collections and Archives Division, History of Aviation Archives. 3020 Waterview Pkwy SP2 Suite 11.206 Richardson, Texas 75080 [email protected]. URL: https://www.utdallas.edu/library/special-collections-and-archives/ Airline Schedules Table of Contents Summary Information .................................................................................................................................... 3 Scope and Content ......................................................................................................................................... 3 Series Description .......................................................................................................................................... 4 Administrative Information ............................................................................................................................ 4 Related Materials ........................................................................................................................................... 5 Controlled Access Headings .......................................................................................................................... 5 Collection Inventory ....................................................................................................................................... 6 - Page 2 - Airline Schedules Summary Information Repository: -
IDA Currently Has 3 Scheduled Airli
General Information on Airline Service Development at the Idaho Falls Regional Airport (IDA) IDA currently has 3 scheduled airlines (United, Delta and Allegiant) with Direct flights to Salt Lake City, Utah; Denver, Colorado; Las Vegas, Nevada; Phoenix/Mesa Arizona and seasonal summer service to Minneapolis-St. Paul, Oakland and Los Angeles California. In addition, Air Charter companies on the field offer direct flights to Boise and other destinations on demand. The airport is a landlord for the airlines and has very little say in where airlines fly, the ticket prices they charge or the level of customer service they may or may not provide. We do stay in close contact with all the airlines, attend their conferences and meet with their headquarter offices to offer suggestions and insight into our market and to market our airport and community in effort to attract new routes. We also partner with a very competent and successful air service development consultant to assist us in this effort. However, in the end Airlines make their decisions based on profitability and they are ultimately in control. Air service is directly tied to the economy and how many people are flying. Air service is also driven by the amount of utilization of existing flights and individual airline business models. All these factors combine to reflect a continuous volatile airline industry. After safety and security, Air Service Development is a high priority for the Airport. We strive to be responsive to the community travel needs in both business and leisure routes. Our mission is to first maintain our existing airlines and routes (in the recent economy, many regional airports have lost air service). -
AN ECONOMIC ASSESSMENT of STOL AIRCRAFT POTENTIAL INCLUDING TERMINAL AREA ENVIRONMENTAL CONSIDERATIONS Volume I
NASA CONTRACTOR NASA CR-2424 REPORT CM AN ECONOMIC ASSESSMENT OF STOL AIRCRAFT POTENTIAL INCLUDING TERMINAL AREA ENVIRONMENTAL CONSIDERATIONS Volume I by H. L. Solomon and S. Sokolsky Prepared by THE AEROSPACE CORPORATION El Segundo, Calif. for Ames Research Center NATIONAL AERONAUTICS AND SPACE ADMINISTRATION • WASHINGTON, D. C. • MAY 1974 1. Report No. 2. Government Accession No. 3. Recipient's Catalog No. NASA CR -2b2k 4. Title and Subtitle 5. Report Date "An Economic Assessment of STOL Aircraft Potential Including MAY 197^ Terminal Area Environmental Considerations" Volume I 6. Performing Organization Code 7. Author(s) 8. Performing Organization Report No. H. L. Solomon and S. Sokolsky 10. Work Unit No. 9. Performing Organization Name and Address The Aerospace Corporation 11. Contract or Grant No. El Segundo; California NAS 2-6473 13. Type of Report and Period Covered Contractor Report 12. Sponsoring Agency Name and Address Final Report National Aeronautics and Space Administration Washington, D.C. .„ 14. Sponsoring Agency Code 1 5. Supplementary Notes 16. Abstract This report presents the results of an economic and environmental study of short haul airline systems using short takeoff and landing (STOL) aircraft. The STOL system characteristics were .optimized for maximum patronage at a specified return on investment, while maintaining noise impact compatibility with the terminal area. Supporting studies of aircraft air pollution and .hub airport icongestion relief were also performed. The STOL concept specified for this study was an Augmentor Wing turbofan aircraft having a field length capability of 2,000 ft. and an effective perceived noise level of 95 EPNdB at. 500 ft. -
Change 3, FAA Order 7340.2A Contractions
U.S. DEPARTMENT OF TRANSPORTATION CHANGE FEDERAL AVIATION ADMINISTRATION 7340.2A CHG 3 SUBJ: CONTRACTIONS 1. PURPOSE. This change transmits revised pages to Order JO 7340.2A, Contractions. 2. DISTRIBUTION. This change is distributed to select offices in Washington and regional headquarters, the William J. Hughes Technical Center, and the Mike Monroney Aeronautical Center; to all air traffic field offices and field facilities; to all airway facilities field offices; to all international aviation field offices, airport district offices, and flight standards district offices; and to the interested aviation public. 3. EFFECTIVE DATE. July 29, 2010. 4. EXPLANATION OF CHANGES. Changes, additions, and modifications (CAM) are listed in the CAM section of this change. Changes within sections are indicated by a vertical bar. 5. DISPOSITION OF TRANSMITTAL. Retain this transmittal until superseded by a new basic order. 6. PAGE CONTROL CHART. See the page control chart attachment. Y[fa\.Uj-Koef p^/2, Nancy B. Kalinowski Vice President, System Operations Services Air Traffic Organization Date: k/^///V/<+///0 Distribution: ZAT-734, ZAT-464 Initiated by: AJR-0 Vice President, System Operations Services 7/29/10 JO 7340.2A CHG 3 PAGE CONTROL CHART REMOVE PAGES DATED INSERT PAGES DATED CAM−1−1 through CAM−1−2 . 4/8/10 CAM−1−1 through CAM−1−2 . 7/29/10 1−1−1 . 8/27/09 1−1−1 . 7/29/10 2−1−23 through 2−1−27 . 4/8/10 2−1−23 through 2−1−27 . 7/29/10 2−2−28 . 4/8/10 2−2−28 . 4/8/10 2−2−23 . -
RAA Advocates EAS Program Before Congress
The exclusive bi-monthly magazine covering the news and activities of the Regional Airline Association March/April 2009 Issue 33 Available on the RAA website www.raa.org PRESIDENT’S CORNER RAA advocates EAS program Changing the before Congress perception of regional airlines A number of simple reforms are and funding levels. As a result, 40 needed to restore health to the Es- EAS airports lost all scheduled air “I’ve never seen anyone that sential Air Service program, RAA service. While other airlines are looked like me fly airplanes” Vice President-Legislative Affairs stepping in to restore air service as ASA Captain Rachelle Jones Faye Malarkey Black told a Congres- quickly as possible, Black underlined CNN, February 1999 sional hearing addressing “Transpor- “some of these routes remain without “He doesn’t look like all those tation Challenges of Rural America” air service today.” other Presidents on those on March 12. Fluctuating fuel costs As a result of these service disrup- dollar bills” and a severe economic downturn tions, DOT experienced temporary President Barack Obama have created a challenging operat- but substantial cash savings in 2008 Missouri campaign stop, July 2008 ing environment for all airlines with making it difficult to forecast an EAS Do those quotes sound similar? capacity down. However, regional budget for future years. Despite these Both address perceptions of what airlines are experiencing the deepest challenges, RAA member carriers “The EAS program... people seeking a particular career cuts with a loss of 243 non-stop providing these specialized EAS path — in this case, airline pilot and routes in 2008 compared to a net loss flights remain committed to the pro- has been President of the United States — of 101 mainline routes. -
A Free Bird Sings the Song of the Caged: Southwest Airlines' Fight to Repeal the Wright Amendment John Grantham
Journal of Air Law and Commerce Volume 72 | Issue 2 Article 10 2007 A Free Bird Sings the Song of the Caged: Southwest Airlines' Fight to Repeal the Wright Amendment John Grantham Follow this and additional works at: https://scholar.smu.edu/jalc Recommended Citation John Grantham, A Free Bird Sings the Song of the Caged: Southwest Airlines' Fight to Repeal the Wright Amendment, 72 J. Air L. & Com. 429 (2007) https://scholar.smu.edu/jalc/vol72/iss2/10 This Article is brought to you for free and open access by the Law Journals at SMU Scholar. It has been accepted for inclusion in Journal of Air Law and Commerce by an authorized administrator of SMU Scholar. For more information, please visit http://digitalrepository.smu.edu. A FREE BIRD SINGS THE SONG OF THE CAGED: SOUTHWEST AIRLINES' FIGHT TO REPEAL THE WRIGHT AMENDMENT JOHN GRANTHAM* TABLE OF CONTENTS I. INTRODUCTION .................................. 430 II. HISTORICAL BACKGROUND .................... 432 A. THE BATTLE TO ESTABLISH AIRPORTS IN NORTH T EXAS .......................................... 433 B. PLANNING FOR THE SUCCESS OF THE NEW AIRPORT ........................................ 436 C. THE UNEXPECTED BATTLE FOR AIRPORT CONSOLIDATION ................................... 438 III. THE EXCEPTION TO DEREGULATION ......... 440 A. THE DEREGULATION OF AIRLINE TRAVEL ......... 440 B. DEFINING THE WRIGHT AMENDMENT RESTRICTIONS ................................... 444 C. EXPANDING THE WRIGHT AMENDMENT ........... 447 D. SOUTHWEST COMES OUT AGAINST THE LoVE FIELD RESTRICTIONS ............................... 452 E. THE END OF AN ERA OR THE START OF SOMETHING NEW .................................. 453 IV. THE WRIGHT POLICY ............................ 455 A. COMMERCE CLAUSE ................................. 456 B. THE WRIGHT AMENDMENT WILL REMAIN STRONG LAW IF ALLOWED .................................. 456 1. ConstitutionalIssues ......................... 456 2. Deference to Administrative Agency Interpretation............................... -
Exploiting Opportunities for Airline Entry and Competition
9310-03 Chapter 3 10/12/99 13:35 Page 99 3 M Exploiting Opportunities for Airline Entry and Competition Increased opportunities for entry and competition in the airline indus- try depend on the efficient provision of airport and airway capacity to accommodate current as well as new and varied aviation services. Yet ob- stacles persist, including longstanding rules that curb access to some of the country’s largest airports. There also are restrictions on how airport operators can raise and invest funds to meet demands for runways, ter- minal buildings, and gate space. Since deregulation, an imbalance has become increasingly evident. The speed and agility with which airlines have been able to respond to changing traveler demands surpass the ability of federal, state, and local governments to expand airport and airway capacity and to adopt pricing mechanisms that induce and ration that infrastructure more efficiently. The nation’s airport and airway infrastructure are not the only untapped opportunities for airline entry and competition. Federal law limits foreign ownership and operation of U.S.-based airlines; this is a prominent example of competitive opportunities diminished by govern- 99 9310-03 Chapter 3 10/12/99 13:35 Page 100 100 ENTRY AND COMPETITION IN THE U.S. AIRLINE INDUSTRY ment policy. Reconsideration of these restrictions—which reduce the flow of capital, management experience, and competing operators into the domestic airline industry—has been recommended by others and is again urged here. The airline ticket distribution system is another aspect of the indus- try that can open or close more possibilities for competition. -
Testimony of Bob Montgomery Vice President, Airport Affairs Southwest Airlines Co
Testimony of Bob Montgomery Vice President, Airport Affairs Southwest Airlines Co. March 23, 2017 Good morning, Chairman Blunt, Senator Cantwell and members of this Subcommittee. I am Bob Montgomery, and I handle Airport Affairs for Southwest Airlines. I am happy to be here today. I started working for Southwest in 1977, as a Ramp Agent in Lubbock, Texas, when Southwest was just an intrastate airline. I’m proud to be in my 40th year with Southwest – a company that continues to grow and compete. Southwest now serves over 120 million Customers annually, employs over 53,000 “Co- Hearts,” and operates a fleet of over 700 Boeing 737 airplanes. As a longtime Southwest Employee, I am most proud that Southwest has never had an Employee layoff or furlough during its 46-year history and has provided its Employees with annual profit-sharing for 43 straight years. Over the past 33 years, I have focused almost exclusively on airports. My task in Airport Affairs is to work with Airport Directors like my fellow panel member, Rhonda Hamm- Niebruegge, to determine how best to meet infrastructure needs in airports all around the Country. In that role, I have overseen billions-upon-billions of dollars in airport capital investments at over 100 airports. We have been successful in small airports, such as the Country’s newest airport, Northwest Florida Beaches Airport in Panama City, Florida. We’ve been successful in medium, growing airports such as Austin Bergstrom Airport, or Dallas Love Field. We’ve found a way to meet the needs in airports ravaged by changing airline strategies, such as St. -
The Large Irregular Air Carriers Their Contributions and Their Demise
University of Montana ScholarWorks at University of Montana Graduate Student Theses, Dissertations, & Professional Papers Graduate School 1955 The large irregular air carriers their contributions and their demise Jack Austin Ring The University of Montana Follow this and additional works at: https://scholarworks.umt.edu/etd Let us know how access to this document benefits ou.y Recommended Citation Ring, Jack Austin, "The large irregular air carriers their contributions and their demise" (1955). Graduate Student Theses, Dissertations, & Professional Papers. 7988. https://scholarworks.umt.edu/etd/7988 This Thesis is brought to you for free and open access by the Graduate School at ScholarWorks at University of Montana. It has been accepted for inclusion in Graduate Student Theses, Dissertations, & Professional Papers by an authorized administrator of ScholarWorks at University of Montana. For more information, please contact [email protected]. THE LARGE IRREGULAR AIR CARRIERS, THEIR CONTRIBUTIONS AND THEIR DEMISE by JACK AUSTIN RING B. A,, College of Great Falla, 19^h Presented in partial fulfillment of the requirements for the degree of Master of Arts MONTANA STATE UNIVHtSITT 1932 Approved^by; alkU/Au airma rd o^ Examiners ah, Gràduate School Date Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. UMI Number: EP38789 All rights reserved INFORMATION TO ALL USERS The quality of this reproduction is dependent upon the quality of the copy submitted. In the unlikely event that the author did not send a complete manuscript and there are missing pages, these will be noted. Also, if material had to be removed, a note will indicate the deletion. -
Airline-Pilot-Scab-List.Pdf
THIS IS THE US MASTER PILOT SCABLIST THE UNIONIST’S EDITION A SCAB is A Person Who is Doing What You’d be Doing if You Weren’t on Strike. A SCAB takes your job, a Job he could not get under normal circumstances. He can only advance himself by taking advantage of labor disputes and walking over the backs of workers trying to maintain decent wages and working conditions. He helps management to destroy his and your profession, often ending up under conditions he/she wouldn't even have scabbed for. No matter. A SCAB doesn't think long term, nor does he think of anything other then himself. His smile shows fangs that drip with your blood, for he willingly destroys families, lives, careers, opportunities and professions at the drop of a hat. He takes from a striker what he knows he could never earn by his own merit: a decent Job. He steals that which others earned at the bargaining table through blood, sweat and tears, and throws it away in an instant - ruining lives, jobs and careers. ONCE A SCAB, ALWAYS A SCAB - NEVER FORGET! Below are brief notes about legal strikes by organized pilots. 1. Century Airlines 1932: Pilots struck to resist wage reduction by E.L Cord, the patron saint of Frank Lorenzo. 2. TWA 1946: Pilots struck over pay on faster 4 engine aircraft, limited by the provisions of Decision 83. 3. National Airlines 1948: Strike over aircraft safety and repeated violations of the labor contract. 4. Western Airlines 1958: Qualifications of the Flight Engineer. -
Master's Thesis Mergers and Acquisitions in the U.S. Airline Industry
Master’s Thesis MSc in Finance and Investments Mergers and acquisitions in the U.S. airline industry An event study of stock data observations from the last three decades May 15, 2017 Author: Lars Christian Hjorth-Johansen Supervisor: Björn Preuß Consisting of 165,841 characters including spaces - equivalent to 79 pages. ABSTRACT After the Deregulation Act of 1978 changed the U.S. airline industry from being government controlled to a liberalized market, a merger wave struck the industry where consolidation among a great proportion of airlines created the legacy carriers of today. Three decades later, the industry have seen a new wave, only this time with a completely different underlying motivation. From previously consolidating in order to grow geographically and improve operational performance, the new millennium have seen U.S. airlines merge in order to survive as bankruptcies and financial distress have challenged the existence of the majority of U.S. airlines. Where there exists evidence of collusive pricing as a result of the mergers in the post- deregulation time period, there are not any recent research including mergers of the 21st century. With a foundation based on previous studies, this thesis aims to answer two hypotheses. The first hypothesis asks whether there are positive abnormal returns for bidder and target airlines involved in an airline merger at the time of announcement. The second hypothesis looks at the existence of collusion among rivals through the market power hypothesis, which suggests that rivals benefit from competitors’ mergers as collaboration limits output and increase prices. The hypotheses are tested through an event study where all available stock data from U.S.