Published: October 28, 2009
US Airways Announces Strategic Plan to Strengthen Core Network
TEMPE, Ariz. - (BUSINESS WIRE) - US Airways (NYSE: LCC) today announced it is realigning its operations
to focus on the airline's core network strengths, which include hubs in
Charlotte (CLT), Philadelphia (PHL) and Phoenix (PHX), and a focus city
at Washington's National Airport (DCA). These four cities, as well as
the airline's popular hourly Shuttle service between New York's
LaGuardia Airport (LGA), Boston (BOS) and Ronald Reagan Washington
National Airport (DCA), will serve as the cornerstone of the airline's
network. By the end of 2010 they will represent 99 percent of the
airline's available seat miles (ASMs) versus roughly 93 percent today.
In a letter to employees US Airways Chairman and CEO Doug Parker
outlined the changes, "Today we are announcing a realignment intended to
focus on our key network strengths at our hubs in Charlotte,
Philadelphia and Phoenix, our focus city at Ronald Reagan Washington
National Airport and our Shuttle service. By concentrating on our
strengths we will be better positioned to return US Airways to
profitability, which will result in a more consistent experience for our
customers, better returns for our shareholders and greater job stability
and career opportunities for our employees."
US Airways is making the following changes to facilitate the realignment
strategy, which dictates matching the airline's schedule and operation
to customer demand:
-
Reducing Las Vegas (LAS) flights from 64 to 36 daily departures by
February 2010 as a result of high fuel prices and continued weak
demand associated with the Las Vegas market.
-
Closing stations in Colorado Springs (COS) and Wichita (ICT) and
moving that flying to more profitable routes across its three hubs.
-
Redeploying the airline's 15 E-190 aircraft on routes between Boston
(BOS) and Philadelphia and on the Boston-LaGuardia (LGA) leg of the US
Airways Shuttle.
-
Suspending five European destinations from US Airways' international
gateway in Philadelphia, given the weakness in trans-Atlantic revenue:
Birmingham, U.K. (BHX); London Gatwick, U.K. (LGW); Milan, Italy
(MXP); Shannon, Ireland (SNN); and Stockholm, Sweden (ARN). Seasonal
service to Brussels, Belgium (BRU) and Zurich, Switzerland (ZRH) will
transition to year-round service in late 2010.
-
Returning its Philadelphia-Beijing (PEK) flight authority to the
Department of Transportation (DOT) until economic conditions improve,
while retaining the option to reapply for this authority in the future.
-
Rightsizing and repositioning its crew bases in Philadelphia,
Charlotte, Phoenix and Washington, D.C. by closing crew bases in
Boston, LaGuardia and Las Vegas. The Las Vegas and LaGuardia bases are
expected to close on January 31, 2010, and Boston will close on May 2,
2010.
As part of the initiatives outlined above, US Airways will reduce its
staffing by approximately 1,000 positions across its system during the
first half of 2010. These reductions include approximately 600 airport
passenger and ramp service positions, approximately 200 pilot positions
and approximately 150 flight attendant positions.
Addressing the airline's employees in a personal letter, Parker said,
"These are difficult decisions to make because of the impact to some of
our fellow employees. They are, however, the right decisions. By
focusing on our strengths and eliminating unprofitable flying we will
increase the likelihood of returning US Airways to long-term
profitability, which is in all of our best interests. As we work through
these changes, we'll do all we can to minimize the impact of these
reductions on our current employees."
Domestic and International Schedule Changes
Charlotte: US Airways has a proud
history of serving Charlotte, N.C. that was solidified when it merged
with the former Piedmont Airlines in 1989. Today, the airline operates
more than 500 daily flights to 121 destinations from its Charlotte hub,
including 19 international destinations. Over the past year, US Airways
has added international service from Charlotte to Montreal and to Paris.
In December 2009, the airline will inaugurate service from Charlotte to
Honolulu and to Rio de Janeiro.
Charlotte is also home to one of the airline's two flight crew training
centers. Housed in a two-story 200,000-square-foot state-of-the art
center are 13 full-flight simulator bays, two cabin emergency trainers
and 25 classrooms dedicated to training the airline's pilots and flight
attendants who are based throughout the airline's East Coast and
international network. The airline also operates line maintenance, which
consists of overnight inspections and routine maintenance work, and
heavy maintenance, which consists of overhaul work on the Boeing 737 and
757 fleets, at Charlotte Douglas International Airport. Other important
elements of the airline's operation that reside in Charlotte include its
central baggage warehouse, a catering commissary operation, a ground
service equipment center, and its primary distribution center for all
aircraft components and parts.
"With nearly 6,000 employees in Charlotte, and many of our operation
support systems located here as well, we are certainly proud to call
Charlotte home," said Parker. "We remain deeply committed to the
community and citizens of Charlotte and surrounding regions, and look
forward to identifying continued opportunities to bring flights from
Charlotte to other regions of the world."
Philadelphia: At US Airways'
Philadelphia hub, which serves as the airline's Primary Intercontinental
Gateway, the airline operates more than 400 daily flights and employs
nearly 6,000 employees directly. The airline's presence also supports
thousands of additional jobs indirectly. Although the airline is scaling
back service in some softer markets as outlined above, markets where
demand is strong have increased over the past year. This past summer,
the airline inaugurated its first-ever market in the Middle East when it
began operating daily nonstop flying to Tel Aviv from Philadelphia.
Additional service to Oslo also began this past summer from
Philadelphia, and as part of today's realignment, the airline announced
it will transition seasonal flying to Brussels and Zurich to year-round
service. In December of this year, the airline will increase its service
from Philadelphia to Barbados.
The airline also maintains a satellite headquarters team at
Philadelphia, along with a significant line maintenance operation,
catering commissary and a ground service equipment center.
Parker noted, "Philadelphia provides a terrific gateway for our
important trans-Atlantic network. Our Philadelphia team safely guides
our operation amidst some of the most congested airspace in the world,
and we couldn't be more proud of them. As we evaluated our international
routes in Philadelphia, we made the necessary decisions to pull down
capacity that simply isn't profitable in today's economic environment.
However, we remain firmly committed to exploring additional
opportunities as the economy slowly recovers, including re-evaluating
our proposed China service in the future."
Phoenix: US Airways has been part
of the region's skyline since its merger with America West in 2005. With
non-stop service to 80 destinations, including nine international
cities, the airline is a strong corporate partner in the region. Today
the airline operates more than 250 daily flights, and retains its
corporate headquarters, as well as several administrative centers in
nearby Tempe, Ariz. A maintenance hangar serving the airline's line
maintenance needs employs several hundred of the airline's 8,700
employees who work in the region. Additionally, Phoenix-based flight
crew members train at a state-of-the-art facility near Sky Harbor
International Airport that is complete with 10 full-flight simulator
bays, two cabin emergency trainers and 16 classrooms.
"We are proud to serve as the hometown airline of Phoenix," Parker said.
"While we have enjoyed success with serving international destinations
in Mexico and Canada, we are also excited to launch our first nonstop
Caribbean destination from Phoenix to Montego Bay in December."
Ronald Reagan Washington National Airport:
US Airways maintains a significant presence at Ronald Reagan Washington
National Airport and recently announced plans to increase that presence.
When its slot transaction with Delta Air Lines is complete, the airline
will operate nearly 230 daily flights to over 60 destinations. Eight
markets will receive non-stop service that do not have it today,
including Birmingham, Ala., Islip, N.Y., Ithaca, N.Y., Little Rock,
Ark., Myrtle Beach, S.C., Pensacola, Fla., Savannah, Ga. and
Tallahassee, Fla. The added service will also create additional jobs at
Washington National, and the airline will ultimately have a total staff
of approximately 550 at the airport.
"We are extremely proud to build on our heritage at Washington
National," Parker noted. "By continuing to serve smaller communities
with the right size aircraft and increasing seats in communities where
demand dictates, our plans to provide more non-stop service to our
nation's capital are well on track."
Customer Service Enhancements
Parker continued, "In addition to rightsizing our flying to better match
demand, we're taking additional steps to ensure our customers receive
industry-leading service. US Airways was first among the major network
airlines in the important customer service metric of on-time performance
in 2008, and we are running first again in 2009. We also recently
announced that we'll install new lie-flat business-class seats with an
advanced on-demand in-flight entertainment system. The first
installation will begin next month on our Airbus wide-body aircraft, and
will roll out on the line in December."
The airline's Envoy Suite will experience will include:
-
A fully adjustable seat with lie-flat bed
-
Direct aisle access from each Suite with all seats facing forward
-
Generous personal space and stowage
-
An easy-to-reach technology panel, including a 110-volt universal
power outlet, satellite telephone and USB port
-
State-of-the-art personal entertainment system with a 12.1" adjustable
touch-screen
The airline also recently announced that its customers can now access
more than 250 airport clubs worldwide with a single membership through
its Star Alliance. Access now includes reciprocal club access with
Star's newest member, Continental Airlines, as well as to United's Red
Carpet Clubs. Other Star Alliance lounges are also accessible with a
single, standard membership. Club members will also enjoy complimentary
house selections of beer and wine in all of US Airways Clubs.
About US Airways
US Airways, along with US Airways Shuttle and US Airways Express,
operates more than 3,000 flights per day and serves more than 200
communities in the U.S., Canada, Europe, the Middle East, the Caribbean
and Latin America. The airline employs more than 32,000 aviation
professionals worldwide and is a member of the Star Alliance network,
which offers its customers more than 19,000 daily flights to 1,071
airports in 171 countries. Together with its US Airways Express
partners, the airline serves approximately 60 million passengers each
year and operates hubs in Charlotte, N.C., Philadelphia and Phoenix, and
a focus city at Ronald Reagan Washington National Airport. And for the
11th consecutive year, the airline received a Diamond Award for
maintenance training excellence from the Federal Aviation Administration
for its Charlotte hub line maintenance facility. For more company
information, visit usairways.com. (LCCG)
-Fly with US-
US Airways, Tempe
Media Relations, 480-693-5729
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