August 20, 2020

American to Suspend Service to 15 Destinations

1 American Airlines last week threatened to suspend service to up to 30 destinations. Today they made good on their threat and announced the first 15 cities to lose service when the CARES Act funding expires at the end of next month. The cuts to the 15 cities will begin October 7 and are only in place until November 3 — for now.

The 15 cities losing service are:

  • Del Rio, TX (DRT)
  • Dubuque, IA (DBQ)
  • Florence, SC (FLO)
  • Greenville, NC (PGV)
  • Huntington, WV (HTS)
  • Joplin, MO (JLN)
  • Kalamazoo/Battle Creek, MI (AZO)
  • Lake Charles, LA (LCH)
  • New Haven, CT (HVN)
  • New York/Stewart (SWF)
  • Roswell, NM (ROW)
  • Sioux City, IA (SUX)
  • Springfield, IL (SPI)
  • Stillwater, OK (SWO)
  • Williamsport, PA (IPT)

American is currently the only airline to operate at several of these destinations including: Del Rio, Dubuque, Florence, Greenville, Joplin, New Haven, Roswell, and Stillwater.

Some theorize — and they’re probably not actually kidding — this is AA’s way to try to scare 15 Representatives and 28 Senators into pushing for a CARES Act extension.


Happy Holidays: Delta Extends Blocked Middle Seats Through January

2 Traveling to see family around the holidays is stressful enough — and that’s before you throw in a worldwide health pandemic. But if you fly on Delta, you’ll at least know no one will sit next you on your holiday flight.

Delta Air Lines announced today that the airline will be extending its policy of blocked middle seats through January 6, 2021, assuring a middle seat-free holiday traveling season.

Delta will continue to block the middle seat on all three-seat rows for parties of two or less. If a family or group of three or more is traveling together, the option to book the entire row, including the middle seat will be available as an option. Delta will continue to block half the seats in its first class cabin and at least one seat per row of aircraft with just two seats in a particular row. Parents around the country were heard rejoicing shortly after the announcement and started booking flights on RJs and 717s.

The airline also is extending its travel waiver allowing for one free change on travel purchased by September 30. As always, the change is free, but a fare difference could — and likely will — apply.


Qantas Doesn’t Plan to Return to U.S. Until Late 2021

3 Qantas CEO Alan Joyce said this week that he doesn’t expect his airline to resume flying to the United States until a vaccine for the virus is readily available — which he says likely won’t be until the end of 2021. After the briefing, Joyce channeled his inner child and appeared to be pouting while mumbling, “I didn’t want to go the US anyway.”

Joyce also does not expect the airline to restart any international flying until the middle of next year. Qantas is currently only operating domestic flights within Australia, using codeshares on oneworld partners to ferry limited passengers to and from the country.

Qantas’ financial forecast for FY22 — from July 2021 to June 2022 — shows the airline only operating 50% of its pre-pandemic international schedule. He expects no international flying at all for FY21, which would result in an $8 billion hit on the airline’s finances. While Qantas is selling unused amenity kits at $25 a pop, it’s going to take quite a few to make up $8 billion in lost revenue.


Wizz Air Expands in the Baltics

4 Wizz Air is continuing its push for world European LCC domination as the airline announces an expansion of its hub at Vilnius Airport (VNO), the largest airport in Lithuania. They highlight that they will be adding a new A320ceo to its base there. Why they’re bragging about putting ceo rather than neo aircraft there, no one is quite sure.

Wizz is adding five new destinations from the airport in October: Birmingham (BHX), Hamburg (HAM), Liverpool (LPL), Stockholm/Skavsta (NYO), and Trondheim, Norway (TRD). The five new destinations give Wizz 24 unique routes from Vilnius to 14 countries.

A couple countries up in Estonia, Wizz will also add flights in October from Tallinn to Bergen (BGO), Oslo/Sandefjord (TRF) and Trondheim, giving the airport 8 destinations.

Even though Wizz has yet to reach their fair city, Philadelphia residents continue to be confused they cannot buy tickets on the airline with their cheesesteaks.


Avianca’s Majority Shareholders Arrested in Brazil

5 Brothers German and Jose Efromovich were arrested Wednesday by Brazilian federal police as part of a sprawling corruption probe. The brothers Efromovich built Avianca into the second largest airline in Latin America, receiving a large cash infusion from United in 2018.

The court said that the two had created a corporate structure in Brazil and abroad to launder money, stealing $111 million of public money. The two initially built their fortune through contracts with Petrobras and other oil companies in Rio de Janeiro, using the profits to buy Avianca out of bankruptcy in 2003.

Avianca’s subsidiaries in Brazil, Argentina and Peru all folded in the last year, while the Colombian flagship is experiencing bankruptcy restructuring.

Even though the two must now wear electronic monitoring bracelets and cannot leave Brazil, the Efromovichs still possess a majority stake in the bankrupt airline but do not have voting rights. Claiming a complete coincidence, they offered exactly $111 million and the plans to the laundering scheme to retain their voting rights but were rebuffed.


Airline Potpourri

  • Aeromexico has its $1 billion financing plan approved in U.S. Federal Bankruptcy Court.
  • Austrian is resuming service to four cities: Erbil (EBL) with 3x weekly service beginning today, Cologne on August 31, Amman on September 3 and Tel Aviv on September 14.
  • Go2Sky, a Slovenian airline, will Go2Ground as the airline closing up shop and folding — effective next month.
  • JetBlue is adding service from New York/JFK to Steamboat Springs, CO (HDN).
  • KLM is returning to Cairo after a three-year absence, flying 2x weekly service beginning October 9.
  • Qantas has a new busiest route — Brisbane to Cairns. Sydney to Melbourne has been the airline’s busiest route since its inception, but with new travel patterns due to the pandemic, there’s a new champion in Australia, and it’s in Queensland.
  • Thai has been given an extension by Thailand’s Central Bankruptcy Court to submit a restructuring proposal.
  • Virgin Atlantic is extending elite status for its members by six months.
  • Volaris planes to operate at a level of 75% of its pre-pandemic schedule in September.

Andrew’s Moment of Levity

Back in college I was kidnapped one night by a mime. He threatened to do unspeakable things.