Western U.S. Airports Running Dry
A shortage of fuel at airports in the western United States is creating cascading problems for airlines, and it will only worsen if the problem is not rectified and the well stops running dry — literally.
Issues exist throughout the entire supply chain, from the amount of fuel available to a lack of people to supply it and a greater demand on the product from firefighting aircraft due to wildfires in Montana and the Pacific Northwest. Flights in Fresno (FAT) were delayed due to fuel shortages blamed on a lack of tanker truck drivers.
Reno-Tahoe International Airport in Nevada is facing the cancellation of cargo and commercial flights due to a lack of jet fuel. When fuel shortages slowed operations in the east earlier this summer due to the Colonial Pipeline hacking, airlines flew aircraft in with extra fuel to compensate for the limited supplies at some airports. Due to construction on Reno’s longest runway, this is not an option at the airport, because flights cannot come in as heavy with only the shorter runway available. Instead, we understand local politicians have instead opted for sheer panic and fingerpointing.
The governors of Wyoming and South Dakota have signed emergency orders allowing for longer working hours for truck drivers that are delivering fuel for firefighting aircraft to help stem some of the supply plane issues.
Southwest Joins the 20th Century
Southwest Airlines began offering nearly all fares and real-time availability for flights in Sabre (this one, not this one), the leader in corporate booking in the United States today for the first time.
Southwest has been planning this move since at least 2019 when it launched Southwest Business, designed to update the way the airline focuses on business travel. The two-year journey was mostly spent reconciling with Sabre’s antiquated technology that could not compute when Southwest put zero as the default for its bag and change fees, with Sabre constantly thought was a mistake.
Sabre was ready to launch the partnership last month, but the company opted not to purchase Southwest’s Early Bird offering to begin the partnership right away, and was instead forced to wait until its number was called this morning to get started.
The airline’s offerings still will not be available on online travel agents, so customers who like their itineraries without bag fees or seat assignments will still need to go to Southwest.com to search for flights and fares on the airline.
Allegiant Ready to Rock
Travelers on Allegiant will soon have the option to combine their flight bookings with concert tickets due to the airline’s new partnership with Live Nation and Ticketmaster. We assume the partnership will not feature concerts that are part of a worldwide tour playing a new city every night, but rather concerts which take place sporadically, once or twice a week in medium-sized cities throughout the country that don’t usually receive concerts in order to remain on brand.
As fans purchase tickets across Live Nation and Ticketmaster platforms, they will receive access to travel packages – including flights on Allegiant to purchase as part of the transaction. Customers booking travel via Allegiant will also receive offers for concerts, experiences, and events run by Live Nation or Ticketmaster at their destination.
The burgeoning partnership will allow Allegiant travelers to discover and experience the music scenes in noted music towns such as Minot, ND, Moline, IL, or Elmira, NY.
Mango’s Financial Saga Turns Rotten
Mango Airlines will enter bankruptcy protection in South Africa based on a decision by its board and shareholders. The airline first went into administration in December 2019 and then emerged from the process this past April, living out the definition of one step forward, two steps back.
The airline, a state-owned LCC subsidiary of South African Airways has been in fiscal limbo since the pandemic began with no real sign of recovery. The South African government allocated about $180 million of the $700 million it provided to SAA to go to its subsidiaries, but those funds were held up for months due to legal wrangling and technicalities in the language of SAA’s rescue package.
Fifty eight million dollars of the aid was penciled in for Mango, and every few weeks the airline thought it was finally time to receive the money only to see the goalposts moved once again. The airline is currently $168 million in debt with next to no money in its bank account. It’s largest creditor is the $48.3 million it owes SAA Technical, followed by $24.6 million to Macquarie AirFinance. Mango also owes its 750 employees $10.5 million in unpaid salaries.
Mango was forced to shut down earlier this spring when it was on the brink of financial collapse. It is now hoping to resume cargo operations next month if it can get its AOC restored.
GLOBALX Moves Closer to Flying Actual Passengers
GLOBALX Airlines, the startup that is planning to fly charter and wet-lease operations in the United States, Canada, Caribbean, and Latin America, received its initial authority from the DOT to begin charter operations.
The Miami-based airline — which plans to operate an A320-200 and A321-200 from it Miami base — was involved in a drawn-out process with the government due to its complex ownership structure. It satisfied the DOT’s questions by explaining that no one from its ownership group intends on forcing potential customers to attend bad concerts in random cities like Allegiant is doing.
The startup plans to operate charter flights from its Miami hub to Latin America, Cuba, and the Caribbean. It also wants to provide casino and sports charter flights on behalf of other charter airlines – provided the charter company pays for fuel, landing fees, and ground handling. GLOBALX will handle the cost for ice and toilet paper in the lavs.
- Air Canada is launching a private offering of two series of senior secured notes seeking $2.75 billion. When it gets the money, it might re-open refund processing from last year. But probably not.
- American is adding twice-weekly service from its Miami hub to two Caribbean destinations – Anguilla (AXA) beginning December 11, and Dominica (DOM) beginning December 8.
- Delta is now offering lifetime Diamond Medallion status for anyone who achieves 6 million lifetime miles on the airline. Those who earn the lifetime status will also be gifted a lifetime supply of Biscoffs, Woodford Reserve, and in-home delivery of Sky Magazine.
- Flair Airlines apparently turned its phones back on long enough to sign a new maintenance partnership with Wright International.
- Finnair, Qantas, Royal Jordanian, and Sri Lankan will move to Terminal 3 at London/Heathrow tomorrow, July 27.
- flybig is looking for a big investor to help it raise $13.4 million to continue operating in India.
- Onur Air is delaying its relaunch.
- Qantas and the Australian government have been criticized by trade unions and politicians for what they see as one-sided support of Qantas. A government spokesman declined to comment other than to say “but the kangaroo on the tail is very cute.”
- Plus Ultra’s government bailout was put on hold by a Spanish court.
- Samoa Airways took delivery of its first B737-800 although the aircraft has not yet been registered or certified by the Samoan government.
- United is extending status for its Global Services members through January 31, 2023. If you have to ask what Global Services is, then it’s not for you.
- WestJet will add its WS code on KLM flights to 16 European destinations this fall.
Today we present a very special moment of levity from Airchive founder Chris Sloan’s son Caleb.
What do forks, knives, and spoons dress up with? Silverware!