DOT Awards United New ORD-CUN Nonstop Route

[Cosmo]

DOT issued this Order yesterday awarding United new nonstop authority to serve the ORD-CUN route, effective immediately. United said it would start service within 90 days with one daily round trip TED flight, with frequencies growing to twice-daily in mid-December at the start of the peak winter season to the Mexican resort destinations.

While United has understandably -- and rightly so for a variety of reasons, IMHO -- moved much more slowly than some other legacy carriers in regard to recent international expansion, the ORD-CUN route is not too big a gamble and thus should fit into its route system nicely (and hopefully profitably).

 

[coolflyingfool]

I would think this would be VERY profitable in the winter. Gotta warm up that blood after a drive along Lake Shore Dr. just my thoughts........

 

[JungleClone]

Very profitable? That's relative given that CUN is a leisure destination. But I'm sure the economic forecast was for a decent profit margin. And some of the days might be helped by guaranteed-load-factor (GLF)bookings, where tour companies buy a large block of seats.

 

[eolesen]

Good luck. CUN still hasn't fully recovered from the hurricane damage inflicted by Wilma. Only about 70% of the hotel capacity is back, and I suspect a lot of tour operators will be booking away from the Gulf resorts this coming hurricane season.