Letter To The Editor - PIT Post Gaz.
- Thread starter Furloughedagain
- Start date
Nice take on Dayton. I see how all the other carriers scrambled like mad to get into there. The last time I was in that airport, it was a total ghost town.
As for not bankrupting PIT by pleasing US, you take the very same risk by not pleasing them. You default on the bonds, and your bond rating goes into the toilet for future muncipal projects.
As for not bankrupting PIT by pleasing US, you take the very same risk by not pleasing them. You default on the bonds, and your bond rating goes into the toilet for future muncipal projects.
Most cities are finding they do not want to be a hub city. Chamber of Commerces are finding that although you may loose some nonstops, you gain more with more airlines coming to your city, thereby increasing competition and greatly lowering the cost of doing business in a city. This then draws new industry in town. Kansas City for one is discovering this fact. PIT may be better off overall not being a hub.
The big picture here is more about keeping jobs in the Pittsburgh area than about convenience for travelers from PIT. After all, at least 25% of US Airways'' flights from PIT serve almost solely connecting traffic (who flies from PIT to AOO, SCE, IPT, ERI, CLE, MGW, etc.?) I think it''s also quite clear that US Airways would be foolish to abandon many of the denser, profitable routes from PIT, like LGA, DCA, ORD, PHL, BOS, LAX, SFO, etc. -- the average yield on PIT-BOS is $0.44 cents/mile, after all.
The end result of not coming to some sort of agreement isn''t pretty for either US Airways or the county government. The county loses thousands of jobs and would still face default on the bonds backed by the US Airways leases. US Airways loses an efficient connecting facility *and* opens up yet another hole for the low-cost carriers to fill. There really are no cities/airports which would make for a better hub than PIT, not to mention the sheer cost of starting a new hub. While it wouldn''t be tough to move 75-100 daily mainline departures to PHL and CLT (I see US maintaining 50-75 mainline departures at a reduced PIT, somewhat like BWI before Southwest), this certainly would also throw a monkey wrench into the plans for Midatlantic, since PIT is the hub for which the MDA regional jets are best suited. And if WN, FL, B6, or F9 were to get a serious foothold in PIT, US would be hard-pressed to get its hub back.
There''s also some significant interest for the state of Pennsylvania in seeing US Airways keep its hub at PIT (beyond Pittsburgh-area jobs); after all, US is the dominant or sole carrier at many small Pennsylvania airports.
It seems to me that there is a tough choice ahead. Bowing to pressure from US Airways keeps jobs in Pittsburgh but leaves the county on the hook for a lot of cash, not to mention keeping PIT airfares high. Telling Dave to take a hike means massive job losses (and the county''s still stuck with the debt) but opens an opportunity for more competition. I do believe that one of the discounters would come into PIT, with an operation of 50-100 flights after a few years -- but only if airport costs were under control, which is basically the whole issue now.
The end result of not coming to some sort of agreement isn''t pretty for either US Airways or the county government. The county loses thousands of jobs and would still face default on the bonds backed by the US Airways leases. US Airways loses an efficient connecting facility *and* opens up yet another hole for the low-cost carriers to fill. There really are no cities/airports which would make for a better hub than PIT, not to mention the sheer cost of starting a new hub. While it wouldn''t be tough to move 75-100 daily mainline departures to PHL and CLT (I see US maintaining 50-75 mainline departures at a reduced PIT, somewhat like BWI before Southwest), this certainly would also throw a monkey wrench into the plans for Midatlantic, since PIT is the hub for which the MDA regional jets are best suited. And if WN, FL, B6, or F9 were to get a serious foothold in PIT, US would be hard-pressed to get its hub back.
There''s also some significant interest for the state of Pennsylvania in seeing US Airways keep its hub at PIT (beyond Pittsburgh-area jobs); after all, US is the dominant or sole carrier at many small Pennsylvania airports.
It seems to me that there is a tough choice ahead. Bowing to pressure from US Airways keeps jobs in Pittsburgh but leaves the county on the hook for a lot of cash, not to mention keeping PIT airfares high. Telling Dave to take a hike means massive job losses (and the county''s still stuck with the debt) but opens an opportunity for more competition. I do believe that one of the discounters would come into PIT, with an operation of 50-100 flights after a few years -- but only if airport costs were under control, which is basically the whole issue now.
mrman,
Many in the CLT business community would beg to differ with you. I was at a Charlotte Chamber of Commerce luncheon just last week and there was a CEO of a large CLT area headquartered company that moved HQ here from Seattle a few years ago. He said the hub airport was a key factor in choosing CLT, and nonstop air service was an essential component they gave the relocation firm when choosing somewhere to go.
Say what you want about other Chambers, but I have been to both PIT and MCI, and will take the business environment in CLT anyday. It is nice to live in the second largest banking center in the country. Look at what the populations have done in CLT and PIT respectively in the past ten years, and then tell me which Chamber and local government is doing a better job attracting business and jobs for their city.
Many in the CLT business community would beg to differ with you. I was at a Charlotte Chamber of Commerce luncheon just last week and there was a CEO of a large CLT area headquartered company that moved HQ here from Seattle a few years ago. He said the hub airport was a key factor in choosing CLT, and nonstop air service was an essential component they gave the relocation firm when choosing somewhere to go.
Say what you want about other Chambers, but I have been to both PIT and MCI, and will take the business environment in CLT anyday. It is nice to live in the second largest banking center in the country. Look at what the populations have done in CLT and PIT respectively in the past ten years, and then tell me which Chamber and local government is doing a better job attracting business and jobs for their city.
ClueByFour
Veteran
- Aug 20, 2002
- 3,566
- 37
That''s kind of misleading. 10 or 20 years ago, PIT had nowhere to go but down, and CLT had nowhere to go but up.
20 or 30 years from now, NC will learn what happens when you give huge incentives to a small/select group of businesses. Or, to put it bluntly, look what happened to PIT with US.
20 or 30 years from now, NC will learn what happens when you give huge incentives to a small/select group of businesses. Or, to put it bluntly, look what happened to PIT with US.
Hello Newman
Senior
- Aug 23, 2002
- 376
- 0
Back in 2001, when AirTran dropped the PIT-PHL market, one of the PIT airport administrators was
quoted as saying and I''m paraphrasing " the people of Allegheny County supported USAirways on this route when they should''ve supported AirTran".
What a dumb statement for an administrator to make. It seems he''s intent on turning PIT into Amon Carter Field.
quoted as saying and I''m paraphrasing " the people of Allegheny County supported USAirways on this route when they should''ve supported AirTran".
What a dumb statement for an administrator to make. It seems he''s intent on turning PIT into Amon Carter Field.
