JetBlue TrueBlue - JetBlue To Move [Some Major Ops] To Orlando?

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Orlando Sentinel (http://www.orlandosentinel.com/business/orl-bizjetblue30073003jul30,0,3059530.story?coll=orl-business-headlines)

Interesting. I wonder if MCO fits their business model. Flights are already inexpensive to MCO from the NY area. I wonder if JetBlue will think it's worth it. I imagine that the fare are also competitive from the DC area. But who knows.

JetBlue already has eight or nine [?] non-stops a day from MCO. From what I understand JetBlue has plans on serving LGB and possibly OAK from MCO in the [somewhat near IIRC?] future.

As JetBlue already has all of their new jets shipped to MCO to install all of the PTV equipment as well as for minor maintenance, and considering the incentives the city is offering it would be a pretty smooth transition to move all major maintenance and training there, it would seem.

I don't think the lower general yields at MCO are that big of an issue for the LCC's particularly considering that WN has over 65 non-stops a day to over 25 destinations and AirTran has some 60 non-stops a day to 14 destinations. Is the LLC market for MCO over-saturated? I don't know, but the average total LF for all flights out of/into MCO over the last year or so is over 88% IIRC.

Virgin just added a third daily MCO-LGW non-stop in addition to BA's daily MCO-LGW non-stop. That's over 1500 seats a day MCO-LGW not even counting charters. It would appear that the tourism industry is beginning to return somewhat normal levels. Perhaps JetBlue is seeing this as the time to expand at MCO. Perhaps they just want the free money the city is offering?

The hopes of the city to lure away the actual corporate HQ are a less certain matter IMHO.




[This message has been edited by anrkitec (edited 08-12-2003).]

JetBlue staff @ MCO are the greatest! http://www.flyertalk.com/forum/smile.gif

-Chris

I doubt it. Heavy checks are farmed out so the hangers only use would be smaller items which should be handled at a station where they run a greater percentage of their aircraft.

I think they are trying to get a better deal from NY so they are running them against each other. IIRC NY has already given them a $50 very low interest loan to build a 3 a/c hanger at JFK.

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by anrkitec:
JetBlue already has eight or nine [?] non-stops a day from MCO. From what I understand JetBlue has plans on serving LGB and possibly OAK from MCO in the [somewhat near IIRC?] future. </font>

I was not aware of that. Thanks for the clarification.

With Delta/Song, airTran, and Southwest all having a very major prescense in Orlando, do not look for anything outside of MCO-JFK for a long time.

A maintence base does not mean anything for more service. Among other maintence bases, AA has one at AFW (Ft. Worth) that has no commerical service, and other bases at Tulsa and Kansas City, again not big with AA service.

United, until recently, had a maintence base in Indianapolis, Indiana.

jetBlue currently offers eight dailies on MCO-JFK and while they will add one or two flights in the winter, that is the extent they will expand at MCO. No IAD or OAK anytime soon. They talked about LGB, but they have a good number fewer slots than they were originally planning and they are concentrating on higher-yielding markets like IAD, JFK, and FLL. FLL will be thier centre for growth in Florida, so look for a lot of growth, especially now that the LGB slots are all used up.

You were correct (http://investor.jetblue.com/ireye/ir_site.zhtml?ticker=JBLU&script=410&layout=-6&item_id=439055)

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by MAH4546:
A maintence base does not mean anything for more service.</font>

I agree with this, but it does mean CONTINUED service. I am a primarily TUL based flyer these days, and even with AA's slashing STL, we will still get plenty of service from DFW. In fact, on Nov 1, AA will decrease AEagle service and increase mainline. Can you believe it???? A market that is actually getting MORE mainline service???!?!?!?! Although the base at MCO doesn't mean B6 is going to turn into WN at that station, but it does mean they are committed to this market.

And as for the possibility of additional flights and routes into MCO by JetBlue:

'JetBlue's Blueprint Calls For More Florida Flights.'

Orlando Sentinel (http://www.orlandosentinel.com/business/tourism/orl-bizjetblue07080703aug07,0,5969648.story?coll=orl-business-headlines)

"JetBlue's president said the airline's planned $160 million flight-training center and maintenance facility at Orlando International Airport could be the first of several expansions throughout Florida."

"The bargain-price carrier may eventually base crews in Orlando and add flights from smaller markets such as Daytona Beach, Melbourne and Tallahassee, Dave Barger said. Currently, it flies to five Florida cities: Orlando, West Palm Beach, Fort Lauderdale, Fort Myers and Tampa."

MAH4546,

The error in analysis seems to be that Jetblue is looking at this as a strategic decision and making longterm bets. They seem to be willing to wait for the smaller jets to come in a few years and use the local markets.

All in all I think it is a great move for B6. One more city that is now interested in their success and politically one more state ally to support them.

JetBlue today announced plans to add at least three new gates to their ops at MCO.

Orlando Sentinel (http://www.orlandosentinel.com/business/orl-bizjetblue18031804mar18,1,3988586.story?coll=orl-business-headlines)

They currently serve JFK [x9/day] and BOS [x4/day], I am guessing that they will add LGB, SJU, and possibly IAD and OAK in addition to several smaller cities using the RJ's.

Registration is required for the above link

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by MSP2000:
Registration is required for the above link</font>

Hmm, my same login/password works on all Tribune e-newspapers; L.A. Times, Chicago Tribune, Orlando Sentinel, etc.

A few key excerpts from the article:

"It [JetBlue] has agreed to take three of six additional gates planned for one of Orlando International's four satellite terminals in late 2005, the airport's senior executive said Wednesday."

"JetBlue, a low-fare carrier with upscale extras such as live television, currently has 3 percent of the Orlando market, offering 13 flights a day from a single gate in Airside 2."

"At that rate, JetBlue could manage 50 flights a day once the additional gates open."

"Bill Jennings, executive director of the Greater Orlando Aviation Authority, said he doesn't know how many flights JetBlue would add initially but he expects the airline to serve midsize markets as well major cities."