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Old Nov 24, 10, 5:26 pm   #1
 
Join Date: Jun 2009
Posts: 864
ACY posting big gains this year

http://www.philly.com/philly/busines...this_year.html

I wonder if WN will keep the 2 daily ACY-ATL continuing. Note: the FL route offers connections to most of FL's network which is larger than NK's network.

It should be noted that AirTran does receive some subsidy on the route. Last year FL received $2 million (according to Press of Atlantic City Sep article). Spirit Airlines also receives subsidy for its Boston flight.

So some of these gains from low fares are from subsidies. Subsidies coming from the ACY Expansion Coalition - private enterprises (casinos).

Southwest seems to have about 6-7 departures minimum from the cities it services, so 2 seems very low.

a. Can WN be content to stay at ACY with the current subsidy, and 2 ATL departures

b. Can WN add more departures via not getting a subsidy or would it only be viable with a subsidy

b1. If so, WN could add more flights/routes, but would WN even want to do that with PHL somewhat closeby. Pax traveling to ACY to fly WN could just mean Pax not traveling to PHL to fly WN at PHL.

c. WN mentioned being in multiple airports can be operationally more expensive. Would WN be in a better position in the region if it left ACY, but just shored up at PHL and EWR. Perhaps new routes: PHL-MKE nonstop, PHL-CLE nonstop. i.e. rather than having more MDW, BNA or ATL frequencies, spawning from two airports (PHL and ACY), have more city destinations but all from 1 airport (i.e. PHL).
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