Skybus orders 65 A319

[SP-LPB]

http://skybus.com/


COLUMBUS, Ohio, Oct. 26 -Skybus Airlines- the Next Generation of Low-Fare Airlines - announced today it has signed a firm contract to purchase 65 Airbus A319 jet aircraft. Skybus will launch nonstop service to major U.S. markets from its Port Columbus base of operations in the spring of 2007.

Another no-friller in US, is the market so promising?

[Matt Molnar]

I'd love to know who the investors in this outfit are and where they get their drugs. Oh wait, I see what must be one of biggest...Ohio taxpayers! According to the press releases on their site, the state of Ohio, the city of Columbus and the airport authority are pitching in about $34 million in grants and tax credits. Sad.

[Nonstop2AUH]

On the one hand, places like Columbus have suffered from a loss of service over the last few years as domestic majors have rationalized their route structures, so a start up like this can get alot of local support. It's very appealing to the local business community for someone to come in and say they are going to revitalize aviation and develop new links to whatever the place in question is that will stimulate the local economy, etc. etc. The powerpoints for such things always look fantastic to local civic and business leaders who are willing to throw money at it because they are naturally inclined to believe that Columbus (or wherever) can become a major business or tourist city if only the air service was what it used to be.

On the other hand, once such a carrier tries to expand beyond its natural and supportive hometown market it encounters alot of competition from legacy carriers and other more established LCCs and startups, which all have their own loyal customers and backers, people who generally have no interest in going to Columbus (or wherever).

So, I would say if the purpose is to fill a niche, i.e. restore service to Columbus, they may have a shot, but they seem to be ordering far more planes than that would require. If they are trying to build a Columbus-based national carrier, I can't see how it isn't just another Fly i.

[T-Bird76]

If Columbus had the base to support a hub or a focus city AWA would still be there along with others. The good news it however loads are very high, mainly because of cut backs so they might pick up some residual traffic which could bump their numbers at first.

That's the good news, the bad news is new planes need to be paid for, that's a huge albatross over you're head each month. The bad news is also LCC markets are drying up around the country as most major airports now have some kind of LCC service. Real revenue growth is in the expanding small cities around the country where many Asian companies are setting up shop. I still predict the mainline carriers will be the winners 10 years from now.

[hiss srq]

I think this airline will flop out before it is realized as a functional carrier to be honest. They are a dream carrier but I do not forsee much coming of them

[Nonstop2AUH]

Forgive me for resurrecting an old thread with even older info, but I have long wondered about why no one has done a US version of Ryanair with insanely low fares, and having found this article below, it seems like Skybus will be the first to try their hand. The concept, of course, is that the public generally accepts that flying is an uncomfortable, commodity experience and as such won't mind being crammed in like sardines if the fare is meaningfully cheaper than the already mediocre to poor experience available on other carriers for higher prices. When I first looked at the Skybus concept, thinking of it a a hometown airline for Columbus, I didn't quite think this made sense, but if you read the article and see who is apparently backing them they may well have a chance if they can undercut Southwest's fares and become the Ryanair of the US.

http://emergingairlines.blogspot.com/20 ... kybus.html (http://emergingairlines.blogspot.com/2006/03/profile-skybus.html)

[hiss srq]

Eeek another Ryanair! On top of that it looks like abba, the village people, and the spice girls got together to pain their fleet