Delta: single large airline looking for Virgin partner

by Tom Johansmeyer on

I hope you haven’t become too attached to Virgin Atlantic. The airline has gotten its share of calls lately about potential mergers, but they are qualified with expressions like “early stages” and “far too early” to say anything about. This isn’t all that surprising, given the strength of its brand and the fact that the airline hired Deutsche Bank to help it evaluate its available growth opportunities.

Word on the street is that Delta is sniffing around, but neither Delta nor Virgin Atlantic would say anything about it.

The notion of a merger with an airline of Delta’s size is interesting, as majority owner of Virgin Atlantic, Sir Richard Branson, didn’t have much in the way of positive commentary for the British Airways/Iberia deal, which he believed would lead to higher prices and lower competition.

But, the aviation business is feeling the urge to merge, and analysts are saying that Virgin Atlantic needs a big buddy in order to compete effectively, the BBC reports.

[photo by eisenbahner via Flickr]

Which airline charged more than $500 million in cancellation fees?

by Tom Johansmeyer on

There isn’t as much money in cancellations as there is in baggage fees, it seems. So far, close to $2.6 billion has been charged for bags this year (with three quarters measured), and U.S. airlines have only racked up $1.7 billion in cancellation fees. And, as usual, there’s one culprit that consumes around 30 percent of this, with the top five airlines accounting for more than 80 percent of the cancellation fees charged in the United States so far this year, according to the Department of Transportation.

Curious? Well, the list will look pretty familiar to you, largely because the largest airlines are most likely to generate the most revenue from cancellation fees.

Delta wins this fee race, as it did baggage fees, with more than $530 million in cancellation fees, followed by American Airlines ($353 million), United Airlines ($243 million), US Airways ($192 million) and Continental Airlines ($181 million). JetBlue takes a distant sixth with $85 million, and the numbers only get (much) smaller from there.

Which airline made the most money on baggage fees?

by Tom Johansmeyer on

Last year, baggage fees were used by airlines to make up for lost fare revenue, as the recession kept people on the ground. This year, it’s just been a great source of extra revenue, as passenger traffic and fares are up – and the fees haven’t gone away. Almost all airlines are getting in on the action, some more egregious than others.

Well, data for the third quarter of 2010 is in, and we can finally take a look at who’s hitting us hardest … and for how much. The numbers will probably shock you. The top baggage fee-grabber owned close to 30 percent of the total baggage fees charged in the United States, a market that has reached $2.6 billion for the first three quarters of the year, and the top five dominate with approximately 80 percent of the total fees charged for bags, according to data from the Department of Transportation.

Let’s take a look at the top five airlines for baggage fee snatching (and then the rest):1. Delta Air Lines, $733 million: in fairness, Delta is the largest airline in the United States, so it’s to be expected that it will generate the most revenue.

2. American Airlines, $431 million: the third-largest airline hits the #2 spot for baggage fees, implying an aptitude for prying open customer wallets yet to be recognized by its competitors.

3. US Airways, $388 million: again, this is an impressive take, as evidenced by the distance between US Airways and Continental, in the #4 spot.

4. Continental Airlines, $258 million: this almost makes the airline look downright reasonable, especially when it’s year-to-date baggage fees aren’t even as substantial as what Delta raked in during the third quarter alone!

5. United Airlines, $239 million:

And, the rest:

6. AirTran Airways: $112 million

7. Alaska Airlines: $81 million

8. Spirit Air Lines: $56 million

9. Frontier Airlines: $44 million

10. JetBlue Airways: $43 million

11. Allegiant Air: $43 million

12. Hawaiian Airlines: $40 million

13. Virgin America: $27 million

14. Southwest Airlines: $23 million

15. Republic Airlines: $18 million

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16. Horizon Air: $13 million

17. Sun Country airlines: $9 million

18. Mesa Airlines: $2 million

19. Continental Micronesia: $2 million

20. USA 3000 Airlines: $2 million

[photo by The Story Lady via Flickr]

Airlines, airports and passengers: nothing but gains this year [INFOGRAPHICS]

by Tom Johansmeyer on

There are a whole lot more of us flying this year: 4.3 percent more, to be exact. That’s the increase in domestic air traffic from September 2009 to September 2010, according to the latest data from the U.S. Department of Transportation. In that month, U.S. airlines had 57.3 million passengers, leading to the largest year-over-year gain since September 2007. Meanwhile, international passenger traffic on U.S. flights surged 9.4 percent year over year.

For the first three quarters of 2010, scheduled domestic and international passengers were up 1.5 percent, suggesting that the recovery has gained momentum throughout the year. Domestic passengers gained 1 percent, with international passengers up 5.3 percent. Relative to 2008, though, passenger traffic is off 6.8 percent.

So, who wins? Of course, the airlines have had a relatively fantastic year, especially the worst of them. Delta, considered bottom of the barrel, surged from #3 in September 2009 to #1 in September 2010, with more than 9 million enplaned passengers, up 68.6 percent year over year (but don’t forget that the Northwest merger plays a role in this. Delta‘s also the top dog for the first nine months of the year for the same reason, followed by Southwest, American Airlines and United Airlines.


Atlanta Hartsfield-Jackson International Airport remains the busiest in the United States by a considerable margin. Close to 32 million passengers passed through in the first nine months of 2010, an increase of 1.1 percent year over year. Atlanta led Chicago O’Hare, which came in second, by more than 9 million passengers so far this year. For the greatest gains, look to Charlotte: it was eighth on the list but posted a growth rate of 6.5 percent YTD.

Las Vegas was the only airport in the top 10 for the first nine months of 2010 to post a year-over-year decline. The number of enplaned passengers dropped by a rather substantial 3.6 percent year over year, hardly surprising given the fact that the Las Vegas tourism business has been slammed by the recession. Also, outbound traffic from Las Vegas is likely constrained by the local economy, which has been battered pretty badly (as real estate prices indicate).


Even though the number of passengers increased for airlines and airports, the number of flights operated slipped 1.2 percent from the first nine months of 2009 to the first nine months of 2010. Likely, the airlines were tightening up their flights, making better use of available seats and cutting expenses.

[photo by Yaisog Bonegnasher via Flickr]

Are airlines bad for your health? Five perspectives on plane food

by Tom Johansmeyer on


Lately, it seems like the easiest way to lose weight is to fly regularly. There isn’t much to munch on in the skies, as airlines have cut back on just about anything that looks like an amenity. Fatty foods have been replaced by none at all, which is great for your waistline, right?

It turns out that you can still pork up on a plane, even if you think the dismal state of customer service leaves you with a barf bag and nothing to expel into it. DietDetective.com has done a bit of digging and rated the airlines with “Health Scores” to reflect the quality of their high-flying fare.

Even at 35,000 feet, the mighty have fallen. According to Charles Stuart Platkin, PhD, MPH, public health advocate, editor of DietDetective.com and visiting assistant professor at CUNY School of Public Health at Hunter College, “This year United provided the ‘healthiest” choices in the sky, while Continental had a fall from grace, US Airways received the lowest rating, and Virgin America and Delta were the least cooperative (and also received a low health rating).”

So, let’s take a look at five airlines and what makes them good for you … or not:1. United Airlines
United Airlines finally has something to celebrate: its grub. According to DietDetective.com, you can score a Tapas snack box on flights of two hours or longer – in fact, it’s the top seller. If your flight stretches to more than three hours, “United has a plethora of choices, but I really like the Turkey sandwich at 600 calories including the sauce and chips — skip those if you want to save the calories,” notes Platkin.

Finally, a reason to fly United!

2. JetBlue
It isn’t surprising to see JetBlue on the list, as it’s a perpetual high scorer in terms of customer service. The airline that treats you like a human being, it seems, also believes in feeding you like one. But, DietDetective.com warns you not to take advantage of the largess the airline provides: “Try to stick with no more than one snack. Just because they offer more doesn’t mean you have to take them, especially if you’re not hungry.”

Moral of the story: don’t let kindness turn you tubby.

3. American Airlines
The service may suck – the American Airlines flight attendants were singled out in a recent study of the worst airlines in the United States – but the “Boston Market Chicken Caesar Salad with chips and dressing is a pretty good meal choice.” If you go with the Cheese & Cracker Snack Tray, DietDetective.com advises, “[j]ust skip the cracker packages.

Oh, and steer clear of the beverage cart!

4. Delta Air Lines
Is it any shock that the worst airline in the United States was also the least cooperative with DietDetective.com? The company notes that Delta wasn’t helpful at all in providing nutritional information, adding, “I had to contact them repeatedly – they are back to their old ways.” You can do pretty well with the food, though: “Delta’s individual snack choices are not very good, but their meal choices on longer flights are reasonably healthy. Still, they can do much better.”

Warning: “Skip the turkey, egg salad and Canadian bacon croissant at all costs.”

5. Continental Airlines
There isn’t much here to celebrate, according to DietDetective.com. Go with the almonds, as “it’s really the only snack choice that has any nutritional value.” If you’re at a loss for other options, Platkin says that “if I had to choose, the Savory is probably the best — just watch that fruit-and-nut mix. In terms of meals, for breakfast, the yogurt is not too bad. For lunch or dinner, the Grilled Chicken Spinach Salad is the obvious best choice so long as you watch the dressing — that could put it over the top.”

Who cares? This is moot, of course, as a result of the merger with United.

[photo by WordRidden via Flickr]