Airlines Archives - Los Gatos News And Events

JetBlue CEO first witness in U.S. lawsuit in opposition to 2 airways

Tue, 03 Jan 2023 14:42:41 +0000

Government lawyers used airline executives’ own words in trying Tuesday to persuade a federal judge to kill a partnership between American Airlines and JetBlue Airways.

The government argued that the deal is, in effect, a merger that will cost consumers $700 million a year in higher fares. It said JetBlue’s pending purchase of Spirit Airlines will make matters even worse for travelers.

JetBlue CEO Robin Hayes was the first witness in the trial in federal district court in Boston over the federal government’s antitrust lawsuit against American and JetBlue. The airlines are coordinating schedules and sharing revenue from flights in the Northeast, including New York-area airports.

Hayes was quizzed about his own previous statements criticizing joint ventures involving other airlines and a 2019 comment that the airline industry “has never been more concentrated than it is today,” which he said led to higher fares and poor service.

Hayes testified that regulators had not imposed enough limits on those deals. He contrasted them with the pact between American and JetBlue, which he said involved no cooperation on setting prices.

In another 2019 memo, an American Airlines executive vowed that his company would fight JetBlue for supremacy in Boston — even using a metaphor of swinging baseball bats.

“We know how the story ends,” said William Jones, the lead attorney for the Justice Department. “Rather than continuing to slug it out, American and JetBlue decided to collaborate rather than to continue competing.”

Lawyers for American and JetBlue countered that the government has presented no evidence that their alliance — in place for 18 months now, since it was blessed by the outgoing Trump administration — has harmed consumers or resulted in higher fares. They said that it has allowed the airlines to add 50 new routes and create a stronger competitor to Delta and United.

The airlines’ lawyers said that the Justice Department sued prematurely instead of taking a wait-and-see approach.

“Most cases don’t get brought until there is some tangible evidence that the practices are doing harm,” said Daniel Wall, a San Francisco lawyer who is leading American’s defense.

Wall challenged the government’s claim that previous airline mergers — about a half dozen over the last two decades — have led to higher prices.

Transportation Department data from the first quarter shows that the national average fare declined 29% in the last 10 years and 36% in the last 20 years, after adjusting for inflation. While consolidation has eliminated famous aviation names such as TWA, Continental and Northwest, new low-fare airlines — including JetBlue — have pushed fares lower over that period.

The Justice Department and six states that have joined its lawsuit plan to call a Georgetown University economist who will testify that the American-JetBlue deal will reduce competition and cost consumers $700 million a year.

“And it stands potentially to get worse with JetBlue’s announced acquisition of Spirit Airlines,” Jones said.

The Justice Department is currently examining JetBlue’s proposed $3.8 billion purchase of Spirit. Jones’ comments indicate that regulators could take a dim view of the acquisition, which would mean the end of Spirit, the nation’s biggest discount airline.

The Biden administration has pushed to aggressively enforce antitrust laws, but it lost two major cases last week. The Justice Department failed in bids to block a merger of two big sugar refiners and an acquisition by health insurer UnitedHealth Group.

Associated Press writer Marcy Gordon in Washington, DC, contributed to this report.

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United Airways San Francisco – Brisbane Nonstop Makes Historical past

Mon, 31 Oct 2022 12:41:04 +0000

Following in the wake of legendary aviation pioneer Sir Charles Kingsford Smith, United Airlines made aviation history this morning in Brisbane. When United Airlines UA96 touched down at Brisbane Airport (BNE), it became the first scheduled nonstop passenger service by a US carrier from the mainland USA to Queensland, Australia.

A route started 94 years ago

In 1928 Charles Kingsford Smith (after whom Sydney Airport is named), born in Brisbane, piloted the first transpacific flight between the USA and Australia, flying a Fokker F.VII/3m named the Southern Cross. That flight departed from Oakland, California, and landed at Brisbane Airport, with stops in Hawaii and Fiji.

SIMPLE FLYING VIDEO OF THE DAY

United Airlines UA96 took a similar path this week, without the stops, departing from San Francisco International Airport (SFO), which is around 11 miles (18 kilometers) from Oakland.

Photo: Brisbane Airport

Today the Boeing 787-9, registration N29984, touched down at 06:25 AM and Brisbane Airport Corporation CEO Gert-Jan de Graaff was on hand to greet it. De Graaff said the route Kingsford Smith and his crew of four pioneered will now deliver thousands of tourists to Queensland, but much more quickly.

“That first pioneering journey took 83 hours and 38 minutes, now it’s a 13:45 hour flight. And the historic Southern Cross aircraft sits opposite our international terminal where United Airlines docked this morning.”

Across the road from the terminal is the Kingsford Smith Memorial, where the preserved Southern Cross airplane is on display.

United has Australia well connected

United will operate the San Francisco – Brisbane service three times weekly. United UA96 will depart on Wednesday, Friday, and Sunday, with the return UA97 leaving Brisbane on Tuesday, Friday and Sunday. The launch of San Francisco to Brisbane flights means United now has direct connections from the US to Australia’s three largest capital cities. The airline already connects Los Angeles International (LAX) to Melbourne (MEL) and Houston (IAH) to Sydney Kingsford Smith Airport (SYD).

Marking the occasion, the 250 passengers onboard today’s flight experienced a little bit of Queensland as they left the US. Each passenger got a travel pack that included uniquely Australian snacks, a plush koala bear, and a pass for a koala patting experience at a Brisbane koala sanctuary.

Before COVID, the US was Queensland’s third largest inbound travel market, with around 236,000 visitors annually. United’s new service will add about 40,000 seats and a projected AU$27 million ($17.3 million) to the state’s visitor economy.

Photo: Brisbane Airport

SVP of global network planning Patrick Quayle said United is the first US airline to add a new transpacific destination to its global network since the start of the pandemic. He added:

“United has a long history in Australia, and with our new partnership with Virgin Australia, now is the ideal time to expand our service and offer additional convenient flight options to our customers on both sides of the Pacific.”

The partnership means Virgin Australia can directly connect United passengers to its Australian domestic network of more than 30 destinations. Brisbane Airport is Australia’s most connected domestic hub, giving the arriving passengers direct flights to 53 locations around the nation, including the gateways to the Great Barrier Reef and North Queensland. It is also the only Queensland airport with scheduled services to the US.

What do you think of this new route, and are you looking forward to flying over the Pacific soon?

United Airlines

IATA/ICAO code: UA/UAL

Airline type: Full service carrier

Stroke(s): Chicago O’Hare International Airport, Denver International Airport, Guam International Airport, Houston George Bush Intercontinental Airport, Los Angeles International Airport, Newark Liberty International Airport, San Francisco International Airport, Washington Dulles International Airport

Year Founded: 1931

Alliance: Star Alliance

CEO: Scott Kirby

Country: United States

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United Continental Holdings (UAL) – This is Why Virgin Galactic, Sundial Growers And United Airways Are Shifting

Tue, 20 Apr 2021 23:38:52 +0000

Virgin Galactic Holdings Inc. (NYSE: SPCE) Stocks trade lower on persistent weakness after Richard Branson cut his stake in the company by $ 150 million last week. Movement can also be related to general market weakness.

Virgin Galactic is a US-based vertically integrated aerospace company pioneering human space travel for individuals and researchers, and manufacturing advanced aircraft and spacecraft. With its technologies, the company is developing a space system that offers its customers a unique, multi-day and transformative experience.

Sundial Growers Inc. (NASDAQ: SNDL) stocks will trade higher on Monday on the sustained momentum after the U.S. House of Representatives voted to pass the SAFE bill that would allow banks and other financial services firms to legally service cannabis companies.

Sundial Growers produces and markets cannabis for the adult market. The company’s main focus is on the manufacture and sale of inhalable products and brands.

United Airlines Holdings Inc. (NASDAQ: UAL) shares trade lower after the company reported worse-than-expected EPS and sales results in the first quarter.

United Airlines is the third largest airline in the world by passenger miles with planned revenue. United’s hubs include San Francisco, Chicago, Houston, Denver, Los Angeles, New York / Newark and Washington. DC United operates a hub-and-spoke system that is more focused on international travel than older peers.

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