Showing posts with label airlines. Show all posts
Showing posts with label airlines. Show all posts

27 January 2010

Business Leaders Form Regional Air Alliance to Bring Cheaper Fares, Better Connections to Grand Rapids Airport

mLive



If a group of West Michigan business executives have their way, airline flights out of Grand Rapids soon will be cheaper, more abundant and able to connect passengers to anywhere in the world.

That's the goal of the new Regional Air Alliance of West Michigan, an initiative launched today at a press conference in downtown Grand Rapids and led by Dick DeVos. It also includes Meijer Inc. and The Right Place Inc.

"From this point forward, we want to be sure that no one is forced to drive to Chicago or Detroit anymore," said DeVos, president of the Windquest Group, a former gubernatorial candidate and son of Amway co-founder Rich DeVos.

The efforts involve CEOs and company executives from Grand Rapids, Lansing, Kalamazoo and Traverse City who plan to launch an aggressive marketing campaign aimed at keeping airlines already operating out of Gerald R. Ford International Airport, and attracting new low-cost service.

"The cost of flying out of Grand Rapids has been historically higher than it needs to be to compete," DeVos said.

That's because competition for airline service is fierce, said Gerald R. Ford Airport Director James Koslosky.

"There are 200 to 400 similarly situated communities and regions that are literally competing for every airline seat we have landing here at this airport," he said. "Given the current airline economics and given the economy where we are, those are scarce resources."

The problem, he said, is compounded by the fact that all those markets want the same thing -- low fares, international connections and networked domestic service to all of those airports.

And they want that from airlines that have cut capacity and consolidated systems, but still lose money, Koslosky said.

Gerald R. Ford Airport currently commands about 65 percent of passenger travel from a market that includes airports in Lansing, Kalamazoo and Traverse City.

But the airport is still "under served" despite having seven long-established airlines and low-cost carrier Allegiant Airlines, which operates direct flights from point to point and does not fly every day.

"We need a low-fare carrier that serves both leisure and business travelers and goes to a focus city and feeds out of that city to other markets," Koslosky said.

Birgit Klohs, president of the economic development group The Right Place Inc., said when talking to existing or potential customers, the frequency, cost and connectivity of air service is always "90 percent plus" a part of the conversation.

"We are dealing really in a global economy; many of our local companies do business overseas," Klohs said. "We cannot afford not to have world class service in and out of here at prices people can afford."

19 March 2009

State News In Brief

Countrywide Settling, Gannet Punishing, Luggage Missing
As Originally Posted to The Detroit News

AG: Countrywide pays $6.7M of settlement
DETROIT -- Nearly $10million from a state settlement with mortgage lender Countrywide Financial Corp . will go to about 3,700 borrowers who lost their homes to foreclosure, Michigan Attorney General Mike Cox announced Tuesday. Cox said at a news conference in Detroit that he and six other state attorneys general negotiated settlements with Countrywide. He said 3,697 people, with sub-prime and pay-option adjustable rate mortgages between Jan. 1, 2004 and Dec. 31, 2008 and later, who lost their home each will receive
$1,800. The $6.7 million makes up two-thirds of the settlement with Countrywide. The state worked with Bank of America Corp ., which now owns Countrywide, to identify the borrowers for the payments. "It's meant to provide real money, real relief, for some of the practices Countrywide engaged in," Cox said.
Gannett slashes CEO bonus by 50 percent

Gannett Co ., the publisher of the USA Today newspaper and the Detroit Free Press, slashed CEO Craig Dubow's bonus and salary amid plunging advertising revenue. The McLean, Va.-based company cut Dubow's bonus for his 2008 performance by 50 percent to $875,000, according to a proxy filing Tuesday. The CEO on Nov. 1 voluntarily reduced his annual salary by 17 percent to $1 million, effective for the final two months of 2008 and all of this year. The company also halved CFO Gracia Martore's bonus to $300,000, while keeping her $700,000 salary.

Airlines - Luggage mishandling on the rise at airlines

Airlines' luggage mishandling increased 24 percent to 42 million bags worldwide in 2007, with

about 1.2 million items irretrievably lost, the Air Transport Users Council said. The number of checked bags

arriving late, sent to the wrong destination, damaged or lost entirely may increase 67 percent to about 70 million a year by 2019, based on annual passenger numbers that are

estimated to double in the next decade, the London-based consumer group said Tuesday.

Carriersneed to improve compensation to people whose bags are lost, the group said.