Tuesday, December 28, 2010

Phoenix airport hopes to attract more airlines

The economy and other obstacles are hindering efforts to expand the repertoire of airlines at Phoenix-Mesa Gateway Airport (IWA/KIWA), the airline's board of directors was told last week.

John Barry, Gateway's business-development director, said the airport and its partners are aggressively pursuing other airlines to join Allegiant Air, which has built its Gateway operations into a major success story.

So far, there are no takers. "We're getting very close," Barry said, but he offered no specifics.

It's not that Gateway lacks advantages, Barry said. It costs less for airlines to operate there, and passengers like its convenience and small-town feel.

But the big players see no reason to set up shop in east Mesa right now.

"All of the major carriers (at Phoenix Sky Harbor International Airport) see no benefit at this point in time to setting up an operation at Gateway because they'd just be robbing themselves of passenger traffic at Sky Harbor," Barry said. "So it's a challenge."

To Mesa Mayor Scott Smith, a member of the airport board, it's a worrisome one.

"As much as I love Allegiant," he said, "I'm still very concerned that we have all our eggs in one basket."

Smith said it's not a matter of Gateway robbing business from Sky Harbor.

For one thing, he said, Allegiant's business model attracts people who wouldn't be flying otherwise.

For another, well-run reliever airports "generally don't cannibalize major hub airports, they actually expand the market, which only benefits the major hub."

Barry said Gateway is roughly in the same stage of development as was LA/Ontario International Airport 30 years ago. "Look at them today," he said. "There's dual service, complementary service, both to LAX and Ontario."

But since that's unlikely here for the time being, Barry said Gateway is seeking smaller airlines that cater to leisure travelers, carriers not presently serving Sky Harbor and charter operators.

He said the airport continues to woo Virgin America of San Francisco, which serves destinations on the East and West coasts and in Mexico, and USA3000 of Philadelphia, which flies from the East and Midwest to Mexico and the Caribbean.

Lynn Kusy, airport director, said Gateway expects to handle about 80,000 passengers this month and approach 800,000 for the year. Monthly passenger counts continue to exceed year-ago numbers because Allegiant is steadily adding destinations from Mesa — 27 of them at this point.


(Gary Nelson - The Arizona Republic)

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