US Airways leaving Worcester
Wednesday, January 22, 2003

By Lisa Eckelbecker and Nick Kotsopoulos
Telegram & Gazette Staff

WORCESTER-- US Airways reported yesterday it will end service to Worcester Regional Airport on Feb. 8, which will leave the beleaguered airport with no commercial flights.

Slow ticket sales and a need to cut expenses for a bankruptcy reorganization plan forced the nation's seventh-largest airline to eliminate flights to Worcester and Columbus, Ga., a spokesman said.

“Demand just doesn't exist,” said David A. Castelveter of US Airways. “We're not filling airplanes, and we're not making money.”

Thirteen local US Airways employees will lose their jobs, according to the airline. Airline officials will also contact passengers who have reservations after Feb. 8 to book them on other flights or offer refunds.

Airlines have struggled at Worcester Regional Airport in recent years as area residents have used airports in Boston, Manchester, N.H., Warwick, R.I., and Windsor Locks, Conn.

But the departure of airlines accelerated after the 9-11 terror attacks and the nation's economic downturn devastated air travel. Pan American Airways, American Eagle and ASA/Delta Connection all ended flights to Worcester last year.

US Airways will halt all three of its daily round-trips between Worcester and Philadelphia. The flights, on Dash-8 turboprop airplanes that seat 37 passengers, have been flown by US Airways' wholly owned subsidiary, Allegheny Airlines Inc. of Middletown, Pa., which flies under the name US Airways Express.

City Manager Thomas R. Hoover said last night he learned of the airline's decision yesterday afternoon when he was contacted by U.S. Rep. James P. McGovern's office.

Mr. Hoover said he has requested a meeting with officials of Massachusetts Port Authority, which runs the airport for the city.

“We need to sit down with Massport to discuss what options are available for the airport,” the manager said in an interview.

Mayor Timothy P. Murray said Mr. McGovern has indicated that he would like to arrange a “summit” on the airport's future and involve city officials, state legislators, airline representatives, representatives from the appropriate state and federal agencies, and the local business community.

The City Council last night asked the city administration for reports on the status of airport and Massport's plans for it.

Councilor-at-Large Konstantina B. Lukes pointed out there is about one more year left in the city's agreement with Massport to run the airport. She said having no passenger air service could give Massport reason not to continue its involvement there.

“Clearly we have to have some significant concerns with Massport and its future involvement at the airport,” Mrs. Lukes said.

She added that because the city has accepted more than $34 million worth of federal and state grants for improvements at the airport in recent years, it simply cannot close the facility. She said it would be compelled to run the airport as a general aviation facility for a period of time.

During November and December, the US Airways' Worcester flights were only about 50 percent full, according to data collected by Massport.

“Given the condition of the airline industry, it's not entirely surprising but it's extremely disappointing,” Jose M. Juves, Massport spokesman said of US Airways' decision. “Along with the city of Worcester, we'll continue to look at what the options are in terms of luring an airline to the airport, but in this economy, it's an uphill battle.”

If leisure and business travelers have not flocked to the airport, it is partly because airlines, despite some good efforts, have never been able to consistently offer all the things that matter most to area travelers, said Mark L. Love, president of the Worcester Regional Chamber of Commerce. Travelers, he said, want jet flights, reliable service, attractive destinations, convenient arrival and departure times and competitive fares.

“If you look back, unfortunately the airport has almost never had all five,” Mr. Love said. “That's the combination that's got to be met.”

The region's political leaders issued a joint statement last night saying they would continue to work to make the airport a success.

“Today we call for a summit of federal, state and local officials, as well as Massport, airline representatives, leaders from the business community and other interested parties to have an open and honest discussion about the airport's future,” said a statement from U.S. Senators Edward M. Kennedy and John F. Kerry, Mr. McGovern, Mr. Murray and Mr. Hoover.

Although the departure of US Airways will end commercial flights at the airport, it will not end all trips there. The airport continues to serve general aviation, which includes corporate jets, air taxis and other types of noncommercial flights.

US Airways Group Inc. of Arlington, Va., filed for Chapter 11 bankruptcy protection last August after losing almost $2 billion in one year. The company has been working on a fast-track reorganization in hopes of emerging from bankruptcy in March.

Mr. Castelveter said the airline had originally thought it could meet its financial goals by cutting $1.2 billion in expenses annually. But travelers have not returned to the air as projected, resulting in lower-than-expected revenues, and US Airways has instead increased its cuts to about $1.8 annually, he said.

Copyright 2003 Worcester Telegram & Gazette Corp.
==========
**NOTICE: In accordance with 17 U.S.C. Section 107, this material is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes.** ==========