Air Transport World

U.S. new entrants. (airline industry report)

Air One: Offering "first-class service at coach prices," the new entrant launched scheduled service on April 1, 1983, from a St. Louis hub and by year's end had flown 142,478 passengers and 153 million RPKs in its fleet of seven Boeing 727-100s and two 727-200s.

Air One's initial service was to Newark, Washington National, Dallas/Ft. Worth and Kansas City. In April 1984 it expanded its route network to Houston and Los Angeles, and later this spring it will begin flying to Boston, Philadelphia and LaGuardia. By the end of this year, it plans to be serving 12 cities with a fleet of 15 aircraft. It is forecasting that it will fly 300,000 passengers and 460 million RPKs during 1984.

Air One's yearend financial ledger showed revenues of $19.9 million and expenses of $40.9 million for an operating loss of $21 million.

In recent personnel changes, founder Mark G. Morris has been elected CEO in addition to his position as president, and James C. Johnston has been promoted to executive VP.

American International: The former charter carrier, which launched scheduled operations to Atlantic City in December 1982 and shifted almost totally to scheduled service in the fourth quarter of 1983, flew 374,809 passengers and just under 400 million RPKs in its scheduled services last year, achieving a 62.5% load factor.

In January 1984, American International created a second hub at Philadelphia International Airport and saw an immediate large increase in its traffic. It expects Philadelphia to become its major hub.

In March 1984, Bruce B. Edmondson was named president and chief operating officer.

For the fiscal year ending Nov. 30, 1983, the carrier reported an operating loss of $8.9 million and a net loss of $11. …

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