August 24, 2006

Allegiant/Portsmouth Update

PORTSMOUTH -- A year after Allegiant Air arrived with great fanfare and hopes, the Pease Development Authority is in negotiations with the airline to keep it flying in and out of Pease. On Monday, Allegiant's chief executive officer, Maurice Gallagher Jr., told Worcester, Mass., officials that the airline was stopping flights from Worcester Regional Airport on Sept. 3 due to escalating fuel costs.

Michael O'Brien, the Worcester city manager, said the Las Vegas, Nev.-based economy airline also planned to stop service to Pease. But Suzanne Bresette, a spokeswoman for the Pease Development Authority, told the Herald Wednesday that O'Brien's remarks were "premature" and "not verified." Bresette, of the Portsmouth-based communications firm Bresette & Co., said Allegiant Air and the PDA "are still in negotiations" and that no final decision has been made but one will be announced "soon." Representatives from Allegiant Air did not return calls seeking comment.

Since August 2005, when Allegiant began round trips four days a week between Pease and Sanford International Airport, near Orlando, the privately-owned airline has announced plans to take the company public and has expanded service to eight Midwestern cities. "We have great confidence our airline will work well for Portsmouth," said Tyri Squyres, Allegiant's director of corporate communications, in August 2005. "We are very committed to the area."

In addition to waiving Allegiant's landing, passenger and counter fees at Pease for two years, the PDA said at the time it would spend $100,000 in a cooperative marketing partnership with Allegiant Air to highlight the new service and the airport

5 comments:

Anonymous said...

Now that Allegiant has made their announcement to leave, it would be interesting to view the July Airport Commission minutes.

Bill Randell said...

Paul:

I was thinking the same thing.. Funny I was asking for the Allegiant passenger numbers at the end of June and our airport liaison did not want to give them to me. Now I know why.

Anonymous said...

Charlie, do we still get the $1M for meeting the 10,000 PAX mark and if so when?

If you do not know, then how can we find out?

$1M is a lot of dough for ORH to be poss. losing out on.

Anonymous said...

I would love to see an airline take this as a no-competition sign, and really work to make something happen here.

I think ORH is certainly going to have to sweeten the pot, perhaps a bit more on the advertising subsidy while continuing to waive all associated fees.

Festival is my number one choice for a carrier, as I don't see much more than vacation possibilities.

Bill Randell said...

Anonymous:

Do you really think an airline will see this as a no-competition sign?? We haven't had any competition for the two years prior to Allegiant being here for 9 months.