September 22, 2006

Skybus

As it prepares to begin flying next spring, fledgling low-cost airline Skybus Airlines will expand its Columbus operations with the help of incentives local and state officials are set to announce Friday. The Columbus-based company plans to add a corporate headquarters, aircraft hangar and flight operations facility at Port Columbus International Airport, creating nearly 900 jobs, according to the state.

The state plans to provide a $16 million package of incentives to help the airline get started. The economic impact of the airline's expansion in the region could be $1 billion a year, according to early state estimates. "This is the best economic development project in central Ohio in probably a decade," said Lt. Gov. Bruce Johnson, who also is the state development director.

The airline has said it plans to fly to 25 cities from its Columbus hub, using a low-cost, low-fare model aimed at competing with Southwest Airlines and other no-frills carriers. But spokesman Bob Tenenbaum said Skybus has a business plan that's all its own. "This is not Southwest," he said. "They have their own business plan designed to work in Columbus and the other markets they're going to serve."

Tenenbaum declined to comment on the details to be announced Friday. He said the airline has spent two years raising money. He said the cities to which Skybus will fly won't be announced until at least January.

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