Thursday, July 23, 2009

$9 fares never got off the ground-23 July, 2009

$9 fares never got off the ground

Jet America promised $9 fares but never flew a single flight and the company is now processing customer refunds.
What happened?
“The main problem for the fledgling airline was its inability to purchase landing slots at Newark Liberty International airport. Liberty was due to be a main hub for JetAmerica's flights to and from markets it thought were ‘underserved’—places like Lansing, Michigan; Vero Beach, Florida; South Bend, Indiana; and Toledo, Ohio,” said the Economist.
If the $9 price was any indication those markets were underserved, the cheap promo fares sold out quickly. But the entire plan was contingent on Newark.
The first sign of trouble was when the airline delayed its first flights from July 14 to August 13.
“There is a reason places like Lansing, Michigan, Vero Beach, Florida; South Bend, Indiana, and Toledo Ohio is underserved. No one wants to go there,” wrote one blogger.
Report by David Wilkening

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