Boeing has hinted strongly that it is committed to continuing with the former McDonnell Douglas MD-95 and is likely to introduce derivatives of the 100-seat aircraft. The news comes as ValuJet - the only MD-95 customer so far, with 50 on firm order - says that it expects to exercise its options on 50 more aircraft.
Airline president Joseph Corr, having relaunched ValuJet with a new name (AirTran Airlines) and a new strategy, says that he has been assured that Boeing will deliver its MD-95s on schedule, beginning in June 1999. "It is our intention to exercise the 50 options, making this a $2 billion order," he adds.
Boeing senior vice-president for the MD-95, Jim Philips, confirms that the programme is "moving forward", and that consideration is being given to "additions to fill out the family". The company says it is looking at variants as small as an 80-seater and as large as a 120-seater.
A final decision on which of the former McDonnell Douglas airliners will be included in the Boeing product line is expected in early November, although Boeing has confirmed that it is committed to fulfilling the ValuJet order.
A decision by Boeing to build an MD-95 family would have serious implications for several rival airframe builders which are considering developing regional jets in the 70- to 90-seat market.
With the demise of the ValuJet name comes a major change in the Atlanta-based airline's strategy. As part of its merger with Orlando-based AirTran Airways, which will be completed in November, the renamed AirTran Airlines will try to attract more business passengers.
For the first time, the carrier will offer a business-class cabin and pre-assigned seating. Business fares will be substantially below those of the US major carriers, but there will be no meal service. "Our goal is to offer business-class service that any business can afford," says Corr.
AirTran is not alone in hoping that the budget-conscious business traveller will change the fortunes of what has been a grim year for US low-cost operators.
Kiwi International, which only recently emerged from Chapter 11 bankruptcy protection, is adding Boston to its schedule and is increasing the number of New York-Newark to Florida flights.
Kiwi says that its fares between Newark and Boston will be 30% lower than those of the majors, bringing a "level of sanity" to fares in that market.
Source: Flight International
