US airlines, in a rush to fill the void left by defunct National Airlines, plan to launch new services to Las Vegas. Questions remain on whether they will succeed where National did not.
National ceased flying earlier this month after operating under bankruptcy protection for almost two years. The carrier operated 18 Boeing 757-200s from Las Vegas to 11 US cities.
After National's exit, low-fares operator JetBlue Airways accelerated the launch of its planned new service between New York Kennedy and Las Vegas to 15 November, complementing its Long Beach-Las Vegas flights.
Spirit Airlines announced its intent to serve the Chicago O'Hare-Las Vegas market from 19 December. It already flies non-stop from Detroit to Las Vegas.
The two carriers will face competition from America West Airlines, which operates non-stop flights on 10 of the 11 routes formerly served by National. The carrier will serve the 11th route, between Las Vegas and Washington Dulles, from December. It says it is "looking at all possibilities" for future expansion from Las Vegas.
America West chief executive officer Doug Parker told analysts last week that the demise of National could provide it with up to $30 million in "annual profitability" as it accommodates National passengers. "Any time a low-fare competitor shuts down in a hub, the spoils go disproportionately to the hub operator," says JP Morgan analyst Jamie Baker.
America West is also one of a long list of carriers seeking government permission to take over National's two slots at Washington National Airport.
It remains to be seen if these services will prosper. The airport admits it has "a lot of seat capacity going to the various places National flew", but not enough to Kennedy, Miami and Philadelphia. It insists that despite National's bankruptcy, the carrier's loads "were always very solid".
Southwest Airlines has been in growth mode at Las Vegas and sees no reason to change strategy.
Source: Flight International
