air and cruise travel miscellaneous

Airline Consolidation Ongoing

The consolidation, cuts, bankruptcy of airlines is still ongoing as these companies are seeking ways to survive the almost $150 a barrel oil price-tag. The restructuring has a big impact on the life of many people who are directly affected by the restructuring. Obviously the first ones to feel the pinch are the people who  might loose their jobs. Secondly are the people who depend on the traveling public.

Aruba is no exception to the rule as the seat capacity is continuously reduced as airlines struggle with jet fuel cost. Thus far the biggest cut is coming from Aruba’s most secure and biggest airline partner: American Airlines. This air carrier has always enjoyed a privileged position above many other because the long standing relationship with Aruba. A major problem with American Airlines is that this company has the oldest fleet-age of all major airlines in the world. Old planes are highly inefficient on fuel. As long as American Airlines don’t fix this problem, it will face hardship. It doesn’t look good either for the American Airlines-jobs in Aruba.

First Choice Airways adding flights to Aruba

Not all is bad however. First Choice travel charter announced recently it was adding an additional flight from the UK. This seasonal flight will depart from Birmingham International and fly directly to Aruba. This flight will be added to the already existing First Choice winter schedule flights from London Gatwick and Manchester International. With the dollar being at an all time low against major European currencies, the Caribbean islands are considered to be more affordable for the British as the pound sterling is stronger. Packages include a two week £1,277 Tamarijn All Inclusive stay for example. For more information visit First Choice Holidays.

By Gabriel

Informing travelers about Aruba since 2007, and trying to provide value to Aruba visitors.

2 replies on “Airline Consolidation Ongoing”

Hi Gabriel,
Thanks for your information about the same topic that all of the Caribbean is dealing with – airline cutbacks for failures. If you check our our blog site two of my recent articles are about the fact the American and Continental Airlines are cutting 40% of their flights to San Juan in September! Even though there has been the largest number of tourist visiting the Caribbean EVER – 15 million in the last twelve months. So, you have an airlines industry that doesn’t have sustainable business models and you have millions of people who want to get to the Caribbean. My simple suggestion is to have Southwest Airlines take over the routes since they purchased oil futures several years ago that allows them to have $50 a barrel fuel costs. At the time the airlines industry thought Southwest was crazy. Now, they have become brilliant. I always appreciate the information you supply the world about what is happening in Aruba! Keep up the great work! I remain, your Caribbean life style detective…

Jim thanks for stopping by again. Indeed the airlines are cutting flights left and right. Thus far the announced cuts to Aruba has come from American Airlines only with the announced cutbacks from American Eagle with their daily propeller aircraft ATR72 flights from San Juan, Puerto Rico and midweek Boeing 757 flights from New York. I think the hardest cut will be the unannounced cuts and sudden cancellations which airlines are infamous for.

All in all the airlines are scheduled to cut capacity around 1000 seats inbound per week according to my own calculations.

You offer some suggestions as to how to handle the issue. It sounds interesting. I read other suggestions as well. All in all it is a challenging issue that must be addressed as soon as possible.

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