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110-428: In the airline industry an available seat mile is the fundamental unit of production for a passenger-carrying airline . A unit in this case is one seat, available for sale, flown one mile. For example, an aircraft with 300 seats available for sale flying 1,000 statute miles would generate 300,000 ASMs for that particular flight. That the seats are available for sale is critical. An aircraft that had 300 seats but which

220-586: A 292-room lodge that houses trainees attending the existing "JetBlue University" training facility, which opened in 2015. On May 21, 2008, JetBlue named Joel Peterson chairman and Frank Sica vice chairman of its board of directors, replacing David Neeleman, who had stepped down as CEO in 2007. On August 4, 2008, the Associated Press reported that JetBlue would replace their recycled pillows and blankets with an "eco-friendly" pillow and blanket package that passengers would have to purchase for use. This decision

330-469: A Comet 4, and Pan Am followed on 26 October with a Boeing 707 service between New York and Paris. The next big boost for the airlines would come in the 1970s, when the Boeing 747 , McDonnell Douglas DC-10 , and Lockheed L-1011 inaugurated widebody ("jumbo jet") service, which is still the standard in international travel. The Tupolev Tu-144 and its Western counterpart, Concorde , made supersonic travel

440-475: A common stage length, or that the CASMs be graphed versus the stage length of all the airlines being compared. CASM is generally calculated for a particular airline (or portion of an airline—for instance, an airline's Pacific operations as opposed to the entire airline) for a particular period of time—a year, a quarter, a month and so forth. It can also be calculated for a particular route of an airline. However, when it

550-408: A commonly used measure to compare the cost performance of airlines excepting the cost of fuel. Due to the volatility of oil prices, airline fuel cost is generally not viewed as controllable (other than in the short-term via fuel hedging ). Therefore, management's success at controlling costs is often judged by looking at how the airline's ex-fuel CASM changes from one period to another. For instance, in

660-430: A crusade to create an air network that would link America to the world, and he achieved this goal through his airline, Pan Am , with a fleet of flying boats that linked Los Angeles to Shanghai and Boston to London . Pan Am and Northwest Airways (which began flights to Canada in the 1920s) were the only U.S. airlines to go international before the 1940s. With the introduction of the Boeing 247 and Douglas DC-3 in

770-497: A different carrier. The agreement with American included JetBlue's 18 destinations not served by American and American's 12 international flights out of New York–JFK and Boston Logan. In addition, American gave JetBlue eight round trips slots out of Washington National in D.C. and two out of Westchester , New York. In return, JetBlue gave American six round trips out of New York–JFK. The agreement with American Airlines has since ended according to JetBlue's website. In January 2010,

880-449: A downturn in the nation's economy occurred. New start-ups entered during the downturn, during which time they found aircraft and funding, contracted hangar and maintenance services, trained new employees, and recruited laid-off staff from other airlines. Major airlines dominated their routes through aggressive pricing and additional capacity offerings, often swamping new start-ups. In the place of high barriers to entry imposed by regulation,

990-509: A gateway focus city to international destinations in the Caribbean, Mexico, and South America. New international routes from Orlando International Airport include Cancún , Mexico; Bridgetown, Barbados ; Bogotá , Colombia; Nassau, Bahamas ; San José, Costa Rica ; and Santo Domingo , Dominican Republic. In conjunction with the addition of new routes the airline continued significant expansion of operations at Orlando International Airport including

1100-571: A gift from the taxpayers. (Passenger carriers operating scheduled service received approximately $ 4 billion, subject to tax.) In addition, the ATSB approved loan guarantees to six airlines totaling approximately $ 1.6 billion. Data from the U.S. Treasury Department show that the government recouped the $ 1.6 billion and a profit of $ 339 million from the fees, interest and purchase of discounted airline stock associated with loan guarantees. The three largest major carriers and Southwest Airlines control 70% of

1210-461: A major international carrier. In 1933, Aéropostale went bankrupt , was nationalized and merged into Air France . Although Germany lacked colonies, it also began expanding its services globally. In 1931, the airship Graf Zeppelin began offering regular scheduled passenger service between Germany and South America, usually every two weeks, which continued until 1937. In 1936, the airship Hindenburg entered passenger service and successfully crossed

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1320-589: A newly created Air Transportation Stabilization Board (ATSB). The applications to DOT for reimbursements were subjected to rigorous multi-year reviews not only by DOT program personnel but also by the Government Accountability Office and the DOT Inspector General. Ultimately, the federal government provided $ 4.6 billion in one-time, subject-to-income-tax cash payments to 427 U.S. air carriers, with no provision for repayment, essentially

1430-534: A profit in that quarter. While its financial performance started showing signs of improvement, in February 2007, JetBlue faced a crisis, when the blizzard of 2007 hit the Northeast and Midwest, throwing the airline's operations into chaos. Because JetBlue followed the practice of never cancelling flights, it desisted from calling flights off, even when the ice storm hit and the airline was forced to keep several planes on

1540-540: A proving flight across the English Channel , despite a lack of support from the British government. Flown by Lt. H Shaw in an Airco DH.9 between RAF Hendon and Paris – Le Bourget Airport , the flight took 2 hours and 30 minutes at £21 per passenger. On August 25, 1919, the company used DH.16s to pioneer a regular service from Hounslow Heath Aerodrome to Paris's Le Bourget , the first regular international service in

1650-519: A push to boost revenue by $ 30 million. In October 2006, JetBlue announced a net loss of $ 500,000 for the third quarter, and a plan to regain that loss by deferring some of their E190 deliveries and by selling five of their A320s. In December 2006, JetBlue, as part of their RTP plan, removed a row of seats from their A320s to lighten the aircraft by 904 lb (410 kg) and reduce the cabin crew size from four to three (per FAA regulation requiring one flight attendant per 50 seats), thus offsetting

1760-547: A reality. Concorde first flew in 1969 and operated through 2003. In 1972, Airbus began producing Europe's most commercially successful line of airliners to date. The added efficiencies for these aircraft were often not in speed, but in passenger capacity, payload, and range. Airbus also features modern electronic cockpits that were common across their aircraft to enable pilots to fly multiple models with minimal cross-training. The 1978 U.S. airline industry deregulation lowered federally controlled barriers for new airlines just as

1870-500: A result of the terrorist attacks. This resulted in the first government bailout of the 21st century. Between 2000 and 2005 US airlines lost $ 30 billion with wage cuts of over $ 15 billion and 100,000 employees laid off. In recognition of the essential national economic role of a healthy aviation system, Congress authorized partial compensation of up to $ 5 billion in cash subject to review by the U.S. Department of Transportation and up to $ 10 billion in loan guarantees subject to review by

1980-467: A serious competitive threat to the legacy carriers. However, of these, ATA and Skybus have since ceased operations. Increasingly since 1978, US airlines have been reincorporated and spun off by newly created and internally led management companies, and thus becoming nothing more than operating units and subsidiaries with limited financially decisive control. Among some of these holding companies and parent companies which are relatively well known, are

2090-550: A single aircraft, N651JB, an Airbus A320-232 dubbed "BetaBlue". People could access e-mail with a Wi-Fi capable Blackberry, or use Yahoo!'s e-mail and instant messaging with a Wi-Fi capable laptop, while in flight over the US. LiveTV in Melbourne, Florida, created and operated the "BetaBlue" prototype. The "BetaBlue" system utilized the bandwidth and infrastructure of defunct Airfone . On March 19, 2008, JetBlue added Orlando, Florida , as

2200-424: A single ticket for flights with connections in either New York JFK or Boston . Unlike traditional codeshare agreements , the partnership did not allow the airlines to directly sell seats on each other's flights. Therefore, customers initiated the purchase on one airline's website, and then were transferred to the other airline's website to complete the transaction. Following the February 2007 incident in which

2310-722: A tie by J.D. Power in the North America Airline Satisfaction Study. On October 18, 2019, JetBlue and Norwegian Air Shuttle announced plans for an interline agreement that would permit sales of jointly-issued tickets, which if approved between the two airlines, would come into effect during 2020. The partnership was to take advantage of each airline having substantial pre-existing presence at New York–JFK, Boston, and Fort Lauderdale airports. In January 2020, JetBlue announced its intentions to start becoming carbon neutral on all domestic flights. In February 2020, Joel Peterson announced his intention to retire from

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2420-452: Is by no means a guarantee of profitability. Further, CASM should only be compared across airlines with care. For instance, all other things being equal, an airline with a longer average stage length will have a lower CASM, because fixed costs will account for a lower portion of its total costs. For this reason, to be meaningful, CASM comparisons across different airlines generally require, at a minimum, that CASMs for all airlines be adjusted to

2530-427: Is calculated for anything other than the entire operation of an airline, the relevant costs will inevitably involve cost allocations that require judgments. For instance, the salary of the airline's senior management needs to be spread across the different parts of the airline and can be divvied up across its routes according to many different methodologies—by the number of flights on that route during that time period, by

2640-458: Is undisclosed. RASM is a commonly used measure of unit revenue for airlines, expressed in cents received for each available seat mile and determined by dividing various measures of operating revenue by Available Seat Miles. This number is frequently used to allow a comparison between different airlines or a comparison of the same airline across periods. In theory, the higher the RASM the more profitable

2750-409: The Boeing 737 . In September 1999, the airline was awarded 75 initial take-off/landing slots at John F. Kennedy International Airport and received its USDOT CPCN authorization in February 2000. It commenced operations on February 11, 2000, with services to Buffalo and Fort Lauderdale . JetBlue's founders had set out to call the airline "Taxi" and therefore have a yellow livery to associate

2860-595: The Embraer 190 . As a result of the economic effects caused by the pandemic, the company launched voluntary separation and extended time off programs. By August 2020, JetBlue, along with Southwest Airlines , implemented strict policies for the wearing of face masks, which did not allow for medical exemptions, as part of its procedures during the COVID-19 pandemic. The airline also announced that it would also continue to block middle seats through at least mid-October. In June 2020,

2970-557: The Farman F.60 Goliath plane flew scheduled services from Toussus-le-Noble to Kenley , near Croydon , England. Another early French airline was the Compagnie des Messageries Aériennes , established in 1919 by Louis-Charles Breguet , offering a mail and freight service between Le Bourget Airport , Paris and Lesquin Airport , Lille . The first German airline to use heavier than air aircraft

3080-626: The Ford Motor Company bought out the Stout Aircraft Company and began construction of the all-metal Ford Trimotor , which became the first successful American airliner. With a 12-passenger capacity, the Trimotor made passenger service potentially profitable. Air service was seen as a supplement to rail service in the American transportation network. At the same time, Juan Trippe began

3190-686: The Tupolev Tu-104 . Deregulation of the European Union airspace in the early 1990s has had substantial effect on the structure of the industry there. The shift towards 'budget' airlines on shorter routes has been significant. Airlines such as EasyJet and Ryanair have often grown at the expense of the traditional national airlines. There has also been a trend for these national airlines themselves to be privatized such as has occurred for Aer Lingus and British Airways . Other national airlines, including Italy's Alitalia , suffered – particularly with

3300-638: The UAL Corporation , along with the AMR Corporation , among a long list of airline holding companies sometime recognized worldwide. Less recognized are the private-equity firms which often seize managerial, financial, and board of directors control of distressed airline companies by temporarily investing large sums of capital in air carriers, to rescheme an airlines assets into a profitable organization or liquidating an air carrier of their profitable and worthwhile routes and business operations. Thus

3410-748: The United States Army Air Service . Private operators were the first to fly the mail but due to numerous accidents the US Army was tasked with mail delivery. During the Army's involvement they proved to be too unreliable and lost their air mail duties. By the mid-1920s, the Postal Service had developed its own air mail network, based on a transcontinental backbone between New York City and San Francisco . To supplement this service, they offered twelve contracts for spur routes to independent bidders. Some of

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3520-552: The 1930s, the U.S. airline industry was generally profitable, even during the Great Depression . This trend continued until the beginning of World War II . World War II, like World War I, brought new life to the airline industry. Many airlines in the Allied countries were flush from lease contracts to the military, and foresaw a future explosive demand for civil air transport, for both passengers and cargo. They were eager to invest in

3630-720: The A321neo into the longer range Airbus A321LR to serve the new routes. On May 1, 2019, JetBlue named Michael Stromer as Chief Product Officer, Technology. Stromer was selected to lead the design and execution of the digital commerce web and mobile applications that support revenue initiatives; technology for airport, customer support (reservations), system operations, technical operations, flight, and inflight teams, as well as back office products. On May 29, 2019, JetBlue and Southwest Airlines ranked "Highest in Customer Satisfaction Among Low Cost Carriers" in

3740-625: The Americas and Europe. The airline operates out of six hubs, with its primary being New York's John F. Kennedy International Airport . JetBlue has codeshare agreements with member airlines of Oneworld , SkyTeam and Star Alliance but is not a member of any of the three alliances. JetBlue was incorporated in Delaware in August 1998 with its headquarters in Forest Hills, Queens . David Neeleman founded

3850-593: The Atlantic 36 times before crashing at Lakehurst, New Jersey, on 6 May 1937. In 1938, a weekly air service from Berlin to Kabul , Afghanistan , started operating. From February 1934 until World War II began in 1939, Deutsche Lufthansa operated an airmail service from Stuttgart , Germany via Spain , the Canary Islands and West Africa to Natal in Brazil . This was the first time an airline flew across an ocean. By

3960-757: The Brewster Building by mid-2012. On March 22, 2010, JetBlue turned down incentives from the City of Orlando and announced its headquarters would keep its Forest Hills office, start leasing and using a new office in the Brewster Building in Long Island City, New York . in Queens Plaza in Long Island City, move its headquarters there in mid-2012, and start a joint branding deal with New York State using

4070-851: The CEO of JetBlue, Dave Barger, and Governor of Florida Charlie Crist met in Tallahassee, Florida , to discuss a possible move of the airline's headquarters to Orlando. On March 22, 2010, JetBlue announced it headquarters would remain in the New York City area, in Long Island City, because of the airline's historical links to the city, the cost of staff relocations, the airline's desire to retain access to financial markets, and because Aer Lingus and Lufthansa , JetBlue's marketing partners, fly into JFK Airport . JetBlue planned to combine its Forest Hills and Darien, Connecticut , offices, together about 1,000 employees, into about 200,000 square feet (19,000 m ) in

4180-753: The Russian Aeroflot (1923). Airline ownership has seen a shift from mostly personal ownership until the 1930s to government-ownership of major airlines from the 1940s to 1980s and back to large-scale privatization following the mid-1980s. Since the 1980s, there has been a trend of major airline mergers and the formation of airline alliances. The largest alliances are Star Alliance , SkyTeam and Oneworld . Airline alliances coordinate their passenger service programs (such as lounges and frequent-flyer programs ), offer special interline tickets and often engage in extensive codesharing (sometimes systemwide). DELAG , Deutsche Luftschiffahrts-Aktiengesellschaft I

4290-493: The U.S. passenger market. Although Philippine Airlines (PAL) was officially founded on February 26, 1941, its license to operate as an airliner was derived from merged Philippine Aerial Taxi Company (PATCO) established by mining magnate Emmanuel N. Bachrach on 3 December 1930, making it Asia's oldest scheduled carrier still in operation. Commercial air service commenced three weeks later from Manila to Baguio , making it Asia's first airline route. Bachrach's death in 1937 paved

4400-573: The United States until its closure in 2008. Following World War I , the United States found itself swamped with aviators. Many decided to take their war-surplus aircraft on barnstorming campaigns, performing aerobatic maneuvers to woo crowds. In 1918, the United States Postal Service won the financial backing of Congress to begin experimenting with air mail service, initially using Curtiss Jenny aircraft that had been procured by

4510-579: The acquisition, Lufthansa stated they planned to seek operational cooperation with JetBlue. Lufthansa planned to offer connections to JetBlue flights in Boston, New York (JFK), and Orlando International Airport (no longer a connection). After making a codeshare agreement with Lufthansa that went into effect in 2010, JetBlue transitioned to the Sabre reservation system enabling the airlines to sell tickets on each other's flights, transfer luggage and passengers between

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4620-465: The airline added exclusive content from The New York Times in the form of an in-flight video magazine, conducted by Times journalists and content from NYTimes.com. On November 8, 2007, JetBlue appointed Ed Barnes as interim CFO, following the resignation of former CFO John Harvey. On December 13, 2007, JetBlue and Germany-based Lufthansa announced JetBlue's intent to sell 19% of JetBlue to Lufthansa, pending approval from US regulators. Following

4730-406: The airline announced several new routes across its network, including point-to-point routes between the northeastern United States and Florida, and new transcontinental routes from Newark Liberty International Airport . Along with the impact of the COVID-19 pandemic on aviation, the airline announced that over 60% of its employees were interested in taking early retirement or long-term leave from

4840-415: The airline has changed significantly, this could have a significant impact on CASM ex-fuel. Southwest Airlines ’ first quarter of 2018 CASM excluding fuel and special charges was 8.65 cents, roughly equivalent to JetBlue Airways and more than 20% lower than American Airlines , United Airlines and Delta Air Lines , while ULCCs are lower like Spirit Airlines at 5.83 cents while Frontier Airlines '

4950-460: The airline industry. CASM is expressed in cents to operate each seat mile offered, and is determined by dividing operating costs by ASMs. This number is frequently used to allow a cost comparison between different airlines or for the same airline across different time periods (say for one year vs the preceding year). A lower CASM means that it is easier for the airline to make a profit, as they have to charge less to break even . A low CASM, however,

5060-523: The airline partnered with 20th Century Fox's film The Simpsons Movie to become the "Official Airline of Springfield". In addition a contest was held in which the grand prize would be a trip on JetBlue to Los Angeles to attend the premiere of the film. The airline's website was also redecorated with characters and their favorite JetBlue destinations and the company was taken over by the show/film's businessman villain Montgomery Burns . In August 2007,

5170-504: The airline should be, assuming that the CASM remains constant. Various measures of revenue may be used. Passenger RASM (or PRASM) is passenger (or scheduled ticket) revenue per ASM. Operating RASM or Total RASM is the airline's total operating revenue per ASM. So, for instance, in the second quarter of 2011, Southwest had scheduled revenue of $ 3.876 bn and total operating revenue of $ 4.136 bn. Southwest's system Passenger RASM and Operating RASM for

5280-402: The airline was forced to cancel nearly 1,700 flights due to winter storms, JetBlue's board of directors replaced founder and chief executive officer David Neeleman with Dave Barger. He had politicked the board, while Neeleman was busy publicly apologizing. Barger's ascendancy caused widespread demoralization in the ranks. He became JetBlue's new chief executive officer on May 10, 2007. Neeleman,

5390-464: The airline with New York. The idea was dropped after threats from investor JP Morgan to pull its share ($ 40 million of the total $ 128 million) of the airline's initial funding unless the name was changed. JetBlue was one of only a few U.S. airlines that made a profit during the sharp downturn in airline travel following the September 11 attacks . The company's planned initial public offering

5500-567: The airline's board of directors at the end of his current term, and was succeeded by Peter Boneparth in May 2020. Peterson had been part of the airline's board of directors since 1999 and served as chairman since 2008. JetBlue made changes to its operations due to the COVID-19 pandemic and its associated impacts on aviation . This included the reduction of passenger capacity by blocking middle seats on its Airbus A320 and A321 aircraft, and aisle seats on

5610-448: The airline's numerous amenities, JetBlue was becoming less competitive. For many years, analysts had predicted that JetBlue's growth rate would become unsustainable. Despite this, the airline continued to add planes and routes to the fleet at a brisk pace. In addition in 2006, the IAM ( International Association of Machinists ) attempted to unionize JetBlue's ramp service workers, in a move that

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5720-464: The average domestic ticket price has dropped by 40%. So has airline employee pay. By incurring massive losses, the airlines of the USA now rely upon a scourge of cyclical Chapter 11 bankruptcy proceedings to continue doing business. America West Airlines (which has since merged with US Airways) remained a significant survivor from this new entrant era, as dozens, even hundreds, have gone under. In many ways,

5830-499: The biggest winner in the deregulated environment was the air passenger. Although not exclusively attributable to deregulation, indeed the U.S. witnessed an explosive growth in demand for air travel. Many millions who had never or rarely flown before became regular fliers, even joining frequent flyer loyalty programs and receiving free flights and other benefits from their flying. New services and higher frequencies meant that business fliers could fly to another city, do business, and return

5940-406: The carriers that won these routes would, through time and mergers, evolve into Pan Am , Delta Air Lines , Braniff Airways , American Airlines , United Airlines (originally a division of Boeing ), Trans World Airlines , Northwest Airlines , and Eastern Air Lines . Service during the early 1920s was sporadic: most airlines at the time were focused on carrying bags of mail . In 1925, however,

6050-605: The city. On October 13, 2009, the airline unveiled a modification to its livery in commemoration of the upcoming tenth anniversary of the airline in February 2010. Besides a new tail design, the revised livery includes larger "billboard" titles extending down over the passenger windows at the front of the aircraft. The logo word 'jetBlue' was no longer silver and blue but a dark, navy blue. In 2010, JetBlue entered into interline booking agreements with South African Airways and American Airlines to facilitate luggage transfers between airlines for passengers with connecting flights on

6160-469: The company in August 1999, under the name "NewAir". JetBlue started by following Southwest 's approach of offering low-cost travel, but sought to distinguish itself by its amenities, such as in-flight entertainment , TV at every seat, and Sirius XM satellite radio . JetBlue sought to primarily use the Airbus A320 family to ease maintenance, taking a similar approach to Southwest , which primarily uses

6270-706: The company's founder and largest individual investor, became a nonexecutive chairman as a result of the change. In early 2007, JetBlue also faced reliability problems with its Embraer 190 fleet. For a couple of months, JetBlue contracted ExpressJet to operate four Embraer ERJ 145 regional jets on behalf of JetBlue. While this was going on, two E190 aircraft at a time were sent to an Embraer maintenance facility in Nashville , Tennessee . ExpressJet operated routes between Boston Logan and Buffalo, New York, and Washington Dulles, and between New York–JFK and Columbus, Ohio (since terminated), and Richmond, Virginia. In July 2007,

6380-478: The country's flagship carrier to this day, on 17 May 1933. Germany's Deutsche Lufthansa was created in 1926 by merger of two airlines, one of them Junkers Luftverkehr . Lufthansa, due to the Junkers heritage and unlike most other airlines at the time, became a major investor in airlines outside of Europe, providing capital to Varig and Avianca. German airliners built by Junkers , Dornier , and Fokker were among

6490-467: The domestic industry operates over 10,000 daily departures nationwide. Toward the end of the century, a new style of low cost airline emerged, offering a no-frills product at a lower price. Southwest Airlines , JetBlue , AirTran Airways , Skybus Airlines and other low-cost carriers began to represent a serious challenge to the so-called "legacy airlines", as did their low-cost counterparts in many other countries. Their commercial viability represented

6600-651: The eighth year in a row. In October 2013, JetBlue introduced Mint , a premium cabin service on transcontinental and select Caribbean flights. The service began in 2014, using the Airbus A321 -231 aircraft ordered by JetBlue. These planes are outfitted with winglets, as well as with "lie flat" seats, and moveable partitions that can create small suites on the airplane. Called "Mint" by JetBlue, these planes are configured with 16 business-class seats and 143 economy seats, instead of an all-economy configuration of 190 seats. On April 22, 2014, JetBlue's pilots voted to unionize for

6710-502: The end of the 1930s Aeroflot had become the world's largest airline, employing more than 4,000 pilots and 60,000 other service personnel and operating around 3,000 aircraft (of which 75% were considered obsolete by its own standards). During the Soviet era Aeroflot was synonymous with Russian civil aviation, as it was the only air carrier. It became the first airline in the world to operate sustained regular jet services on 15 September 1956 with

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6820-519: The entire year of 2005. The loss was the airline's first since going public in 2002. In addition to that, JetBlue forecasted a loss for 2006, citing high fuel prices, operating inefficiency, and fleet costs. During the first quarter report, CEO David Neeleman, President Dave Barger, and then-CFO John Owen released JetBlue's "Return to Profitability" ("RTP") plan, stating in detail how they would curtail costs and improve revenue to regain profitability. The plan called for $ 50 million in annual cost cuts and

6930-488: The first few days of July 2015, JetBlue began charging for bags in certain booking classes, leaving Southwest Airlines the only major U.S. carrier to not charge for bags. For the classes in which bag check fees were charged (generally the lowest class of fares offered; JetBlue offered three classes of fares), the cost was $ 20 for the first bag and $ 35 for the second, which was the lowest in the United States besides Frontier Airlines with similar prices. On May 6, 2015, JetBlue

7040-604: The first flagships of the Jet Age in the West, while the Eastern bloc had Tupolev Tu-104 and Tupolev Tu-124 in the fleets of state-owned carriers such as Czechoslovak ČSA , Soviet Aeroflot and East-German Interflug . The Vickers Viscount and Lockheed L-188 Electra inaugurated turboprop transport. On 4 October 1958, British Overseas Airways Corporation started transatlantic flights between London Heathrow and New York Idlewild with

7150-482: The first scheduled commercial flight between the United States and Cuba in 55 years. Only charter flights were allowed under previous rules, which required that passengers had to arrive more than four hours before the scheduled departure and often endure long lines for documentation checks, late flight arrivals, and pay high baggage fees. In 2016, JetBlue had bid for but was unsuccessful in acquiring Virgin America , which

7260-496: The first time since the airline was founded, with 71% casting ballots in favor of joining the ALPA . On September 18, 2014, Dave Barger announced his resignation from the company effective February 16, 2015, following several reports that investors and the board were unhappy with his performance. He was replaced on the board and as CEO by Robin Hayes . During the last few days of June and

7370-574: The ground. Because of this, passengers were kept waiting at the airports for their flights to take off. In some cases, passengers who had already boarded their planes were kept waiting on the apron for several hours and were not allowed to disembark. However, after all this, the airline was eventually forced to cancel most of its flights because of prevailing weather conditions. This reportedly cost JetBlue $ 30 million. In February 2007, JetBlue announced its partnership with Irish flag carrier Aer Lingus to allow passengers to switch between airlines on

7480-546: The iconic I Love NY logo. On October 18, 2011, CFO Ed Barnes resigned, effective immediately. The company's treasurer, Mark Powers, was appointed interim CFO until a replacement for Barnes could be found. In 2011, JetBlue made interline agreements with Virgin Atlantic and Jet Airways , both of which have since been terminated. On June 13, 2012, JetBlue ranked "Highest in Customer Satisfaction Among Low Cost Carriers in North America" by J.D. Power and Associates for

7590-513: The last 50 years of the airline industry have varied from reasonably profitable, to devastatingly depressed. As the first major market to deregulate the industry in 1978, U.S. airlines have experienced more turbulence than almost any other country or region. In fact, no U.S. legacy carrier survived bankruptcy-free. Among the outspoken critics of deregulation, former CEO of American Airlines, Robert Crandall has publicly stated: "Chapter 11 bankruptcy protection filing shows airline industry deregulation

7700-474: The lost revenue from the removal of seats, and further lightening the aircraft, resulting in less fuel burned. In January 2007, JetBlue returned to profitability with a fourth quarter profit in 2006, reversing a quarterly loss in the year-earlier period. As part of the RTP plan, 2006's full-year loss was $ 1 million compared to 2005's full-year loss of $ 20 million. JetBlue was one of the few major airlines to post

7810-405: The major airlines implemented an equally high barrier called loss leader pricing. In this strategy an already established and dominant airline stomps out its competition by lowering airfares on specific routes, below the cost of operating on it, choking out any chance a start-up airline may have. The industry side effect is an overall drop in revenue and service quality. Since deregulation in 1978

7920-540: The merger of Instone Air Line Company , British Marine Air Navigation , Daimler Airway and Handley Page Transport , to allow British airlines to compete with stiff competition from French and German airlines that were enjoying heavy government subsidies. The airline was a pioneer in surveying and opening up air routes across the world to serve far-flung parts of the British Empire and to enhance trade and integration. The first new airliner ordered by Imperial Airways,

8030-509: The merger. PAL restarted service on 15 March 1941, with a single Beech Model 18 NPC-54 aircraft, which started its daily services between Manila (from Nielson Field ) and Baguio , later to expand with larger aircraft such as the DC-3 and Vickers Viscount. Cathay Pacific was one of the first airlines to be launched among the other Asian countries in 1946 along with Asiana Airlines , which later joined in 1988. The license to operate as an airliner

8140-532: The most advanced in the world at the time. In 1926, Alan Cobham surveyed a flight route from the UK to Cape Town , South Africa , following this up with another proving flight to Melbourne , Australia . Other routes to British India and the Far East were also charted and demonstrated at this time. Regular services to Cairo and Basra began in 1927 and were extended to Karachi in 1929. The London- Australia service

8250-636: The newly emerging flagships of air travel such as the Boeing Stratocruiser , Lockheed Constellation , and Douglas DC-6 . Most of these new aircraft were based on American bombers such as the B-29 , which had spearheaded research into new technologies such as pressurization . Most offered increased efficiency from both added speed and greater payload. In the 1950s, the De Havilland Comet , Boeing 707 , Douglas DC-8 , and Sud Aviation Caravelle became

8360-423: The number of flight hours on that route, etc. There is not necessarily any right method for making such cost allocations, but it is important when making comparisons across airlines that if an allocation methodology is relevant (i.e. less than the entire of each airline is being compared) then the same allocation methodology is used with each airline being compared. For a simple example of the calculation of CASM, in

8470-411: The passenger cabins were often spacious with luxurious interiors – over speed and efficiency. The relatively basic navigational capabilities of pilots at the time also meant that delays due to the weather were commonplace. By the early 1920s, small airlines were struggling to compete, and there was a movement towards increased rationalization and consolidation. In 1924, Imperial Airways was formed from

8580-637: The rapid increase of oil prices in early 2008. Finnair , the largest airline of Finland , had no fatal or hull-loss accidents since 1963, and is recognized for its safety. Tony Jannus conducted the United States' first scheduled commercial airline flight on January 1, 1914, for the St. Petersburg-Tampa Airboat Line . The 23-minute flight traveled between St. Petersburg, Florida and Tampa, Florida , passing some 50 feet (15 m) above Tampa Bay in Jannus' Benoist XIV wood and muslin biplane flying boat. His passenger

8690-644: The regional market of Asian airline industry India was also one of the first countries to embrace civil aviation. One of the first Asian airline companies was Air India , which was founded as Tata Airlines in 1932, a division of Tata Sons Ltd. (now Tata Group ). The airline was founded by India's leading industrialist, JRD Tata . On 15 October 1932, J. R. D. Tata himself flew a single engined De Havilland Puss Moth carrying air mail (postal mail of Imperial Airways ) from Karachi to Bombay via Ahmedabad . The aircraft continued to Madras via Bellary piloted by Royal Air Force pilot Nevill Vintcent . Tata Airlines

8800-399: The same day, from almost any point in the country. Air travel's advantages put long-distance intercity railroad travel and bus lines under pressure, with most of the latter having withered away, whilst the former is still protected under nationalization through the continuing existence of Amtrak . By the 1980s, almost half of the total flying in the world took place in the U.S., and today

8910-548: The same flight. Generally, airline companies are recognized with an air operating certificate or license issued by a governmental aviation body. Airlines may be scheduled or charter operators. The first airline was the German airship company DELAG , founded on November 16, 1909. The four oldest non-airship airlines that still exist are the Netherlands' KLM (1919), Colombia's Avianca (1919), Australia's Qantas (1920) and

9020-448: The second quarter of 2011 Southwest Airlines had fuel costs of $ 1.527 billion (again, including its AirTran subsidiary). Southwest's system CASM ex-fuel for the second quarter of 2011 was then: CASM ex-fuel = (Direct Operating Cost - Fuel Cost) / Available Seat Mile = ($ 3.929 billion - $ 1.527 billion) / 31.457 billion = 7.63 cents Again, care must be taken in comparing CASM ex-fuel across periods. In particular, if average stage length for

9130-633: The second quarter of 2011 were therefore: Passenger RASM = $ 3.876 billion / 31.457 billion = 12.32 cents Operating RASM = $ 4.136 billion / 31.457 billion = 13.15 cents Again, RASM comparisons across periods or across airlines also need to be made with care. All else being equal, revenue generally increases with average stage length. However, revenue generally does not increase as quickly as stage length, meaning that RASM typically decreases as average stage length increases. At constant prices, world airlines RASK fell by 51% from US¢17.5 in 1960 to 8.6 cents in 2015, while CASK went 54% down from 17.5 to 8.1. For

9240-452: The second quarter of 2011, Southwest Airlines (including its AirTran Airways subsidiary) had operating costs of $ 3.929 bn and 31.457 bn ASMs, as reflected in Southwest's SEC Form 10-Q for that period. Southwest's system CASM for the second quarter of 2011 was then: CASM = Direct Operating Cost / Available Seat Mile = $ 3.929 billion / 31.457 billion = 12.49 cents CASM excluding fuel is

9350-518: The space of terminals 6 and 7. In April 2018, JetBlue announced their return to Ontario International Airport in southern California after ten years, as well as new service to Steamboat Springs in Colorado, and Bozeman in Montana. In April 2019, JetBlue announced that it would launch transatlantic flights to London from Boston and New York. The airline added that it would be converting 13 orders for

9460-599: The two carriers, and combine frequent flyer programs. By making use of JetBlue's North America routes as a feeder network, the agreement put Lufthansa in a position to operate quasi-hubs in New York–JFK and Boston Logan. In the March edition of Airways Magazine , it was announced that once JetBlue partnered with Yahoo! and with BlackBerry producer Research in Motion , that the airline would offer free, limited Wi-Fi capabilities on

9570-560: The way for its eventual merger with Philippine Airlines in March 1941 and made it Asia's oldest airline. It is also the oldest airline in Asia still operating under its current name. Bachrach's majority share in PATCO was bought by beer magnate Andres R. Soriano in 1939 upon the advice of General Douglas MacArthur and later merged with newly formed Philippine Airlines with PAL as the surviving entity. Soriano has controlling interest in both airlines before

9680-477: The world airline industry between 2003 and 2017, CASK excluding fuel was around US¢6, fuel CASK was between US¢1 and US¢3.5, and RASK was between US¢7 and US¢10. Airline industry An airline is a company that provides air transport services for traveling passengers or freight . Airlines use aircraft to supply these services and may form partnerships or alliances with other airlines for codeshare agreements , in which they both offer and operate

9790-424: The world. Established by aviator Albert Plesman , it was immediately awarded a "Royal" predicate from Queen Wilhelmina . Its first flight was from Croydon Airport , London to Amsterdam , using a leased Aircraft Transport and Travel DH-16 , and carrying two British journalists and a number of newspapers. In 1921, KLM started scheduled services. In Finland , the charter establishing Aero O/Y (now Finnair )

9900-533: The world. The airline soon gained a reputation for reliability, despite problems with bad weather, and began to attract European competition. In November 1919, it won the first British civil airmail contract. Six Royal Air Force Airco DH.9A aircraft were lent to the company, to operate the airmail service between Hawkinge and Cologne . In 1920, they were returned to the Royal Air Force. Other British competitors were quick to follow – Handley Page Transport

10010-403: Was Aircraft Transport and Travel , formed by George Holt Thomas in 1916; via a series of takeovers and mergers, this company is an ancestor of modern-day British Airways . Using a fleet of former military Airco DH.4 A biplanes that had been modified to carry two passengers in the fuselage , it operated relief flights between Folkestone and Ghent , Belgium. On July 15, 1919, the company flew

10120-461: Was Deutsche Luft-Reederei established in 1917 which started operating in February 1919. In its first year, the D.L.R. operated regularly scheduled flights on routes with a combined length of nearly 1000 miles. By 1921 the D.L.R. network was more than 3000 km (1865 miles) long, and included destinations in the Netherlands, Scandinavia and the Baltic Republics. Another important German airline

10230-450: Was Junkers Luftverkehr , which began operations in 1921. It was a division of the aircraft manufacturer Junkers , which became a separate company in 1924. It operated joint-venture airlines in Austria, Denmark, Estonia, Finland, Hungary, Latvia, Norway, Poland, Sweden and Switzerland. The Dutch airline KLM made its first flight in 1920, and is the oldest continuously operating airline in

10340-633: Was a departure to Rafael Hernández Airport in Aguadilla, Puerto Rico , departing at 11:59pm. In 2009, JetBlue announced that it was looking for a new headquarters location, and was considering moving either within the New York City metropolitan area or to the Orlando, Florida , area. In April 2009, Helen Marshall , the president of the Borough of Queens, said that the City of New York was trying to keep JetBlue in

10450-517: Was a former mayor of St. Petersburg, who paid $ 400 for the privilege of sitting on a wooden bench in the open cockpit. The Airboat line operated for about four months, carrying more than 1,200 passengers who paid $ 5 each. Chalk's International Airlines began service between Miami and Bimini in the Bahamas in February 1919. Based in Ft. Lauderdale , Chalk's claimed to be the oldest continuously operating airline in

10560-571: Was a mistake." Congress passed the Air Transportation Safety and System Stabilization Act (P.L. 107–42) in response to a severe liquidity crisis facing the already-troubled airline industry in the aftermath of the September 11 attacks . Through the ATSB Congress sought to provide cash infusions to carriers for both the cost of the four-day federal shutdown of the airlines and the incremental losses incurred through December 31, 2001, as

10670-630: Was also one of the world's first major airlines which began its operations without any support from the Government. JetBlue Airways JetBlue Airways Corporation (stylized as jetBlue ) is a major airline in the United States headquartered in Long Island City , in Queens , New York City . It also maintains corporate offices in Utah and Florida . JetBlue operates over 1,000 flights daily and serves 100 domestic and international network destinations in

10780-532: Was described by JetBlue's COO Dave Barger as "pretty hypocritical", as the IAM opposed JetBlue's creation when it was founded as New Air in 1998. The union organizing petition was dismissed by the National Mediation Board because fewer than 35 percent of eligible employees supported an election. JetBlue experienced its first-ever quarterly loss during the fourth quarter of 2005 when the airline lost $ 42.4 million, enough to make them unprofitable for

10890-418: Was established in 1919 and used the company's converted wartime Type O/400 bombers with a capacity for 12 passengers, to run a London - Paris passenger service. The first French airline was Société des lignes Latécoère , later known as Aéropostale, which started its first service in late 1918 to Spain. The Société Générale des Transports Aériens was created in late 1919, by the Farman brothers and

11000-450: Was granted by the federal government body after reviewing the necessity at the national assembly. The Hanjin occupies the largest ownership of Korean Air as well as few low-budget airlines as of now. Korean Air is one of the four founders of SkyTeam , which was established in 2000. Asiana Airlines joined Star Alliance in 2003. Korean Air and Asiana Airlines comprise one of the largest combined airline miles and number of passenger served at

11110-1028: Was in a series of moves designed to increase revenue. JetBlue told the Associated Press that it expected to collect $ 40 million from passengers selecting seats with extra legroom and $ 20 million from passengers paying $ 15 to check a second bag. In September 2008, JetBlue began charging passengers $ 10–30 for an extended-leg-room seat depending on the length of the flight. In September 2008, JetBlue began operating Republican vice presidential candidate Sarah Palin 's campaign aircraft, an E190. On October 22, 2008, JetBlue opened its new primary hub at John F. Kennedy International Airport ( JFK ), Terminal 5 , or simply T5 , costing approximately $ 800 million to build. The first flight arrived from Bob Hope Airport (B6 #358) at 5:06am followed by arrivals from Oakland International Airport and Long Beach Airport , respectively. The new T5 replaced JetBlue's old hub at JFK Terminal 6. The last flight to operate out of T6

11220-474: Was inaugurated in 1932 with the Handley Page HP 42 airliners. Further services were opened up to Calcutta , Rangoon , Singapore , Brisbane and Hong Kong passengers departed London on 14 March 1936 following the establishment of a branch from Penang to Hong Kong. France began an air mail service to Morocco in 1919 that was bought out in 1927, renamed Aéropostale , and injected with capital to become

11330-403: Was instead acquired by Alaska Air Group . In November 2016, JetBlue painted one of their Airbus A320 aircraft, N763JB, in a 1960s retrojet livery, dubbed "What's Old is Blue Again". The livery's maiden flight was on Friday, from New York JFK to Palm Springs. In July 2017, JetBlue announced it was taking qualifications to develop a terminal at JFK that would not only occupy terminal 5 but also

11440-399: Was limited (for regulatory or technical reasons) to selling only 250 of them on a particular flight of 1,000 miles would generate 250,000 ASMs on that flight, not 300,000. Similarly, if passenger seats on a particular flight are dedicated to crew rest purposes, such seats would not be included in the calculation of ASMs for that flight. CASM (or CASK) is a commonly used measure of unit cost in

11550-532: Was one of the first airlines to be granted a license to commence charter flights to Cuba, with flights departing from New York City. The weekly charter service began on July 3, 2015, with 150-seat Airbus A320s. In July 2016, JetBlue announced commercial flights from the United States to Cuba would commence in late August. On August 31, 2016, JetBlue Flight 387 from Fort Lauderdale–Hollywood International Airport to Abel Santamaría Airport , in Santa Clara, became

11660-725: Was put on hold due to the attacks and subsequent downturn. The IPO took place in April 2002. The airline sector responded to JetBlue and Southwest's market presence by starting mini-rival carriers: Delta Air Lines started Song , and United Airlines launched another rival called Ted . Song has since been disbanded and was reabsorbed by Delta and Ted reabsorbed by United. In October 2005, JetBlue's quarterly profit had plunged from US$ 8.1 million to $ 2.7 million largely due to rising fuel costs. Operational issues, fuel prices, and low fares, JetBlue's hallmark, were bringing its financial performance down. In addition, with higher costs related to

11770-592: Was signed in the city of Helsinki on 12 September 1923. Junkers F.13 D-335 became the first aircraft of the company, when Aero took delivery of it on 14 March 1924. The first flight was between Helsinki and Tallinn , capital of Estonia , and it took place on 20 March 1924, one week later. In the Soviet Union , the Chief Administration of the Civil Air Fleet was established in 1921. One of its first acts

11880-605: Was the Handley Page W8f City of Washington , delivered on 3 November 1924. In the first year of operation the company carried 11,395 passengers and 212,380 letters. In April 1925, the film The Lost World became the first film to be screened for passengers on a scheduled airliner flight when it was shown on the London-Paris route. Two French airlines also merged to form Air Union on 1 January 1923. This later merged with four other French airlines to become Air France ,

11990-630: Was the world's first airline . It was founded on November 16, 1909, with government assistance, and operated airships manufactured by The Zeppelin Corporation . Its headquarters were in Frankfurt . The first fixed-wing scheduled airline was started on January 1, 1914. The flight was piloted by Tony Jannus and flew from St. Petersburg, Florida , to Tampa, Florida , operated by the St. Petersburg–Tampa Airboat Line . The earliest fixed wing airline in Europe

12100-404: Was to help found Deutsch-Russische Luftverkehrs A.G. (Deruluft), a German-Russian joint venture to provide air transport from Russia to the West. Domestic air service began around the same time, when Dobrolyot started operations on 15 July 1923 between Moscow and Nizhni Novgorod. Since 1932 all operations had been carried under the name Aeroflot . Early European airlines tended to favor comfort –

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