Thursday, February 19, 2015

Silver Airways makes changes to focus on Florida

Sami Teittinen, CEO of Silver Airways.
 (Arlene Satchell/STAFF)



Silver Airways is putting a target on Florida.

The airline has restructured its operations to emphasize service within the state and to the Bahamas, areas where it sees a gap in service.

In recent months, Silver increased its flying in Florida by nearly 40 percent, part of an attempt to convince consumers that flying is an affordable alternative to driving.

The Fort Lauderdale-based airline shut down underperforming flights in Cleveland and Atlanta last year but kept a small presence in the Washington, D.C., market to supports its codeshare partner United Airlines.

Last November, Silver inaugurated service between Fort Lauderdale and Jacksonville and, in June, between Key West and Orlando, among other routes.

On Feb. 12, it launched nonstop service from Fort Lauderdale to Tallahassee ahead of the busy Florida legislative session, which starts March 3. On March 12, it'll add service from Fort Lauderdale and Key West to St. Pete-Clearwater International Airport.

Silver now averages more than 130 daily flights to 28 destinations in Florida and the Bahamas, as well as the Mid-Atlantic region from Washington, D.C.-Dulles.

"A year ago we were kind of flying everywhere," Silver CEO Sami Teittinen said in an interview. "Now we have the network where we want it to be."

Silver has changed its aircraft, too, phasing out its older 19-seat Beechcraft 1900D planes.

Since December, all flights are flown on 34-seat Saab 340B plus turbo-prop aircraft, Teittinen said. The 27 Saabs have leather seating, large overhead bins, flight attendant service and an active noise reduction system.

With only one type of plane, Silver saves money on training mechanics and pilots, Teittinen said.

The fuel-efficient Saab aircraft reportedly burns 60 percent less fuel per hour than a 70-seat regional jet.

Silver added to the savings by moving its aircraft maintenance hangar from Gainesville to Orlando, where it will open a $4.5 million facility next Thursday.

"In Gainesville, you ended up flying airplanes there empty to maintain them," Teittinen said. "Orlando is a bigger hub for us so when they come there, they can go through maintenance and then [resume operations]."

Industry analysts like Seth Kaplan of Airline Weekly, based in Fort Lauderdale, say Silver is looking to gain traction on certain Florida routes recently abandoned by Southwest Airlines.

Those include nonstop flights from Fort Lauderdale to Orlando and Jacksonville, as well as service between West Palm Beach and Tampa.

"Even as Silver sells flights under its own brand, it also hedges its bets via partnerships with quite a few larger airlines like United and JetBlue, which can put their own passengers on Silver," Kaplan said. "This lowers the risk for Silver, because it doesn't have to rely entirely on its own brand recognition to fill its seats."

Chicago-based investment firm Victory Park Capital launched Silver in May 2011 after acquiring parts of the former Gulfstream International Airlines.

In 2013, Air Transport World named Silver Regional Airline of the Year.

"The regional carrier has battled the odds in a weak economic climate with its visionary strategy, strong leadership and passion for providing safe, reliable service," ATW said. "This airline is well-positioned for the years ahead."

The same year, Silver ranked No. 8 among the top 10 airlines in Conde Nast Traveler's 26th Readers' Choice Awards.

"The next phase," Teittinen said, "is ensuring that the schedule, maintenance, airport operations and customer service gets really lined up so that the on-time performance will continue to improve."

Story and photos:  http://www.sun-sentinel.com


No comments:

Post a Comment