Full Version: Air passengers on the rise for new service here
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| Air passengers on the rise for new service here By TIM MEKEEL 2009-06-24 10:34:00 Lancaster New Era Three months after the first Cape Air flight took off from Lancaster Airport, the airline's passenger counts here keep gaining altitude. |
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Go to Harrisburg International.
Lancaster Airport had lost its commercial service in September 2007, when a federal subsidy for USAirways Express to provide service here expired.
Airport officials and legislators, working relentlessly for months, eventually got the subsidy restored.
And how many million a year was that subsidy?
Airport officials and legislators, working relentlessly for months, eventually got the subsidy restored.
And how many million a year was that subsidy?
The planes are only 33% full and the marketing guy states that there is room for growth. Do you think?
What a bunch of sour grapes you all are! Use the service it's great! Sounds like you all need a vacation anyway!
"Opp estimated that 65 percent of Cape Air passengers here are business travelers, especially from Manheim Auto Auction, Armstrong World Industries and Wilbur Chocolate owner Cargill."
And when 2 of the 3 aren't here in 5 years... then what?
And when 2 of the 3 aren't here in 5 years... then what?
Your tax dollars at work. At least the subsidy calculation is fairly transparent. It's paid to Hyannis Air Service, Inc., DBA Cape Air. For a full year, the award was made at an estimated amount of $1,372,474. This is the ceiling. The actual amount will be less because the service didn't start until around April 9. The contract period ends September 30.
Per departure, the subsidy is calculated at $518 (there are 5 a day), or per passenger, $160. These are the average figures and assumes an average of 3.2 passengers per departure.
The caluculation is based on Cape Air running 5 round trips a day, completing 97% of the trips, with 3.2 passenger per departure, or a load factor of 36%, and an average fare of $50. The airline gets to keep the fare. If every seat is filled, the max revenue would $450, with the subsidy making up the rest to the $518 figure, so every flight has some subsidy attached to it.
The formula builds in 5% return for the carrier. Of course, some of the money paid as a subsidy to Cape Air comes back to Lancaster Airport for landing fees, fuel, de-icing fluid, what have you.
Lancaster's subsidy is one of 152 such subsidies for what is called "essential air service." [107 in the Lower 48 and 42 in Alaska]. Its subsidy is part of the Hagerstown, Maryland to BWI subsidy award. You can be assured, there are communites all across America that would leap for joy if they could get what Lancaster has gotten in terms of air service.
Per departure, the subsidy is calculated at $518 (there are 5 a day), or per passenger, $160. These are the average figures and assumes an average of 3.2 passengers per departure.
The caluculation is based on Cape Air running 5 round trips a day, completing 97% of the trips, with 3.2 passenger per departure, or a load factor of 36%, and an average fare of $50. The airline gets to keep the fare. If every seat is filled, the max revenue would $450, with the subsidy making up the rest to the $518 figure, so every flight has some subsidy attached to it.
The formula builds in 5% return for the carrier. Of course, some of the money paid as a subsidy to Cape Air comes back to Lancaster Airport for landing fees, fuel, de-icing fluid, what have you.
Lancaster's subsidy is one of 152 such subsidies for what is called "essential air service." [107 in the Lower 48 and 42 in Alaska]. Its subsidy is part of the Hagerstown, Maryland to BWI subsidy award. You can be assured, there are communites all across America that would leap for joy if they could get what Lancaster has gotten in terms of air service.
QUOTE (reddnup @ Jun 25 2009, 03:32 PM) 
Your tax dollars at work. At least the subsidy calculation is fairly transparent. It's paid to Hyannis Air Service, Inc., DBA Cape Air. For a full year, the award was made at an estimated amount of $1,372,474. This is the ceiling. The actual amount will be less because the service didn't start until around April 9. The contract period ends September 30.
Per departure, the subsidy is calculated at $518 (there are 5 a day), or per passenger, $160. These are the average figures and assumes an average of 3.2 passengers per departure.
The caluculation is based on Cape Air running 5 round trips a day, completing 97% of the trips, with 3.2 passenger per departure, or a load factor of 36%, and an average fare of $50. The airline gets to keep the fare. If every seat is filled, the max revenue would $450, with the subsidy making up the rest to the $518 figure, so every flight has some subsidy attached to it.
The formula builds in 5% return for the carrier. Of course, some of the money paid as a subsidy to Cape Air comes back to Lancaster Airport for landing fees, fuel, de-icing fluid, what have you.
Lancaster's subsidy is one of 152 such subsidies for what is called "essential air service." [107 in the Lower 48 and 42 in Alaska]. Its subsidy is part of the Hagerstown, Maryland to BWI subsidy award. You can be assured, there are communites all across America that would leap for joy if they could get what Lancaster has gotten in terms of air service.
Per departure, the subsidy is calculated at $518 (there are 5 a day), or per passenger, $160. These are the average figures and assumes an average of 3.2 passengers per departure.
The caluculation is based on Cape Air running 5 round trips a day, completing 97% of the trips, with 3.2 passenger per departure, or a load factor of 36%, and an average fare of $50. The airline gets to keep the fare. If every seat is filled, the max revenue would $450, with the subsidy making up the rest to the $518 figure, so every flight has some subsidy attached to it.
The formula builds in 5% return for the carrier. Of course, some of the money paid as a subsidy to Cape Air comes back to Lancaster Airport for landing fees, fuel, de-icing fluid, what have you.
Lancaster's subsidy is one of 152 such subsidies for what is called "essential air service." [107 in the Lower 48 and 42 in Alaska]. Its subsidy is part of the Hagerstown, Maryland to BWI subsidy award. You can be assured, there are communites all across America that would leap for joy if they could get what Lancaster has gotten in terms of air service.
Interesting.
I can see subsidies for air travel in the remote areas of Alaska and maybe some remote locations in the lower 48. I can't see a subsidy when there are three major air terminals with 75 miles of Lancaster. It's a complete waste of money.
Given the current passenger levels, what is the subsidy for each one-way passenger trip to Baltimore?
QUOTE (powderpig @ Jun 25 2009, 12:01 PM)
What a bunch of sour grapes you all are! Use the service it's great! Sounds like you all need a vacation anyway!
I did use local service before it was suspended, both in Lancaster and Reading. The problem is that it's not economically viable without taxpayer assistance. So why should I have to pay for you to fly out of Lancaster when you can easily drive to Harrisburg, Philadelphia or Baltimore?
To be fair concerning the subsidization of Lancaster air service, its economic viability, or the lack thereof, most of us would be amazed to find out what it really costs to provide us the ability to drive, take a train, use a subway, ride on a bus, what have you, to go anyplace. Almost nothing related to transportation use or transportation services is what we like to call "economically viable." We, direct users, don't pay the true costs for their use--building them, maintaining them, and upgrading them. They require massive federal subsidies, which are funded by taxpayers across the country, many of whom will never use or get any direct benefit from them.
If each of us had pay, directly, for each trip we took using our cars, such as driving to Harrisburg, BWI, or Philly, or in any other form of transportation to get to air service, we couldn't afford it. Some would say, so be it; others, that's something for which tax dollars have to be used.
If each of us had pay, directly, for each trip we took using our cars, such as driving to Harrisburg, BWI, or Philly, or in any other form of transportation to get to air service, we couldn't afford it. Some would say, so be it; others, that's something for which tax dollars have to be used.
QUOTE (reddnup @ Jun 25 2009, 02:32 PM)
Your tax dollars at work. At least the subsidy calculation is fairly transparent. It's paid to Hyannis Air Service, Inc., DBA Cape Air. For a full year, the award was made at an estimated amount of $1,372,474. This is the ceiling. The actual amount will be less because the service didn't start until around April 9. The contract period ends September 30.
Per departure, the subsidy is calculated at $518 (there are 5 a day), or per passenger, $160. These are the average figures and assumes an average of 3.2 passengers per departure.
The caluculation is based on Cape Air running 5 round trips a day, completing 97% of the trips, with 3.2 passenger per departure, or a load factor of 36%, and an average fare of $50. The airline gets to keep the fare. If every seat is filled, the max revenue would $450, with the subsidy making up the rest to the $518 figure, so every flight has some subsidy attached to it.
The formula builds in 5% return for the carrier. Of course, some of the money paid as a subsidy to Cape Air comes back to Lancaster Airport for landing fees, fuel, de-icing fluid, what have you.
Lancaster's subsidy is one of 152 such subsidies for what is called "essential air service." [107 in the Lower 48 and 42 in Alaska]. Its subsidy is part of the Hagerstown, Maryland to BWI subsidy award. You can be assured, there are communites all across America that would leap for joy if they could get what Lancaster has gotten in terms of air service.
Per departure, the subsidy is calculated at $518 (there are 5 a day), or per passenger, $160. These are the average figures and assumes an average of 3.2 passengers per departure.
The caluculation is based on Cape Air running 5 round trips a day, completing 97% of the trips, with 3.2 passenger per departure, or a load factor of 36%, and an average fare of $50. The airline gets to keep the fare. If every seat is filled, the max revenue would $450, with the subsidy making up the rest to the $518 figure, so every flight has some subsidy attached to it.
The formula builds in 5% return for the carrier. Of course, some of the money paid as a subsidy to Cape Air comes back to Lancaster Airport for landing fees, fuel, de-icing fluid, what have you.
Lancaster's subsidy is one of 152 such subsidies for what is called "essential air service." [107 in the Lower 48 and 42 in Alaska]. Its subsidy is part of the Hagerstown, Maryland to BWI subsidy award. You can be assured, there are communites all across America that would leap for joy if they could get what Lancaster has gotten in terms of air service.
First of all reddnup stop doing all that math, It hurts liberals brains.
$160 per person subsidy with 3.2 people per flight, Well that would make one awesome limo ride with complimantary adult beverages. Does anyone see what kind of joke this is?
Please will some polititcian subsidize my business this way!
Try to find online anything about the airports budget, expenses, employees, NOTHING.
A black hole of taxpayers money. Shut it down and drive to Harrisburg.
It's an obamantion now. Get used to it.
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