Porter Airlines, a growing carrier based in Canada, has been on a major U.S. expansion over the last couple of years. This winter, it plans to take a big step forward.
Allegiant slashes 19 routes due to Boeing delivery delays
11.06.2024 - 23:51 / thepointsguy.com
Ultra-low-cost carrier Allegiant Air is making some big changes to its route network.
The Las Vegas-based airline quietly filed plans to cut 19 routes beginning in the fall, as first seen in Cirium Diio schedules and later confirmed by an airline spokesperson.
The cuts are far-reaching and primarily touch four of the airline's operating bases. The biggest cuts are from Nashville International Airport (BNA), where Allegiant will exit a whopping six routes.
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Meanwhile, the second-biggest exit is happening at Los Angeles International Airport (LAX), where Allegiant will slash five routes. After the cuts, Allegiant will be left with just seven routes from Los Angeles.
The full list of affected routes is at the bottom of the post, and you can visualize them below on the map.
Ultra-low-cost carriers have been struggling in recent months as larger U.S. airlines have gotten better at competing with their budget rivals — both in terms of their network and their basic economy product designed to appeal to the most cost-conscious travelers.
Since the beginning of the year, we've seen major network (and policy) adjustments at both Frontier and Spirit — two of the nation's largest budget carriers — as they try to chase travelers wherever they can find them.
Allegiant hasn't historically pursued the same demand as its budget rivals, preferring to target underserved small- and mid-size leisure markets with nonstop service. In fact, Allegiant has gone all-in on this segment with the opening of Sunseeker, a Vegas-style hotel complex near Punta Gorda, Florida.
Map watching: The award for 'sexiest new route' of the year goes to ...
The hotel's underperformance was the lowlight of the company's recently announced first-quarter earnings, as it operated at a net loss of $8.8 million with about 40% occupancy.
The airline itself is also struggling to overcome a few big challenges, though. Chief among them is Boeing's delivery delays.
Allegiant expected to receive six Boeing 737 MAX aircraft before July, but it now expects them later this year (at the earliest). Because of these delays, Allegiant has "incurred significant expenses," president Greg Anderson said on the company's most recent earnings call. These costs include pilot training for aircraft that aren't yet in the fleet, as well as "loss of pilot productivity awaiting delivery of the 737 MAX aircraft."
Another cost associated with the delivery delays is this big network downsizing. In fact, with these cuts, Allegiant is projected to fly nearly 10% fewer flights in November 2024 compared to the previous year, Cirium data shows.
"Reduced Boeing delivery expectations will impact
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