Tuesday, July 29, 2008

AirTran Financial Woes

Since their days flying under the ill-fated ValuJet name, I have always been a fan of AirTran. I don't travel a great deal - usually 1 trip up to Norfolk every year for a Refresher and 1 or 2 family vacations per year. However, I am very interested in the science of traveling as cheaply as possible. As I have mentioned before, I love Priceline and Bidding for Travel. The cheaper I can pay to travel somewhere, the more often I am able to travel.
During an investor conference call this morning, AirTran CFO Arne Haak disclosed plans to shrink the Atlanta hub and move their focus away from"lower-yielding leisure customer". This is unfortunate news for cheap travelers like myself, but it does make financial sense for AirTran. I spend less money now on a flight to the Newport News/Norfolk area for a Refresher than I did in 1995. Cheap AirTran flights out of Atlanta were a good thing while they lasted.

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