PIA - A History: Events of 1989

As the 1980s were closing, PIA officials expressed an optimistic view of the future and pushed for growth opportunities. It was strange though that GPAA chairman Gerald Shaheen was quoted in the Peoria Journal Star's May 18 issue as saying in response to a propose mag-lev train project,

"If it's a natural flow of development, how could you stop it? We have said all along our future is in handling freight, not in passengers."

Whether his indifference to passengers was based solely on the possibility of a mag-lev train connecting Peoria with major cities or a general attitude based on expectations of future challenges is unclear. But it does appear airport officials were contradicting themselves at times. 

With that in mind, here is a rundown of air service happenings for 1989. I possess only two Official Airline Guides (North American Edition - Pocket Flight Guide) for that year - February and March - so details will be more limited than in prior years. End-of-year flight information is credited solely to departedflights.com's December 15, 1989 schedules. 

ALLEGHENY COMMUTER (Air Kentucky)
In January 1989, Glen Morgan Financial Inc. (GMFI) acquired two-thirds of Air Kentucky parent, MPM Holding Corporation. GMFI was, in turn, the parent of Metro Aviation Inc., owner of Fairchild Aircraft Corporation. So the deal made siblings of Fairchild and Air Kentucky. GMFI saw much potential in this arrangement, but USAir objected to such a close relationship between an aircraft manufacturer and one of its commuter affiliates. As a consequence, the airline terminated its code-sharing arrangement with Air Kentucky effective July 15.

Also in January 1989, Air Kentucky apparently suspended service to all five Central Illinois markets it added in 1988 (repossession of four Metro IIIs is the likely reason). The Peoria Journal Star apparently learned nothing of this. The OAG's March 1989 Pocket Flight Guide shows three weekday (two weekday) roundtrips to Peoria operated by Beech C-99s, but I can't confirm whether service actually operated during this time. After all, Airliners Monthly News' July 1989 edition notes that Indianapolis-Peoria/Springfield routes were added on May 2.

Air Kentucky was poised to become a "USAir Express" carrier by July 1 when the longtime "Allegheny Commuter" name was retired. GMFI viewed USAir's termination of its code-sharing arrangement as conditional, i. e., if Air Kentucky was sold, the arrangement would continue. So GMFI knew it needed to sell the airline to keep it viable. A sale agreement with Reed Industries Inc. fell through when USAir refused to transfer its code-sharing agreement. This action (and other tribulations) forced the commuter carrier to cease operations on May 31.

Jetstream International Airlines, a subsidiary of Piedmont Airlines (in turn a USAir subsidiary from November 1987) was tapped as a replacement carrier at the Indianapolis hub, but resumption of Peoria service would have to wait for more than a year. 

AMERICAN EAGLE (Simmons Airlines)
Anti-trust concerns delayed the transfer of Britt Airways' slots until completion of judicial review. But not for long: American Eagle probably added three roundtrips between Chicago-O'Hare and Peoria, for a total of nine, as early as January 23.

Effective February 3, the Peoria-Springfield route was eliminated but tag-ons to Burlington (one), Galesburg (two) and Quincy (one) were added, thus expanding total weekday service to 13 departures. All flights were operated by 36-seat Shorts 360s.

March schedules show a reduction to eight roundtrips between Chicago-O'Hare and Peoria. It seems likely, however, that a ninth O'Hare roundtrip was restored sometime in spring. 

BRANIFF EXPRESS (Air Midwest)
My brothers and I had just finished watching a movie (probably Star Wars: A New Hope) around Thursday, March 23, when it happened. We just switched the channel to WEEK TV-25 (Bill Houlihan's weather graphics were superior) when the first story covered the screen with footage of Braniff jets. The anchors reported plans by the airline to link Peoria with its Kansas City hub. Two days later, the Peoria Journal Star deflated my excitement when it reported that Air Midwest, operating as a "Braniff Express" partner (rather than Braniff itself), planned three roundtrips to Kansas City starting April 15.

This was the second version of Braniff, successor to defunct Braniff International Airways, which ceased operations May 13, 1982. Purchased out of bankruptcy in December 1983 by Hyatt Hotels, a new Braniff began operations with a fleet of Boeing 727-200s on March 1, 1984 with a hub at Dallas/Ft. Worth. Losses mounted and the carrier switched to a low-fare model. On April 28, 1985 the airline established a Kansas City hub with nonstops to six destinations.

In June 1988, Braniff gained a new management team which saw the opportunity to expand its own hub there as Eastern Air Lines (having established a Kansas City hub in late-1983) retrenched. The airline had already acquired Orlando-based Florida Express and its fleet of BAC-111s. Later, it acquired leased Boeing 737-200s, and placed orders for Fokker 100s (two replace the BAC-111s) and Airbus A-320s (to replace the 727-200s).

Eastern's action left commuter partner, Air Midwest, operating as "Eastern Air Midwest Express," without a partner, so it signed up with Braniff September 1988. Air Midwest's Peoria flights operated with 19-seat Fairchild Metros. One each way stopped at Moline. The new service restored a link to Kansas City that was lost when Continental cut service in early 1982.

Braniff Express service to Peoria was short-lived. Braniff's rapid expansion required financing and the airline borrowed heavily from several banks. Management proved extremely unethical and the carrier quickly faced cash shortages. This forced it to file for bankruptcy on September 28 and cease most flights. Peoria-Kansas City flights operated through Sunday, October 1. Braniff tried restarting operations but succumbed to mounting losses in December.

CONTINENTAL EXPRESS (Britt Airways)
Peoria flights were dropped after Sunday, January 22 as this carrier transferred slots to AMR Eagle. In the end, schedules show weekday arrivals from Bloomington-Normal (two), Chicago-O'Hare (five) and Galesburg (one) on a mix of FH-227s and Fairchild Metros. These aircraft could now be re-deployed to Continental Airlines hubs at Cleveland and Houston. 

MIDWAY CONNECTION (Fischer Bros. Aviation)
Both February and March 1989 OAG Pocket Flight Guides show five weekday (four on weekends) roundtrips linking Peoria with Chicago-Midway Airport. The once-daily Springfield tag-on is not shown in these schedules, but it did exist.

In December, parent Midway Airlines announced an order for 33 Dornier 328 turboprops for delivery in 1993. The aircraft, to be operated by Midway Connection, were to have 30 seats. 

NORTHWEST AIRLINK (Express Airlines I)
Service to Minneapolis/St. Paul remained unchanged throughout the year - three weekday (two weekend) roundtrips on 19-seat Jetstream 31s. 

TRANS WORLD AIRLINES/TRANS WORLD EXPRESS (Resort Air)
TWA's DC-9 jet service totalled four weekday (three weekend) roundtrips with four nonstops from and three nonstops to St. Louis (the fourth stopped at Champaign-Urbana). All service was nonstop by year's end. February and March schedules show all flights operated with DC-9-30s.

Resort Air dba Trans World Express maintained five weekday (four weekend) roundtrips between Peoria and St. Louis. The airline had acquired five, 48-seat ATR-42 turboprops between August and February 1989. Two of TWE's five Peoria-St. Louis roundtrips were being operated with the larger planes as early as February 1989. A third flight had been upgauged before year's end.

On a final note, Resort Air changed its name to Trans States Airlines on October 1. 

UNITED AIR LINES/UNITED EXPRESS (Air Wisconsin)
United Air Lines maintained a daily Denver-Peoria-Moline-Denver itinerary and a daily Denver-Moline-Peoria roundtrip, both operated with Boeing 737-200s. The airline typically upgauged to larger jets during peak travel periods. I recall seeing a 727-100 on the afternoon flight during the airshow, September 30. A 727-200 operated Denver-Cedar Rapids-Peoria during December while a 737-200 operated the Denver-Peoria-Moline-Denver afternoon itinerary.

As for Air Wisconsin dba United Express, February and March schedules show five weekday flights from, and four to, Chicago-OHare. A daily-except-Saturday flight to Moline provided balance. Sometime in 1989, it increased service to six Chicago-O'Hare roundtrips. The airline likely gained traffic from Britt Airways' exit early in the year, and not just Peoria. This trend may have prompted Air Wisconsin to order larger planes in the spring. The first of fourteen, 64-seat British Aerospace Advanced Turbo Props (ATPs) were scheduled for October delivery. They were intended to replace F-27s, which would move to the Washington-Dulles hub.

In August, Air Wisconsin asked the Federal Aviation Administration to raise 1981 commuter slot restrictions from 56 to 75 seat aircraft, effective September 21. At this time, the airline intended to begin scheduled service with its ATP fleet on December 15, and Peoria was one of the first markets slated for the new planes. Upgauge to the larger turboprops was considered a precursor to using BAe-146 jets here. By October, however, the target date for the ATPs entry into service was pushed back to March 1990.

PUSHING FOR A REGIONAL AIRPORT
At their February 1989 meeting, airport officials expressed a desire for status as a regional facility. This was in line with conclusions made by the recent regional airport study. Air cargo volume was booming, but passenger traffic had been flat for two years, thus officials had their work cut out.

At the March meeting, the airport authority decided on a name change that would be placed on its April agenda. Candidate names were

Central Illinois Regional Airport
Greater Peoria Regional Airport
Central Illinois Regional Airport at Peoria

The second option received unanimous approval at the April meeting. Frederick Butler, the lone public speaker at the board meeting, was given credit for swaying the board to this choice. Peoria City Council members objected to the first because it lacked "Peoria." Interestingly, when the board approved the name change June 21, Chairman Shaheen dissented in favor of the third option.

A name change would prove to be merely symbolic if PIA failed to attract more passengers from the central Illinois region, increasingly a challenge with coming changes in the airline industry.

NEWSPAPER SILLY SEASON '89
On February 12, the Peoria Journal Star ran a story, Is minihub in Peoria's future?, which was nothing but filler. Airlines preferred a large population base to support their hubs, something Peoria clearly lacked.

On March 29, the Peoria Journal Star ran a story on TWA's $3.6 billion order for 40 Airbus A-330 widebody jets. TWA intended these planes to replace its 747s and L-1011. The writer actually asked a spokesman for the airline whether the jets would be used out of Peoria!

An August 23 article noting United Express' plans to upgauge to larger turboprops flubs then-recent history -

the last jet service to Chicago was discontinued by Ozark in 1980.

The newspaper's own record clearly shows that Ozark Air Lines jet service to Chicago was dropped October 24, 1981 and that jet service to that city actually ended when TWA dropped its last roundtrip July 1, 1982.

AIR CARGO BOOM
PIA's air freight volume increased from 3.4 million pounds in 1980 to 20.2 million in 1989, and growth was expected to continue in the 1990s.

In April 1989, Consolidated Freightways purchased Emery Air Freight and renamed it "Emery Worldwide," and closed the former CF Air Freight hub at Indianapolis. Federal Express acquired Flying Tiger Line in December 1988 and absorbed its operations in August 1989, closing its hub at Columbus, Ohio's Rickenbacker Airport. This left but three cargo carriers serving Peoria: Airborne Express, Emery Worldwide and Federal Express.

In late-March, the airport authority made public its interest in the United States Postal Service hub, which had been operated by Evergreen International Airlines at Terre Haute, Indiana's Hulman Field since 1987. A 60,000 sq. ft. building on 15 acres with parking space for 15 aircraft was needed for a USPS sorting operation.

In April, the USPS decided against renewing Evergreen's contract. A bidding process for an operator was started later in the month. On July 7, Emery Worldwide won the contract, but chose its former CF Air Freight facility at Indianapolis Int'l Airport for the hub.

MISCELLANEOUS NOTES
In February, the airport authority drafted a privatization proposal and officials made a trip to Great Britian for discussions with BAA Plc, formerly British Airports Authority, which had been privatized in 1985. (BAA Plcs would eventually form a American subsidiary, BAA USA Inc., and contract for retail operations at Baltimore, Boston and Pittsburgh airports as well as a management contract for Indianapolis Int'l Airport before selling out in 2010.) Nothing further happened regarding privatization, but some hoped such a change might spur the GPAA's Chicago-Kansas City tollway proposal.

A 12- to 18-month noise compatibility study began in March.

The 182nd ANG's 30-seat C-131 Samaritan transport made its final flight for the group on April 23 and left for Lowry Air Force Base in Denver (for permanent display) on May 9. The venerable plane, a military version of the Convair 240, had been with the 182nd since June 1975. Prior to that, it served with the USAF at Wright-Patterson Air Force Base for twenty years. The replacement, a C-26A (Fairchild Metro III), had only 19 seats.

After ceasing operations on May 31, Air Kentucky owed the airport authority $9,017, but the carrier's bankruptcy made collection of those funds unlikely. At the GPAA's July meeting, boardmember Arthur Szold suggested requiring new tenants to post a $10,000 deposit. A panel approved the proposal in October, and would present it to the board for a vote at the November meeting (I found no indication the board approved this scheme; it probably died due to concerns it would deter new carriers/tenants from coming to the airport).

The Peoria Journal Star reported August 17 that the Federal Aviation Administration had recognized the airport's name change.

On October 2, Midstate College moved its travel classes to the space formerly occupied by the old Ozark Air Lines Central Reservation Center.

On September 19, a USAF E-4A (Boeing 747) practiced several landings and take-offs ("touch-and-goes") at PIA between 11:00am and 1:00pm. (On a personal note, I was walking southward on the outside track at Limestone Community High School during P. E. class when I heard a strange noise to my left. My jaw about hit the ground when I saw the giant jet cruising southeastward. I have a vague memory of one of two 1980 visits, but this one I remember quite well.)

"Peoria Air Fair '89" was held the weekend of September 30 and October 1. The U. S. Navy Blue Angels performed to 40,000 spectators on the first day and 50,000 on the second. Static displays included a C-5 (from Altus AFB in Oklahoma), a C-141 and C-130, as well as a B-1 (from Ellsworth AFB in South Dakota). The event made a $30,000 profit. This success prompted the airport to contact the USAF Thunderbirds and Canadian Armed Forces Snowbirds for a planned 1990 show.

SCHEDULES, ROUTE MAP
Passenger traffic totaled 428,966, up 2.6 percent from 1988. Short-lived commuter service to Indianapolis and Kansas City probably stimulated traffic and saved PIA from another decline. The following schedules are based on the OAG's March 1-April 1, 1989 Pocket Flight Guide.

The eight carriers serving PIA offered 40 weekday departures, which was a considerable drop from 49 just six months earlier. It should be noted that Air Kentucky dba Allegheny Commuter flights are included here, though they probably were not operated during this period. With that in mind, seven carriers offered 37 weekday departures.




- David P. Jordan

Comments

  1. PIA was slow but steady in the late 1980s. I do remember when they said cargo not passengers were their future. Funny how it turned out differently.

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