PIA - A History: Events of 2003


The year 2002 marked PIA's return to the top as Central Illinois' busiest passenger air facility. As soon as 2003 dawned, however, threats of service cuts increased as the airline industry reeled from a shaky economy, financial losses, terror threats and new regulations. The year offered a lot of drama, so I'll analyze each carrier's service and end with a bright spot which continues to the present day.

AMERICAN CONNECTION (Trans States Airlines)
Having been relegated to secondary status (i. e., not part of the American Eagle network), former TW Express carrier Trans States Airlines was limited to providing "American Connection" feeder service to American Airlines' St. Louis hub. 

American Airlines' rationale for acquiring TWA was in part to gain a reliever hub to Chicago-O'Hare, which had a cap placed on flights during the tumultuous summer of 2000. American's idea may have worked if not for 9-11 and the subsequent air travel slumps. Cutbacks were inevitable and tradition held no sway. 

In April 2003, American Connection eliminated two of nine weekday St. Louis roundtrips. On November 1, American Airlines downsized its St. Louis hub by half (from 421 down to 214 departures, but only 55 operated by American mainline jets). American Connection simultaneously reduced Peoria-St. Louis roundtrips by four, leaving just three operated by 30-seat Jetstream 41s. 

AMERICAN EAGLE (American Eagle Airlines)
For most of 2003, Peoria to Chicago-O'Hare service totaled four daily roundtrips on 50-seat Embraer 145 or 44-seat Embraer 140 regional jets. To compensate for reduced American Connection service to the downsized St. Louis hub, Peoria to Chicago-O'Hare roundtrips increased to six on November 1. 

DELTA CONNECTION (Atlantic Southeast Airlines)
Three daily roundtrips between Peoria and Atlanta remained static through 2003, reflecting the continuing stability and popularity of the route. Some flights, however, were being operated with a 40-seat, rather that 50-seat, version of the CRJ200. 

NORTHWEST AIRLINK (Mesaba Airlines)
On March 21, Northwest Airlines announced that it would reduce domestic service by 12 percent. The decision had already been made to downsize Peoria service, so cuts were accelerated. On April 5, three daily nonstops to Detroit ended, and Minneapolis/St. Paul nonstops were reduced from three to two daily on May 1. All flights were operated by 34-seat Saab 340 turboprops. The reduction in Minneapolis/St. Paul service was partly due to the loss of Peoria-Bloomington "tag-ons" in April 2002. Without these, PIA-MSP roundtrips gained capacity, thus one probable reason for the eventual reduction in frequency. 

UNITED EXPRESS (Air Wisconsin, Atlantic Coast Airlines, SkyWest Airlines)
Everyone knew that United Air Lines' December 9, 2002 Chapter 11 filing would lead to service reductions. PIA officials, initially optimistic that they would be spared, learned in just a few months what cuts were coming. 

In early spring, SkyWest Airlines was to begin operating one of two daily Peoria-Denver roundtrips, though it appears this may not have happened. Then on May 5, the route was suspended altogether. At the time, the suspension was believed to be temporary. United's online reservations page showed service resuming from June 14, but that didn't happen either. 

Atlantic Coast Airlines added a fourth Peoria to Chicago-O'Hare roundtrip in the summer. In late-July, after failing to come to a new partnership agreement, ACA announced that its relationship with United Air Lines would end in the near future. On November 19, the carrier announced plans to transition into a Low-Cost Carrier (LCC) called "Independence Air" from a base at Washington-Dulles Int'l Airport. Another carrier would have to provide United Express service to Peoria starting in 2004. 

CLOUDY SKIES AHEAD?
Loss of United Express' Denver nonstops, Northwest Airlink service to Detroit, and cuts in American Connection flights to St. Louis ended a two-year period of growth. In 2001, PIA handled 400,920 passengers and 423,582 in 2002. But in 2003, traffic dropped about 13 percent to 368,835 passengers. 

American Airlines threatened bankruptcy if its three biggest unions (pilots, flight attendants and ground personnel) did not agree to concessions. Short of cash as credits were due, the carrier's board of directors at parent AMR Corporation planned to approve a Chapter 11 filing by the evening of April 16. Fortunately, all of the unions approved concessions, which brought the carrier's unit costs in line with its competitors.  

To their credit, the Airport Authority did not just sit on its hands and make excuses. On May 28, the airport authority awarded a contract to London, England-based PA Consulting Group to study the Peoria air service market and how to grow it. 

At the July GPAA board meeting, officials determiend that United Express' Denver service suspension was permament and began the process of looking for a replacement hub. Airport Director Solomon Balraj met with American Airlines officials at their Fort Worth, Texas headquarters to discuss an alternative to St. Louis flights. 

Good news came on December 18 when the Heartland Partnership, a coalition of local business organizations, told the Peoria Journal Star in a meeting that an unnamed Low-Cost Carrier planned to begin nonstop flights to Las Vegas in March 2004. Although the intended destination made the carrier's identity obvious to industry observers and airline enthusiasts, the public would have to wait until early in the new year to learn any further details. 

AIR CARGO
I could not find any full-year cargo data at PIA for 2003. Figures for the first six months of the year, however, was 23.9 million pounds, down almost seven percent from the same period in 2002. if you double that figure to an average 46 million or so, and you get a noticeable drop from 2002's 50.9 million pounds. A new contract with FedEx Express was expected to increase cargo volume at PIA, but that never materialized. Fuel prices would rise in subsequent years and more cargo was diverted to the highways. 

FedEx Express did, however, offer the most service at PIA with five weekly roundtrips each between Memphis and Madison (WI) and four-weekly roundtrips between Indianapolis and Des Moines, with flights stopping at Peoria in each direction. Boeing 727-200Cs operated on all flights. Menlo Worldwide contractor Ryan International Airlines provided about five days a week service to its Dayton, Ohio hub with Boeing 727-200Cs. PIA was usually a stop between Dayton and a western city. Air Cargo Carriers provided Louisville-Peoria-Moline flights with Shorts 360s and DHL Worldwide Express flew Fairchild Metroliners on a Cincinnati-Peoria-Moline routing. 

PRAIRIE AIR SHOW
The Prairie Aviation Museum and Eagle Radio (WDQX 102.3) put on an air show at the Greater Peoria Regional Airport on July 5-6. The museum had organized the 2002 show as a trial run. Impressed by the airport authority's cooperation, signed a deal to host airshows at PIA for five years through 2007. The United States Air Force Thunderbirds performed at the 2003 show, during which the demonstration team was celebrating its 50th year. 

CENTRAL ILLINOIS REGIONAL AIRPORT
Peoria's closest rival saw passenger traffic peak at 476,063 in 2000 but then drop to 444,360 in 2001 and 411,197 in 2002. CIRA was affected by the same trends as PIA, and airline service would suffer in 2003. 

The bad news started early. In February, Frontier Jet Express delayed and eventually cancelled plans for two daily nonstop roundtrips between CIRA and Denver. Frontier had assumed greater financial risk in a new agreement with its Frontier Jet Express partner, Mesa Air Group. Apparently, CIRA wasn't worth the risk, even for a $500,000 financial guarantee. 

CIRA lost both nonstop and single-plane (via Peoria) to Minneapolis/St. Paul on May 1. Northwest Airlink cited "poor financial performance" for the change, though an inconvenient schedule implemented about a year earlier was cited by airport officials for a decline in load factors. Peoria's loss of Detroit nonstops strengthened CIRA's service to that city, however. 

On November 1, American Connection reduced CIRA-St. Louis roundtrips from nine to three weekday roundtrips, but American Eagle resumed its CIRA to Chicago-O'Hare on the same date with four weekday roundtrips. 

In December 2003, AirTran Airways announced that it would start a fourth weekly roundtrip between CIRA and Atlanta on February 11, 2004. The additional turnaround would be operated by AirTran Jet Connection in partnership with Air Wisconsin, which used 50-seat CJR200s. (If I remember correctly, that carrier actually operated two roundtrips, while AirTran operated the other two with Boeing 717-200s.) Shortly, the carrier announced that CIRA-Orlando would be upgraded from Saturday one-way to a daily roundtrip. CIRA was on a role again for 2004. 

In July 2003, CIRA could boast the following weekday totals:

AirTran Airways - 3 nonstops to Atlanta 
American Connection - 9 nonstops to St. Louis
Northwest Airlink - 3 nonstops to Detroit
United Express - 4 nonstops to Chicago-O'Hare

So the four carriers offered 19 weekday departures to four hubs: Atlanta, Chicago-O'Hare, Detroit and St. Louis. Cutbacks to St. Louis by American Connection (9 dropping to 3 roundtrips) and the restoration by American Eagle of Chicago-O'Hare service (4 weekday roundtrips), reduced this number to 17 on November 1. 

The mix of good and bad during 2003 turned out positive for passenger numbers, which totaled 419,568. CIRA had regained its position as top commercial airline facility in Central Illinois!

NEWSPAPER SILLY SEASON
A certain Peoria Journal Star writer/columnist continued to use "ridership" in relation to airline load factors. 

MISCILLANEOUS
In late-January, the airport spent $50,000 to move its gift shop to the front of the passenger terminal to make room for a second security checkpoint. 

The United States Postal Service's check processing center sometime in 2003. Opened in 1995 in the former Ozark Air Lines reservation center, the facility was no longer needed after a 20 percent decline in check volume in the prior eight years. 

On July 15-16, the Experimental Aircraft Association brought Aluminum Overcast, a 1945-built B-17 "Flying Fortress," to the Greater Peoria Regional Airport. The public could pay up to $395 per person to fly the aircraft, but for a lower entry fee, most opted to take a look from ground level for $6 ($5 for those age 8 to 17). On Thursday, July 17, the bomber left for Aurora and then flew on to Oshkosh. 

In early September, a Champaign-based consultant, Clark Dietz Inc., was hired by the City of Peoria to spruce up a preferred route between downtown and the Greater Peoria Regional Airport. Called the "River City Gateway Southwestern Corridor Study," it mentioned Martin Luther King Drive and Lincoln Avenue to Harmon Highway was one that could be improved with trees and shrubs along the right of way. The usual route takes visitors along SW Adams Street, but city officials were embarrassed that they might see local scrap yards enroute, and other sites generally avoided by local elites. 

In October, wi-fi access was expanded throughout the passenger terminal. Previously, traveler with laptops had to use the airport's lounge to get access. 

The passenger terminal parking lot was expanded from 1,550 to 1,927 spaces and re-aligned rows to ensure better efficiency. Lighted and heated bus shelters, lighted walking paths, new signs and changes in lanscaping. The project, completed in December, cost $3.8 million, and was funded 80 percent by state grant. 

PEORIA'S AIRLINE SERVICE/ROUTE MAP
I lack complete schedules for any month in 2003, but can summarize that service in July 2003 consisted of the following weekday totals:

American Connection - 7 nonstops to St. Louis.
American Eagle - 4 nonstops to Chicago-O'Hare
Delta Connection - 3 nonstops to Atlanta
Northwest Airlink - 2 nonstops to Minneapolis/St. Paul
United Express - 4 nonstops to Chicago-O'Hare

So the five carriers offered 20 weekday departures to four hubs: Atlanta, Chicago-O'Hare, Minneapolis/St. Paul and St. Louis. The loss of Denver and Detroit appears shocking. By November, loss of most American Connection service to St. Louis was offset in part by increased American Eagle service to Chicago-O'Hare but still resulted in a drop to just 18 weekday departures. 




- David P. Jordan

Comments

  1. Thanks so much. I appreciate these historical updates

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