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https://nap.nationalacademies.org/catalog/27432/critical-issues-in-transportation-for-2024-and-beyond

HAULING A HALF MILLION PASSENGERS NINE AT A TIME : CAPE AIR OPERATES IN A NICHE OF ITS CHOOSING, SERVING THE COASTAL AREA OF MASSACHUSETTS AND THE RESORT AREAS OF FLORIDA AND THE CARIBBEAN

Cape Air is a niche airline in the coastal area of Massachusetts and the resorts of the Caribbean and Florida with a fleet of 50 nine-seat Cessna 402 piston twins. It balances its fleet between New England and warmer bases depending on the season. During the winter 12 to 15 aircraft are reassigned to Florida. It has interline agreements with all Majors. Average stage length is 50 miles. The southern routes produce about one-third of the company's revenues. Employees own about 30% of the company, which is privately held, and founding partner Grant Wilson owns another 25%. By sticking to smaller aircraft, it avoids large losses in low-load months and is able to implement on- the-spot schedule changes, with a plane leaving on the first leg of a flight as soon as it is full. Because most of the aircraft are older, they are well depreciated, so it doesn't cost as much to keep them idle when demand drops. It just signed its first codeshare agreement with Continental for the Caribbean network. It has recovered to pre- 2001 passenger levels, but the economics of aviation have changed.

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  • Corporate Authors:

    Penton Media

    1300 E 9th Street
    Cleveland, OH  United States  44114-1503
  • Authors:
    • Arnoult, S
  • Publication Date: 2003-4

Language

  • English

Media Info

  • Features: Photos;
  • Pagination: p. 86-87
  • Serial:

Subject/Index Terms

Filing Info

  • Accession Number: 00942744
  • Record Type: Publication
  • Source Agency: UC Berkeley Transportation Library
  • Files: BTRIS, TRIS
  • Created Date: Jun 2 2003 12:00AM