Song of the Airlines

Last week, Delta Air Lines announced it will phase out its carrier-within-a-carrier, Song, by May, 2006. The Song fleet of 48 Boeing 757-200 aircraft will be reconfigured with first-class seating and redeployed on domestic routes. Meanwhile, the song that Delta execs are singing continues to be one of melancholy, in light of its Chapter 11 bankruptcy protection and the prospect of eliminating as many as 9,000 jobs. Of the mini-carriers which have been attempted by the legacy carriers over the years, only United's Ted will remain. However, in light of United's third-quarter 2005 financial report that featured a record $1.77 billion loss, one has to question how long Ted or big brother United will be in existence. The November 1 edition of The Wall Street Journal features an analysis of U.S. hub airports and comes to what is generally an agreed upon conclusion: The diminished presence of a major hub carrier stimulates new competition, which in turn results in reduced fares for consumers from the hub city to a host of destinations. Is it any wonder consumers continue to seek alternatives to the legacy carriers? The question, of course, is how will this all unfold? Another question is, at what point do consumers turn away from a carrier because of the fear that Chapter 11 protection could turn into Chapter 7 liquidation overnight, leaving them stranded? Perhaps it's time for DOT/FAA to begin a regular Index of Reliability for carriers- not on-time performance, but a measure of the likelihood that a carrier will still be in business so that consumers can plan accordingly. Looking at an itinerary that takes me on United over the Thanksgiving holidays, it could prove reassuring. But then, it wouldn't be the first time I spent a night sleeping on the floor at Chicago O'Hare. Thanks for reading.