S.C. Airport Trying to Lure Replacement For Independence

Independence Air proved more Columbia residents will fly if they have an affordable service.

Local airport officials hope the numbers will persuade another airline to quickly fill the hole that will be left Thursday when the low-cost carrier departs for its final flight.

"Now, we'll go to other airlines and say 'These folks have been carrying a lot of people, and they need seats,'" said Mike Flack, Columbia Metropolitan Airport executive director.

The failed airline increased passenger traffic through the Columbia airport because it forced other airlines to lower their fares. As a result, fewer people drove to Charlotte in search of a cheaper ticket.

As of November, 1.34 million passengers had traveled through the Columbia airport in 2005, up nearly 19 percent from the same time period last year.

In 2005, the Columbia airport released a survey that found one-way fares to Washington, D.C., dropped to $70 from $166 because of Independence Air?s arrival.

According to a U.S. Department of Transportation study, the average one-way fare from Columbia to Washington, D.C., cost $125 during the first quarter of 2005.

Flack said the erratic industry makes it hard for anyone to predict future ticket prices. But he doesn?t expect large increases in Columbia because Delta Air Lines restructured its pricing system in 2005. And USAir?s merger with American West is going to result in a low-cost carrier model, he said.

However, some analysts predict prices will creep up without Independence Air's competition.

Marty Craig, an analyst with Page, Rich, Tremain and Craig in Hilton Head, said airlines charge higher prices in underserved markets.

"I suspect in most cases when markets are not served well that premiums are normally charged," he said. "It seems to be the standard procedure carriers take until someone else comes in and starts the price war."

Flack said he intends to find another airline, which would bring new competition.

He and other airport officials are constantly recruiting carriers to the Columbia airport. Flack said they have some prospects, but he declined to name them. It's possible Independence Air's departure will encourage another airline to speed up its decision to come to Columbia, he said.

Airlines consider a region's population base and its potential for customers before committing to the airport, Flack said.

The Columbia airport also is negotiating with another company to take over an Independence Air maintenance hangar, Flack said.

Craig said he expects another airline will fill Independence Air's void in Columbia.

"Any capital city is of interest to any air carrier," Craig said.

However, starting service in a new market is expensive. Airlines must spend money on employees, airplanes, licensing and rental fees at airports, he said.

Decision-making can be slow.

A company such as Southwest will study a market for up to two years before deciding to enter it, Craig said. Columbia has courted Southwest.

Once Independence Air leaves, the Columbia airport will have about 150 fewer seats available each day for passengers, Flack said.

Delta added to the decline in late 2005 when it restructured its routes after filing bankruptcy. Delta offers 14 daily departures from Columbia, compared with 25 at its peak, Flack said.

Flack expects the airport to lose revenue from parking fees and concession sales. However, it will not lose money on landing fees and gate rentals. Other airlines servicing Columbia will absorb the $500,000 Independence Air paid to use the airport each year, he said.

Until another airline fills Independence Air's empty passenger gates, the Columbia airport and its passengers will miss what it offered.

"Independence Air has done a wonderful job for us and the community," Flack said. "I truly regret it didn't work. It's a disappointment.?"

Reach Phillips at (803) 771-8307 or [email protected].

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