ExpressJet CEO Explains Ontario's New Role

Feb. 12, 2007
An important factor for ExpressJet to be able to reduce trip times, turning a five- to six-hour trip into a two- to three- hour flight that gets travelers where they need to go directly.

Jim Ream is an airline guy, from the nuts and bolts to the corporate offices.

Starting in 1980 as the lead aircraft mechanic with Evergreen International Aviation's Areomedical Division, he worked his way into the white-collar end of the business at American Airlines.

By 1996 he was president and chief operating officer of Continental Micronesia and he moved up from their to senior vice president for Continental's Asian division.

In 1999 Ream became president and COO of Continental Express and since 2001 he has been president and chief executive officer of ExpressJet Airlines.

This past week, ExpressJet announced a deal to use LA/Ontario International Airport as its West Coast hub, significantly increasing the number of flights and nonstop destinations that can be accessed from ONT.

Ream sat down for Six Questions with Business Editor Michael Rappaport this week.

Q. What were the determining factors in choosing LA/Ontario International Airport as your new hub?

A. ExpressJet looked for airports that could provide convenient, nonstop service to destinations that were not currently being served and were the right size for our 50-seat aircraft.

It was an important factor for ExpressJet to be able to reduce trip times, turning a five- to six-hour trip into a two- to three- hour flight that gets travelers where they need to go directly.

Q. How can airlines better utilize an underappreciated airport like LA/Ontario International Airport?

A. Airlines can partner with airports and gain a better understanding of the communities they serve to ensure that the services they adopt fit the needs of the community.

Last week, ExpressJet sent representatives out into the 24 communities we will serve to start gathering localized knowledge. We will continue to value the feedback we receive from each destination.

Q. What does your new service offer to the business traveler specifically and to the customer traveling for pleasure?

A. ExpressJet offers convenient, nonstop travel that saves any type of traveler time.

We also thought about our in-flight product offerings to make sure that customers have an enjoyable flight. We will offer complimentary headsets and over 100 channels of XM Satellite Radio.

We will provide free, recognized name-brand snacks on every flight and full meal service on longer haul flights. We will offer complimentary Coca-Cola products and beer for $1.

Liquor and wine will be available for $2 to $3. We redesigned our leather seats with memory foam to make the cushions more comfortable. And we will provide valet gate check bag service, so you don't have to fight with your bags on the airplane.

Q. How do security concerns make things more difficult?

A. Security is an important aspect of what we do. We work closely with the TSA and FAA to ensure we are supporting the policies they put in place while causing the least disruptions to our customers' trips.

Q. What are some of the future possibilities for ExpressJet?

A. With 80 percent of our fleet committed to capacity purchase agreements, allocating 20 percent into markets that offer more strategic control and a greater potential for future growth is the right mix for ExpressJet.

We will continue to look for ways to diversify our business and add value to our partners and customers.

Q. What does ExpressJet have to offer that is different from other regional carriers?

A. ExpressJet operated approximately 50,000 flights in December as Continental Express. We canceled only 17 for maintenance.

For over five years, we've operated at a 99.9-plus percent operational reliability. We offer superior reliability coupled with a customer focus that is designed to make travel more convenient and enjoyable for our customers.

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