Thursday, June 01, 2006

CQ Air

We're hearing some strange info about CQ...no details yet, but we're more skeptical than we have ever been.

Update 6/2: We're glad we were a step ahead on this...though the reasons behind it are what we are interested in. Hat tip to Planespotting for the article link

6 Comments:

At 9:34 PM, Anonymous Anonymous said...

How about Festival, any news from them?

The website has been dormant for some time, with no new updates on the April 2006 destinations. By my watch, it is now June and have yet to see any updates.

I saw a write-up in a Pensacola magazine, but so far no news.

 
At 8:15 AM, Anonymous planespotting@gmail.com said...

http://www.pennlive.com/business/patriotnews/index.ssf?/base/business/114921331373680.xml&coll=1

HIA-based CQ Air delayed
Friday, June 02, 2006

A startup airline that plans to begin offering flights at Harrisburg International Airport has delayed a formal announcement.

CQ Air, based at HIA, was to announce on Monday its plans for serving the airport. Mike Adams, operations manager for CQ Air, said yesterday that the announcement has been postponed because details are not yet complete.

Adams would not say when CQ Air will launch its new service at HIA, but he said it still intends to do so.

 
At 10:18 AM, Blogger jeff fonner said...

i hope know one has high hopes for this company .....they seem to not be able to get off 1st base ....anybody know anything about small community air out of texas ......

 
At 12:01 PM, Blogger Emerging Airlines said...

Thanks Penn, we'll post it up.

 
At 8:02 AM, Anonymous planespotting@gmail.com said...

http://www.unison.ie/irish_independent/stories.php3?ca=35&si=1627397&issue_id=14167

Ryan's new US airline beats Aer Lingus to market

A FAST-growing US airline backed by one of Ireland's richest men, Ryanair founder Tony Ryan, is to float on the Nasdaq in coming weeks. The Las Vegas-based low-cost carrier Allegiant Air is planning to raise over $100m on the stock markets.

Although the pricing of shares has yet to be finalised, Allegiant could be worth well over $250m, based on analysis of other peer operators. This would value the Ryan family's stake at as much as $25m, representing a remarkable return on a $7.5m investment made just over one year ago. Merrill Lynch, Pierce, Fenner & Smith and Bear Stearns are advising the company.

Many of the traits that have made Ryanair such an enormous success have been replicated in Allegiant Air, with former Ryanair boss Declan Ryan serving as a director of the firm.

The airline's costs per passenger are far lower than most of its rivals. The carrier flies to 35 small regional airports across the US and does not offer free in-flight meals or other frills. Allegiant Air is also ramping up its ancillary revenue sources, having signed deals with hotels, car rental firms and show tickets.

The low-cost approach is clearly working. Last year, Allegiant Air had sales of $132.5m, representing an impressive growth of 47 per cent over the previous year's figures as it doubled its fleet to 22 planes.

Despite soaring fuel prices, the firm still had an operating margin of 6.4 per cent - which is higher than most other US carriers (with the exception of Ryanair role model Southwest Airlines).

Allegiant reported net income of $7.3m in 2005. Like Ryanair, it has no immediate plans to pay dividends.

The funds raised in the initial public offering will be used to expand Allegiant's services. The company has identified another 65 US and Canadian cities as possible new destinations from its Las Vegas and Orlando hubs. Other possible routes include Mexico and the Caribbean, according to the prospectus lodged with the SEC.

Allegiant Air was founded in 1997 and, rather like Ryanair, the fledgling carrier struggled in its early years. The firm filed for bankruptcy protection in 2000 and was restructured with industry veteran Maurice Gallagher taking control of the business.

The Ryan family invested in Allegiant in May of last year as part of a consortium including US venture capitalist Comvest - a multimillion dollar deal first revealed by the Sunday Independent.

Viva Air, the Ryan family investment vehicle, took a 10.2 per cent stake in the airline. Comvest owns 34.1 per cent, with CEO Maurice Gallagher holding 34.7 per cent. The Allegiant Air stake is one of a number of investments by the Ryan family in the low-cost aviation sector.

The Ryans also own about 16 per cent of rapidly growing Asian carrier Tiger Airways, which is based in Singapore. The family has also ploughed over €40m into new Mexican carrier AeroBus. The Ryans will own more than 40 per cent of AeroBus, with about 51 per cent owned by Mexican bus group Inversionistas en Autotransportes Mexicanos.

The speedy flotation of Allegiant Air is bound to annoy Dermot Mannion and his executives at Aer Lingus. The Irish semi-state remains mired in negotiations ahead of a long awaited listing.

 
At 11:33 PM, Blogger EJEvo said...

CQ Air: "strange" ain't the half of it - http://www.timesunion.com/AspStories/story.asp?storyID=777367

"Federal prosecutors in Pennsylvania say Sedlak used a non-existent airline, dubbed CQ Air, to arrange sex-for-cash trysts in hotels across state lines. They say the so-called executive also masqueraded a business called Diamond Escorts that used the Internet, employing women from Colorado to Bosnia as alleged prostitutes."

 

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