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Bermuda not affected by downsizing of USAir

Loss-making carrier, USAir, of which British Airways has bought a minority stake, is downsizing in an attempt to cut $100 million, a few hundred jobs and 240 flights.

But the move to cut five percent of its operation, in an effort to return to profitability, will not have an adverse effect on Bermuda, a local spokesman said.

In fact, local officials said that bookings indicate a positive trend for the year in the airline's Bermuda routes.

USAir station manager, Mr. Herbert Siggins, said that flights serving Bermuda have maintained a favourable "load factor'', a term used in the airline industry to quantify fare-paying occupancy.

"If it (the downsizing) has any impact at all, it will be a negligible one,'' Mr. Siggins said. "The philosophy behind the downsizing is to remove unprofitable routes or service from the system, consolidate and use different types of aircraft on less demanding routes.

"All of that will reduce our operating costs, yet still supply feed into the hub cities that service Bermuda.'' Mr. Siggins noted that there is to be an increase in services, with the April 5 start up of USAir's fourth daily flight, this one to and from Boston. Also, as of May 7, there will be a re-introduction of the Charlotte service that originates in Chicago, moving the total USAir package up to five flights a day.

"We certainly feel that we will be able to provide lift out of the mid-west states, and, out of Charlotte provide tremendous connecting capabilities for travellers to and from Bermuda,'' he said.

USAir discontinued their Boston service in November, but for the first time since flying to Bermuda, maintained three flights throughout the winter, consisting of airline service to Baltimore, Philadelphia and New York/La Guardia.

Mr. Siggins said: "Without question, I think that makes USAir the largest operator serving Bermuda. Bermuda represents a high-yield route. Our fares are pretty high relative to elsewhere in the system. That applies to both cargo and passenger carriage.

"We probably enjoyed on average 70-75 percent load factor last year during the peak. Anything, I think, over the 62 percent load factor represents making money.'' This summer, USAir will replace its Boeing 727 aircraft with the more economical 757s out of Philadelphia and Baltimore. The replacement air craft is a twin engine jet which carries 182 passengers (31 more than the 727) and also carries more cargo. In addition, it is more fuel efficient.

Other Bermuda flights for the airline will see an equipment change at the end of August with the introduction of the 737-400, again a more fuel efficient jet.

Mr. Siggins said: "USAir is certainly doing its bit here in Bermuda.

Projected loads are very rosy, indeed. We are looking forward to a very busy season.

"We are averaging right now about 100 passengers a flight, which means 300 a day. That's pretty good for March. People are enjoying coming to the Island and Bermuda's success is certainly our success.''