PU803
Topic Author
Posts: 139
Joined: Thu Aug 19, 1999 8:06 pm

UA Out Of Argentina

Wed Jan 23, 2002 2:22 am

Hi every one!
According with www.observa.com.uy UA will finish its flights to EZE soon. Is it true?
c u
Ido
 
bacardi182
Posts: 1029
Joined: Tue Jan 04, 2000 2:47 am

RE: UA Out Of Argentina

Wed Jan 23, 2002 5:15 am

What do you mean by "finish" it's flights soon? Even with the bad economy in argentina I am sure the beatiful people could still afford their shoping trips to miami. I am sure the buisness men still need to get back and forth so it would seem insane if United cut their flights. I am sure American wouldn't mind taking their rights to miami and have 3 daily flights! What ever happened to continental getting their rights to fly to eze? 1 out of 3 americans down there had to be from houston, and with all the oil buisness a flight to H-town would have to make money.
 
airafriquedkr
Posts: 392
Joined: Fri May 04, 2001 12:16 pm

RE: UA Out Of Argentina

Wed Jan 23, 2002 6:49 am

Continental was awarded rights to operate EWR-EZE by the DOT. They were planning to start the route this past december but asked the DOT to defer the start up date. Their request was denied and the DOT allowed other airlines sumbit requests for the unused frequecies. I don't know what the outcome was though.
 
Frostbite
Posts: 213
Joined: Sat Feb 17, 2001 4:31 am

RE: UA Out Of Argentina

Wed Jan 23, 2002 6:56 am

If I'm not mistaken....traffic rights awarded to CO for EWR-EZE were reallocated to DL when CO postponed their entry into the market. A real coup for DL, as for a long time the ATL-EZE route was #1 on DL's international expansion list.

I have a hard time believing UA would axe their EZE services altogether. If so...great news for their competition, especially DL, the new kid on the block.
 
Hoffa
Posts: 946
Joined: Wed Nov 21, 2001 8:04 am

RE: UA Out Of Argentina

Wed Jan 23, 2002 7:18 am

If UA files for bankruptcy, I would expect this to happen. UA is probably in worse shape than Argentina at the moment!
 
MAH4546
Posts: 24521
Joined: Wed Jan 24, 2001 1:44 pm

RE: UA Out Of Argentina

Wed Jan 23, 2002 7:24 am

UA, pull out of Argentina? I doubt it. Even with the current economic situations aside, MIA-EZE is an immensely profitable route and fills up biz and first almost everyday. They did suspend JFK-EZE, but it is back.

Bacardi, more like 1 out 3 Americans in Buenos Aires are from Miami. Oil is not that big in Argentina. Venezuela is were it is huge.

CO recieved the rights for EWR-EZE, but postponed them. Then it was between UA (IAD), DL (JFK), and AA (DFW). Don't know what happened since then. If UA suspendeds the flights, AA will take, without hesitation, MIA-EZE and gladly make it triple-daily. It is reportedly thier most profitable route outside of the LHR flights.
a.
 
matt777
Posts: 476
Joined: Wed Oct 24, 2001 8:55 am

RE: UA Out Of Argentina

Wed Jan 23, 2002 8:56 am

Hi everyone!
I am so sad that my favourite airline, the one that got me from Argentina to the world more than 10 times, leave my country. Although I think the routes are very profitable...

I think that the spot was given to Aerolineas Arg. insted of CO... In EZE-LAX route... can anyone confirm this?

Regards from Argentina  Big thumbs up
Matt Vivaldi.
 
MAH4546
Posts: 24521
Joined: Wed Jan 24, 2001 1:44 pm

RE: UA Out Of Argentina

Wed Jan 23, 2002 9:07 am

Matt777, nothing to be sad about, they are not leaving Argentina. The spot was not given to AR on EZE-LAX instead of CO on EWR-EZE, because AR already had EZE-LAX (though they have yet to resume it, will they?).
a.
 
RJ_Delta
Posts: 1391
Joined: Sun Oct 22, 2000 4:17 am

RE: UA Out Of Argentina

Wed Jan 23, 2002 9:17 am

Hi:

Probabvly United won't cut the route to EZE but will reduce the flight. Maybe cancel the route to Chicago.

Regards,
RJ_Delta.
 
User avatar
STT757
Posts: 13174
Joined: Tue Mar 28, 2000 1:14 am

RE: UA Out Of Argentina

Wed Jan 23, 2002 11:09 am

In the route awarding DL received ATL-EZE, then the following year CAL was awarded EWR-EZE. However CAL saw that Argentina's economy was down the tubes so asked for a deferal, when forced to chose between launching it immediately or loosing it CAL decided not to launch it.

DAL was then awarded the frequency for JFK-EZE, however they too wanted a deferal. Next was UA's application for EZE-LAX, UA when awarded decided they wanted to fly the route from IAD instead of LAX. When forced to chose between LAX or no flight at all UAL chose no flight.

The transportation Dept thus decided to postpone the new route awarding indefinetly.

All this came about as the US and Argentina were preparing for an openskies agreement, that's now impossible because of the political instability in Buenos Aires. So DL was the only carrier to receive a new EZE frequency, the ATL flight was not taken away but was to be the first of many new route awards.

However after a year of flying ATL-EZE, and the other airlines watching DL's performance the realization was that this route was not going to make anyone any money for the forseeable future.
Eastern Air lines flt # 701, EWR-MCO Boeing 757
 
MAH4546
Posts: 24521
Joined: Wed Jan 24, 2001 1:44 pm

RE: UA Out Of Argentina

Wed Jan 23, 2002 12:03 pm

How is ATL-EZE? It didn't take long for it to downgrade from an MD-11. I had heard it was doing pretty well, but recently read that it is now doing poorly. Though with the current economic situation in Argentina, outside of the Miami (4x daily) and New York (2x daily) markets , there really is not demand to go there. Hopefully that will change soon. I do think if UA cuts in Argentina, it will be ORD-EZE-MVD, with the MVD segment moving to JFK or MIA (more likely JFK, since that flight is a 763 and AA already has MIA-EZE-MVD).

Why was UAL forced to fly LAX-EZE or nothing at all? Why were they against IAD-EZE?
a.
 
lima
Posts: 1090
Joined: Sun May 30, 1999 11:37 am

RE: UA Out Of Argentina

Wed Jan 23, 2002 8:28 pm

The article at Observador (Uruguayan newspaper) states it would first reduce frequency and ultimately cancel all services. The reason is because United has (as almost all people in Argentina) their accounts freezed and thus unable to retire US dollars. This causes problems when expenses are abroad or when repatriating funds.

Not only United but other airlines are also asking the government to ease the restrictions, if not they would be forced to stop flying. Airliners are lobbying through JURCA, the association of all airlines operating in the country.

British Airways already to reduced weekly flights to three, from six a week.

 
bacardi182
Posts: 1029
Joined: Tue Jan 04, 2000 2:47 am

RE: UA Out Of Argentina

Thu Jan 24, 2002 5:36 am

Well i hope that UA doesn't give up on argy! If EZE looses all of her foreign airlines then what will happen? AR is not dependable enough for buisness travelers, so without a good airline to get US buisness men down there, how will US buisness' survive? If US buisness fails in argentina then why would our government continue to help (the only reason the US government even cares about argentina is because of all the US money invested)? The country could easily go straight to hell if united starts the domino effect!
 
User avatar
STT757
Posts: 13174
Joined: Tue Mar 28, 2000 1:14 am

RE: UA Out Of Argentina

Thu Jan 24, 2002 7:24 am

UA had to take LAX or nothing because that's what they applied for, if DL and CAL couldn't alter their application (they wanted to push back the dates they would launch the service) UAL couldn't change theirs either.

They went by the original applications, no changes. Since no one wanted to obied by what they pledged in their initial applications then the whole process was suspended indefinetly.

Also ATL-EZE is losing DL lots of money, their sticking it out hoping that it will benefit them in the future.
Eastern Air lines flt # 701, EWR-MCO Boeing 757
 
Guest

RE: UA Out Of Argentina

Thu Jan 24, 2002 7:48 am

Regarding BA, their ops table says the thrice-weekly will last until 31 March.

I presume that after this date, they will re-evaluate their situation in Argentina and increase/reduce flights accordingly.

I'm flying with BA on the 25th March to EZE. Yay!!

Regards

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