Return to Transcripts main page

CNN Live At Daybreak

Fly For Less: New Low Cost Airline

Aired July 31, 2003 - 06:16   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


CAROL COSTELLO, CNN ANCHOR: An airline you have never heard of is floating a new idea that could bring cheaper fares to your city. It's all part of an imaginative trend, airlines fighting for ways to stay in the air and win your business.
Let's go live to Dulles International Airport in Virginia. CNN's Bill Prasad is there. Tell us about this.

BILL PRASAD, CNN CORRESPONDENT: Good morning, Carol.

Now, Carol, I know you have worked in Washington, so you have probably walked through Dulles International Airport numerous times, but you've never seen a sign for Atlantic Coast Airlines. Most people have never heard of the airline. But what they are about to do is unprecedented and it could save you hundreds of dollars.

(BEGIN VIDEOTAPE)

BILL PRASAD, CNN CORRESPONDENT (voice-over): Bob Ayers knows what it's like to pay for a last minute, expensive plane ticket. It once cost him an additional $700.

BOB AYERS, AIRLINE TRAVELER: I think it's really obscene the amount of money that you end up having to pay.

PRASAD: Atlantic Coast Airlines wants passengers like Bob Ayers. Right now they are partners with United flying their commuter line. But their plan is to break away from United and start flying to major cities under their own banner.

UNIDENTIFIED MALE: Well what they are doing has never been done before, taking a regional airline and converting it into a low cost, mainline carrier.

PRASAD: Some analysts say the old airline model doesn't fly in today's economy. Smaller airlines like Southwest, JetBlue and AirTran use limited routes and less expensive fares to chip away at big carrier business. Atlantic Coast wants to build on this model by catering to last minute flyers with cheap tickets.

UNIDENTIFIED MALE: Well we expect our average fares in the market to be 30 to 40 percent lower than what they are today.

PRASAD: For Atlantic Coast, it's risky business. But for consumers, it's another opportunity to save money. Flyers like Bob Ayers say they're on board with anything that will leave a few more bucks in their pockets. AYERS: I wish them luck because that's really, really needed.

(END VIDEOTAPE)

PRASAD: Not long ago, we checked to see how much it would cost for a last minute ticket to Atlanta. We saw prices ranging from $235 all the way up to $770. Atlantic Coast Airlines wants you to be able to buy a last minute ticket for only about $150. Now if you are wondering if they plan to fly out of your city, you will have to be patient, they haven't come out with a destination list yet.

We are live at Dulles International Airport. Carol, back to you.

COSTELLO: I was just expressing amazement, 100 bucks for a last minute airline ticket?

PRASAD: Right, about $100 to $150. And imagine how convenient that would be for you. You could fly virtually anytime, just run in, grab the ticket, you're out the door.

COSTELLO: Well, yes, I have a lot of friends in Washington, I'd love that.

Thank you, Bill, we appreciate it.

PRASAD: You're welcome.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com







Aired July 31, 2003 - 06:16   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: An airline you have never heard of is floating a new idea that could bring cheaper fares to your city. It's all part of an imaginative trend, airlines fighting for ways to stay in the air and win your business.
Let's go live to Dulles International Airport in Virginia. CNN's Bill Prasad is there. Tell us about this.

BILL PRASAD, CNN CORRESPONDENT: Good morning, Carol.

Now, Carol, I know you have worked in Washington, so you have probably walked through Dulles International Airport numerous times, but you've never seen a sign for Atlantic Coast Airlines. Most people have never heard of the airline. But what they are about to do is unprecedented and it could save you hundreds of dollars.

(BEGIN VIDEOTAPE)

BILL PRASAD, CNN CORRESPONDENT (voice-over): Bob Ayers knows what it's like to pay for a last minute, expensive plane ticket. It once cost him an additional $700.

BOB AYERS, AIRLINE TRAVELER: I think it's really obscene the amount of money that you end up having to pay.

PRASAD: Atlantic Coast Airlines wants passengers like Bob Ayers. Right now they are partners with United flying their commuter line. But their plan is to break away from United and start flying to major cities under their own banner.

UNIDENTIFIED MALE: Well what they are doing has never been done before, taking a regional airline and converting it into a low cost, mainline carrier.

PRASAD: Some analysts say the old airline model doesn't fly in today's economy. Smaller airlines like Southwest, JetBlue and AirTran use limited routes and less expensive fares to chip away at big carrier business. Atlantic Coast wants to build on this model by catering to last minute flyers with cheap tickets.

UNIDENTIFIED MALE: Well we expect our average fares in the market to be 30 to 40 percent lower than what they are today.

PRASAD: For Atlantic Coast, it's risky business. But for consumers, it's another opportunity to save money. Flyers like Bob Ayers say they're on board with anything that will leave a few more bucks in their pockets. AYERS: I wish them luck because that's really, really needed.

(END VIDEOTAPE)

PRASAD: Not long ago, we checked to see how much it would cost for a last minute ticket to Atlanta. We saw prices ranging from $235 all the way up to $770. Atlantic Coast Airlines wants you to be able to buy a last minute ticket for only about $150. Now if you are wondering if they plan to fly out of your city, you will have to be patient, they haven't come out with a destination list yet.

We are live at Dulles International Airport. Carol, back to you.

COSTELLO: I was just expressing amazement, 100 bucks for a last minute airline ticket?

PRASAD: Right, about $100 to $150. And imagine how convenient that would be for you. You could fly virtually anytime, just run in, grab the ticket, you're out the door.

COSTELLO: Well, yes, I have a lot of friends in Washington, I'd love that.

Thank you, Bill, we appreciate it.

PRASAD: You're welcome.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com