Midwest unveils details of low-fare service

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Midwest unveils details of low-fare service

MILWAUKEE (AP) =97 Midwest Airlines earned its reputation catering to=20
business travelers seeking flying comforts, but it's now targeting a=20
different market =97 vacationers wanting lower fares. The airline is=20
launching a low-fare service in August with nonstop flights from Milwaukee=
=20
to five leisure destinations: Denver, Orlando, Fla., Las Vegas, Phoenix and=
=20
Los Angeles. One-way fares will range from $92 to Orlando to $139 to=20
Phoenix, according to Midwest, which is based in Oak Creek, Wis. The=20
company will call its low-fare service Midwest Airlines Saver Service and=20
its traditional service Midwest Airlines Signature Service. "If the service=
=20
is as successful as we think it will be, you can look for us to add more=20
cities in the future," said James Rankin, the new service's general=20
manager. The airline will fly 25% more passengers per low-fare flight by=20
adding an extra row of narrower seats, compared with the signature=20
service's more spacious two-by-two leather seats, said Carol Skornicka,=20
Midwest senior vice president. Travelers on the low-fare flights also will=
=20
get drinks, snacks, baked-onboard cookies and the same service as the=20
signature brand, Rankin said. The company won't hire extra workers for the=
=20
new service, which will use MD-80 jets.

The service is one of several moves the airline is making as it tries to=20
survive an industrywide slump =97 and one others are trying, too. Delta Air=
=20
Lines recently started a low-fare East Coast carrier, Song, and United=20
Airlines has similar plans. Midwest's parent, Midwest Express Holdings=20
Inc., posted a $10.5 million loss in 2002. The low-fare competition means=20
Midwest needs to make sure it differentiates its service from its=20
competitors, said Robert Lamb, an airline expert and business professor at=
=20
New York University. The market at Milwaukee's Mitchell International=20
Airport also will get more crowded in July when Northwest Airlines begins=20
six new nonstop flights from the city. Mike Boyd, an aviation consultant=20
with the Boyd Group of Evergreen, Colo., said airlines that start low-fare=
=20
entities generally are unsuccessful, but he thinks Midwest's service will=20
work. "Their traditional product has pretty much reached a plateau," Boyd=20
said. "Now they're going into another different product, but one that=20
doesn't confuse the customer."


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