Travel

Is the Era-Frontier merger good for Alaska travelers?

News came out Tuesday about the prospective merger of Era Aviation and Frontier Alaska, the holding company for Frontier Flying Service and Hageland Aviation.

All three of these firms are commuter carriers that fly single- or twin-engine prop planes around the state. It's not the same as Delta and Northwest joining forces. Many travelers who just fly south from Anchorage may never end up on one of these planes.

For those travelers who use the services--primarily outside of Anchorage--the news could be good or not-so-good, depending on how things turn out.

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Most Anchorage travelers are familiar with Era Aviation. The company flies twin-engine Dash-8s, which hold 37 passengers, as well as Beechcraft 1900Ds, which hold up to 19 passengers. Destinations include Kenai, Homer, Kodiak, Cordova, Valdez, Fairbanks and Bethel.

Lately, Era's been making a big deal about its new service to Fairbanks and Bethel--offering web specials each week on its website.

Fairbanksans are more familiar with Frontier Flying Service. The Hajdukovich family has operated the airline for more than 30 years. With its fleet of Beechcraft 1900Cs, the airline flies from Fairbanks to Anchorage, Barrow, Barter Island, Prudhoe Bay, Nome, Kotzebue and Ft. Yukon.

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Hageland flies smaller aircraft, linking hub communities like Aniak and St. Marys with smaller villages like Eek and Emmonak.

Almost a year ago, Hageland and Frontier Flying Service joined forces in a holding company, since neither carrier had the cash to buy out the other. "Both companies were struggling," Hajdukovich said at the time.

Era Aviation had its own share of struggles, having emerged from bankruptcy a couple of years ago. In the process, Era sold off its largest aircraft, the Convair 580s, as well as its fleet of DHC-6 Twin Otters. The airline dropped its village service between Bethel and dozens of rural communities, as well as service to Iliamna and Whitehorse. The airline added the Beechcraft 1900D, which it determined was compatible with many of its routes. Steve Jackson took the job as CEO. Previously, he was CFO of Hawaiian Airlines-and helped bring that carrier out of bankruptcy.

Through the bankruptcy and subsequent sale to a group of private investors, Era maintained its popular code-share arrangement with Alaska Airlines. Travelers were booked and tickets on Alaska flights, operated by Era Aviation. Travelers received frequent-flyer mileage points on Era. And Era created and maintained a compatible computer reservations system.

The larger aircraft, the reservations system, the airline's presence in Anchorage, and the code-share arrangement made Era an attractive package for Frontier Alaska. Financial terms of the purchase were not disclosed.

Although Frontier negotiated a mileage agreement with Alaska Airlines, the carrier has been slow to implement the mileage accrual guidelines and has yet to determine how much mileage travelers must redeem to fly on a Frontier Alaska flight.

Hajdukovich indicated that Era will operate as an independent entity. Hopefully, he will be able to use Era's expertise in computer reservations to better-integrate the yet-to-be-implemented mileage tie-in with Alaska. And travelers may have a better time flying between Galena and Kenai or Kodiak--since there's just one airline.

In the background is Alaska Airlines--the mainline carrier for which all of these commuter carriers provide downstream business. Clearly, Alaska Air would be happier with a commuter carrier that has a compatible reservations system to make for seamless transitions when traveling from Ft. Yukon to Portland.

As rural aviators know, there's more to Alaska flying than writing an e-ticket and earning miles. Postal contracts, freight and regulatory oversight also play into the successful equation. Hageland, Frontier and Era have built up many loyal customers in many communities. To successfully integrate these companies into entities that can provide seamless service for travelers will be quite a trick.

To keep them from going out of business in a slack economy is a good first step.

Online resources:

Era Aviation. Visit Era's site for information on routes, their own frequent flyer plan and weekly web specials. www.flyera.com

Frontier Alaska. Check the extensive route system of Hageland Aviation and Frontier Flying Service. www.frontierflying.com

Alaska Airlines. On Alaska's site, you can see the airline has other code-share and mileage partners in the state, including PenAir. www.alaskaair.com

Scott McMurren

Scott McMurren is an Anchorage-based marketing consultant, serving clients in the transportation, hospitality, media and specialty destination sectors, among others. Contact him by email at zoom907@me.com. Subscribe to his e-newsletter at alaskatravelgram.com. For more information, visit alaskatravelgram.com/about.

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