
JetBlue secured slots for flights to Amsterdam this summer, just five weeks after initiating a regulatory complaint against Dutch authorities. While the airline seems likely to launch the route, it is not yet willing to drop the complaint.
The continued evasiveness and indifference on the part of the Government of the Netherlands in response to the issues in this proceeding, particularly with respect to new entrant access, raises the serious question of whether any satisfactory resolution of JetBlue’s complaint can be reached in the absence of countermeasures under the IATFCPA.
-JetBlue DOT filing
Slots Granted
First, the good news: JetBlue secured slots at Amsterdam’s Schiphol Airport for the Summer 2023 season (which starts next weekend). After previously denying JetBlue access to the FlyBe slots vacated by that carrier’s bankruptcy, the Dutch slot regulator ACNL decided to grant JetBlue those slots for the season.
Pretty much everything else about the situation, however, remains bad news for JetBlue.
For starters, the timing of the FlyBe slots is not conducive to transatlantic service. The timings were reasonable for service to the UK, but afternoon arrivals are not feasible for a redeye flight. JetBlue would have to schedule its JFK departure at 1:20am for the 3p arrival slot to work. Still, JetBlue accepted that slot “underscoring its eagerness to enter the U.S.-Amsterdam air services market,” per the latest regulatory filing.
Since that slot was allocated ACNL has identified earlier times that would be available for JetBlue, though they will vary from day to day. While not as bad as the 1:20a US departure, inconsistent operating times are generally undesirable for airlines, especially when looking to serve higher value premium passengers.
In a similar filing, KLM suggests that JetBlue secured two sets of slots, also allowing service from Boston:
KLM understands ACNL offered JetBlue two pair of AMS slots for the Summer traffic season (one pair each for JFK-AMS and BOS-AMS) and JetBlue accepted both JFK-AMS and BOS-AMS. KLM understands further both slot pairs permit daily service during hour bands suitable for JetBlue’s proposed services.
-KLM DOT Filing
JetBlue only addresses a single operation in its filing.
A temporary solution
Even if the times were stellar, the slots would still be somewhat tainted. ACNL agreed only to allocate the slots on a temporary basis. This means they are not guaranteed to carry through to the Winter season (after 28 October). And there’s also no guarantee they will be reallocated in 2024, as they do not come with so-called “historical rights.”
Customers would be adversely impacted and JetBlue would face reputational harm if, shortly after entering the market, JetBlue were forced to cancel its services due to a lack of any slots for the upcoming scheduling season.
– JetBlue DOT Filing
JetBlue rightfully notes that launching services for a short season with no guarantee of future operations is a significant expense, with lower likelihood of financial success.
Fleet challenges
Beyond the slots, there’s also question of whether JetBlue has the aircraft available to launch the route so quickly. Delivery delays from Airbus have limited the A321LR fleet to just six frames today. The airline needs at least that many to operate its planned 5 daily trips to London and also inaugurate Paris service as planned.
In its 2022 annual report filed earlier this year, JetBlue acknowledged further delays expected from Airbus. Only four more A321LR aircraft are expected this year. Depending on when the planes arrive, perhaps one could be allocated to the Amsterdam route.
Alternatively, JetBlue could use the A321neo Mint configuration for some transatlantic flights. It has done so in the past, though the on-board experience in economy class takes a hit, as the planes don’t have ovens for hot meals in the back.
Keeping the fight alive
And so, despite securing slots, JetBlue believes its fight with the Dutch remains open. It is pressing the US government to ignore the objections filed to its request and continue to pursue its complaint, ensuring better access for JetBlue, as well as future new entrants.
ACNL’s recent temporary allocation of ad hoc slots of questionable long-term viability to JetBlue does not bring the Government of the Netherlands into compliance with the Agreement, as JetBlue will have no claim to those slots effective with the Winter 2023 scheduling season. The urgency of this matter is heightened by the Government of the Netherlands’ implementation of the Balanced Approach, involving a drastic reduction in annual movements at AMS, without any mechanism to facilitate new entrant access to the airport
-JetBlue DOT Filing
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Sounds like KLM is not happy about this. KLM/DL have monopoly routes to BOS & JFK as well as other city pairs. Congratulations to Jetblue
If the price is right, 1:20 a.m. departure is no problem at all. Even for work travel it gives you the evening to freshen up rather than go straight to the office from the airport and gives you the entirety of the business day in New York and a leisurely and traffic free trip to a calm airport – and many people will prefer this.
If the price is “right” then the airline loses money on the operation, so that’s not a useful long-term option. And if there really were many people who wanted the 1:20a departure airlines would offer it already. They don’t and they don’t.
It is bad for connections, bad for local traffic, and bad for revenue/yields.