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Airlines

Name: PEOPLEXPRESS
7JetSet7 Code: VPX
Status: Currently Not Operational
Region: NORTH AMERICA
City: NEWPORT NEWS
Country: USA
Employees 77
Web: FlyPex.com
Email: info@FlyPex.com
Telephone: +1 (702) 647-7700
Fax: +1 (702) 646-6871
Sita:
Background
(definitions)

Click below for data links:
VPX-2014-06-JUNE START-A
VPX-2014-06-JUNE START-B
VPX-ROUTE MAP

Formed and started operations in 2014. Start-up low cost carrier (LCC). Domestic, regional & international, charter passenger & cargo, jet airplane services.

Address:
Newport News
Virginia, USA

USA (United States of America) was established in 1776, it covers an area of 9,363,123 sq km, its population is 280 million, its capital city is Washington DC, and its official language is English.

May 2014: Vision Airlines (USA) ((IATA) Code: V2, based at Las Vegas McCarran) (VIS) is to operate public charter services on behalf of PEOPLExpress (VPX) (based at Newport News, Virginia) using one of its 737s. (VIS) is currently recruiting cabin crew (CA) for the services in the Newport News area with PEOPLExpress (VPX) having previously mentioned Newport News to Newark as its preferred first route.

According to one of PEOPLExpress (VPX) applications to the USA Department of Transportation (DoT) in March of this year, among the carrier's initial planned services are also Washington National to Myrtle Beach, due between June and October of this year, followed by flights from Washington National to West Palm Beach International due from October until March 2015. PeoplExpress (VPX)'s first flight is tentatively set to launch "around" June 16.

It recently emerged that PEOPLExpress has now withdrawn its own application to the (DoT) for air carrier certification (AOC) on the grounds that recent significant changes in its organization and financing have rendered the information lodged in its original application out-of-date.

Vision Airlines (VIS) currently operates 6 airplanes, and serves 2 destinations, 1 route and 2 daily flights.

June 2014: Vision Airlines has revived a 1980s low-cost carrier (LCC), PEOPLExpress (VPX), which launched June 30 with 2x-daily service between Newport News and Newark, and daily service to Boston and Pittsburgh - - SEE ATTACHED - - "VIS-737-400-PEOPLEXPRESS-2014-06."

In addition, the startup (LCC) begins daily service to West Palm Beach on July 15 and Atlanta on August 1. It will also launch 3x-weekly service to St Petersburg, Florida, and New Orleans on August 28.

"PEOPLExpress" previously was an early (LCC) model, which operated from 1981 to 1987, before merging with Continental Airlines (CAL).

The Newport News, Virginia-based carrier will have an initial fleet of three Boeing 737-400 airplanes, each with 150 seats (138 with coach seating and 12 “Living Large” seats featuring more personal space for a fee). Both seating options will feature the same level of in-flight service.

“PEOPLExpress (VPX) has been looking at market opportunities to replace service that Newport News lost to places like Boston and New York and other under-served markets, that have seen service declines with consolidation of the airline industry,” said Jeff Erickson, (CEO) a long-time airline executive, on behalf of (VPX).

Erickson said PEOPLExpress (VPX) has developed a “low-cost, à la carte service model that enables customers to create a customized travel product reflecting their individual wishes and budgets. Customers can choose to fly at an ultra-low price with friendly and attentive service but minimal frills or they can opt to purchase extras they want to make their trip more enjoyable, such as priority boarding, pre-assigned seating or an upgrade to a Living Large seat.”

According to (VPX), fares start as low as $76 each way. Erickson said, “Add-on fees let customers decide what they want to pay for. While this is common in the industry, our difference will be in the level of service we provide and can-do attitude from check-in to arrival,” he said. “It’s the service and level of personal attention that makes a difference.”

July 2014: Vision Airlines (VIS)’ revived low-cost carrier (LCC), PEOPLExpress (VPX), began operations Monday June 30th. (VPX) is using an old brand name of the 1980s. (VPX) launched six weekly flights to Boston, Massachusetts (BOS). Secondly, it inaugurated 11 weekly services to New York Newark, New Jersey (EWR). The last route was launched to Pittsburgh, Pennsylvania (PIT) with daily flights. There is no competition on any of the three new airport pairs.

The Newport News/Williamsburg International Airport, Virginia (PHF)-based (LCC) (VPX) will launch four additional destinations this summer: West Palm Beach, Florida (July 14), Atlanta, Georgia (August 1), and St Petersburg, Florida; and New Orleans, Louisiana (August 28).

(VPX)'s initial schedule offers just six weekly flights to Pittsburgh, daily flights to Boston, and twelve times weekly to New York Newark, with plenty of airplane downtime in the start-up phase to be able to recover the schedule should anything untoward occur. All operating sectors are relatively short, with all three routes under 750 kms in length.

These first flights are operated under wet-lease by Vision Airlines (VIS), an established USA charter and scheduled airline, as PEOPLExpress (VPX) is actually still awaiting (FAA) certification. Erickson said certification is expected in about 18 months.

(VPX) operates three 150-seat Boeing 737-400 airplanes. Fares start as low as $56 each way for travel through July. “People have been very receptive and supportive of our low fares and convenient nonstop service,” said Jeff Erickson, a long-time airline executive leading the startup. “From the very beginning, PEOPLExpress (VPX) was designed to provide a fun, creative and innovative approach to air travel to dispel the myth that low air fares have to mean low service or an impersonal experience.”

PEOPLExpress (VPX) said it has developed a low-cost, a la carte service model enabling customers to create a “customized travel product reflecting their individual wishes and budgets.”

Fees for checked bags are $20 for the first bag, and $25 for the second. "Living Large" seats are available at $59 per flight segment, exit row seats are $25 each way, advance seat assignments are $15 each way, while carry-on bags in overhead bins are $25 for each bag per segment. Beverages are available for purchase to accompany complimentary snacks.

The "old PEOPLExpress" created waves in the relatively uncharted territory of the embryonic (LCC) industry, when it was first launched in 1981, with low-fare, no-frills flights featuring cash payment on board. The original PEOPLExpress was the first USA carrier modelled after the UK’s low cost Laker Airways, and was based out of Newark’s old North Terminal. It started out with domestic services only, before adding international flights from Newark to London Gatwick (as well as Montreal and Brussels) starting at $149 each way. Sodas were 50 cents and a snack pack of cheese, crackers and salami was $2. PEOPLExpress was also one of the first airlines to charge fliers for a single first checked bag, at $2 (now its $20, rising to $25 for a second, and $75 for a third!).

Despite initial success, problems began with an over-ambitious expansion of the airline, including a spending spree on acquiring other airlines. Its no-frills philosophy also failed to win over fliers accustomed to a higher-end experience found on the carriers it had acquired, making its financial situation worse. In the end, some of its assets were sold off, and its remaining operations were absorbed into Continental Airlines (CAL) (now merged into United Airlines (UAL)) in 1987.

August 2014: PEOPLExpress (VPX) which was reinvigorated recently with three routes, continued to expand its Newport News, Virginia (PHF) offering with the addition of a new sector to Atlanta (ATL) on August 1st. (VPX)’s fifth served destination from Newport News will be operated daily, utilizing its 150-seat 737-400s and will face direct competition from Delta Air Lines (DAL)’s 36 weekly operations. In addition, (VPX) launched six weekly flights to West Palm Beach on July 14th.

PEOPLExpress (VPX) begins 4x-weekly, Newports News/Williamsburg - Orlando service on October 16.

September 2014: PEOPLExpress (VPX) continued to expand its Newport News (PHF) offering with the addition of two new sectors on August 28th. (VPX) inaugurated twice-weekly (Wednesdays and Saturdays) operations on the 1,500 km sector to New Orleans (MSY). Furthermore, it also launched thrice-weekly (Mondays, Fridays and Sundays) flights to St Pete-Clearwater, Florida (PIE). Both new airport pairs will face no competition and are operated utilizing (VPX)’s 150-seat 737-400s. PEOPLExpress (VPX) is also preparing to commence flights to its eighth destination from Newport News on October 16th (to Orlando).

Later, however, Vision Airlines (VIS)’ revived low-cost carrier (LCC) PEOPLExpress (VPX) (which began services in June) announced it is temporarily suspending service, effective immediately. It plans to re-launch on or about October 16.

“Recent airplane and crew availability and maintenance issues, including an airplane recently damaged by a vendor’s truck, an engine change and a lack of a planned spare airplane, have made it challenging to operate a full schedule, preventing us from delivering the passenger experience we are striving for,” it said, adding it is processing refunds to passengers for flights booked through October 15.

The relaunch of the 1980s’ (LCC) offered service between Newport News, Virginia; Newark, New Jersey; Boston, Massachusetts; and Pittsburgh, Pennsylvania. It recently announced service to Orlando, Florida, and Charleston, West Virginia starting October 16.

The Newport-News-based (LCC) “has successfully served 55,000 passengers on 817 flights since launching service on June 30, demonstrating the need for additional nonstop air service to underserved markets as a result of airline industry consolidation,” it said. “We are still committed to restoring the concepts of respect, value and excitement to the air travel experience, but to do so successfully, we need to enhance our platform to operate airplanes not just safely but also with the ability to provide consistently outstanding schedule integrity.

"We still intend to launch previously announced service to Orlando and Charleston, West Virginia, starting October 16,” PEOPLExpress (VPX) said.


ACCORDING TO "AIRLINER WORLD" IN http://www.airlinerworld.com
IN 2015, "PEOPLEXPRESS" WAS LISTED AS ONE OF THE AIRLINE FAILURES
ACCORDING TO THE GLOBAL AIRLINE GUIDE.

Fleet:
(definitions)

Click below for photos:
VPX-737-400-2014-06
VPX-737-400-2014-06-A

October 2014:

3 737-400 (CFM56-3C) (N745YA - - SEE PHOTO - - "VPX-737-400-2014-06"), (VIS) WET-LSD 2014-06. 12C, 138Y.

Management:
(definitions)

Click below for photos:
VPX-2-MIKE MORISI-C-2014-08

JEFF ERICKSON, CHIEF EXECUTIVE OFFICER (CEO).

MIKE MORISI, CHIEF OPERATING OFFICER (COO) & FOUNDER.
anna.aero (aa) 30-sec Interview 2014-08:
Some 27 years after the original airline folded, the name "PEOPLExpress" is back in the air, this time based at Newport News Airport (PHF), Virginia and not New York Newark (although the New Jersey airport was one of the initial three routes (along with Boston and Pittsburgh) started on June 30th). With two further routes launched to Palm Beach (July 14th) and Atlanta (August 1st) and two more to come this month, New Orleans (August 28th) and St Pete-Clearwater (August 29th), PeoplExpress (VPX) is offering a mix of business and leisure destinations. Officially one of the busiest of people in the USA airline industry at the moment, as the (LCC) ramps-up its initial operations with its two 150-seat 737-400s, this 30 seconds interview with PEOPLExpress (VPX)’s Founder & (COO), Mike Morisi discusses stage two in the airline’s plans.

anna.aero aa: It’s been a frantic few weeks for you – what’s been your biggest high and your deepest low in that time?
Mike Morisi: The greatest high has of course been seeing our first flight of customers take off. It’s truly a dream come true, and there is no way to appropriately explain how emotional it is to see the culmination of years of hard work all come to that moment. Honestly, I get the same feeling every time I watch one of our flights take off. Another real high for me is watching our Customer Service Managers work. We took a group of excited passionate people, trained them quickly in the airline business, and threw them into the deep end of the pool, and they are amazing to watch. The family feeling we have here among nearly 100 people, makes it a fun place to be. We have a team of senior leaders, who practice servant leadership every day, and it has permeated the entire family. (When pushed for a low, Morisi replied) Nope. No lows. Having a blast.

aa: Five down (Boston, Pittsburgh, New York Newark, Palm Beach, Atlanta) and two to go (New Orleans, St Pete-Clearwater) – where next for (VPX)?
MM: We are talking to Vision [Airlines] (VIS) about adding additional airplanes for the winter, and have selected five more cities — so stay tuned. Some may surprise you…

aa: Would you consider international routes from (PHF)? Cross border to Canada or into the Caribbean or Mexico perhaps?
MM: Absolutely — we will consider that, but we really want to prove our concept and then crawl, walk, run. No need to expand too fast or outside of our niche. There is plenty of untapped opportunity here.

aa: Is there a finite size to the (PHF) market (in terms of destinations and/or airplanes)?
MM: There are about a dozen markets we see potential for, from here, some on a less than daily operation. We also see (PHF) as a solid spot for a small “hub” operation connecting customers from the northeast to southern markets. We have an exclusive terminal, so connection times can be short and quite frankly, the best crab cakes in our café you have ever eaten.

aa: Are you planning to bring the "PEX" brand to other smaller community markets like (PHF)?
MM: We have identified several possible focus cities where we can replicate our operation here.

aa: Where will this start-up succeed, where Vision (VIS)’s previous efforts at Destin/Fort Walton and Myrtle Beach failed?
MM: I don’t know much about Vision (VIS)’s operations in the past. I believe they launched with 30+ cities and an aggressive utilization plan that may have been a little too aggressive. We have found the Vision (VIS) team to be very solid professionals, and we have a positive relationship with them.

aa: Would you say that the (VPX) business model is closest to Allegiant (WJE), Southwest (SWA), or JetBlue (JBL)? Or are you creating your own business model?
MM: Maybe the best of each of them.

aa: Would you advocate the use of a former famous airline brand as the name for a start-up?
MM: I’m not sure. I believe "PEOPLExpress" was an iconic brand that was merged into Continental (CAL) and not one customer got stranded or cancelled. Very smooth transition.

 
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