Inter-Office Memo Reno-Tahoe Airport Authority Date: November 30, 2009 To: Statistics Recipients From: Krys T. Bart, A.A.E., President/CEO Subject: RENO-TAHOE INTERNATIONAL AIRPORT PASSENGER STATISTICS U.S. DOMESTIC INDUSTRY OVERVIEW FOR Average Load Factor: 80.8% (all RNO carriers systemwide) Number of Flights: Down 3.7%* Capacity of Seats: Down 5.1%* Fuel: $80 per barrel ending October 2009 vs. $68.50 per barrel October 2008 * Source: APGDat RNO OVERVIEW FOR Average Load Factor: 83.0% Total Passengers: Down 9.8% Air Cargo: Down 14.6% Number of Flights: Down 10.1% Capacity of Seats: Down 11.4% RNO AIRPORT SUMMARY For the month of October 2009, RNO airlines reported a decrease in passengers of 9.8% compared to October 2008, or 32,066 fewer passengers. Nationwide three percent fewer passengers traveled on U.S. Airlines in October, while the average price to fly one mile fell 13.5 percent. The US airline industry, battered for more than a year by economic turmoil, has had to slash capacity over the last year to offset weaker demand and support fares. Additionally, fuel prices have crept back up and are now $12.00 higher for October 2009 vs. October 2008. Year-to-date passenger traffic at RNO has declined 16.87% or 648,148 fewer passengers.
The load factor at RNO continues to break records with the reduction in flights and seat capacity. The October 2009 average load factor for RNO air carriers was 83.0%, the highest October load factor on record and a 6.4 point increase over October 2008. The flights out of RNO have had a load factor over 80% for 6 of the previous 10 months with a year-to-date average load factor for RNO air carriers of 81.5%, 5.5 points higher than the same period for 2008 RNO Air Cargo at 8,519,360 pounds (3,863.7 metric tons) decreased 14.6% in October 2009 as compared to the same month 2008. U.S. domestic air cargo revenue ton miles declined 2 percent in September 2009 (the latest data available). Year-to-date RNO s air cargo is down 17.95% compared to the same period in 2008. Shipping volumes and prices have slipped substantially over the past 18 24 months, however, the air-cargo industry is starting to see signs of a muted recovery. Indicators show the industry has hit bottom when it comes to volumes of freight flown, and there are signs of modest growth. U.S. domestic air cargo is now up 12% over the low point in December 2008. TOTAL PASSENGERS In October 2009, a total of 295,080 passengers traveled to and from RNO. This is a decrease of 9.8%, or 32,066 fewer passengers, from the same period last year and is the smallest decline year-over-year in the last 19 months. Year-to-date, a total of 3,193,463 passengers have flown in and out of RNO which is a 16.87% decline, or 648,148 fewer passengers, versus the same period in 2008. With high U.S. unemployment as one of the key factors impacting consumer buying decisions, it comes as little surprise that both leisure and business travel demand continues to diminish. AIRLINE LOAD FACTORS In the month of October 2009, RNO airlines reported a solid average load factor of 83%, which is 6.4 points higher than RNO s average load factor in October 2008. Two carriers posted a double digit increase in load factor over 2008 and all RNO carriers posted an increased load factor over October 2008. Of exceptional note, American and Delta had remarkable increases of 17.1 and 20.4 points respectively compared to their RNO October 2008 load factor. On a systemwide comparison, four carriers exceeded their system average load factor. Skywest posted the largest increase over their system average with 11.2 points followed by American at 11.0, Alaska/Horizon at 10.2 and Delta at 6.4. Southwest RNO load factor came in significantly less than their systemwide load factor (-16.3 points) even though they increased their RNO load factor 5.4 points over October 2008. 2
October 2009 RNO Airline Load Factor and System-Wide Comparison Airline Reno LF System LF Difference Alaska/Horizon 83.6% 73.4% 10.2 American 94.1% 83.1% 11.0 Delta 90.6% 84.2% 6.4 Skywest 91.5% 80.3% 11.2 Southwest 62.9% 79.2% -16.3 United 77.0% 83.1% -6.1 US Airways 81.0% 82.6% -1.6 AIRLINE MARKET SHARE RNO is served by seven major airlines providing 60 nonstop departures to 15 destinations. Southwest Airlines had the largest percent of the RNO market share for the month at 54.5%, an increase of 1.82 points over October 2008. United held a 13.1% market share in second place and US Airways in third increasing market share by 1.76 points to 8.21%. Alaska/Horizon suffered the greatest loss of market share (-1.93) reducing one flight to Los Angeles (LAX), one to Portland (PDX) and one to Seattle (SEA) followed by American Airlines who reduced one flight per day to Dallas/Fort Worth (DFW). Delta gained the most market share in October (+3.4%) by substituting larger mainline equipment (737-800) for regional jet aircraft increasing available seats by 74 per day. October 2009 RNO Airline Market Share Percentage Airline October 2009 October 2008 Change Alaska Air Group 7.42% 9.35% -1.93 American 8.10% 10.02% -1.92 Delta 5.22% 1.86% +3.36 Skywest 2.14% 2.88% -0.74 Southwest 54.5% 52.68% +1.82 United 13.1% 14.75% -1.65 US Airways 8.21% 6.45% +1.76 Non-Scheduled 1.0% 1.25% -0.25 3
SCHEDULED DEPARTURES AND SEATS During the month of October, RNO reported 1860 scheduled departures, 10.1% fewer departures than October 2008. The October 2009 available seats at 222,673 represent a 11.4% decrease year-over-year from October 2008. There were 10 daily reductions in departures in October 2009 vs. October 2008 that were a result of consolidating flights in existing markets with American dropping one daily flight (Dallas/Fort Worth); Horizon reducing 3 flights (1 Seattle, 1 Portland and 1 Los Angeles); Southwest reducing 5 flights (1 Seattle, 1 Boise, 1 Phoenix, 1 San Jose and 1 Oakland) and United dropping one flight (Denver). It should be noted, however, 4 of the flights referenced above are scheduled to return in early 2010. DOMESTIC AND INTERNATIONAL CHARTER PASSENGERS In the month of October 2009 there were 4184 total charter passengers, an increase of 2.5% vs. October 2008. Allegiant reported the majority of charter passengers at 3,147 as a result of 18 Harrah s charter flights and one UNR football charter. Frontier Airlines and USA 3000 also each had one UNR football charter. Southwest Airlines had two military charters as well as one UNR football charter. TOTAL OPERATIONS Total RNO airport operations for the month of October declined 9.6% to 8,036 operations, 853 fewer operations than October 2008. Total airport operations consist of scheduled air carrier arrivals and departures, air taxi flights, general aviation landings and take-offs, and military aircraft operations. TOTAL CARGO A total of 8,519,360 pounds, or 3,863.7 metric tons, was handled at RNO during the month of October for a 14.6% decrease over October 2008. Year-to-date RNO cargo is at 80,990,784 pounds or 36,730.5 metric tons, a decrease of 17.95% compared to the same period in 2008. KTB:cf 4
TOTAL PASSENGERS Jan Feb Mar Apr May 475,000 June July Aug Sept Oct 425,000 Nov Dec PASSENGERS 375,000 325,000 275,000 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC PASSENGERS¹ PASSENGERS¹ Month 2007 2008 Percent Change 2009 Percent Change January 395,878 385,612-2.59% 295,827-23.28% February 393,086 403,819 2.73% 300,028-25.70% March 481,370 435,495-9.53% 336,652-22.70% 1st Q Total 1,270,334 1,224,926-3.57% 932,507-23.87% April 406,237 354,768-12.67% 304,829-14.08% May 421,078 370,145-12.10% 312,441-15.59% June 458,338 403,441-11.98% 347,038-13.98% 2nd Q Total 1,285,653 1,128,354-12.23% 964,308-14.54% July 465,487 411,332-11.63% 352,504-14.30% August 473,858 412,002-13.05% 344,815-16.31% September 398,219 337,851-15.16% 304,249-9.95% 3rd Q Total 1,337,564 1,161,185-13.19% 1,001,568-13.75% October 397,367 327,146-17.67% 295,080-9.80% November 375,463 283,256-24.56% December 377,706 309,771-17.99% 4th Q Total 1,150,536 920,173-20.02% TOTALS 5,044,087 4,434,638-12.08% 3,193,463-16.87% ¹Per Landing Reports % change YTD Chart #1
MONTHLY ENPLANED PASSENGERS PASSENGERS¹ Jan Month DIFFERENCE Feb January 200,334 195,981 149,813-23.56% Mar February 195,997 200,851 150,894-24.87% Apr March 240,880 221,875 170,497-23.16% May April 207,443 179,845 152,685-15.10% June May 209,557 183,861 155,965-15.17% July June 229,576 201,271 174,608-13.25% Aug July 232,164 205,791 174,412-15.25% Sept August 235,318 205,576 172,175-16.25% Oct September 202,311 172,607 154,305-10.60% Nov October 201,859 166,339 150,427-9.57% Dec November 188,434 141,456 December 183,595 148,563 TOTALS 2,527,468 2,224,016 1,605,781 ¹Per Landing Reports Monthly Enplaned Passengers 245,000 225,000 PASSENGERS 205,000 185,000 165,000 145,000 125,000 January February March April May June July August September October November December Chart #2
MONTHLY DEPLANED PASSENGERS PASSENGERS¹ Month DIFFERENCE Jan January 195,544 189,631 146,014-23.00% Feb February 197,089 202,968 149,134-26.52% Mar March 240,490 213,620 166,155-22.22% Apr April 198,794 174,923 152,144-13.02% May May 211,521 186,284 156,476-16.00% June June 228,762 202,170 172,499-14.68% July July 233,323 205,541 178,092-13.35% Aug August 238,540 206,426 172,640-16.37% Sept September 195,908 165,244 149,944-9.26% Oct October 195,508 160,807 144,653-10.05% Nov November 187,635 141,800 Dec December 194,111 161,208 TOTALS 2,517,225 2,210,622 1,587,751 ¹Per Landing Reports - Scheduled and Charter Monthly Deplaned Passengers 245,000 225,000 PASSENGERS 205,000 185,000 165,000 145,000 125,000 January February March April May June July August September October November December Chart #3
MONTHLY ENPLANED PASSENGER LOAD FACTOR SUMMARY Monthly Load Factor 100% 95% 90% 85% 80% 75% 70% 65% 60% 55% 50% 45% 40% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2007 73.10% 75.70% 81.80% 76.45% 77.46% 82.96% 80.80% 81.90% 75.80% 77.00% 71.10% 69.30% 2008 68.10% 75.06% 75.20% 72.51% 72.54% 79.51% 79.86% 79.13% 81.62% 76.59% 70.7% 69.70% 2009 71.02% 79.81% 80% 74.85% 78.75% 88.60% 85.61% 86.90% 86.33% 82.97% ENPLANED PASSENGERS* LOAD FACTOR (%) DIFFERENCE Month (2009 / 2008) January 198,737 195,981 149,813 73.10 68.10 71.02 2.9 February 193,576 200,851 150,894 75.65 75.06 79.81 4.8 March 237,470 221,875 170,497 81.78 75.20 80.00 4.8 April 204,156 179,845 152,685 76.45 72.51 74.85 2.3 May 206,369 183,861 155,965 77.46 72.54 78.75 6.2 June 226,577 201,271 174,608 82.96 79.51 88.59 9.1 July 229,238 205,791 174,412 80.75 79.86 85.61 5.8 August 232,031 205,576 172,175 81.89 79.13 86.92 7.8 September 199,578 172,607 154,305 75.77 81.62 86.33 4.7 October 198,499 166,339 150,427 77.07 76.59 82.97 6.4 November 184,384 141,456 71.48 70.67 December 181,472 148,563 69.13 69.67 *** 2,492,087 2,224,016 1,605,781 76.96 75.04 81.49 5.5 * Per Landing Reports *** AVERAGE OF AIRLINE LOAD FACTORS Chart #4
LOAD FACTOR BY AIRLINE Carrier Seats Available ***Enplaned Passengers 2009 Load Factor (%) 2008 Load Factor (%) Difference Alaska / Horizon 13,376 11,189 83.6% 77.1% 6.5 American 12,694 11,946 94.1% 77.0% 17.1 Delta 8,583 7,776 90.6% 70.2% 20.4 Delta Connection 3,720 3,404 91.5% 91.2% 0.3 Southwest 129,411 81,425 62.9% 57.5% 5.4 United 25,372 19,539 77.0% 69.5% 7.5 US Airways 15,512 12,569 81.0% 77.4% 3.6 AVERAGE* 208,668 147,848 83.0% 74.3% 8.7 * LOAD FACTORS COMPARED WITH CURRENT OPERATING CARRIERS ONLY AND DOES NOT INCLUDE CHARTER PASSENGERS Airline Load Factor 100.0% 90.0% 80.0% Average 83.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% Alaska / Horizon American Delta Delta Connection Southwest United US Airways Chart #5
TOTAL AIR CARRIER MARKET SHARE Carrier Passengers Alaska Air Group 21,889 7.42% American 23,891 8.10% Delta 15,399 5.22% Delta Connection* 6,316 2.14% Southwest 160,672 54.45% United 38,490 13.04% US Airways 24,239 8.21% Non-Scheduled 4,184 1.42% Totals 295,080 100.00% *Delta Connection carriers: ExpressJet and SkyWest Percentage of Total Delta Connection*, 2.1% Alaska Air Group, 7.4% American, 8.1% Delta, 5.2% Non-Scheduled, 1.4% US Airways, 8.2% Southwest, 54.5% United, 13.0% Chart #6
Jan TOTAL PASSENGERS DOMESTIC CHARTER PASSENGERS Feb Mar 7,500 Apr May June July 6,500 Aug Sept Oct Nov 5,500 Dec PASSENGERS 4,500 3,500 2,500 1,500 January February March April May June July August September October November December DOMESTIC SCHEDULED PASSENGERS 540,000 490,000 440,000 PASSENGERS 390,000 340,000 290,000 240,000 January February March April May June July August September October November December 2009 DOMESTIC¹ INTERNATIONAL¹ 2009 TOTAL 2009 Charter 2008 Charter DIFFERENCE MONTH Scheduled Charter Scheduled Charter Passengers Passengers Passengers Passengers January 294,166 1,661 0 0 295,827 1,661 4,509-63.2% February 297,201 2,827 0 0 300,028 2,827 4,217-33.0% March 333,916 2,736 0 0 336,652 2,736 6,202-55.9% April 301,037 3,792 0 0 304,829 3,792 5,655-32.9% May 307,108 5,333 0 0 312,441 5,333 4,874 9.4% June 342,219 4,888 0 0 347,107 4,888 6,045-19.1% July 349,135 3,369 0 0 352,504 3,369 4,097-17.8% August 340,956 3,859 0 0 344,815 3,859 4,947-22.0% September 301,193 3,056 0 0 304,249 3,056 3,200-4.5% October 290,896 4,184 0 0 295,080 4,184 4,080 2.5% November December TOTALS 3,157,827 35,705 0 0 3,193,532 35,705 47,826-25.3% ¹Per Landing Reports Chart #7
MONTHLY SCHEDULED DEPARTURES 2,900 2,700 2,500 2,300 2,100 1,900 1,700 1,500 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2007 2,462 2,239 2,534 2,468 2,520 2,544 2,628 2,644 2,449 2,489 2,408 2,533 2008 2,608 2,434 2,598 2,396 2,401 2,445 2,515 2,455 2,030 2,069 1,905 1,955 2009 1,949 1,904 2,139 2,010 1,984 2,010 2,077 2,046 1,800 1,860 Chart #9
350,000 MONTHLY AVAILABLE SEATS 325,000 300,000 275,000 250,000 225,000 200,000 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2007 306,097 277,791 314,406 306,129 308,027 307,152 318,384 319,833 295,522 300,765 280,121 292,630 2008 301,118 284,419 307,910 280,220 278,666 278,969 287,630 281,406 246,105 251,452 230,707 238,225 2009 237,926 234,668 267,654 241,890 240,560 237,780 245,706 240,064 215,730 222,673 Chart #10
TOTAL OPERATIONS* 15,000 14,000 13,000 Number of Operations 12,000 11,000 10,000 9,000 8,000 7,000 6,000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec *Scheduled air carrier arrivals and departures, air taxi flights, general aviation landings and take-offs & military operations. Number of Operations 08 to 09 Percent Month Change January 12,628 10,163 8,985-11.59% February 10,322 10,420 7,498-28.04% March 13,933 10,948 8,686-20.66% April 11,424 10,501 8,391-20.09% May 12,734 10,807 7,987-26.09% June 11,733 11,753 8,492-27.75% July 12,657 11,599 9,229-20.43% August 12,057 11,837 9,086-23.24% September 11,706 11,572 9,516-17.77% October 10,934 8,889 8,036-9.60% November 10,624 8,535 December 10,054 8,083 TOTALS 140,806 125,107 85,906-20.82% % change YTD Chart #11
TOTAL CARGO Jan Feb Mar Apr May June July Aug Sept Oct Dec CARGO POUNDS (in millions) 15.00 14.00 13.00 12.00 11.00 10.00 9.00 8.00 7.00 6.00 JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC CARGO (IN POUNDS) PERCENT Month METRIC TONS CHANGE January 10,293,920 11,231,880 8,777,047 3,980.5-21.86% February 10,313,441 9,786,730 7,675,284 3,480.9-21.57% March 11,129,070 9,519,983 8,237,243 3,735.7-13.47% 1st Quarter 31,736,431 30,538,593 24,689,574 11,197-19.15% April 9,653,603 9,915,236 7,841,936 3,556.4-20.91% May 10,718,860 9,923,064 7,619,402 3,455.5-23.22% June 10,483,160 8,893,972 7,870,143 3,569.2-11.51% 2nd Quarter 30,855,623 28,732,272 23,331,481 10,581-18.80% July 10,377,947 9,811,115 7,967,294 3,613.3-18.79% August 11,736,465 9,763,038 7,929,474 3,596.1-18.78% September 10,311,212 9,890,572 8,553,601 3,879.2-13.52% 3rd Quarter 32,425,624 29,464,725 24,450,369 11,089-17.02% October 10,813,406 9,971,505 8,519,360 3,863.7-14.56% November 10,646,261 8,811,895 December 12,772,059 12,713,339 4th Quarter 34,231,726 31,496,739 TOTALS 129,249,404 120,232,329 80,990,784 36,730.5-17.95% % change YTD Chart #12