Lincoln Airport (LNK)

[Mr.Nuke]

Lincoln complaining about EAS


Lincoln’s struggles to find another air carrier worsened by subsidies to other Nebraska airports

However, the flip side is that it has created what Haring calls an unfair advantage for EAS-funded airports that are often drivable distances to full-service airports.

https://journalstar.com/news/local/busi ... da81e.html

[Bob from Omaha]

Well, maybe LNK can lease out some space in the remodeled terminal. Maybe a bail bonds, jimmy johns, Mega Saver, Dollar Tree. If it's truly impossible to bring in more service do some more of that think outside the box.

[Louie]

I mean, after the Red Way debacle, why should they be granted those subsidies instead of the others?

[Bob from Omaha]

Here's the thing about that story in the LJS. Someone from the Lincoln Airport called the paper to give the story. That leads me to a question. What was the point of the story? To get Kearney & Grand Island & others to give up their EAS$? To get a change made to EAS$? To beg for more state money? To continue to prove how pathetic the situation is at LNK?
I'm still waiting to hear why LNK spent $50 million, a lot of which went toward more gates.

[Mr.Nuke]

I mean, after the Red Way debacle, why should they be granted those subsidies instead of the others?

I think they were rather fortunate that the author of the article failed to include Red Way was $3 million and the last two service additions to Lincoln before that in ATL and IAH were both $750,000 federal small community grants. It would've been important contextually.

Here's the thing about that story in the LJS. Someone from the Lincoln Airport called the paper to give the story. That leads me to a question. What was the point of the story? To get Kearney & Grand Island & others to give up their EAS$? To get a change made to EAS$? To beg for more state money? To continue to prove how pathetic the situation is at LNK?

That's kind of where I'm at too. Haring and Barth apparently thought this article would make them sympathetic. It does not do so to me and leaves me asking the same questions as you. And I'm even on their side a bit on EAS to some place like GRI. If you already have Allegiant to Las Vegas and have $350,000 to offer someone to fly to Florida, how "essential" is that DFW service?

The only thing I can think of why you would potentially want to put it out, and it still doesn't make a lot of sense, and it is still way too soon is to start planting the seeds for them using the property tax increase to ultimately fund Red Way pot 2.0. But if that was the goal he clearly undercut himself by the quotes in that article acknowledging what we've known for awhile that the business park is the revenue driver of the airport.

[Mr.Nuke]

Divided council approves Lincoln Airport Authority tax levy that nearly doubles current rate

The City Council approved the Lincoln Airport Authority’s tax levy Monday — nearly double the current rate — but not unanimously because of concerns by two council members that there wasn’t enough public engagement so soon after a critical auditor’s report.

http://journalstar.com/news/local/gover ... ef61f.html

[Bob from Omaha]

Ok, the clown show that is the Lincoln Airport hired an outside consulting firm (my guess is that it's the same one that promoted Red Way) to market LNK to airlines to bring new or expanded service to LNK.

LNK Air Service Promotion & Bribery

Some items to note:

A) ____________________________________________________________________
Discover Lincoln Airport (LNK)
The Gateway to Nebraska

Lincoln Airport (LNK) is the preferred choice for airlines seeking ease, efficiency, consumer demand, and affordability. Located just minutes from downtown Lincoln and serving a catchment area of over 438,000 residents, LNK offers a seamless air service experience that competes with larger airports in the region.
____________________________________________________________________

Yes, it's the gateway to Nebraska when I-80 and Eppley are closed. "A seamless air service experience that competes with larger airports in the region." Ok, but it doesn't compete very well, as we are about to learn.


B) ______________________________________________________________________

Why Choose LNK?
Growing Market, Exciting Opportunities:

The Lincoln region produces over $1M passengers annually. Many of these travelers are closer to LNK than OMA, making LNK a convenient choice for both business and leisure travel. Lincoln is a vibrant, growing city.
_________________________________________________________________________
Did anyone proofread the copy? Or is LNK bragging about the fact that it produces passengers worth over $1 million?

C) _______________________________________________________________________
Competitive Pricing

While larger airports in the state may offer more carriers, LNK stands out with its lower cost per enplaned passenger (CPE). This makes LNK a more affordable option for airlines and passengers alike.
___________________________________________________________________________

OMA, the only larger airport in the state, offers more carriers, more non stop flights, more frequencies, larger planes, more food, more parking. Oh, and lower prices for the most part. But please, continue...

D)________________________________________________________________________
Expanded and Modernized Facilities

LNK recently upgraded its terminal, adding two new passenger gates and jet bridges, enhancing the travel experience and increasing our capacity to handle more flights. This positions us well for new airline services.
____________________________________________________________________________

....For reasons passing understanding, LNK spent a lot of money, taxpayer money, on the expansion.

E)________________________________________________________________________
LNK Supports New Airline Services
To attract and support new airlines, LNK will consider a Minimum Revenue Guarantee (MRG) program for specific routes, funded by a local property tax initiative. LNK understands the financial risks for carriers and offers robust marketing support to promote new routes.
_________________________________________________________________________

...and the bribes to bring all this new service are also funded by taxpayers.

F)______________________________________________________________________
Lincoln Airport (LNK) offers the perfect balance of affordability, strategic market potential and a partner who wants your routes to succeed.
______________________________________________________________________

Just look at our Red Way experience. Buckets of money are yours for the taking!


Look, I wish LNK well. I really do. I doubt that anyone with reasonable intelligence would even consider my idea of closing LNK and pushing the traffic to OMA. But this effort offers one year's subsidies and after that you're on your own. It's not a ton of money, $75,000. I don't have the magic bullet of an idea where LNK could get new service from other than maybe Allegiant to, I don't know, Florida? Delta or American? I doubt it. They would have by now. Southwest? Nope. Breeze or Avelo? Maybe but what kind of numbers would they add? Not much.

[damonhynes]

OMA-LNK are 55 miles apart by gcmap.com. (STL-BLV are 32 mi. apart, but BLV only gets Allegiant.)Any other two non-hub cities with scheduled Part 121 service that are closer?

[CBJason]

SJC-OAK is about the same as STL. SNA-LGB is about 21 miles but Tampa-St. Pete, 12-13 miles

[FishFighter92]

PHX and AZA are pretty close, but I think AZA is Allegiant only.

[Mr.Nuke]

Ok, the clown show that is the Lincoln Airport hired an outside consulting firm (my guess is that it's the same one that promoted Red Way) to market LNK to airlines to bring new or expanded service to LNK.

I think they've been working with a new consultant for a while post Red Way.

The Lincoln region produces over $1M passengers annually. Many of these travelers are closer to LNK than OMA, making LNK a convenient choice for both business and leisure travel. Lincoln is a vibrant, growing city.
_________________________________________________________________________
Did anyone proofread the copy? Or is LNK bragging about the fact that it produces passengers worth over $1 million?

It is so poorly worded that I have no idea what they're actually trying to say there. I'm assuming that they are saying there are 1 million+ passengers (without the dollar) sign in a conceivable catchment area. The problem is their catchment area leaks like a sieve to Omaha.

C) _______________________________________________________________________
Competitive Pricing

While larger airports in the state may offer more carriers, LNK stands out with its lower cost per enplaned passenger (CPE). This makes LNK a more affordable option for airlines and passengers alike.

Yeah this is just flat out inaccurate. They may have a lower CPE (not certain on that as they're charging PFCs too just like Eppley now). Per the Lincoln Airport Authority themselves in August "64% of tracked fares on United were within $100 of Omaha." That doesn't sound like a more affordable option for passengers to me.

But this effort offers one year's subsidies and after that you're on your own. It's not a ton of money, $75,000. I don't have the magic bullet of an idea where LNK could get new service from other than maybe Allegiant to, I don't know, Florida? Delta or American? I doubt it. They would have by now. Southwest? Nope. Breeze or Avelo? Maybe but what kind of numbers would they add? Not much.

Yeah $75,000 per route in advertising costs, not even a MRG isn't going to move anyone's needle, nor are the waived fees. Red Way had the waived fees and a $3,000,000 MRG. The last service before that to IAH required $750,000 in Federal and $500,000 in local for total of $1.25 million in actual MRGs. $75,000 is a drop in the bucket compared to what they'd need to be paying to actually have a shot of landing something. They probably should've waited to get their property tax pool (don't get me started on that) actually funded before publicizing this. They aren't great on timing or decision making for that matter as we know though.

[Bob from Omaha]

Ok, the clown show that is the Lincoln Airport hired an outside consulting firm (my guess is that it's the same one that promoted Red Way) to market LNK to airlines to bring new or expanded service to LNK.

I think they've been working with a new consultant for a while post Red Way.

I know. It just looks like another Marx Brothers movie.

I wouldn't want to be on the LNK airport board. Initially I thought the Red Way concept might turn out to be something good. Of course it was a dumpster fire in short order. As I said I have no idea how they could attract and keep more service. BUT this newest effort looks do desperate and messy that it's embarrassing. I'm afraid to research how much they are paying the consultants.

A side note: While Lincoln has been on a development boom, there are two glaring embarrassments and which is worse, the airport or the football team?

[Mr.Nuke]

________________________________________________________________________
Did anyone proofread the copy? Or is LNK bragging about the fact that it produces passengers worth over $1 million?

I also somehow missed this from the main page there

The 10th best city for young professionalsz

[Bob from Omaha]

Yeah, about that #1 Top City ranking for retirement. Close. According to US Newsz & World Report Lincoln isz #44. Omaha isz #25. Unless of course Lincoln moved to Naplesz, Florida.

US News Rankingsz

Lincoln did better in the safest state capitalsz list. Not #5 but #6, according to wallethub.

I'm guessing that the intern who didn't spell/grammar check also figured no one would look into the claimsz, other than me & Nuke.

Edit. I just tried to find ANY raking of Lincoln in a list of best cities for young professionalsz. Zilch

[Mr.Nuke]

Edit. I just tried to find ANY raking of Lincoln in a list of best cities for young professionalsz. Zilch

It is probably going to be this.
https://smartasset.com/data-studies/bes ... onals-2022
https://www.npdodge.com/blog/2023/01/om ... essionals/

But yeah guess what city is #4 on that list?

[Bob from Omaha]

Omaha is #4 but the larger issue is the overall effort put into the plan.

On the face of it there seems to be an unimpressive amount of incentives, a one year incentive with nothing after that, nothing to induce an airline to choose LNK vs all the other similar airports that probably offer more bribes, no direction in terms of planning, etc. The lack of oversight with regard to the initial web page is just more proof of amateurish planning and execution. I don't feel like finding out how much the consultant was paid but if prior planning and execution is any proof I bet it's more than the consultant provided in services.

Again, I don't have a dog in this hunt but as an outsider and a lifetime business owner if I was a Lincoln taxpayer I'd be pretty upset. If I paid a consultant to help me and this was the output I'd put a stop payment on the check.

[Bob from Omaha]

________________________________________________________________________
Did anyone proofread the copy? Or is LNK bragging about the fact that it produces passengers worth over $1 million?

I also somehow missed this from the main page there

The 10th best city for young professionalsz

The saddest part of this for me is that I messaged the LNK airport and pointed out the glaring errors and the errors are still there. Why on earth are the errors still there? Professionalsz is NOT a word! I looked it up! I messaged them the day I posted about it here.

[MC74]

I recently flew out of Lincoln for the first time post pandemic. I was actually impressed with the terminal renovations that they recently completed. The TSA in the old terminal always seemed like a cluster. It was in a hallway that wasn't designed with security screening in mind, so it always felt cramped. Plus they had 2 separate screening areas depending on which gate you were heading to, which was not efficient. They fixed that with one spacious screening area with natural lighting. The gate areas themselves were very modern with lots of comfortable seating, power outlets, natural lighting.

Whether t was worth the money they spent, given the traffic levels, is debatable.

[Mr.Nuke]

https://nebraskapublicmedia.org/en/news ... lose-jobs/

[Mr.Nuke]

‘An airline that will be self-sustaining’: LNK board sets its course with five new goals

https://www.klkntv.com/an-airport-that- ... new-goals/

[Bob from Omaha]

"But United only has so may aircrafts..."

"The plural of "aircraft" is also aircraft. It does not take an "s" to form the plural." Even freaking AI knows. I'd say add a 6th goal. To know what to call 2 or more aircraft. Oh, and perhaps serve food in the airport restaurant that doesn't require a second mortgage to eat a hamburger, fries and a drink. Wow.

[Bob from Omaha]

The Lincoln airport has a special board meeting on July 29. One item:
1. Approve Air Service Agreement
2. Adjourn

The Lincoln Journal has a teaser about new service but it's behind the paywall.

I'm curious if it's Breeze, Avelo or maybe Allegiant again. Could be Air France or Lufthansa. Orrrr, Red Way rearing it's head.

[Mr.Nuke]

The Lincoln airport has a special board meeting on July 29. One item:
1. Approve Air Service Agreement
2. Adjourn

The Lincoln Journal has a teaser about new service but it's behind the paywall.

I'm curious if it's Breeze, Avelo or maybe Allegiant again. Could be Air France or Lufthansa. Orrrr, Red Way rearing it's head.

The article doesn't say anything. I know they've been aggressively targeting Breeze, who they should've probably targeted with the ARPA funds to begin with.

[Bob from Omaha]

The Lincoln airport has a special board meeting on July 29. One item:
1. Approve Air Service Agreement
2. Adjourn

The Lincoln Journal has a teaser about new service but it's behind the paywall.

I'm curious if it's Breeze, Avelo or maybe Allegiant again. Could be Air France or Lufthansa. Orrrr, Red Way rearing it's head.

The article doesn't say anything. I know they've been aggressively targeting Breeze, who they should've probably targeted with the ARPA funds to begin with.

I guess we might find out Tuesday

[Mr.Nuke]

The Lincoln airport has a special board meeting on July 29. One item:
1. Approve Air Service Agreement
2. Adjourn

The Lincoln Journal has a teaser about new service but it's behind the paywall.

I'm curious if it's Breeze, Avelo or maybe Allegiant again. Could be Air France or Lufthansa. Orrrr, Red Way rearing it's head.

The article doesn't say anything. I know they've been aggressively targeting Breeze, who they should've probably targeted with the ARPA funds to begin with.

I guess we might find out Tuesday

Assuming it is them spitballing looking at their existing network my guess would be 1)MCO 2)LAS 3) LA metro 4) PHX probably in that order. Obviously 1 and 3 were Red Way destinations and all four see direct service already out of Eppley...

[Bob from Omaha]

Breeze tried & quite OKC & TUL. They don't seem to hang around if things don't work out. Looking at their map LNK would be an outlier. That's not necessarily a bad thing. If the numbers work they'll probably stick around. I'd agree on MCO. With few exceptions Breeze flies to MCO from pretty much all of the eastern US cities it serves. LA is a stretch, Vegas & PHX not so much but not as much of a draw as MCO. LNK-BDL, there's the ticket.

[Mr.Nuke]

Breeze to Orlando

[Bob from Omaha]

Twice a week December to May. I'm curious how much the bribe, I mean incentive, is. Seriously, it's probably the best idea compared to other possibilities.. What other Breeze destinations could work from LNK?

[Mr.Nuke]

Twice a week December to May. I'm curious how much the bribe, I mean incentive, is.

"The airport announced Tuesday that the airline will receive what’s called a maximum revenue grant of $3.75 million over a four-year period. The money is meant to backstop any startup losses the airline occurs in the initial months of the service, as well as incentive it to expand service to other destinations if the Orlando flight is successful."

https://nebraskapublicmedia.org/en/news ... n-lincoln/

Seriously, it's probably the best idea compared to other possibilities.. What other Breeze destinations could work from LNK?

If AA and DL are out and they've both seemed out for a while, this is arguably what Haring should've been targeting with the ARPA funds from the get go.

I didn't pick my 4 above at random. Breeze serves the other 3 and they're some of LNK's catchment area's highest PDEWs, but this all basically requires them being able to retain traffic they're losing to Omaha and to a lesser extent Kansas City,

[Bob from Omaha]

One of the stories said the LNK-MCO stats are 3300 last year. Doing the math, 3300/52/2 flights a week - 31 per flight. Where's the money in that?

[Mr.Nuke]

One of the stories said the LNK-MCO stats are 3300 last year. Doing the math, 3300/52/2 flights a week - 31 per flight. Where's the money in that?

If you remember which one it was pass on a link.

[Bob from Omaha]

I think it was Channel 10. Not sure. Nope. Just checked. Don't know. It was a few hours ago.

I think it also said they were bribing with $3.75M over three years.

[Mr.Nuke]

I think it was Channel 10. Not sure. Nope. Just checked. Don't know. It was a few hours ago.

I think it also said they were bribing with $3.75M over three years.

No wrries and yeah i got the $3.75 million maximum guarantee from my Nebraska public media post above.

[nativeomahan]

Lincoln residents benefit from having a much larger airport than their city could ever support within 60 miles or so of most Lincoln residents. (On the flip side, Lincoln’s airport suffers for this exact same reason.) The extra time it takes for them to drive to Eppley is negated by the time they save not having to sit in a hub airport waiting to get to Detroit, Atlanta, Charlotte, Houston, San Francisco, St. Louis, and on and on.

[joleo]

I think it was Channel 10. Not sure. Nope. Just checked. Don't know. It was a few hours ago.

I think it also said they were bribing with $3.75M over three years.

This is a crazy amount for 2x weekly fights! Where did this money come from? If it came from United's landing fees, I wonder how mad United will be...aka...reduce flights as retaliation?

[Mr.Nuke]

This is a crazy amount for 2x weekly fights!

In fairness to them they've wised up on this a bit, and the $3.75 million is a bit misleading. It is $3.75 million over 4 years with $1.5 million being guaranteed in year 1. Now that is still a ton of money for two flights a week, given they had United flying daily for $1.25 million to Houston in the not so distant past.

It sounds like the intention on both sides if that Orlando works another destination or destinations will be tried, hence the larger over all pot.

One of the reasons the Lincoln Airport sought out Breeze was that they have expanded after adding one route in the past, Strickland said.

"Traditionally, if you look at other airports where they follow this similar model, you've seen them launch additional markets within a year or two of the initial launch," Strickland said."

The airport also seems to have wised up a bit contractually.

Emlich said that there are new measures in place to limit the amount of funds that Breeze will have access to with monthly and yearly caps. Breeze will also have to submit performance updates before receiving fund

https://journalstar.com/news/local/busi ... e3ef5.html

Where did this money come from? If it came from United's landing fees,

That and literally Lanscaster county property taxes now. I'm not sure that this is a great use of the latter.

I wonder how mad United will be...aka...reduce flights as retaliation?

They seemed to weather Red Way fine and I doubt they're going to lose many if any passengers to twice weekly flights to Orlando. With both Red Way and this now, they seem to be going out of their way to avoid pissing United off destination wise, but you'd think United would still be "upset" to see two airlines come in within in a couple of years and having all of their fees waived while UA is bearing the brunt of the operational costs from the airline side.

------------
I'm honestly surprised LNK landed something this soon, and this is probably about the best they could've hoped for, but it raises some questions. I know breeze is coming into more planes allowing them to expand, but where they ever persued with the ARPA funds? Why didn't the airport airport have the back stops in the MRG that they seem to have put in for Breeze? etc. It will be interesting to watch to see how this does. Lincoln is still 0-for when it comes to routes sticking around after the MRG is up.

[Bob from Omaha]

Assuming 3,300 is correct and maybe they'll attract a few that would go to OMA, where's the money in less than 50 souls on the plane? I'm sure at the beginning it might be more but to survive long term. It's not a connecting flight type of thing so the demand has to be Orlando and environs.

[Mr.Nuke]

Assuming 3,300 is correct and maybe they'll attract a few that would go to OMA, where's the money in less than 50 souls on the plane? I'm sure at the beginning it might be more but to survive long term. It's not a connecting flight type of thing so the demand has to be Orlando and environs.

I guess I'm still interested in what the context of the 3,330 is or where it was derived from, because Red Way flew 4,277 passengers to and from MCO over 50 flights in three months in 2023. That is roughly an average of 85 per flight. Obviously that data is a bit skewed because we know other than the inaugural flight none of them were profitable.

I think the hope is that a competent airline with better revenue management may be able to make it work, but like you said long term survival is very much in the air here. We know they failed regionally at the two Oklahoma airports and this is 100% O/D reliant. It is also competing against two other ULCCs out of Eppley already in addition to Southwest for direct flights and that isn't counting the ton of one stop options and seats out of Eppley.

[Bob from Omaha]

Breeze isn't too proud of its newest destination. Usually when they add a destination it's on the route map on their web page. They haven't done so yet. Do they need to use google maps to find Lincoln?

[Mr.Nuke]

Haring departing for Spokane.
https://journalstar.com/news/local/busi ... a3574.html