Mexico and Orlando prominent for Allegiant as it begins 2014 on sound financial footing
Allegiant Air begins 2014 with aspirations of launching transborder service to Mexico, betting it can replicate its business model in near-international markets. Its approach to international service seems a bit more conservative than its experiment in Hawaii, which has perhaps not lived up to the carrier's initial expectations.
Despite some missteps in trans-Pacific service to Hawaii, Allegiant's financial position has remained strong, and its ultra low costs are the best in the US aviation industry. Those results show Allegiant's underlying business model remains strong, and the carrier is confidently planning capacity growth ranging from 9% to 13% during 2014 with Orlando Sanford playing a prominent role in its network.
Through its low fare, low frequency routes from small US cities to large leisure markets Allegiant remains the only true niche carrier in the US. And with no significant challenger to its business model, Allegiant seems poised to sustain its favourable financial results.
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