Sun Country Airlines

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Sun Country Airlines
IATA
SY
ICAO
SCX
Callsign
SUN COUNTRY
Founded 1982
Hubs
Focus cities
Frequent flyer program Ufly Rewards
Fleet size 10
Destinations 31
Parent company Petters Group Worldwide
Company slogan Go Places.
Headquarters Mendota Heights, Minnesota
Key people Jim Olsen (Founder)
Stan Gadek
(President and CEO)
Steve Spellman (COO)
Website: http://www.suncountry.com

MN Airlines, LLC, operating as Sun Country Airlines, is an American low-cost airline headquartered in the Minneapolis-St. Paul suburb of Mendota Heights, Minnesota. Sun Country uses nearby Minneapolis-Saint Paul International Airport (MSP) as its main hub, and flies scheduled and charter flights from the Humphrey terminal to destinations in the United States, Mexico, and the Caribbean.

The great majority of Sun Country's routes either arrive in or depart from Minneapolis-St. Paul, but the airline also offers periodic charter service from smaller Midwestern cities, such as Fargo, North Dakota and La Crosse, Wisconsin, to leisure destinations such as Las Vegas and Laughlin, Nevada.

Sun Country operates a fleet of Boeing 737-800 aircraft, with an average age of about four years. Onboard, Sun Country offers first and coach class products. First Class features 2-2 leather seats with automatic recline, audio entertainment, and hot meals. In coach, there are leather 3-3 seating, audio entertainment and hot sandwiches on every flight.

Sun Country continues to take delivery of additional aircraft from Boeing as it expands and begins to create a focus city at Dallas-Fort Worth International Airport (DFW), with service to Mexico and other resort destinations.

Sun Country was among the first airlines to operate out of the new terminal D at Dallas-Fort Worth International Airport, which officially opened on July 23, 2005.

Contents

[edit] History

[edit] Origins

After the shutdown of Braniff International Airways in 1982, a small group of Braniff employees led by Captain Jim Olsen, the current chief operations officer, approached Twin Cities tour operator MLT Vacations about dedicating a Boeing 727-200 to the tour operator's leisure destinations. Previously the tour operator had occasionally utilized a Braniff Boeing 727-200 overnighting at the Minneapolis-St. Paul airport for charters to leisure destinations. In June of 1982, an agreement was signed to start a new airline, Sun Country. MLT Vacations owned 51% of the company, with the pilots and flight attendants owning the remainder. An Air Florida Boeing 727-227 Advanced aircraft that had been destined for delivery to Braniff as N484BN was secured for the start-up.

Sun Country's original staff consisted of sixteen pilots, sixteen flight attendants, three mechanics and one office person. The company's first flight was January 30, 1983 from Sioux Falls, South Dakota to Las Vegas. In the early days of the company, employees completed numerous tasks in order to lower costs. Flight attendants stocked liquor kits and prepared meals while pilots updated manuals and assisted in catering. The entire group assisted in cleaning the aircraft exterior and interior. On time performance was 98% the first year, due to the young age of the aircraft and quality mechanics. Sun Country was profitable after six months of operation. In addition, no debt was accumulated in the succeeding years as the company financed all growth from internal funds.

[edit] Expansion and collapse

Slow and deliberate expansion through the 1980s created steady profits for the company. In 1986, the company put into service its first wide-body aircraft, a 380 seat DC-10-40 leased from future competitor Northwest Airlines. The aircraft's intercontinental range enabled the company to fly international charters and also accommodate high demand on the company's popular Minneapolis to Las Vegas route that the Boeing 727 fleet could not handle.

Sun Country also provided ad-hoc charter lift to civic organizations, corporations, sports teams and virtually any other group that wanted to charter an aircraft. In 1989, Sun Country became a member of the Civil Reserve Air Fleet (CRAF). Many charters were flown in support of the Desert Storm effort in 1990-91. For their efforts in supporting the operation, 130 of the company's employees were recognized by the United States Air Force.

After reaping record profits of $9.7 million for the fiscal year ended June 30, 1991, the airline acquired additional Boeing 727 and DC-10 aircraft. Additional tour operators chose Sun Country as their air carrier, and an emphasis was placed on flying from the Midwest to Las Vegas, Florida, Mexico and the Caribbean.

In the mid 1990s, the Mark Travel Group, lead by Bill LaMacchia Jr., acquired Sun Country and began changing the focus of the small niche-market airline. Much of the 1990s were a tough period for the airline, as an aging and over-worked fleet coupled with record demand stretched the airline to its limits. New management began an aircraft refurbishing program designed at improving the experience of Sun Country's passengers. As the DC-10 aircraft aged and required expensive maintenance, the airline gradually reduced the fleet, ultimately retiring the final DC-10 in early 2001. As major airlines became more sophisticated in managing their seat inventories, the demand for tour charter flying fell off. In June 1999, the management of Sun Country launched a major transformation from a charter carrier into a scheduled airline. New service from Minneapolis and Milwaukee was announced to destinations around the nation, including Los Angeles, Seattle, Detroit, Washington, DC, and Phoenix. The airline also announced a frequent flyer program, Smile Awards, which offered frequent travelers free flights among other benefits. In 2000, Sun Country announced plans to replace its entire fleet with new Boeing 737 next-generation aircraft, with deliveries beginning in 2001. As Sun Country reinvented itself, heavy competition from local incumbent carrier Northwest Airlines and the events of 9/11 caused a precipitous drop in traffic and revenue. Contrary to its tradition of financial success and profitability, by the summer of 2001 the airline was bleeding money. After fighting to stay operational by cutting flights, destinations, and planes, the company finally closed its doors on December 8, 2001.

[edit] Rebuilding

Boeing 737-800 in the airline's current livery
Boeing 737-800 in the airline's current livery

During bankruptcy, Sun Country lost the vast majority of its 727 fleet, and four recently delivered 737 aircraft: 737-8Q8 N800SY, N802SY, N803SY, and the lone 737-7Q8 to come on the property, N710SY. However, the company retained its operating certificate. In the following months, a local group of investors organized as MN Airlines, LLC purchased the remaining assets in bankruptcy court and began anew. Longtime employees noted that those first months in 2001-2002 harkened back to the beginning days of Sun Country in 1982 and the "can-do" spirit of the company's workforce.

Emerging from bankruptcy, Sun Country standardized its fleet on the Next-Generation Boeing 737-800. The airline initially operated combined charter-scheduled services from Minneapolis to Laughlin, Nevada's casinos, and gradually added more charter destinations as finances allowed. Soon, new scheduled service was announced, focusing on Florida, Mexico, and the West Coast.

In a symbolic return to success, Sun Country acquired new aircraft in 2004 and 2005 and was profitable in 2004. To honor the company's roots and history, in 2004 Sun Country named new 737-800 N807SY "The Spirit of Braniff". This plane was the focus of the 2005 "Mid-Continent/Braniff Airways" Reunion held on September 24, 2005 in the Sun Country Hangar at MSP. 350 former Braniff and Mid-Continent employees attended.

On October 31, 2006, the airline announced that its acquisition by Petters Group Worldwide and Whitebox Advisors, previously announced in July, had been completed.[1]

As of October, 2007 Sun Country has announced Steve Spellman as the COO of the airline after the Founder of Sun Country, Jim Olsen, retired after 25 years of service. Olsen was the first President and CEO, and later became COO, a position he felt more comfortable with.

On April 1, 2008 Sun Country announced that it was placing 45 of its 156 pilots on temporary layoff and was going to fly a lighter than normal summer schedule. The company blamed the decision on rising fuel costs. [1]

[edit] Destinations

Sun Country Airlines currently flies to 31 destinations throughout the Caribbean, United States, and Mexico. Of these destinations, 14 are served year-round.

[edit] Fleet

[edit] Current Fleet

Sun Country Airlines fleet consists of the following Boeing aircraft as of June 2008:[2]

Sun Country Airlines Current Fleet
Aircraft Total Passengers Notes
Boeing 737-700 1 124 Ex Aloha aircraft (N751AL)
Boeing 737-800 9
(2 orders)
162 Two aircraft are being leased to Transavia for the 2008 summer season.
Delivery of remaining orders is expected in 2008.

As of June 2008, Sun Country's average fleet age was 5.2 years old. [3]

Seasonally, additional aircraft are leased between Transavia and Sun Country. During its slow summer season, Sun Country leases planes to Transavia, and during Transavia's slow winter season, the airline leases planes to Sun Country. As of May 2008, Sun Country is leasing two of its own aircraft to Transavia. (May-November are slow months for Sun Country and peak months for Transavia)

Brand new 737-800 aircraft, N810SY was delivered in July of 2007, and N811SY was delivered in August of 2007. The remaining two Boeing 737-800 aircraft on order for Sun Country are expected for delivery by the end of 2008.

[edit] Retired Fleet

Sun Country Airlines Retired Fleet
Aircraft Total Year Retired
Boeing 727-200
McDonnell-Douglas DC-10 12 1998

[edit] Sun Country VIP Club and Ufly

In 2004, Sun Country announced a new frequent traveler program entitled the Sun Country VIP Club. This program is unique in the fact that it does not offer flyers miles or points; rather it grants them the right to airline tickets at the price of $39 plus 10 cents per mile traveled for domestic travel, or $89 plus 10 cents per mile for international travel. These VIP Tickets are available up to one day in advance of travel. Membership costs $99 plus either $12 per month for an individual or $17 per month for a family.

In addition to the VIP-only fares, members receive first class boarding, security and check in Minneapolis and other cities. The VIP Club granted access to exclusive benefits (special hotel rates, discounts on travel services, lifestyle benefits, etc.,) that were only available to paying members.

In July 2007, Sun Country announced its first traditional frequent flyer program named "Ufly." "Ufly" offers 5 points (coach) or 7 points (First Class) for every one-way. 20 points are being awarded for first-time signers. Once 100 points is reached, flyers are eligible for one free ticket with no restrictions.

After the Ufly Rewards launch, the Sun Country VIP Club was renamed "Ufly Rewards Plus." The same benefits remained and members now earned points for their travel.

The Ufly Program (Not Ufly Rewards Plus) is similar to Southwest's "Rapid Rewards" program and JetBlue's TrueBlue program.

[edit] References

[edit] External links

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