
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: THURSDAY, February 24, 1994                   TAG: 9402240154
SECTION: BUSINESS                    PAGE: C10   EDITION: NEW RIVER VALLEY 
SOURCE: Associated Press
DATELINE: STERLING                                 LENGTH: Medium

ALL THAT ICE WEIGHS DOWN VA. AIRLINE

Ice and snow have weighed down a Virginia airline this winter because all its operations are on the East Coast where multiple storms have closed airports and shut down flights, the firm's president said.

Atlantic Coast Airlines, which flies as United Express serving Roanoke Regional Airport among other fields, was forced to cancel 17 percent of its flights in January and 19 percent in February through last week, said Kerry Skeen, president of the regional carrier.

By comparison, American Airlines Inc., with a system spread across the United States, had to cancel less than 5 percent of its flights in January due to weather. USAir Inc., which is more heavily concentrated on the East Coast, canceled 7 percent.

"Without a doubt, we will post a first-quarter loss. We are taking some prudent steps because the winter has been such a big hit," Skeen said.

He said he still expects a profit for 1994 for the carrier, based near Washington Dulles International Airport.

Through the first three quarters of 1993, the company's operating income was $3.5 million, although its net loss was $342,339.

The company has established additional credit lines "to ensure working capital" and is trimming its work force, Skeen said.

Atlantic Coast furloughed 10 pilots at the beginning of the month. The airline also is cutting 25 people from its 200-person headquarters staff. It will recall the pilots when it adds new planes to its fleet later this year, Skeen said.

Atlantic Coast flies mostly 20- and 30-seat propeller aircraft. Those planes are less likely to fly in bad weather than larger jets.

Atlantic Coast now has more flights in and out of Dulles than any other airline. It feeds passengers to the United Airlines system and serves local business from Northeastern and mid-Atlantic states. The airline also has a small operation in Florida.

Memo: shorter version ran in the Metro edition.

by CNB