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Mon, Mar 03, 2003

Walk-Up Charter Plan Causes Stir In NJ

New Kind Of Service Causes Angst In Govt.

Ask anyone in New Jersey government and they'll tell you. They don't like this idea.

Indigo wants fly 16-passenger Embraer bizjets four times daily between Teterboro and Chicago Midway starting today. The company calls itself a "public charter" service. Critics say, all that means is anyone with $1500 can walk up and board. No security checks required, although Indigo says it will still perform them. No baggage screening, either.

A Scheduled Airline By Any Other Name...

"People can literally buy a ticket, whether it's off the Internet or through the telephone, pay a fare, and walk onto a plane," said New Jersey Assemblyman Paul Sarlo (D-Wood Ridge). "God forbid [the passengers] have ulterior motives. They are going to be flying fully fueled over residential areas I represent."

New Jersey Governor James McGreevey agrees. This week, his administration, along with the Port Authority of New York and New Jersey, will try to ground the charter service using regulations against regularly scheduled flights out of Teterboro.

"It would adversely affect the quality of life for residents near the airport," McGreevey said. Alan Morrison, a spokesman for the Port Authority, said the Port Authority welcome's the governor's support.

"We remain vehemently opposed to scheduled service at Teterboro," Port Authority spokesman Pasquale DiFulco said last week. "That position is clear, firm, and unchanging. Port Authority officials and Port Authority legal counsel today spoke extensively about exploring all options to enforce the ban, including taking legal action against Indigo."

Indigo: Following The Rules

Indigo CEO Peter Pappas said in a statement Thursday that no rules have been broken.

"Indigo operates as a public-charter service - not a scheduled airline - in compliance with all applicable laws and regulations, both federal and state," Pappas wrote. "Indigo complies with and exceeds the security requirements mandated by the Transportation Security Administration. We also adhere to all Port Authority regulations including those related to advertising or publishing any timetable."

Indigo is owned by New World Air Holdings, which also owns AirServ Inc. AirServ owns the planes.

Indigo charters the four daily flights from AirServ, as allowed under federal Department of Transportation regulations, and then resells the flights - seat by seat - to the public on the Internet, through travel agents, and over the phone. By doing it this way, they maintain their status as a "public charter."

"Charter airlines don't sell individual seats to individual people," McNerney said. "Indigo is trying to disguise itself as a charter airline when, in fact, it intends to operate as a commercial airline with scheduled flights. This is clearly prohibited by the Port Authority and I won't stand for it."

The FAA's Gonna Hear About This

Rothman was also on the offensive Thursday, firing off letters to both the Port Authority and Marion Blakey, administrator of the FAA.

State Rep. Steve Rothman (D-Fair Lawn), who sits on a House subcommittee that approves the FAA budget, has asked both agencies to shut down Indigo, citing security concerns and improper use of Teterboro Airport.

"I believe they are violating their FAA charter, rules of operation at Teterboro Airport and other regulations... " he wrote to Blakey. "Further, I am concerned that Indigo's security measures may be inadequate."

FMI: www.flyindigo.com/charter_form.cfm

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