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Republic Airways Holdings Inc. chief executive officer Bryan Bedford offered an apology Friday afternoon for disparaging comments he made about Milwaukee's lack of desirability as a travel destination during a recent investors conference.
"I owe a sincere apology to the citizens of Milwaukee for my comments," Bedford said in a telephone interview Friday afternoon. "Innocent as they may have been, they clearly read as disparaging and that wasn't my intent."
A public firestorm developed after The Business Journal Serving Greater Milwaukee reported in its Friday print and Web editions comments made by Bedford at the Next Generation Equity Research Airlines Conference in New York City on Dec. 9.
"Milwaukee is not a destination market by price. I don't care how cheap you make it, you don't go there unless you have to," Bedford told a group of what he described as longtime airline industry investors and analysts.
Bedford also told the group that Milwaukee-area travelers are willing to pay more to book a flight on Oak Creek-based Midwest Airlines. Republic, which has its headquarters in Indianapolis, purchased Midwest in July for $31 million.
"We have 1.1 million frequent fliers in Milwaukee and they will pay a premium to fly on Midwest," he said. "They love that cookie."
Bedford's comments referred to the baked-on-board chocolate chip cookies that long have been a symbol of Midwest, an airline that historically has catered to business travelers and at one time offered unique amenities such as free wine, champagne and gourmet meals before drastically reducing such offerings in recent years.
"My intention wasn't to disparage the city of Milwaukee," Bedford said. "I'm also really, really sorry that our employees were caught in the middle of this. I feel like my comments and the way they have been reported have been hurtful to them."
Bedford said his comments about Milwaukee came in the context of a discussion about price stimulation, which often is done to stoke demand on leisure destination routes, such as Las Vegas, Phoenix and the Caribbean, Bedford said.
The intense price competition in Milwaukee, which tends to attract a higher percentage of business travelers who often pay higher prices out of necessity, has led to deeply depressed fares and created a level of "frustration," Bedford said.
"We are all for fair competition, but at some point we have to look at the market," he said. "There's always going to be competition in Milwaukee. The question is whether the competition is fair and sensible."
All other major airports in the country have experienced a major reduction in available airline seats this year, while Mitchell has seen seats grow by 40 percent as competiting airlines seek to gain control of the market, Bedford said.
Investors at the conference questioned how long the airlines serving Milwaukee are willing to lose money before pulling out of the market, Bedford said.
"It's a legitimate concern," he said.
Airlines are losing money in Milwaukee under the current competitive landscape and its only a matter of time before one or more carriers leaves the market, which will cause airfares to soar, Bedford said.
"Our intention is to stay and fight," he said.
"I owe a sincere apology to the citizens of Milwaukee for my comments," Bedford said in a telephone interview Friday afternoon. "Innocent as they may have been, they clearly read as disparaging and that wasn't my intent."
A public firestorm developed after The Business Journal Serving Greater Milwaukee reported in its Friday print and Web editions comments made by Bedford at the Next Generation Equity Research Airlines Conference in New York City on Dec. 9.
"Milwaukee is not a destination market by price. I don't care how cheap you make it, you don't go there unless you have to," Bedford told a group of what he described as longtime airline industry investors and analysts.
Bedford also told the group that Milwaukee-area travelers are willing to pay more to book a flight on Oak Creek-based Midwest Airlines. Republic, which has its headquarters in Indianapolis, purchased Midwest in July for $31 million.
"We have 1.1 million frequent fliers in Milwaukee and they will pay a premium to fly on Midwest," he said. "They love that cookie."
Bedford's comments referred to the baked-on-board chocolate chip cookies that long have been a symbol of Midwest, an airline that historically has catered to business travelers and at one time offered unique amenities such as free wine, champagne and gourmet meals before drastically reducing such offerings in recent years.
"My intention wasn't to disparage the city of Milwaukee," Bedford said. "I'm also really, really sorry that our employees were caught in the middle of this. I feel like my comments and the way they have been reported have been hurtful to them."
Bedford said his comments about Milwaukee came in the context of a discussion about price stimulation, which often is done to stoke demand on leisure destination routes, such as Las Vegas, Phoenix and the Caribbean, Bedford said.
The intense price competition in Milwaukee, which tends to attract a higher percentage of business travelers who often pay higher prices out of necessity, has led to deeply depressed fares and created a level of "frustration," Bedford said.
"We are all for fair competition, but at some point we have to look at the market," he said. "There's always going to be competition in Milwaukee. The question is whether the competition is fair and sensible."
All other major airports in the country have experienced a major reduction in available airline seats this year, while Mitchell has seen seats grow by 40 percent as competiting airlines seek to gain control of the market, Bedford said.
Investors at the conference questioned how long the airlines serving Milwaukee are willing to lose money before pulling out of the market, Bedford said.
"It's a legitimate concern," he said.
Airlines are losing money in Milwaukee under the current competitive landscape and its only a matter of time before one or more carriers leaves the market, which will cause airfares to soar, Bedford said.
"Our intention is to stay and fight," he said.
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