The launch plans for Northern Pacific Airways went from weird to weirder.
The concept of Northern Pacific was revealed in the summer of 2021. The basics of the company are listed here.
This is a very odd business model. The fixed cost structure is great, but these 757s have high operating costs, and economy airfare between the United States and Asia is already extremely low.
It doesn't seem like enough reason to start an airline for people who want to have a stop in Alaska when traveling between the lower 48 and Asia.
Northern Pacific has new plans for its launch according to a filing with the DOT. The airline will use its own Boeing 757s after it starts service via a wet lease agreement with a US air carrier.
This is when an airline lease an aircraft and crew, meaning it would be another operator performing the flight on behalf of Northern Pacific.
Northern Pacific has its own Boeing 757s, why would it lease planes from other airlines?
It's a head-scratcher for me. The economics of Northern Pacific seem questionable to me, and that's not even considering that a wet lease agreement would increase Northern Pacific's costs. It would likely be a larger jet, and possibly longer routes for the purpose of avoiding Russia, as well as Japan's continued travel restrictions.
Northern Pacific plans to launch operations with wet leased aircraft. Because of the challenges associated with Russian airspace being closed to US airlines, Northern Pacific will need to get certification for its Boeing 757s to cross the Pacific.
I have more questions about Northern Pacific's business model after the Russian airspace situation and the plans to wet lease planes.
What do you think about the Northern Pacific updates?