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"To have good air service is essential, no matter what," he said, adding that Butte airport managers constantly monitor fares at nearby airports, and advise Delta on significant price differences so the airline can adjust rates. [...] air travel picks up nationwide, Butte will be careful about offering subsidies, because "it does no good to get an airline into a situation where they're losing money and we're losing money," Smitham said.
CODY, Wyo. - Kevin Ploehn got a good idea of how tough times are for the airlines when he met with some industry representatives last week. Rather than paying to fly in for their usual face-to-face chat, they made a conference call.
"It's definitely tough times. There's a lot of doom and gloom out there," said Ploehn, assistant director of aviation and transit for Billings Logan International Airport.
Ploehn said traffic was down about 10 percent so far this year compared with 2008, adding that the industry is likely to cut flights at airports nationwide after the summer travel season.
Carriers are asking for help from Cody and other communities in the form of revenue guarantees - subsidies that ensure a profit. Because the city of Billings owns and operates Logan, it has never subsidized airlines and isn't likely to start, Ploehn said.
And because Billings is the major air travel hub in Eastern Montana and northern Wyoming, Ploehn said he doesn't expect to face nearly the same struggle to maintain flights as airports in cities like Butte, Helena, Sheridan and Cody.
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