"Manchester, N.H., Airport Grows Popular"

Thursday, October 31, 2002

Manchester, N.H., Airport Grows Popular
Knight Ridder News


MANCHESTER, N.H.--Once upon a time, Don and Sandra Doolan would fly out
of Logan Airport. 

Never again. 

The traffic is a nightmare. The lines are too long. Parking is too
pricey. 

It's just plain congested, they say. 

"I don't want to deal with that," Don Doolan said last Friday afternoon
while waiting to board a flight to North Carolina to visit his daughter.


These days, the 63-year-old Lancaster man and his wife will only fly out
of Manchester Airport. 

"It's the greatest thing that's ever happened to New Hampshire," Doolan
said. 

The Doolans aren't alone. 

More and more people -- including Massachusetts residents -- are taking
advantage of the convenience of fast-growing Manchester Airport. 

Just a glance at the cars coming and going from the parking garage show
almost half with Massachusetts license plates. 

The lure of choosing Manchester Airport over Boston's Logan is about to
get even stronger. Not only is Manchester Airport getting bigger, but
it's about to get better. 

With a runway extension project underway that will allow for non-stop
coast-to coast service and a terminal expansion that will add four
gates, more baggage security and concession space (possibly even a Legal
Seafoods restaurant and some bars), Manchester Airport is readying for
increased popularity. 

The airport has already been growing. Passenger activity has increased
over 200 percent in the past several years. Passenger activity has
increased from $1.1 million passengers in 1997 to 3.24 million in 2001. 

The number of passengers was up 4.2 percent in April, thanks in part to
a surge in travelers from Massachusetts, said Airport Director Kevin
Dillon. 

The number of Massachusetts travelers using Manchester grew from 12.6
percent to 20 percent since Sept. 11. 

Dillon predicts Massachusetts residents will eventually make up more
than 40 percent of Manchester's passengers. 

Dillon remembers a time two years ago when Logan's main radar blew over
in a rainstorm, shutting down the airport for two days. The air traffic
got diverted to Manchester. 

"It was kind of amazing to see people get off these planes, staring
around and saying, 'Geez, I never knew an airport like this existed in
Manchester. 

'" Manchester Airport personnel noticed something else about the
passengers they bused back to Logan that day. 

"Now they're scratching their heads, because they're driving right past
their homes in Andover and Lowell and saying, 'what the heck am I doing
going south?'" That day turned out to be the greatest marketing
opportunity Manchester Airport ever had. 

The big question is, can Manchester Airport handle more passengers while
keeping its no-stress atmosphere? 

Dillon says yes. He believes it's a matter of careful planning and
looking towards the future. 

"While we want to bring things in and offer variety, we're not looking
for people to stand shoulder to shoulder inside a new Legal Seafoods,"
he said. 

Achieving balance is a matter of understanding infrastructure needs and
the potential market. 

In some major hub airports, politics start to slow down development and
airports build to meet demand that's already there, Dillon said. 

Manchester Airport is ahead of the curve. 

"We are building things today in anticipation of 5 -7 million passengers
even though we only have 3 million today." The airport is in the midst
of a $65 million expansion of the airport's main runway from 7,000 to
9,000 feet. 

When the runway expansion is completed next June, the main runway will
be long enough to accommodate planes that can fly directly to the west
coast without stopping. 

The aircraft that operate out of Manchester today could make it to the
west coast, but they'd have to leave half of the passengers behind to
take on enough fuel and get off the ground on a 7,000 foot runway. The
extra 2,000 feet will allow larger planes to take off more efficiently,
by giving planes more room to take off more slowly, thus burning less
fuel. 

For instance, a 757 taking off can carry enough fuel to travel to
Denver. 

The expansion will allow that plane to travel coast to coast to
destinations like Las Vegas and Phoenix. 

The biggest misconception about the runway expansion is that it will
allow the airport to bring in bigger planes, Dillon said. The airport
already can land the largest type plane that exists. 

With the expansion, more airline companies will look to Manchester
Airport as an attractive airport in which to do business. 

While there are no commitments, new airlines that have expressed
interest are JetBlue and AirTran, two low-fare carriers. American
Airlines has also been in talks with airport officials. 

Manchester's average price for a one-way flight is $129, compared to
Logan's $178 one-way fare, Dillon said. 

Dillon doesn't think it will be difficult to keep prices low, even with
the expansion. 

"It is something that we realize is one of the hallmarks of our success,
just as convenience and ease of access is a hallmark of our success,"
Dillon said. "We have to make sure we always maintain that."

'Southwest effect' Manchester Airport has not always been northern New
England's largest airport. 

Built in the 1930s, the airport was once a military base that housed
B-17s and B-24s during the war. As military bases across the country
were phased out, the town of Londonderry and then the city of Manchester
were offered the property. 

Londonderry opted not to take it, but Manchester did. 

For a long time, Manchester Airport was a small town airport with very
limited commercial service. 

But in the late 1980s, people started looking toward the airport as the
economic engine that could take the state out of the severe recession it
was in. A plan to develop the airport was put together with a coalition
of city and state officials, with the state backing roughly $42 million
worth of bonds for the airport. 

Dillion attributes Manchester's growth to the so-called "Southwest
effect," -- the notion that a low-fare carrier attracts more customers
and forces competitors to lower their prices. 

The addition of new routes, cheaper fares, intensified competition
amount airlines all create a busier airport. 

"When you have an airline like Southwest offering $39 flights from
Baltimore, people who may not have come up for foliage season are now
coming to Manchester Airport and renting a car to spend time in the
state," Dillon said. 

When Southwest -- which does not operate out of Logan -- announced
service in 1998, three other carriers -- MetroJet, Northwest and
Continental -- started service at Manchester the same year. 

"It was really what started the ball rolling," Dillon said. 

Today, the airport has a total of 13 carriers. 

Dillon credits his predecessors "who had the foresight to sit down and
say, if we can make the investment here, we can make something great
happen at Manchester Airport." That, he says, is what allowed Manchester
Airport to serve as an economic engine to the entire state. 

The airport has had a huge impact on the local economy. 

A study done in 1994 showed that the airport contributed $170 million to
the local economy. In 1998 that number increased to $500 million. By
2010 the airport is expected to contribute over $1 billion to the area. 

"For a state the size of New Hampshire, that's a significant boost in
terms of the economy," Dillon said. 

Companies like Fidelity Investments in Merrimack said that the airport
played a huge role of their decision to locate to the area. 

"The airport provides a convenient alternative to Boston not only to our
New Hampshire employees, but also to our Massachusetts employees as
well," said John Brockelman, Fidelity spokesman. 

Fidelity continues to support improvements at the airport, Brockelman
said. 

"If it's gonna mean an improvement in service, it's gonna mean positives
not only for Fidelity, but also the entire region." A hidden aspect of
the airport's success is the increased cargo shipments. 

Fueled by growth of UPS and FedEx, which have increased their presence,
the airport is busy with cargo shipments. 

Last year, 165 million pounds of cargo moved through Manchester Airport.


This year, airport officials are expecting that number to hit 180
million pounds. As of June, cargo activity was up almost 9 percent over
last yea. 

According to activity reports through June 2000, FedEx activity had
increased 23.52 percent over last year. 

"Cargo is important not only because of the landing fees that cargo
bring into the airport, but how well you're doing in the cargo arena is
a reflection of how well you're surrounding economy is doing," Dillon
said. 

Unfortunately, the airport's expansion has not been positive for
everyone -- namely those whose homes lie within the flight patterns. 

Since March, there has been increased use of Manchester Airport's newly
extended east-west runway to accommodate the expansion. 

Merrimack residents have been most vocal in their complaints of
low-flying planes and noise. 

Sen. Bob Smith's office issued a press release four days before the
Sept. 10 primary saying that the FAA, at his urging, would reassess
flight patterns and explore noise relief measures for Merrimack
residents. 

The press release did not mention any of the other affected communities,
such as Milford, Amherst, Bedford, or Manchester. 

When the press release was issue, Dillon stressed that nothing could be
done to change flight paths within a few miles of the airport.
Eventually, the FAA admitted that nothing could be done to solve the
noise problem. 

To provide relief to people who live close to the airport, the airport
has undertaken a massive, popular program to add free soundproofing to
homes in neighborhoods near the airport. The improvements, paid for by
the airport with federal dollars, include ad ding solid-core doors,
insulated windows, heavier walls, more insulation and central air
conditioning. 

"Not only does it take care of the noise issue, it actually adds value
to homes," Dillon said. 

Soundproofing costs about $25,000 to $30,000 per home, depending on the
size of the home. Over 1,400 homes are eligible soundproofing
modifications. 

About 500 have been modified. 

The unfortunate part, Dillon acknowledged, is that soundproofing is
limited to a contour that gets drawn around the airport. People that
fall within the contour are eligible, while people who fall outside are
not. 

The airport is trying to convince the federal government to increase the
level of funding and expand the eligibility zones to include another
2,500 homes. 

Moreover, the airport has purchased 80 homes in the Brown Avenue area so
far in the voluntary program. The homes are torn down or moved and the
airport pays to move the family. 

When the expansion is complete next June, Dillon anticipates that 35
percent of the air traffic will use the east west runway while 65
percent will use the north/south runway. 

The base course of asphalt has recently been completed, and the final,
four-inch course will be applied over the next week. Lighting still
needs to be completed, then, in December, a section will be opened,
allowing traffic to be shifted back to the east-west runway. 

For a short period next spring, the main runway will have to be closed
again as the intersection is worked finished by June of next year. 

Dillon points to the mid 1990s when the master plan for the airport was
put together all the surrounding communities were involved. They all had
representatives who had input, which is a federal requirement in order
to get the permits and approvals. 

"It's not just that Manchester airport popped up over night and said,
we're gonna build this. This was a well-thought out plan that involved
all of their input. 

At that time, a lot of those communities agreed that something like an
airport was needed to pull the state out of the recession it was in. 

But since the master plan has been developed, southern New Hampshire has
experienced explosive population growth. Some people who recently bought
homes that fall within the flight patterns. Most say they didn't know
about the airport expansion. 

That's why educating people is a priority -- and one Dillon takes
seriously. 

He spends the bulk of his time in the community trying to educate people
about the expansion and how it will benefit the entire state. 

"I think that's a very important thing that the airport has to do,"
Dillon said. "We're never gonna make everyone 100 percent happy, but
we're certainly gonna try."

As airport director, Dillon deals with day-to-day challenges -- the
latest which are a result of the Sept. 11 terrorist attacks. 

Congress has mandated that by Dec. 31, all 429 commercial service
airports install bomb-detecting devices to screen every piece of checked
luggage. 

Currently, checked luggage is not screened. 

In response, most airports are setting up a trace detection systems in
front of ticket counters or in the lobby. Under that system, every bag
would hand searched and swapped to check for explosives. 

But Manchester Airport has opted for the more expensive but less
intrusive way -- an explosive detection system using CAT scan x-ray
technology to scan bags. The system is being built into the existing
baggage handling system. 

Measuring 26 feet by 7 feet, each of the nine explosive-detection
machines cost $1.2 million. That doesn't include the $600,000 to
install, for a total cost of about $16.2 million for the nine machines.
The federal government will pay for the machines and their installation,
but the airport is spending $7 million of its own money on the system to
renovate part of the terminal to house the machines. 

Work includes gutting the airline ticket office areas that are out of
public view behind the ticket check-in counters, putting in an entire
new baggage conveyor system, incorporating the explosive-detection
machines into that system and then rebuilding the office space. 

Construction is underway and will be complete prior to the Dec. 31
deadline, Dillon said. 

"What we'll end up with is a system where people can come to Manchester
Airport, walk to the ticket counter, check your bag just like you do
today and walk away." Currently, checked bags are not scanned. 

"We did this because we feel it's important to stay ahead of that whole
customer service curve." Dillon believes most airports will opt for the
cheaper, trace detection systems.


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