What's new at jetBlue

ByABC News
April 14, 2008, 12:08 AM

— -- jetBlue was one of the most successful start up airlines in the post deregulation era. But when Dave Barger became CEO last May, oil prices were on the rise, profits had evaporated, and the carrier was still reeling from a Valentine's Day ice storm that stranded thousands of jetBlue passengers and gave the carrier a black eye.

jetBlue founder David Neeleman stepped down after orchestrating the carrier's rapid ascent into the top-ten largest U.S. airlines, and Barger stepped in with a focus on goals, business plans, and building a strong leadership team.. "It's all about blocking and tackling," he told me. I caught up with Barger at a recent aviation symposium in Phoenix.

Following the Valentine's Day disaster, the airline apologized to stranded customers and issued a first-of-its-kind " Customer Bill of Rights." "This is a commitment to our customers," says Barger, "that this isn't going to happen again at this airline."

Under Barger's direction the airline invested in self service technology to help passengers rebook or obtain refunds and increased the airline's ability to communicate with customers using cellphones and PDAs. jetBlue also altered its "completion" philosophy, preferring to cancel flights in inclement weather rather than risk stranding passengers en route to their destination.

Barger also brought in Russ Chew as President and Chief Operating Officer. As one of the most-respected names in airline operations, Chew held a similar post at the Federal Aviation Administration (FAA) and spent 17 years in operations at American Airlines. "Russ also brought in a cadre of directors with 160 years of experience to run our system operations control center," Barger told me.

The Valentine's Day storm not withstanding, jetBlue consistently receives high marks from customers on its service. The maverick start-up airline broke with the successful no frills strategy for low cost carriers, established by Southwest Airlines, by offering roomier seating and free satellite television at every seat aboard its fleet of new Airbus 320s. jetBlue distributed free headsets and complimentary in-flight snacks while other airlines were terminating meal service, removing pillows and blankets, and even charging for a bag of pretzels.