Travel Q&A: OpenSkies flies into tough airline market

— -- OpenSkies, a subsidiary airline of British Airways, began flying in June 2008, offering premium class transatlantic service priced to compete with the first and business class fares from its major competitors.

OpenSkies flies Boeing 757s configured in two cabins — business class with lie-flat beds, and premium economy with 52 inches of legroom — with a total of 64 seats. It launched with daily, nonstop service between New York John F. Kennedy and Paris Orly, and soon expanded with JFK-Amsterdam Schiphol flights. In July, OpenSkies agreed to buy France-based L'Avion, a premium class carrier that flies between Newark Liberty and Paris Orly.

OpenSkies isn't the first carrier to pursue the premium transatlantic market. Maxjet, Eos and Silverjet all had similar business models, but eventually failed due to sluggish demand and high fuel prices.

In an interview with USA TODAY, OpenSkies CEO Dale Moss outlined his company's strategy to avoid the fate of those other carriers. The 30-year industry veteran, who has worked for British Airways and India's Jet Airways, also spoke about the challenges of launching and operating a new business at a time of great economic upheaval.

•The timing of OpenSkies' launch couldn't have been worse. How's your business so far?

Heck, if I could have predicted that the world would have gotten as challenging as it did back in July, I could have made a lot of money. Even if the market is 20% down, there's a lot of people still flying. Now they have an opportunity to choose a product that's markedly different at cheaper prices.

There was just no way we could have seen the economic malaise coming. So our number is down, but not markedly. We're pretty much tracking along.

•Q: Others have tried the premium-class-only airlines across the Atlantic. Why do you think you will be successful when they have failed?

There is a significant difference between us and others. There were two others that used 767s, Silverjet and Maxjet, and they were both flying to London. We chose not to fly to London. British Airways has its franchise and does a super job. No point in competing with ourselves. The 767 is very big, heavy and fuel inefficient (for) this mission.