Source: Washington Post
Author: Keith L. Alexander

For nearly 20 years, Mary Duffy led a pampered life when she traveled, thanks to her memberships in exclusive airport clubs. Behind the polished wooden doors of the club, a hostess would greet Duffy by name, hand her a complimentary latté and usher her to the nearest leather sofa.

Life for airport club members such as Duffy was full of amenities: well-appointed lounges, attentive customer service and free drinks and snacks. The clubs provided jet-setting celebrities, dignitaries and top corporate executives a quiet refuge from other airline passengers and a space for meeting clients.

Those plush airport clubs began to lose their appeal after the Sept. 11, 2001, attacks. Duffy frequently found herself stuck in long security lines and often had to rush through concourses just to catch her flight, leaving little time to relax in the club. And because of heightened security, Duffy could no longer hold meetings with clients in the clubs as she once did. So she began renting meeting rooms or suites at nearby hotels.

"After having waited on line for 45 minutes in security, by that time, I am not interested in going into the club and getting coffee and finding a place to sit before I have to get up and walk to the end of terminal," said Duffy, who lives in Menlo Park, Calif.

Two years ago, Duffy dropped her 12-year membership with American Airlines' Admirals Club and her membership with United Airlines' Red Carpet Club, joining thousands of other elite travelers who are deciding not to renew.

Now, as the airline industry grapples with cutting costs, carriers are considering closing the clubs just as they have closed downtown ticket offices.

In shutting those exclusive clubs, the airlines find themselves in a difficult position. Do they continue to keep them opened and staffed at a time when many business travelers are opting away from the pricey clubs, where memberships can range in price from $275 to $500 a year. But if the airlines don't maintain the clubs, they run the risk of alienating some of their best and most loyal customers. In fact, some travelers say the clubs are the one advantage that traditional airlines still offer over their low-cost rivals.

Bob Johnson, a Mystic Island, N.J., sales trainer, said he recently renewed his $300 membership with US Airways so he could use the club when he travels to Los Angeles on his business. But US Airways closed that club on Saturday, along with its clubs in San Francisco and West Palm Beach, Fla.

"What's my incentive to fly them now? I might as well fly one of the low-cost airlines," Johnson said.

As part of its cost cutting, Arlington-based US Airways has closed more clubs than any other major airline. US Airways now operates 16 clubs at 13 airports, down from 25 clubs at 21 airports in April 2001.

US Airways -- which is trying to cut costs enough to emerge from bankruptcy protection this summer -- said passengers no longer use the clubs as they once did, mostly because of tighter security measures. Also, fewer companies are covering their workers' club memberships.

"As much as we don't like to close airport clubs, the dynamics of airport clubs, have changed dramatically," Christopher L. Chiames, US Airways' senior vice president of corporate affairs, said recently. "The club business for a lot of locations and for a lot of airlines isn't the profit center that it used to be. Clubs that aren't profitable, we can't afford to keep open."

Last fall, as part of its own cost-cutting initiative, Northwest Airlines closed its Philadelphia club and one of its two San Francisco clubs. The airline now has 22 clubs, down from 25 in 2000.

Frequent flier Mike Kerry has flown United Airlines almost exclusively for more than 12 years. The Oconomowoc, Wis., cable TV equipment salesman said he tries to spend as little time in the airports by scheduling few layovers. And when his flights are delayed, Kerry said prefers to grab a cup of coffee at the nearest airport eatery. Even though he could receive a $100 discount from the $350 fee because of his status with the airline, Kerry said he wasn't interested. "I just can't see spending that much money for a half-hour visit," he said.

Poor Customer Service Blamed on Low Morale: The nation's airlines arrived later, received more customer complaints and lost more bags last year than in 2003. And one of the biggest reasons is the low morale of airline workers, according to an annual aviation quality study released yesterday.

Researchers at Wichita State University and the University of Nebraska at Omaha said that airline service is getting worse because more people are flying at a time when airlines have slashed their workforces to cut costs.

Performance declined at 10 of the 14 airlines studied in 2004 compared with 2003. But AirTran, Atlantic Southeast, JetBlue and United improved. A total of 16 airlines were reviewed in 2004, with ComAir and SkyWest added to the study.

Low-cost carriers ranked at the top of the survey for customer service, making up the top three airlines. JetBlue Airways ranked No. 1, followed by AirTran Airways then Southwest. United Airlines ranked No. 4 and was the highest-ranked legacy carrier. US Airways was ranked 12th, down from fifth place last year. US Airways was ranked No. 1 in 2002 and 1998.

It's the 15th consecutive year for the study, which is based on Transportation Department statistics on late flights, lost bags, denied boardings and consumer complaints.