High oil prices. Credit squeeze. Reduced spending by consumers. What to do? Instead of filing for bankruptcy (again), United Airlines has a new strategy: drastically cut the number of flights for leisure travelers. That means no more Ted, United’s Denver-based low-fare division that launched in 2004 to compete with Frontier and Southwest. From where I’m sitting — Sin City — that sounds a lot like economic disaster. According to an interactive graphic posted by USA Today, United’s announced cuts will contribute to a drop of 12.3% in air traffic to Vegas.
Agence France-Presse reports that United said it would trim US capacity by 17-18 percent through 2009, removing 100 aircraft from its fleet and about 1,500 jobs from its payroll. I guess the silver lining in this economic cloud is that the planes United says it intends to retire — about 20% of its fleet — include what the carrier says are its oldest and least fuel-efficient aircraft, namely, all 94 of its Boeing 737s and six Boeing 747s. At least the environmentalists have a little good news. As for leisure travelers, well, you might want to find a business aspect to that next trip, so someone else will pick up the tab.

Ads, ads, ads. Recently, atop a Hotmail web page, a banner ad displayed the phrase “Fees Don’t Fly With Us,” accompanied by an image of a Southwest Airlines plane. Plus there’s the new “coupon” (see above). Lower on the page, to back up these claims, a link to an MSN article teased 