Like most airports nationwide, San Diego International Airport is finding itself impacted by the current tough times in the aviation industry due to sharply rising fuel costs and other factors. Examples include airlines like Aloha and Zoom going out of business and Southwest Airlines cutting some flights. 
 
However, future projections for air travel in San Diego don't look so dim. So far this year, SDIA is on target to meet or exceed last year's passenger totals. For the first half of 2008, the airport served 9.2 million passengers, a 5.1% increase over the same period a year earlier.  
 
In the case of Southwest Airlines, it currently has 108 departures a day from SDIA, making it SDIA's largest carrier. Although Southwest recently announced that six of those daily departures will be eliminated, the airline has added flights out of San Diego in the last six months. So, in the end, there will be no reduction in the total number of Southwest flights come January 2009, compared to January 2008. 

Finally, it is important to remember that the airline industry has a history of bouncing back after periodic downturns, and San Diego has often led those bounces.
 
Nonetheless, the Airport Authority has been preparing for the uncertainty in the airline industry, realizing that it is presently in an adaptive mode as it tries to reach an appropriate supply-and-demand balance in a volatile environment. In this environment, the Airport Authority is taking steps to ensure continued safe and smooth air service for the traveling public, as well as financial stability for the Airport Authority. 
 
Currently, staff is examining ways to pare costs and adapt to a variety of potential scenarios that could impact operations and finances. A recently announced hiring freeze is just one cost containment measure that has been under consideration. 

Certain improvements at Lindbergh Field are urgently needed, regardless of the present situation in the airline industry, in order for the airport to reasonably serve current and immediate-term demand. These improvements need to move ahead because current shifts in the industry are short-term and therefore do not reduce the facility's needs.

Because it takes years to plan and design significant airport improvements, this work is crucial if we are to be prepared for the industry's next inevitable growth phase.

Following the conclusion of the Destination Lindbergh meetings in 2009 (see the article in this issue) and approval by the Airport Authority Board, SDIA is on track to do the needed terminal and airfield improvements as outlined in the Memorandum of Agreement with the City of San Diego and SANDAG.