Reno Air founder pondering another carrier

Thursday, Dec. 23, 1999 | 10:44 a.m.

The founder of Reno Air is looking into setting up a new carrier to serve the Reno market. So far, there's no corporation and no money is being sought. But the effort is serious enough to have a name an address.

A Reno office has been established and a recorded telephone greets callers: "You have reached the planning office for Casino Royale Airlines."

"What we have is a concept," said James Dunn, former director of in-flight service for Reno Air, who is examining the idea with Lorenzo.

"We're simply running numbers on the feasibility," Dunn said.

American Airlines in August completed its $124 million acquisition of Reno Air, which began flying in 1992 and evolved into a visible and important link in Reno's tourism-based economy.

The carrier was the No. 1 passenger carrier at Reno's airport, operating a hub that peaked with about 45 departures a day in 1997, a year when the carrier lost $12.3 million. Dramatic cost cuts and flight reductions ensued in 1998 to stabilize finances. American announced in November 1998 it was buying Reno Air to strengthen its West Coast presence.

While Casino Royale apparently is envisioned as a charter carrier, it could play a role in shuttling much-needed visitors to Reno-Sparks, where tourism was down about 1 percent in 1997 and 1998 and about 1.6 percent the first three-quarters this year.

Lorenzo, a former executive with Continental, Frontier and Trans World airlines, first announced his plan for Reno Air in 1990.

Lorenzo resigned as chairman and chief executive officer of the new airline in January 1992, before it began flying on July 1, 1992.