Travelers mourn loss of Ted amid United cutbacks

Ted, we hardly knew ye.

Along with layoffs and reductions in its fleet, United Airlines announced Wednesday the elimination of its low-cost carrier Ted, launched less than five years ago.

The sweeping downsizing is the aviation giant's best hope for survival in the midst of soaring fuel prices, officials said.

"This environment demands that we and the industry act decisively and responsibly," said Glenn Tilton, CEO of the Chicago company in a release.

The news wasn't welcomed by Tom Zipp, who was returning to O'Hare International Airport after a trip to Baltimore Wednesday morning. He feared it will mean fewer flight options.

"I'm looking to get in and out as quickly as possible. With less flights, you can't do it," the Park Ridge resident said. "It's going to be a serious issue for business travelers."

Zipp uses Ted often. "The no-frills Ted was fine with me," he said.

Alvina McHale, who was in Chicago from the Washington, D.C., area wasn't surprised.

"I think it's a natural result of where we are with the economy," she said. "You can't fault the airlines. They're trying to hold on to their core business."

United is removing 100 of its gas-guzzling airplanes, mainly Boeing 737s. This means domestic capacity will be cut between 17 percent and 18 percent over 2008 and 2009. This includes 30 aircraft the airline had decided to pull previously.

"The decision to dramatically reduce our capacity profile, particularly in the domestic marketplace, while over time eliminating a fleet type, is a significant step leading to a more effective and efficient operating fleet for United," chief operating officer John Tague said in a statement.

Experts expect the reductions will mean less nonstop service for smaller markets.

Aircraft used for Ted, which offers coach service, will be reconfigured to include first-class seats. Those changes will begin in spring 2009.

"I thought Ted had earned its keep," commented Joseph P. Schwieterman, director of the Chaddick Institute for Metropolitan Development at DePaul University. "It was an innovation that allowed the airline to try new things."

United also intends to slash 1,400 to 1,600 salaried, management and contractor jobs. This includes 500 staff cuts announced earlier.

"These high fuel prices have had devastating effects," Schwieterman said. "We knew cutbacks would come, but these are larger than anticipated."

Analysts predict effects of the downscaling will affect domestic leisure destinations more than business flights.

A spokesman for United pilots declined to comment, while an official with the flight attendants' union said those positions should be protected by contract.