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GREENSBORO — Skybus Airlines is not alone in its struggle with high fuel prices, but older airlines may have an advantage in weathering this storm, an independent industry analyst said Monday.

"They never planned for fuel prices this high," said airline industry analyst Anthony Tangorra. "Nobody did."

And Piedmont Triad International Airport may represent the airline's strongest market in its struggle to get through a rough period, he said.

The airline, which recently cut five daily flights from its new base at Piedmont Triad International airport and changed its chief executive officer, hasn't made any management mistakes, Tangorra said. And its ultra-discount fare strategy is not flawed.

The airline has made smart choices, given current conditions, and its low-fare formula that offers direct flights with no frills is an idea that has worked around the world, he said.

Skybus will probably have to raise fares in the middle and upper ranges while maintaining its "$10 for 10 seats" on every plane strategy at the heart of its marketing program.

But it has a major disadvantage: lack of political clout.

When Northwest or United airlines face financial upheavals, for example, they and the other major airlines that carry nearly half of all passengers in the country will get the help they need, Tangorra said.

"Forces in this country will make sure those airlines don't go away," Tangorra said.

"Skybus doesn't have that sort of political leverage," Tangorra said. "Fuel is a major concern for every airline but especially for an airline like Skybus."

Additionally, while Skybus started off with an unusually high bankroll of $160 million, it lost $17 million in the third quarter of last year.

It can't lose that kind of money for a long time without being threatened. So Skybus must improve the amount of money it earns for every passenger, called "passenger yield."

That figure was 6.3 cents in last year's third quarter.

"They need to charge higher fares or need to generate higher yields beyond those ten seats," Tangorra said.

"That is marketing, and it's certainly well worth it. When it comes to walk-up fares and other buckets in the Skybus system, they need to generate higher yields to survive. Their yields are simply too low," he said.

Contact Richard M. Barron at 373-7371 or dbarron@news-record.com