Editor’s Note: The September issue of Airport Experience News includes an interview with Ted Kitchens, director of Manchester-Boston Regional Airport (MHT). Below is an abridged version of the interview. For full access to the article, please log in, subscribe, or check your printed edition of the September issue.
The catchment area for Manchester–Boston Regional Airport (MHT) is a swath that extends down through southern New Hampshire and into northern Massachusetts, into southern Maine and over to southern part of Vermont. But, MHT sits about 50 miles northwest of its much larger competitor, Boston Logan International Airport (BOS) and is plagued by leakage to that market, more so now than pre-pandemic.
MHT Director Ted Kitchens is convinced that the right mix of carriers and an increase in the number of airline seats in the market will recapture those passengers, and he is focused on making that happen. It’s a big lift. Even prior to the pandemic, MHT’s passenger numbers were on a downward slide from a 2005 peak of about 4.3 million passengers. Last year, MHT served 1.28 million passengers. AXN’s Carol Ward spoke with Kitchens about his strategies to increase MHT’s appeal.
WARD: I know Manchester-Boston Regional Airport has struggled to come back from the pandemic. Can you give me a state-of-play?
KITCHENS: The entire New England region has had a hard time coming back from the pandemic. But with the recent announcements that Avelo Airlines and Breeze [Airways] and JetBlue are coming up here to Manchester after 20 years of us pursuing them, we’re starting to see that some people are realizing that this is a growth opportunity for the airlines. We are one of the wealthiest sections of the country in terms of average household incomes. [Our catchment area] has probably the highest [average] discretionary income of any small hub airport in the United States and we have the third-highest average household income of any small hub airport, behind Islip and Santa Barbara. It’s a target-rich environment for the airlines that are looking for any and all revenue sources that they can find right now.
WARD: How far is MHT from Boston?
KITCHENS: We’re the same distance as Providence (Rhode Island). We’re 50 miles away from Boston, and it’s 50 miles between Providence and Boston, but airlines treat the two markets completely different. Our population base is a little bit less but our per capita income and household incomes show we’re much wealthier than Providence. Our trade area generates a tremendous amount of demand. The trade area generated 3.6 million enplanements in 2023 with 2.1 million being residents and 1.5 million being visitors. If we were to hold on to all our demand, we would be at 7.2 million passengers. And our trade area does not go into the Boston trade area. It skirts the northern Massachusetts border. [It encompasses] southern New Hampshire, southern Maine, and then up into the mountains of New Hampshire and over to southern part of Vermont. We’re generating tremendous amount of demand but airlines are not putting enough lift in the market for that demand to choose Manchester right now.
I always like to say, the best thing that the airport has going forward is what we used to be, because there is nothing that has changed in this market for the negative. The only thing that’s changed is the airlines perception of our market and we’re chipping away at that.
WARD: I assume you don’t need to expand, and that you’re not interested in taking on more debt. That said, do you have any major infrastructure projects underway?
KITCHENS: No, and it’s actually a selling point for us right now. There are all these airports that are doing these mega-billion-dollar capital development programs. And airlines, with their increasing cost structures, are looking for every penny that they can save. We’ve actually restructured the outstanding debt so airlines can come in and take advantage of that free capacity and a CPE that’s decreasing.
WARD: Turning to the terminal and your current customers, how are your concessions performing?
KITCHENS: HMSHost has the food and beverage [contract] and Hudson has the news and gift. We also have some local contracts like the Dunkin Donuts with a local franchisee. We’re very fortunate to partner with HMSHost and Hudson They’ve been terrific business partners because they’re stuck through us as we’ve gone through this transition and through the pandemic. They’ve been able to increase sales over the last few years, although certainly from a lower base. They have another three to four years on this contract. Both Hudson and HMSHost have had it for a very long time so we’re contemplating what that looks like going forward. I think it’s time to do another RFP, just to see what the market has to offer.
