Feature Story

New Gateway to Asia: Delta's Nonstop Service from Salt Lake City to Japan Begins Wednesday

On Wednesday Salt Lake City Mayor Ralph Becker and approximately 25 Utah business, government and civic leaders, along with many other travelers, will board an Airbus A330-200 at Salt Lake City International Airport. They will be bound for Narita, Japan, flying on Delta Air Lines' inaugural, nonstop flight to Japan from Utah.

The 11 hour and 50 minute flight is considerably shorter than previous flights from Salt Lake City to Japan, which typically involved a stopover in Seattle, San Francisco or Los Angeles before spanning the Pacific Ocean. The Salt Lake to Narita nonstop flight is historic in its significance and follows the successful launch last year of Delta's nonstop service from Salt Lake City to Paris, France.

The nonstop flight also kicks off a mini Japanese trade mission spearheaded by the Governor's Office of Economic Development (GOED). This will be the second trade mission by GOED to Japan in two years. While in the country, those involved in the trade mission will make connections with government leaders and meet representatives from some of Japan's largest and most innovative companies. Tracie Cayford, deputy director of the Utah Office of Tourism (UOT), says representatives from her office will also hold a luncheon with key Japanese tour operators to promote Utah's ski industry and national parks.

Beyond the trade mission, Utah's business and economic development leaders expect the new service will lead to increased economic development and tourism opportunities between the two regions. "The flights create another great recruiting opportunity for us," says EDCUtah President and CEO Jeff Edwards. "Like Delta's nonstop flights from Salt Lake City to Paris, which created greater access to Europe for Utah businesses, we expect the Salt Lake City to Narita flights will open more doors to companies doing business in Asia. This is a very huge thing for Utah and levels the playing field in many respects. Most large West Coast cities have had direct Asian flights for a long time. Delta's new flight gets us in the game with everyone else."

Bob Farrington, Salt Lake City's economic development director, says the direct flights help differentiate the state, making Utah that much more competitive when working with business expansion projects or companies that have heavy travel requirements. "The flights are just one more plus for Utah," he says. "Delta proved with the Paris flights that our region can support such levels of service. I was impressed when I heard Delta's overview of its internal analysis. There is no guess-work involved in the airline's decision to offer nonstop service from Salt Lake City to Japan."

Indeed, the new, nonstop flights will make business travel to Asia that much easier, with less impacts and delays. It will also make it that much easier for Asian businesses to consider locations in Utah for expansion. Edwards says Narita is a great choice, as it is one of the busiest airports in Asia and "you can go anywhere from there." Narita handles the majority of international passenger traffic to and from Japan, and is also a major connecting point for air traffic between Asia and the Americas. It is the second-busiest passenger airport in Japan, busiest air freight hub in Japan and eighth-busiest air freight hub in the world, according to Airports Council International.

Lew Cramer, president and CEO of World Trade Center Utah, notes that Japan is still the world's second largest economy and Utah's fourth largest trading partner. "Over 600 Utah businesses export to Japan and many more have business interests there, while many Japanese businesses have investments in Utah," he says. Utah exports to Japan totaled $376 million in 2008, according to the latest figures from GOED. The majority of those exports were high-tech medical devices, food preparations, vehicle parts and cosmetics.

Farrington says Mayor Becker will be armed with information about Salt Lake City's Foreign Trade Zone (FTZ), which will be a good hook for companies exporting to or importing from Japan. The city will be looking to create relationships with businesses that can take advantage of the FTZ and expand the level of business they are doing here.

Cramer says Delta's new flights will also be huge for Utah tourism. Currently, many Japanese skiers take direct flights to Canada because the Canadian government has been subsidizing tourism from Japan. "Now, we hope they will come here," he says.

Cayford echoes Cramer's sentiments: "Some 20 or so years ago Utah had a program to attract Japanese skiers to the state, and some of Utah's largest ski resorts actually had signage in Japanese. We are trying to get back to where we were in that market." Utah's national parks are among the hottest destinations for Japanese tourists. What's more, Cayford says the Nikkei Business Journal in Japan recently named the Grand Circle (Utah and Arizona) as #1 in the "Must Visit Best 15 Destinations in the World."

Japan is already one of Utah's top international markets for tourism. The U.S. Commerce Department estimates there were 740,000 international visits to Utah in 2008, many of which were Japanese visitors; however, Cayford says the Commerce Department's number "is grossly underestimated."

Scott Beck, president & CEO of the Salt Lake Convention & Visitors Bureau, is pleased with Delta's new service and the potential opportunities the direct flights to Japan may create. "Thanks to Delta, Salt Lake has always been one of the most accessible domestic destinations for both leisure travelers and convention delegates. With this new nonstop flight to Tokyo, Salt Lake is truly becoming an international destination," he says. "We now have lift to both Asia and Europe, thanks to Delta's successful launch of its nonstop to Paris last summer. The economic impact to Salt Lake, our state and the region as a whole will prove to be substantial, I'm sure."

EDCUtah investor Christopherson Business Travel is one of Delta's largest business customers and, as such, is enthusiastic about the new nonstop service to Japan as well. "We think it will be great for Utah business travelers, for Utah tourism and especially great for the Utah ski industry," says Debbie Huddleston, business development executive for Christopherson. "We are very optimistic about the nonstop service and we hope this will lead to more nonstop International service from Utah."

In the News

Nonstop flight to Tokyo big deal for Utah ski industry
The first nonstop flight from Salt Lake City to Tokyo is a week away, and Utah leaders are already touting what it's going to mean for the state's ski industry. (KSL)

Big-D Construction ranks among largest in nation
Big-D Construction Corporation has been ranked among the top 400 contractors in the nation by Engineering News Record (ENR) Magazine earlier this month. (Utah Business Magazine)

Provo, Utah best college town for jobs
Brigham Young University hasn't felt much of an economic squeeze over the past year. Small businesses on the fringes of campus are making money off students, and construction continues on university buildings and dorms. (Forbes)

Utah tourism officials see promise in Huntsman's nomination
From Midvale to Miami, tourism officials expressed excitement Monday that Gov. Jon Huntsman Jr.'s pending ambassadorship to China will accelerate the emergence of a travel market with the world's most populous country. (Salt Lake Tribune)

Huntsman takes on daunting task with China
As President Barack Obama's choice to become ambassador to China, Gov. Jon Huntsman Jr. will inherit responsibility for a staggering array of issues -- from climate change to nuclear proliferation and global security to trade. (Salt Lake Tribune)

Utah business community lauds Huntsman's new post
News of the pending resignation of Gov. Jon Huntsman Jr. caught many in Utah's business community by surprise on Friday. But several business leaders say Huntsman will be an ideal candidate for the position as ambassador to China. (Daily Herald)

Utah offers incentives to eBay and Verisys
The Governor's Office of Economic Development Board has offered incentives to Verisys Corp. and eBay Inc. in an attempt to nourish the information technology segment of Utah's economy. (Deseret News) (KSL) (Utah Business Magazine)

Utah work ethic attracted Sephora
On the east side of the 400,000-square-foot distribution center for Sephora USA Inc., trucks roll in with mascaras, blushes, lipsticks and shadows in every imaginable color and packaging. (Deseret News)

Utah's Deer Valley Ski Resort prepared for 2011 World Championships
Utah's Deer Valley Resort continued its preparations for the 2011 FIS Freestyle Ski World Championships with a presentation of its draft schedule to the International Ski Federation's Freestyle Committee. (First Tracks)

New center at UVU to aid in economic development
A new resource center on the Utah Valley University campus will be a hub for economic development in Utah, Summit and Wasatch counties. (Daily Herald)

2 builders offer proposals for S.L. theater project
A major international real-estate firm and team that includes the award-winning architects of Salt Lake City's Main Library have put in proposals to build a Broadway-style theater downtown. (Deseret News) (Salt Lake Tribune)

Utah execs more upbeat about state's economy
After two years of growing pessimism about the economy, some Utah business leaders are saying that the worst of the recession may be over. (Salt Lake Tribune)

NSL showing signs of business district
There's a stretch along Redwood Road in North Salt Lake that is starting to get noticed by business owners. (Davis County Clipper)

County employment still good
Davis County's employment rate is still higher than its two northern Wasatch Front counterparts. (Davis County Clipper)

$3,000 grants offered to women
The Zions Bank Women's Financial Group has available micro-grants for women. The "Smart Women Grants" are each $3,000, and one is being offered to women who excel in each of six categories: small business start-up and expansion, community development, continuing education and teacher support, child and elder care, health and human services and arts and culture. (Deseret News)

Sandy home to new school for working adults, Strayer University
University of Phoenix and other private schools that aim their programs at working adults have a new competitor in Utah. Strayer University on Thursday formally unveiled a Sandy campus at 9815 S. Monroe St. that began enrolling Utah students for its spring session, which started in mid-April. (Salt Lake Tribune)

Becker says streetcars could roll within 3-5 years
Six decades after Salt Lake City packed away its streetcar, the slow-moving transit system could see a Sugar House revival in the next three years, officials say. (Deseret News) (KCPW)

Residents split on resort
More than 200 people attended the public hearing for the proposed Our World Family project at the Hurricane Elementary Auditorium, on Thursday, and after an hour of comment, those in favor and against were about even. The people behind Our World Family, are looking to build a world class tourist destination resort that would include a school system, indoor ski resort, theme and water park on 2,000 acres in Hurricane. (Spectrum))

Editorial: ATK a big part of Hubble success
It was a tricky mission for seven astronauts on the space shuttle Atlantis to repair and enhance the Hubble Space Telescope. But it was a huge success. (Standard-Examiner)

Utah to host Air Force Week 2009
Salt Lake City, Utah and Hill Air Force Base (AFB) have been selected to be one of the three venues in the USA to host Air Force Week 2009 (AFW). (Utah Business Magazine)

Calendar

June 3
"Future of Fuels" Lunch with Leo Science Lecture, noon to 1:30 pm at the Salt Lake City Public Library Main Branch, 210 East 400 South - 4th floor. To register or more details, visit www.theleonardo.org/lunch or call 801-531-9800.

June 11
Quarterly Investor Update Meeting and Reception, 4-6 p.m. {Details here}

June 16
New Investor Orientation (EDCUtah)

June 17
Executive Committee Meeting (EDCUtah)

July 20
OIA Thought Leader (TBD)

July 21-24
Outdoor Retailer Summer Market (SL Convention Center)

August 10-13
AUVSI (Washington, D.C.)

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