Continental Airlines in Newark, N.J., Eyes Southwest's Arrival in Philadelphia.

Byline: Richard Newman

Apr. 28--Continental Airlines CEO Gordon Bethune better watch his back at Newark.

Rival Southwest Airlines is bringing its popular brand of low-fare, few-frills service to Philadelphia International Airport next month, and is sure to siphon passengers away from Newark, where Continental is dominant.

Those in Middlesex, Monmouth, and Hunterdon counties, and even in some parts of Pennsylvania near Route 78, would be the most likely to be lured to Philly. But some bargain hunters are expected to make the drive even from North Jersey.

"I don't know how far into New Jersey we will reach, but we do know people in Philadelphia have been driving two hours to Baltimore for our low fares," said Christine Turneabe-Connelly, a Southwest spokeswoman.

Analysts say the "Southwest Effect," a phrase coined by the Department of Transportation to describe how airfares plummet and traffic soars when the granddaddy of low-cost carriers enters a new market, will make most domestic air travel more affordable for those who live near Philly -- including many New Jerseyans.

Southwest, which is already selling tickets from Philly, will generally offer lower fares than competitors to places like Chicago, Las Vegas, and some Florida destinations. That has already forced some airlines to lower fares from Philly.