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What To Do With US Airways DCA And LGA Slots?  
User currently offlineDCA-ROCguy From United States of America, joined Apr 2000, 4490 posts, RR: 33
Posted (12 years 3 months 1 week 5 days 9 hours ago) and read 4228 times:

Dear Gang,

As long as the topic of terminally-ill US Airways has come up again, let's zoom in on an aspect that (as far as I can tell) has *not* been discussed to death.

US Airways holds lots of juicy slots at LGA and DCA. Presumably US will hold on to them until the bitter end in 2003, because these are high-yield airports for the airline. That means that once US is gone, these slots will be up for grabs.

I'm uncertain as to existing Federal law for redistributing these slots. Around 2000, the Fedgummint required that a certain number of LGA slots be made available to smaller and low-fare carriers. Thus, AirTran, Vanguard, and ATA all hold slots and serve LGA.

It seems to me that US's demise would be a good opportunity for the Feds to step in and force some of the capacity at these airports open to low-fare carriers. The Slottery seems to have abated the congestion nightmare at LGA, and DCA wasn't badly congested before Sept. 11. So such a move should not cause congestion.

Senators and Congresspeople along the East coast are no doubt familiar with Sen. Schumer and Rep. Slaughter's commendable, successful pro-consumer efforts to get JFK opened up to JetBlue. They and other Congresscritters ensured that some of those slots went to flights to fare-gouged airports (ROC, BUF, SYR).

Both JetBlue and AirTran have expressed interest in DCA, and of course AirTran is already at LGA. Southwest probably wouldn't touch either airport with a ten-foot pole.

Here's a potential breakdown I'd suggest at DCA:

JetBlue: 20 roundtrip slots, with requirement that at least 12 go to medium-size cities. 2 dailies apiece to ROC, BUF, SYR, MSY would be a good start.
AirTran: 20 roundtrip slots, with requirement that at least 12 go to medium-size cities. 2 dailies apiece to GSO, DAY, MEM would be a good start.

Maybe a few more to ATA if interested.

Let the Cartel fight over the 50 or so remaining US Airways mainline slots.

Shuttle to antitrust-compatible Cartel carrier.

Also, all US Airways regional a/c slots should be required to go to regional a/c service, with minimums of service to existing small cities served by these flights. Congresspeople like nonstop flights from DCA to their hometowns of all sizes, so such service would not be likely to disappear after US passes away. But it wouldn't hurt to be safe. In any event, the airline would have to demonstrate severe uneconomicality to get out of any route.

At LGA:

AirTran: at least 25 additional slots, with requirement that at least 20 go to medium-size cities. They already serve ATL heavily from LGA, so focus on other cities. 2 dailies apiece to GSO, MKE, DAY, MEM, CAK would be good candidates for starters. (GSOflyer, I think that AirTran GSO station can be saved ;+) )
1 to 5 additionals apiece to Vanguard, Midwest Express, ATA.
Maybe 2 more or so to Frontier.
Maybe 5 more or so to Spirit.

Shuttle to antitrust-compatible Cartel carrier.

Any other suggestions?

Jim



28 replies: All unread, showing first 25:
 
User currently offlinePROSA From United States of America, joined Oct 2001, 5632 posts, RR: 5
Reply 1, posted (12 years 3 months 1 week 5 days 9 hours ago) and read 4129 times:

I know they're not really a low-fare carrier, but if they could find a loophole AS probably would love to get its hands on LGA. New York so far remains unserved even though AS now flies to BOS and DCA. Granted, air travel to and from the New York area remains in a slump (seat capacity to NY-area airports is down 17% from a year ago vs. 10% nationwide, according to USA Today), but eventually New Yorkers' memories of September 11th will fade and they may be willing to fly again.


"Let me think about it" = the coward's way of saying "no"
User currently offlineJcxp15 From United States of America, joined Jun 2001, 997 posts, RR: 5
Reply 2, posted (12 years 3 months 1 week 5 days 8 hours ago) and read 4108 times:

20 slots to both JetBlue and AirTran at each airport seem a bit much. I highly doubt FL would fly a LGA-MKE route (doesn't seem like the loads would justify the route), and a LGA-MEM route doesn't seem too wise in that Northwest already has a lot of those flights (mainly for connecting service in MEM). I don't know about the 20 slots at DCA for FL (it's too close to BWI). Maybe 10-15 for ATL/MDW/GSO/Florida routes. I wouldn't mind JetBlue receiving 20 slots at DCA, as they would probably use them to serve existing Western cities, and some Florida routes.

With the 15-20 slots at LGA for AirTran, I would open up a LGA-FLL with 3 or 4 dailies, as well as perhaps 3 or 4 dailies LGA-MCO. I would also open LGA-CLT with 2 or 3 dailies (served heavily before by USair). Maybe 2 daily LGA-MDW. LGA-DAY could get one or two dailies, but no more than that.

At DCA, FL would probably take up 4 or 5 dailies to ATL, 2 or 3 to FLL, 2 or 3 to MCO. Perhaps some western expansion from DCA could also happen.

Airtran also needs to get the planes before they start opening up all these routes.


User currently offlineLoneStarMike From United States of America, joined Jul 2000, 3811 posts, RR: 34
Reply 3, posted (12 years 3 months 1 week 5 days 8 hours ago) and read 4102 times:

I may be wrong, but I think DCA has a restriction that aircraft with over 156 seats can't use DCA. That would seem to rule out jetBlue at DCA unless that restriction were lifted.

LoneStarMike

User currently offlineDCA-ROCguy From United States of America, joined Apr 2000, 4490 posts, RR: 33
Reply 4, posted (12 years 3 months 1 week 5 days 8 hours ago) and read 4091 times:

Hmmm...would seating capacity be an issue for JetBlue, since the A320 is already approved and operating at DCA? JetBlue of course only has more than 156 seats in its A320's because they're configured in one-class seating.

Also, I've seen ATA's 738's at DCA this past month, and the ATA website says they're configured for 175.

Good points about adding so many flights at once. I figured they'd proabably need a year window to add the flights in. How fast did the low-fare carriers build up their schedules at LGA?

I admit to thinking a little big, since my idea is to change the structure of things at these airports a little. If AirTran and JetBLue felt that adding so much capacity at once would not be financially wise, of course they should not do it quickly. My impression, especially from Neeleman's comments a year ago about DCA, and from AirTran's comments during UA-US, is that both carriers want into DCA in a "big" way--which for them could be around 20 flights.

I don't think an AirTran DCA station would hurt Dulles or BWI. All the flights I suggested would simply succeed existing US Airways service on these routes, so it would not be "new" service. It would just cost people a heck of a lot less. Same with JetBlue; the markets I suggested are all served now by US. So B6 would not be dumping "new" capacity into an untested route, or one where new market share would have to be built.

Before Sept. 11, US Airways flew mainline narrowbodies on all the DCA routes I mentioned. They only substituted DeHavillands on many of them afterwards because it was a good excuse to weed out all but the highest paying pax. However, since JetBlue's CSM's are half of US's, they should easily and profitably be able to achieve old US loads on the same DCA routes.

Alaska makes a lot of sense for LGA, PROSA. Maybe 739's to SEA, and possibly PDX?

Jim


User currently offlineUsairways85 From United States of America, joined Nov 2001, 3393 posts, RR: 7
Reply 5, posted (12 years 3 months 1 week 5 days 7 hours ago) and read 4074 times:

i think airtran should really step up in lga. they should pick up 30 or so slots. as for dca i think airtran should get 10 or 15 slots and maybe jetblue get a few to start and then more to come. i just dont think jetblue can handle adding 25 flts from long beach, and then go right into adding flts at dca. they will be expanding much to quickly. as for the other slots at dca i would give them out to other low-fare carriers. maybe 5 or so to ata, maybe some to frontier and spirit.

User currently offlineFlyPNS1 From United States of America, joined Nov 1999, 6584 posts, RR: 24
Reply 6, posted (12 years 3 months 1 week 5 days 7 hours ago) and read 4049 times:

I'm not sure if Airtran would really need twenty roundtrips out of DCA if they are forced to serve small towns. Honestly, I'm not sure if I like the idea of forcing airlines to serve markets if they want slots...when it comes to airlines as in most things...less government is better.

I'm sure DLConnection/AmericanEagle/COExpress all of whom have lots of RJ's would love to pick up some the regional markets that feed into DCA. I'd love to be able to fly PNS-DCA n/s...it's the number one O+D destination out of PNS. But I doubt we'd get that.


User currently offlineScottb From United States of America, joined Jul 2000, 6712 posts, RR: 32
Reply 7, posted (12 years 3 months 1 week 5 days 6 hours ago) and read 4018 times:

The slots don't go up for grabs in any case. In the event of a bankruptcy filing and liquidation, the LGA and DCA slots (as well as the facilities) are part of the bankruptcy estate and, as such, are sold off to generate cash to pay off the creditors. The TWA slots for LAX-DCA (which were *not* part of the bankruptcy estate) were a special case in that the authorization for the beyond-perimeter slots specifically excluded the ability to sell or transfer the slots.

While I do see merit in the public policy objective of making slots available to low-fare carriers, I personally feel like the government ought to cancel all of the slots and auction them off to the highest bidders, since the slots really are more-or-less public property. And the slots ought to expire after five years or so. The government could potentially give a discount on the auction price to carriers who agree to maintain fares below a certain average level (say, 15-20 cents/mile).


User currently offlineFlashmeister From United States of America, joined Apr 2000, 2900 posts, RR: 6
Reply 8, posted (12 years 3 months 1 week 5 days 6 hours ago) and read 4009 times:
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I agree with FlyPNS1's concern of forcing airlines to serve specific types of markets, but something is needed to ensure adequate access to both low-fare and traditional carriers to the slots that would open up.

Also, control of these slots should be a local issue, not a Federal one -- let the market steer itself, rather than be told where its routes should go (which smacks of CAB regulation).

Maybe something along these lines (bear with me, it's long):

Appoint local advisory councils to determine the mix of traffic that is needed at LGA and DCA, including representatives from local airport/port authorities, government, business leaders, community leaders. Do NOT include airline executives or representatives on these panels.

Once the benchmarks are determined, publish them and open a Call for Proposals to the airline community. Receive sealed 'bids' for service and have the same advisory council review them.

Allocate slots based on Calls for Proposals and open negotiation with carriers to enter into an agreement for service. The agreement would grant slots for use on specific routes (outlined in the Calls for Proposals), set targets on performance, set targets on total end-user cost (including fees), and set targets on customer service.

Agreements last for one year. They are renewed or terminated according to terms in the agreement. For instance, if an airline exceeds average end-user cost targets by 20%, then their slot charges also rise 20% for the following year. If an airline beats the end-user cost target by 20%, then their slot charges fall 20% for the following year.

If an airline exceeds the target end-user cost by a large amount (50% or so), their agreement is terminated and the slots go up for grabs in the same process.

The same system is used for other benchmarks: customer satisfaction, on-time performance, security, etc.

Also, slots are bound to particular routes and frequencies -- airlines couldn't reduce frequencies or change destinations midway through the year. At the end of the year, they could renegotiate with the local board to get service changed.

Finally, airlines would be prohibited from predatory actions against other airlines on routes served to or from that particular airport, regardless of whether they're covered by the agreement or not. For instance, at DCA, Frontier already flies DCA-DEN and wouldn't be under this agreement. If United comes in and wins a DCA-DEN route under this agreement, and then gets predatory on ANY route from DCA, their right to DCA-DEN is revoked.




Long, I know, and definitely a pipe dream, but I think this would be an ideal way to control slot regulation -- communities get a direct say in what they want, what they're willing to pay for it, and then airlines can bid for what they want to serve and at what price targets. If a price target is too low, then a community has to either decide to pay more or change their desired routes.

There's enforcability, incentives for low fares, and a way for either side to get out of the agreement after the year if market conditions change.

Just my $0.02...

-Aaron


User currently offlineCody From United States of America, joined May 1999, 1932 posts, RR: 9
Reply 9, posted (12 years 3 months 1 week 5 days 5 hours ago) and read 3990 times:

I hope USAirways makes it. If nothing else just to prove wrong, all of you people who are so sure of everything. As intelligent as everyone on this forum is, don't you think that maybe, just maybe, something totally unforeseen could happen and the USAirways story will change? And from what I am being told that day is approaching.

User currently offlineNeednewairport From United States of America, joined Jan 2002, 235 posts, RR: 0
Reply 10, posted (12 years 3 months 1 week 5 days 4 hours ago) and read 3956 times:

Cody

I really do hope you are right. I really like USAirways and want them to stick around. I would like to see them succeed. I like their choice of planes, I like their livery and have never been disappointed with their service. I also have a TON of frequently flier miles with them and I would hate to lose them.....  Smile/happy/getting dizzy


User currently offlineAmericanmd80 From United States of America, joined Apr 2000, 491 posts, RR: 5
Reply 11, posted (12 years 3 months 1 week 5 days 4 hours ago) and read 3953 times:

I am with both of you cody and neednewairport!

I love usairways! they are my favorite airline...
never had a bad experience with them...
fleet is awesome....
people are great....

but who knows...only time will tell...

Joe
~americanmd80~



do what you like . like what you do . life is good
User currently offlineHaveric From United States of America, joined Jan 2001, 1247 posts, RR: 4
Reply 12, posted (12 years 3 months 1 week 5 days 3 hours ago) and read 3939 times:

Sorry fellas, but DCA-ROCguy won't give up until US crashes and burns. He's been spouting the exact same comment about them for the last yr or so on this board. Now, despite some positive signs, he has labeled US as "terminally ill."

It's easy to say that a high CASM is directly correlated to an airline's ability to suceed. The 14cent number bandied about is far from accurate. I doubt even US knows what their costs will be once they're through furloughs and decommissioning jets.

No, US Airways is not a healthy airline and they do have problems, but to say that they're terminally ill, despite a new, energetic management team and evidence that they are not totally backing down from low-cost carriers (can't still fly LGA-PIT, PHL - PIT on Airtran) shows that it's a long, long way from being over...

I suggest we allow US to continue flying from its much coveted slots at LGA and DCA. In fact, I'd posit that you'll see some of the 70 new RJs flying out DCA in the near future.


User currently offlinePROSA From United States of America, joined Oct 2001, 5632 posts, RR: 5
Reply 13, posted (12 years 3 months 1 week 5 days 3 hours ago) and read 3919 times:

I hope USAirways makes it. If nothing else just to prove wrong, all of you people who are so sure of everything. As intelligent as everyone on this forum is, don't you think that maybe, just maybe, something totally unforeseen could happen and the USAirways story will change? And from what I am being told that day is approaching.

You're right, it is possible that US will survive, most likely in a somewhat shrunken form. I would have to say that the odds of its survival aren't good, it's silly to say that they are, but they're not zero.
My guess is that we will be able to get a better reading on US's survival possibilities by the end of this year. If the forecasts are to be believed, the economy will be in better shape and air travel in most areas will have rebounded from its post-September 11th slump. More to the point, most airlines should be back to profitability, or close to it. If US is still hemorraging money when the rest of the industry is doing well, we can be reasonably confident in predicting its demise. But looking at its financial performance right now, when the industry as a whole is in a major slump, can be misleading.



"Let me think about it" = the coward's way of saying "no"
User currently offlineDCA-ROCguy From United States of America, joined Apr 2000, 4490 posts, RR: 33
Reply 14, posted (12 years 3 months 1 week 5 days 2 hours ago) and read 3897 times:

Sorry fellas, but DCA-ROCguy won't give up until US crashes and burns. He's been spouting the exact same comment about them for the last yr or so on this board. Now, despite some positive signs, he has labeled US as "terminally ill."

*What* "positive signs?" 70 more RJ's, when at least 300 are needed? US Airways, sadly, is a terminal patient for reasons I've laid out elsewhere. I was actually one of the more generous prognosticators before Sept 11. If you've been reading my posts for a year you'll know that I was predicting 5-10 more years of existence before 9/11.

It's easy to say that a high CASM is directly correlated to an airline's ability to suceed. The 14cent number bandied about is far from accurate. I doubt even US knows what their costs will be once they're through furloughs and decommissioning jets.

14 cents is what US's CSM has been for a couple of years. Sorry, speculation about what their CSM might be once the older narrowbody types are all gone, doesn't change what the CSM is right now. And don't forget that fleet simplification won't touch labor contracts.

CSM is *the bottom line* in whether an airline is a viable entity or not. What it costs to fly seats determines what the airline charge, and still hope to cover costs and make a profit. US's CSM would have to drop at least 30 percent in order for US to be viable in the long term. That's asking the impossible.

No, US Airways is not a healthy airline and they do have problems, but to say that they're terminally ill, despite a new, energetic management team and evidence that they are not totally backing down from low-cost carriers (can't still fly LGA-PIT, PHL - PIT on Airtran) shows that it's a long, long way from being over...

Let's see....US has been utterly routed at BWI and is running with its tail between its legs. Wow, US can draw on FF-addict business pax on two of its densest routes (LGA-PIT and PHL-PIT) to fend off AirTran. Routes where US has in excess of 10 narrowbody frequencies daily, and AirTran had 3 or 4. That doesn't even require much effort.

US Airways market share in Upstate NY, for instance, has been dropping like a rock since JetBlue, Southwest, and AirTran have moved in. Formerly-captive Upstate NY markets are finding out that they have choices--high-quality choices that cost a lot less.

That "energetic new management team" was able to get only 70 more RJ's out of the pilots' union, when even Wolf had them close to accepting 250. Not an impressive figure.

I suggest we allow US to continue flying from its much coveted slots at LGA and DCA. In fact, I'd posit that you'll see some of the 70 new RJs flying out DCA in the near future.

US is a good airline with very good service, whose time is past. Other airlines will take up the baton in the Northeast, and communities large, medium, and small will continue to enjoy service--from airlines with cost structures capable of producing good yields in the new, maturing post-deregulation market situation. It seems to me a worthwhile exercise to think about the future.

Jim


User currently offlinePhilly phlyer From United States of America, joined May 1999, 317 posts, RR: 1
Reply 15, posted (12 years 3 months 1 week 5 days 2 hours ago) and read 3897 times:

I continue find it more than somewhat ironic that someone professing to be a "graduate student in theology" is so fixed on the demise of an airline and the loss of jobs and misery that would result for U's employees and employees of dependent vendors. I would love to determine the cause of the continual animosity towards this carrier but I don't have the time and, frankly, I don't care.

If you are so sure that US Airways eventually will dance in bankruptcy court, then you should talk a little with your friends who may be working on an MBA or other business degree. If it came to that, the filing would be chapter 11 (not 7) and the LGA and DCA operations would not be going to anybody. I've seen a lot companies (including clients) that were much more ill than US Airways that successfully avoided bankruptcy altogether.

Without the events of September 11th and the temporary effect it has had on travel (made the cyclical low point lower and of longer duration), I would have completely rulled out any possibility of bankruptcy, but with the low point of the cycle taking longer to correct (the loads are back but not the yields), chapter 11 would be a possibility if the unions refuse to work with the new management.

Before saying the demise of the carrier is imminent, I would suggest taking a breath and giving the new CEO a little time to develop his plan and do his job. Since prior management was trying to sell the carrier and not operate it, it is going to take a little time to get the ship back on course.


User currently offlineJcxp15 From United States of America, joined Jun 2001, 997 posts, RR: 5
Reply 16, posted (12 years 3 months 1 week 5 days 2 hours ago) and read 3870 times:

Another question: If USair does file for Chapter 11, they will need to sell a lot of their planes, and if they eventually shut down, everyone will go. Any ideas on who would pick them up? I'd imagine the 319's (and series) will go to UA or NW, but there remains a large number of 757's, 330's?, 737's, D8's, and ERJ's that will remain. Any thoughts?

User currently offlineHaveric From United States of America, joined Jan 2001, 1247 posts, RR: 4
Reply 17, posted (12 years 3 months 1 week 5 days 2 hours ago) and read 3869 times:

Thanks Phillyphlyer. I myself don't understand why Jim continually needs to grind his ax w/ the same song and dance. He refuses to acknowledge any of the positive changes the airline has made and is planning to make becuase he's already written it off.

Yes, US ran from BWI -- but did they need that hub at all? It was 90miles from PHL... Now, they have a higher yield mini-hub in DCA that will be bolstered by RJs. If you've read about US, you'd also know that it is likely that more RJ deals will follow in the near future, along with union concessions that you've concluded will absolutely never happen.

US has far more cash than TWA did when it went bankrupt, and it's recent history has not been nearly as depressing. US has a young streamlined fleet, superior services, quality airport facilities. Simply focusing on what their CASM was a yr or two ago and your anecdotal evidence of flying home on thanksgiving from DCA to ROC is just not enough for you to conclusively determine that US is done for.

Eric


User currently offlineOzarkD9S From United States of America, joined Oct 2001, 5010 posts, RR: 21
Reply 18, posted (12 years 3 months 1 week 5 days 1 hour ago) and read 3860 times:

US can spin off assets like few other carriers...before those slots end up as part of a bankruptcy estate sale, they will undoubetdly be sold off.
If management really wants to get labor costs down they need a tough negotiating tactic. Selling off LGA or DCA would be a perfect place to start. Once the unions realize management is serious, they might get their costs in line with revenues. I'm not suggesting a Lorenzo-like slash-and-burn approach, but it seems to be the only way to accomplish any meaningful restructuring short of bankruptcy.



Next Up: STL-LGA-RIC-ATL-STL
User currently offlinePhilly phlyer From United States of America, joined May 1999, 317 posts, RR: 1
Reply 19, posted (12 years 3 months 1 week 5 days 1 hour ago) and read 3853 times:

jcxp15:

There are two types of bankruptcy filing that corporations file in the US. The first is Chapter 11 which is "reorganization" and the second is Chapter 7 which is "liquidation."

Under a reorganization" or "work out" filing (Chapter 11), the applicant presents a business plan to the court for approval by the court. It generally consists of settling unsecured debt at much lower rates, getting out of noncompetitive or onerous contracts (including employment contracts and certain lease arrangements) and includes a plan of operations going forward to improve the business situation. All major business decisions (asset sales, acquisitions, etc) must be approved by the court until the company emerges from the protection of the bankruptcy court. That can range from months to years after the initial filing. A company generally wants to do this as soon as possible to be out from under the court's control.

In some cases, many companies in a near Chapter 11 situation have gone to their major vendors, creditors and contractors and reworked the agreements without actually filing for bankruptcy. Doing this can be to the advantage of all parties.

In a liquidation filing (Chapter 7), the company does not restructure itself, but shuts down and sells off assets as best it can. Usually this is done by a court appointed trustee who has been approved by the court and major creditors. This process can take years for large companies.

If US Airways were to file Chapter 11, they would not be selling their aircraft unless it was a part of downsizing and raising capital for ongoing operations. As such, the sale of aircraft more than likely would not include much more than the assets already parked in the desert already.


User currently offlineLindy From , joined Dec 1969, posts, RR:
Reply 20, posted (12 years 3 months 1 week 5 days 1 hour ago) and read 3808 times:

I think I'm out of space. Is USAirways going down???
Can anybody explain this slot give away to me please???

Rafal


User currently offlineUsairways85 From United States of America, joined Nov 2001, 3393 posts, RR: 7
Reply 21, posted (12 years 3 months 1 week 5 days 1 hour ago) and read 3804 times:

there is no slot giveaway or anything like that, we are just speculating what could happen in the event that usairways files chap. 11 and sells off some assets or if usairways files chap. 7 in a year.

User currently offlineGsoflyer From United States of America, joined May 2001, 1093 posts, RR: 1
Reply 22, posted (12 years 3 months 1 week 5 days ago) and read 3793 times:

DCA-ROCguy

It all depends. US Air flies 4 dailies to DCA using Dash-8s. If Airtran were to pick it up, they'd have to use smaller aircraft. I don't see that happening. If Jetblue does end up here, like lots of people are predicting, then I could see Jetblue offering a flight to DCA a day, plus a few flights to JFK (which we don't have here). I would see Delta being the one picking up GSO to LGA service. And I'd see Airtran picking up BWI to GSO.

So, to sum it up.
I could see Airtran/Jetblue doing the DCA thing.... maybe 1 each per day.
Delta picking up LGA by a few flights.
Jetblue hopefully adding JFK to split NY service

But, that is all just my take.

There's alot of money to be made at GSO.... no one is really trying to maximize on it except for Delta and United it seems.


User currently offlineDCA-ROCguy From United States of America, joined Apr 2000, 4490 posts, RR: 33
Reply 23, posted (12 years 3 months 1 week 4 days 23 hours ago) and read 3772 times:

Sorry Haveric and Philly Phlyer, ad-hominem accusations not backed by facts aren't worth my time. If you think my perspective on US is formed by a few anecdotes, despite piles of facts and figures, that indicates that you just ignore what you don't want to hear. Make a counterargument if you wish, with factual basis, but don't misrepresent my arguments to the forum. It just makes you sound silly.

Fortunately, the Northeast market is so strong that airlines with lower cost structures than US will likely ensure that even the small cities have regional service after 2003. A long-overdue correction in the structure and cost of air service on the east coast is underway.

Jim




User currently offlineCo/ba From United States of America, joined May 2001, 399 posts, RR: 3
Reply 24, posted (12 years 3 months 1 week 4 days 22 hours ago) and read 3765 times:

If theese carriers were allocated slots to DCA I don't think it will change the fares that much. They will charge as much as they possibly can just like the big boys. They are a business too.

25 Boeingfan : Maybe US can strike a deal with Amtrak on the NE corridor routes (DCA, PHL, LGA, BOS?) Better yet, franchise the take off and landing slots at DCA, LG
26 HlywdCatft : What about Spirit Airlines? Spirit has somewhat of a presence at LGA but hasn't been back to DCA.
27 FlyPNS1 : According to USAirway's 1st Qtr report, CASM was 12.91 cents an increase of 1.0% over the 1st Qtr. 2001 when CASM was 12.78 cents. RASM (revenue) was
28 DCA-ROCguy : Even with a drop from 14c to 13c, US is still 1.5 cents ahead of even UA. My own admittedly unscientific impression is that the entire Cartel needs to
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