777fan
Topic Author
Posts: 2256
Joined: Wed Jan 04, 2006 12:09 pm

AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 6:11 am

Looks like MDW is the latest victim of AA's seat-reduction manuever. Anyone want to speculate as to who will take the two leased gates over? I'd be interested to see how this will play out? How have the Ted flights in/out of MDW fared to this point?


777fan


American to leave Midway
No layoffs expected as 5 daily flights to Texas end Sept. 1

By Mark Skertic
Tribune staff reporter
Published May 3, 2006


The world's largest commercial carrier will leave Midway International Airport this year.

American Airlines has notified city aviation officials it will cease flights from Midway on Sept. 1.

The airline has only five daily departures from Midway, all to its hub at Dallas-Ft. Worth International Airport. Although American's presence at the airport is small, accounting for less than 2 percent of passengers departing annually, its departure increases the dominance of discount airlines at Midway.

An American spokesman would confirm only that the airline is considering schedule changes in the fall that could affect Midway. However, the Chicago Department of Aviation said it has been notified that the carrier has decided to suspend service at the Southwest Side airport.

The decision does not affect O'Hare International Airport, where American and its regional carrier, American Eagle, combine for 520 daily departures.

Like American, United Airlines also has maintained a small presence at Midway. Elk Grove Township-based United serves only its Denver and Washington, D.C., hubs from the airport.

American has been in and out of Midway several times over the years, as it tried new service offerings. It has been at Midway this time around for about five years.

"They've been in and out of Midway like a yo-yo over the years," said airline analyst Michael Boyd. "This isn't a market that does a whole lot for them."

American's Midwest commitment is at O'Hare, not a smattering of flights from Midway, Boyd said.

Locally, the market has developed with mostly low-cost carriers at Midway and larger, international airlines at O'Hare. No discounter has a large presence at O'Hare, while the country's most successful low-fare carrier, Southwest Airlines, dominates the market at Midway.

The Midway decision is not expected to result in layoffs. The airline uses a Continental Airlines gate at Midway and contracts with Continental to provide ticketing and boarding services.

American has said it plans to reduce capacity, a move the airline hopes will reduce costs and result in some planes flying more full. Unlike most of its major rivals, American has not sought bankruptcy protection, but it has been under pressure to reduce costs and return to profitability. The carrier plans to cut 27 aircraft from its fleet by the summer

The carrier's decision to pull out of Midway will leave two airlines serving the Dallas market, ATA Airlines and AirTran Airways. Instead of 12 daily flights to Dallas from Midway, there will be seven.

Southwest Airlines does not fly to the Dallas-Ft. Worth airport. Southwest does fly to Dallas' Love Field, but federal law restricts which states can be served from Love.


Copyright © 2006, Chicago Tribune
DC-8 61/63/71 DC-9-30/50 MD-80/82/83 DC-10-10/30 MD-11 717 721/2 732/3/4/5/G/8/9 741/2/4 752 762/3 777 A306/319/20/33 AT
 
User avatar
flying_727
Posts: 381
Joined: Sat Jun 26, 1999 11:59 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 6:26 am

I assume airtran might jump on this, but will ATA try to pick up a few more flights a day?

Flying_727
On ATA, You're On Vacation
 
jerion
Posts: 230
Joined: Thu Jun 17, 2004 12:59 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 6:42 am

I say AirTran jumps on the open gates.
L10/D9S/D10/M80/M88/732/733/734/735/73G/738/72S/757/762/763/320/319/318/ERJ
 
777fan
Topic Author
Posts: 2256
Joined: Wed Jan 04, 2006 12:09 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 6:42 am

ATA is most definitely not a factor considering WN took over all of their gates and began codesharing their routes ahead of BKK proceedings. Maybe CO will keep their gates. I wish they had a bigger share in the Chicago market. I've only flown them twice but was impressed.
DC-8 61/63/71 DC-9-30/50 MD-80/82/83 DC-10-10/30 MD-11 717 721/2 732/3/4/5/G/8/9 741/2/4 752 762/3 777 A306/319/20/33 AT
 
ScottB
Posts: 5413
Joined: Fri Jul 28, 2000 1:25 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 6:52 am

Quoting Jerion (Reply 2):
I say AirTran jumps on the open gates.

AA is using a Continental gate, so I doubt this will provide "open gates" for AirTran.

I'm shocked that AA doesn't feel they need to serve MDW in order to protect their customer base in Chicago
 
leelaw
Posts: 4520
Joined: Sat May 29, 2004 4:13 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 6:55 am

AA Rumors At MDW (by Mycrj17 May 1 2006 in Civil Aviation)
Lex Ancilla Justitiae
 
DfwRevolution
Posts: 8544
Joined: Sat Jan 09, 2010 7:31 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 6:56 am

Quoting Flying_727 (Reply 1):
I assume airtran might jump on this, but will ATA try to pick up a few more flights a day?

777Fan is right, ATA's scheduled domestic service is being scaled back, not growing.

Quoting Jerion (Reply 2):
I say AirTran jumps on the open gates.

FL would be a top contender IMO...

AA occupies Terminal C which is remote from FL's gates in Terminal B. Do you need to leave and re-enter security to move between Terminals?
 
MaverickM11
Posts: 15214
Joined: Thu Apr 06, 2000 1:59 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 7:00 am

Quoting 777fan (Thread starter):
How have the Ted flights in/out of MDW fared to this point?

IAD was quickly pulled and DEN is pretty awful.
E pur si muove -Galileo
 
mtnwest1979
Posts: 1778
Joined: Fri Nov 18, 2005 4:23 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 7:21 am

Quoting DfwRevolution (Reply 6):
AA occupies Terminal C which is remote from FL's gates in Terminal B. Do you need to leave and re-enter security to move between Terminals?

No, once through security, you have access to all gates.
"If it ain't broke, don't fix it!"
 
Tango-Bravo
Posts: 2887
Joined: Sun Jun 17, 2001 1:04 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 7:30 am

Why no mention of the possibility of Southwest taking the gates to be given up by AA? Is there anything preventing Southwest from picking up more gates at MDW as they become available?
 
DAL767400ER
Posts: 5084
Joined: Wed Feb 09, 2005 2:47 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 7:33 am

Another idea: Since DL currently just leases a gate for their flights, might this not be a possibility for them to have their own gate instead of one they have to lease for all the different flights, particularly with the now increased flying to ATL?
 
FriendlySkies
Posts: 3540
Joined: Fri Aug 13, 2004 3:57 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 7:55 am

Quoting MaverickM11 (Reply 7):

IAD was quickly pulled and DEN is pretty awful.

IAD was switched to United Express, but I believe the service still exists.
 
777fan
Topic Author
Posts: 2256
Joined: Wed Jan 04, 2006 12:09 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 8:05 am

Can anyone say JetBlue? I'm thinking CO would sublease the gates to them if the price was right. Assuming JetBlue stuck to routes (MDW-Long Beach? or MDW-FLL) that CO didn't serve, it'd be a win-win situation for both. No doubt AirTran wouldn't be happy competition on Florida routes and would most likely make a run on the gates as well. Should be interesting to watch this play out. I'm not sure WN would want the CO gates as much as the departure/arrival slots.

777fan
DC-8 61/63/71 DC-9-30/50 MD-80/82/83 DC-10-10/30 MD-11 717 721/2 732/3/4/5/G/8/9 741/2/4 752 762/3 777 A306/319/20/33 AT
 
n471wn
Posts: 1321
Joined: Tue Dec 02, 2003 12:23 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 8:06 am

American again insults their customers by parking planes (the 27 MD-80's) and ending service as they hope that people will follow them to ORD. And when there they can look forward to crowded planes....loyalty is good but ought not to trump common sense. It just seems that when AA stands up and says we are going to fight the LCC's (such as in Midway, Long Beach and now Love) they eventually cave in and pull out. We will all have a good laugh when they end their operation at Love Field and trust me they will. They just talk and have no idea how to beat SWA and they have had 35 years to figure it out---pitiful and pathetic that the pilots and great AA employees have to pay the price of the string of bad management---starting with Bob Crandall who bragged that SWA would not survive. Bob Crandall should be inducted into the Avaition Hall of Shame as he could have killed SWA in the cradle but knew not how to do it.....shhhhhh Bob the key was LOW FARES....
 
Cubsrule
Posts: 11368
Joined: Sat May 15, 2004 12:13 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 8:21 am

Quoting 777fan (Reply 12):
I'm not sure WN would want the CO gates as much as the departure/arrival slots.

When did slot control at MDW start?
I can't decide whether I miss the tulip or the bowling shoe more
 
DfwRevolution
Posts: 8544
Joined: Sat Jan 09, 2010 7:31 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 8:25 am

Quoting Tango-Bravo (Reply 9):
Why no mention of the possibility of Southwest taking the gates to be given up by AA?

Southwest certainly could take the gate, but remember that AA only has a single gate (C1) to offer. The gates WN currently holds are below their full utilization and it will be some time before WN is maxing them out. With the growth WN has planned in other markets, I doubt WN's first priority is gate-snatching at MDW.

If it goes vacant, they might take the one Terminal C gate, but this isn't at all like the ATA deal where major gates were on the table.

Quoting 777fan (Reply 12):
Can anyone say JetBlue?

jetBlue has expressed disinterest at MDW, they have indicated that they want to hold off for ORD availability.
 
n844aa
Posts: 1266
Joined: Fri Jul 18, 2003 10:38 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 8:31 am

Quoting Dbba (Reply 13):
pitiful and pathetic that the pilots and great AA employees have to pay the price of the string of bad management---starting with Bob Crandall who bragged that SWA would not survive. Bob Crandall should be inducted into the Avaition Hall of Shame as he could have killed SWA in the cradle but knew not how to do it.....shhhhhh Bob the key was LOW FARES....

Bob Crandall may be a lot of things, but I don't know how well the label of "bad management" applies to him.
New airplanes, new employees, low fares, all touchy-feely ... all of them are losers. -Gordon Bethune
 
777fan
Topic Author
Posts: 2256
Joined: Wed Jan 04, 2006 12:09 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 8:37 am

Quoting Cubsrule (Reply 14):
When did slot control at MDW start?

My mistake - I was under the impression that the ORD slots also applied to MDW by proxy. Given the runway arrangement, length, etc. at MDW, it's hard to see how there aren't slots there to begin with.


777fan
DC-8 61/63/71 DC-9-30/50 MD-80/82/83 DC-10-10/30 MD-11 717 721/2 732/3/4/5/G/8/9 741/2/4 752 762/3 777 A306/319/20/33 AT
 
worldtraveler
Posts: 3417
Joined: Tue Aug 05, 2003 6:18 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 8:45 am

Quoting 777fan (Reply 12):
Can anyone say JetBlue?

With all due respect, I doubt if CO or any other airline would sub lease gates to B6. You can't put in a contract that the flight is only valid if you don't compete in a specific markets so CO would open the possibility of B6 starting EWR/JFK/LGA to MDW service, any of which would impact CO.
 
777fan
Topic Author
Posts: 2256
Joined: Wed Jan 04, 2006 12:09 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 8:53 am

Quoting WorldTraveler (Reply 18):
B6 starting EWR/JFK/LGA to MDW service, any of which would impact CO.

Why not?! I suppose ultimately the decision would be up to the Chicago Aviation Authority. I'm not sure that MDW-JFK/EWR/LGA routes would be very profitable from MDW seeing as how those routes are served big time by UA, AA, and CO out of ORD.

The one thing MDW does not get enough of are longer-range routes with WN being the only provider (MDW to LAS, LAX, etc.). JetBlue might be wise to provide nonstop, "high end" service flights to "warm weather" destinations out west (Long Beach) and anywhere in Florida.
DC-8 61/63/71 DC-9-30/50 MD-80/82/83 DC-10-10/30 MD-11 717 721/2 732/3/4/5/G/8/9 741/2/4 752 762/3 777 A306/319/20/33 AT
 
apodino
Posts: 3022
Joined: Mon Apr 04, 2005 2:11 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 8:59 am

Talk about a group of hypocrites. I remember Arpey being before a congressional committee saying that American serves MDW, when being grilled about why they are so interesting in Love, but not Midway. Now what has happened they have pulled out of Midway, which shows they can't compete at Midway, so as to keep their ORD hub intact, yet DAL has the exact same situation, and they feel they have to be competitive. This really dillutes their argument big time.
 
N1120A
Posts: 26467
Joined: Sun Dec 14, 2003 5:40 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 9:03 am

Quoting MaverickM11 (Reply 7):
IAD was quickly pulled

IAD wasn't pulled, it is now on UAX.

Quoting 777fan (Reply 12):
I'm not sure WN would want the CO gates as much as the departure/arrival slots.

No slots at MDW.

Quoting DfwRevolution (Reply 15):
Southwest certainly could take the gate, but remember that AA only has a single gate (C1) to offer.

The gate belongs to CO, not AA

Quoting 777fan (Reply 17):
My mistake - I was under the impression that the ORD slots also applied to MDW by proxy. Given the runway arrangement, length, etc. at MDW, it's hard to see how there aren't slots there to begin with.

Only has 930 ops per day on 5 runways, 2 of which are easily used for commercial takeoffs and another which can be used for commercial landings
Mangeons les French fries, mais surtout pratiquons avec fierte le French kiss
 
777fan
Topic Author
Posts: 2256
Joined: Wed Jan 04, 2006 12:09 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 9:05 am

I guess I never really understood why AA would want to fly to its mainline hubs (DFW) when it already has a dumpster load of flights to there from ORD. UA's Ted "strategy" made a bit of sense by at least feigning the attempt to provide "low cost" options to its mainline hubs out of MDW. On a related note, it's about time AA started phasing out some of its MadDogs - those things are beginning to show their age and have no place (IMO) serving transcon routes!


777fan
DC-8 61/63/71 DC-9-30/50 MD-80/82/83 DC-10-10/30 MD-11 717 721/2 732/3/4/5/G/8/9 741/2/4 752 762/3 777 A306/319/20/33 AT
 
JetBlueAUS
Posts: 852
Joined: Sat Apr 01, 2006 9:15 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 9:28 am

Quoting 777fan (Reply 12):
Can anyone say JetBlue?

Honestly, I can't see that happening. They want ORD, not MDW.

Quoting 777fan (Reply 12):
Assuming JetBlue stuck to routes (MDW-Long Beach? or MDW-FLL)

Well, MDW-LGB and MDW-FLL routes are quite unlikely really. Neeleman, himself, has said that he wants to focus on short-medium haul routes that are operated that are by the legacy carriers that have high fares. His goal is to lower these fares, while remaining successful at the announced city. B6 wants to cut down on transcons to save fuel, and cut down on costs. If they were to start MDW, hypothetically speaking, they would most likely start out with MDW-JFK, MDW-BOS, and maybe even MDW-IAD flights.

[Edited 2006-05-04 02:30:43]
Not all of us can be heroes, some of us can only stand on the sidewalk and clap as they go by.
 
DfwRevolution
Posts: 8544
Joined: Sat Jan 09, 2010 7:31 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 10:04 am

Quoting N1120A (Reply 21):
The gate belongs to CO, not AA

Regardless of "owernership," (the gate really belongs to the City of Chicago) there is only a single gate opening up for anyone... which doesn't change what I was trying to say..
 
steeler83
Posts: 7391
Joined: Sat Feb 25, 2006 2:06 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 10:39 am

Quoting JetBlueAUS (Reply 23):
Well, MDW-LGB and MDW-FLL routes are quite unlikely really. Neeleman, himself, has said that he wants to focus on short-medium haul routes that are operated that are by the legacy carriers that have high fares. His goal is to lower these fares, while remaining successful at the announced city. B6 wants to cut down on transcons to save fuel, and cut down on costs. If they were to start MDW, hypothetically speaking, they would most likely start out with MDW-JFK, MDW-BOS, and maybe even MDW-IAD flights.

I was about to ask why not MDW-LGB or LAX or DEN, or anyplace out west, but the LCCs at MDW pretty much have all the big markets out west pretty well-covered...

Quoting DfwRevolution (Reply 6):
FL would be a top contender IMO...

I was about to consider FL, but you beat me to it... I figured that maybe they could add that gate and add a few frequencies to ATL, BOS or MCO if need be. Maybe they'd launch MDW-BWI, considering that there is connecting traffic in ATL that would warant that. Then some wishful thinking came in and I thought they'd be interested in doing a MDW-PIT, but with AA, UA, and US doing ORD-PIT, and especially with WN doing MDW-PIT 4x daily, that CERTAINLY WILL NOT HAPPEN!!!!
Do not bring stranger girt into your room. The stranger girt is dangerous, it will hurt your life.
 
Mexicana757
Posts: 2631
Joined: Fri Apr 20, 2001 3:21 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 1:46 pm

I'm sure CO will offer the gates to Skyteam partner DL. DL will probably be moved back to concourse C from A and whatever is opened up, the city of Chicago will probably offer the space to FL at concourse A since they're probably interested in whatever opens up.
 
N1120A
Posts: 26467
Joined: Sun Dec 14, 2003 5:40 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 2:16 pm

Quoting DfwRevolution (Reply 24):
Regardless of "owernership," (the gate really belongs to the City of Chicago) there is only a single gate opening up for anyone... which doesn't change what I was trying to say..

Yes, Chicago owns the gate but has assigned its rights to CO who in turn subleased it to American. Now, CO can use it themselves or sublease to someone else
Mangeons les French fries, mais surtout pratiquons avec fierte le French kiss
 
B757capt
Posts: 1294
Joined: Mon Feb 09, 2004 7:11 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 10:55 pm

Everyone seems to be punching it around so I will just come out and say it.

American does NOT own any gates at MDW. CO does all of there handling inside and out. AA uses CO gates and personal. They don't even employ anyone at MDW.

CO OWNS 3 of there own gates now C1-2-3 and yes they sit open for a Majority of the day.
The views written by this user are in no manner the views of my employer and should not be thought as such.
 
quickmover
Posts: 2134
Joined: Sat Mar 06, 2004 4:28 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 11:03 pm

Quoting B757capt (Reply 28):
CO OWNS 3 of there own gates now C1-2-3 and yes they sit open for a Majority of the day.

How did CO ever come to own 3 gates at MDW? Were they old Eastern gates? I can't ever remember CO having a substantial presence at MDW. I would think that those assets could be invested better elsewhere for CO.
 
airportplan
Posts: 319
Joined: Wed Jan 14, 2004 12:36 am

RE: AA Bails On MDW (again!); Who'll Move In?

Thu May 04, 2006 11:11 pm

Quoting Mexicana757 (Reply 26):
I'm sure CO will offer the gates to Skyteam partner DL. DL will probably be moved back to concourse C from A and whatever is opened up, the city of Chicago will probably offer the space to FL at concourse A since they're probably interested in whatever opens up.

This is most likely what will happen.
 
Cubsrule
Posts: 11368
Joined: Sat May 15, 2004 12:13 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Fri May 05, 2006 1:10 am

Quoting Quickmover (Reply 29):
How did CO ever come to own 3 gates at MDW? Were they old Eastern gates? I can't ever remember CO having a substantial presence at MDW. I would think that those assets could be invested better elsewhere for CO.

All gate leases were renegotiated as part of the renovation. To my knowledge, every carrier got the gates it was looking for, but that may not be correct. AirportPlan (who I haven't seen on here in a while) likely knows more.
I can't decide whether I miss the tulip or the bowling shoe more
 
quickmover
Posts: 2134
Joined: Sat Mar 06, 2004 4:28 am

RE: AA Bails On MDW (again!); Who'll Move In?

Fri May 05, 2006 1:23 am

FL starting MDW-EWR service will probably dampen any ideas of CO subleasing MDW gates to FL.

IMO.
 
MaverickM11
Posts: 15214
Joined: Thu Apr 06, 2000 1:59 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Fri May 05, 2006 1:33 am

Quoting FriendlySkies (Reply 11):
IAD was switched to United Express, but I believe the service still exists.

It does...I meant UA pulled it and replaced it with Mesa, and it looks like it's still awful, if not worse than when UA metal was flying it.
E pur si muove -Galileo
 
quickmover
Posts: 2134
Joined: Sat Mar 06, 2004 4:28 am

RE: AA Bails On MDW (again!); Who'll Move In?

Fri May 05, 2006 3:25 am

Were those A gates refurbished along with the rest of MDW or is that part of the old facility?
Haven't been to MDW in several years.
 
leelaw
Posts: 4520
Joined: Sat May 29, 2004 4:13 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Fri May 05, 2006 3:53 am

Quoting Quickmover (Reply 34):
Were those A gates refurbished along with the rest of MDW or is that part of the old facility?
Haven't been to MDW in several years.

All new terminal and concourses, nothing is left of the old facility.

http://www.flychicago.com/midway/terminals/maps_facilities.shtm

[Edited 2006-05-04 20:55:39]
Lex Ancilla Justitiae
 
Tango-Bravo
Posts: 2887
Joined: Sun Jun 17, 2001 1:04 am

RE: AA Bails On MDW (again!); Who'll Move In?

Fri May 05, 2006 4:21 am

Quoting N844AA (Reply 16):
Bob Crandall may be a lot of things, but I don't know how well the label of "bad management" applies to him.

The label could not be more applicable to Bob Crandall...

How about his immediate backpeddling on value pricing and going to the other extreme that directly evolved into the asinine, irrational, grossly inequitable pricing shenanigans that have been hugely responsible for the U.S. legacies' ongoing malaise?

And inasmuch as Crandall is credited with the invention of frequent flyer programs, how about his statements in retrospect concerning the costly scourge that these convoluted programs have become to the U.S. legacies?

As the "grandaddy" of the two elements most responsible for the malaise of the U.S. legacies, seems to me that Crandall, more than any post-dergulation U.S. legacy CEO, should be the among the first inductees to the hypothetical U.S. Airline Hall of Shame.
 
B757capt
Posts: 1294
Joined: Mon Feb 09, 2004 7:11 am

RE: AA Bails On MDW (again!); Who'll Move In?

Fri May 05, 2006 8:59 am

Quoting Quickmover (Reply 29):

From what Erin O'donell says (thats the MDW airport mgr) she says that SWA,CO,NW are grandfathed into the MDW gates. If one wants to sell their lease thats between them and the buyer.

Quoting Airportplan (Reply 30):

DL just lost there breakroom and gate. They will be leasing a city gate now.
The views written by this user are in no manner the views of my employer and should not be thought as such.
 
wjcandee
Posts: 5124
Joined: Mon Jun 05, 2000 12:50 am

RE: AA Bails On MDW (again!); Who'll Move In?

Fri May 05, 2006 12:53 pm

Quoting 777fan (Reply 22):
I guess I never really understood why AA would want to fly to its mainline hubs (DFW) when it already has a dumpster load of flights to there from ORD.

Because it was trying to kill TZ. And to segment the market, preserving pricing power at ORD while competing on price at MDW. (And remember "price" means "restrictions" that force people into higher fare buckets.)

TZ dramatically undercut AA on fares when it began serving DFW, and AA responded by dumping a bunch of flights into MDW to try to keep those pax on AA. Rather than cut the fare to ORD, AA up and served MDW and matched the TZ MDW fares.

Didn't work. And now with the WN codeshare, and higher fuel prices, it didn't make sense to continue the service.

Ideologically, of course, this destroys the logic of their argument as to why they have to serve DAL. But they've never really worried about the argument making sense -- they just move onto another pro-Wright argument. Their fundamental reason, of course, is that they don't want to have to have an airline down the road being able to fly nonstop (or really at all) to many destinations that AA serves from DFW, because that would drive down prices at DFW.

With AA gone, the TZ service from MDW could actually increase by a flight or two, because the market can sustain it. Also, with TZ's numerous flights to LGA, the LGA-DFW market can be served with a decently quick connection or one-stop at MDW at a fare lower than AA continues to get on this route.

One thing that I would be absolutely fascinated to know is how many folks booking at Southwest.com actually book DFW-LGA on TZ, and what percentage of folks coming from DFW connect to somewhere else through MDW these days.
 
B757capt
Posts: 1294
Joined: Mon Feb 09, 2004 7:11 am

RE: AA Bails On MDW (again!); Who'll Move In?

Fri May 05, 2006 12:55 pm

Quoting Wjcandee (Reply 38):

Well don't forget that we start 4x daily on Tuesday, FL that is. MDW-DFW.
The views written by this user are in no manner the views of my employer and should not be thought as such.
 
wjcandee
Posts: 5124
Joined: Mon Jun 05, 2000 12:50 am

RE: AA Bails On MDW (again!); Who'll Move In?

Fri May 05, 2006 1:02 pm

Quoting B757capt (Reply 39):
Well don't forget that we start 4x daily on Tuesday, FL that is. MDW-DFW.

Doh!

Then it looks like the two discount carriers together have driven the beast out. Fabulous.
 
leelaw
Posts: 4520
Joined: Sat May 29, 2004 4:13 pm

RE: AA Bails On MDW (again!); Who'll Move In?

Fri May 05, 2006 2:15 pm

Quoting B757capt (Reply 37):
From what Erin O'donell says (thats the MDW airport mgr) she says that SWA,CO,NW are grandfathed into the MDW gates. If one wants to sell their lease thats between them and the buyer.

Don't think that's accurate, the City of Chicago must approve any assingment or sublease; this was certainly the case for both rounds of TZ's transfers.
Lex Ancilla Justitiae
 
ATA767
Posts: 418
Joined: Wed Jul 23, 2003 6:33 am

RE: AA Bails On MDW (again!); Who'll Move In?

Sat May 06, 2006 9:08 am

Quoting DfwRevolution (Reply 6):
777Fan is right, ATA's scheduled domestic service is being scaled back, not growing.

ATA just added a 4th flight ahead of this announcement just like that added HOU-LGA a bit ahead of that pull out. ATA will grow but very slowly like SWA does. I would not be surprise if ATA adds another flight in their fall schedule.

Who is online

Users browsing this forum: agrflyer, aircountry, Baidu [Spider], Block40Osan, brandnsn, BreninTW, caflyboy, Coal, FAST Enterprise [Crawler], flyguy89, flyingclrs727, Google Adsense [Bot], hoons90, kimshep, kitplane01, msycajun, N809FR, nitepilot79, Prost, sailsman1, TN486, werdywerd and 232 guests