LAXintl
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DOT Allows US Air Retain Air-21 Slots For DCA-JAN

Tue Jul 24, 2012 11:36 pm

DOT today is finally out with decision on the pending AIR-21 within-perimeter slots that was up for reallocation following Delta's decision to terminate DCA- Jackson Mississippi service.

Well the department concluded that US Airways may retain the slot pair it had been temporarily using with its own replacement DCA-JAN service while the department proceeded in the route selection.

The DOT's rationale for allowing US to keep the slot and turning down the alternate service options by Frontier and Southwest was essentially that keeping Jackson service fully meets the Congressional intent for the enactment of the AIR-21, and the department was following standard criteria spelled out for it.

So while each of the applications had merit, withdrawing the authorization for existing service after 7-years would be a disservice and cause negative impacts on the public. Addittionally, the other requested alternate destinations markets of Louisville and Oklahoma City already have multiple daily links to other DC airports, while JAN had only a single flight option.


OST-2000-7182


I guess kudos to US, for seeing the opportunity and jumping on it fast after DL opted to quit.
From the desert to the sea, to all of Southern California
 
SurfandSnow
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RE: DOT Allows US Air Retain Air-21 Slots For DCA-JAN

Wed Jul 25, 2012 12:26 am

Excellent! The existing US DCA-JAN service is IMO much more viable than either of the competing proposals. DL was able to make it work for years with rather limited connectivity on the DCA end, US should have no problem with given its major focus city connectivity and local FFer loyalty. Plus, the larger E-jets are no doubt more popular with pax than the 50 seat RJs that DL used on the route! It is interesting, however, that DL elected to keep the DCA-LEX service going. Anyone know why they did? A reward to the LEX market for their loyalty, a business and/or government contract, what?

WN admitted that it wouldn't get much O&D from OKC-DCA and was mostly interested in offering a one-stop DAL-DCA option. They can already offer this via AUS, or via STL with the slots they just got from NK. As for F9, they appear to have more within-perimeter DCA slots than they know what to do with, and who knows what will happen with them in SDF now that WN is starting DEN-SDF service. It seemed like they just wanted another one-stop option between DEN and DCA, but don't they already have plenty of them through MKE/MSN/MCI/OMA, not to mention the 3 nonstop DEN-DCA flights?
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LAXintl
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RE: DOT Allows US Air Retain Air-21 Slots For DCA-JAN

Wed Jul 25, 2012 12:53 am

US Airways press release:

US Airways Permanently Awarded Route Connecting Mississippi To Nation's Capital
http://finance.yahoo.com/news/us-air...ently-awarded-route-234600822.html

=
From the desert to the sea, to all of Southern California
 
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mariner
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RE: DOT Allows US Air Retain Air-21 Slots For DCA-JAN

Wed Jul 25, 2012 1:56 am

Quoting LAXintl (Thread starter):
Well the department concluded that US Airways may retain the slot pair it had been temporarily using with its own replacement DCA-JAN service while the department proceeded in the route selection.

I think that's the best outcome.

Quoting SurfandSnow (Reply 1):
As for F9, they appear to have more within-perimeter DCA slots than they know what to do with, and who knows what will happen with them in SDF now that WN is starting DEN-SDF service.

Frontier has no within perimeter slots.

It is able to use some that are held by Republic, but who knows what plans Republic has for those? And it will be interesting to see what happens with separation.

mariner
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FSDan
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RE: DOT Allows US Air Retain Air-21 Slots For DCA-JAN

Wed Jul 25, 2012 2:01 am

Quoting SurfandSnow (Reply 1):
It is interesting, however, that DL elected to keep the DCA-LEX service going. Anyone know why they did?

I'm wondering that too... Very strange to have a bunch of DCA-hub flights on 2-class aircraft and then one daily flight on a 50-seater to LEX.

I kind of wish they could just transfer that to US and be done with it.
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Josh32121
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RE: DOT Allows US Air Retain Air-21 Slots For DCA-JAN

Wed Jul 25, 2012 2:21 am

DCA-LEX is basically a capital-to-capital flight like DCA-JAN, since LEX is the closest city to Frankfort (the capital of Kentucky) with commercial air service. Why that didn't keep DCA-JAN going is beyond me, but maybe the stage length to LEX or the particular demand makes LEX more viable. There's also the racehorse industry in Lexington and surroundings...and the bourbon. Who knows?
 
deltairlines
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RE: DOT Allows US Air Retain Air-21 Slots For DCA-JAN

Wed Jul 25, 2012 3:03 am

Keep in mind that DCA-LEX is able to be flown on a CRJ-200 at 414 miles, and that LEX is traditionally a Delta stronghold (and possibly even moreso now with the Northwest merger). DCA-JAN meanwhile required use of a CRJ-700 as it is over 750 miles, and likely network planning felt like they could use a CR7 somewhere else, especially with them needed to cover many of the new LGA routes, than keep it on DCA-JAN with some of the feed (such as PVD, BOS, BDL and a large reduction to JFK) now not supporting that flight.
 
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ADent
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RE: DOT Allows US Air Retain Air-21 Slots For DCA-JAN

Wed Jul 25, 2012 3:14 am

Some nice reading the decision. ( See http://www.regulations.gov/#!searchR...ostedDate;po=0;s=DOT-OST-2000-7182 )

The 41718(b) criteria:
(1) by new entrant air carriers and limited incumbent air carriers;
(2) to communities without existing nonstop air transportation to
Ronald Reagan Washington National Airport;
(3) to small communities;
(4) that will provide competitive nonstop air transportation on a
monopoly nonstop route to Ronald Reagan Washington
National Airport; or (emphasis added)
(5) that will produce the maximum competitive benefits, including
low fares.



They concluded that the criteria are OR statements, so it doesn't matter who meets the most of them.

Quote:
Accordingly, the Department has the discretion to premise an award based upon satisfaction of less than the greatest number of criteria, or even one criteria, listed in Section 41718(b), based upon the Department’s analysis of the relative merits of each carrier’s proposal when evaluated under the Section 41718(b) criteria.

They said #2 was the most important in this case.

Quote:
We have concluded that the criterion set forth in Section 41718(b)(2) – promoting service to communities without existing nonstop air transportation to DCA – is most material to this decision.
Quote:
the public benefits are best maximized with an award to JAN as opposed to OKC. Jackson is a small community that significantly benefitted from nonstop service to DCA for seven years. Jackson would face significant adverse economic consequences if the service that formerly existed to JAN were not restored, with adverse effects felt throughout the State of Mississippi.

All three met 41718(b)(3). Frontier met 41718(b)(4)
 
ouboy79
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RE: DOT Allows US Air Retain Air-21 Slots For DCA-JAN

Wed Jul 25, 2012 4:04 am

Quoting SurfandSnow (Reply 1):
WN admitted that it wouldn't get much O&D from OKC-DCA and was mostly interested in offering a one-stop DAL-DCA option.

Go back and read the WN application. It was roughly 60-70% OKC-DCA O&D and the other 20-30% of traffic from DAL or other connecting destinations.

Bit of a bummer for OKC to not get a nonstop to DCA, but I also didn't like that JAN was being put out to dry if US didn't get to keep this. There are always the Spirit slots as well that will be up for grabs soon. Not sure WN and F9 will submit the same apps for those however.
 
wwtraveler99
Posts: 194
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RE: DOT Allows US Air Retain Air-21 Slots For DCA-JAN

Wed Jul 25, 2012 12:45 pm

Quoting ouboy79 (Reply 8):
There are always the Spirit slots as well that will be up for grabs soon.

What will be up for grabs soon?

Who is giving up slots now?



WW
 
ouboy79
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RE: DOT Allows US Air Retain Air-21 Slots For DCA-JAN

Wed Jul 25, 2012 2:40 pm

Quoting WWTRAVELER99 (Reply 9):
What will be up for grabs soon?

Who is giving up slots now?

They have a pair of AIR 21 slots used for FLL-DCA that will be returned this fall. The second question was answered in the text you quoted. LOL

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