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Delta, US Airways To Swap NYC, D.C. Slots

By Jay Boehmer / August 11, 2009 / Contact Reporter
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Delta Air Lines and US Airways today announced an agreement to trade East Coast airport slots, through which Delta would gain 125 daily arrival and departure slot pairs at New York's LaGuardia Airport and US Airways would gain 42 daily slot pairs at Washington D.C.'s Reagan National Airport.

Maintaining its commitment to neighboring John F. Kennedy Airport, where the carrier has built an international gateway, Delta said today's agreement, subject to government approvals, enables it to "build a hub operation at LaGuardia," as it expects to more than double nonstop destinations from the airport, including "plans to add new flights to more than a dozen cities not currently served by US Airways."

US Airways said it would use its slots to expand from Reagan National to 15 new destinations, while also maintaining "existing service today to all DCA destinations that Delta may discontinue as a result of this transaction." The carrier's expansion includes some markets not served from the airport, including Birmingham, Ala., Little Rock, Ark., and Savannah, Ga. US Airways said the deal also enables it to expand to Sao Paulo in the second half of 2010 and Tokyo no sooner than 2012, as that route is subject to other government approvals.

Delta said it would continue to serve Reagan National with "numerous daily frequencies to its seven hubs, hourly shuttle service to LaGuardia and flights to select small communities," while US Airways, which is discontinuing 26 US Airways Express operations at LaGuardia but not shuttle or mainline services, said it would "retain a significant presence" at the airport.

The deal would enable Delta to consolidate all of its LaGuardia operations, including its shuttle, into one facility that gives the carrier 11 additional gates. Once approved, Delta expects to pump about $40 million into a construction project at the airport, with the aim of connecting the current Delta and US Airways terminals in 2010.

"Delta continues to take innovative steps to adapt our business to the changing competitive and economic environment we face," said Delta CEO Richard Anderson in a statement. "Increasing Delta's service in the world's most competitive and largest air service market is a key part of our long-term strategy."

The carriers said they would submit the plan to the U.S. departments of Justice and Transportation and the Federal Aviation Administration for approval.

"We are very excited about today's announcement, which presents an excellent opportunity to strengthen our network while bringing more jet air service to smaller communities from our nation's capital," said US Airways CEO Doug Parker in a statement. "This transaction will improve US Airways' near and long-term profitability to the benefit of our employees, our customers, the communities we serve and our shareholders."
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