Slot Swap

[wings396]

This is my understanding as well. One of the "advantages" of HP buying US back in 2005 was that HP did not have to give up their DCA beyond perimeter slots since HP was effectively the acquiring carrier, not the one being acquired.

Wouldn't that classify as a "Change of Control"????

 

[USFlyer]

Wouldn't that classify as a "Change of Control"????

No, HP was in control of the slots before and was in control of control after.

 

[BoeingBoy]

I assume he means "change of control" with respect to the corporation - at least 2 of the east unions had change of control provisions in their contracts, both triggering significant pay increases and possibly other things. Just shows how deftly Parker handled the structuring of the merger - blocked the union's CoC language but paid CoC payments to former execs who lost their jobs in the merger.

Jim

 

[USA320Pilot]

Domestic code sharing is restricted to united airlines by contract.
What will the company offer to lift/modify this restriction?
Cheers.

US Airways Analyst Conference Call: October 27, 2011

Daniel McKenzie - Rodman & Renshaw, LLC, Research Division

Okay, that's helpful. And then as a follow-up here, Scott, AMR is seeking from its pilots the flexibility to add more domestic codeshare relationships. So I guess, my question is, does your involvement in the Star Alliance permit either a partial or a full codeshare with AMR domestically?

J. Scott Kirby

I believe we have some carve-outs, but we couldn't do a meaningful codeshare or a large codeshare with American given our commitments both in the Star Alliance and our labor agreements.

Click here to read the transcript.

 

[USA320Pilot]

Lawmaker predicts Congress will reach accord on aviation funding

(One key difference is) more parochial than political. One is over the number of commercial flights that should be allowed at Regan National Airport, and where airlines given new slots there should be allowed to fly. Members of Congress who can’t catch direct flights home have been frustrated by current restrictions.

Click here to read the story.

 

[USA320Pilot]

What US Airways Plans for 2012

Click here to read the story.

 

[WorldTraveler]

looks like the total value of the slot auction is about $100M... the 2 LGA bundles each yielded about $30M and the DCA bundle $40M.
The two $32M bids for the LGA bundles are the exact same value so could be the same party.. if so, then the next highest bid is $17M... so could be a total of about $90M.

 

[FutureUScapt]

looks like the total value of the slot auction is about $100M... the 2 LGA bundles each yielded about $30M and the DCA bundle $40M.
The two $32M bids for the LGA bundles are the exact same value so could be the same party.. if so, then the next highest bid is $17M... so could be a total of about $90M.

http://www.bloomberg.com/news/2011-11-23/laguardia-reagan-flight-slots-fetch-100-million-in-bids.html

Seems as if B6 was the high bidder at both DCA and LGA, while WS was the second highest bidder at LGA and will receive the second bundle there.

 

[WorldTraveler]

http://www.bloomberg.com/news/2011-11-23/laguardia-reagan-flight-slots-fetch-100-million-in-bids.html

Seems as if B6 was the high bidder at both DCA and LGA, while WS was the second highest bidder at LGA and will receive the second bundle there.

I find it hard to believe that WN decided it wasn't worth their while to bid any higher.... I can't help but believe they underestimated the size of the bids. The fact that they all came in a couple hours without any updates seems to argue that you had to bid high and blindly in order to win which is what B6 and WS did.
In many ways this was absolutely necessary for B6 given that they are being eclipsed in NYC by DL. Gaining 8 more slots allows them to add a few more key markets at each of DCA and LGA and I would bet that they won't be used just for Florida markets.
.
Some will remember that I have mentioned that WS could well be a figure in this slot auction - and the slot swap comes as DL is developing a deeper relationship with them.
.

 

[LGA / 037]

.
Some will remember that I have mentioned that WS could well be a figure in this slot auction - and the slot swap comes as DL is developing a deeper relationship with them.
.

Who do you think gave WS the money to bid? Also they (WS) will be coming to the current US terminal as part of the agreement to funnel YYZ traffic into FLA on DL! And to think the DOJ had no anti-trust issues with the LGA part of the slot deal.................

 

[FrugalFlyerv2.0]

Who do you think gave WS the money to bid? Also they (WS) will be coming to the current US terminal as part of the agreement to funnel YYZ traffic into FLA on DL! And to think the DOJ had no anti-trust issues with the LGA part of the slot deal.................

WS got the money for the slots from their own piggy bank. For a Canadian carrier, they're doing fairly well, profitable (~$135 million last year) with enough cash on hand ($1.2 billion last year). I don't think paying for the paltry 8 slot pairs put too much of a burden on their checking account.

Also, I highly doubt it they would funnel traffic out of YYZ to LGA to connect onto DL to FLA. WS serves the following: FLL, RSW, JAX, EYW, MIA, MCO, TPA, PNS - there is no need to funnel traffic via LGA on DL or any other US carrier (you know they also code-share with AA, what makes DL so special?).

WS will probably use these slots to attack some of AC business traffic out of YYZ (and probably YUL and YOW too).

 

[LGA / 037]

Also, I highly doubt it they would funnel traffic out of YYZ to LGA to connect onto DL to FLA. WS serves the following: FLL, RSW, JAX, EYW, MIA, MCO, TPA, PNS - there is no need to funnel traffic via LGA on DL or any other US carrier (you know they also code-share with AA, what makes DL so special?).


The gate space space they will be getting from the deal makes DL so special. They already lost against AC head to head at LGA before but now they will have more flights and options with DL and will funnel left over traffic on DL out of LGA to supplement any business traffic that they will try to pry away from AC. Watch for DL to grow some Canadien markets out of LGA as well.

 

[BoeingBoy]

(you know they also code-share with AA, what makes DL so special?).

WS has added a number of code-share partners in addition to AA, including DL, JAL, Quantas, Cathay, AF, and maybe some others I missed. While only one of many, I doubt that WS would institute a code-share with DL unless they thought they'd get more passengers and revenue.

Jim

 

[USA320Pilot]

Canada's WestJet Airlines wins auction for landing rights at LaGuardia airport

Eight more LaGuardia slot pairs and eight pairs at Reagan National Airport in Washington D.C. -- were won in auctions Tuesday, but winners have not been revealed.

Click here to read the story.

JetBlue has made its way through the flight auction at New York’s LaGuardia and Washington’s Reagan airports, edging out one of the largest discounted airlines –– Southwest

Click here to read the story.

 

[signals]

I find it hard to believe that WN decided it wasn't worth their while to bid any higher.... I can't help but believe they underestimated the size of the bids. The fact that they all came in a couple hours without any updates seems to argue that you had to bid high and blindly in order to win which is what B6 and WS did.
In many ways this was absolutely necessary for B6 given that they are being eclipsed in NYC by DL. Gaining 8 more slots allows them to add a few more key markets at each of DCA and LGA and I would bet that they won't be used just for Florida markets.
.
Some will remember that I have mentioned that WS could well be a figure in this slot auction - and the slot swap comes as DL is developing a deeper relationship with them.
.

I think WN is planning something and they aren't tipping their cards. A peaceful coexistance seems out of the question. Datlanta is their main target