Wednesday, March 20, 2013

American/USAirways Must Give Up Slots At Reagan National

The one likely outcome for the soon-to-be-approved merger of USAirways and American Airlines is that the combined carrier will have to divest slots at Reagan National.  If uncontested, the combined airline will control about 70% of takeoff and landing rights unnless the DOT and Congress intervene and force a divesture.

When asked by the Senate Judiciary Committee how many slots would the carrier give up, Doug Parker, the CEO-designate replied succinctly: "None".   Keeping this percentage will certainly harm competition and raise prices.  No carrier should be allowed to control that many slots for a restricted airport such as DCA.
www.premieretravel.com

Update: August 13, 2013
Blame Doug Parker for using the word "none" and expecting a rubber stamp approval for what clearly is a harmful move to consumers.

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