Letter to Secretary LaHood, Transportation Secretary

Letter

Date: July 5, 2011
Issues: Transportation

Today, U.S. Senator Charles E. Schumer sent a letter to Transportation Secretary Ray LaHood urging him to quickly review a deal between U.S. Airways and Delta that could greatly boost air service from Syracuse to New York City. Delta is seeking to take over most of the space at the U.S. Airways regional hub at LaGuardia in New York City by acquiring 132 pairs of flight slots at LaGuardia currently held by U.S. Airways. In exchange, Delta would provide U.S. Airways with 42 pairs of slots at Washington Reagan National Airport and $66.5 million and additional international flying rights. In announcing the arrangement, Delta noted that it could replace routes currently operated by U.S. Airways propeller planes, like those from Syracuse Hancock to New York City's LaGuardia, and service those routes with bigger regional and narrow body jets that would include more passenger seats and business class seating.

The deal is subject to approval by regulators at the Department of Transportation and review by the Department of Justice, and could greatly boost air service from Syracuse to New York City. If the deal is approved, Syracuse passengers could have access to more seats on bigger, faster Delta jets.

"Better air travel between Syracuse and the Big Apple would be great for business, job development, tourism, and a boon for Central New York," said Schumer. "This deal between Delta and U.S. Airways could be a big step in that direction, and I strongly urge the federal regulators to review it as quickly as possible. With better air service comes more jobs, more economic opportunity, and friendlier skies for travelers -- we need to get this done quickly."

"In order to foster economic growth in Central New York, we need an airport that provides abundant low-cost and convenient air service to and from our top markets. This is why we continue to make air service a top priority," said Syracuse Mayor Stephanie A. Miner. "The U.S. Airways, Delta slot swap is an example of an initiative that we are confident will benefit Syracuse Hancock International Airport and the traveling public."

"Increasing the availability of convenient, affordable air service is a high priority for our 2,000 member businesses. We thank Senator Schumer for being such a strong advocate on this issue," said Robert M. Simpson, president of CenterState CEO. "If the agreement between Delta and US Airways is approved, there could be benefits for travelers to and from Syracuse on two of our most important business routes -- turbo-props will be replaced by jets and we will see more capacity, competition, and downward fare pressure as a result."

Standing with Syracuse Mayor Stephanie Miner, Centerstate CEO President Robert Simpson, and Centerstate CEO Vice President for Air Service Development; Marketing & Communications Kevin Schwab at the Syracuse Hancock International Airport, Schumer announced his push for a quick review of the decision by federal regulators. Delta has indicated to Schumer, Centerstate, and Mayor Miner that the deal could result in bigger planes taking passengers to New York City, boosting the number of seats and quality of service available to passengers. Currently, U.S. Airways serves New York City via small prop planes with only coach seats, but under the slot-swap proposal, Delta could begin offering bigger jets with more seats, including a business-class section. Schumer believes this service is likely to increase business-related trips between the two destinations, potentially providing new economic opportunities for Syracuse and Central New York.

In announcing the arrangement, Delta and U.S. Airways stated that by replacing propeller planes that service routes from smaller cities to LaGuardia with larger jets, they could increase the number of roundtrip passenger seats to and from LaGuardia by as many as 4 million annually, without adding additional congestion to the skies. Delta notes that their, "expanded operation at LaGuardia will allow more and improved connecting service in New York, and ensure economically viable service to small communities, while creating an expanded network that will be particularly valuable for New York business customers." While Delta has not committed to replacing the Syracuse to New York City flights with larger jets, these routes are precisely the type that Delta could upgrade if the deal is approved by regulators. Schumer today pledged to work with both airlines to ensure that the Syracuse to New York City route is among those that receive an upgrade, if the deal is approved.

"Improving and expanding air service between Syracuse and New York would be a win-win for the people of both cities," continued Schumer. "I'm going to push hard for the Department of Transportation to quickly finish their review, and will work closely with both airlines to ensure that Syracuse passengers reap the benefits of these potential upgrades."

The text of Senator Schumer's letter to Secretary LaHood appears below:

Dear Secretary LaHood:

I write to express my support for the revised proposed LaGuardia (LGA)-Washington Reagan National (DCA) slot exchange between Delta Air Lines and US Airways. This proposed transition could help to improve air service and reduce aviation congestion, while also ensuring continued access to air service across all of New York State. I therefore respectfully request that the Department of Transportation (DOT) expeditiously complete its review of the proposed transaction.

Access to frequent and convenient air service is vital to the continued economic viability of any region, especially communities both large and small in New York State. This proposed transaction, which is supported by the Governor Cuomo, Mayor Michael Bloomberg, and the Port Authority of New York and New Jersey, could provide access to LGA for more than two million people per year than are currently served, without increasing the number of flights at the airfield.

Another potential benefit of the transaction includes replacement of US Airways' turboprop and small regional jet fleet currently servicing LGA with Delta's larger regional jets and mainline aircraft, Such change could help to reduce the chronic delay and congestion problems that plague New York's airspace.

I understand that the parties would require a significant amount of time to make facilities change, publish new scheduled and reassign aircraft and crews before the services can be launched. For these reasons, I ask that DOT complete a thorough yet expeditious review, so that both airlines may adopt the appropriate changes for peak travel periods.

Thank you for your attention to this important matter. If you have any questions or need additional information, please contact my Washington, DC office.


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