August 2012 Archives

US airlines love Asia. Well, at least the slots to fly there.

Mainline carriers are once again posturing against one another for a slot pair at Tokyo's close-in Haneda airport from the US Department of Transportation (DOT). The one-upmanship brings back memories of the battle for the four available pairs back in 2010 and for the then limited US-China route authorities three years earlier.

Delta Air Lines uses the available pair for its Detroit to Haneda flight but wants to switch the US gateway on the route to Seattle. American Airlines, Hawaiian Airlines and United Airlines claim that it cannot because the slots were awarded for only that specific route.

Each carrier has a proposal for the slots. American wants to fly to Haneda from Los Angeles, Hawaiian from Kona and United from San Francisco.

Haneda is attractive because it is only about 14km from Tokyo Station in the city centre versus about 57km to Japanese capital's primary international airport Narita. While the available slot pair is not ideal for connections at Haneda - flights arrive and depart either late at night or early in the morning - the airport is more attractive to originating and departing Tokyo traffic, which makes the available slots extremely popular among airlines.

Reallocating the slot pair makes sense.

The DOT cited that Detroit would provide a "large central and eastern US catchment area with convenient Haneda service through a proven US-Asia hub", in its final decision in July 2010. It said that the city provided the largest "behind-gateway" catchment area of the proposals at the time.

Delta and its partner Alaska Airlines offer significantly fewer connections at Seattle than Detroit, especially from the central and eastern portion of the USA. However, neither do the other airlines' proposals. The DOT will need to decide whether it still wants the slot pair to serve the largest number of connecting passengers or to target originating and departing traffic, as it evaluates the four routes on the table.

The DOT will award the Haneda slots to the route that best serves the "public interest", according to a filing on 17 August.

American says that it needs the slot pair to compete with the Star Alliance's All Nippon Airways (joint venture partner with United) and Delta between Los Angeles and Haneda. Hawaiian says that it needs the pair to open up Kona, which currently has no nonstop to Japan, to Japanese tourists. While United says that it is at a competitive disadvantage with no access to Haneda and can offer the most connections on the west coast through its San Francisco hub.

One thing the DOT did not clarify is what will happen if Delta decides to retain the Detroit gateway. The airline may prefer to do this instead of give up the coveted slot pair if the decision does not go its way.

Delta may very well have the best proposal but the DOT's competition is the only way to determine that. Each airline's proposal must receive its fair due before the route can be awarded.

May the best airline win.

The world's premier international airport celebrated its 66th birthday this year and, amazingly, succession planning has been in motion for more than half its life. So forgive me for finding the latest "will they/won't they" Heathrow third runway speculation somewhat tiresome!

Regarding succession planning, more than four decades ago Flight International reported on "plans for a combined deep-water port and airport on reclaimed land off the Essex coast at Maplin Sands, adjacent to Foulness".

This was the proposal for the location of "London's third airport" - that much-used phrase that has applied variously to "green-field" projects, the strategic development of Stansted - and on occasion Amsterdam Schiphol!

But had that Thames Estuary airport gone ahead, Heathrow could have eventually made way for an all-new London aviation gateway offering plenty of room for expansion. (And had the original 1944 development envisioned for Heathrow been adhered to - involving the demolition of two more villages - then today's "third runway" debate would have been about a fourth runway).

But more frustratingly, 1969's Maplin plan would have probably paved the way for London's own multi-runway "aerotropolis" to rival Beijing, Paris CDG and suchlike.

So how ironic it is that London's most viable long-term airport capacity growth option is centred on a plan for an all-new development in the very same estuary just a few miles from away.

The argument that the proposed site for the new airport is too far from any catchment area may have some weight. But the simple reality is that given Heathrow's appalling transport links, the roads around West London are going to eventually grind to a halt without any significant further expansion (in fact they already have on the M25!). So journey times from the home counties may end up being similar!

Flight International's "Terminal Decision" comment penned 11 years ago after the approval of Terminal 5's construction said: "It is vital that the airport's ground infrastructure is developed in tandem with the new terminal to ensure that there is not systemwide gridlock in 2007".

As someone who uses Heathrow's roads regularly, I can attest to the fact that the local road infrastructure has hardly changed over the last decade and can often be mistaken for one of the airport's long-term car parks at peak times. So before talk of a third runway is taken seriously, there must first be action to address the ground transportation links - both road and rail.

A lot of people have their eye on United Airline's operations at its hubs at Chicago O'Hare, Denver and Houston Intercontinental.

The Chicago-based airline is in the midst of a network realignment that should build on the strengths of its 10 hubs while eliminating the weaknesses. Part of this is a 10% capacity cut at its largest hub in Houston by 2015 that, while officially in response to the local city council's decision to allow Southwest Airlines to build a federal inspection services facility for international arrivals at the city's Hobby airport, is widely seen as a big part of the rationalisation of the legacy Continental Airlines and legacy Untied networks.

Aruba, Asheville, Greensboro, Mazatlan, Paris Charles de Gaulle, Toluca, Tuxtla and Waco flights from Intercontinental are the first announced cuts with service to the cities ending completely from September. Further cuts involve shifting the Houston to Lagos run to a 219-seat Boeing 787-8 from a 275-seat 777-200 and reducing frequency on the route to five-times per week from six on 7 January 2013.

The eight discontinued routes represent about 1% of available departing capacity from Intercontinental on Chicago-based United, according to US Department of Transportation capacity data from September 2011, while the capacity reduction on the Lagos flight totals only about 2,400 fewer seats on average per month - 0.001% of total monthly capacity at the Texas airport last September. At this rate, the airline must make a comparable number of cuts at Intercontinental every four months for the next two years to reach its capacity goals by 2015.

United's downsizing in Houston looks much more like a capacity shift than a capacity cut when seen broadly.

John Rainey, chief financial officer at the airline, said that United anticipates that its fleet count will stay flat through 2017 with capacity up slightly during the next few years due to new slimline seats and replacing smaller aircraft with larger ones, during an earnings call in July. For this to be the case, the capacity from Houston must go somewhere.

Chicago and Denver, where United can more efficiently route east-west connections than though the Texas city, are the most likely recipients of that capacity. While nothing official has been said, the airline could boost aircraft utilisation and reduce fuel costs by routing those connecting passengers through these hubs.

New crew bases, increased gate counts and lower airport rental fees in Chicago and Denver all suggest that this capacity shift is happening. First, United said that it will open a Boeing 737 base in Chicago and a Boeing 767 base in Denver with legacy Continental crews, and an Airbus base in Houston with legacy United crews in August. This allows it to bring the Continental 737 fleet, which is larger and younger than the Airbus A319 and A320 fleet, to O'Hare and more larger aircraft to Denver.

Second, United is adding 10 additional gates to Concourses B and C at O'Hare. The project is billed as one that allows more operational flexibility by increasing the number of regional jet flights from the facilities in Terminal 2 but it will also allow for increased operations at the airport.

And third, the carrier negotiated lower rents on its gates in Denver with the airport in May. The amended contract with the airport saves United about $22 million per year through 2025 as long as it maintains capacity of at least 22.8 billion available seat miles annually.

United has repeatedly declined to comment on its Houston cuts and where that capacity is going but, if the signs are anything to go by, one would guess a lot of that capacity is headed north.

When I land after a long flight - make that nearly every flight - I want to move. Not just a brief walk to a taxi or car but a proper workout.

Airports in Cleveland, Indianapolis and others have laid out marked walking paths in their terminals while Dallas-Fort Worth and San Francisco have added yoga rooms recently. But for some these are just warm ups to the real workout.

Through various social media sources, we were able to tabulate a brief list of airports in the USA where you can lace up your jogging shoes and go out for a quick four-miler from the terminal door or a brief ride on mass transit. 

The caveat: very few airports offer luggage storage or shower facilities, so be ready for the passenger next to you on your next flight pinching their nose for the next few hours. But if that doesn't bother you, here are some ideas for your next airport run!

Baltimore-Washington

The 12.5-mile (20.1km) BWI trail is arguably one of the most convenient airport jogs in the country. The trail loops the airport property with good planespotting vantage points on both the north and south side of the airfield. Runners can access the trail from door 19 on the lower level, adjacent to the airport light rail station and concourse E.

The airport highlights the trail on its website. It does not offer shower or storage facilities in the terminal, it says.

New York's LaGuardia

Few probably imagine that you can easily lace up and jog along the shore of Flushing Bay from New York's infamous LaGuardia airport. The Flushing Bay Promenade stretches two miles from the eastern edge of the airport property to downtown Flushing in Queens. Runners can access the trail via sidewalks from terminal D (the Delta terminal) or a footbridge across the Grand Central Parkway.

The Port Authority of New York and New Jersey, which runs the airport, does not advertise the trail on its website. Terminal D does not have any shower or storage facilities, according to the authority and Delta's websites.

San Diego

The bike path along Harbor Drive adjacent to the airport terminal stretches about two miles to downtown along San Diego Bay. Runners can access the trail, which is about 0.2 miles from terminal one, by using the crosswalk at Harbor Island Drive and Harbor Drive, says the airport.

The airport does not promote the trail to passengers, though it does with employees, it says. There are no shower or storage facilities available in the terminal.

San Francisco

The Bay Trail is only a one-stop ride from the airport station on the regional BART rail system to Millbrae. After a 0.8 mile jog from the train station, runners can follow the trail for more than 30 miles along the bay front (with a few roadside sidewalk sections) all the way to San Jose.

The airport is one of the few that offers both shower (Freshen Up! in the international terminal) and storage facilities (Airport Travel Agency in the international terminal), it says. It does not actively promote use of the trail among travellers, however, it does promote bike access on its website, it adds.

San Jose

The Guadalupe River Trail passes only 0.1 miles from the door of terminal B at Mineta San Jose International Airport. Joggers can run north or south along the trail, with downtown San Jose's Discovery Meadow about 3.7 miles south of the airfield.

The airport does not promote the trail inside the terminal but it does provide bicycle and pedestrian access information on its webpage, it says. There are no storage facilities in the terminal but shower facilities are under construction inside security in the international arrivals building, the airport adds.

Washington National

The more than 17-mile Mount Vernon Trail passes only 0.3 miles from the main terminal building at Ronald Reagan Washington National airport. Joggers can run north about three miles into central Washington DC (via the 14th Street bridge) or south 13 miles to Mount Vernon, the home of former president George Washington.

Metropolitan Washington Airports Authority offers bicycle access maps from the trail on its website but does not promote use in the terminal, it says. It notes that the trail is widely known in the Washington region. There are no showers or storage facilities in the terminal.

Others?

This short list of airport jogging options is just a start. Similar trails exist at airports in East Midlands, UK, Hong Kong and Victoria, British Columbia, based on a brief Google search and the author's experience. Please let us know of others!

What does the future hold in store for alliances and partnerships in the airline world? The global alliances continue to attract new members; market-specific joint ventures are cropping up all over the place - not just among alliance members, but also on a tactical basis with non-aligned carriers; and you only have to look at the tug of war over LATAM to see the impact consolidation may have on existing alliances.