Delta Air Lines believes the potential to finalise a proposed slot swap with US Airways at New York LaGuardia and Washington's National airport exist, despite restrictions placed on the agreement by US regulators that have been admonished by both carriers.
In late 2009 Delta and US Airways sought approval for US Airways to transfer 125 pairs of its Express slots at New York's LaGuardia airport to Delta, which would result in Delta transitioning the airport into a hub. In turn, Delta agreed to transfer 42 pairs of its slots at Washington National airport to US Airways.
In its tentative approval of the deal issued on 9 February, DOT required that 14 slots be divested at Washington National airport and 20 at New York LaGuardia.
At that time the carriers threatened to abandon the deal altogether if DOT's decision is finalised, arguing 16% of the slots covered under the deal would be divested at LaGuardia and 33% at Washington National.
During a 9 March presentation at the JP Morgan Aviation, Transportation and Defense conference, Delta president Ed Bastian said the carrier is "looking at our options. We still have a strong interest in going forward."
Bastian says Delta continues talks with US Airways about the options and the opportunities associated with the swap.
The LaGuardia slots are better served by Delta than by US Airways, argues Bastian. In turn, at Washington National US Airways "can make better use of some of the assets that we're not taking full value for today", he says.
"We think at the end of the day that business judgement will prevail," says Bastian. "And we're hoping to get that transaction done."
Source: Air Transport Intelligence news
