American cries foul over Chicago O’Hare ‘secret deal’ with United Airlines

Saturday, 01 Mar, 2018 0

American Airlines has fired off a complaint against the city of Chicago over the major $8.5 billion expansion of O’Hare International Airport.

American is alleging the city has agreed a secret deal with rival United Airlines to get more gates.

"American Airlines is excited about seeing O’Hare transformed into an airport that sets the global standard in airline passenger experience and efficient operations. But American cannot sign the lease in its current form because of a secret provision, inserted at the last minute, awarding additional gates to United," said Leslie Scott, American’s senior manager of global communications.

American’s opposition could scupper new lease agreements if a compromise is not reached.

The expansion would boost the total number of gates at O’Hare from 185 to about 220 when it is completed by 2026.

As the two dominant carriers at the airport United and American have always had the power to veto any major changes at the airport, which is something the airport wants to end when the current 35-year lease expires later this year. 

Under the new proposals United would get an extra five gates.

American Airlines said it has already sought a compromise by asking the city to speed up construction of three more of its gates but that was ‘dismissed without explanation’ Scott said.

"We encourage city leaders to fix the lease and ensure competition remains vibrant at O’Hare."

Based on 2017 data, United has a 44% market share at O’Hare and American has 37%.

  



 

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TravelMole Editorial Team

Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.



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