Tentative deal on "open skies" reached

deltawatch

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www.usaviation.com
US-EU reach tentative deal on "open skies" pact
Fri Nov 18, 2005 07:14 PM ET

WASHINGTON, Nov 18 (Reuters) - The United States and the European Union reached a tentative deal on Friday to dramatically expand aviation service and boost competition on both sides of the Atlantic.

Europe is conditioning approval on a crucial side issue -- the U.S. proposal to ease some limits on foreign investment in American carriers. European negotiators first want to ensure the Transportation Department plan is finalized and that it would facilitate greater investment opportunities and wider access to important travel markets.


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I think US will actually have the easiest time getting LHR slots out of the four airlines that need them (CO/DL/NW/US), for a few reasons. One, US has lots of money right now, unlike DL/NW. Two, US has partners (BMI and Lufthansa) who are some of the largest slot holders at LHR; Star is waaaaaay bigger at LHR than SkyTeam. Three, and I think this is the most important, US will only need a handful of slots, unlike the larger carriers which would need a bigger number of slots to move their operations over, so it's not placing a big imposition on its partners trying to buy a few slots off of them; I think it should be relatively quite easy for US to move their 2x daily roundtrips over, and even to add another 1x or 2x.

Of course, all of this depends on the people in Tempe waking up and realizing that the eastern half of this airline does crazy things like fly to Europe. But if US had the planes and the slots and the will, there's no reason it couldn't successfully run 2x daily PHL-LHR and 1x daily each CLT/BOS/PHX-LHR.
 
Speaking of international, I know you guys will think I'm crazy, but one of the most popular destinations for the Brits is Las Vegas with a huge amount from the blue color city of Manchester. Seems the large amount of brothels in Nevada (and now brothel ranches where they can stay) are VERY popular...oh yeah and gaming. Horny Brits will pay whatever to legally get their jollies off...and gaming too. lol

Europeans love the US western states and I feel it would behoove LCC to add a few LAS/PHX to Europe destinations when the ac are available. This will cut down on three legs to get to Europe for west coasters. Just my thoughts.
 
I am reluctant to think this would be a good thing for the working folks in US. I see this as a Corporate opportunity for more job elimination in US. Just look what is happening over at NW.

I am not on this bandwagon at this time.
 
Hopefully Mr. Parker will seriously consider adding London and Frankfurt out of PHX in the near future. Europeans love the american WEST and the vast route network out of the Valley is a great alternative to entering through the traditional gateways of LAX & SFO. Not sure about a/c type but I would think the A340 could be a good type for the route and commonality with the 330 matches up well. Keep sending people thru PHiltHy and people will eventually avoid visiting the Great USofA all together. ;)
 
What does open skies mean for USAirways?

It means nothing to a carrier whose CEO said at the "Wings Club" luncheon in NYC in September that he saw no expansion for this carrier in the next two years.

Any opportunity for market share will be long gone before Dougie decides it's time to grow the airline. Besides, someone needs to show him where Europe is, anyway.
 
Gee, I think Dougie should use the Space Shuttle out of PHX to go to Europe. Bet the European carriers havn't thought of that? We can then outsource the crews using astronauts. :up: Wonder if they would accept min. wage to be competitive?
 
Just look what is happening over at NW.



YEP...sorry story up in MN. A friend called me the other day telling me his brother lost his job at NW after 17 years. He was obviously a union member. Seems corporate America has their crosshairs dead center on anything union. Being a union member is not an asset in today’s world but instead a liability. It's like union membership is being placed in a position of a vassal.
 
I think US would find some used A330s out there (if any) for LHR routes... I don't see them just transferring the LGW flights over. BOS & PHX from LHR make a lot of sense, not sure about LAS as I know VS has had issues filling the premium cabin on their 744's and have had to discount the back pretty low to fill it.... although a few frequencies a week that time with the red-eye bank may be interesting.
 
What does open skies mean for USAirways?

It means nothing to a carrier whose CEO said at the "Wings Club" luncheon in NYC in September that he saw no expansion for this carrier in the next two years.

Any opportunity for market share will be long gone before Dougie decides it's time to grow the airline. Besides, someone needs to show him where Europe is, anyway.
Well at least as far as LHR access that would not be expansion or adding aircraft, just moving the two LGW flights over, even though it's just two full A-330's a day the differance in yield could be substantial.

Regards

LGA777
 
I'm not sure that LHR flights would be an advance. LHR is a thorough pain in the a$$ for connections. The line at passport control is like something from Ellis Island. ENDLESS. If connecting to the continent, Frankfort is a great airport. For the only the UK, LGW is just fine.
 
I edited myself as this post may be too risqué for the children in the audience. Let me sum it up this way: Why would Brits go to Nevada for a $20 cheeseburger when there is $5 filet mignon in London and Manchester?

Because they like cheese? My two cents worth is stabilize and refine what we have FIRST then consider expansion.:)
 
I edited myself as this post may be too risqué for the children in the audience. Let me sum it up this way: Why would Brits go to Nevada for a $20 cheeseburger when there is $5 filet mignon in London and Manchester?


Hey man, I'm just the messenger.

, not sure about LAS as I know VS has had issues filling the premium cabin on their 744's and have had to discount the back pretty low to fill it....

No problem!! US Airways will leave the first row of biz class and make the rest coach. 6/243 :D :mf_boff: