Post-Gazette: Specter, other lawmakers rebuke US Airways CEO

[JBM]

Apparently, candor was aplenty but decorum went out the window when Sens. Arlen Specter and Robert Casey and other Pennsylvania legislators had a private session with US Airways CEO Doug Parker regarding further service reductions at PIT.

"It was not a satisfactory meeting," a grim Mr. Specter told reporters as he stood afterward alongside US Airways Chief Executive Doug Parker. "There are grave concerns from the Pennsylvania delegation about what US Airways has done in Pittsburgh."

Sen. Bob Casey and nine of the state's House members joined Mr. Specter, a five-term Republican, for the closed-door session. Each took turns berating Mr. Parker and other airline officials for planning a new round of cuts in the region, including the elimination of 450 local jobs and the shifting of 500 local pilots and flight attendants to new locations.

"This was the most unbelievable meeting I've ever sat through," said Rep. Mike Doyle, D-Forest Hills. "Half of what was said couldn't be printed in a newspaper."

See http://www.post-gazette.com/pg/07312/832202-28.stm for the full story.

[Ned]

The Pittsburgh Post-Gazette is not a very good paper. While living in Pittsburgh for 5 years I certainly learned that. I know Mr. Sherman had to focus on the Pittsburgh aspect of the meeting, but sooner or later the PPG and PA officials have to get a grip on themselves and realize that PIT has been seriously "demoted" and that's not going to change. It may be a serious blunder to have done that on the part of Dougie and company, but it is done, and Dougie's enough about saving his own face, that he's not going to reverse himself.

The real question now, which the PPG reported, but didn't emphasize as they should have in the article, is Dougie going to jeopardize literally killing his company to save face again, this time with regard to PHL.

Eighteen months ago, Dougie agreed to the temporary changes in gate usage at PHL which will allow the airport to significantly enlarge Terminal E over the next three years, and add four gates to the terminal. Now Dougie is objecting to the temporary gate changes, and threating to pick up his marbles and go home.

In other words, he's threatening to cancel the PHL-China route, and take away about half the international flights out of PHL and take them to Charlotte. Of course, if any of that would be in the best interests of US Air, he would have done that already. Furthermore, if that was in the best interests of US Air, he wouldn't be planning his Europe and Asia, International flight strategy around PHL, rather than Charlotte. They are only planning adding a few new international flights to South American via Charlotte.

Dougie is really walking on a tightrope now. It's possible he may have broken the number one law of family and business negotiation; Don't make a threat you can't carry-out.

While Charlotte is currently US Air's largest domestic hub in terms of the number of flights and passengers, PHL is their fastest growing hub, and will likely soon surpass Charlotte as its largest domestic hub. It's already its largest international hub. Is Dougie ready to throw that away, and the revenue PHL produces? Is Dougie ready to throw away the future increases of highly profitable international routes which will be supported by the Greater Philadelphia Region, but would not fly anywhere near capacity, and thus loose money if out of CLT?

Of course, I must add that while Spector and Casey have shown their support for PIT, where is their support for PHL? Why haven't Spector and Casey been pushing the FAA to complete their PHL Expansion report which would set in motion the expansion funding and construction, which would alleviate all these problems as the airport. The expansion would go a long way to solving the congestion and on-time problems at PHL, improve safety at the airport, increase the number of gates by more than 50% permitting US Air, Southwest, Delta, American, Air France, and British Airways to all have the gates they've told the PHL they need, plus have some spares, and would permit UPS to double their air operations, completing their expansion of their Northeast air freight facilities at PHL. I believe Spector and Casey have to pay more attention to the battles they can win, and pay less attention to politicking via battles that were long ago lost in the bankruptcy courts.

[Anita Dunham-Potter]

It's about time the lawmakers of this state beat the snot out of US Airways management. I think there should another meeting and it should be on pay-per-view. I want to see some blood.

Joking aside, Ned, you're right, DoUgIe is walking a tightrope with the politicos and he's in way over his head.

I will be candid here, there is also a HUGE problem with the PHL airport authority and US Airways. US Airways wants to add a significant number of International flights out of PHL but the airport says we can't give you the gates? They just moved Delta Air Lines over to the A Terminal, which as you know Ned is the International terminal. So, if US Airways adds more foreign flights they will have to do REMOTE GATES WITH BUSES or stagger parking the planes behind one another forcing passengers into buses or a walk up and down steps!!!! This is a sham! As a PHL resident you should be outraged. How many flights does PHL need to Florida? You mean to tell me more Southwest flights to Florida is worth more than flights to China, Japan, Israel -- all destinations US Airways intends to add from PHL???!!!

That being said, DoUgIe better watch it. US Airways does not own that route authority to China --the feds do. I am sure Delta Air Lines would love to fly the PHL-Beijing route -- and the way things are going they might just get that opportunity. If that happens, US Airways BOD needs to oust Parker.

Just my bitter two cents

Anita

[Loonbeam]

The issue with the Delta plan was that it was previously approved by all the airlines involved, INCLUDING USAIR, and a number of other arrangements were made based on that, some which involve eventual overall capacity improvements.

I've flown in and out of A-West recently, and trust me, unless they are stupid enough to schedule the run during peak period (okay, that is a possibility), there are several empty USAir gates at most times.

What is happening here, I think, is that USAir has decided it doesn't want the competition from Delta in the intl arena and is now recanting on their agreement to the gate moves.

From Philly.com:

Southwest, US Airways, other airlines and airport officials all agreed almost 18 months ago that Delta's move would proceed. But airport officials came to Southwest in December, saying US Airways had asked for the plans to be put on hold because it wanted to use A-East to add more international flights last summer, Ricks said.

Full article:

http://www.philly.com/philly/busines...es_threat.html

[Anita Dunham-Potter]

Originally Posted by Loonbeam

The issue with the Delta plan was that it was previously approved by all the airlines involved, INCLUDING USAIR, and a number of other arrangements were made based on that, some which involve eventual overall capacity improvements.

I've flown in and out of A-West recently, and trust me, unless they are stupid enough to schedule the run during peak period (okay, that is a possibility), there are several empty USAir gates at most times.

What is happening here, I think, is that USAir has decided it doesn't want the competition from Delta in the intl arena and is now recanting on their agreement to the gate moves.

From Philly.com:

Southwest, US Airways, other airlines and airport officials all agreed almost 18 months ago that Delta's move would proceed. But airport officials came to Southwest in December, saying US Airways had asked for the plans to be put on hold because it wanted to use A-East to add more international flights last summer, Ricks said.

Full article:

http://www.philly.com/philly/busines...es_threat.html

Loonbeam, the PHL paper is wrong. US Airways never agreed to Delta's move. This has been an ongoing fight for over TWO YEARS!! As for the gates being empty, keep in mind the slot issues going to and from Europe -- US Airways has NO CONTROL over that. EU governments decide that. So, they have to place the flights with the allotted slot times, which are usually set in two bank between 6-8 PM EST aka the busiest times.

I am going to say this as delicately as possible. Given the difficulties of the situation between the PHL airport authority and US Airways...if there is a merger between US Airways and another airline I believe PHL will get downsized like PIT did and eventually all International flying will go to other larger hubs. This is my two cents. But, if this happens I flat out blame the PHL airport authority. Good luck.


Anita

[Loonbeam]

Funny thing was they were talking about this on TV (do you get Philly CN8 there?) and a dude from SW just held up a copy of the supposed signed agreement between the airlines and PHL and pointed out USAir reps signature. If any of the local sites get a scanned copy, I'll link it.

[Loonbeam]

Grr, reply got et, trying again..

Was just watching CN8 (beats soaps) while I work and they had someone from Southwest who held up what supposedly was the agreement from 18 months ago, signed by all parties (they didn't show a closeup). If any of the local sites gets a scanned copy, I'll link it.

[Anita Dunham-Potter]

Well, if that's the case then look for US Airways to pull out flights from PHL. PHL is by far the most difficult airport to work with and sadly that will cost the area in International service.

Anita

[Ned]

Believe me I understand. The thing is with many of the A Terminal Gates is that they are incredibly under utilized. They're only used a few times per day. Frankly, they've got to work something out. Anita, just a year and a half ago Dougie agreed to the plane for this Delta move. US Airways periodically uses the A Terminal for Domestic flights too. The last time I came in from Seattle we used an A gate and then had to trapse to C (a very long walk) to get our luggage.

This situation at PHL is horrible right now, and I put the blame mostly on the FAA. No one wants to make a move, and then have it wasted, according to what Expansion Plan the FAA approves and funds. The FAA was supposed to complete this 2 years ago, and there's no end in sight. Sometimes I mix up the plans so if I've got them reversed bear with me. If they approve Plan A the current terminals stay and the add another terminal, expand A, B, C, E, and double the size of F. If they approve Plan B then Terminal A stays, but all the rest of the terminals are replaced. Under those conditions, how can you blame the PHL Airport Authority for dragging their feet and trying a juggling act.

Originally Posted by Anita Dunham-Potter

It's about time the lawmakers of this state beat the snot out of US Airways management. I think there should another meeting and it should be on pay-per-view. I want to see some blood.

Joking aside, Ned, you're right, DoUgIe is walking a tightrope with the politicos and he's in way over his head.

I will be candid here, there is also a HUGE problem with the PHL airport authority and US Airways. US Airways wants to add a significant number of International flights out of PHL but the airport says we can't give you the gates? They just moved Delta Air Lines over to the A Terminal, which as you know Ned is the International terminal. So, if US Airways adds more foreign flights they will have to do REMOTE GATES WITH BUSES or stagger parking the planes behind one another forcing passengers into buses or a walk up and down steps!!!! This is a sham! As a PHL resident you should be outraged. How many flights does PHL need to Florida? You mean to tell me more Southwest flights to Florida is worth more than flights to China, Japan, Israel -- all destinations US Airways intends to add from PHL???!!!

That being said, DoUgIe better watch it. US Airways does not own that route authority to China --the feds do. I am sure Delta Air Lines would love to fly the PHL-Beijing route -- and the way things are going they might just get that opportunity. If that happens, US Airways BOD needs to oust Parker.

Just my bitter two cents

Anita

[Ned]

Anita, I think you're wrong about the blame here and said it above. I think the FAA is the bad guy and has put PHL in an impossible position.

By the way, what's wrong with sharing the gates a bit. I'm no aviation expert, but why can't those gates be used by someone else, or US Air domestically during say 7AM to 3PM. Utilizing gates for only about 4 hours per day makes no financial sense to me.

Originally Posted by Anita Dunham-Potter

Loonbeam, the PHL paper is wrong. US Airways never agreed to Delta's move. This has been an ongoing fight for over TWO YEARS!! As for the gates being empty, keep in mind the slot issues going to and from Europe -- US Airways has NO CONTROL over that. EU governments decide that. So, they have to place the flights with the allotted slot times, which are usually set in two bank between 6-8 PM EST aka the busiest times.

I am going to say this as delicately as possible. Given the difficulties of the situation between the PHL airport authority and US Airways...if there is a merger between US Airways and another airline I believe PHL will get downsized like PIT did and eventually all International flying will go to other larger hubs. This is my two cents. But, if this happens I flat out blame the PHL airport authority. Good luck.


Anita