Delta to fly up to 3 daily flights JFK--LGW (like CAL from EWR)

[General Lee]

NEW YORK, July 31 (Reuters) - Delta Air Lines Inc. (DALRQ.PK: Quote, Profile, Research) is buying rights to fly between New York and London from rival United Airlines, a unit of UAL Corp. (UAUA.O: Quote, Profile, Research), for up to $21 million, a Delta spokeswoman said on Monday.
Delta plans up to three flights a day between New York's John F. Kennedy International Airport and London's Gatwick Airport, with the first expected to start in the fall, spokeswoman Betsy Talton said.
It plans to add up to two more flights a day next year, Talton said.
Atlanta-based Delta, which is operating under bankruptcy protection, would pay $13 million to United Airlines once the deal closed, with additional payments of $2 million per year, unless an "Open Skies" agreement were reached.


The United States and Europe have been in talks aimed at eliminating restrictions on service and routes between them under a so-called open skies agreement.
The Delta deal is subject to U.S. Department of Transportation approval and other closing conditions. United will discontinue its service between New York and London's Heathrow Airport at the end of October.


© Reuters 2006. All Rights Reserved.



3 flights a day eventually? Wow. I thought it was just one flight. They are absolutely trying to compete with CAL, which has flights to LGW from EWR. I know DL wants LHR authority, but that may take awhile.


Bye Bye--General Lee

 

[ATR-DRIVR]

Just prior to the UAL BK, there was a rumor going around that some of the DAL muckity-mucks were riding around on the UAL long haul flights to see about snagging some of them prior to the BK. Had you heard that? Also supposedly there was a deal already done with the LHR routes between DL and UA, though DL balked at the price. ???

 

[catIIIc]

UAL cannot just sell one of their LHR route authourities. Because of the Bermuda II you go to LHR or you don't, UAL would have to sell the whole thing whick would probably signal the end of UAL. LHR is very profitable,it just wasn't at JFK so they will move it to another city.

 

[PlaneDrvr]

JFK-Heathrow Service??

UAL cannot just sell one of their LHR route authourities. Because of the Bermuda II you go to LHR or you don't, UAL would have to sell the whole thing whick would probably signal the end of UAL. LHR is very profitable,it just wasn't at JFK so they will move it to another city.

http://biz.yahoo.com/bizj/060728/1323286.html?.v=1

"As United shifts more resources to Asia-Pacific routes it is shifting away from European service to some degree. UAL also said Friday it sell its New York-London route authority to Delta Air Lines subject to U.S. Department of Transportation approval and certain other closing conditions. Delta will use this route authority to fly between JFK and London's Gatwick Airport. This route authority sale will result in United discontinuing its JFK-London Heathrow service at the end of October."

Very surprising that the are willing to give up the 'Heathrow service' as that will give AA a lock on the JFK-Heathrow, being the only other U.S. airline serving the route??

_______________

I made the above posting on a different thread a few days ago relating to the same issue. And, as I said then, I was very surprised that UAL was willing to give up the JFK-Heathrow Service; but that is apparently what the above stated article (link) says?

 

[catIIIc]

They gave up the NYC-LONDON route authority, not NYC-LHR, they will most likely move the LHR slot to IAD, ORD, SFO, or LAX.

 

[PlaneDrvr]

They gave up the NYC-LONDON route authority, not NYC-LHR, they will most likely move the LHR slot to IAD, ORD, SFO, or LAX.

I was just "quoting" what the article stated;

"As United shifts more resources to Asia-Pacific routes it is shifting away from European service to some degree. UAL also said Friday it sell its New York-London route authority to Delta Air Lines subject to U.S. Department of Transportation approval and certain other closing conditions. Delta will use this route authority to fly between JFK and London's Gatwick Airport. This route authority sale will result in United discontinuing its JFK-London Heathrow service at the end of October."


I figured that they would 'apply' to move the "JFK-LHR Route Authority/Slot" to operate "IAD-LHR" (or something like it), but if what it 'states' in the article is correct (bold), would give AA a lock on the 'JFK-LHR' as the only U.S. carrier on that specific route. That is all I was saying....

 

[Kenney G]

Does Delta not already have a JFK-LGw service or is it just from ATL

 

[XRMEFLYER]

Very nice photo Mr. Drvr!

 

[General Lee]

Does Delta not already have a JFK-LGw service or is it just from ATL

They fly to LGW from ATL and CVG, and have authority to LGW from MCO and BOS also. I have heard we may restart LGW to MCO in the near future also. (along with MCO to CDG and maybe FRA) Who knows? There is a lot of INTL expansion going on.... Why? Because Airtran and JB don't fly those routes....


Bye Bye--General Lee

 

[dtfl]

They fly to LGW from ATL and CVG, and have authority to LGW from MCO and BOS also. I have heard we may restart LGW to MCO in the near future also. (along with MCO to CDG and maybe FRA) Who knows? There is a lot of INTL expansion going on.... Why? Because Airtran and JB don't fly those routes....


Bye Bye--General Lee

GL - what worries me (and I am forever a pessimist when it comes to Delta now....thanks for the furlough, Leo) is that Delta is going to buy all these routes to expand into Europe..and...Asia is where the economies are booming. Now, I did read an article by...forgot his name..sorry..yesterday that said China's economy will SLOW DOWN very soon...because they will not lay people off and sell products for very little profit...etc..etc.
So..why is United freely selling off Europe routes? To concentrate on Asia....makes me wonder if they aren't giggling at Delta.

Found the article..

Jim Jubak on MoneyCentral MSN
"China's Economy is out of control"

 

[BLUE BAYOU]

Virgin flies 3 flights a day to MCO from London and BA flies I believe one per day all in 747s except sometimes the BA flights are 777. I don't think DAL has a chance competing with the hotties from Virgin, of course, that's just my opinion having seen the senior momas from DAL... I think DAL will do well with the flights from JFK, however. Only wonder how much givebacks from employees will be needed to fund these acquisitions though...

 

[PlaneDrvr]

Very nice photo Mr. Drvr!

Thanks, FLYER, I just figure if someone doesn't like what I say, then they can 'kiss my a$$' and something tells me, the 'one' in pic, they wouldn't mind. lol

 

[FlyUnited]

Thanks, FLYER, I just figure if someone doesn't like what I say, then they can 'kiss my a$$' and something tells me, the 'one' in pic, they wouldn't mind. lol

Thanks...It's ME!

 

[General Lee]

Virgin flies 3 flights a day to MCO from London and BA flies I believe one per day all in 747s except sometimes the BA flights are 777. I don't think DAL has a chance competing with the hotties from Virgin, of course, that's just my opinion having seen the senior momas from DAL... I think DAL will do well with the flights from JFK, however. Only wonder how much givebacks from employees will be needed to fund these acquisitions though...

I think you are referring to the 3 daily Virgin 744s from MCO to LGW, and one daily to MAN. True, that is a daunting task. We used to fly an L15 from MCO to LGW, and had the authority to fly to CDG, and I think we actually flew to FRA. Could we fill up a plane from LGW to MCO with the dollar being cheaper than the Pound or Euro? I think we could, we seem to be doing well enough from the rest of Europe. What about people who want to connect in MCO and go onto FLL or Key West? How about onward from MCO to Mexico City when it opens in DEC? You never know, but there are options. I also know of many charter operators that fill planes into Sanford from Britian also. Who knows? We have the route authority regardless. We used to be the "official airline of Disney World", so that helped when people ordered special tours etc.

Bye Bye--General Lee