DFW takes SWA to task because of Denver

lowecur

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Well the numbers on this deal certainly make ol Herb and Gary look rather silly.

:smash:


Source: DFW International Airport


Thursday October 20, 5:25 pm ET

DFW Executives Say Southwest Needs to Come Clean


DFW INTERNATIONAL AIRPORT, Texas, Oct. 20 /PRNewswire/ -- The decision by Southwest Airlines to begin providing air service at Denver International Airport should prove beyond any doubt that Southwest is also easily capable of providing long-haul service for North Texas from DFW International Airport. Southwest announced today it would begin flying to Denver early next year.
"Southwest needs to come clean with the traveling public, with the Congress and with the 268,000 men and women whose jobs depend on DFW, that their efforts to repeal the Wright Amendment have nothing whatsoever to do with their ability to fly out of this Airport," said Kevin Cox, DFW's chief operating officer. "That was validated today with Southwest's announcement to fly out of Denver International."

"If the objective of Southwest is to operate with a virtual monopoly at Love Field, they should just come out and say so," said Joe Lopano, executive vice president of marketing at DFW. "What Southwest has said publicly about not wanting to serve DFW is that our Airport has an entrenched hub carrier, the costs are too high and the Airport is too congested for their business model. Factor in that Denver also has an entrenched hub carrier, nearly double the costs per enplaned passenger, and hub airport congestion, and then you realize their refusal to operate here doesn't make much sense."

A formal survey conducted at DFW concluded 85-percent of passengers who have an opinion about the Wright Amendment want Southwest Airlines to offer flights at DFW. That percentage translates into more than 30-million annual passengers who would support the idea of Southwest flying from DFW.

"Southwest can choose to fly long-haul flights from DFW, just as they are choosing to do from Denver," said Lopano. "We are sincere and resolute that Southwest is welcome here any time they would like to serve long-haul markets from North Texas. DFW is committed to providing all North Texas travelers with the best options, fares and customer service, and we are asking Southwest Airlines once again to operate long-haul flights from DFW instead of attempting to repeal the Wright Amendment."

DFW's offer of free rent and other financial incentives valued at over $22 million remains available to Southwest, which would be able to keep its short haul flights at Love Field and initiate long-haul traffic from DFW.

"It is beyond my understanding why Southwest would choose to go 650 miles away to do business in Denver, when they can go eight miles up the road to existing empty gates where a $22-million dollar incentive offer awaits them," said Mayor Mike Moncrief of Fort Worth.

DFW currently hosts a total of 24 scheduled passenger service carriers, including six low-cost carriers that successfully compete for the large number of North Texas local travelers on a daily basis.
  • By the Numbers Cost per enplaned passenger*: DFW $8.30, DIA $14.50
  • Daily departures**: DFW 932, DIA 728.
  • Number of airports Southwest serves: 62
  • Number of airports Southwest serves in direct competition with American: 55
  • Number of airports Southwest serves that are more congested than DFW: 15
  • Number of airports Southwest serves that are more expensive than DFW: 7
  • Number of markets where Southwest serves multiple airports: 3 *
Source: Leigh Fisher Associates (Aviation Consultants) **
 
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enigma

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lowecur said:
Well the numbers on this deal certainly make ol Herb and Gary looked rather silly.

:smash:


Source: DFW International Airport


Thursday October 20, 5:25 pm ET

DFW Executives Say Southwest Needs to Come Clean


DFW INTERNATIONAL AIRPORT, Texas, Oct. 20 /PRNewswire/ -- The decision by Southwest Airlines to begin providing air service at Denver International Airport should prove beyond any doubt that Southwest is also easily capable of providing long-haul service for North Texas from DFW International Airport. Southwest announced today it would begin flying to Denver early next year.
"Southwest needs to come clean with the traveling public, with the Congress and with the 268,000 men and women whose jobs depend on DFW, that their efforts to repeal the Wright Amendment have nothing whatsoever to do with their ability to fly out of this Airport," said Kevin Cox, DFW's chief operating officer. "That was validated today with Southwest's announcement to fly out of Denver International."

"If the objective of Southwest is to operate with a virtual monopoly at Love Field, they should just come out and say so," said Joe Lopano, executive vice president of marketing at DFW. "What Southwest has said publicly about not wanting to serve DFW is that our Airport has an entrenched hub carrier, the costs are too high and the Airport is too congested for their business model. Factor in that Denver also has an entrenched hub carrier, nearly double the costs per enplaned passenger, and hub airport congestion, and then you realize their refusal to operate here doesn't make much sense."

A formal survey conducted at DFW concluded 85-percent of passengers who have an opinion about the Wright Amendment want Southwest Airlines to offer flights at DFW. That percentage translates into more than 30-million annual passengers who would support the idea of Southwest flying from DFW.

"Southwest can choose to fly long-haul flights from DFW, just as they are choosing to do from Denver," said Lopano. "We are sincere and resolute that Southwest is welcome here any time they would like to serve long-haul markets from North Texas. DFW is committed to providing all North Texas travelers with the best options, fares and customer service, and we are asking Southwest Airlines once again to operate long-haul flights from DFW instead of attempting to repeal the Wright Amendment."

DFW's offer of free rent and other financial incentives valued at over $22 million remains available to Southwest, which would be able to keep its short haul flights at Love Field and initiate long-haul traffic from DFW.

"It is beyond my understanding why Southwest would choose to go 650 miles away to do business in Denver, when they can go eight miles up the road to existing empty gates where a $22-million dollar incentive offer awaits them," said Mayor Mike Moncrief of Fort Worth.

DFW currently hosts a total of 24 scheduled passenger service carriers, including six low-cost carriers that successfully compete for the large number of North Texas local travelers on a daily basis.
  • By the Numbers Cost per enplaned passenger*: DFW $8.30, DIA $14.50
  • Daily departures**: DFW 932, DIA 728.
  • Number of airports Southwest serves: 62
  • Number of airports Southwest serves in direct competition with American: 55
  • Number of airports Southwest serves that are more congested than DFW: 15
  • Number of airports Southwest serves that are more expensive than DFW: 7
  • Number of markets where Southwest serves multiple airports: 3 *
Source: Leigh Fisher Associates (Aviation Consultants) **

consider the source,

enigma
 

PropsR4Boats

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If Denver still had a “Love Field” SWA would have gone there. It didn’t say if DFW was cheaper than DAL. So what if it is…its all about principal…Wright tried to snuff SWA out and I think SWA has earned the right to long Love flights.
 

Cactus-Wrench

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You have got to be kidding me, the more of this cr@p I see the more pi$$ed off I get. Bottom line is American can fly where ever they want to out of DFW, well great, good for them. Why is it so "wrong" or "evil" because SWA wants to do the same thing out of "love field". SWA doesn't want to fly out of dfw, why should they change their business plan for another airport.
I hope this comes to a head very soon, and if it doesn't pass then I really hope swa drops their flights to maybe 25 a day from love field and redeploys flights else where. :smash:
 

michael707767

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Cactus-Wrench said:
You have got to be kidding me, the more of this cr@p I see the more pi$$ed off I get. Bottom line is American can fly where ever they want to out of DFW, well great, good for them. Why is it so "wrong" or "evil" because SWA wants to do the same thing out of "love field". SWA doesn't want to fly out of dfw, why should they change their business plan for another airport.
Whats wrong with it is Southwest has lived under the Wright Ammendment for years, and never said a word. Only that they are the dominant carrier in the country do they want to change it. Frankly Southwest got a bit of a free ride at LUV all these years. If the Wright Ammendment was cancled ten years ago, AA would have come into LUV and crushed Southwest. They know it and they chose to live under it. I think its very hypocritical to want to change it now.
 

ironspud

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If SW is ignoring a 22 Million Dollar incentive from DFW, then DFW must REALLY be a bad deal.

Good on SWA for protecting their business model - and our pocketbook.
 

bugchaser

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AA would have come into LUV and crushed Southwest
You need to calm down and step away from whatever it is that you are smoking.
 

cipolini

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(quote on our website) DEN has established a strong infrastructure and substantially reduced its rates, creating an economically attractive environment for Southwest. Additionally, DEN was ranked number one for ontime arrivals in 2004, making the airport a great fit for our quick aircraft turn times.
 

canyonblue

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michael707767 said:
Whats wrong with it is Southwest has lived under the Wright Ammendment for years, and never said a word.
You misconstrue this to mean that Southwest asked for the WA. It was imposed on us and in 1979 did not impede the growth of the company as bad as it does in 2005. Shareholders want profits and a substantial ROI. Southwest as a publicly traded company has a obligation to pursue this. I doubt our shareholders give a da#n about how it affects American Airlines or North Texas. They just want their 15% ROI, and Gary Kelly must find a way to do that.
 

michael707767

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canyonblue said:
You misconstrue this to mean that Southwest asked for the WA. It was imposed on us and in 1979 did not impede the growth of the company as bad as it does in 2005. .
it was imposed on you and every other airline in 1979. If you did not want to be impeded by the WA, you could have moved to DFW back then just like every other airline did. You chose not too. I think 26 years later is too late to complain about it. However, I agree, you are responsible to your shareholders, no one else. I don't fault you for pursuing this. I will, however, fault the government if they change the rules now.
 

jball2

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All I have to say is if AA were trying to change the law or any law, it would be OK. Funny how this works!
 

miles otoole

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michael707767 said:
it was imposed on you and every other airline in 1979. If you did not want to be impeded by the WA, you could have moved to DFW back then just like every other airline did. You chose not too. I think 26 years later is too late to complain about it. However, I agree, you are responsible to your shareholders, no one else. I don't fault you for pursuing this. I will, however, fault the government if they change the rules now.
Rules were made to be bended, stretched, broken, etc. WN will win with the WA and then move on to other topics of interest such as the age 60 thing.
 

canyonblue

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michael707767 said:
it was imposed on you and every other airline in 1979. If you did not want to be impeded by the WA, you could have moved to DFW back then just like every other airline did. You chose not too. I think 26 years later is too late to complain about it. However, I agree, you are responsible to your shareholders, no one else. I don't fault you for pursuing this. I will, however, fault the government if they change the rules now.
Well the same could be said about Pension Legislation. Funding rules are rules. I will, however, fault the government if they change the rules now.
 

SWAPoolie

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michael707767 said:
it was imposed on you and every other airline in 1979. If you did not want to be impeded by the WA, you could have moved to DFW back then just like every other airline did. You chose not too. I think 26 years later is too late to complain about it. However, I agree, you are responsible to your shareholders, no one else. I don't fault you for pursuing this. I will, however, fault the government if they change the rules now.

Guess it's okay that National Airport changed it's laws a few years ago though but not okay to change the Love field laws? McCain spearheaded that change and was successful. This is no different. When National Airport was going through the change you didn't hear United crying in their beer like AA. If AA spent as much time as making their product better as they are on fighting an antiquated law they wouldn't have to worry.
 
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SWA/FO

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The WA in North Texas is a one of a kind rule... Sure everyone can point out where we operate in the country and how much it costs us. However, give me another example of this rule, anywhere? Your talking apples and oranges..
 

A350

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If Southwest is willing to give competitors gates at LUV, then I see no reason why they shoudn't be allowed to do whatever they want at LUV field.

A350
 

320AV8R

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The WA was formed to ensure airlines transfered their flying from Love to DFW after it was built......to make sure this big, new airport would be paid for through operating costs.

SWA decided to stay at Love field.

It's been almost 30 years.......DFW is "up and running". It has a huge operation. Hasn't the WA run it's course ? Let SWA fly anywhere out of Love. AMR can handle the competition....like when they used to compete with Braniff out of DFW...they just don't want to.

320AV8R
 

Victor120

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DFW Business School

In My Opinion,

The original story is a comparison of apples and oranges.

This topic is great fodder for current and future economists (macro/required credit, etc.) and will no doubt be a discussion well past all of our lifetimes.

-vic
 
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Draginass

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The taxpayers ought to close Love Field and tell SWA to pound sand and operate out of DFW just like everyone else. SW justs wants it's private airport at taxpayer expense.
 

ultrarunner

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Draginass said:
The taxpayers ought to close Love Field and tell SWA to pound sand and operate out of DFW just like everyone else. SW justs wants it's private airport at taxpayer expense.

Looking out for the shareholder, if you ask me. And THAT is SWA's primary responsibility.

I got no problem with that.
 
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