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United Airlines To Cut Capacity Across Network; Denver Cuts Especially Deep

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Grandpa +65

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Submitted by News Desk 2 on Tue, 08/30/2011 - 23:48

Chicago, IL -
United is cutting departure capacity at Washington, Chicago, Denver and Los Angeles, averaging 5%, but as high as 17% at its Denver hub.
However, that can be a bit misleading for Denver; some of the cuts are because the carrier is shifting capacity to the Continental side, and some due to seasonal cutbacks that usually happen in September. But accounting for those, capacity is still being cut at least 5% above the same time last year.
The airline cites high fuel prices and a sluggish economy as factors. International flights, however, will not receive the same system-wide cuts as its domestic capacity. International routes are highly profitable, in part due to higher ticket prices and the lucrative cargo it carries.
Overall, the airline expects by spring to increase flight capacity above last year's numbers as fuel prices are expected to come down and the economy slowly recovers. The U.S. Chamber of Commerce says nearly 55% of businesses plan to expand their marketing and travel plans by spring 2012.



http://www.thefloridanewsjournal.co...ty-across-network-denver-cuts-especially-deep
 
Those percentages are a bit higher than reported in USA Today. Granted, USA Today is birdcageliner but at least I recognize the name of the newspaper. FloridaNewsJournal? Not so much ...

United trims Denver, but says hub is safe

By Ben Mutzabaugh, USA TODAY

Updated 10h 29m ago

United Airlines is scaling back its Denver flight schedule, though the airline says the hub will remain an important cog in its route map.
The Denver Post writes:
Data supplied by OAG/UBM Aviation show United, newly merged with Continental Airlines, has scheduled 6.6% fewer average daily departures at (Denver) next month than in September 2010, about 10% fewer in October, 13.4% fewer in November and 5.6% fewer in December. The data include flights flown by United Express affiliates.
The Post notes United also has trimmed capacity at its other big hubs, though the paper says the Denver cuts "generally are deeper than at the other hubs and stations."
THE DENVER POST: United clipping Denver flights in slower fall season
United spokeswoman Christen David tells the Post that despite the cuts, "we remain committed to Denver as a hub."
She adds: "In response to the rising cost of fuel, earlier this year we announced capacity reductions for the third and fourth quarters. Denver also experiences an annual capacity reduction during the slower fall travel season."
David points out that United will still have more than 400 daily departures from Denver, which she says is "more than double any other carrier," according to The Associated Press.
The Post reports United's cuts will result in about 622,000 fewer United seats in Denver through the end of the year. Despite that, David tells the paper that cuts will not result in any layoffs in Denver.
As you might expect, Denver airport officials expressed disappointment in the cuts, though they said they did not doubt United's intention to keep Denver as a large connecting hub.

http://travel.usatoday.com/flights/post/2011/08/united-denver-cuts/545349/1

It looks like more shifting of flying from the United Airlines subsidiary to the Continental Airlines subsidiary. Obviously, the CASM is cheaper on the Continental side of the house.
 

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