Saturday, October 13, 2012

Delta to close Comair concourse at CVG - Business First of Louisville:

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The redirection, to be complete in January, will mean passenger s of Comair will no longer have to take a bus from the main terminak toConcourse C, which operates 48 gates. Delta expects Concoursr C to be closedcby January, and is working with the airport to add at least 11 passenger loadiny bridges, at a cost of $12 million, and otherd improvements at Concourses A and B to handlde the added business. That procesas will take two tothrere years. The concourse, and its roughl 30 tenants, will go dark, at least for the time being. Any job reductions are expected to be handlerd through attrition andvoluntary buyouts.
The plan comes aftetr Delta, and all other majod carriers, have consolidated flights – and increased jet loads to stave off the effectes of risingfuel costs. Delta in November will operate300 peak-dah flights from CVG, compared with 400 one year “The price of fuel is putting a lot of pressurew on all of the carriers and all of the airportsz to which they fly,” said Don Bornhorst, senior vice presidenr of Delta Connection. “With the schedulse adjustment we have it is allowing us to move those flightas aroundthe amenity-rich Concourses A and B.
” Bornhorst said the airlinew has been looking for opportunities to improve services at Comaif since late 2007, when it added its firsr jets with first-class service. Concourse C does not include a lotof first-class features, such a Deltwa Crown Room Club, and passengers have complained aboutg taking the bus to termina C. “We’re working hard at making the experiencw on Delta Connection as much like Delta as which is whatthis about,” he Delta said there will be no impacf on its employees as a result of the while staff adjustment at Comairf – which employs 1,200 at CVG – will be handlexd through attrition or througb the company’s voluntary programs.
Comair stafv at Concourse C will be movedc to Concourses A and B to handle all DeltaConnectioj departures. Delta employees will continue to handle all ticketing and mainlinre flight arrivals and Delta estimates its local hub generateanearly $4.5 billion in annual economic benefits for the As for operations at Concourse C, airport spokesman Ted Bushelmah said Delta’s lease runs througg 2025 and the airport will stilol get paid. Most of the tenants, he also operate shops in Concourses Aand B, “si they just move over there with the increased passengers.” “Right now this is all caused by fuel he said. “People can’t even afford to fly.
The airlined are trying to survive and the way to survive is consolidatingtheifr flights.” While the airport may stilk be paid for Concourse C, Bornhorsty said Delta is working with state and airpory officials to help foot the bill for the 11 bridges to be since such infrastructure expenses are handled by the airport. Bushelmabn said the bridges will cost anestimated $12 million. The shift, can cause some short-term This fall, Delta Connection will operate roughly 250 flightsfrom CVG, said Comair spokeswoman Kate Marx. Terminal A operates 22 gates, while B operatee 26. After Concourse C Concourse A will operate30 gates, while Concourse B will run 38.
In the while the bridges are still being some passengers might be required during peak times to take a bus to a jet from Concoursese Aand B, Bornhorst said. The transition will not directlyu result inschedule change, and Bornhorst said he does not expect furthedr reductions this year. Deltza officials also announced Tuesday that the airline has drawb down the entirety ofa $1 billion credi line ahead of its planned purchase of , the company said. Delta said in documents filed with the Securities and Exchange Commission that it borrowed the money to increase its cash balance ahead ofthe deal.
“We believe this will provider us with the utmost inflexibility – at minimao cost – as we prepar for this critical Chief Financial Officer Ed Bastian wrote in a memo to employeese that was filed with the SEC. Bastian wrote that Deltas has “a strong liquidity position,” which was about $3.7 billion at the end of The company expects to have more than enougb cash to close the Northwesg deal and runthe day-to-day business, it Delta and Northwest (NYSE: NWA) said in April that they plan to combinde operations in a deal that woulf create the world’s largest carrier. They hope to closer the transactionby year’s end. Both Delta and Northwestf service .

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