In 2015 American flew an estimated 450–500 daily mainline flights from O'Hare, based on pre-pandemic hub strength.

In 2024, American Airlines operated an average of 349 daily departures from O'Hare, with 388 departures during the peak summer months (June, July, August), according to Cirium schedules.

Over the last decade America has dropped over 100 flights out of ORD. I get it that AA wants to now start growing there, but United has been consistent over the last decade with making ORD a priority and growing flying and AA can't just back out 100+ daily flights over a decade and then just walk back in and say it wants those slots back now.

Anything can happen in a lawsuit, but its going to take years for this to be resolved. New terminals will probably be done by then and AA can get some more gates at that time. 2029 or so.

 

Wow, what a great kirby coolaid emotional response. Tell me your glorified bus driver without telling me. According to AA 10-K filings, they do plan on being profitable this year despite the ramping up chicago, so as long as the economy doesn't take a dump. And contrary to popular belief on a united pilot forum, AA is profitable flying out of ORD as a midwestern domestic connection city, with seasonal international, as stated during investor day presentations, even with all the flying they did out of ORD prior to covid.

This idea that UA is depending on their competitor airlines at the two central domestic hubs of DEN and ORD to bleed into bankruptcy in order to take their gates and turn those hubs into fortresses for them, is possible, but theres no indication that its happening. And the longer it takes to do that, the more time the competitors (AA and SWA) have to restructure their business plans to adequately respond to the competitive pressure from UA.

Try thinking.

 

That is wrong. This isn't about morality and who deserves what. Theres a legally binding contract, and the city of chicago in coordination with UA, are not following it.

The contract specifically states that gate re-allocation cannot begin until 1 year after the 12 month ramp up period is complete. and ramp up period isn't to start until terminal 3 and 5 expansions are completed. T3 stinger gate expansion, as specified in the contract, wasn't completed until March 2025. The earliest this reallocation assessment may happen is 2027.

AA was legally able to neglect chicago for a period of time, then bring it back to life in time to, and not lose any gates. Why would they do this? probably cause the sunbelt hubs were more profitable in the immediate post covid rebound. That and ORD is more dependent on their regional feed, which hasn't fully recovered until now.. for the most part.

 

indeed…….

filler

 

At least that what you read on the internet is AA’s complaint. The internet also says that Chicago says AA is incorrect. So I guess the courts will determine who is right.

 

The "12 month ramp up" is a separate issue. It means that the CURRENT ALLOCATION once the L-Stinger gates are built won't be changed. Which is the allocation that they just released. Not meaning no changes from 2018. This allocation is allowed per the 311 page contract. Section 5.

I did find this language which the City could cite that supports this.

"5.4.6 In the event that a reallocation is triggered pursuant to Sections 5.3 or
5.4, the City shall give written notice of its initial determinations under Sections 5.3 and 5.4.2 to
all Signatory Airlines, including Airline, by April 1 of each year in which the City’s
determination is to take effect. The City’s written notice shall include an exhibit displaying the
then-current assignments of all Preferential Use Gate Space and the Preferential Use Gate Space
being assigned by the City to all Qualifying Airlines for the year the reallocation will take effect
according to Section 5.4.2. "

So indeed, there is language that allows reallocation EACH YEAR. Its in the contract. The additional allocation from the L-Stinger gates is in a separate part of the contract.

"5.1 ...All of Airline’s Preferential Use Gate Space shall be
subject to the applicable accommodation and reallocation provisions of this Article 5, regardless
of how or when such Gate Space is initially assigned to Airline. "

With 311 pages there is likely language that just doesn't let them massively back out of flying and add it back whenever they want.

American is asking for a jury trial. This is going to take a while. Also they are arguing "good faith" and not strict contractual language. Much of their filing is based on "what they were told" during the construction of the L-Stinger expansion. This will have to go to discovery, witnesses etc.

The agreement was filed in 2018. No references from the actual agreement are even in the filing although it is referenced in general, which is normal since these are generally not made available to the public. I do have a generic copy of the City of Chicago AULA and its 311 PAGES! That is CRAZY. The airport's ability to reallocate gates is referenced 28 times in the Agreement, including "long-term signatory airlines and preferential use airlines", which American is one of.

So the City will have a few weeks to respond and United can join as an interested party since they could lose gates here. Then there's 3-6 months for filing Summary Judgement and a hearing on that. If its not thrown out, then we have 6 months of discovery, witness list, pre-trial motion and prep. Depending on the backlog in the court it could be another few months and then likely a few weeks for a trial. Verdicts can take up to 60 days.

This put us into 2027. Good luck!

 

Also this...

5.3.1 Subject to Section 5.3.2, the first annual redetermination of Gate Space
shall take effect on October 1, 2021. By April 1, 2021, and by April 1 of each year thereafter
during the Term, and subject to Sections 5.3.2 and 5.3.3, the City shall, after consultation with
the TFAC, determine and give written notice to all Signatory Airlines of the amount and
locations of both Domestic Gate Space and International Gate Space to be reserved for use as
Common Use Gate Space, to be effective on October 1 of the same year.

Seems here there IS a provision to reassign gates each year as just happened.

 

“L-Stinger Gates” means the “L-Stinger Gates” as defined in the L-Stinger Lease.

“L-Stinger Lease” means the Gate Ground Lease Agreement at Chicago O’Hare
International Airport between City of Chicago and American Airlines, Inc. dated May 31, 2016,
as it may be amended from time to time.

Reallocation of the L-Stinger gates, not the entire airport since 2016. American will keep the L-Stinger gates. Other gates have been reallocated in accordance with the agreement.

This lawsuit is without merit.

 

Kirby's not above acting like that.
Just look at how he's been giving Trump reach arounds in the media to gain his favor. It's kind of embarrassing how easily Kirby changes his views.
I think his obvious lack of integrity is why he wasn't chosen as parkers successor.

 

L-Stinger gates were completed in May 2018. Those are the only gates referenced in the Agreement. American even put out an article on it. The "12 month ramp up" has passed by 6 years.

https://news.aa.com/news/news-detail...e/default.aspx

The Agreement also says that if an airline sues it is has to pay its own attorney fees and if the City wins then the Airline has to pay reasonable attorney costs, but not the other way around. I wonder how much all this is going to cost?

This will certainly hurt Goodwill going forward between the City and American. Not a good look.