"UAL doesn't want the competition" of SWA
 

USA Today (May 24, 2012) Domestic giant Southwest sticks nose into international air

The airline is picking up AirTran's flights to Mexico and the Caribbean after buying its rival last year. It's getting a new reservations system to handle overseas bookings and is seeking to build an international terminal at Houston's Hobby Airport, where it says it could ultimately add 25 flights abroad a day.

The airline also is seeking approval from Houston's city council to build a five-gate international terminal at Hobby Airport, whose private flights are the only ones that go to foreign destinations. The city's mayor, Annise Parker, announced her support for the terminal on Wednesday. Federal aviation officials will also have to give their OK.

Southwest would like to open the terminal, which would cost $100 million to $125 million, by 2015. It envisions it as the launching point for flights into Central and South America in addition to Mexico and the Caribbean.

A report commissioned by the Houston Airport System determined that the new portal would bring in an extra 1.5 million passengers annually, lead to 10,000 jobs for the Houston area, and amount to an economic benefit of $1.6 billion a year.

"The report projects that opening Hobby to international service would create a more competitive landscape" and lower fares, Houston Airport System's aviation director Mario Diaz wrote in a memo to Mayor Parker that supports the new terminal .

Plans were for the council to take up the matter by the end of May, said mayoral spokeswoman Janice Evans.

United, the biggest of the network carriers and which counts Houston's larger Bush Intercontinental Airport as its biggest hub, is not on board with Southwest's plan to turn Hobby into its international launch pad.

United flies the majority of passengers headed to foreign destinations from Houston. And it says its own study found that the proposed terminal at Hobby would result in the area taking an economic hit.

"Dividing the air service between the two airports … will mean that Houston is competing with itself for international connecting traffic rather than competing with very successful cities that have one international airport, like Atlanta and Dallas," says United spokeswoman Mary Clark. "We believe it will result in a loss of jobs and also there will be an economic loss for the city of Houston."

Clark says there is room for Southwest at Bush Intercontinental.

Southwest's Jordan counters that United is concerned about itself rather than the community.

"United Airlines doesn't want the competition," he says. "We're asking to bring more flights, and lower fares for the people of Houston, and bring in the economic benefits that come from that."

Full article: http://travel.usatoday.com/flights/s...air/55174412/1

"The report projects that opening Hobby to international service would create a more competitive landscape" and lower fares, Houston Airport System's aviation director Mario Diaz wrote in a memo to Mayor Parker that supports the new terminal."

-- Isn't that what UAL is all about? A competitive balance? "Our [CBA] proposal will include significant pay rate increases that are competitive with the new Delta TA, as well as scope and work rules that are competitive with the new Delta TA and permit us to remain competitive in the airline business." -- Jeff Smisek

"says United spokeswoman Mary Clark. "We believe it will result in a loss of jobs and also there will be an economic loss for the city of Houston." "

-- Glad UAL is concerned about job losses. Perhaps they could show the same concern for 1500 furloughed "co-workers" in their own company and many more if we get DAL scope.

"Southwest's Jordan counters that United is concerned about itself rather than the community."

-- Say it ain't so! After UAL execs gave themselves a 300% pay raise while the CEO states over and over "we're not going to let one employee group benefit at the expense of another," who woulda thought?

"United Airlines doesn't want the competition," he says.

-- They're not used to it. With CAL's contract and history they haven't had to compete on a level playing field for 3 decades.

"Dear Continental, this is what you get for moving to Chicago." Signed, citizens and elected officials of Houston

Nice work Jeffy.

Funny....
Jeffery & the Gang have even resorted to posting the :cool:KeepingIAHStrong:cool: web address on the gate/arrival signs for all pilots to stare as they roll up to the gates in IAH.

They're barking up the wrong tree.

I never understood why UCH didn't let Houston and Chicago bid against each other to get the head quarters. Was there already a back room deal with Mayor Emmanuel, ie. don't let Obama release any work groups to self help, and we'll stay in your city?
I understand Boeing got huge tax advantages when they chose Chicago over the other two municipalities that were bidding to be the hometown of the corporation.
I think UCH should float the idea of a new consolidated training "head quarters" in IAH. I never understand why they don't use their labor negotiating tactics on other departments and municipalities. This would be the city of Houston version of "new aircraft orders". Let Denver and Houston bid against each other for the combined companies training facility.

Because trying to hold back SWA in Houston has worked so well in the past for CAL.

Who cares what SWA is doing??

Co-worker Jeff has repeatedly told the UCH pilot groups that SWA pay rates are unreasonable and particularly so because SWA is not a competitor or in our peer group. Since SWA is not a competitor to UCH it's a non-issue---let them do whatever they want over at HOU.

Not my problem.

Good. SWA can have Mexico and everything else that goes with it. Not my problem. Jeffy Jeff is going to spin this against the pilot group somehow.

I wouldn't believe any rosie forecast by any gov a%^ pie. All lies and BS. Look at CA and there high speed rail rider predictions. FUBAR
In a true free market. Mgmt can be pricks and we can cut it off if it gets to big. No pun intended.

OR, how about this..since we do now directly compete with swa, we are demanding swa payrates, work rules, duty rigs, days off..etc..we are competing now Jack!!