Us Air maybe considering selling off the Phila Hub

[helenk]

This was in the news today:

USAir May Be Considering Selloff of PHL Hub

by KYW's Mike Dunn
Published reports say the financially-strapped US Airways is considering selling off assets, possibly including its Philadelphia hub operation.

The reports in the New York Times and Charlotte Observer said the assets being considered for sale include one of US Airway's three hubs, which are in Philadelphia, Pittsburgh, and Charlotte. Also possibly up for sale is the airline's Boston-New York-Washington shuttle service.

A spokesman for US Airways contacted by KYW Newsradio said the airline will not comment on the reports. Officials at Philadelphia International Airport say they have received no notification from US Airways about this, but they are monitoring the situation.

US Airways emerged from Chapter 11 bankruptcy proceedings last year. It is the largest carrier operating at Philadelphia International Airport.
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I wonder how long something like this will take, it will certainly limit the number of carriers that fly non stop to MCO. At least Soutwest is coming in May.

 

[CaliforniaDreaming]

Heard the same thing about Pittsburgh on the news. I guess they only have a firm lease on like 10 of their gates at PIT.

 

[safetymom]

This is all part of recovering from the bankruptcy. They are threatening to do this so that the employees will give up more.

Southwest coming into Phila is not good for USAirways. They gave up at Baltimore when Southwest came in.

PIT is still in negotiations with USAirways. It was the airline that insisted that they needed a new airport. They knew the costs now they are trying to back away from the deal. USAirways is one of the largest employers in Pittsburgh so the government is not going to let them go away quietly.

I am a preferred flyer with US so I am not worried yet. We will all have to wait and see what happens.

 

[Luckymommyx2]

I think US Air is already preparing for SWA coming into PHL. I'm sure it will only be a matter of time until they are selling off one of their hubs, at the very least. I used to fly US Air but since we tried SWA they keep us coming back and price is only part of the equation!

 

[safetymom]

Funny how businesses work. Only a few short months ago USAirways would never have thought of selling the Phila. hub. Of course that was before Southwest.

 

[XStAnt]

The article I read (in the Philadelphia Inquirer) noted two important facts: 1) They were only considering selling all or part of one of their hubs. It is not a "done deal" and may only be a tactic to get more concessions. 2) Several airline experts felt Philly was the least likely hub to be sold due to the number of flights and the fact that it is USAir's main international terminal.

Even if USAir sold off it's Philly hub I won't lose any sleep. Philly is too big a market and other airlines would come in. Southwest may expand operations quicker, Jet Blue is already looking at Philly, and others will quickly fill any gap. My brother-in-law used to work for America West airlines. He once told me virtually all the airlines would like to expand their presence in Philly but can't because USAir has all the gates tied up. If those gates aren't tied up, other airlines will come in and start flying out of Philly.