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Are Cheap Flights Coming to Washington?

In February, American Airlines and US Airways announced their plans of a merger of the two airlines, which is relatively straightforward because they only overlap on 12 of 900 routes.  However, one area of concern is Washington’s Reagan National Airport, which operates with a cap on the number of flights allowed.  Both American and US Airways operate out of Reagan and JetBlue, which has a hard time increasing its presence at the airport, is concerned about the dominance of American and US Airways.

 

US Airways is the carrier with the largest presence at Reagan National.  At the current time, US Airways holds 55% of the slots at Reagan and American holds half of the remaining slots.  The two airlines only overlap on two routes out of the airport, to Nashville and Raleigh-Durham.  This will be unlikely to continue, which means as many as 10-20 slots will probably be up for grabs by discount carriers such as JetBlue and Southwest, helping lower the cost of flights out of the airport.

 

The above article is a summary.  Please see the source article at Google News.

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