Delta, LCC in Slot Trade at LGA, DCA

US Airways will trade 125 LaGuardia slots to Delta for 42 Washington National slots, according to a just-announced agreement. The two will be trading gates at LaGuardia putting the LCC operation at the Marine Air Terminal and Delta at Terminal C, consolidating all Delta operations, including the Delta Shuttle into an expanded main terminal facility with 11 additional gates. Delta said the move is part of its commitment to develop a domestic hub at LGA. The agreement, subject to DOT/FAA and Department of Justice approvals, paves the way for Delta to more than double the number of nonstop destinations it serves from LaGuardia by adding or preserving service to more than 30 small- and medium-sized communities.

As part of the transaction, Delta also will exchange a limited number of international route authorities to US Airways for service to Brazil and Japan. These transfers will not result in any material schedule changes for Delta which will also continue to serve Washington's National with numerous daily frequencies to its seven hubs, hourly shuttle service to LaGuardia and flights to select small communities.

The airline plans to add new flights to more than a dozen cities not currently served by US Airways, replacing LCC’s turboprops with larger jets. These new markets and larger aircraft would allow more than two million additional passengers to transit LaGuardia each year without increasing the total number of takeoffs and landings. Once the transaction is approved, Delta plans to begin a nearly $40 million construction project at LaGuardia to connect the current Delta and US Airways main terminals; rebrand US Airways' existing main terminal gates, ticket counters and lounges to Delta's standards; and create a new dedicated check-in area for Medallion, First Class, BusinessElite and Shuttle customers. This facility transition will be completed in 2010.