DOT: AA Keeps HND Route, Rejects DL Claims, HA on Standby

American Airlines Group Inc. will keep the right to fly between Los Angeles and Tokyo’s Haneda airport, after federal regulators rejected claims by Delta Air Lines Inc. that the privilege should be revoked because American failed to begin service quickly enough.
American has until March 27 to begin the flights to Haneda airport, the U.S. Transportation Department ruled. The carrier said this month that it would begin daily service starting Feb. 11, after securing favorable arrival and departure times from Japanese officials.
The U.S. decision was the latest development in an almost yearlong spat between the carriers for one of only four existing routes between the U.S. and HND, which many business travelers prefer over NRT because it is closer to the Japanese capital. Delta gave up one of those routes to American in June after a fight between the two airlines, but argued in an Oct. 1 filing that its rival should cede the route after it didn’t start service within 60 days.

“The department finds nothing on the record to suggest that, despite a brief startup delay, the anticipated benefits of American’s LAX - HND service -– benefits that led the department to award it this authority –- will not be forthcoming,” the Transportation Department said in a ruling issued Wednesday. Regulators said the HND route would be awarded to Hawaiian Airlines if American doesn’t meet the new deadline.

I would admit I am prejudice in this - "BUT" the use it or lose it Rule should apply to American as it was with Delta.
Hawaiian should have a crack at it next but the way the Regulators have awarded it any which way who ever flys
the route is going to be plagued with a routing that does not make a favorable monetary return all because the agreements
made with the Japanese government favor the home country airline (Japan) with time slots that people really want
to fly and not the meager Red-Eye express with little or no chance of connecting traffic. Our own Regulators let us
down on this deal yielding favor treatment to Japan Airlines. Sad note that American who is a JAL partner could not
come up with something since ousting Delta. Hawaiian if you get this route 'Good Luck' ! If American keeps the
route the competition at LAX is going to be AAs undoing.
Probably will not matter in the future when China gears up Japan will not be needed as a connection point and will
become just a origin/destination point which is what Haneda is and not worth the fight if the timing and slots are
ill timed - "An airplane does make money sitting on the ground nor flying empty for its stockholders".
As more fuel efficient long range aircraft are introduced the need for a stop in Japan will be history.

At least Delta has all the agreements awarded to Northwest (Orient) Airlines to service the Asian perimeter ring
but as I commented before China the sleeping Lion holds all the big cards for the future - only a matter of time.

In Agreement with you regarding passenger and revenue increases, all +yields point to China (PVG,PEK).

That's definitely the direction UA is taking. More USA-China nonstop flights (like CTU and XIY, probably more cities you've never heard of on the horizon), but NRT is still useful for connections to other cities in Asia, especially where revenue isn't strong enough to justify a nonstop, like MNL, or places that are really far, like SIN.

UA has all the agreements inherited from the purchase of the PAN-AM Pacific division and Continental's Micronesia sub division.
But this is the calm before the storm - "LOOK OUT" when China starts (they already have started - the C919 copy of 737/320) mass
producing airplanes the likes that Boeing and Airbus combined will have a tough time competing with.
China sees the "BIG PICTURE" of Global Domination and there is very little anyone can argue or do to stop their plans.
Commented earlier - "It is only a matter of time" ! Maybe not tomorrow or next week but coming soon to a theatre (airport) near you !

Quote:

---

Originally Posted by R.M.Anderson

UA has all the agreements inherited from the purchase of the PAN-AM Pacific division and Continental's Micronesia sub division.
But this is the calm before the storm - "LOOK OUT" when China starts (they already have started - the C919 copy of 737/320) mass
producing airplanes the likes that Boeing and Airbus combined will have a tough time competing with.
China sees the "BIG PICTURE" of Global Domination and there is very little anyone can argue or do to stop their plans.
Commented earlier - "It is only a matter of time" ! Maybe not tomorrow or next week but coming soon to a theatre (airport) near you !

---

Xiamen and other Chinese Airlines are already on board with the fake Boeing ie: Hyundai Genesis - Mercedes clone. However I think it's going to take some convincing to other Intl carriers to go against US quality.

http://english.comac.cc/products/ca/pi/