Routes and Airports Channel

Economy is biggest challenge for US airports

By Sandra Arnoult
ATW's Airports Today, October, 2009, p.1

The worst economy in at least 40 years remains the biggest challenge for US airports and they are doing all they can to retain air service as airlines cut back on flights, says Airports Council International-North America President Greg Principato. "Airports are cutting their budgets to make it possible for airlines to serve their communities," he tells ATW's Airports Today, adding that they have been forced to furlough or lay off employees as carriers have reduced service.

But the economic challenge facing airports is different than that facing airlines, he points out. "[An] airline can make whatever decision it wants and take that asset and fly 500 miles away from your community. Airports can't leave."

ACI-NA is preparing for its annual conference, which will be held in Austin next week, and Principato said the same themes--the economy and relationships between airports and airlines--will be the main topics of discussion. "There is certainly a concern that airlines' short-term financial needs and the infrastructure needs of the community and the country don't always match up," he said. Other topics are security, environmental issues, sustainability and financing airport construction projects.

Recently, ACI-NA came out in strong support of a new US government rule requiring carriers to give passengers the opportunity to deplane after an extended ground delay, a step that is opposed strongly by the airline industry. Principato told this newsletter he would like to see carriers set their own limits. "We aren't anxious to have legislation, but the airlines should set a limit so people know what the expectation is."

The organization is expecting about 1,700 attendees at this year's conference, in line with attendance two years ago when the economy was in better shape. "Sometimes, tough times bring industries together. Everybody is trying to figure out how to meet the challenge," he said.

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