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"United, Denver officials meet, share views on future at DIA"
Tuesday, August 5, 2003
United, city officials meet, share views on future at DIA
KUSA-TV Ch 9 NBC, Denver (CO)
DENVER - United Airlines and the city of Denver have been at odds over
United Airline's future at Denver International Airport. On Monday,
representatives of the two met in search of an agreement.
The airport wants United to give up some of its gates. It's proposing that
United give up at least some of its existing eight gates on Concourse A and
turn them over to Frontier Airlines.
"We had a good three-hour conversation this morning that gave both the city
and United the opportunity to share and listen to each other's views. I
expect that we will meet again in the near future," said the mayor's chief
of staff, Michael Bennet.
A date for that next meeting has not been set, yet.
One possibility on what's happening is that Denver is telling United it will
either build a new regional jet terminal for United off the east end of
Concourse B as part of a comprehensive new lease agreement or the airport
will undertake a major new expansion for Frontier Airlines, up to 16 gates,
off the west end of Concourse A.
The city is saying the airport can't do both. It basically comes down to
expand for United or expand for Frontier.
It's been reported the city plans to offer United up to $100 million in
total benefits, as long as it will give up some gates to rival Frontier.
United, now in Chapter 11, has until December to decide whether it will
affirm or reject its airport leases around the country, including the DIA
lease.
Frontier, for its part, says it will consider expanding in other cities if
DIA has no room for it.
Observers say it's good the two sides are having conversations.
United dominates air travel in Denver, carrying about 60 percent of DIA's
passengers.
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