Hints At Moving Transient Traffic To Other Airports

Back in 2006, when there was talk of US Airways staging a hostile takeover of then-bankrupt Delta and closing down its Atlanta headquarters, Delta rallied the local citizenry by handing out 50,000 red, campaign-style buttons which read, "Keep Delta My Delta."

Now, clear of bankruptcy and having recently acquired Northwest Airlines, Delta has done a full 180... and is using a threat to move some of its operations out of Atlanta as a negotiating tactic with Hartsfield-Jackson International Airport.

The Atlanta Journal-Constitution reports the airline is renegotiating its 30-year-old leases, and claims the airport is pushing terms that would increase its cost per passenger emplanement from five dollars to $10, related in part to a new terminal which has seen costs bloat to double original projections.

Delta spokesman Kent Landers said Sunday, "Over time, if the cost per passenger doubles at Hartsfield-Jackson, it's Delta's responsibility to consider the advantage of routing some of the two-thirds of passengers connecting here to hubs where the costs are lower."

The mention of "two-thirds" is a reference to the fact that about 65 percent of Delta passenger traffic in Atlanta consists of transfers, with only about a third representing travellers for whom Atlanta is the original departure or final destination.

Delta's acquisition of Northwest brought it new hub options in the region, including Memphis and Cincinnati.

Minneapolis-based airline analyst Terry Trippler thinks airport management better take Delta's warning seriously. "I think Delta is in the driver's seat. You just don't thumb your nose at being a headquarters and main hub for the world's largest airline.

"Memphis would be a great overflow for Atlanta," Trippler added. "They could easily move some of their business to Memphis."

Atlanta Mayor Shirley Franklin says there is no proposal before the city which would double Delta's fees,and predicts the impasse will be resolved.

Delta has been headquartered in Atlanta for seven decades.

FMI: www.delta.com