Airlines to press Congress again

[Date Prev][Date Next][Thread Prev][Thread Next][Date Index][Thread Index]

 



Airlines to press Congress again

WASHINGTON (Reuters) =97 U.S. airlines will press Congress this summer to=20
extend government responsibility for paying aviation security costs and to=
=20
ease taxes on the industry, Delta Air Lines chief executive Leo Mullin said=
=20
Monday. "We recognize that we want to have a private sector solution to the=
=20
terrible challenges that we face," Mullin told reporters at an aviation=20
industry conference. "In order to have a shot of that we've got to have=20
better answers to these two issues."
Mullin was not specific on whether the airlines want permanent help or some=
=20
combination of security cost and tax relief over a fixed period. Congress=20
agreed in April to reimburse the struggling commercial industry $2.3=20
billion in security costs that they had paid the government since February=
=20
2002. Much of that came from a passenger security fee of up to $10 per=20
round trip the airlines were forced to absorb because tickets have been=20
deeply discounted during the worst-ever downturn in business. Lawmakers=20
agreed to suspend that fee beginning this week through Sept. 30, the end of=
=20
the current fiscal year, to save the airlines an additional $700 million.=20
The fee helps pay for government-run airport security improvements mandated=
=20
after the September 2001 hijack attacks on New York and Washington.

Delta received the largest reimbursement, $390 million, of any U.S.=20
airline. Mullin said the industry would "build very forcefully" on what he=
=20
called a philosophical acceptance by government to pay for aviation=20
security. "There is much to be discussed with respect to a continuation of=
=20
those responsibilities beyond this fiscal year," Mullin said. He also said=
=20
the airlines would renew their push for tax relief, which was dropped=20
during this spring's debate on airline aid. Taxes can account for up to 26=
=20
percent of a $200 round-trip ticket on a domestic flight, a figure that=20
some key lawmakers find excessive. "We generally are the most overtaxed=20
industry in the world," Mullin complained. "If this particular industry is=
=20
to have a chance of recovering very much on its own the tax regime also=20
needs very serious attention." The Delta executive said the U.S. airline=20
industry =97 which lost a record $10 billion in 2002 =97 may not see a=
 pickup=20
in traffic until mid to late 2004. "We're in for another extremely tough=20
year here in the United States."

***************************************************
The owner of Roger's Trinbago Site/TnTisland.com
Roj (Roger James)

escape email mailto:ejames@xxxxxxxxx
Trinbago site: www.tntisland.com
Carib Brass Ctn site www.tntisland.com/caribbeanbrassconnection/
Steel Expressions www.mts.net/~ejames/se/
Mas Site: www.tntisland.com/tntrecords/mas2003/
Site of the Week: http://www.natalielaughlin.com/
TnT Webdirectory: http://search.co.tt
*********************************************************

[Index of Archives]         [NTSB]     [NASA KSC]     [Yosemite]     [Steve's Art]     [Deep Creek Hot Springs]     [NTSB]     [STB]     [Share Photos]     [Yosemite Campsites]