Southwest seeing how the wind blows

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http://www.dallasnews.com/sharedcontent/dws/bus/stories/111604dnbussouth
west.67342.html

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Southwest Airlines Co. signaled Monday that it intends to watch the
political reaction to its newfound opposition to flight restrictions at
Dallas Love Field before mounting any campaign to remove them.=20

The Dallas-based discounter wants to hear from a variety of
constituencies interested in repealing the Wright amendment, the federal
law that limits flights from the airport to Texas and nearby states.=20

"We are waiting to hear how people respond," said Ron Ricks, senior vice
president for law, airports and public policy at Southwest, in an
interview at the carrier's headquarters at Love Field.=20

On Friday, Southwest chief executive Gary Kelly sent up an unexpected
flare in a battle that began decades ago but has been dormant until the
last few months. In a speech before area executives, he denounced the
1979 statute as "anti-competitive."=20

So far, Mr. Kelly's comments have drawn negative reactions from
officials at Dallas/Fort Worth International Airport, American Airlines
Inc., and city halls in Dallas and Fort Worth.=20

All cited concerns that opening Love Field to long-haul flights would
pose a critical challenge to the health of D/FW, an economic engine to
North Texas.=20

But several prominent area lawmakers have welcomed a renewed discussion
of the Wright amendment.=20

Mr. Ricks said he has received supportive calls from the offices of
three lawmakers, including Sen. Sam Brownback, R-Kan. He declined to
name the other two but said one is from Texas.=20

Many area travelers have also voiced their opposition to the
restrictions that allow airlines to fly non-stop from Love Field only
within an area that includes Texas, Oklahoma, Arkansas, Louisiana, New
Mexico, Kansas, Alabama and Mississippi.=20

Mr. Ricks said Southwest officials reconsidered their neutral position
on the Wright amendment after rival Delta Air Lines Inc. said in
September it was pulling its hub at D/FW. That left Southwest with three
choices:=20

* Do nothing, and watch somebody else fill the vacuum.=20

* Pick up the slack at D/FW.=20

* Expand at Love Field.=20

"We don't want to do nothing," Mr. Ricks said. "That's not Southwest's
M.O."=20

After careful consideration Southwest ruled out going to D/FW, because
it knew that airport's biggest tenant, American, would pull out all the
stops to protect its home turf, Mr. Ricks said.=20

What's more, he said, moving flights to D/FW would cannibalize the
airline's successful Love Field operation.=20

It made more sense to bolster Love, which suffered more than most
airports from the September 2001 terrorist attacks because it relies
entirely on shorter flights, many of which can be replaced by car trips,
he said.=20

An unrestricted Love Field would also be good for Dallas, Mr. Ricks
said, because more long-haul flights could bolster the city's economy
and convention business.=20

He also noted several times that Southwest is the fifth-biggest taxpayer
in the city of Dallas because it pays property taxes on its entire fleet
of Boeing jets.=20

"If business is down at Love Field, business is down in Dallas," Mr.
Ricks said.=20

The Texas congressional delegation, which is likely to play a central
role in any Wright repeal effort, had a mixed reaction last week to Mr.
Kelly's remarks.=20

Republican Sen. Kay Bailey Hutchison and Rep. Pete Sessions, R-Dallas,
said they were willing to consider the matter. Rep. Joe Barton, R-Ennis,
said he opposes it. Republican Sen. John Cornyn said he needs more time
to think about it.=20

Support from out-of-state lawmakers could also prove key if Midwestern
and Southern states, driven by a desire for more low-fare Southwest
flights, fight hard for them in Congress.=20

Even as he reiterated that the airline didn't have a campaign planned,
Mr. Ricks rattled off reasons a repeal made sense and wouldn't hurt
D/FW.=20

Topping the list was a city master plan that restricts to 32 the number
of gates that airlines can operate at Love Field. Today, only 16 are in
operation. D/FW has 138 gates.=20

Love Field "will never grow to a point where it will threaten D/FW
Airport," Mr. Ricks said.=20

But that argument didn't fly with D/FW or Fort Worth-based American.=20

"We think the Wright amendment has helped ensure the success of D/FW,
and we believe it's still relevant today," said Tim Wagner, an American
spokesman.=20

D/FW worries that repealing the Wright amendment would bring a repeat of
2000, when American and Delta added new service at Love Field to compete
against Legend Airlines.=20

"We earnestly believe, and history has shown, that many other airlines
would try to get in to compete head-to-head with Southwest at a close-in
airport," said Kevin Cox, D/FW's chief operating officer.=20

If Love Field grew to its limit, D/FW estimates, the city airport could
attract millions of passengers who would otherwise use the nation's
third-busiest airport.=20

"Southwest is doing this to protect its monopolistic control over Love
Field and not bring in added competition to the Dallas-Fort Worth
marketplace," Mr. Cox said.=20

He called the airline's approach "caustic and divisive."=20

Southwest had its own criticisms.=20

The city of Fort Worth, which avows loyalty to D/FW, has, over the
years, asked Southwest to add service at Fort Worth Meacham Airport, and
the cargo hub, Alliance Airport, Mr. Ricks said.=20

"They said quite specifically Meacham Field is not subject to the Wright
amendment, you can fly from Meacham," Mr. Ricks said. "What I find
ironic is that when we talk about flying out of Love Field they say we
are going to hurt D/FW."=20

Fort Worth City Manager Charles Boswell said his city has approached
Southwest about starting service from its airport, but he said he
doesn't recall any discussion about interstate flights or service from
Alliance.=20

=20

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Clay Wardlow | Technical Publications | ADIC <http://www.adic.com/>  |
Redmond, WA | 425-897-7448

=20

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