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Watch the trailer at: http://www.foxsearchlight.com/sideways/index_nyt.html \----------------------------------------------------------/ Southwest Adds ATA Flights From Chicago January 14, 2005 By MICHELINE MAYNARD Southwest Airlines' code-sharing arrangement with ATA Airlines will allow Southwest's passengers to fly from Chicago to several new destinations, including La Guardia and Newark Airports, Boston and Washington, the airlines said yesterday. The agreement is scheduled to begin on Feb. 4, said Gary C. Kelly, Southwest's chief executive. Passengers will be able to buy tickets from Southwest to the new destinations beginning on Sunday, when the airline said it would announce the fares. Last month, Southwest, the largest low-fare airline in the United States and the sixth-largest over all, paid $117 million for six of ATA's gates at Chicago Midway International Airport, making Southwest the dominant airline there. Southwest also acquired a stake in ATA, which sought bankruptcy protection in October. Under the code-sharing arrangement, the two airlines agreed to share flight designations in a number of routes. Each can sell tickets on trips involving the other airline. Each will also set the fare on the portion that they fly and divide the revenue, Mr. Kelly said. Southwest will put its flight numbers on ATA's flights from Chicago to La Guardia and Newark Airports, Logan Airport in Boston, Minneapolis-St. Paul International, Denver International, Honolulu International, San Francisco International, Ronald Reagan National Airport in Washington and airports in Fort Myers, Sarasota and St. Petersburg, Fla. Southwest does not serve any of those airports, and until the agreement with ATA, it had not shared flight designations with other domestic carriers. But, Mr. Kelly said, "We felt for years a code-share would fit in certain circumstances. This one works very well." In a number of those cities, including Boston, San Francisco and Washington, Southwest offers service to one or more smaller airports nearby, like Manchester, N.H.; Oakland, Calif.; and Baltimore. It established that strategy years ago to penetrate major metropolitan areas that were dominated by the major airlines. On the Denver and Minneapolis routes, Southwest planned to offer service to hubs for United Airlines and Northwest Airlines, respectively. Dallas-Fort Worth International, the home base of American Airlines, was absent from the list of airports, although ATA flies there. Southwest, which is based at Love Field in Dallas, is challenging a federal law called the Wright Amendment that limits flights from that airport to eight states including Texas. Mr. Kelly said Southwest planned to serve Dallas only from Love Field and did not want to confuse passengers by adding service to Dallas-Fort Worth on ATA while it fought to repeal the amendment. American and the cities of Dallas and Fort Worth oppose Southwest's efforts. For now, the airlines do not plan to let members of their frequent-flier programs use their credits on the other airline. While that may happen eventually, Mr. Kelly said he envisioned limits on the number of seats Southwest passengers could book on ATA, given that Southwest is 10 times larger than ATA. Passengers would earn frequent-flier credits from the airline on which they book the ticket, Mr. Kelly said, even if a portion of the flight took place on the other carrier. The move by Southwest comes a week after the airline said that it would start service in May to Pittsburgh International Airport. US Airways, which is in bankruptcy protection for the second time in two years, is dismantling its hub there. Separately, a federal loan board agreed yesterday that US Airways could continue to draw from its cash to run its operations through June 30. US Airways pledged its cash, airplanes, routes, gates and other collateral to secure the $717 million balance on its package of federal loan guarantees. It defaulted on that agreement when it filed for bankruptcy protection on Sept. 12. The Air Transportation Stabilization Board has allowed US Airways to use its cash since then. The June 30 date coincides with the deadline set in an agreement US Airways reached last fall with GE Capital Aviation Services, its aircraft lender. By then, US Airways must present a restructuring plan to the United States Bankruptcy Court in Alexandria, Va. http://www.nytimes.com/2005/01/14/business/14air.html?ex=1106711146&ei=1&en=87dbab9ed5e09dc2 --------------------------------- Get Home Delivery of The New York Times Newspaper. Imagine reading The New York Times any time & anywhere you like! Leisurely catch up on events & expand your horizons. Enjoy now for 50% off Home Delivery! 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