US airlines seek public backing of China route bids

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US airlines seek public backing of China route bids
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Insider CHICAGO, Sept 12 (Reuters) - The four U.S. airlines jockeying for t=
he next route to China are accelerating their campaigns to win support for =
their applications from the public and businesses.=20
AMR Corp.'s (AMR.N: Quote, Profile, Research) American Airlines, UAL Corp.'=
s (UAUA.O: Quote, Profile, Research) United Airlines, Continental Airlines =
(CAL.N: Quote, Profile, Research) and Northwest Airlines (NWACQ.PK: Quote, =
Profile, Research) are all racing to secure the prestigious service to add =
to their Asia routes.=20
As they make their case to the Transportation Department, which awards the =
route, the airlines also are making their case to potential customers.=20
"This is not some normal route application. China is where it's at," airlin=
e consultant Michael Boyd said. "It's critical because airlines that have t=
he best access to China are going to have the best revenue flows domestical=
ly and internationally."=20
U.S. carriers, battered by low-cost competition at home, have sought out gr=
owth on lucrative international routes, and China's economic expansion pres=
ents a strong opportunity for airlines with service there.=20
The Transportation Department has said it would grant one additional daily =
route to China to one of four U.S. airlines that already fly there. The app=
lication deadline was in August, and the government is due to make its choi=
ce in February.=20
The United States keeps tight reins on rights to fly to communist China, so=
 competition for the route among airlines is stiff.=20
United, which wants to add service from Washington D.C. to Beijing, is a me=
mber of the Capital-to-Capital Coalition, a group of Washington, D.C. organ=
izations that supports that route. Currently there is no service between th=
e two capitals.   Continued...=20
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=C2=A9 Reuters 2006. All Rights Reserved.
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