SFGate: Airlines complain over rent, fee hikes at LA airport

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Tuesday, February 27, 2007 (AP)
Airlines complain over rent, fee hikes at LA airport



   (02-27) 11:45 PST Los Angeles (AP) --

   Twenty-two airlines joined to complain about steep increases in rents and
other fees at Los Angeles International Airport.

   The complaint preceded Monday's ceremony kicking off a $575 million-plus
construction phase of the renovation of the Tom Bradley International
Terminal.

   There was no mention of the airlines' complaint filed Feb. 23 with the
U.S. Department of Transportation. The carriers using the Bradley terminal
describe the rate increases as unjustified, unfair and unlawful.

   "We're happy to participate in the renovation of the airport," said
attorney Jim Weiss, representing the international carriers. "It badly
needs it. But it's got to be done in a way where we're partners in the
process."

   The 22 airlines joined seven mostly low-cost airlines that earlier asked
federal regulators to step in because of the fee increases. Three other
airlines — United, American and Continental — filed a U.S.
District Court lawsuit last month.

   The airlines, which are paying for much of the renovation, said in the
complaint that recent hikes in rent and other fees make the airport a much
more expensive place to land. Weiss estimated it could cost the carriers
an extra $28 million this year alone.

   Leases in the international terminal run out next month, and the airlines
there expect to see sharp increases in their rents when they renew. Weiss
said it could put them at a disadvantage to some other airlines that
locked in lower rents with longer leases.

   The airlines want federal transportation officials to overturn the fee
increases and order the airport agency to refund any extra money they have
paid.

   The airport department contends rising costs must be offset and that it
cannot afford to subsidize airlines.

   The city, airport managers and the airlines agree the aging international
terminal, built for the 1984 Olympics, needs work to compete with newer
airports. When completed in 2010, it will have a new baggage system, new
signs and video displays, new boarding bridges and major upgrades from the
bathrooms to the VIP lounges.

   It also will have one more gate equipped to handle the next generation of
super-jumbo jets.

   The city has already spent nearly $148 million on architectural and
engineering costs.

   ___

   Information from: Daily Breeze,

   www.dailybreeze.com ----------------------------------------------------=
------------------
Copyright 2007 AP

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