It also proposed granting one route to American Airlines for service from New York JFK to the downtown airport and one to Hawaiian Airlines from Honolulu. It rejected applications from Continental Airlines, Continental Micronesia and United Airlines. United and Continental announced a merger agreement a week ago.
In selecting DL to receive half of the available daily routes (ATWOnline, Dec. 15, 2009), the department chose an airline that already maintains an enormous transpacific and inter-Asia hub at Tokyo Narita. DOT was swayed in large part by the fact that DL said it will use 747-400s on its LAX-Haneda service, which "would inject 63% more capacity into the US-Tokyo market than American's Los Angeles proposal with its 777s" and 50% more than United's proposed SFO-HND route, also to be served with 777s. It chose DL's proposal to operate from Detroit, citing among other things the carrier's "substantial hub presence and route network" at DTW and the "broad catchment area" of the Midwest region as well as DL's plan to use a 747-400 on the route.
In choosing AA to fly from JFK, DOT rejected CO’s application to operate a New York-originating service from its Newark hub. It determined that selecting AA "would provide enhanced alliance competition," explaining that "in the overall US-Asia market, the Star and SkyTeam alliances currently hold significant positions." UA and CO are both Star members and DL is in SkyTeam, "thus an award of Haneda rights to American here should enhance alliance competition by improving the competitive posture of American and oneworld in the US-Asia market," DOT said.
Hawaiian does not currently serve any Japanese destinations and in choosing that airline the department said this would achieve "the important objective of enhancing competition in the US-Tokyo market as a new entrant."
DOT said that if its tentative decision is finalized, selected carriers would be required to begin HND operations by Jan. 29, 2011.
(Perry Flint - ATWOneline News)
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