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UA applies for 6x additional HND slots - UA gets EWR, ORD, IAD, LAX

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Old Feb 21, 2019, 1:00 pm
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United Airlines Adds Service to Tokyo, Haneda with Routes from Chicago, Los Angeles, New York/Newark and Washington, D.C.

CHICAGO, Aug. 16, 2019 /PRNewswire/ -- United Airlines today announced it will begin service between four of its U.S. hubs and Tokyo's Haneda International Airport, located approximately 15 minutes from downtown Tokyo. United will begin operating nonstop service between Chicago, Los Angeles, New York/Newark and Washington, D.C. and Haneda on March 28, 2020, subject to government approval. United currently offers daily nonstop service between San Francisco and Haneda. Tickets for United's new Haneda flights will be available for purchase starting Saturday, August 17.

In addition to United's new Haneda flights, Tokyo's Narita International airport will continue to be a hub for United with nonstop daily service between Narita and Denver, Guam, Honolulu, Houston, Los Angeles, New York/Newark and San Francisco. With the start of these new routes, United will no longer serve Narita from its Chicago and Washington D.C. hubs, and will shift these flights from Narita to Haneda.

"Our new service to Haneda gives our customers more choice and connections to more than 65 destinations throughout Asia. With service beginning next spring, we look forward to providing convenient service for the Olympic Games Tokyo 2020, and beyond," said Patrick Quayle, United's vice president of International Network. "United has offered nonstop service between the U.S. and Japan for more than 40 years and we are excited to expand our Japan network at Tokyo's Haneda Airport and continue to be the largest U.S. carrier to Japan."

United commends the efforts of Secretary Elaine Chao, her team at the U.S. Department of Transportation and officials at the U.S. State Department in making additional services at Tokyo Haneda a reality starting spring 2020.[/quote]





2019 HANEDA COMBINATION SERVICES
ALLOCATION PROCEEDING
DOCKET DOT-OST-2019-0014


U.S. Department of Transportation Tentatively Grants United Airlines Authority to Operate New Service to Tokyo Haneda
New slots from four hubs to Haneda Airport will expand United's best-in-class Japan route network to better meet demand from U.S. consumers and businesses
CHICAGO, May 16, 2019
-- The U.S. Department of Transportation (DOT) today announced that United Airlines was tentatively granted a total of four daily nonstop flights to Tokyo Haneda Airport (HND). The slots will be allocated for flights from United's hubs at Newark Liberty International Airport (EWR), Chicago O'Hare International Airport (ORD), Washington Dulles International Airport (IAD) and Los Angeles International Airport (LAX). Pending completion of an aviation agreement between the U.S. and Japanese governments later this year, the flights are expected to begin service by the summer of 2020.

"As the largest U.S. carrier to Asia, we are excited to see we were granted additional slots to Haneda to help more Americans travel between our nation and Japan's capital city, which will offer our customers an unparalleled experience while maximizing choice," said United Airlines President Scott Kirby. "We would like to thank the U.S. Department of Transportation for its work in reviewing our proposal and advocating for what is best for the American public and for our economy. We also recognize the efforts of the U.S. State Department's work with the DOT to enable additional service at Haneda."

Together, the flights from these U.S. mainland hub cities will connect Tokyo Haneda with:
  • The U.S.'s largest metropolitan area and center of finance and commerce, Newark/New York;
  • The most important logistics and transportation hub in the Midwest, Chicago;
  • The seat of the U.S. federal government, Washington, D.C.; and
  • Additional U.S. carrier service in the largest U.S. mainland - Tokyo market at Los Angeles.
This announcement will strengthen United's broad-based and end-to-end network between the United States and Japan. United's proposed flights to Haneda would allow U.S. consumers to make connections to 37 points in Japan via United's joint venture partner All Nippon Airways (ANA), strengthening United's existing comprehensive network. Throughout this proceeding United has been the only U.S. airline to recognize the unique benefits that Tokyo Haneda and Tokyo Narita offer to the traveling public.


Only United has committed to providing service to both Tokyo airports from regions across the United States. United has proven its long-term commitment to Tokyo as a key gateway in Asia, serving Tokyo from all seven of its U.S. mainland hubs. United also serves 31 markets in the Asia/Pacific region, more than any other U.S. carrier, and has successfully launched 11 new nonstop flights from the U.S. mainland to destinations throughout the Asia/Pacific region since 2014.
United Applies to Serve Tokyo Haneda from Six Leading U.S. Hubs Where Demand Is Highest

Proposed daily nonstop flights from hubs at Newark Liberty, Chicago O'Hare, Washington Dulles, Los Angeles International, Houston George Bush and Guam will maximize choice and convenience for U.S. consumers and businesses

CHICAGO, Feb. 21, 2019
-- United Airlines announced today it has filed an application with the U.S. Department of Transportation (DOT) for a total of six daily nonstop flights to Tokyo Haneda Airport (HND) from Newark Liberty International Airport (EWR), Chicago O'Hare International Airport (ORD), Washington Dulles International Airport (IAD), Los Angeles International Airport (LAX), Houston George Bush Intercontinental Airport (IAH) and Guam's A.B. Won Pat International Airport (GUM). Pending completion of an aviation agreement between the U.S. and Japanese governments later this year, and slots awarded by DOT, the flights are expected to begin service by the summer of 2020.

United has presented a proposal maximized to meet consumer demand and benefit U.S. travelers. Together, the flights from five U.S. mainland hub cities and Guam will connect Tokyo Haneda with 112 U.S. airports, representing approximately two thirds of U.S.-Tokyo demand, or more than three million annual Tokyo bookings. With United's proposed routes representing five of the six largest metropolitan areas in the U.S. mainland and a combined population of nearly 56 million, the new flights requested in this proceeding will provide consumers with more choices and more convenient options when selecting Tokyo Haneda for their travel plans.

"If awarded by the DOT, these new nonstop flights would expand United's best-in-class Japan route network to better meet demand from U.S. consumers and businesses," said United Airlines President Scott Kirby. "Tokyo is a hub of 21st century global commerce and innovation and one of the world's most popular tourist destinations. Today's filing demonstrates United's unparalleled commitment to helping more Americans travel between our nation and Japan's capital city. Our proposed flights to Tokyo Haneda will offer an unrivaled experience and maximize choice and convenience for our customers traveling between the United States and Tokyo for the Olympic Games Tokyo 2020 and beyond."

United's proposed daily flights from Newark/New York, Los Angeles and Guam would supplement the airline's existing daily flights between those hubs and Tokyo's Narita International Airport (NRT), while United would shift existing daily nonstop Chicago, Washington D.C. and Houston flights from Tokyo Narita to Tokyo Haneda.United's application will also support American businesses and help grow the U.S. economy by offering direct flights from key business, government and cultural hubs where demand for flights to Haneda, the closest airport to central Tokyo, is the highest. With these new flights in place, United would provide Haneda service from:
  • The largest market for travel demand between the U.S. mainland and Tokyo (Los Angeles);
  • The two largest markets for travel demand between the East Coast and Tokyo (Newark/New York and Washington, D.C.);
  • The two largest markets for travel demand between the central U.S. and Tokyo (Chicago and Houston); and
  • Guam, a market with significant travel demand from a Japanese tourist base that is critical to the island's tourism industry, economy and job market.
United's proposal would help realize the full potential of these new routes for U.S. consumers and businesses by expanding United's broad-based and end-to-end network between the United States and Japan.

United's proposed flights to Haneda would allow U.S. consumers to make connections to 37 points in Japan via United's joint venture partner All Nippon Airways (ANA), strengthening United's existing comprehensive network when combined with nonstop or single-connection service from 112 U.S. airports.

United has proven its long-term commitment to Tokyo as a key gateway in Asia, serving Tokyo from 100 percent of its U.S. hubs. United also serves 31 markets in the Asia/Pacific region, more than any other U.S. carrier, and has successfully launched 11 new nonstop flights from the U.S. mainland to destinations throughout the Asia/Pacific region since 2014.United's application is in response to the U.S. DOT instituting a competitive route proceeding to allocate slot pairs, with today's application filed under DOT proceeding # DOT-OST-2019-0014. For more information about United's bid, please visit www.UnitedToHaneda.com.
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UA applies for 6x additional HND slots - UA gets EWR, ORD, IAD, LAX

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Old May 10, 2019, 11:33 am
  #136  
 
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Originally Posted by EWR764
I think UA is going to score at least 3: EWR, ORD, IAD, which comprise its "first priority". I could see an award of AA/3 (DFW/LAX/LAS), UA/3 (EWR/ORD/IAD), DL/4 (SEA/DTW/ATL/PDX), HA/2 (HNL #2/#3). If UA wins 4, LAX joins the list.
I think that is optimistic but not unrealistic. DOT has preferred Delta for these slots, despite their lag in utilizing slots, because Delta doesn't have a Japan partner. This new slot competition is different and Japan wants more US carriers for the Olympics but I think DOT still prefers to use this to allow Delta a better foothold at HND. I also wouldn't discount GUM given the number of Japanese visitors that go to the island.

Though NRT will remain a vital transfer point in the Pacific network with the NH joint venture even if UA's entire HND portfolio is granted (unlikely), so a Polaris lounge might still makes sense depending on what kind of fees UA can negotiate for partner visits. Reportedly, PVG and TLV are under consideration for international Polaris Lounges, but there are regulatory and facility hurdles that make them less likely. I'd expect to sooner see one at Denver, and I have no prediction for that.

Interestingly, it was pointed out to me a few years ago that CUN is UA's highest-traffic (in terms of passenger numbers) international station, and there are (obviously) no plans for a lounge of any sort there.
Your point here begs the question - why not look at a joint *A lounge that is more like Polaris at NRT? Why not bring NH into the project to share costs?
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Old May 10, 2019, 12:27 pm
  #137  
 
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Originally Posted by mh3265a
I think that is optimistic but not unrealistic. DOT has preferred Delta for these slots, despite their lag in utilizing slots, because Delta doesn't have a Japan partner. This new slot competition is different and Japan wants more US carriers for the Olympics but I think DOT still prefers to use this to allow Delta a better foothold at HND. I also wouldn't discount GUM given the number of Japanese visitors that go to the island.
I agree, but after the last few rounds of HND slot application proceedings, UA anticipated a scenario in which only a handful of slots are awarded and prioritized its selections in the order of EWR, ORD, IAD, LAX, IAH, GUM. I see no reason why the DOT would arbitrarily make selections against that preference.

I admit my bias but think UA offers the most compelling argument for its HND application, especially in view of the fact that Delta has struggled with every one of its HND awards since 2010, and United is unique in that it is the only airline that has consistently operated the same service since its slots were awarded. I don't think the DOT should be in the business of favoring Delta in a weak market: they've consistently drawn down their Tokyo presence and there's no reason for the DOT to prop up Delta against proposals that objective offer greater benefits to the US consumer.

Your point here begs the question - why not look at a joint *A lounge that is more like Polaris at NRT? Why not bring NH into the project to share costs?
I think that makes a lot of sense.
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Old May 10, 2019, 12:42 pm
  #138  
 
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Originally Posted by mh3265a
Your point here begs the question - why not look at a joint *A lounge that is more like Polaris at NRT? Why not bring NH into the project to share costs?
Given that NH hub is NRT, they probably want to have their own lounge to control the passenger experience. A UA-operated *A lounge is possible, but in my experience, the *A lounges are pretty bad (GRU, EZE, CDG) compared to a UA Polaris lounge. Even at LAX, I would spend time at UA Polaris lounge than in TBIT *A lounge. I think it would be better to have NRT Polaris lounge, and then all the F or *G can go to the 2 NH lounges.

Even if UA gets EWR/ORD/IAD-HND, they will still have EWR/IAH/SFO/LAX/DEN/HNL-NRT around 300 J seats out of NRT. As comparison, LAX only has 240 scheduled J seats + connecting/arriving Polaris passengers.

As for any lounge in HND, I'm not sure the international terminal has enough space for any new lounge. Even the contract lounge used by DL doesn't allow elites in.
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Old May 10, 2019, 1:06 pm
  #139  
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I'm not sure there is really anything wrong with the lounge situation at NRT.. honestly the UC is almost as nice as a PL (without sit-down dining I guess), plus the NH lounges are nice.
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Old May 10, 2019, 2:48 pm
  #140  
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Originally Posted by findark
I'm not sure there is really anything wrong with the lounge situation at NRT.. honestly the UC is almost as nice as a PL (without sit-down dining I guess), plus the NH lounges are nice.
Disagree. NRT United Club doesn't come close to Polaris Lounge quality in bar service, buffet food, shower suites, sleep rooms, etc.
It is much nicer than domestic United Clubs, but Polaris is a step above.
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Old May 10, 2019, 2:55 pm
  #141  
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Originally Posted by goodeats21
Disagree. NRT United Club doesn't come close to Polaris Lounge quality in bar service, buffet food, shower suites, sleep rooms, etc.
It is much nicer than domestic United Clubs, but Polaris is a step above.
Hmm.. maybe I need to visit a PL that isn't SFO
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Old May 10, 2019, 3:10 pm
  #142  
 
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UC + NH lounges at NRT are almost as nicely as a PL. But I only visited a NH lounge and skipped the UC part most of the time.
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Old May 10, 2019, 3:44 pm
  #143  
 
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Originally Posted by Kmxu
UC + NH lounges at NRT are almost as nicely as a PL. But I only visited a NH lounge and skipped the UC part most of the time.
NH lounges in NRT and HND are basically standing-only during the morning/evening connection rush hour. At least with Polaris lounges there are lots of seats. Maybe space will free up if UA gets the ORD/IAD/IAH-HND slots and shift those flights out of NRT.
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Old May 10, 2019, 3:45 pm
  #144  
 
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Unless the Japanese government reverses course and opens up HND completely, NRT will always be a vital airport and will continue to see lots of service. It will not become LGW, a secondary airport nobody really wants to fly to except LCC’s and smaller airlines who can’t get LHR slots.
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Old May 11, 2019, 6:29 am
  #145  
 
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Originally Posted by EWR764
I agree, but after the last few rounds of HND slot application proceedings, UA anticipated a scenario in which only a handful of slots are awarded and prioritized its selections in the order of EWR, ORD, IAD, LAX, IAH, GUM. I see no reason why the DOT would arbitrarily make selections against that preference.

I admit my bias but think UA offers the most compelling argument for its HND application, especially in view of the fact that Delta has struggled with every one of its HND awards since 2010, and United is unique in that it is the only airline that has consistently operated the same service since its slots were awarded. I don't think the DOT should be in the business of favoring Delta in a weak market: they've consistently drawn down their Tokyo presence and there's no reason for the DOT to prop up Delta against proposals that objective offer greater benefits to the US consumer.
I don't disagree about DOTs actions. They really should award based on a carrier's ability to execute the route to the "maximum benefit" of consumers. And I also agree that Delta and AA have had a really hard time executing the routes they've been awarded in the past. UA is well positioned to benefit from HND's quasi-liberalization but I really think DOT will try to make sure there is balance and that hurts UA and AA who have partners who fly codeshares out of HND.

Originally Posted by hirohito
Given that NH hub is NRT, they probably want to have their own lounge to control the passenger experience. A UA-operated *A lounge is possible, but in my experience, the *A lounges are pretty bad (GRU, EZE, CDG) compared to a UA Polaris lounge. Even at LAX, I would spend time at UA Polaris lounge than in TBIT *A lounge. I think it would be better to have NRT Polaris lounge, and then all the F or *G can go to the 2 NH lounges.

Even if UA gets EWR/ORD/IAD-HND, they will still have EWR/IAH/SFO/LAX/DEN/HNL-NRT around 300 J seats out of NRT. As comparison, LAX only has 240 scheduled J seats + connecting/arriving Polaris passengers.

As for any lounge in HND, I'm not sure the international terminal has enough space for any new lounge. Even the contract lounge used by DL doesn't allow elites in


True the *A lounges are not great. LAX is nice but truly packed. They could start a new model that is better but that's not the direction we're headed. It will be interesting to see what, if anything, NH does to up its lounge game. The Polaris Lounge will blow the NH Business Lounge out of the water but is more on par with the Suites Lounge.
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Old May 11, 2019, 7:15 am
  #146  
 
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Originally Posted by mh3265a
I don't disagree about DOTs actions. They really should award based on a carrier's ability to execute the route to the "maximum benefit" of consumers. And I also agree that Delta and AA have had a really hard time executing the routes they've been awarded in the past. UA is well positioned to benefit from HND's quasi-liberalization but I really think DOT will try to make sure there is balance and that hurts UA and AA who have partners who fly codeshares out of HND.



True the *A lounges are not great. LAX is nice but truly packed. They could start a new model that is better but that's not the direction we're headed. It will be interesting to see what, if anything, NH does to up its lounge game. The Polaris Lounge will blow the NH Business Lounge out of the water but is more on par with the Suites Lounge.
Is there evidence from the past suggesting the DOT will favor a carrier which doesn't have an alliance partner at the airport in question when awarding slots?
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Old May 11, 2019, 2:59 pm
  #147  
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Originally Posted by JimInOhio
Is there evidence from the past suggesting the DOT will favor a carrier which doesn't have an alliance partner at the airport in question when awarding slots?
DOT keeps giving DL space at HND even though their routes have been cancelled/underperformed in the past.
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Old May 11, 2019, 9:41 pm
  #148  
 
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The problem with giving UA a large share of new slots is that the UA/NH JV is already the dominant player in the US-Japan market by a long shot. Looking at the top six US metro areas, they have a monopoly on nonstop service from two (DC and Houston) and a dominant route/schedule offering out of three (NY, LA and Chicago). They are also dominant out of the Bay Area. Assuming that NH will get six HND slot pairs to add to the routes they already operate, giving even a "fair" share of three slot pairs to UA is likely to make the competitive balance even more out of whack.
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Old May 12, 2019, 9:15 am
  #149  
 
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Originally Posted by joejones
The problem with giving UA a large share of new slots is that the UA/NH JV is already the dominant player in the US-Japan market by a long shot. Looking at the top six US metro areas, they have a monopoly on nonstop service from two (DC and Houston) and a dominant route/schedule offering out of three (NY, LA and Chicago). They are also dominant out of the Bay Area. Assuming that NH will get six HND slot pairs to add to the routes they already operate, giving even a "fair" share of three slot pairs to UA is likely to make the competitive balance even more out of whack.
And this is why I think the GUM request may get granted because while UA is dominant they have no current access to HND and it opens Micronesia to HND as well. I could see IAD being granted for the Capital-to-Capital argument but that's just pure speculation.
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Old May 12, 2019, 11:17 am
  #150  
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I feel like there's demand and price support to do both the existing UA metal IAD-NRT and the NH metal on the same, plus a UA IAD-HND. But what do I know?
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