Tarmac rule influenced cancellation decision for US airlines, revenue loss now at USD176 mln

The first acknowledgment that the new US Department of Transportation tarmac rule forced the cancellation of flights during February’s back-to-back 'snowpacalypses' came from Continental CEO Jeff Smizek yesterday when he let go a passionate diatribe against the government. In response to a question about whether he expects any change in the government helping airlines in terms of taxation or other initiatives, Smizek was frank in his remarks before the JP Morgan Aviation, Transportation and Defense Conference. [1417 words]

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This report contains the following subheadings:

• Outmoded air traffic management system
• Losses not material at USD176 million?
• Impact of Kennedy closure