Big money talks for airports when trying to lure airlines
22.05.12
ROCKFORD — Frontier Airlines announced last week it would begin service at Central Illinois Regional Airport at Bloomington-Normal, where business and government leaders had amassed more than $450,000 to lure an airline to replace the one that’s leaving, AirTran Airways.
Great Falls, Mont., has armed itself with hundreds of thousands in cash and other carrots to bring a new airline for its residents. The Great Falls Tribune says Frontier Airlines could soon make a service announcement.
And in Wichita, Kan., $6.5 million in state and local incentives will mean Southwest Airlines will continue service next year when AirTran leaves its market.
Around the country, big money is being put up by regional airports trying to retain or secure air service in an industry disrupted by mergers, acquisitions and bankruptcies.
For Chicago Rockford International Airport, where revenue guarantees and other incentives have long been used to help ensure that an airline makes — or at least doesn’t lose — money flying to and from Rockford, it means more airports competing for fewer routes.
Source: Rockford Register Star