Denver Airport Plans to Pay United Airlines $10 Million for Gates

Jul. 29--Denver International Airport plans to pay United Airlines $10 million to recover two gates the carrier had leased on DIA's Concourse A.

To reacquire the gates, DIA will give United a one-time $10 million credit on what the airline pays for the automated baggage system at the airport, said DIA co-manager Vicki Braunagel.

When DIA, United and Frontier Airlines signed a comprehensive airport lease deal in late 2003, United agreed to let Frontier sublease the Concourse A gates on a temporary basis.

By reacquiring the gates, DIA can regain full control of the assets, Braunagel said, and make them available to others. Frontier has inquired about leasing the gates, she added.

DIA also has agreed to buy and install nine jet bridges for loading United passengers on planes at a new regional jet terminal the airport will build for the carrier at the east end of Concourse B. The loading bridges will cost a total of about $3 million.

In addition, the airport has agreed to make baggage system improvements for United costing up to $9 million to better handle the flow of oversized bags from ticket counters to baggage tugs and carts, Braunagel said.

United said it will pay for the jet terminal, loading bridges and baggage system improvements through rentals, rates, fees and charges.