AirTran officials say if the Wright Amendment were lifted, the airline would explore flying into Love Field, while also still serving Dallas/Fort Worth Airport where it has the largest low-fare operation.
Discount carrier AirTran Airways would consider service at Dallas Love Field if the Wright Amendment were lifted, executives said Tuesday.
Love's location near the heart of Dallas could be an advantage for AirTran, said Stan Gadek, the airline's chief financial officer. The airline offers service at Dallas/Fort Worth Airport and has the largest low-fare operation there, with flights to six cities.
"Love is an interesting location, and it's the type of thing we'd look at if that opportunity presented itself," Gadek said in an interview. "We're always on the lookout for new opportunities."
Gadek's comments echoed the statements made earlier in the day by Robert Fornaro, president and chief operating officer of the Orlando, Fla.-based airline.
"Love Field is a great airport," he told analysts during a conference call. "We'd be interested in flying there as well."
Gadek said AirTran would likely serve both airports, rather than shift service from D/FW to Love. He said the airline operates in dual airports in several markets, including Washington, D.C.
"With the population base heavy in both Fort Worth and Dallas, I think we could do well at both airports," he said.
The Wright Amendment, which dates to 1979, restricts flights from Love to states that border Texas. A subsequent law expanded the amendment to allow flights to Alabama, Kansas and Mississippi. Southwest Airlines, which operates about 97 percent of flights at Love, is waging a battle in Congress to repeal the amendment and allow flights to any city.
Southwest spokesman Ed Stewart said his airline would welcome competition from AirTran. "That's beautiful," he said. "We have nothing but love for AirTran."
But officials with D/FW Airport called the notion "scary" and said that lifting the restrictions could shift countless flights from D/FW to Love.
"This confirms our worst fears that a Wright repeal would weaken D/FW," said Joe Lopano, D/FW's executive vice president of marketing.
A study commissioned by the airport this year concluded that discount carriers would likely favor Love over D/FW if given the choice.
And executives with American Airlines, which operates its largest hub at D/FW, have long said that they would move hundreds of daily flights to Love if the amendment is overturned.
But other studies, including one paid for by Southwest, have maintained that most service would remain at D/FW. And some analysts, have publicly doubted that American would cut into its D/FW operation, which is the center of its global network and a significant source of revenue.
"Anyone who thinks American Airlines is bluffing should listen to what AirTran has to say," Lopano said.
He worried that low-fare airlines that don't serve North Texas, such as JetBlue Airways and Spirit Airlines, might bypass D/FW entirely and fly solely out of Love if given the opportunity.
Regardless of what happens with the Wright Amendment, AirTran's executives acknowledge that they aren't likely to grow at D/FW anytime soon.
That's because AirTran and American are locked in a fierce battle on the six routes where the airlines compete. American has lowered fares not only on those routes, but also on flights to nearby destinations, particularly in the Los Angeles region.
"Things are still pretty competitive with American," Gadek said. "We're planning to stay where we're at for the time being."
AirTran has had no difficulty attracting passengers, he said, but "the challenge has been on the price side."
AirTran reported an $11 million profit for the second quarter Tuesday, down about 32 percent compared with the same period last year.
Like most carriers, AirTran has been struggling with high fuel prices. Still, the airline continues to grow quickly -- its traffic was up 34 percent during the quarter. And its profit, while down, beat Wall Street estimates.
That helped push AirTran's stock (ticker: AAI) up 75 cents, or 7 percent, Tuesday, closing at $11.25.
