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UPDATE: Justice Dept. sues over Delta/United Newark swap

Paul Heymont 11/11/1511:58 AM

The U.S. Department of Justice has sued in U.S. District Court in New Jersey to block Delta and United from swapping their slots at Newark and JFK airports, saying that it is important to preserve competition at Newark. United already controls 902 out of 1233 slots at Newark; no other airline has more than 70.

The suit comes against a background of capacity issues at New York airports; last week a coalition of smaller airlines petitioned the Transportation Department to force the majors to give up slots and make room for them at New York's three airports. For Gumbo's news report, click HERE.

Delta and United had agreed on the swap because United's small presence at JFK has not been profitable, with most of its service concentrated at Newark. Delta is willing to leave Newark to gain more slots at JFK, one of its main hubs.

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