SkyWest Files Complaint Over Dispute With Delta Air Lines
Posted on: Tuesday, 5 February 2008, 12:00 CST
SkyWest has filed a complaint against Delta Air Lines in the superior court of Fulton County, Georgia, related to a dispute under the Delta Connection Agreements entered into between Delta and SkyWest Airlines and Atlantic Southeast Airlines, which are both wholly owned subsidiaries of SkyWest.
The dispute is related to the allocation of liability for certain irregular operations (IROP) expenses that are paid by SkyWest Airlines and Atlantic Southeast Airlines (ASA) to their passengers under certain situations.
SkyWest said that as a result of the dispute, Delta unilaterally withheld a combined total of approximately $25 million from one of the weekly scheduled wire payments to SkyWest Airlines and ASA during December 2007.
According to SkyWest, Delta has also said that it does not believe that the majority of IROP expenses that SkyWest Airlines and ASA have paid on behalf of customers is reimbursable under the Delta Connection Agreements.
Bradford Rich, executive vice president and CFO of SkyWest, said: "Although we and Delta are both committed to maintain a productive and cooperative long-term relationship and remain focused on continued improvements of our Delta Connection operations, we simply have a disagreement over the IROP contract language."
Source: Datamonitor
Related Articles
- Declining Cost of Cabin Electronics Has Forced Previously Skeptical Airlines to Reconsider Passenger Connectivity Services
- Travelong Receives Award From Delta Airlines
- Machinists to Help Delta Airlines' Workers Unionize
- Delta Airlines to Fly New York-Bucharest
- Delta Airlines Partners With Discover for Its Hungarian Sales
- Delta Airlines Hopes to Open New Route Between China, US
- Delta Airlines will cut domestic flights
- Delta Airlines Bankruptcy Would Change Medford, Ore., Airport Service
- Delta to Sell Asa to Skywest
- Delta Airlines Hoping to Curb Spread of Diseases
 |
 |
User Comments (0)
RSS Feeds