American Airlines Says 'Secret' Deal Made In O'Hare Expansion

CHICAGO, IL — American Airlines has issued a statement opposing Chicago's $8.5 billion O'Hare airport expansion. The airline alleges the city added a "secret provision" at the "last minute" for United Airlines to receive more gates. American Airlines said the deal would hurt competition.

"American Airlines is excited about seeing O'Hare transformed into an airport that sets the global standard in airline passenger experience and efficient operations," American Airlines said in a statement. "And, after 18 months of multi-lateral, transparent negotiations, we were looking forward to supporting the new lease. But American cannot sign the lease in its current form because of a secret provision, inserted at the last minute, awarding additional gates to United."

The city could not be immediately reached for comment Wednesday.

At the end of last year, aldermen and Mayor Rahm Emanuel passed an ordinance increasing airlines' airport fees and charges if the current 35-year lease expires in May without a new one already in place. The ordinance was designed to push airlines to reach an agreement on a new lease before then to avoid paying higher fees.

American Airlines said it's "willing to compromise."

"Indeed, since learning of the United gate deal less than two weeks ago, American has sought to re-level the playing field by urging the City to accelerate the construction of the three additional gates, and award those to American," the airline stated. "To date, the City has dismissed that approach without explanation. We encourage city leaders to fix the lease and ensure competition remains vibrant at O'Hare."

The current 35-year lease gives American and United veto power over most improvements and changes at O'Hare, which has caused clashes between the two airlines.

"Today, Chicago is extraordinarily well positioned with three carriers operating hubs and competing aggressively against each other," American Airlines said in a statement. "However, the United gate deal would undermine competition, allowing the largest airline at O'Hare to expand its size advantage for years into the future. Thus, the United gate deal creates a clear winner, United, and clear losers: competition, Chicago travelers and American Airlines."

Emanuel submitted the eight-year O'Hare expansion project plan to city council. The plan includes a new global hub that would replace Terminal 2, and new underground walkways to connect two satellite terminals. The plan would also increase gate numbers by 25 percent, expanding Terminals 1, 2 and 5.

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