Originating and Destination, I think? I'm not too sure.
Close...Origination/Destination. And you're right, that's why DAL will never make a big push to hub up at SLC.
SLC used to be Western's Denver. Delta, however, did what most legacy carriers do when they buy a West Coast airline...strip the assets and put them into their East/West service.
USAir did it to PSA. American did it to AirCal and Reno.
Latest "rumor" floating around our place started with an email from a Delta Captain. His report from their PIC seminar on Grinstein's comments:
1. Delta is aiming to be the largest carrier out of LAX. The goal is to go gangbusters into Mexico and the Pacific Rim. To do that, you need feed from the West Coast.
2. Western Airlines was way ahead of their time. That said, Delta has stripped all the West Coast feed that Western once had.
3. The best merger partner for Delta is Alaska.
All that from Delta's CEO. Looking at the big picture, it all makes sense. Here's the key points:
1. Alaska provides the feed Delta needs in LAX. Additionally, Alaska is already well established in the LAX-Mexican vacation markets.
2. Delta recently cancelled 30 or so 737-800 aircraft and bought widebodies instead. Alaska has 25 orders and 25 options for 737-800s on the books at Boeing.
3. Alaska's stock is WAY down since last fall, the biggest tumble coming on May 1st. That coincided with the publication of the annual report that included large cash payouts for Alaska Senior Management in the event of a sale of Alaska Airlines.
4. Horizon has been added to many markets (LAX, RNO for example) that were traditionally only served by Alaska. The EMB-190 has been visiting the Horizon ramp in PDX. Given the fact that Alaska and Horizon are two independent operations in the Alaska Air Group each with their own certificate, there is nothing to prevent the sale of one or the other from the Air Group. Senior management could sell Alaska, reap a windfall personal profit and continue to operate Horizon. Theoretically, they could use the EMB-190 to rebuild an Alaska-type operation under the Horizon banner.
The final piece of the puzzle could be the recent tragic loss of Bruce Kennedy, the Chairman Emeritus of the Board of Directors in a plane crash. He was the last remaining individual who engineered the rebirth of Alaska in the 70's and 80's. He was doggedly determined to keep Alaska independent due to his personal "pride in ownership" of the airline. He was the guy who rallied the stockholders and fought off a number of buyout/merger attempts over the years.
All that is kind of a long-winded reason why I can't see Delta building up SLC too much. Not enough O/D, the proximity to their proposed huge expansion in LAX and a possible buyout/merger with Alaska.
