United expects flight issues at Newark to ease, may need to cut more flights

By David Shepardson

NEW YORK (Reuters) - United Airlines on Tuesday said it expects flight issues to ease at Newark Liberty International Airport in the coming weeks as runway construction concludes and the Federal Aviation Administration considers cuts to the schedule.

The Chicago-based airline, which has borne the brunt of the airport’s recent chaos, also sought to reassure customers after three telecommunications incidents involving Newark air traffic have shaken public confidence. The airport is located about 9 miles (14.5 km) from Manhattan.   

United shares were up 4% at $81.80 on Tuesday afternoon.

United said on May 2 it would begin canceling 35 flights a day - or about 10% - at its Newark hub to take it to about 293 flights a day, down from its traditional amount of 440 flights a day from Newark.

United’s chief commercial officer, Andrew Nocella, told reporters the airline may need to cut a few additional flights at Newark and that it was not yet clear when it could resume those 35 flights cancelled earlier this month.

Nocella emphasized that daily runway construction is set to end on June 15. Earlier this spring, the airport had a better on-time rate than other New York airports.

"This construction will be over in just a few short weeks and we’ll be back to on-time again," Nocella said.

Fewer passengers are booking at Newark because there is currently less capacity there.

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The FAA plans to hold a two-day meeting starting on Wednesday on temporary flight reductions, a move United has urged. Nocella said he expects the FAA will limit flights to 68 per hour, down from 77 per hour, at certain times at Newark. "That is going to make sure that Newark is on-time," Nocella said.

United on Monday sent emails to 3.7 million New York-area customers and passengers with upcoming Newark flights, seeking to ease their concerns about safety. "The truth is that all these flights in and out of (Newark) are absolutely safe," United CEO Scott Kirby (NYSE:KEX) said in the email.

Kirby reiterated on Tuesday that he believes it is safe to fly out of Newark. "It is and absolutely always will be safe," Kirby said.

He spoke at an event where United displayed upgraded interiors for new Boeing (NYSE:BA) 787-9 jets.

Low air traffic control staffing for Newark resulted in average delays of more than two hours on Monday, with 25% of all flights delayed and 87 canceled, according to data provider FlightAware. Some flights were delayed by more than six hours.

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