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Saturday, November 2, 2024

American Airlines files to terminate air travel services in Sioux City

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American Airlines filed the notice to terminate services as a result of the COVID-19’s impact on the aviation industry. | Stock Photo

American Airlines filed the notice to terminate services as a result of the COVID-19’s impact on the aviation industry. | Stock Photo

American Airlines recently submitted notice to terminate unsubsidized air travel services in Sioux City, Iowa and Joplin, Missouri, according to a release on Sioux City's website.

The airline filed the notice with U.S. Department of Transportation (DOT) under the Essential Air Service (EAS) program to terminate services as a result of the COVID-19 pandemic’s dramatic impact on the aviation industry. This filing was widely anticipated by both the Sioux Gateway Airport Board and the City of Sioux City.

The airline’s filing requests termination of aviation services in both markets 90 days from the date of filing, subject to DOT EAS rules. 

If within 90 days a selection isn’t made, American Airlines would be required by the DOT to continue to serve the two markets and would begin accruing subsidy, as the DOT solicits bids from all carriers interested in serving both markets.

“We were anticipating this filing after significant dialogue with all involved, as it provides a unique path for Sioux City and Joplin to maintain service and provides American Airlines, and ultimately the successful bidder, a clear path toward profitable service without having to rely on a pending act of Congress,” said David Bernstein, president of the Airport Board of Trustees. “We are very lucky that in these very difficult times for the airline industry we have the EAS protection available to our community, as air service is critical for both economic development and quality of life.”

Sioux City is an EAS market which means American Airlines will continue to provide air service to Sioux Gateway Airport uninterrupted while the DOT administers the process of requesting and reviewing airline proposals and finalizing the selection. 

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