THE PORT AUTHORITY OF NY & NJ

Press Release Article


PORT AUTHORITY EXPANDS AIRLINE INCENTIVE PROGRAM AT STEWART INTERNATIONAL AIRPORT

Date: Feb 10, 2012
Press Release Number: 23-2012

Placing a renewed emphasis on attracting new airlines and routes at Stewart International Airport, the Port Authority Board of Commissioners approved a financial incentive program that waives certain fees for carriers, provides marketing support and makes Stewart an attractive alternative gateway to the New York metropolitan region.

This latest action complements the recent approval by the Board of a $20 million expansion of Stewart along with planned runway rehabilitation work, and further reaffirms the Port Authority’s goal of establishing Stewart as a strong regional airport and economic engine for the mid-Hudson Valley. After Stewart was hard-hit by the economic downturn, it began to rebound in 2011 with a 4.6 percent increase in passengers, up to 413,815 air travelers last year. Building on momentum established through previous incentives, the Board’s action seeks to expand the global reach of the program by offering enticements aimed at low-cost carriers flying longer-haul international routes. Financial incentives will be offered for airlines that institute new nonstop service to destinations not currently served by Stewart, with certain fees and rental costs waived by the Port Authority. Additionally, the agency will pay for marketing and advertising support to publicize any new routes.

The Port Authority will pay up to $3 per departing seat offered by airlines on new nonstop routes, with the total benefit not to exceed $250,000 for international routes and $150,000 for domestic routes in the first full year of nonstop service. Additional incentives would be provided in the second year of service.

These incentives will help Stewart enhance air services, generate competitive fare and flight options, and help reduce congestion at other Port Authority airports. Costs to the Port Authority with this program are anticipated to be offset with the additional revenue generated by the added flights and passenger traffic.

Port Authority Chairman David Samson said, “An incentive program at Stewart International Airport will bring in more airlines, helping to spur regional activity and regional growth. “The agency took over the airport four years ago with a commitment to invest in future growth and we are delivering.”

Port Authority Executive Director Pat Foye said, “In these difficult economic times, the Port Authority is working hard to create programs that will incentivize airlines to fly out of Stewart International Airport and truly help make it a regional aviation gateway. This program is structured so that the Port Authority spends only when new flights are committed at Stewart International Airport.”

Port Authority Deputy Executive Director Bill Baroni said, “With a plan in place for terminal expansion and runway rehabilitation at Stewart International Airport, this incentive program is one more step the Port Authority is taking to provide more options for air travel in the region.”

CONTACT:
Port Authority of New York and New Jersey
Ron Marsico or Justine Karp, 212 435-7777

The Port Authority of New York and New Jersey, which does not receive tax dollars from either state, operates many of the busiest and most important transportation links in the region. They include John F. Kennedy International, Newark Liberty International, LaGuardia, Stewart International and Teterboro airports; AirTrain JFK and AirTrain Newark; the George Washington Bridge and Bus Station; the Lincoln and Holland tunnels; the three bridges between Staten Island and New Jersey; the PATH (Port Authority Trans-Hudson) rapid-transit system; Port Newark; the Elizabeth-Port Authority Marine Terminal; the Howland Hook Marine Terminal on Staten Island; the Brooklyn Piers/Red Hook Container Terminal; the Port Authority-Port Jersey Marine Terminal and the Port Authority Bus Terminal in midtown Manhattan. The agency also owns the 16-acre World Trade Center site in Lower Manhattan.