The City of Chicago and Signatory Airlines serving Midway Airport have embarked on a $900 million Capital Improvement Program that has a new terminal development as its cornerstone. The program will replace the existing terminal facility with a new terminal building, parking structure and 41 gate concourse, including complete ramp replacement, hydrant fueling, roadway, and infrastructure improvements.

AvAirPros was retained by the Signatory Airlines to represent the collective interests of the airlines through their Airport Affairs Committee and Airline Technical Committee members in matters of strategic, business, legal, financial, and technical coordination during the negotiation, planning, and development phases of the program and negotiation of a new airport use agreement. In addition, AvAirPros worked closely with the City of Chicago and the Airlines in securing an FAA Letter of Intent grant of over $130 million.

In order to provide airline equipment and systems, the Signatory Airlines have also formed an airline consortium, Midway Airlines Terminal Consortium (MATCO). AvAirPros is administering, on behalf of MATCO, $54.0 million in airline systems and equipment. This role requires providing direction to engineers and contractors as it relates to the design, procurement, installation and start-up of various airline systems including pre-conditioned air systems, aircraft ground power-400Hz system, passenger loading bridges, potable water cabinets, baggage handling systems, MUFIDS, battery charging, security checkpoint equipment, and aircraft fueling systems.

As the liaison to the City of Chicago, AvAirPros has worked closely with the Department of Aviation and the City's financial advisors to implement the Midway financial plan in a manner which minimizes airline rates and charges while preserving the City's ability to finance ongoing noise mitigation and other projects in response to increasing airport activity. With this coordinated approach, current airport costs are approximately 20% below forecast with the expectation that this trend will continue through the foreseeable future.

The AvAirPros participation in the process has served to maximize City/Airline coordination on financial and technical matters, provide detailed analysis/reviews of City policies and contract documents, and ultimately preserve the low cost structure of the airport required by the type of airlines that serve Midway Airport.

For additional information, please contact Steven P. Chivington at s.chivington@avairpros.com
Based in Atlanta office

Updated: Wed Aug 10 11:48:35 2005

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