Salt Lake City-Tokyo flights get $250,000 nudge

Published: Friday, Oct. 10, 2008 12:30 a.m. MDT
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It worked with Paris. Maybe it will work with Tokyo.

That was the thinking of a state board that committed money Thursday to help get Delta Air Lines to start direct flights between Salt Lake City International Airport and Tokyo in mid-2009.

The Governor's Office of Economic Development committed $250,000 in Industrial Assistance Fund money, which will be part of a pool of $2 million in cash and marketing help from GOED, the Salt Lake City Department of Airports, Salt Lake County, the Salt Lake Chamber, the state Office of Tourism and the Economic Development Corp. of Utah.

The idea is to help promote the flights, making it economically attractive for Delta to start that service.

"This is incredibly important to the business community," said Jerry Oldroyd, chairman of the board's incentives committee. He said Tokyo flights could open up Korean, Chinese and other Asian markets for Utah businesses, as well as opportunities for businesses there to expand into Utah.

The state money would paid after the first flight. Salt Lake is Delta's second-largest U.S. hub, with 373 flights daily to 114 destinations. GOED board documents indicate that Delta has estimated that the new service could have an overall economic impact of $90 million for Utah and could lead to the creation of 1,100 local jobs.

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The GOED board in August 2007 approved a $250,000 grant to encourage Delta to start direct Salt Lake-to-Paris flights — again, part of pool of money from several agencies to market those flights. That service began in early June. Oldroyd said the flight has been popular, with planes anywhere from 81 percent to 85 percent full this summer.

But how will the pending Delta merger with Northwest Airlines play into any decision about Tokyo?

Jason Perry, GOED's executive director, said Delta representatives had assured local officials that the merger would benefit the state.

"I would expect that when they announce the finalization of that merger that this is the first thing that they announce: the expansion of these hubs and these flights," he said.

E-mail: bwallace@desnews.com

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