FAA Suspends Flights Auction At Newark Airport

August 29, 2008 3:10 p.m. EST

Newark, NJ (AHN) - Key stakeholders of the Newark Airport rejoiced after the Federal Aviation Administration suspended its planned auction for flight slots at the New Jersey airport.

Bloomberg reported Thursday that the FAA is reviewing airline complaints filed in a joint petition last August 26, which claim that the sale is illegal.

Complaining airlines were Continental, US Airways, United, Delta and Northwest, and the Air Transport Association. Supporting the complaint was The Port Authority of New York and New Jersey, which operates the airports.

The suspension was a setback for Transportation Secretary Mary Peters who is lobbying for the bids to open up competition and development at New York area airports, the country's busiest and most congested.

Peters' initiative is also seen to improve the airline industry, which will trigger upgrades in carrier fleet especially the use bigger airplanes, improve services and rollback air fares.