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American Airlines and Dallas Fort Worth International Airport signed a new 10-year use and lease agreement, which includes $4.8 billion in pre-approved capital investments, including the construction of Terminal F.
Other investments include the renovation of Terminal C, construction of gate expansions at Terminal A and Terminal C, and other significant modernization projects.
Fort Worth Mayor Mattie Parker, Dallas Mayor Eric L. Johnson, American Airlines CEO Robert Isom, and DFW Airport CEO Sean Donohue gathered at the airport on Tuesday to mark what the airline is calling a new era of growth and innovation for the world's second-busiest airport.
“We are very proud that Fort Worth-based American Airlines has signed this important agreement to cement DFW’s status as American’s main hub and help us continue to meet the incredible demand we are experiencing in North Texas,” Parker said. “Our region will become the nation’s third largest metro region within the next 10 years, and it’s no surprise that we have the second busiest airport in the world. Today’s agreement ensures DFW Airport is ready for the future and to continue serving as Fort Worth’s gateway to the world.”
The use and lease agreement is the main governing document between the airlines and the airport and establishes the airport’s business model. The agreement outlines major capital projects over the next 10 years. The most significant projects include:
- An estimated $2.72 billion for the expansion of the Central Terminal Area, including a major reimagining of Terminal C, gate expansions extending from Terminal A and Terminal C, and significant upgrades to roadways and terminal access.
- An estimated $1.63 billion for the construction of a new Terminal F, featuring a 15-gate concourse.
The terminal expansions will deliver 24 additional gates to prepare American and DFW for long-term growth. At the completion of construction, American will add new gates in the Terminal A and Terminal C piers to its operating portfolio, according to company officials.
The projects will also allow American to expand operations in existing terminals to maximize its operational capability and enhance the experience for connecting customers. The new agreement will allow American and DFW to work together on additional capital projects throughout the term of the lease.
The new use and lease Agreement replaces the 2010 agreement and maintains many of the same business arrangements as the prior version, which will provide certainty and cost predictability to support the continued growth of American and DFW.
“American is proud to call North Texas home, and DFW is our largest hub and a central gateway to our extensive international and domestic network,” said Isom in a statement. “American has led the growth that has propelled DFW to become the second busiest airport in the world and we are thrilled to finalize a new lease agreement and capital plan that sets the stage for American, DFW, and the North Texas region to continue to grow for years to come. We value our longstanding relationship with DFW and are grateful to Mayor Parker, Mayor Johnson, the DFW Airport Board and Sean for their continued partnership.”
Approximately 85% of the passenger traffic at DFW is customers of American Airlines, with about two-thirds of American’s customers connecting through DFW to access the airline’s global network. American’s creation of a “connection factory” at its largest hub has provided significant benefits to the North Texas community, providing access to more than 240 nonstop destinations out of DFW operated by American. DFW is also home to several of American’s alliance partners, creating a seamless travel experience for customers connecting between partner airlines at DFW.
According to data collected by the airline, American’s total economic impact to Texas is more than $42.7 billion annually, and the airline employs more than 36,000 across the state. Most of those employees call North Texas home. Additionally, American’s operation in Texas contributes to a total employment impact of more than 365,000 jobs in Texas.
“The use and lease agreement not only creates a predictable and equitable business model for DFW Airport, but it also underscores the commitment of the airport and our airline partners to provide passengers with the best possible travel experience," said Sean Donohue, airport CEO. “Our partnership with American Airlines, our largest airline, is stronger than ever. With the support of Robert Isom and the American team, we are making investments that set the stage for the airport of the future — one that prioritizes innovation, customer experience and sustainability.”