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The Impact of COVID-19 on Airport Leases

In these unprecedented times, airlines are exerting more pressure than ever on airport rates and charges, use of CARES Act funds to reduce the obligations on airlines, airport expense control, and access to airport discretionary revenue. At the same time, airports are being negatively impacted by reduced landed weight, passengers, concession and paring revenue, as well as PFC and CFC revenue. All the Legacy and some ULCC airlines have indicated that they will come out of this downturn as smaller airlines and have already announced significant fleet modifications when this happens. These changes will have a direct impact on lease terms and conditions going forward.

Moderator:

Shawn Dobberstein, A.A.E.
Executive Director, Hector International Airport

Shawn is an accredited airport executive with the American Association of Airport Executives (AAAE). He is a graduate of North Dakota State University with a degree in Animal Science, a minor in Agricultural Economics and a Masters in Business Administration.  Shawn began his airport administration career in 1991 as the Assistant to the Executive Director at Fargo’s Hector International Airport. Shawn was hired as the Executive Director in January 1997. He continues to be active in the airport industry by serving on a number of committees at the state and federal levels. He is active within the airport industry serving on a number of committees that support airports across the country. He is currently the President of the Great Lakes Chapter of AAAE.

Speakers:

John DeCoster
Associate Vice President, Landrum & Brown

John has been in the industry since 1995 when he joined Northwest Airlines as Regional Director, Airport Affairs responsible for Minneapolis-St. Paul and the Midwest region. Before his retirement on in 2007, John was responsible for over 150 airports in the Midwest region, West region, and Canada. In 2007, John joined Trillion Aviation as Senior Vice President and remained with Trillion until 2018 when Trillion was acquired by Landrum & Brown. John is the Minneapolis office leader and the Business Services practice leader at L&B and maintains a diverse customer base of small and medium sized airports. John has BS degree from Kansas State University and an MBA from the University of St. Thomas.

LJ Marciano
Senior Managing Consultant, Landrum & Brown

L.J. joined Northwest Airlines in 1997 upon completing his BA and MBA at the University of Rochester in Rochester, NY.  He gained vast experience in a variety of airline disciplines from revenue management to operations before joining the Airport Affairs department as a Regional Director.  LJ’s airport profile covered the Midwest, Canada and Mexico before assuming responsibility for the Western region.  After the merger with Delta, L.J. accepted a leadership role in Delta’s Supply Chain Management department and stayed in that department until he retired in 2014.   L.J. joined Global Aviation Services, a provider of GSE maintenance, as their Director of Supply Chain and Corporate Real Estate.  He did one more stint at an airline as the Senior Director of Properties, Facilities and Airport Affairs at Sun Country before joining Landrum & Brown as a Senior Managing Consultant. 

The Impact of COVID-19 on Airport Leases
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