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United drops Cleveland as hub, cuts almost 500 jobs

Monday, 3 Feb 2014 | 8:33 AM ET

United Airlines says it will drop its money-losing flight hub in Cleveland, slashing its daily flights and eliminating 470 jobs.

The company's CEO Jeff Smisek says in a letter to employees that the Cleveland hub has not been profitable in over a decade and has lost the company tens of millions of dollars in recent years.

Beginning in April, Chicago-based United will begin phasing out Cleveland as a connection for fliers coming from other airports around the country. As a result, its daily departures from the city will fall from 199 to 72 by June.


Southwest awarded slots at Reagan National
CNBC's Phil LeBeau reports the FAA has awarded Southwest Airlines 54 slots at Reagan National Airport.

Similar cutbacks have a affected many other small hubs in cities such as Memphis, Cincinnati and Salt Lake City amid a wave of airline mergers over the last five years.

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