At least United is getting out from under this big mess. They are still going to pay the price though:
United will still have to pay $60 million a year under its lease contract for the automated system with the city, United spokesman Jeff Green said. The contract will last for approximately 25 years.
They better renegotiate this thing as soon as possible because they are paying $60 million for nothing at all. The City of Denver is down a bunch on this deal as well:
The $250 million automated system was intended to be a cutting-edge model but turned into a major problem for DIA, one of United's hubs. The city, which owns the airport, spent an additional $100 million for construction and $341 million in interest to try to get it to work.
I guess screw-ups like this is why United is in Chapter 11 right now. United and Denver also looks to have been fleeced by BEA Systems who charged a bunch to install the thing and then even more to get the thing to work right. I guess this is more tech bubble hubris coming home to roost.
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