FAA to auction slots at Newark airport

NEWARK, N.J., Aug. 5 (UPI) -- Plane rights at New Jersey's Newark Liberty Airport will be auctioned in part to gauge their worth, U.S. Transportation Secretary Mary Peters said Tuesday.

The right to operate a single round trip flight will be auctioned for a five-year lease on Sept. 3, Peters said in a news release.

"This auction will allow us to implement market mechanisms on a small scale, gauge interest and determine a slot's market value," Peters said. "However, the real winners in this auction will be consumers, who stand to benefit from more reliable air service that costs less in terms of both time and money."

The two slots were assigned to Eos Airlines earlier this year, but the airline filed for bankruptcy leaving the slots under the control of the Federal Aviation Administration, which will oversee the auction.

Funds generated from the auction will be used to reduce delays and enhance capacity at New York-area airports, Peters said.