Chicago, Airlines Strike Deal to Continue Expanding O’Hare

After a long and bitter debate, a partial deal has been reached to continue expansion of O'Hare International Airport.

It took the federal government to mediate negotiations between the City of Chicago and United and American Airlines, the biggest carriers at O'Hare. For now, the newly announced $1.17 billion dollar agreement funds parts of the O'Hare Modernization Program, including rerouting roads and installing a runway on the airport's South Side.

The airlines had long said that O'Hare isn't busy enough to warrant an expansion, but United CEO Jeff Smisek says U.S. Secretary of Transportation Ray LaHood helped changed his mind.

"Do we need this runway today? Of course not. But we do believe that with time, we will and we're willing to help fund our portion," Smisek said.

When asked what the city gave up to move negotiations forward, Mayor Richard Daley would only say, "I'm not gonna mention it."

Negotiations over the rest of the expansion are expected to resume in two years.