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    Southwest Quits Four Airports in Cost-Cutting Drive

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    The airline expects fewer deliveries of Boeing planes than before, and cited “significant challenges” in achieving growth plans because of it.Southwest Airlines is ceasing operations at four airports, and reducing flights from others, in an effort to cut costs after its growth plans were curtailed by fewer than expected plane deliveries from Boeing.The airline, which flies only Boeing 737 planes, said on Thursday that delays from the embattled aircraft manufacturer were behind its struggles. Southwest reported a loss of $231 million for the first quarter, worse than analysts expected, sending its share price down 10 percent in early trading.To cut costs because of its curtailed growth plans, Southwest said it would cease operations at four airports from early August: Bellingham International Airport in Washington State, Cozumel International Airport, George Bush Intercontinental Airport in Houston, and Syracuse Hancock International Airport. It would also “significantly restructure” its flights from other airports, most notably by reducing flights at Hartsfield-Jackson Atlanta International Airport and Chicago O’Hare International Airport.The airline’s woes were another ripple effect of the incident on Jan. 5, when a panel of a Boeing 737 Max 9 jet blew out midair during an Alaska Airlines flight. The event led to the temporary grounding of the popular jet model and a slowdown in production as Boeing has faced increased regulatory scrutiny over its quality control.Southwest said it expected to get 20 new Boeing jets this year, down from the 46 it had previously anticipated. The timing of the deliveries depends on the Federal Aviation Administration, which has capped Boeing’s production while it gets quality issues under control.“The recent news from Boeing regarding further aircraft delivery delays presents significant challenges for both 2024 and 2025,” Southwest’s chief executive, Bob Jordan, said in a statement.The airline said it would limit hiring and end the year with 2,000 fewer employees. It also said it planned to put fewer planes out of service than it previously planned.On Wednesday, Boeing reported a $355 million loss for the first quarter, a steep setback that was nonetheless less than analysts expected.Demand for travel remains robust, and while other airlines are trying to manage the production slowdown at Boeing, Southwest appears more adversely affected than its rivals, many of which also buy planes from Airbus.American Airlines reported a quarterly loss of $312 million on Thursday, but provided a better-than-expected forecast for earnings in the current quarter and maintained its growth target for the year.Alaska Airlines and United Airlines recently reported narrower losses than expected in the first three months of the year, and said that they would have reported profits if the Boeing 737 Max 9 had not been grounded. Delta Air Lines was the only major airline to report a profit in the first quarter. More

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      Biden Hopes to Amplify Contrast With Republicans on Economic Policy

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      WASHINGTON — President Biden will travel to Syracuse, N.Y., on Thursday to highlight investments in semiconductor manufacturing and make a last-ditch attempt to win over voters on inflation, the economic issue that is dragging on Democrats ahead of the midterm elections.At a time when polls show that voters disapprove of the president’s handling of rising prices and trust Republicans more on the issue, Mr. Biden will seek to frame the elections as a choice between his administration’s ongoing efforts to lower costs for families and Republican aspirations to cut taxes for corporations and the wealthy — which could fuel even higher inflation — and other plans that Mr. Biden says would raise health care and electricity costs.Senior administration officials told reporters on Wednesday afternoon that Mr. Biden would use his trip to celebrate the chip maker Micron’s announcement this month that it would spend up to $100 billion to build a manufacturing complex in the Syracuse region over the next 20 years, creating up to 50,000 jobs in the process. Company officials said that investment was enabled by a bipartisan advanced manufacturing bill that Mr. Biden championed and signed into law earlier this year.The administration officials said the area exemplified a community benefiting from Mr. Biden’s economic policies, which have also included a bipartisan infrastructure bill approved in 2021 and the Inflation Reduction Act, signed late this summer, which raises taxes on corporations, seeks to reduce prescription drug costs for seniors and invests hundreds of billions of dollars into new energy technologies to reduce the fossil fuel emissions driving climate change.They also said it was the right backdrop for Mr. Biden to amplify the contrast he has sought to draw with Republicans on inflation. Republican candidates have campaigned on rolling back some of the tax increases Mr. Biden imposed to fund his agenda, extending business and individual tax cuts passed by Republicans in 2017 that are set to expire in the coming years, reducing federal regulations on energy development and other business and repealing the Inflation Reduction Act.The State of the 2022 Midterm ElectionsElection Day is Tuesday, Nov. 8.Bracing for a Red Wave: Republicans were already favored to flip the House. Now they are looking to run up the score by vying for seats in deep-blue states.Pennsylvania Senate Race: Lt. Gov. John Fetterman and Mehmet Oz clashed in one of the most closely watched debates of the midterm campaign. Here are five takeaways.Polling Analysis: If these poll results keep up, everything from a Democratic hold in the Senate and a narrow House majority to a total G.O.P. rout becomes imaginable, writes Nate Cohn, The Times’s chief political analyst.Strategy Change: In the final stretch before the elections, some Democrats are pushing for a new message that acknowledges the economic uncertainty troubling the electorate.In a memo released by the White House on Thursday morning, officials sought to frame those Republican proposals as potential fuel for further inflation, posing a risk to families struggling with high prices. “Their economic plan will raise costs and make inflation worse,” administration officials wrote.The memo suggests that among his other attacks in Syracuse, Mr. Biden will hit Republicans for what he says is an effort to raise costs for student borrowers. Several Republican-led states have sued to stop his plan to forgive up to $20,000 in student loan debt for qualifying individuals.Mr. Biden has struggled in recent weeks to persuade voters to view inflation as an issue that shows the contrasts between him and Republicans, rather than a referendum on his presidency and policies.Polls suggest the economy and rapid price growth, which touched a 40-year high this year, are top of mind for voters as they determine control of the House and Senate. Nearly half of all registered voters in a New York Times/Siena College poll this month named economic issues or inflation as the most important issue facing the country, dwarfing other issues in the survey, like abortion. Other polls have shown voters trust Republicans more than Mr. Biden and his party to handle inflation.Through the start of this month, Republican candidates had spent nearly $150 million on inflation-themed television ads across the country this election cycle, according to data from AdImpact. Those ads blame Democratic policies under Mr. Biden, including the $1.9 trillion economic relief package he signed in 2021, for inflation; economists generally agree that the spending helped fuel some price growth but disagree on how much.Mr. Biden previewed his renewed attacks on Republicans on Wednesday evening, in a trio of virtual fund-raisers for Democratic members of Congress. In each one, Mr. Biden focused almost exclusively on economic issues, championing the laws he has signed and warning that Republicans would seek to roll them back.The president criticized Republicans for promoting what he called “mega-MAGA trickle-down economics,” and he said the tax cuts Republicans support risk creating turmoil in financial markets. He drew a direct parallel between the Republican proposals and the tax cuts for high earners in Britain pushed by former Prime Minister Liz Truss, which prompted a harsh backlash in financial markets that led Ms. Truss to resign after a brief tenure.“You read about what happened in England recently, and the last prime minister, she wanted to cut taxes for the superwealthy — it caused economic chaos in the country,” Mr. Biden said. “Well, that’s what they did last time, and they want to do it again.” More

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      Republican Who Voted to Impeach Trump Won’t Seek Re-election

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      Increasingly marginalized from conservatives at home and in Washington, Mr. Katko also faced a brutal general election campaign in his left-leaning New York district.WASHINGTON — Representative John Katko of New York, a centrist Republican who broke with his party last year to vote to impeach former President Donald J. Trump, announced on Friday that he would not run for re-election.Mr. Katko was one of 10 House Republicans to vote to impeach Mr. Trump and is the third member of that group to announce his retirement.In a statement that fell almost exactly one year after that vote, Mr. Katko said he decided to call it quits in order to “enjoy my family and life in a fuller and more present way.” He added that the loss of both his own parents and his wife’s parents in the last three years “provided life-changing perspective for me.”“My conscience, principles, and commitment to do what’s right have guided every decision I’ve made as a member of Congress, and they guide my decision today,” he said.Mr. Katko, a former federal prosecutor, had grown increasingly marginalized by conservatives at home and among House Republicans on Capitol Hill, who have demanded total loyalty to Mr. Trump, played down the severity of the Jan. 6 Capitol riot and eschewed working with President Biden. Those who veer off that course have found themselves attracting primary challengers, being pushed to the party’s sidelines, or both.A Look Ahead to the 2022 U.S. Midterm ElectionsIn the Senate: Democrats have a razor-thin margin that could be upended with a single loss. Here are 10 races to watch.In the House: Republicans are already poised to capture enough seats to take control, thanks to redistricting and gerrymandering alone.Governors’ Races: Georgia’s race will be at the center of the political universe this year, but there are several important contests across the country.Key Issues: Both parties are preparing for abortion rights and voting rights to be defining topics.Mr. Katko’s sins in the eyes of his own party included supporting the creation of an independent commission to investigate the Capitol riot and backing a $1 trillion bipartisan infrastructure plan championed by Mr. Biden. He had already drawn three primary challengers and, if he survived that, was facing the likelihood of a brutal general election campaign.New York Democrats, who tried and failed for years to oust him from the Syracuse-based seat, are currently eying new congressional lines that could make the district virtually unwinnable for Republicans, even in a year that officials in both parties believe favors the G.O.P.Democrats and Mr. Trump found rare common ground to cheer Mr. Katko’s decision.“Great news, another one bites the dust,” Mr. Trump, who had offered to help those vying to unseat Mr. Katko in a primary, said in a statement.Abel Iraola, a spokesman for House Democrats’ campaign arm, said the retirement highlighted how the Republican Party’s rightward drift has made it “toxic for so-called G.O.P. moderates.”Mr. Katko had been among a shrinking group of lawmakers who appealed to voters outside of his own party. When Mr. Biden won his central New York district in 2020 by 9 points in 2020, Mr. Katko prevailed by 10.But the same centrist credentials that allowed Mr. Katko to hang onto his seat made him a target in conservative circles. After Republican leaders tasked him to work with Democrats on a proposal to create an independent Jan. 6 commission, they then abandoned the effort in favor of shielding Mr. Trump and the party from further scrutiny, urging lawmakers to oppose the plan Mr. Katko had negotiated.When Democrats formed their own select committee to investigate the riot anyway, Mr. Katko infuriated hard-right members by voting in October to hold Stephen K. Bannon in criminal contempt of Congress for stonewalling their inquiry.And Mr. Katko was one of 13 House Republicans who voted in November for the infrastructure bill, leading some in his party to brand him and the other G.O.P. supporters of the legislation “traitors,” and to call for Mr. Katko to be stripped of his leadership role on the Homeland Security Committee. He had been in line to become the panel’s chairman if Republicans won control of the House.The anger from his right flank followed Mr. Katko home. The Conservative Party, a minor party in New York that backs Republicans in most races, had denounced him last April and formally withdrew its support from his re-election bid after he voted for a Democratic bill extending protections for gay and transgender rights.Bernard Ment, the party chairman in Onondaga County, home to Syracuse, said that position was the last straw. In an interview, he called Mr. Katko a “Democrat,” though he retained support from his local Republican Party organization.“He’s been the one guy who’s tried to work on both sides of the aisle,” Mr. Ment said. “The problem is he’s managed to alienate a lot of conservative voters and tick off a lot of Republicans, and I don’t think he can make up the ground with Democratic voters.”Democrats who control New York state government in Albany are widely expected to try to pad the district with new Democratic voters as they redraw the state’s congressional districts in the coming weeks, giving their party a stark advantage in November. Three Democrats — two of them veterans — have already entered the race.With Mr. Katko and his crossover appeal out of the way, Democrats are likely to be less fearful of a Republican winning his district, giving them more wiggle room to further expand their majority as they redraw the map. New lines could yield as many as four new seats for Democrats in the House and deny Republicans five they currently hold. (New York is slated to lose one congressional seat this year after nationwide reapportionment.)Mr. Katko, for his part, has maintained that he was focusing on supporting his party’s policy priorities, lashing against Mr. Biden’s immigration policies in particular, and working to bring home results for his district. In a statement last year, he made clear how dangerous he believed the former president’s conduct was in the run up to Jan. 6.“To allow the president of the United States to incite this attack without consequence is a direct threat to the future of our democracy,” Mr. Katko said. “For that reason, I cannot sit by without taking action.”Nicholas Fandos More

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      Want to Know Who Might Run for Governor? Check the N.Y. State Fair.

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      Amid cows and crowds, the State Fair became a destination for potential challengers to Gov. Kathy Hochul, including Letitia James, the state attorney general.As Gov. Kathy Hochul sampled a sandwich at the New York State Fair on Sunday, touring the Syracuse-area spectacle like other governors before her, she overtly embraced her role as the state’s new leader — and implicitly set down a marker for 2022, when she intends to seek election to a full term as governor.Two days later, the New York City public advocate, Jumaane D. Williams, was in town, observing the cows and swinging by a butterfly garden. On Wednesday, it was Attorney General Letitia James’s turn.Ms. James greeted attendees, admired a butter sculpture and, like Mr. Williams, stoked fresh speculation about future political ambitions — and whether those ambitions included a run for governor.All three New York Democratic officials have visited the fair before. But the pilgrimages this week — not unlike a presidential hopeful’s early visits to Iowa — took on fresh resonance, offering a very public reminder of a nascent political contest that has been brewing behind the scenes.After more than a decade of governors’ races that were dominated and defined by the now-disgraced former Gov. Andrew M. Cuomo, New York’s political class is quietly beginning to plan for a different — and possibly, fiercely contested — primary campaign next year.While Ms. Hochul, New York’s first female governor, has been in office for just over a week, the primary machinery is already whirring to life, with hiring, polling and political gamesmanship picking up speed. One poll had extensive questions about Mayor Bill de Blasio, who has not ruled out running for governor.The most concrete activity among Democrats surrounds Ms. Hochul. She has already brought on strategists with national and New York experience; Tucker Green, a major Democratic fund-raiser, has also recently joined her campaign team as Ms. Hochul works to cement fund-raising strength, often an advantage for a sitting governor. The governor is making other decisions about her campaign infrastructure and will have more personnel announcements after Labor Day, an adviser to Ms. Hochul said.Many New York Democrats expect Ms. Hochul to be a powerful contender, boosted by the advantages of incumbency, the statewide network she has already assembled and an outpouring of good will for a new governor who has moved urgently to restore some of the norms and relationships that crumbled under the previous chief executive.But the field will also be shaped by Ms. Hochul’s track record as she navigates a series of staggering challenges facing the state.“We don’t know who is going to be in it,” said Representative Nydia M. Velázquez, a New York Democrat. “Who is going to be in it will be defined by Kathy Hochul’s leadership.”On Wednesday, Ms. Hochul announced that Kathryn Garcia — a former mayoral candidate who had been mentioned as a possible candidate for governor herself — had been appointed director of state operations.Perhaps the biggest uncertainty in the race is whether Ms. James will run. Some of her advisers, including some at the Hamilton Campaign Network, which was heavily involved in Ms. James’s previous runs, are beginning to have conversations about who could join a potential James bid for governor, according to people familiar with the discussions — part of an effort among Ms. James’s allies to keep her options open.“We do not comment about our clients,” the company said in a statement.“Tish would be an excellent governor,” said John Samuelsen, international president of the Transport Workers Union, who lauded her “courageousness” in spearheading the investigation that led to Mr. Cuomo’s resignation. “She has a demonstrated record of steadfast support for working people.”A critical report by Letitia James, the state attorney general, led to the resignation of Gov. Andrew M. Cuomo last month.Dave Sanders for The New York TimesPeople who have spoken with Ms. James in recent weeks have not gotten the impression that she has made a decision, but one of those people said Ms. James indicated she would like to make a call sometime this fall, ahead of the Democratic State Convention slated for early next year. Others have the broad sense that she would be inclined to see how Ms. Hochul’s early months as governor proceed.Asked about those discussions, a representative for Ms. James said that the attorney general is “fully focused on her work protecting and defending the rights of New Yorkers and plans to continue taking on the big fights that matter.”There has been a flurry of activity in other potential candidates’ camps, too.Recently, Anna Greenberg, Mayor de Blasio’s longtime pollster, conducted a survey testing the mayor’s appeal outside of New York City and the potency of particular messages about him.One Westchester resident, who took notes as he was polled on Tuesday, said that questions tested the appeal of several potential candidates for governor, including Ms. Hochul, Mr. Williams, Ms. James and Mr. de Blasio.Then, several specific messages about Mr. de Blasio — questions that were not raised about the other potential candidates — were tested.Among other things, the questioner discussed Mr. de Blasio’s record of battling Mr. Cuomo over his response to the pandemic, his efforts to provide legal services to New Yorkers facing evictions and his work on police reform and universal prekindergarten. Then the pollster asked if those facts made the respondent more or less inclined to support him.A spokesman for Mr. de Blasio declined to comment.On Long Island, Steven Bellone, the Suffolk County executive, has hired J.J. Balaban and Brandon L. Davis, veteran Democratic political strategists and ad makers, and brought on the national firm GPS Impact as he contemplates a run for governor.Representative Thomas Suozzi, a Long Island Democrat, is also thought to be seriously considering a run. But he intends to assess how Ms. Hochul performs and wants to accomplish his goals in negotiations in Congress over the federal deduction for state and local taxes, according to one Long Island Democrat with knowledge of Mr. Suozzi’s intentions, granted anonymity to discuss private deliberations.In recent weeks, Mr. Williams has said publicly that he is exploring a bid for governor, and privately he has told at least one person that he has already decided to run — withholding his plans because he does not want to announce it so close to Ms. Hochul’s swearing-in.In a brief interview, Mr. Williams said he thinks it is important to give the sitting governor time “to get her bearings,” and for the state to “take a moment to recognize the historic nature of the first woman governor.”“There’s definitely time to have those conversations in the near future,” Mr. Williams said. “And I have said I am considering, but it is important that we allow that time period before we dive deep into those questions.”Jumaane Williams, the New York City public advocate, is exploring a run for governor.Chery Dieu-Nalio for The New York TimesJay S. Jacobs, the chairman of the New York State Democratic Party, suggested that there could be risks for candidates announcing any intentions so soon after Ms. Hochul assumed the governorship.“Right now it would be premature and probably unseemly,” he said. “You have to have a reason, and I think that means you have to give the current governor a little bit of time. Then you can distinguish yourself from her, if you choose to run.” More