Airport Experience® News - Conference Issue 2026

MARCH 2026 / V24 N269

THE AX CONFERENCE I S S U E AXC 2 0 2 6

YOUR GUIDE TO THE EVENTS & HAPPENINGS AT AXC 2026

LABOR/WAGE CRISIS ACCELERATES

TRAVEL TRENDS TO WATCH

BERNAL SHARES “ONE AREAS” OUTLOOK

A Taste of Here, Not Just Anywhere

Perry’s @ SFO

Kona’s by Pacific Cocktail Haven @ SFO

Mattison’s @ SRQ

TRIO @ PSP

Today’s travelers want more than a meal—they want a moment that reflects where they are. Paradies Lagardère focuses on hyper-local partnerships rather than one-size-fits-all concepts, collaborating with regional talent and producers to craft dining experiences that feel authentic. The result is airport dining that embodies the culture, character, and culinary identity of each market it serves.

WE’RE THE REASON THEY ARRIVE EARLY . Setting a new standard for airport retail — year after year.

2026 AX AWARDS – Finalists

Best Overall Retailer Retailer with the Highest Regard for Customer Service

BEST OVERALL

CONCEPTS

Best Local-Inspired Store (Large Airports) Vancouver International Airport (YVR)

Best Local-Inspired Store (Medium/Small Airports) Oakland San Francisco Bay Airport (OAK)

Best Local-Inspired Store (Medium/Small Airports) Halifax Stanfield International Airport (YHZ)

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16 Labor Pains Ever since the pandemic, the airport concessions industry has been challenged by rapidly rising wage and benefit demands from its front-line workers. With limits on their abilities to raise prices at most airports, concessionaires say the current dynamic just isn’t working. 22 Deanna’s Impact Deanna Zachrisson has spent a large chunk of her career in airport concessions, most recently leading the properties team at San Diego International Airport. Shortly after SAN’s new Terminal 2 was unveiled, Zachrisson was named AXN’s Property Manager of the Year. 26 Where Are We Going? Where and why people travel, and how they book that travel, is constantly evolving. Find out the latest trends and expectations of emerging groups of young travelers. 32 Conference Agenda You’re complete guide to AXC 2026. 46 Who’s In The Hall? Check out the Experience Hall map to find out about offerings from all your favorite exhibitors. 48 Sponsor Support Sponsors are the backbone of AXC – the show couldn’t happen without them. Check out the companies that are supporting North America’s largest concessions conference this year. 63 Exhibitor Lineup More than 100 exhibitors will showcase their companies in the AX Experience Hall. Check out new entries and familiar favorites in the conference’s activity hub. 81 Speaker Insights Dozens of industry experts have agreed to share their insights with the AXC audience. Find out who will be on stage this year.

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6 Letter From The Publisher 8 Latest Buzz

86 One-On-One In November 2025, Areas completed its acquisition of Delaware North’s Travel Hospitality Services division. Carlos Bernal, CEO of the now-much-larger Areas USA, shares the latest progress on integration and his vision for the company going forward.

The PDX Next terminal redevelopment is scheduled to be completed and open in April 2026. Then, travelers will step into a terminal that is not only larger and more efficient but hyper-local and unmistakenly Portland. 12 Director’s Chair

90 Advertising Index 92 Before You Take Off

Haley Gentry has been at the helm at Charlotte Douglas International Airport since 2021, but she has built her

Most pets are pampered these days, but Rome–Fiumicino International Airport “Leonardo da Vinci” is taking it to the extreme, offering a “Dog Relais” for pooches whose humans are traveling. Private lodging, pools, aromatherapy and even dental services are all part of the offer.

career there since the 1990s. As the airport wraps up its massive Destination CLT capital project, Gentry shares what’s next.

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Andrew Tellijohn Senior Reporter Sally Kral Contributing Writer Sarah Beling Contributing Writer

TEAM

Barbara McCarter Portfolio Manager Chad Wimmer Senior Editorial Art Director Rae Lynn Cooper Production Manager Amanda Gochee Vice President, Marketing Strategy Katy Welch Senior Marketing Manager Tristan Lueck Marketing Coordinator Emma Vail Marketing Coordinator AXN ADVISORY GROUP Kim Becker, San Diego International Airport Derryl Benton, Avolta Zenola Campbell, Dallas/Fort Worth International Airport Bryant Francis, Cleveland Hopkins International Airport Mark Gale, Fort Lauderdale-Hollywood International Airport Eric Johnson, Nashville International Airport Roddy McOwan, WH Smith North America Gregg Paradies, Paradies Lagardère Kevin Westlye, High Flying Foods

Jeff Davis Executive Vice President, Retail and Specialty Melissa Montes Vice President/Publisher Carol Ward

Editor-in-Chief Nicole Watson Business Development Manager Sally Kral Contributing Writer Sarah Beling Contributing Writer John Quinnies Contributing Writer Barbara McCarter Senior Portfolio Manager Chad Wimmer Senior Editorial Art Director Rae Lynn Cooper Production Manager Amanda Gochee Vice President, Marketing Strategy Katy Welch Senior Marketing Manager Amanda Litwack Senior Digital Marketing Coordinator Samantha Tamberino Marketing Coordinator

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MARCH 2026

Dear Valued Readers,

I am thrilled to welcome you to AXC 2026 and to mark our first time bringing the conference to Nashville. In today’s rapidly changing environment, it is more important than ever that we come together as an industry to collaborate, connect, and move the traveler’s experience forward. On behalf of the entire AX team, I want to extend our gratitude to the team at Nashville International Airport for an exceptional planning partnership. The all-in energy, creativity, and shared commitment between our teams made this experience both meaningful and memorable. BNA, you truly did that! Many thanks as well to our sponsors, exhibitors, and each and every attendee. Your continued commitment to our industry is what makes AXC such a high-impact and enduring gathering. As you dive in, consider this issue your go-to guide for the conference. Inside, you’ll find the full agenda, venue map, and profiles of the exhibitors, sponsors, and speakers who help make AXC so special. I hope you’ll lean into the conversations that matter, make new connections, and tap me on the shoulder to say hello. The ideas shared here at AXC will shape our industry for months to come, and I couldn’t be more excited to experience it all with you.

Cheers and thanks,

Melissa K. Montes Vice President & Publisher Airport Experience News mel@airportxnews.com

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LATEST BUZZ PDX’S BOLD TERMINAL REINVENTION BY DAVID GORDON

PDXNext chief projects officer for the Port of Portland. “We’ll have better connectivity between our concourses, new automated exits, more concessions. It will really become a fully unified terminal.” The second and final phase of the project focuses on transforming the flow of passengers exiting the airport. The new design introduces permanent exit lanes at both the north and south ends of the terminal. These will replace temporary construction-era detours with

ortland International Airport (PDX) is preparing to unveil the final chapter of its most ambitious

P

Above: When Phase 2 of the terminal redevelopment at Portland International Airport is completed this spring, travelers will be met with a larger, more efficient and quintessentially Portland experience. Photo Credit: ZGF Architects

infrastructure project in decades. The PDX Next terminal redevelopment is scheduled to be completed and open in April 2026. Then, travelers will step into a terminal that is not only larger and more efficient but unmistakably Portland. “We’re going to get to see the vision brought to fruition,” says Vince Granato,

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LATEST BUZZ

direct and intuitive access to baggage claim. “The best part is shortening the walkways” Granato says. “From the passenger experience it’s significantly better.” The need for change emerged from the airport’s 2011 master plan which anticipated dramatic passenger growth. PDX served around 20 million passengers at the time. Future traffic projections stretch to 35 million, a goal set to be reached by 2045. The terminal now includes 400,000 additional square feet. This is a 30% increase in space for passenger processing, concessions and seating. But the benefits go beyond size. “This new building is a big open span” Granato explains. “Almost everything that we have there we could move it if we have to. If in the future the airlines changed how they want to operate, we could move things without impacting the overall design and flow of the building.” Despite pandemic-era cost increases, the project remains within its revised $2.15 billion budget. “We will absolutely be able to deliver on time and under budget” says Granato. Phase 2 work will wrap in early 2026. New passenger flows and full amenities will come online in April.

Granato credits the project’s momentum to close coordination with partners. “We worked really closely with TSA and the airlines to phase this in a way that didn’t disrupt daily operations” he says. “Even during Covid we found ways to keep moving without losing our timeline.” “Travelers expect more from airports now” Granato says. “They want it to feel good, to be easy to navigate, and to give them a sense of where they are.” Portland At The Fore From food and retail to finish materials, the terminal puts Portland front and center. PDX has long championed an all-local concessions program. Granato believes that strategy pays off. “Eighty percent of people who travel through here are from here. They know us,” he says. PDX has a street pricing policy. This means travelers pay the same for food and retail as they would in the city. “When people know and trust the brands and know they’ll pay a reasonable price, we think that drives more revenue,” Granato notes. The concessions program followed a multi-stage RFP process designed to level

the playing field for small businesses. “We didn’t just want familiar names,” he says. “We wanted vendors who represented Portland’s values.” The program’s success has drawn attention from airports across the country looking to replicate the balance between local identity and commercial performance. That hyper-local philosophy extends to design. “The concessions are inspired by the City of Portland and its unique regional shops, restaurants and artisans” says Sharron van der Meulen, managing partner at ZGF Architects , PDX’s main architectural partner. “The design of the concession pavilions takes inspiration from some of Portland’s beloved commercial streets like Northwest 23rd, making it feel less like an airport and more like a neighborhood.” The concessions and ceiling panels are constructed with locally sourced wood from within 300 miles of the airport. That includes 100,000 tiles of Oregon white oak grown, harvested and milled in the Willamette Valley. The ceiling lattice can be traced to 11 family-owned nonprofit and Tribal forests that all practice ecological forestry or are FSC certified.

Left: Stadium seating options, generous greenery and extensive use of locally sourced wood are among the unique characteristics of the new terminal at PDX Photo Credit: Sally Painter, Courtesy of Mayer/Reed

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LATEST BUZZ

Other materials tell similar stories. Sankofa Lumber , one of more than 125 local small businesses contributing to the Phase 2, used upcycled wood from the airport’s own roof to create wall panels for concessions. Flooring choices now include terrazzo and hardwood in high-traffic areas which improve accessibility for travelers using wheelchairs or rolling bags. When the terminal is fully open, the new terminal space to explore will include new meeter-greeter areas at both ends of the building, expanded restrooms and a reimagined exit path to baggage claim with large windows, hanging plants and natural light. By the end of construction, more than 5,000 living plants will fill the terminal, many suspended from the ceiling to recreate the look and feel of a Pacific Northwest forest. Travelers arriving in 2026 will walk through an airport designed not only for flow but for visual experience. A 56-foot installation from local artist Yoonhee Choi mixes colorful shapes with intentional blank space. It is her first public art commission and her first work in glass. Two digital video walls created by local artist Ivan McClellan run along both TSA checkpoints. The displays use real-time data such as time of day, weather and passenger volume to generate an evolving 24-hour visual story. Natural light pours through 49 skylights. The building doubles terminal capacity while reducing energy use per square foot by half. Passenger Amenities Two new passenger lounges will open later this year. A Portland branch of the Escape Lounge network and a new Alaska Lounge at the terminal’s south end will give travelers more space to relax. The stadium seating zone introduced in Phase 1 will remain a popular gathering point for families. Van der Meulen notes that space exceeded expectations. “We didn’t expect the stadium seating area located pre-security to be so fully utilized” she says. “In Phase 2 passengers will be pleased to have a shorter walking distance from their arrival gate to the exit.” Right: Tender Loving Empire and Hopworks are two local brands available to PDX travelers. More concessions are scheduled to open this year. All will be local brands, in keeping with the airport’s all-local program.

Travelers will find 14 new shops and restaurants coming online over the next several months. Local businesses that opened kiosks in 2024 include Powell’s Books and Straightaway Cocktails . These will expand into full-size locations. Newcomers like Kure Superfoods , Lola’s Cafe and Pilot House Distilling will debut alongside new grab and-go concepts. Also coming are four new newsstands and local names with compelling backstories. At Paper Epiphanies , a feminist stationery and gift shop, all products are made by women to empower women. It is one of the 60% of new concessions that include

woman or minority ownership. And Loyal Legion will pour 96 Oregon beers on tap from a space with clear views of the runway, no ticket required. Van der Meulen says the baggage claim area offers another example of thoughtful risk-taking. “We could have taken the easy route and left the layout alone” she says. “But we knew this was the one chance to reshape the entire flow and make it feel like part of the journey not just the end of it.” In other words the new PDX is not only bigger. It is better. It is also unmistakably Portland.

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DIRECTOR’S CHAIR

CLT EVOLUTION With A Massive Capital Program Largely In The Rear View, CLT Prepares For What’s Next

BY CAROL WARD

WARD: Can you share an overview of your passenger traffic and passenger growth prospects? GENTRY: 2024 was a record year for us – 58.1 million passengers. The year was a bit of an anomaly because American really dumped a lot of flights into Charlotte on pretty short notice. It really stretched our facilities and our resources to the max. Our numbers are down some – we’re estimating about 54 million for 2025, and that really has everything to do with American reinvesting in Philly and in Chicago. In terms of our overall trajectory, we’re at about 1% ahead of where we were in 2023, which is actually, I think, a more realistic look at how our growth should be. We’re adding new carriers, including our first Middle Eastern carrier. The hub continues to expand and we’re happy as we can be in terms of our service levels. During all of this up and down growth, our local passenger traffic has been stronger than ever. We are growing. I think the last numbers I saw had us at 34 to 36% [local traffic], depending on the month. We have grown from 25%. I think that’s a product of a post-Covid world. A lot of people moved to Charlotte area when the work-from home madness started. Not to mention that Charlotte is a very pro-business climate. We’ve got a lot of corporations moving here – it’s just a growing city. WARD: Can you give me a birds-eye view of Destination CLT – which projects have been completed and which are still in the works? GENTRY: The biggest outstanding project from destination CLT is the runway project. The terminal expansion – specifically the terminal lobby expansion – was a huge accomplishment for us. It went from looking like a small terminal to looking like

s the seventh-largest airport in the United States and a major hub for American Airlines , Charlotte

Above: Haley Gentry, CEO, Charlotte Douglas International Airport All photos credited to: Charlotte Douglas International Airport

A

Douglas International Airport is under almost constant renovation. The past several years have been different, though, as the airport has invested roughly $4 billion in capacity enhancement projects under the Destination CLT program. A runway project is still underway, but CLT executives are already planning new projects for a Phase 2 program. Haley Gentry has served as CEO of CLT since 2021 but has worked at the airport in various positions since 1991. She recently sat down with AXN’s Carol Ward to discuss the latest developments and future plans for the airport.

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DIRECTOR’S CHAIR

which are long overdue in several of those locations. Having said that, it does not make the concourse wider. We do have long-term design plans to extend Concourses B and C. I expect that project to be part of our upcoming capital program that will be associated with our new lease with the airlines. We are also looking at associated infrastructure that goes with that. We’ll also be looking at circulation. How do you move that many people through the building? I think you’ll see some changes around Concourses D and E in terms of passenger flow. And you’ll see additional concession and/or passenger-focused opportunities coming in. American has recently announced the clubs that they are renovating in Charlotte, which is a win for everyone. WARD: What percentage of your traffic is with American Airlines? GENTRY: We’re at about 89%. WARD: And you mentioned a runway project… GENTRY: The runway project is on schedule, set to open in September 2027. It’s a billion dollar effort that includes the runway and associated projects. Anytime we can lay more pavement, it helps the hub get more efficient because of how quickly they can come and go. WARD: I know you’re in the final stages of Project CLT. What’s next? GENTRY: We are working closely with the airlines right now on our next round of capital improvements. There are the concourse extensions, and we’ve discussed a renovation of our international arrivals area, which is due.

a tremendous, future-forward-looking asset. We renovated space and added space. We widened the roadway, put in walkways and sky bridges that get you from the parking deck, and put in tunnels for rental cars and valet. We widened our checkpoints, we condensed them into supersized checkpoints. Then you go through the checkpoint and you’re in our terminal building, which dates back to 1994. We have done some minor cosmetic renovations [to the concourses], to try to gain extra space. Concourses B and C were completed several years ago, while D and E are currently under renovation. It will [result in] a more uniform look, with a little bit more ceiling height, terrazzo flooring throughout, and renovated restrooms,

Above: The $4 billion Destination CLT advanced terminal, roadway and supporting work to modernize the airport. A runway, also funded through the project, is still under construction. Below left: A focal point of Destination CLT was a terminal lobby expansion, which was completed in autumn of 2025. Below right: The terminal lobby expansion included new and expanded centralized security checkpoints, improving the flow of passengers through the facility.

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DIRECTOR’S CHAIR

Right: Concessions at CLT have been performing well. The airport has an unusual profit sharing agreement with two prime operators: HMSHost and Paradies Lagardère.

WARD: Moving on from infrastructure, let’s talk about the passenger experience. As you’re making these upgrades, what are you doing to enhance that passenger experience? GENTRY: We are really focused on becoming a more customer-centric organization, and what does that look like? I believe that it’s going to be how travelers feel when they’re here. Were they treated well? Did our processes work? Was our technology up to par? Were they able to get the amenities that they believe they are due as a passenger? Did the parking work, was it efficient? Did the Wi-Fi connect appropriately? Was there value in what they paid for when they received it? We have an effort that has kicked-off, focused on becoming customer-centric. We have stakeholders from every company here at the airport, and they are designing what our philosophy’s going to be. We will start with our own department, but there’ll be opportunities for employee participation across all the different companies. Then we will start to train the individuals. It’s really not to take away from their identity as a United employee or a Spirit employee; it’s really to focus on that seamless customer experience from the moment they arrive. How can we ensure that it’s seamless – that everybody [at every touchpoint] has a similar tone and a similar priority? We want to ensure all are focused on that customer and being uniquely Charlotte, and that’s what we’re working toward. WARD: It sounds like you are focused on the human touch. Are you also incorporating technology? GENTRY: Yes. We have a hugely successful pre-book parking program here. Over 65% of our passengers pre-booking parking. We are able to manage our assets so much better. We can not only manage the availability, the price, the revenue yield – it absolutely is helping us stretch those assets further. Also, we’ve started a loyalty program called the Royalty Program. We’ve been easing into it and I think you’ll see that develop a little bit further. Our app has exceeded our expectations. We are training

our customers to buy their parking in advance, look at checkpoint lines, check out dining options…. WARD: Let’s talk about concessions. I know you have a unique approach. How are your concessions performing? GENTRY: Our revenue is down a bit because our passenger number are down, but revenue is still super strong – per passenger, it’s about $13.68. Our deal is a bit different. We’ve had a profit-sharing deal for 20-plus years. I’m always shocked that there aren’t more airports who are doing this. It does require more management, and I think that’s a little off-putting to some organizations. We’re very hands-on and we’re making decisions

about [such things as] is this the right vendor for us? Is this the right term? What does the space look like? Our team is hand in-hand with the concessionaires here. This agreement puts us in a situation when the times are good, it’s good for all of us. Now, the downside of that is when times are bad, [we all feel it]. It’s just a different level of commitment and a different relationship. WARD: So you’ll stick with this approach when the next contract comes up? GENTRY: It’s hard for me to say at this point. There’s no requirement [to maintain the same approach], but we could. We’re actively having those conversations.

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Wage Battles Airport Workers Gain Ground On Increases Across U.S. BY ANDREW TELLIJOHN Below: The city of Los Angeles voted to increase airport

worker wages to $30 per hour by 2028. Airport employees also receive an hourly health benefit of $7.65 per hour under the new deal.

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After a half-year of discussion, in May of 2025 the city of Los Angeles passed amendments governing its workers that provides significant minimum wage increases for airport and hotel workers, along with guaranteed payments related to health care. The minimum wage increased in September from $19 to $25.50 with additional $2.50 per hour increases annually through 2028, when it will reach $30. The change included an hourly health benefit for airport employees of at least $7.65 per hour, as well. Supporters of the increases say it’s a significant movement toward paying employees what they are worth. “The workers are the reason these companies are running,” says Maria Hernandez, a spokeswoman for Unite Here 11, the chapter covering LAX airport workers. “So, at the end of the day, what they’re asking for, it’s just enough to be able to live near where they work. It’s not to buy a yacht.” But detractors, who are still fighting to change the terms, say the increase is too much at a time when balance sheets are still struggling from debt taken on during the pandemic. They add that rising wages, unabated, will likely lead to layoffs and accelerate operators’ use of technological solutions such as mobile or QR-code ordering. “Over a three-year period, this current living wage is projected to be a 40% increase to our overall labor costs,” says Nick Crews, president, CEO and managing partner of Crews Enterprises. “It moves our labor costs up by 8 percentage points in the first year, from 39% to 47% and then every other year after that it moves it up by another point-and-a-half.”

Above: Los Angeles Airport workers fought more than three years for wage increases that will allow them to live near where they work, says Unite Here spokeswoman Maria Hernandez.

Impact On Companies Crews adds that with restaurant locations’ margins ranging between 3% and 10%, he’s going to have to make some moves to stay profitable that will likely include shrinking staff size and moving toward technological service options. He’s already gone to QR code ordering in some casual dining locations. “Unfortunately, the guest experience is going to suffer,” he adds. While small businesses typically feel the hit the hardest, he predicts increases of this significance will hit operators of all sizes. “Small, big, this is going to impact us all across the board,” he says. “Increases of this size, when traffic and tourism are down 13% to pre-pandemic levels, pushes businesses away from wanting to operate in Southern California or Los Angeles specifically. Unfortunately, it’s going to have the opposite effect that this council wants.” A consortium of business groups attempted to push the pay package to a referendum in 2026 but was denied when it didn’t reach the necessary level

of signatures. Crews says other avenues for slowing the wage increase are under exploration. In the meantime, Hernandez is celebrating a big win for workers while discounting concerns expressed by operators about future finances, saying with the Olympics and other high-profile events coming to Los Angeles, there is money to be made that will now be shared. “It’s not something that happened overnight,” Hernandez says. “A lot of workers in the hotel and airport areas did a lot of things. They talked to their council people. They did rallies. They did all they could over the last two-and-a-half years to get to this point.”

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At Long Beach Airport (LGB) , the city council imposed a $23 minimum wage that will increase to $29.50 by 2028. Passed in August, the move matched those afforded to hotel workers a year earlier. Lindsey Phillips-Flores, a spokeswoman for the airport, says LGB did provide to the city the potential financial impacts of the decision, but didn’t take a formal position on the increase and made no comment during the discussion. The airport also did not implement any financial accommodations or adjustments for operators tied to the increase. “All concessionaires and partners continue to operate under their existing agreements,” she says. “No special considerations were provided as a result of changes in labor costs.” Holiday Strike Threats Heading into the Thanksgiving holiday last year, workers at several airports around the country threatened strikes. About 250 food service workers at Minneapolis-St Paul International Airport (MSP) averted a strike at the last minute when members ratified a contract that included significant wage increases. “It is an historic agreement that includes the highest wage increases ever won at the airport,” noted labor group Unite Here 17 in a statement.

Not The Only One While increases at LAX are the highest impact labor cost increase of 2025, airport workers in New York, New Jersey, Minnesota and Long Beach also will have a little extra money in their pockets this year as their representatives claimed significant victories in labor standoffs.

Above: Concessions at LAX - like this Fat Sal’s, operated by Crews - will feel the impact of labor costs rising by 40% over a three-year period, Nick Crews says.

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Rght: The minimum wage for concession workers at LGB will increase in phases, reaching $29.50 by 2028.

The deal, reached in mid-November after more than a year of bargaining, includes a tip line for fast food and barista workers for the first time, a higher tipped benefit rate, wage increases for cooks, utility workers and engineers and access to affordable dependent health insurance, the union announced. “This agreement is a long time coming,” says Victor Arreole, a cook for HMSHost Corp. at MSP. “We fought for more than a year to win back what we lost during the pandemic and we’re finally getting the wages and benefits our families deserve. This contract is going to change lives.” Airport workers at Charlotte Douglas International Airport (CLT) were not successful in efforts to seek city approval for a wage increase earlier in 2025. Those workers had gone on a 24-hour strike during Thanksgiving 2024 over “poverty wages,” as well. The city council, when Mayor Vi Lyles in June cast the deciding vote, declined to study in committee ways to improve working conditions for airport contract workers who work cleaning planes. The Service Employees International Union, which reportedly is not recognized as the official union of airport contract workers by the federal government, indicates some of those workers make $14 an hour. Chris Poore, a spokesman for CLT, points out that the city council increased the minimum wage to $24 an hour for city employees, but that does not include contract workers for private companies. Also heading into Thanksgiving, the Culinary Union Local 226 and Bartenders Union Local 165, affiliates of Unite Here representing workers at 10 Disadvantaged Business Enterprise operators at Harry Reid International Airport (LAS) in Las Vegas authorized a strike, claiming disrespectful negotiation tactics and saying they had gone four years without raises. The union picketed the DBE operators in early November and then authorized a strike starting November 14.

“This isn’t just about a raise,” says Laura Velez, a crew member at Nathan’s and a Culinary Union member for eight years, in a statement. “We also want to protect our health care benefits and make sure we get a fair contract for my co-workers and me. If we have to strike, we’ll be ready because we’re fighting for the respect and security, we all deserve.” As of press time, there had been no strike as negotiations continue. Significant Increases Impacting Industry Operators Few operators would comment for this article, but Andy Weddig, president and CEO of the Airport Restaurant and Retail Association, says the deal at LAX essentially means a McDonald’s or Starbucks at the airport will have to pay around $15 per hour more than one located on the street “and we are restricted to their pricing,” he says. The significant increase at LAX, he adds, will push some companies that were profitable into loss situations, which will mean fewer staff positions in the short-term. “Obviously the business can’t sustain itself,” Weddig says, echoing the thoughts of Crews, who is on the ARRA board. “My guess is there will be layoffs, so there will be fewer people working, which obviously will impact service levels.” Longer term, Weddig says, full-service offerings at LAX will likely start to disappear as operators reduce staffing and find less labor

intensive ways to operate. Additionally, he expects reduced competition with future solicitations garnering fewer respondents, especially from small businesses. “Will you start seeing fewer brands?” he says. “That’s one way to save royalties. That’s one way to save cost. Do you change your service style? People order at a counter and then take a number? They give you a number and then someone runs it out to you.” There’s some potential there for savings, but also likely reduces the chance someone orders a second drink or other add-ons. “That’s a much cheaper model, but also probably has lower sales potential,” Weddig says. While the other increases have been less publicized and not as large, they’re important in that they continue a trend of “legislatively imposing wage increases that often selectively affect only segments of the local economy – for example, airport concessions and other service workers,” Weddig says, adding that where wages go up, business terms must change to ensure businesses remain viable. “In those cases where contractual price controls reflect local market conditions, such as with street pricing policies, then these wage requirements are essentially unfunded mandates,” he adds. “ARRA members support livable wages for their valued associates. In fact, they often offer wages and benefits that exceed the local minimums. Rather, it’s balance in the business framework that is critical.”

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PANYNJ Changes Across the country, increases agreed to by New York Gov. Kathy Hochul, New Jersey Gov. Phil Murphy and the Port Authority of New York and New Jersey (PANYNJ) in late 2024 went into effect in 2025 at John F. Kennedy International Airport (JFK) , Newark Liberty International Airport (EWR) and LaGuardia (LGA) . The agreement called for three increases of 75 cents an hour in January 2025, July 2025 and January 2026. The Port Authority had most recently expanded the minimum wage in 2018, to $19 per hour as of September 2023. The late 2024 agreement also calls for automatic annual increases beginning Jan. 1, 2027 tied to the Consumer Price Index, with an automatic bump to $25 per hour in September 2032, if that level has not been achieved. “Today we are taking a significant step forward in ensuring that the hardworking individuals who serve in the region’s airports are paid fairly and equitably for their contributions,” Hochul said in a statement at the time. To offset the increased costs, PANYNJ increased its pricing policy from street plus-10% to street-plus-15% and will allow concessionaires to add an employee benefits and retention surcharge not to exceed 3% of a customer’s pre-tax bill.

Above: NY Gov. Kathy Hochul and NJ Gov. Phil Murphy supported significant increases for airport workers across the Port Authority of New York and New Jersey.

The 2025 increase might not be the last the industry hears of increases in New York. Weddig says he’s also monitoring New York now as Zohran Mamdani starts his term as the city’s new mayor. Mamdani campaigned on the idea of raising the city’s minimum wage to $30 per hour by 2030. “It’s not completely in our space, but it would certainly impact wages at the airport,” Weddig says. “This is above the current PANYNJ rates.” Increases Impacting Airlines Weddig says he’s been hearing and seeing additional cities across the country consider living wage increases. It’s gotten

to the point, he says, where even airlines are concerned. Allegiant Airlines announced plans in September to cease operations at LAX due to high costs and move its Los Angeles flights to Hollywood Burbank Airport (BUR) starting in 2026. Legacy carriers are unlikely to leave LAX, Weddig says, but if low-cost carriers do, it will reduce competition and could lead to higher fares as airports potentially raise costs to airlines to replace revenue from potential concessions rent decreases. “They’re going to catch it,” Weddig says, “one way or another.” While speaking on a panel at Airports Council International – North Amerca’s Business of Airports conference, David (DJ) Anderson, director of properties at American Airlines , said he’s following these living wage ordinances closely. What concerns him is that as the expense pressures rise for operators, they may “bid a little bit lower on either percentage of gross or maybe lower (Minimum Annual Guarantees),” he says. “That’s what I’m a little concerned about,” he says. “That translates to the bottom line, whether your airport has direct revenue sharing with the airlines or not. Bottom line is it takes away money from the airport operators.”

Left: Workers at the big three airports operated by Port Authority of New York and New Jersey (rendering of the New Terminal 1 pictured) will make $25 per hour no later than 2032 under a wage agreement reached in late 2024.

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© 2026 LaTrelle’s Management Corporation.

SoCal SUCCESS

Left: Zachrisson arrived at SAN in 2022 to spearhead development of the restaurant and retail program in the new $3.8-billon Terminal 1. In early 2026, she anounced plans to leave SAN and join Paslay Group. (Ambrogio 15 and The Taco Stand concepts from High Flying Foods pictured.)

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STORY

Deanna Zachrisson Was The Leading Force Behind Concessions At San Diego International Airport BY SALLY KRAL

Before Deanna Zachrisson, who until early 2026 was director of terminal business development at San Diego International Airport (SAN), became the aviation industry professional she is today, she was simply a travel enthusiast. “I’ve always loved traveling and I lived in Sweden during my late teens and throughout my twenties and traveled a lot while living over there,” she says. “When I came back to the United States, I got a tip about a job at Seattle-Tacoma and I could think of no better fit because it meant that I got to go to the airport every day for work. Even if I was not getting on a plane, just being in a place where planes are coming and going all day long, just the vitality of that – it’s a bug that bites you. Maybe it doesn’t bite everybody, but it certainly bit me.” That feeling has remained for 26 years, Zachrisson asserts. “I think of myself as a quintessential AvGeek” she says. “Travel got me in and the vitality of the industry kept me there.” Having studied media and communications with a focus on public relations during her time in Sweden, Zachrisson started at Seattle-Tacoma International Airport (SEA) in 2000 as marketing communications manager. “I was initially doing marketing of the major capital expansion projects that were going on at the time, including the redevelopment of concessions, and so I got involved in concessions quite early and found that to be super exciting, complex and intellectually challenging,” she says. “And what I liked about concessions too is that there was this direct connection to improving the experience of the traveling public – it’s a tangible thing when you develop something that people gravitate to.” After six years marketing new concessions development at SEA, Zachrisson became business leader for the airport’s dining and

down to SAN in the summer of 2011 to review proposals, interview proposers and ultimately help select the new concessionaires. But she wouldn’t yet take on an official role at SAN. First, in 2015, she moved on from SEA to become director of business development and marketing at Santa Barbara Airport (SBA). “It was a smaller airport but a great way to broaden my experience,” she says. “Looking back on it, it was one of the best decisions I made because in a smaller airport, you do everything. I negotiated airline agreements, I managed rental cars and fixed base operators, I even did offsite land development at the airport. It was a really great experience.” Six years into Zachrisson’s tenure at SBA, SAN came knocking again, this time offering her a position managing the development of the concessions program for the $3.8-billion New Terminal 1 project, which was already under construction. “That was a hard one to pass up; it was a clean slate,” she says. “And I had a long term connection to SAN already, going back more than a decade. The opportunity and the challenge really attracted me.” High Risk, High Reward When Zachrisson began at SAN in early 2022, it was a trial by fire. “When I got here, the terminal was in construction but the pandemic had thrown a monkey wrench into a lot of things,” she recalls. “The project was moving forward but concessions were not moving forward. The concessions at that point were pretty much just a variety of colored blobs on a diagram without any utilities planned. “The project was far behind, so there was a little bit of panic,” Zachrisson continues. “Pretty quickly after I got here – I think six weeks in – I had to go

Above: Deanna Zachrisson, director of terminal business development at San Diego International Airport from 2022 to early 2026, has been named AXN’s Property Manager of the Year.

retail program, responsible for the phasing and redevelopment of more than 93 dining and retail locations. “I was very fortunate in my time in Seattle that I got to be a part of the redevelopment of concessions twice,” she says. By 2011 Zachrisson had clearly made a name for herself in the industry and an opportunity came knocking at San Diego International Airport (SAN). “San Diego was coming off of a master concessionaire and they were redeveloping their program, and their CEO at the time reached out to my director and asked if I could help them with the selection of their new concessionaires.” And so, while still managing concessions at SEA, Zachrisson periodically flew

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Left, Below, Opposite page: Zachrisson was instrumental in developing an RFP for SAN’s new T1 that took into account the damage done to concessionaires by the pandemic. High Flying Foods, Areas USA, Emerging Domestic Market Ventures, McDonald’s, Marshall Retail Group and Paradies Lagardère were all awarded contracts.

back and ask for a change order to the project because a lot of things had not been thought of. If you want to have four quick-serve restaurants, you have to have utilities for that, and we didn’t have it. There was a lot to catch up on.” In addition, because SAN hadn’t done any major development in over ten years, the request for proposals template they were using was out of date. “But the real shocker, of course, was that we didn’t have anything to RFP anyway,” she says. “We really didn’t have the mechanisms to be able to put anything out yet. Here we were looking for operators to invest millions of dollars into this new facility, and we just didn’t even have the fundamental tools to be able to attract that investment.” Especially considering how badly concessionaires were hurting at the time, Zachrisson knew SAN had to go about this RFP process very thoughtfully. “We were working to develop a program that concessionaires were going to be able to bid on given the constraints on their investment capital and at a time when everybody was very, very conservative,” she explains. “It was a scary time. I didn’t have the luxury of failing, of putting out an RFP that nobody bid on. I had to know that the offer I was putting out on the street penciled for these companies, that

it was a viable opportunity. And so that 2022 timeframe was a lot of listening and learning to really understand how this gut punch to the industry manifest itself in what I was trying to do.” Zachrisson’s assertive and hands-on approach to the project turned out to be just what was needed. “I didn’t really realize exactly how much I was pushing the envelope at the time, but I knew that it needed to be pushed in order for us to succeed,” she says. “And there was a lot riding on it, it was a very high-risk endeavor, with a high risk of failure. I didn’t see much of San Diego that first year at all, I was just working the entire time.” Zachrisson and her team got the RFP out in January 2023, with concessions contracts awarded that summer. On the food and beverage side, High Flying Foods was awarded 12 locations in the new terminal; Areas USA was awarded five; Emerging Domestic Market Ventures , which is owned by ACDBE restaurateur Gonzalo de la Melena, was awarded one; and McDonald’s was awarded one, to be operated by ACDBE franchisees Lisa DeBono and Jenny Briones of Dejon Enterprises. On the retail side, Marshall Retail Group won four locations and Paradies Lagardère won three.

And in September 2025, phase one of the new Terminal 1 – which Zachrisson says comprises roughly 80% of the project – officially opened. “It’s turned out to be a huge success,” Zachrisson says. “The passenger has gravitated to it in a way that we could have only hoped they would’ve gravitated to it. It’s been fantastic.”

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Collaborative Spirit Looking back on her quarter-century plus career in aviation, Zachrisson notes that she certainly hasn’t reached this point alone. “In all of the airports I’ve worked I’ve really enjoyed the energy of the collaborative effort and the passion that comes out of creating something as a team. It’s always been something that has fed me, personally and professionally,” she says. This appreciation for collaboration has greatly influenced how Zachrisson approaches her leadership. “In order to collaborate effectively, you have to have a management style that acknowledges that information is power, knowledge is power, and you only empower people by sharing that knowledge and that information with them,” she says. “That includes sharing information that I might be privy to, by position, that others aren’t privy to, making sure that everybody’s essentially working with a full deck of cards. It also includes mentoring. I get a lot of personal gratification in being a part of mentoring other people in the industry because I won’t be here forever, and I want the work to continue.” Zachrisson also acknowledges the mentors who have helped her get to her position in the industry. “At Seattle, I got to work unusually close with two airport leaders who are a bit legendary, and that’s Gina Marie Lindsey and Mark Reis,” she says. “I also had other people around me in Seattle, even subordinates, that I learned

things from. I had one staff member who had decades of experience working in the mall industry, and I learned a tremendous amount from her about food and beverage operations, about adjacencies, about how customers interact with facilities.” Then there’s been the perhaps more unexpected sources of inspiration. “There was an attorney I worked with in Seattle, Paul Bintinger, who was absolutely brilliant and working with him fueled my desire to go to law school, which I later did in 2020,” she says. “It wasn’t to become an attorney necessarily, but I felt like understanding the legal framework was very helpful to what I was doing.” Lifelong Learner Pursuing a law degree to better understand the legal framework of property management is certainly true to form for a self-described AvGeek. “I’m a little bit of a sponge in that way; I just think everything is endlessly fascinating,” Zachrisson says. “If you’ve got your antenna up to new things all the time, there’s always going to be something out there you can learn.” In this spirit, Zachrisson has been active in the broader aviation industry. She is a certified member of

the American Association of Airport Executives, has done several stints on the Airports Council International (ACI) North America Commercial Management Committee and was a chair of the committee in 2014. Something she has especially enjoyed doing over the years is presenting at industry conferences. “It goes back to my feelings on sharing knowledge. I love sharing what I’ve learned, what I know and getting feedback from people,” she says. “In fact, looking ahead, before I hang it up someday I would really love an opportunity to share my knowledge with students of aviation, maybe as an adjunct professor. To be able to get out and share what I’ve learned with folks that are coming into aviation, especially folks that are coming into aviation that maybe don’t see the commercial side so much, that would be the perfect icing on the cake for me.” At the time of her interview with AXN, Zachrisson was still working at SAN. But in late-January she revealed that she has taken a role at Paslay Group consulting firm. It’s a big move, but as she notes, “With aviation, part of the beauty of it, at least as I see it, is that the future is always a bit unwritten.”

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