AFA - US Airways E-Line
January 27, 2002
http://www.afausairways.org/eline.htm
Contents:
British
Airways, AMR won't deal Government restrictions lead airlines to walk away
from pact
WASHINGTON, Jan. 25
American Airlines and British Airways on Friday said they would turn down
a Transportation Department ruling that would require them to give up more
than 200 flights in exchange for forming an alliance.
Competing airlines
Continental, Delta, Northwest and Virgin Atlantic Airways have
argued that pairing American, the world s biggest airline, with British
Airways, the biggest in Europe, will make it difficult for others to win
the loyalty of business travelers and corporate accounts across the Atlantic.
Together, American and British Air will control more than 50% of the travel
between the U.S. and London.
As part of the deal, the
department also tentatively approved a marketing alliance between United
Airlines and bmi British Midland. The British airline would have to give
up slots to allow United to fly roundtrip between Boston and Heathrow.
Read the article...
http://www.msnbc.com/news/693883.asp?0si=-?cp1=1
US backs
air alliances but carriers balk
Deal would have given
US Airways two LHR slots
UPDATE 3-US backs air alliances
but carriers balk
Reuters, 01.25.02, 2:58
PM ET By John Crawley
WASHINGTON (Reuters) - British
Airways and AMR Corp.'s American Airlines effectively called off a transatlantic
alliance, saying conditions set by the Transportation Department Friday
set the price too high.
As part of the approval,
U.S. government authorities demanded more access for competitors
at London's Heathrow Airport through the divestiture of more than 200 sought-after
takeoff and landing slots owned by American and British Air.
The Transportation Department's
tentative order envisions carving up the 17 daily round trip flights as
follows among four new U.S. carriers:
-
Five daily round-trips to Continental
Airlines, three of which must be served from Newark, New Jersey.
-
Six daily round-trips to Delta,
three of which must be served from New York's John F. Kennedy International
Airport and one from Boston.
-
Three daily round-trips for
Northwest, and two for US Airways.
BA/AA immediately questioned
the slot conditions after the ruling was announced, arguing their plan
was healthy for competition and necessary to level the playing field.
They later rejected it entirely.
Read the article...
http://www.forbes.com/work/newswire/2002/01/25/rtr493968.html |
AFA
- US Airways MEC
