Friday, January 27, 2012

EC Opens Antitrust Investigation of Air France-KLM, Alitalia, Delta

The European Commission has opened an antitrust investigation focused specifically on agreements between Air France-KLM, Alitalia and Delta on transatlantic routes, and has closed a broader investigation that had included fellow SkyTeam members Korean Air, Czech Airlines, Aeromexico and Continental. See European Commission Press Release, Jan. 27, 2012 (available here). The agreements in question were signed in 2009 and 2010 allowing the three carriers to coordinate on capacity, scheduling, pricing and revenue management and to engage in profit and loss sharing on EU-U.S. routes. The investigation is consistent with the EC's ongoing investigation of similar agreements between Star Alliance members Lufthansa and United and the EC's completed investigation into British Airways and American Airlines from the oneworld alliance which resulted in approval once the carriers agreed to certain airport slot concessions. See Aoife White, Air France-KLM, Delta, Alitalia Probed by EU Over Alliance, Bloomberg News, Jan. 27, 2012 (available here).

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