European Commission Investigates Star and Oneworld Alliances on Antitrust Concerns

The European Commission launched investigations against several airlines from the Star and Oneworld alliances due to concerns that their extensive cooperation might violate European Union (EU) rules. The investigations focus on two sets of agreements, one between Air Canada, Continental, Lufthansa, and United Airlines, and another between American Airlines, British Airways, and Iberia. The Commission is assessing whether the airlines' joint management of schedules, capacity, pricing, revenue sharing, and ticket sales on transatlantic routes may lead to restrictions on competition.

Key Takeaways:

• The European Commission launched investigations into the Star and Oneworld alliances, focusing on two sets of agreements between 7 airlines.
• The agreements involve the airlines' cooperation on commercial, marketing, and operational activities on transatlantic routes.
• The Commission is concerned that the joint activities may lead to restrictions on competition on certain routes.
• The investigations will depend on factors such as the complexity of each case, the extent of cooperation with the Commission, and the exercise of the rights of defense.
• Air Canada, Continental, Lufthansa, United Airlines, American Airlines, British Airways, and Iberia are involved in the investigations.

Statistics:

• 7 airlines are involved in the investigations: Air Canada, Continental, Lufthansa, United Airlines, American Airlines, British Airways, and Iberia.
• The Commission has concerns about joint activities on transatlantic routes between the EU and North America.
• The Commission will assess the agreements' potential impact on competition on certain routes.

Sources:

• Xinhua via COMTEX
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