Hopeful
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AA/BA --concessions or no deal.
- Thread starter Hopeful
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Fortunately, your thread title overstate the DoJ's influence in ATI applications. The Justice Department only gets to recommend conditions; the Transportation Department gets the final say. DoJ recommended conditions in the UAL/CO/LH ATI that the DoT ignored. Hope that AA/BA gets the same consideration.
Hopeful
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I don't think the thread title overstates anything. It's is simply stating the DOJ's position.
I'm curious as to what the six routes are.
One article says these are the six routes:
"Routes in question include: Boston-London; Chicago-London; Dallas-London; Miami-London; Miami-Madrid and New York-London, which is coveted for business travel. Four are hub-to-hub routes."
Of course, all six can be flown by any airline. The DL/AF/KLM joint venture dominates most every USA-AMS route and many USA-CDG routes. And UA/CO/LH dominates most every USA-FRA route.
"Routes in question include: Boston-London; Chicago-London; Dallas-London; Miami-London; Miami-Madrid and New York-London, which is coveted for business travel. Four are hub-to-hub routes."
Of course, all six can be flown by any airline. The DL/AF/KLM joint venture dominates most every USA-AMS route and many USA-CDG routes. And UA/CO/LH dominates most every USA-FRA route.
Hopeful
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Thanks...I mis-posted my statement big time...I meant to ask why these routes?
Since you just mentioned these other carriers, they must be crying like babies to prevent an AA/BA deal the same way Virgin does on the other side of the Atlantic.
JFK Fleet Service
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I'm curious as to what they'll say when Delta and Japan Airlines want to be granted ATI and therefore eat up the lions share of traffic at NRT?.
eolesen
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There's no "meaningful" competition in DOJ's opinion... which as pointed out, DOT can (and has in the past) ignore(d).
I don't see where the DOT can even try to restrict frequencies between the US and the UK without jeopordizing the current treaty. BA gave up a lot with the opening of LHR, and Virgin's pissing and moaning aside, nobody wants to see the clock turned back.
They might ask for some slots to be divested, but realistically, there's not much else they can do. If they do, then AA & BA have grounds to sue based on the lack of action taken against UA/LH between the US and DE or on DL/NW/KL on US-NL services.
MERV
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They'll be saying same thing as with AA/BA deal because they'll have a monopoly on that specific routes!!!! AA already explained to JAL it wont be easy to get approval from the DOJ if they go with DL!!!!! That if JAL leaves one world!!!! AA needs it because they only have few cities in the pacific(Asian) market. they need the feed from JAL fill the planes in NRT!!!
MERV
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DL was smart they did their venture before they merger with NW!!!!
Main concert is LHR routes other airlines want to be able to complete in that market!!!!! DOJ feel like will be a complete monopoly they wont allow it. That's what happen the past few times!!!!! DOJ is one that regulates and fine unfair pricing they had done before!!!!! Dont forget DOM are in power!!!!!!! Its hard to do anything big while they are in power!!!!!
T
The Goose
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My heart bleeds for the poor, poor company ...
Agree that DOJ can go take a leap with all the (lack of) influence they have over the final decision. That said, it is RIDICULOUS that we are still even talking about concessions to get the application approved! If that's the case, especially now that there is an open skies treaty in effect, we should demand that LH make concessions at FRA.
