AA/BA/IB gets EU Approval

eolesen

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Jul 23, 2003
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http://www.reuters.com/article/idUSTRE66D1HZ20100714

It's about time from a competitive and consumer point of view, which obviously doesn't matter in this forum....

Let the gnashing of teeth begin.
 
Great News!

What is the estimated positive economic impact on AMR's balance sheet of this agreement?
 
"The three carriers agreed to cede some landing and take-off slots for routes between London and Dallas, Boston, Miami and New York."

How many flights and which ones remains to be seen.


One pleasant thought would be seeing Richard Branson's reaction to this!

And E, yes consumer wise and competitively this is probably a good thing.
However, the impact on employees at both carriers, good or bad, remains to be seen
 
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Details on the slot drops are at http://ec.europa.eu/competition/antitrust/cases/decisions/39596/commitments.pdf

2x LHR-BOS, 1x LHR-MIA and 1x LHR-DFW are mentioned in the DOT docket, but the EU docket mentions a fifth slot pair on LHR-JFK.

They also mention in the docket that only three of the four should be for the peak AM arrival period at LHR.
 
Does anyone have an idea when the DOT will be making their decision
final. I believe they gave tentative approval to the deal in February.
Why is it taking so long to give final approval?
 
http://www.reuters.com/article/idUSTRE66D1HZ20100714

It's about time from a competitive and consumer point of view, which obviously doesn't matter in this forum....

Let the gnashing of teeth begin.

For starters, I hope would this agreement also translates into the completion of T8 at JFK. So that BA and IB chickens can all roost in the same hen house. Sadly though I believe that AMR cannot proceed without getting from the TWU some concessions that would bring AMR's ground operations in competitive standings with other services already at JFK such as low-ballers contractors Terminal One Services, AirServ and the likes.

AMR has to put some real money on the TWU table and get rid of these select groups and at the same time get an iron-clad agreement that would entice BA and IB to come over to T8 when it's construction is completed in 2012.

The Port of NYNJ is already one board with this, as they would like to revamp Terminal 7 completely.
 
Does anyone have an idea when the DOT will be making their decision
final. I believe they gave tentative approval to the deal in February.
Why is it taking so long to give final approval?

Politics and Corruption does that sound familiar?
 
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Corruption in the Obama Administration? Shocking!

Why is it taking so long to give final approval?

It's the "hug the world" mantra permeating Washington for the last 18 months. DOT didn't want to be embarrased by giving final approval to something the EU might have denied or discovered an issue with.

Now that they've both agreed to the same terms, DOT will probably be issuing the final order "shortly".... my guess is before the end of the month.

Having done three RT's to Europe in the past 8 weeks, approval can't come fast enough.

AA is so far the rest of the industry when it comes to their business class product... that contraption you try to call "angled almost flat" is no comparison to a true flat bed on both BA and IB. AA's fares for business class to Europe are on average 20% more than what I pay on either IB or BA, and paying more for less service just doesn't add up anymore. With approval, at least I can fly on BA without having to forego the mileage credit towards retaining my tier status...
 
Details on the slot drops are at http://ec.europa.eu/competition/antitrust/cases/decisions/39596/commitments.pdf

2x LHR-BOS, 1x LHR-MIA and 1x LHR-DFW are mentioned in the DOT docket, but the EU docket mentions a fifth slot pair on LHR-JFK.

They also mention in the docket that only three of the four should be for the peak AM arrival period at LHR.


Are these AA slots or BA slots?
 
AA is so far the rest of the industry when it comes to their business class product... that contraption you try to call "angled almost flat" is no comparison to a true flat bed on both BA and IB. AA's fares for business class to Europe are on average 20% more than what I pay on either IB or BA, and paying more for less service just doesn't add up anymore. With approval, at least I can fly on BA without having to forego the mileage credit towards retaining my tier status...

Seamless travelling meaning that a BA, IB business class passenger going to Europe, would expect the same service and amenities on AA? I don't think so. :blink:

I'm not familiar with seat pitch on BA and IB, so why not just let our two partners handle that end of the business exclusively, ( we still get a cut on booking these F/C seats anyway).

Then have AA concentrate on all main ( Video, and gambling on board ) cabin-class to MAD, BCN and LHR using those cramped 757. *GAMBLING PAYS FOR THE COMPLIMENTARY LIQUOR SERVICE, just charge the passengers $10.00 for beer nuts. :p

Bring all the 777s to South America, and really kick AA$$
 
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Yes, it would appear that the "free slots" are hardly free or worth requesting... good work by AA's and BA's legal team.
 
Great News!

What is the estimated positive economic impact on AMR's balance sheet of this agreement?

Hopefully big, and the sooner the better. I assume we are going to share revenue transatlantic like United and Lufthansa do? That's gotta help the numbers.
 
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