Brussels to probe trans-Atlantic airline alliances

Brussels to probe trans-Atlantic airline alliances Brussels - The European Union's executive is to launch an anti-trust probe into cooperation deals between members of the Star Alliance and Oneworld airline groups such as British Airways, Iberia and United, officials in Brussels announced on Monday.

The European Commission fears that two sets of deals between certain members of the two alliances could potentially reduce competition on hotly-contested trans-Atlantic routes and push up prices, a statement released in Brussels said.

One investigation targets a deal between Star Alliance members Air Canada, Continental, Lufthansa and United. The other concerns a cooperation programme between Oneworld members American Airlines, British Airways and Iberia.

Both agreements include a plan to jointly manage schedules, capacity and pricing on transatlantic routes. The degree of cooperation proposed "appears far more extensive" than the general cooperation between alliance members, the commission statement said.

The statement stressed that the fact that the commission has launched the probes does not mean that there is necessarily anything wrong with the cooperation agreements. (dpa)

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