Sunday, September 09, 2001
What's the Buzz?
Delta seeks American delay
Last month, Delta Air Lines asked the U.S. Department of Transportation to approve antitrust exemptions for its European partners and for an open-skies agreement with France.
Now, the Atlanta-based airline is asking the same federal regulators to hold off on granting a similar request between American Airlines and British Airways.
And the sticking point is one of the busiest and most important airports in the world — London's Heathrow.
Wanting desperately to get landing slots at the restricted airport, Delta asked in a filing with transportation officials last week that any new agreement between the U.S. and England include opening up more landing positions at Heathrow.
Delta also said previous negotiations that began five years ago were aborted after 2 1/2 years of talks because of England's unwillingness to open up more slots at Heathrow and create competition for its major airline — British Airways — and American, the main U.S. carrier serving Heathrow.
“While Delta is a strong supporter of open skies and airline alliances, the proposed (American/British Airways) alliance is an exceptional case with a unique set of competitive problems,” said Scott Yohe, Delta senior vice president of government affairs.
“While "open skies' with the U.K. is a prerequisite, it will not enhance competition unless it is accompanied by meaningful slot divestitures to ensure other airlines will be able to introduce new flights at London's Heathrow Airport.”
Delta now flies to London's Gatwick Airport — considered less desirable because of its lack of connections and distance from downtown London — from Cincinnati. The airline is hoping to create an antitrust exemption with its partners Air France, Alitalia and CSA Czech Airlines, all three of which already share seats on certain flights. The exemption would allow them to act more as one airline.
— James Pilcher
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