Amstelveen – 2005-22-12

The Show Cause Order (SCO) that was issued today by the US Department of Transportation (DOT) proposes to grant broad codesharing authority to the six members of the SkyTeam international aviation alliance, to enhance their short-term network benefits.

The decision at the same time proposes to deny the request for antitrust immunity. The Air France KLM Group regrets the fact that the US authorities have chosen to effectively defer a decision to grant the application by six airlines for antitrust immunity (ATI) on transatlantic routes, until there is more clarity on the move towards further liberalization of the transatlantic markets. 

Since a number of years, Air France, Alitalia, CSA Czech Airlines and Delta Air Lines, on one side, and KLM and its partner Northwest on the other, have all benefited from two sets of valid antitrust immunities previously granted by the US authorities. 

On September 24, 2004, the six airlines filed a broad codesharing application and an additional joint application for antitrust immunity (ATI) with the U.S. Department of Transportation (DOT), a logical consequence of the Air France-KLM merger.

Air France and KLM will now carefully review the text and file an appropriate response with DOT within the next days. A final decision should be taken by the US Authorities by early 2006.

Air France and KLM are known and active supporters of the policy to open up the transatlantic market to the benefit of the air transport sector and the traveling public. The codesharing application and joint application for antitrust immunity are a logical complement to the tentative agreement that was reached between the US and EU on a transatlantic liberalized market.

For more information:
KLM Media Relations, Bart Koster, + 31 20 649 45 45.