Monday, April 5, 2010

Branson Tells Brussels to Block BA Tie-up Deal with American Airlines



Sir Richard Branson is to demand that the European Commission overrules a tie-up deal between British Airways and American Airlines which would see them controlling more than 60pc of lucrative flight slots between Heathrow and the United States.

By Kamal Ahmed
Published: 10:38PM BST 03 Apr 2010

Virgin Atlantic will present fresh evidence to the Commission this week following a ruling by the US Department of Transportation that the alliance between BA and AA should be given anti-trust immunity.

In an interview with The Sunday Telegraph, Sir Richard said that the "unholy alliance" between the two leading carriers would mean increased fares and less competition. "Inevitably when people control 60pc-70pc of a market they can pretty well charge what they want," Sir Richard said.