U.S., Swiss Open Skies Deal Lifts Fly America Restrictions - Business Travel News

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U.S., Swiss Open Skies Deal Lifts Fly America Restrictions

June 21, 2010 - 11:45 AM ET

By Jay Boehmer

Officials from the United States and Switzerland today entered into a new Open Skies agreement that updates and replaces a 1995 bilateral pact, while granting new rights for Switzerland-based carriers to pursue corporate deals with some U.S. civilian government contractors.

Signed today in Bern, Switzerland, and effective immediately, the agreement extends the usual rights afforded by U.S. Open Skies deals, including lifting restrictions on route planning, pricing and capacity for carriers in both countries. Like a recent second-stage agreement with the European Union, the new deal with Switzerland also overturns some Fly America restrictions, enabling Swiss carriers that had been locked out of air deals with U.S. civilian government contractors to get a shot at that business.

Additionally, the new Switzerland deal adds the right of both countries "to operate all-cargo flights to third countries without a connection to the home country," the U.S. State Department said in a statement announcing the deal.

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