DOT Allows BA To Expand Transatlantic Routes

The U.S. Department of Transportation on Friday granted British Airways blanket authority to serve any point in the United States from any point in the European Union upon the enactment of the Open Skies agreement next March.

British Airways CEO Willie Walsh last week during a presentation at a BritishAmerican Business forum in New York said BA last month became the first Europe-based carrier to file for the blanket authority afforded by the recent approval of the EU-U.S. Open Skies treaty, and already had its sights set on origin cities in the European Union-including Paris, Frankfurt, Amsterdam, Brussels and Milan-to serve New York and other U.S. cities.

"We are looking extremely seriously at the launch of new services from the U.S. to major business centers in continental Europe," Walsh said. "These would be direct flights, bypassing London and the U.K. altogether." Walsh added: "This would be a radical departure for British Airways: the first time in our 88-year history that we have operated long-haul flights that neither take off nor land in the U.K."

Walsh said BA is eying the use of Boeing 757s or 767s "in a two-class configuration, or perhaps as exclusively business class services" for its expanded routes next year.

BA's application prompted protests from US Airways. According to DOT documents, "US Airways states that there is no need for us to act on British Airways' application at this time, as the U.S.-EU agreement does not become effective until next year; that grant would enable British Airways to exploit further its presence at London Heathrow while U.S. carriers remain barred from entry; and that such a result would undermine the goals of the U.S.-EU agreement." However, DOT found that the Open Skies agreement favored the authority requested by British Airways.

Meanwhile, Lufthansa today announced that it would launch all-business class service from Newark, N.J., to Frankfurt beginning Oct. 28. "In addition, current Lufthansa Business Jet flights between Newark and Munich will be replaced with a three-class Airbus A330-300 widebody aircraft to accommodate increased demand in all categories on the route," Lufthansa said in a statement.