Eight SkyTeam alliance carriers have offered to make European airport slots available to competitors in an effort to address the European Commission's concerns regarding competition on 11 transatlantic, intra-European and other routes, the commission said today.
The EC has invited comments on the proposal, which also includes SkyTeam commitments to share frequent flyer programs.
The offer from the carriers—Air France, Delta, Northwest, KLM, Alitalia, Aeromexico, Korean and CSA Czech Airlines—is designed to allay EC concerns that increased cooperation among them could lead to restrictive business practices on certain routes between SkyTeam member hubs
(BTNonline, June 23, 2006).
"In view of the parties' strong market position together with the existing significant barriers to entry, anti-competitive effects would be likely to arise on these markets," the EC said. "The entry barriers include the limited availability of slots at the main EU airports, the parties' high number of frequencies, unmatched schedules and advantages of operating from their own hub airports, as well as the added value to customers of the ability to benefit from the parties' joint frequent flyer programs and other incentive schemes."