Brussels, 15/05/2001 (Agence Europe) - The European Commission send a statement of objections to the airlines Austrian Airlines (AuA) and Lufthansa in which it warns that the cooperation agreement they concluded would eliminate, in its present version, competition on a large number of connections between Austria and Germany. The immediate result would be a restriction in the choice of airline for the travellers between these two countries leading, due to this, to a rise in prices.
In December 1999, AuA and Lufthansa had notified the Commission of a cooperation agreement for which they wanted an exemption. This agreement aims for the formation of an alliance via the creation of a joint air traffic management system, based on close cooperation in the management of their commercial activities, sales and operations. Last October, the Commission had already informed the two airlines that it held serious doubts over the alliance in question and that it could not, at this stage, grant them the exemption desired (see EUROPE of 14 October 2000, p.11). Not having received the assurance
in the meantime, of a satisfactory solution allowing the entry of the two airlines providing connections between Austria and Germany, the Community executive has just to moved to the next stage with the sending of a statement of objections. The two airlines now have a period of two months to propose convincing solutions. If not corrective measure is found, the Commission will see itself obliged to ban the cooperation agreement in question.