Brussels, 13/06/2001 (Agence Europe) - The European Commission has granted a six-year exemption to the cooperation agreement between bmi british midland, Lufthansa and SAS, in application of Article 81 par. 3 of the EC Treaty. The agreement establishes a joint venture allowing bmi british midland to reorganise and extend its network services outside London and Manchester on new links within the EU. It will also allow Lufthansa and SAS to improve their competitive position on the British market, since they will be able to sell on-line services between London and a certain number of destinations to the United Kingdom and to Ireland (Dublin). The agreement, however, has meant that bmi british midland has withdrawn from the London Heathrow-Frankfurt route, something that the Commission did not view favourably given that this is one of the busiest routes in the EU and that it is important to ensure a sufficient degree of choice for consumers to benefit from competitive prices.
The Commission, however, has gone back on its earlier reticence. The airline companies have in fact proposed to open time slots, which were used by bmi british midland at the main Frankfurt airport (for the Heathrow-Frankfurt route), for a newcomer in order to allow it to assure up to four return flights daily between these two destinations. In attributing timeslots, priority will be given to newcomers. The Commission has therefore decided to grant a six-year exemption in favour of the joint venture, as it considers that the agreement will bring major advantages for consumers by offering a wider choice of services and links, better connections, more convenient scheduling and seamless travel.