American and British Airways Welcome DoT Order

British Airways and American Airlines said they are delighted by a Wednesday order tentatively giving the airlines permission to codeshare on a wide number of flights beyond the carriers' gateways in the United Kingdom and the United States.

The U.S. Department of Transportation ruling provides for a comment period until April 21. The carriers plan to begin codesharing as soon as possible if the order is made final.

American Airlines says the agreement will enable American to place its code on British Airways flights beyond American's U.K. gateways to key destinations in the United Kingdom, Continental Europe, Africa, the Middle East, and Asia. American will also place its code on British Airways' transatlantic service between New York's JFK and Manchester.

British Airways, in turn, will put its code on American's flights beyond BA's U.S. gateway cities to points within the U.S. and to Mexico, the Caribbean and Latin America. British Airways will also place its code on American's flights between Chicago and Glasgow and Manchester. The carriers will not codeshare on each other's transatlantic services to London.

In a joint statement, British Airways Chief Executive Rod Eddington and AA Chairman and CEO Don Carty said:

"Today's decision is a significant milestone in our relationship, allowing us to offer access to more online destinations, improve transfer and check-in processes, and bring our consumers all the benefits that codesharing and enhanced competition allow. It will also help underpin the continued success of oneworld, of which we are both prominent members.

"And although we do not have the antitrust immunity that other global alliances enjoy on the North Atlantic, this move is clearly a step in the right direction," the executives said.

Carty thanked a bipartisan group of 39 U.S. Senators and over 90 members of the U.S. House of Representatives who supported the application. The group was led by Senators Don Nickles, R-Okla; Tom Harkin, D-Iowa; Kay Bailey Hutchison, R-Texas; Dick Durbin, D-Ill and Representatives Martin Frost, D-Texas; Henry Bonilla, R-Texas; and House Majority Whip Roy Blunt, R-Mo. "Their support for our proposal was unwavering," Carty said.

FMI: www.amrcorp.com