American Airlines Group Inc and Qantas Airways Ltd have been given the U.S. gove...
WASHINGTON - American Airlines Group Inc and Qantas Airways Ltd have been given the U.S. government’s tentative approval to operate a joint venture after a prior effort was rejected in 2016.
The deal would allow the airlines to coordinate their planning, pricing, sales and frequent flyer programs, with new options and customer service improvements. The airlines planned up to three new routes within the first two years and increased capacity on existing routes, the department said.“The joint business will also create additional jobs at our respective companies and in the industries we serve,” said American Chairman and Chief Executive Officer Doug Parker.
American and Qantas in February 2018 made a second attempt to gain U.S. regulatory permission under President Donald Trump’s administration for a venture that would let them coordinate prices and schedules. They threatened to cancel services if it was rejected and argued it could “unlock” up to $310 million annually in consumer benefits.
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