American Continues to Strengthen Oneworld Partnership

American Airlines said it is continuing to work on strengthening its global network through its oneworld alliance partnerships. In recent days, American said it has achieved key milestones with its oneworld partners aimed at enhancing competition and customer benefits in the trans-Atlantic and trans-Pacific markets.

American and JAL plan to provide even more seamless connections and routing choices for customers in the North America-Asia market as a result of their application for antitrust immunity, which they filed with DOT on Feb. 12. American and JAL asked DOT for antitrust immunity to forge a closer relationship and operate a joint business on flights between North America and Asia. The airlines also will notify the Ministry of Land, Infrastructure, Transport and Tourism in Japan of the transaction.

According to American, customers in the trans-Pacific market will benefit from the strengthened relationship between American and JAL. By more closely integrating their networks, the airlines will be able to improve efficiency, find opportunities to lower costs and have greater ability to invest in products, services and fleets.

Meanwhile, American’s and oneworld’s efforts to strengthen the alliance’s trans-Atlantic presence grew a step closer to reality on Feb. 13 when DOT tentatively approved an application for antitrust immunity by American and oneworld partners British Airways, Iberia, Royal Jordanian and Finnair, as well as plans to operate a joint business between North America and Europe by American, British Airways and Iberia. With antitrust immunity, the three airlines can cooperate more closely to deliver enhanced service and travel options for customers.

Separately, the three airlines will also share revenue on flights within the joint business. In making its decision, DOT said that granting antitrust immunity to oneworld would provide travelers and shippers with a variety of benefits, including lower fares on more routes, increased services, better schedules and reduced travel and connection times. DOT also said the proposed alliance would enhance competition with the other airline alliances, which already enjoy broad antitrust immunity.

The carriers will review the DOT’s proposed conditions and respond during the comment period preceding a final order. In addition, American, British Airways and Iberia continue to discuss the benefits of their plans with regulators in the European Union.