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US: Authorities block plans by Qantas to increase seats to America

By  |  November 21, 2016

Plans by Qantas to expand the number of seats it flies with American Airlines to the US have been knocked back on competition concerns.

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    The US Department of Transportation has issued a show cause order tentatively denying an application by Qantas and American Airlines to expand their alliance for services between the US and Australia/New Zealand.

    The department says analysis of traffic data, passenger bookings and other evidence show the expanded alliance would create a potentially anti-competitive environment.

    The deal, which would set pricing for seats sold in the US, would account for about 60% of capacity between the US and Australia.

    “Consumers would have few remaining competitive options because the US-Australia/New Zealand markets are not well served by alternative routings over third countries,” the department said in a statement.

    Full Content: Business Insider

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