Journal: TWUK | Section: |
Title: | Issue Date: 17/04/00 |
Author: | Page Number: 29 |
Copyright: Other |
UK demands face rejection
CRUCIAL demands from UK carriers outlined in the on-going bilateral talks with the US look set to be rejected in June.US department of transportation secretary Rodney Slater is understood to have ruled out granting Virgin Atlantic or British Airways the opportunity to own a US airline or operate onward flights from the destinations such as New York and Chicago.
Under current US aviation rules, a UK airline can only have a 25% share in a US carrier, something Virgin is vehemently opposed to as it wants to start up a low-cost Virgin America operation.
Talks recommence on June 12 but Slater will refuse to discuss the two important issues. He has also hinted that the long-awaited alliance between BA and American Airlines will continue to be blocked. The carriers have waited for four years for approval and the continued stalling is seriously harming their Oneworld partnership as the rival Star Alliance improves its operations.