US airlines unlikely to face antitrust case on capacity
The US Justice Department is unlikely to bring an antitrust action against US airlines after finding little evidence the carriers coordinated to raise fares by curbing the supply of seats, a person familiar with the matter said. The US has been investigating major US carriers at least since the summer of 2015, when some airlines confirmed getting letters from the Justice Department requesting documents about their actions on seating capacity. The availability of seats is closely tied to air fares, because airlines find it difficult to raise prices when capacity exceeds demand. Investigators didn’t uncover sufficient evidence of collusion among airlines to restrain seats, and it is unlikely the department will pursue any formal action, said the person, who asked not to be named. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2017-01-12/general/us-airlines-unlikely-to-face-antitrust-case-on-capacity
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US airlines unlikely to face antitrust case on capacity
The US Justice Department is unlikely to bring an antitrust action against US airlines after finding little evidence the carriers coordinated to raise fares by curbing the supply of seats, a person familiar with the matter said. The US has been investigating major US carriers at least since the summer of 2015, when some airlines confirmed getting letters from the Justice Department requesting documents about their actions on seating capacity. The availability of seats is closely tied to air fares, because airlines find it difficult to raise prices when capacity exceeds demand. Investigators didn’t uncover sufficient evidence of collusion among airlines to restrain seats, and it is unlikely the department will pursue any formal action, said the person, who asked not to be named. <br/>
