oneworld

Chile’s Supreme Court Thursday struck down a proposed deal on routes between carriers LATAM Airlines, American Airlines, British Airways and Iberia, upending an agreement meant to reshape international air travel in Latin America. The decision comes more than 2years after the carriers announced their plans, termed a joint business agreement. At the time it was seen as a bold move to save costs, coordinate prices and run routes more efficiently, but also raised antitrust concerns. “We are in the presence of an agreement between competitors ... who individually each have relevant market shares and who would acquire a joint market power that would be hard to challenge in a post-deal scenario,” 4 judges wrote in their decision. LATAM said it was “surprised” by the decision and that it was a “step backward” for Chile. <br/>

British Airways will resume flights to Pakistan next week a decade after it suspended operations following a major hotel bombing, becoming the first Western airline to restart flights to the country. BA halted service to Pakistan in the wake of the 2008 Marriott Hotel bombing in Islamabad that took place during a period of devastating Islamist militant violence in Pakistan. Security has since improved, with militant attacks sharply down in the country, reviving Pakistan as a destination for tourist and investors. "The final touches are coming together for the airline's return ahead of the first flight Sunday June 2," BA said. It will launch a 3-per-week service to London Heathrow, it said. At present, only loss-making Pakistan International Airlines flies directly from Pakistan to Britain. <br/>