Aer Lingus Open Skies Agreement

All that remains is to wait for the other airlines to agree on their authorization, which could be available by the end of the year. This is DOT`s second agreement and abuse of dominance authorization this year, after signing Delta (DL) agreements with WestJet (WS). On March 31, 2007, Aer Lingus withdrew from the Oneworld airline alliance and entered into bilateral agreements with companies such as British Airways, Virgin Atlantic, Delta Air Lines, KLM and United Airlines. Aer Lingus justified this approach by the fact that the carrier has repositioned itself as a low-cost carrier, which does not correspond to Oneworld`s premium international traveller. The „open skies“ agreement between the EU and the United States is an agreement on air services between the European Union (EU) and the United States. The agreement allows any Airline of the European Union and any airline of the United States to fly between every point of the European Union and any point of the United States. EU and US airlines are allowed to travel to another country after their first stop (fifth freedom). Since the EU is not considered a single zone within the meaning of the agreement, this in practice means that US airlines can fly between two points in the EU as long as this flight is the continuation of a flight that started in the US (. B for example, New York – London – Berlin). EU airlines can also fly between the US and third countries that are part of the common European airspace, such as Switzerland. EU and US airlines can fly all-cargo under the 7th Freedom Rights, which means that all-cargo flights by US airlines can be operated by an EU country to any other EU country and all-cargo flights can be operated by EU airlines between the US and any other country.

[1] Norway and Iceland joined the agreement from 2011 and their airlines enjoy the same rights as THE EU airlines. [2] The 10-year binding commitment, which was extended until March 2024 due to the COVID 19 pandemic, has been the subject of wide debate. It goes without saying that the CMA will wait for air traffic to resume before the agreements are reviewed. One way or another, it would seem that such antitrust institutions agree on this point. On December 1, 2008, Ryanair launched a second bid to buy Aer Lingus and submitted a cash offer of 748 million euros ($619 million; $950 million). The offer of 1.40 euros was a 28% premium to the average closing price of the Aer Lingus share during the 30 days ending November 28 (1.09 euros), but half as much as that offered by Ryanair in 2006. Ryanair said: „Aer Lingus has been marginalised and bypassed as a small autonomous regional airline, as most other EU flag airlines have consolidated.“ The two airlines would operate separately and Ryanair said it would double Aer Lingus` short-haul fleet from 33 to 66 and create 1,000 new jobs. [49] [50] [51] The Aer Lingus Board rejected the offer and advised its shareholders not to do anything. [52] The offer was ultimately rejected by the majority of the other shareholders.