Virgin Atlantic argues against rival airline merger

Virgin Atlantic has underlined its opposition to the proposed merger between British Airways and American Airlines, saying that the move would be "disastrous" for passengers and businesses.

The American department of transportation has set a deadline of May 18th for companies to express their concerns about the planned partnership between British Airways and American Airlines.

Putting its case forward, Virgin Atlantic claimed that the merger would create a "monster monopoly" on services linking London Heathrow Airport to the US.

The airline warned that approval of the deal would allow its two rivals to control the majority of the capacity on key routes from Heathrow to Boston, Miami and New York JFK.

Speaking in Washington, Virgin Atlantic president Sir Richard Branson said: "If the proposed merger between BA and American Airlines is allowed to go ahead then the result for passengers, employees, communities and for fair and healthy competition, would be disastrous.

"It doesn't make sense to encourage even less competition by allowing dominant carriers to increase their stranglehold by setting prices together and agreeing schedules."

It was announced this week that Virgin Atlantic had entered a partnership with VisitBritain to attract more American tourists to the UK this year.

Posted by Carrie, 15 May 2009 13:10

News tags

• New York
• Miami
• Boston
• American Airlines
• Virgin
• British Airways