PUBLIC AFFAIRS SECTION

Press Notice

Inauguration of US Airways' London Heathrow-Philadelphia Service Marks the Beginning of the U.S.-EU Open Skies Agreement

On March 30, 2008, the United States - European Union Air Transport Agreement, better know as the Open Skies agreement, entered into effect. The Open Skies framework between the United States and all 27 EU Member States will allow every U.S. and EU airlines to: fly between every city in the EU and every city in the United States, operate without restriction on the number of flights, aircraft and routes, set fares according to market demand; and enter into cooperative arrangements, including code sharing, franchising, and leasing.

The Open Skies Agreement recognizes the need to liberalize commercial flights between the U.S. and EU, and to bring new routes, which in turn will bring increased consumer choice, and other benefits of a freer market to UK, EU and U.S. customers.

Thanks to the agreement American and UK carriers are now offering 30 new flights between the U.S. and UK. U.S. carriers: Delta, Continental, US Airways, Northwest, United and American, will begin thirteen new flights to Heathrow, increasing competition, connections and choices for passengers on both sides of the Atlantic. Additionally, British Airways will soon fly from Paris and Brussels to the U.S., and Air France from Heathrow to the U.S.

In addition to benefits for consumers, the agreement should help our economies. One study estimates a 29% increase in U.S.-UK traffic from a first-stage agreement, and an analysis prepared for the European Commission by Booz/Allen projected as many as 80,000 new jobs and 26 million new passengers over five years.

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