22-Sep-2009 12:22 PM

Israel's Antitrust Authority refuses El Al exemptions for several codeshare agreements

Israel’s Antitrust Authority ruled that El Al Israel Airlines is operating several codeshare agreements that constitute restraint of trade deals, harm competition and, in some cases, have been deemed to raise suspicion of cartel activity (Globes, 21-Sep-2009). The conclusions are based on an examination conducted over the past two years following changes in the law that exempted airlines from Antitrust Authority probes. The Authority decided not to grant El Al an exemption for its codesharing agreements with Air India, Austrian Airlines, Tandem Aero, LOT, Balkan Bulgarian Airlines and Aerosvit Airlines. Exemptions were also granted for three years covering other codeshare agreements with other carriers. The directive will come into effect on 24-Oct-2009.

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