Japan Airlines and American Airlines Alliance Agreement and Joint Business Agreement

Case Title

Japan Airlines and American Airlines Alliance Agreement and Joint Business Agreement

Notifying Date

6 December 2010

Notifying Parties

The parties to the Agreement are:

1. Japan Airlines International Co., Ltd. (“JAL”)

2. American Airlines, Inc. (“American”)

Summary of the nature and objective of the agreement

The parties, JAL and American, are members of the oneworld alliance which is presently the smallest out of the three global airline alliances operating worldwide. The Applicants have entered into an Alliance Agreement and Joint Business Agreement ("the Agreements") with the aim of closely integrating their transpacific businesses beyond mere codesharing. The arrangement contemplated by the two agreements will allow the Applicants to generate significant efficiencies and provide considerable consumer benefits through an enhanced and more competitive range of services to air transportation passengers, including those travelling to and from Singapore.

The relevant service is the international air transportation of passengers.

Decision

On 7 April 2011, CCS issued a clearance decision to the parties informing them that the Agreements are excluded from section 34 of the Act as they have net economic benefit, pursuant to section 35 of the Act, read with paragraph 9 of the Third Schedule of the Act. 

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