US DOT Grants Tentative Approval to QF/AA Joint Venture

[pauly7]

AMERICAN AIRLINES CEO PREDICTS “GOOD NEWS” ON PROPOSED QANTAS ALLIANCE

American Airlines chief executive Doug Parker says he expects to hear some “good news” soon about the fate of the proposed joint-venture with Qantas.

In February 2018, the two carriers applied to the United States Department of Transportation (DOT) for anti-trust immunity (ATI) for an expanded alliance and joint-business agreement on trans-Pacific routes.

It was the pair’s second attempt to forge a closer relationship, after the DOT in November 2016 knocked back the initial application that was lodged in 2015.

“There’s good news on the horizon,” Parker said during American Airlines’ first quarter results presentation on April 26 (US time).

“We’re very confident that our Qantas JV will be approved to go forward sometime soon.”

Full article:

American Airlines CEO predicts "good news" on proposed Qantas alliance

American Airlines chief executive Doug Parker says he expects to hear some "good news" soon about the fate of the proposed joint-venture with Qantas.

australianaviation.com.au

 

[pauly7]

Hopefully this means new QF / US routes open up as well!

Chicago? Seattle?

 

[sydneyboi]

AA needs to open more award seats to Qantas members in their first and business cabins from Syd-LAX etc

 

[Saab34]

It’s it’s rejected then AA will probably pull out of Oz and NZ.

 

[HS-TQE]

It’s it’s rejected then AA will probably pull out of Oz and NZ.

NZ maybe, but I can't see them pulling out of the SYD-LAX route, considering they've been reported to be at least equal (if not ahead) of DL (separately without the VA JV).

 

[dajop]

AA needs to open more award seats to Qantas members in their first and business cabins from Syd-LAX etc

AAdvantage members would probably argue that AA needs to open more award seats to its own members as well.

 

[serfty]

Reports of tentative approval to be announced soon.

Exclusive: U.S. set to grant tentative approval to American, Qantas venture - sources

The U.S. Transportation Department is expected to provide tentative approval to a bid by American Airlines Group Inc and Qantas Airways Ltd to operate a joint venture, two people briefed on the matter said on Sunday.

www.reuters.com

 

[VPS]

Will it mean more SC on any flights?

 

[juddles]

At the end of the day if any agreement is reached it can only be good if one is a QF FF.

Due no doubt to the relative affluence of pax at each end, and moderate competition, I think the trans-pacific route must rank one of the highest cost long-haul routes on the globe. I would hope any major improvement in QF-AA alliances could only make award seats etc more available, and other codeshares better. Just hoping

 

[Himeno]

Will it mean more SC on any flights?

Maybe...
AA was the last airline QF made the cuts to earn to, and reportedly because the DOT refused the JV before.

 

[Colster]

Not sure if already posted, but if true it makes me happy!

Exclusive: U.S. set to grant tentative approval to American, Qantas venture - sources

The U.S. Transportation Department is expected to provide tentative approval to a bid by American Airlines Group Inc and Qantas Airways Ltd to operate a joint venture, two people briefed on the matter said on Sunday.

www.reuters.com

 

[drron]

Apparently now approved.

 

[DC3]

One Mile At A Time is reporting that the QF/AA Joint Venture has finally been approved:

American & Qantas Joint Venture Receives Final Approval

For years American & Qantas have wanted a joint venture, and that has finally been approved. What does this mean for consumers?

onemileatatime.com

Edit: Looks like there's also a spin-off thread, here:

AA CEO predicts good news soon on deeper QF alliance

AMERICAN AIRLINES CEO PREDICTS “GOOD NEWS” ON PROPOSED QANTAS ALLIANCE American Airlines chief executive Doug Parker says he expects to hear some “good news” soon about the fate of the proposed joint-venture with Qantas. In February 2018, the two carriers applied to the United States...

www.australianfrequentflyer.com.au

 

[DC3]

Not sure if already posted, but if true it makes me happy!

Exclusive: U.S. set to grant tentative approval to American, Qantas venture - sources

The U.S. Transportation Department is expected to provide tentative approval to a bid by American Airlines Group Inc and Qantas Airways Ltd to operate a joint venture, two people briefed on the matter said on Sunday.

www.reuters.com

Apparently now approved.

Yes. More information in the other thread:

US DOT blocking QF/AA JV - QF/AA resubmit

We’ve seen it with dubai, with EK pulling out of trans-tasman.Part of the ACCC approval for the EK/QF JV was that trans tasman capacity must remain the same as before the JV or increase. EK reducing AU-NZ flying means QF has to increase.

www.australianfrequentflyer.com.au

 

[muppet]

Qantas has now confirmed its proposed new routes:

BNE to ORD
BNE to SFO

QANTAS AND AMERICAN AIRLINES WELCOME US DEPARTMENT OF TRANSPORTATION’S TENTATIVE APPROVAL OF JOINT BUSINESS

Keep up to date with Qantas' latest news and information, media releases, articles, images and more with the Qantas News Room.

www.qantasnewsroom.com.au

 

[Melburnian1]

Why does the US DOT give "tentative" approval initially?

A bit like being half pregnant. Why not defer an announcement until all 'i's are dotted?

 

[getluv]

Why does the US DOT give "tentative" approval initially?

A bit like being half pregnant. Why not defer an announcement until all 'i's are dotted?

The tentative approval is to allow interested parties to appeal the decision.

 

[justinbrett]

This is really great news - there's so many connections out of LAX/DFW that's currently not sold by Qantas - this will really open up the market.

Let's hope the US CPB finalise opening the Global Entry program to Aussie.

I'm tipping BNE-ORD as the new route; I don't think BNE-DFW will open much business for them (those PAX are flying either through SYD or LAX); BNE-ORD will help QF compete with NZ and open new US routes to all Aussie PAX.

 

[dajop]

Would MEL-DFW be an option? It’s about the same distance as PER-LHR (17 miles shorter), or would DFW climate or prevailing “weather” enroute (westbound) meant it is a more difficult ULH route to operate.

 

[justinbrett]

Would MEL-DFW be an option? It’s about the same distance as PER-LHR (17 miles shorter), or would DFW climate or prevailing “weather” enroute (westbound) meant it is a more difficult ULH route to operate.

I think QF has already said they were looking at this route (I'd say if/when SYD-DFW is downgraded to B787, the lost capacity would be picked up by a new MEL-DFW route). I've got a crazy theory that it might be AA, not QF that launches this route (instead of MEL-LAX).

There's plenty of diverts on each end (in Mexico and Noumea / Fiji / New Zealand) so it's probably easier than PER-LHR.

But this new QF route will be ex-BNE, that has been confirmed by QF due to basing requirements. It will probably end up operating a new European route as well (via PER), in time.