North America

Aeromexico and Delta file antitrust immunity application

Delta Boeing 767-300
Tis Meyer/Planepics.org

Delta Air Lines and Grupo Aeromexico have filed an application with the U.S. Department of Transportation seeking antitrust immunity for a new joint venture on flights between the United States and Mexico.

This joint venture is subject to standard regulatory requirements, including the approval of the Federal Economic Competition Commission, among others.

The application marks a significant step in the creation of a $1.5 billion joint venture that, if approved, will allow Delta and Aeromexico to operate more effectively on routes between the U.S. and Mexico for the benefit of its customers. Also, Delta and Aeromexico will seek to expand opportunities to collocate and invest in airport facilities by improving gates and lounges. Additionally the airlines will increase joint sales and marketing initiatives.

Subject to obtaining the required approvals, both airlines expect to expand their networks in Mexico and the Unites States, connecting with major business centers such as Los Angeles and New York and will deepen their relationship started in 1994.  Aeromexico’s hubs – Mexico City, Monterrey and Guadalajara  – will give Delta customers greater access to cities throughout Mexico. Delta will provide Aeromexico with a broad North American network via Delta’s key hubs, including Atlanta, Detroit, Los Angeles and New York, and a strong marketing presence throughout the U.S.

Andres Conesa, Chief Executive Officer of Aeromexico commented:

“We are very excited that this new agreement, once approved by the competent authorities, will allow us to further deepen our relationship with Delta. The potential to combine and align our networks and scheduling means that we will able to offer greater customer choice that would not have been viable to operate individually. Passengers will be able to book, buy and fly interchangeably between both airlines.”

“Mexico is the most popular international destination for Delta customers, and our proposed joint venture will offer our customers more schedule and destination choices, whether traveling for business or pleasure,” said Ed Bastian, Delta’s President.

“Approval of antitrust immunity will allow travelers to fully benefit from all the aspects of a future Delta-Aeromexico joint venture, including the combination of two complementary networks.”

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