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Air transport: inquiry launched into Alitalia-CAI in implementation of 27 October 2008 Law


PRESS RELEASE


PRESS RELEASE

AIR TRANSPORT: ANTITRUST LAUNCHES INQUIRY INTO ALITALIA-CAI IN IMPLEMENTATION OF 27 OCTOBER 2008 LAW

Fiumicino-Linate and 17 other routes are under examination. The company will be required to remove any situations of monopoly or dominance that are ascertained. Proceedings must be concluded by 29 February 2012.

 

In a meeting on 30 November 2011, the Autorità Garante della Concorrenza e del Mercato (under the new presidency of Giovanni Pitruzzella) launched an inquiry, in application of law no. 166 of 27 October 2008, into the Alitalia-Cai merger to determine its impact on the market. In 2008, the law in question inhibited the Antitrust Authority's authorization power for this merger in a three-year postponement of the determination of possible dominant positions and the specification of deadlines for their removal.

The Authority submitted a request for information to the firm to get a better picture of the market situation. The investigatory proceeding shall ascertain the formation or reinforcement of dominant positions subsequent to the merger and their persistence up to the present for the Roma Fiumicino-Milano Linate route and 17 other connections, specifically: Roma Fiumicino-Bari, Roma Fiumicino-Brindisi, Roma Fiumicino-Catania, Roma Fiumicino-Genova, Roma Fiumicino-Lamezia Terme, Roma Fiumicino-Palermo, Roma Fiumicino-Pisa, Roma Fiumicino-Torino, Roma Fiumicino-Trieste, Roma Fiumicino-Venezia, Milano Linate-Bari, Milano Linate-Brindisi, Milano Linate-Lamezia Terme, Milano Linate-Napoli, Milano Linate-Palermo, Napoli-Torino and Napoli-Venezia.

The inquiry, which must be concluded by 29 February 2012, will also consider the possible generation of pro-competition effects due to the entry of new operators in passenger air transport and the growth of intermodal competition along the routes in question.

The Authority also set the date of 28 October 2012, which marks the beginning of the IATA “Winter 2012/2013” season, as the deadline for the firms to remove any situations of monopoly or dominance that are ascertained. The IATA “Winter 2012/2013” season represents the first usable date because of the fact that the operational flight plans for the “Summer 2012” season have already been determined.

Rome, 2 December 2011