April 7, 2004 – Cleary Gottlieb won antitrust clearance from the European Commission for an alliance between client Alitalia and Air France, which will permit extensive cooperation between the airlines, particularly on routes between France and Italy. The cooperation includes joint network planning, joint sales, joint pricing, and cooperation in frequent flyer programs and cargo transport. After extensive review and 2 1/2 years of consideration, the Commission granted its approval today.
The decision exempts the Alitalia / Air France alliance from European antitrust rules until November 12, 2007, subject to certain concessions, including the potential surrender of airport take-off and landing slots at airports in Paris, Milan, Rome, and four other cities to new entrants who are unable to obtain slots through the normal allocation procedures.
