The EU Commission grants an exemption on the basis of art. 81(3) of the EC Treaty concerning a cooperation agreement in the air transport sector (Lufthansa / Austrian Airlines)

"Aviation: Combining network synergies and competition — the Commission's approval of the LH-AuA Alliance"*1. Introduction The liberalisation of the European air transport market during the 1990s has triggered a process of consolidation in the European airline industry. Apart from mergers, airline alliances play an important role in this consolidation process. They can produce benefits by extending networks and improving efficiency. However, they can also restrict competition on certain markets, in particular on routes between hubs of the alliance partners. When assessing such alliances under its competition rules, the Commission therefore has to weigh the benefits in terms of network synergies against the potential losses arising from the reduction in competition. In order to

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Oliver Stehman, The EU Commission grants an exemption on the basis of art. 81(3) of the EC Treaty concerning a cooperation agreement in the air transport sector (Lufthansa / Austrian Airlines), 5 July 2002, e-Competitions Bulletin Commitment Decisions, Art. N° 38936

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