QANTAS GETS NOD TO FORM ALLIANCE WITH AMERICAN AIRLINES

MELBOURNE, Aug 22 (Bernama) -- Qantas Airways' bid to forge closer ties
with other airlines, including Malaysia Airlines (MAS), is a step closer after
the competition regulator approved a joint-venture with American Airlines (AA).

The Australian Competition and Consumer Commission (ACCC) said the two
carriers could work together on trans-Pacific flights, including scheduling,
marketing, pricing, revenue management and bidding for corporate contracts.

There was also the possibility of new and improved routes under the joint
business agreement (JBA), according to the ACCC's draft determination released
Monday.

The commission said the JBA was "unlikely to result in any public
detriment."

Its chairman, Rod Sims, said the ACCC did not consider that the JBA would
have any anti-competitive effects, as Qantas and American Airlines did not
currently provide any overlapping direct services between Australia and the US.

Currently, AA places its code on Qantas' flights between Australia and the
US, such as Melbourne-Los Angeles, Sydney-Dallas/Fort Worth and Sydney-Honolulu.

The two carriers also codeshare on selected flights within each other's
domestic networks.

The Australian Associated Press reported that Qantas chief executive, Alan
Joyce, said last week Qantas was keen to deepen its partnerships with other
airlines and increase flying into regional "gateways" as part of turning around
its loss-making regional operations.

As an example, Joyce cited new services this year from Australia to
Dallas/Fort Worth, the largest hub city of fellow oneworld alliance member
American Airlines.

Qantas was also looking to establish ties with MAS.