Chile approved the merger between LAN and TAM but eleven conditions imposed
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Chile approved the merger between LAN and TAM but eleven conditions imposed

Lan : Burkina Faso | Sep 22, 2011 at 10:50 AM PDT
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People wait in line at the counter for LAN airlines at the airport in Lima

Among the conditions imposed by the antitrust agency is to LATAM (this is called the new company) will share four pairs of slots per day at the airport in Sao Paulo Guarullhos of which are currently Tam Lan or headlines, with those airlines that have interest in starting or increasing regular air services on the route Santiago-Sao Paulo.

They should also extend the benefits of Frequent Flyer Program Latam an airline passengers concerned, for a period of five years and on terms that the Chilean court says.Also, you must subscribe interlining on routes Santiago-Sao Paulo, Santiago, Rio de Janeiro and / or Santiago, Asuncion (Paraguay), with those interested airlines operating these routes and so requested.

The merged Latam can not raise the monthly supply of seats available on flights on the route Santiago-Sao Paulo in the period between 15 minutes before and 15 minutes after the flight itinerary for the slots exchanged.

Also, Lan must modify its Plan of Self-Regulation in the terms indicated in the resolution. In addition, LAN and TAM must give at least one of the two global alliances that at that time to participate and will have to remove and revise the code-share agreements with airlines that do not belong to the same alliance to which it belongs Latam, among others.

Now subtract the antitrust agency of Brazil, the Portuguese acronym Cade, to rule on the merger. It is expected to occur between the last week of October and first week of November, said the case by the person responsible in the commission, Olavo Chinaglia, in late August.

It is also pending approval of the alliance in Argentina and Spain, would join Germany andthe U.S., where has already been authorized.

The merger was announced on August 13, 2010. S in but its realization was delayed when the January 28 this year, the TDLC accepted the handling of the consultation group Conadecus consumers who requested that an analysis of the effects that this operation would have on competition, given the weight that Lan Chile and especially about what would happen with flights to Brazil.

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Chile approved the merger between LAN and TAM but eleven conditions imposed
The Court of Competition approved the transaction between the two airlines being subject to a number of measures. The Brazilian regulatory agency will give its ruling before year's end
Vicky247 is based in Lahore, Punjab, Pakistan, and is a Reporter for Allvoices.
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    Story continues below Industry experts say the ruling will act as a blueprint for future mergers in Chile. However, they say the deal could face delays in Chile if a third party appeals the decision to the Supreme Court. Airlines Group has already...

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