Alitalia has finally joined up as an official member of the Northwest-KLM alliance across the Atlantic. The three airlines have jointly applied for US antitrust immunity - required to allow co-ordination of prices and profits.

The Italian carrier believes that US permission could be given as soon as September. No similar submission has been made to the European Commission, which is currently investigating the KLM-Alitalia accord signed late last year, as well as the original KLM-Northwest - that was the first to win antitrust immunity on the back of the blueprint Dutch-US open skies deal signed some seven years ago.

Continental Airlines, already an Alitalia partner, is due to sign up next, but that is pending a resolution to its partnership with Northwest. Consumation of that deal, which is cemented by Northwest taking an equity stake in Continental, raised fierce opposition in Washington and has been on hold ever since, being contested through the courts by the US Department of Justice. Alitalia concedes that the status of the tie-up is "not very clear".

In strategic terms the carriers provide a good fit, with little overlap and the opportunity to exploit Alitalia's new hub at Milan Malpensa.

Source: Airline Business