British Midland (BM) has entered the fray over the British Airways/American Airlines alliance, arguing that slots should be made available for its European feeder services rather than exclusively for new transatlantic operations.

Chairman Sir Michael Bishop says that the move follows the recent intervention of European competition commissioner Karel van Miert, who has written to the UK Government warning that much tougher conditions will have to be attached to the alliance if it is to pass European competition rules (Flight International 22-28 January).

Van Miert has lent support to claims from US carriers that BA relinquish 500 or more slots per week, rather than the 168 initially suggested by the UK's own competition watchdog, the Office of Fair Trading (OFT).

Bishop says that his airline would be "content" to see transatlantic competitors win 168 slots - roughly equivalent to American's existing tally - as the price for the alliance, but is preparing to fight any attempt to bump up the number unless European operators are given an equal share.

He warns that if new "low-cost, low-fares" transatlantic services are allowed to flood Heathrow at the expense of feeder services, which provide business connections around Europe, then the hub will become "a huge tourist and leisure traffic airport for the USA".

Bishop suggests that if BA slots are put back into the pool they should be distributed on a "pro-rata" basis, in line with existing holdings. That would give a major boost to BM, which currently holds 13% of Heathrow slots, coming second only to BA which has 38%.

Pressure has also continued to build up in the USA with the heads of five carriers - United Airlines, Delta Air Lines, Trans World Airlines, Tower Air and the resurrected Laker Airways - sending a joint letter to the US Department of Transportation, demanding a full competition investigation is carried out before the granting of any anti-trust immunity.

The US-UK open skies talks, essential to granting such immunity, appear to be progressing, however, with BA confident of seeing the strands pulled together within the next couple of months.

Source: Flight International