As part of their efforts to gain regulatory approval for their proposed merger, United Airlines and US Airways are creating a start-up carrier - the first ever at Washington National Airport - but sceptics already question the true value of competition that DC Air will offer.

Stripped of US Airways' key routes from its Washington DC base, including routes to US Airways hubs at Pittsburgh and Charlotte, and of the US Shuttle to Boston and New York, DC Air is unlikely to put up any serious competitive threat to the combined might of United-US Airways. Congress is also concerned about DC Air's executive management team, which will include Robert Johnson as chairman and Bruce Ashby as acting president. Both men have links with US Airways - Johnson is a board director and Ashby a senior vice-president.

US Airways chairman Stephen Wolf describes DC Air as "the most significant pro-competitive change" at National since slot controls were introduced in 1968. Whether that will influence the Departments of Justice and Transportation is to be seen.

Source: Airline Business