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US to grant immunity to for two US-Japan code shares

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US to grant immunity to for two US-Japan code shares

The US Transportation Department has indicated that it will approve antitrust immunity to US-Japanese alliances.

The airlines being granted immunity are American Airlines and Japan Airlines, which are already partners in the Oneworld alliance; and United Airlines, Continental Airlines and All Nippon Airways, which are members of the Star alliance.

Such immunity will allow the airlines to cooperate on schedules, market and operate trans-Pacific flights, as well as sharing expenses.
The agency said it found that granting antitrust immunity would provide "a variety of benefits, including lower fares on more routes, increased services, better schedules, and reduced travel and connection times."

American Airlines said customers would benefit from its alliance with Japan Airlines.

"An immunized joint business will benefit the U.S. and Japanese economies, promote increased cultural exchange and provide more travel choices and greater access to discounted fares for millions of consumers," said senior vice president Will Ris.