The US Department of Transportation finalized its order terminating the Delta Air Lines/Aeromexico joint cooperation agreement and antitrust immunity. The pair must wind down their immunized operations by the end of the year.
Viva Aerobus
Delta, Aeromexico JV Smacked Down, Again
Any hopes Delta Air Lines and Aeromexico had that the US DoT softened its position relative to their Joint Venture renewal in the 18 months since initially calling for it to die were dashed this morning.
US DOT suspends consideration of Allegiant, VivaAerobus JV application
Since December 2021 Allegiant and VivaAerobus have been pursuing antitrust immunity from the US Department of Transportation to operate a transborder joint venture between the US and Mexico. Today that application took a somewhat unexpected turn, with the DOT suspending the procedural review, owing to factors well outside the control of either airline.
Mexico considers foreign airlines for cabotage operations
Mexico’s President want to see more competition in the domestic air travel market. López Obrador proposes to allow foreign airlines to operate within the country – service known as cabotage – competing against the local incumbents. But will any show up??
Allegiant, Viva Aerobus plan groundbreaking joint venture
Allegiant sees significant potential carrying leisure travelers to Mexican resort destinations, but the cost – both real and relative to domestic expansion – is too high. Viva Aerobus wants to expand deeper into the US leisure segment, but its prior attempts mostly failed. Together, however, the two believe they can become a strong player in the transborder market, commanding a double digit share.