Air Europe vies for main routes

Press, 26 September 1989, Page 34

Air Europe vies for main routes

By TONY VERDON in London British Airways’ traditional domination of longhaul scheduled air services from Britain is under challenge by Air Europe, which has applied to fly 11 of the world’s most lucrative routes. Air Europe is confident of getting permission to fly from Britain to New Zealand, Mexico and Canada, and believes that the time is right for further agreements with the

United States. Until now Air Europe has concentrated on building up a network of European services, but is now convinced it has the expertise and equipment to expand into long-haul services. Formal applications for licences to fly to Auckland, Toronto and Vancouver, San Francisco, New York and Honolulu, Bermuda and the Bahamas, and Mexico City, Cancun and Acapulco have been lodged with the British Civil Aviation Authority.

The airline planned to offer cut-price deals in both business and economy class from Gatwick, Manchester and Glasgow airports. Air Europe said it had deliberately chosen routes which it believed were among British Airway’s weakest. The managing director, Mr Rod Lynch, said Air Europe realised that in, some areas it would be slugging it out with the big boys of the airline business. Civil aviation authorities in London said there

were many obstacles in Air Europe’s path before the proposals could become reality. They said that although the Civil Aviation Authority was likely to give approval for the licences, the British Department of Transport would have to negotiate agreements with the countries to which the airline planned to fly. A new round of discussions over air services was to begin with the United States soon and the United States was unlikely to give access to its

prize routes without getting something in return from Britain. Air Europe believes, however, that it has chosen its routes carefully. It said it could show that many thousands of passengers would be attracted to it through lower fares and a highquality product. A British Airways spokesman said that' it did not object to competition provided it did not hurt or affect its existing network.