Antitrust Objections to Orbitz Airline Joint Venture Voiced by AAI in Comments to D.O.T. and Letter to D.O.J. and Congress

The AAI, on Sept. 18, 2000, published the following statement concerning antitrust issues raised by an Internet-based joint venture of most of the nation’s airlines, called Orbitz. The statement was provided to the U.S. Department of Transportation in the form of comments on the DOT rulemaking for Computer Reservation Services, and a letter to the U.S. Department of Justice Antitrust Division with copies to the Judiciary and Commerce Committees of the House of Representatives and Senate. The AAI statement also includes the written version of oral testimony previously submitted to the Senate Committee on Commerce, Science, and Transportation on July 27 by Dr. Alfred Kahn, a member of the AAI Advisory Board.

September 16, 2000

Hon. John McCain, Chair
Senate Commerce Committee
Room 508 SD
Washington, DC 20510

Dear Chairman McCain:

The American Antitrust Institute understands that the Antitrust Division is investigating a joint venture of the airlines known as Orbitz. We believe that this joint venture raises at least four classes of antitrust concerns, which we discuss in the enclosed filing in Docket Numbers OST-97-2881, OST-97-3014, OST-98-4775 of the U.S. Department of Transportation. Also included in our statement is the written version of oral testimony presented to the Senate Commerce, Science and Transportation Committee on July 27, 2000, by Dr. Alfred Kahn, who is a member of the AAI Advisory Board. We hope that you will find our submission useful.


Albert A. Foer

Cc: The Hon. Ernest F. Hollings, Ranking Member
Enclosure: Comments to U.S. D.O.T.

The AAI’s comments relating to Orbitz and the D.O.T.’s C.R.S. Rulemaking can be downloaded in Adobe Acrobat Format.
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