Thursday, January 20, 2011

United Wants Joint Venture With Air Canada




Speaking Wednesday at the Hudson Securities airline conference, United CEO Jeff Smisek said United is "looking at a trans-border joint venture" with Air Canada. Additionally, he said, "We're keenly interested ... to form a joint venture in Latin America as well; we will pursue that."


Smisek did not name any potential Latin partners, but the Brazilian carrier TAM is a member of the Star Alliance and last month, both Avianca-Taca, which combines Columbian and El Salvadoran airlines, and Copa, based in Panama, agreed to join Star.

"We think there's a tremendous opportunity for us in JVs," Smisek said. "We compete across the world with everybody, and JVs are a powerful competitive tool for us."

United has a transatlantic joint venture with anti-trust immunity with Air Canada, Continental and Lufthansa. This year, regulators approved its request for a transpacific joint venture with ANA.

By

Neha Jain
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