BA investigated on fuel surcharge

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Old Jun 22nd, 2006 | 07:16 AM
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esm
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BA investigated on fuel surcharge

BA is being investigated for alleged price fixing for fuel surcharge on long haul flights.

http://news.bbc.co.uk/2/hi/business/5104946.stm
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Old Jun 22nd, 2006 | 09:04 AM
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Another article on the same topic:

http://www.msnbc.msn.com/id/13474994/

It will be interesting to see how this pans out and what, if any, penalties/remedies will come of it if the parties under investigation are found to have engaged in unlawful price fixing.
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Old Jun 22nd, 2006 | 09:12 AM
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Airlines involved in price-fixing? Hard to imagine ;-)
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Old Jun 22nd, 2006 | 12:51 PM
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BA are being investigated, other airlines are helping in the investigation.

Forgive me for being pedantic but for price fixing to occur there must be more than one partner in it - so why isn't the headline "BA & <insert airline name> investigated on fuel surcharge"?
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Old Jun 22nd, 2006 | 01:01 PM
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esm
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Good point alanRow. I posted using BBC's headline but as the article indicates Virgin and American are "helping" which may mean they are being investigated too. Later in the piece, American claims it is not being investigated (same with a few other airlines).
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Old Jun 22nd, 2006 | 01:16 PM
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Did you consider the possibility that AA, UA or VA may have received a call from BA??? to participate in the scheme, and they refused???
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Old Jun 22nd, 2006 | 01:35 PM
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Apparently that is exactly what happened, according to BBC latest report. BA was telling their "partner and competitor" airlines on how much the fuel surcharge will be before they released the info publicly.

AA, UA and VA are being subpoenaed by governments on both sides of the pond to testify. That means that they need their help to "convict" BA, not to "convict" the witnesses.
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