§ Mr. ChopeTo ask the Secretary of State for Trade and Industry (1) on what issues more progress is needed before a final decision can be announced on the application for approval of the alliance between British Airways and American Airlines; [66641]
(2) when he expects to be able to announce a final decision on the proposed alliance between British Airways and American Airlines; [66642]
(3) if he will place in the Library a copy of his predecessor's letter to British Airways in reply to a letter dated 2 December seeking deferment of a final decision on the alliance with American Airlines; and if he will make a statement. [66643]
§ Mr. Byers[holding answer 19 January 1999]: The Alliance cannot be implemented until my right hon. Friend the Secretary of State for Environment, Transport and the Regions has concluded a new liberalised air services agreement with the United States. I could not take a final decision on the alliance until the picture on the negotiations is clearer. Assuming satisfactory progress on the air services agreement, there would also need to be further work to be done on the details of slot allocation, and the industry wide issues identified by the Commission also need to be progressed. Given the current position, it is not possible for me to assess when I will be able to take a final decision.
The substance of my predecessor's letter to British Airways has already been made public. I refer the hon. Member to the answer given to him by my right hon. Friend the Member for Hartlepool (Mr. Mandelson), on 17 December 1998, Official Report, column 697.