Delta Air Lines has signed a joint venture agreement with South American airline group LATAM, a new step in a partnership between the two airlines announced last fall. Both operations are subject to authorisation from the authorities in different countries. American and LATAM are considering seeking immunity from antitrust legislation, while IAG has announced that it would take between 12 and 18 months to get the green light. The agreement is the final step in the partnership announced by the airlines last September, which already includes codeshare agreements, mutual loyalty services and colocations at New York and Sao Paulo airports. The CEOs of both airlines said that despite the impact of the Covid 19 crisis on the aviation industry, the alliance remained a priority. “At the end of last year, we intend to build the leading strategic alliance in Latin America with LATAM and, although the industry has changed, our commitment to this joint venture is still as strong as ever,” said Ed Bastian, CEO of Delta Air Lines, in a statement to Simple Flying. David is responsible for providing an overview of the routesonline community through the latest news, as well as regular features and analysis on developments and trends in the sector. Prior to that, he was an economics journalist for 11 years, including five years as editor of an award-winning digital news team. For more information, see delta.com/us/en/airline-partners/latam or latam.com/en_us/about-us/latam-delta-alliance/ SANTIAGO/LONDON (Reuters) – Chile-based LATAM Airlines has signed joint trade agreements to deepen its relationship with American Airlines Group and British Airways and Iberia of IAG, all members of Oneworld Alliance.
Delta Air Lines and LATAM Airlines have signed their long-awaited agreement on the joint venture. The agreement promises new levels of interconnectivity in travel across America. While the authorities have not yet agreed with the authorities, the joint venture agreement will offer benefits such as code-sharing agreements, smoother airport links and new loyalty and lounge agreements. Since then, Delta and LATAM, South America`s largest airline, have taken steps to better integrate their systems despite the coronavirus pandemic, through reciprocal removal of frequent miles, code-sharing agreements, lounge access and improved connections at hub airports. Delta announced in September that it plans to buy a 20 percent stake in LATAM for $1.9 billion and create a joint venture, subject to approval of the deal, which it said could take up to two years. The joint venture ENTRE LATAM and IAG should enable airlines to “offer integrated networks, new non-stop routes, additional frequencies on existing routes and combined fares” on transatlantic flights. Agreements will begin in the first quarter of 2020, until government approvals are available. At the same time, LATAM will terminate its codeshare agreement with American Airlines effective January 31, 2020.