In February 2002 the German Antitrust Authority - The 'Bundeskartellamt' - announced that it sees the pricing strategy of Deutsche Lufthansa AG (DLH) on the Frankfurt/Main-Berlin/Tegel route as an attempt to squeeze its new competitor, Germania Fluggesellschaft mbH (Germania), out of the market and fears that emerging competition will be substantially impaired as a result. Therefore, the Bundeskartellamt has prohibited DLH from demanding a price (including passenger fees) for a one-way ticket per passenger on the Frankfurt-Berlin route, which is not at least 35 Euro above Germania's price, as long as DLH does not have to charge more than 134 Euro as a result. This rule remains valid for two years, as within this period Germania should have gained sufficient recognition and established a clientele base. Germania's operational procedures and other competition factors should have also improved to such an extent that protection against predatory conduct on the scale provided by this decision should no longer be necessary. The facts relating to this decision are described. For the covering abstract see ITRD E126595.
Abstract