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1/15/07

Aviation Week: U.S., Europe Reengage On Open Skies - by Robert Wall

For the complete report from the Aviation Week click on this link

U.S., Europe Reengage On Open Skies - by Robert Wall

U.S. and European Union officials again will try to craft a much needed open skies agreement between the world's two largest aviation markets, but talks promise to be difficult and time is not on the negotiators' side. To a large extent, the U.S. and Europe are back to square one, after the Transportation Dept. ceased efforts to ease restrictions on foreign involvement in U.S. airlines. These efforts were among the main U.S. concessions the Europeans were looking for as part of a proposed open skies agreement presented in late 2005.

U.S. and EU government and industry representatives met for the first time last week since the ownership rule-making process ended in Washington, where it faced stiff opposition in Congress. The meeting in Brussels was aimed at hashing out how to move forward. But John Byerly, deputy assistant secretary of State for transport affairs, says the visit to Brussels is in part to make one thing clear: Those in Europe still clinging to the hope that the ownership issue can be revisited are mistaken. The issue is dead, adds a second U.S. government representative, noting that the realization "hasn't sunk in over here."

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