What we’re reading: AA/Sabre truce, Allegiant dispatchers reject union, no Aegean/Olympic merger


American, Sabre call a truce, put lawsuits on hold until June 1

American Airlines and Sabre Travel Network called a truce and put their ligitations on hold until June 1.

The companies said they will “begin work shortly in an effort to reach a new agreement.” In addition, they will “return to operating as they were prior to Jan. 5.”

On Jan. 5, Sabre began biasing American’s displays in the U.S. and most of the rest of the world (it was prohibited from doing so in Canada and the European Union).

It also revoked the discounts on segment fees that American had received in exchange for a long-term contract.

Allegiant Air dispatchers reject union representation

Allegiant Air dispatchers rejected union representation, but the Transport Workers Union said they’ll try again in a year.

The small employee group’s vote, completed Monday, ended in a 6-6 tie. The National Mediation Board, which conducted the election, said voting rules allowed one write-in vote to be counted as a yes for the union.

“We are pleased our dispatchers have chosen to maintain a direct relationship with company management rather than through a third-party representative,” Maurice Gallagher, Allegiant’s CEO and chairman, said in a statement released following the announcement of the results.

EU blocks Aegean/Olympic Airline merger

European Union regulators blocked the proposed merger of Aegen Airlines and Olympic.

The last deal to be blocked also involved airlines, when the European Commission stopped Irish low-cost carrier Ryanair acquiring local rival Aer Lingus in June 2007 because it would have meant less choice and higher prices.

Aegean and Olympic, which control more than 90 percent of the Greek air market, had not offered sufficient remedies to ease competition concerns, the EU watchdog said.