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Old Jan 12, 2010 | 10:45 am
  #23  
CO FF
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Join Date: Sep 1999
Location: Los Angeles
Programs: UA Based on my CC Spend (PLT 25-GLD 26), AA LT 2MM, LY Gold, Bonvoy LT Plt, Mets fan
Posts: 5,077
Originally Posted by AAJFK
Star Alliance and Skyteam seem to be expanding their networks with relavnt airlines... OW is wonderfu, but why are they not snatching up partners that matter?

AA used to have codeshare with ELAL but it was dropped, meaning u can accumulate miles but not elite.

Is anything changing?
The AA/LY codeshare was dropped because of the dispute between the Israeli civil aviation authority & the US FAA over procedures @ TLV. Even before that, you still had to buy the AA flt # (rather than the LY flt #) to get AA EQM/EQP, and there was a significant price hit on that.

Next, LY is a lousy addition to any alliance. First, you open yourself up to all the political baggage that an Israeli alliance carries with it (i.e., will people protest BA/IB in Arab/Muslim countries b/c they are partners with LY?). Second, LY offers nothing in the way of regional connections; it doesn't help move people from North Africa to Southwest Asia. Third, OW already has a member in that part of the region -- if you admit LY to OW, WWRJD (what would RJ do)?

Finally, as noted, LY is a one-airport airline. 3 OW members already serve that airport. Why cannibalize one of their more profitable routes?
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