The proposed alliance between Air Canada and United Continental
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Traditional airlines have had a lot of trouble remaining profitable over the past decade. In order to cut costs, they formed partnerships to coordinate ticket sales, flight schedules and baggage handling among other things, while simplifying connections. This need to reduce costs has become even more crucial with recent increases and constant fluctuations in the price of oil and with the greater competition stemming from the arrival of a large number of "low-cost" carriers onto the market.
Media Release :: Airline industry: coordination agreements are good for consumers