BAX Learns From DHL

Though the U.S. and the European Union have reported substantial progress in “open skies” talks to liberalize air services, some troublesome rules remain in place. One is a restriction against foreign ownership or control of a U.S. airline. DHL looked at the arguments that kept British Airways from acquiring US Airways or United on its two attempts and is largely responsible for killing a deal with American Airlines before proceeding with its acquisition of Airborne Express. Airborne’s airline operations were spun off into a U.S.-controlled company to clear the way for DHL to proceed.

As Deutsche Bahn moves ahead with its acquisition of BAX Global, it announced that concurrent with the transaction to acquire BAX, Air Transport International (ATI) will be acquired by CHI.