Court Dismissed Claim of UTair on FAS Decision
OREANDA-NEWS. December 23, 2008. The Federal Arbitration Court of the Moscow District dismissed the claim of the "UTair" air carrier and confirmed validity of the refusal of the Federal Antimonopoly Service (FAS Russia) to grant the petition of "UTair" Airlines" OJSC on purchasing 49% shares of "Roschino Airport" OJSC, reported the press-centre of FAS Russia.
On 28th January 2008, the Federal Antimonopoly Service (FAS Russia) dismissed the petition of "UTair" Airlines" OJSC on purchasing 49% shares of "Roschino Airport" OJSC.
Processing the petition, FAS Russia found that "Roschino Airport" OJSC (Tyumen) is the only economic entity that is involved in providing flights by 1- and 2-class aircrafts in the Tyumen region. "Roschino Airport" OJSC is an international airport that has federal status and is allowed to accept ten types of aircrafts as well as all types of helicopters.
In the Tyumen region (without autonomous districts), there is practically no competition on the market of passenger air transportation services on particular routes (except flights to / from Moscow). "UTair" Airlines" OJSC exercises most of air transportations (by the number of routes) from "Roschino" airport and the company's share of air transportation on all routes is over 60%. The "UTair" Airlines" OJSC is the only regular air carrier on 25 out of 31 routes, 16 out of 21 routes to the north of the Tyumen region (the Khanty-Mansiisk Autonomous District, the Yamalo-Nenets Autonomous District), and 5 out of 8 international routes.
"UTair" Airlines" OJSC is one of the largest air carriers in the Russian Federation, focused mainly on the Tuymen region.
"UTair" Airlines" OJSC offers services for regular passenger transportation; "Roschino Airport" OJSC provides airport and ground handling of aircrafts. The markets on which the companies operate are interdependent.
By acquiring the assets of "Roschino Airport" OJSC, the air carrier, that has dominant position on the market of air transportation from "Roschino" airport, would be able to strengthen its market position in general and influence the decisions made by "Roschino Airport" OJSC, in particular, related to price policy and slots allocation.
Should the transaction be concluded, "UTair" Airlines" OJSC would be able to exercise its interest in pushing the existing competitors out of the market and preventing market entry of new competitors, which would strengthen the position of the air carrier on the market of regular air transportations and affect the level of competition on this goods market. The air carrier disagreed with the FAS Russia decision and filed a claim to the Arbitration Court and later to the Appeal Instance. The Cassation Court confirmed the rightness of the antimonopoly authority.
Комментарии