EU Head Office Seeks 'Open Skies' Accord

The European Union head office laid out its proposal Wednesday for a mandate to negotiate a single ``open skies'' agreement with the United States that could make it easier for struggling European airlines to merge. A November ruling by the European Court of Justice outlawed aspects of existing bilateral agreements between the United States and some EU countries, but the EU head office needs a mandate from the 15 EU countries to negotiate an EU-wide deal. While some airlines are rooting for change, governments have been reluctant so far to surrender their rights in negotiating air deals. Current deals for travel across the North Atlantic favor national airlines when assigning landing rights, complicating attempts at cross-border mergers like the failed, recent attempt to sell the Dutch carrier KLM to British Airways PLC. Under the European Commission's proposal, ``we will be able to ensure that the EU can finally pull together in this field and work to develop international air transport to the benefit of the industry and consumers,'' said EU Transport Commissioner Loyola de Palacio. While the highest priority is a deal with the United States, the commission also requested its negotiating powers be extended beyond trans-Atlantic deals to all international air accords. Japan and Russia represent the main targets.