Between 2015 and 2019the companies Air Caraibes et Air Antilles illegally agreed on their price listbut also on their time slotsand the reduction of their offer, concerning the inter-island air transport in the Caribbean.
This is what was revealed this Wednesday (December 4) by a decision by the Competition Authorityat the end of an investigation opened at the initiative of the general rapporteur of search and seizure operations. This concerns lines operated between Fort-de-France, Pointe-à-Pitre and Saint-Martin, but also to Saint Lucia and Santo Domingo.
In its decision, the Competition Authority sanctions up to 14 570 000 euros THE two airlines as well asa consulting company specializing in the airline sectorAeromanagement (Miles Plus).
Four illegal agreements uncovered
According to the Competition Authority, four illegal agreements were revealed by education. They allowed the two companies to “make significant price increases and reduce supply, while preserving their respective market shares”.
Besides the costs et pricing conditions of their tickets, the two companies also coordinated to reduce their supply and distribute the time slots.
For the Competition Authority, these illegal agreements carried out with full knowledge of the facts, via a “ non-aggression agreement » passed between the two companies, were to the detriment of passengers, who suffered a sharp increase in prices.
But also to the detriment of the tourist and economic attractiveness of the territories concerned. The Authority recalls that Air Caraibes and Air Antilles were the only two companies operating at the material time.
An agreement during Hurricane Irma
Examination of the file notably highlighted email exchanges using pseudonyms and code names.
In other offenses, the Competition Authority reveals that the defendants agreed on the prices to be offered during Hurricane Irma in 2017.
Actions which “impacted a captive clientele of refugees facing a humanitarian emergency”. The latter was unable to postpone or give up her trip and had no alternative transport.
L’Competition Authority pronounce a joint fine of 14,570,000 eurosdistributed according to the financial capacity of the companies: 13 million euros for Air Caraibes, 1.5 million euros for Caire and K Finance, the parent company of Air Antilles and 70,000 euros for Miles Plus.
The full decision can be seen below : click here if you don’t have access
