EC Caves on Boeing Merger - fixed exclusive contracts

[James Love <love@cptech.org>]

  EU clears Boeing's merger
  
                             Preliminary OK granted to $15-billion
                             merger with McDonnell Douglas
  
  I guess the all out effort by the Clinton Administration worked.
  
                             July 23, 1997: 7:08 a.m. ET
  
  NEW YORK (CNNfn) - The European Commission has approved "in principle"
  conditions for Boeing Co. to go ahead with its planned
  $15-billion-merger with McDonnell Douglas Corp.
  
  A formal decision is expected to come as early as next week. The U.S.
  government already cleared the deal.
  
  The preliminary green light comes after an eleventh-hour offer by Boeing
  to scrap exclusive supply agreements it has with three of the nation's
  largest carriers: AMR Corp.'s American Airlines, Continental Airlines
  and Delta Air Lines Inc.
  
  Of primary concern for the EC, the regulatory arm of the European Union,
  was the merger's competitive impact on Airbus Industrie -- the
  consortium formed by Daimler-Benz of Germany, Aerospatiale of France,
  British Aerospace and Spain's CASA.
  
  "The remedies the commission was striving for have largely been
  supplied," said EC antitrust chief Karel van Miert.
  
  
  _________________________________________
  James Love
  Center for Study of Responsive Law 
  P.O. Box 19367 | Washington, DC 20036 
  202.387.8030  | fax 202.234.5176
  http://www.cptech.org  |  love@cptech.org