BWIA blamed for starting price war

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BWIA blamed for starting price war
By Curtis Williams
Express 04.02.03

Caribbean Star has accused BWIA and Liat of waging a price war on
intra-regional routes, which has itself led to the almost financial ruin of
Liat. The airline's chief executive officer, Paul Moreira, told the Express
that the price war which has seen low fares on both carriers was started by
BWIA and it, along with Liat, should be brought to book for it. Moreira,
who along with Caribbean Star's owner, Allen Stanford, met last Friday with
Prime Minister Patrick Manning, said they presented evidence to Manning
that it was BWIA which started the "predatory pricing". He said: "For years
now this has been BWIA's approach to competition and we saw it starkly when
Air Jamaica started flying from Kingston to Piarco. BWIA started flying
directly to Jamaica, slashed their prices and then drove the airline off
the route. When that was accomplished they promptly returned to their old
route and doubled the fares." Moreira said this was also done by BWIA when
Air Caribbean started flying the Miami route.

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