=20 ---------------------------------------------------------------------- This article was sent to you by someone who found it on SFGate. The original article can be found on SFGate.com here: http://www.sfgate.com/cgi-bin/article.cgi?file=3D/news/archive/2004/05/18/f= inancial1359EDT0161.DTL --------------------------------------------------------------------- Tuesday, May 18, 2004 (AP) No-frills carrier easyJet makes legal challenge against Air France-KLM merg= er BRUCE STANLEY, AP Business Writer (05-18) 10:59 PDT LONDON (AP) -- No-frills airline easyJet is trying to reverse the merger of Air France and KLM, arguing in an appeal filed with a European court that the combined business stifles competition. London-based easyJet said Tuesday that the merger enhances the combined airline's dominance along some routes by reducing customer choice, particularly at airports in Paris. Europe's second-largest no-frills carrier asked the Court of First Instance in Luxembourg to annul the European Commission's approval of the deal, which created the world's biggest airline group by sales. The commission is the executive arm of the European Union. "EasyJet wholeheartedly supports the much-needed consolidation of the European airline industry. ... It is vital, however, that the interests of consumers come first as consolidation occurs," easyJet said in a statement. The airline claimed that Air France and Dutch airline KLM, which announc= ed their merger earlier this month, haven't done enough to ensure adequate competition on routes where their services overlap. It said the deal would reinforce Air France's monopoly on a majority of domestic routes out of Paris. Air France's share of slots in Paris -- 53 percent at Orly airport and 74 percent at Charles de Gaulle -- is higher than for any other European carrier at its home base, easyJet said. "It is clear that, in its current form, the Air France and KLM merger strengthens the dominant position of Air France and would set a worrying precedent for all future consolidation," said easyJet chief executive Ray Webster. The complaint came a week after easyJet said it was taking legal action against Cohor, the body that allocates airport takeoff and landing slots in France. The British carrier alleged that Cohor's independence from Air France -- a requirement under European Union law -- is "seriously questionable." Air France spokeswoman Veronique Brachet scoffed at the charge. "We're not going to get into a shouting match with easyJet whenever they put out deceitful allegations as a publicity stunt," she said in Paris. Brachet declined to comment on details of easyJet's appeal to the European court. In Brussels, the European Commission dismissed easyJet's appeal. "We are convinced that we have a pro-consumer policy here," said Tilman Lueder, spokesman for European Union Competition Commissioner Mario Monti. E.U. regulators approved the deal between the French and Dutch carriers = in February after both airlines agreed to give up 94 airport takeoff and landing slots. AP Business Writer Laurence Frost in Paris contributed to this report. ---------------------------------------------------------------------- Copyright 2004 AP