The "open-skies" agreement goes into effect at the end of this month, which means that airlines based in the US and Europe can fly into and out of any two airports in each area.

The new pact is expected to be game-changing for Europe-bound travel. More routes are expected to open, and prices could fall thanks to the new competition. The agreement is also likely to encourage European carriers to compete more aggressively with one another across the Continent. Lufthansa, the German airline, for example, could set up a hub in Paris; or Air France could set up a hub in Frankfurt.

The article also states that Ireland-based Ryanair wants to offer fares to/from secondary markets in the US and Europe as low as $16. !!!

Tags for this entry:  travel  flying 

This entry was published in March 2008.

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