Delta has received final approval of antitrust immunity for a proposed joint venture with Virgin Australia Airlines, allowing the two carriers to collaborate on operations between the United States, Australia and the South Pacific.
The airlines plan to share frequent flier benefits and lounge access and coordinate their offerings, in addition to their code-share marketing partnership to sell seats on each others' flights.
The U.S. Department of Transportation had initially denied approval for the deal, saying the two airlines failed to show the alliance would have positive effects for consumers. But the carriers revised their application, saying they will operate a combined management structure and reservations system to offer a more seamless network for travelers.
Delta began flying from Los Angeles to Sydney in 2009. Virgin Australia flies to 32 Australian destinations and 16 destinations outside of Australia. The airlines plan to establish the joint venture by the end of the year.
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