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European Airlines Join Chorus Of Calls For Tax Breaks

by Ulrika Lomas, Tax-News.com, Brussels

21 September 2001

The Association of European Airlines announced that the CEOs of six European airlines will be calling for tax breaks and other assistance when they meet with the EU European Transport Commissioner, Loyola de Palacio at the end of this week.

The Chief Executive Officers from British Airways, Groupe Air France, Deutsche Lufthansa, KLM Royal Dutch Airlines, Alitalia SpA, and Iberia, Lineas Aereas de Espana announced that in addition to asking for tax assistance and compensation where losses are recognisably linked to last week's events, they would be raising the issue of forthcoming legislation, and asking to be allowed to cooperate on phased capacity reduction on certain routes.

A spokesman for De Palacio refused to comment ahead of the meeting, saying that the problem is very complex, and that it would be 'premature' to try to give a clear analysis.

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