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CEOs of Delta, United and American Place Ad Urging Trump to Take Action on Qatar Feud

April 19, 2019
3 min read
Air Italy's first 737 MAX 8 before delivery in Seattle
CEOs of Delta, United and American Place Ad Urging Trump to Take Action on Qatar Feud
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The three US legacy carriers can't let go of their feud with Qatar Airways.

On Tuesday, the CEOs of Delta, United and American Airlines took out a full-page advertisement in both The New York Times and The New York Post that urged President Donald Trump to take action on what they claim are unfair fifth freedom flights that Qatar Airways is operating through its stake in Air Italy.

"In the last few days, Qatar Airways has used its Italian proxy to launch routes to Los Angeles and San Francisco, and added flights to Miami – a further effort to undermine U.S. airlines," the letter to Trump states. "Simply put, Qatar Airways represents a grave threat to American jobs and the health of the airline industry."

The letter goes on to say that a "rule-abiding business" can't compete with a "massively subsidized airline." The implication here being that through Qatar's minority 49% stake in Air Italy, it is subsidizing flights and unfairly competing with US airlines for flights from the US to Europe.

The three US airlines had long accused Qatar of unfairly receiving government subsidies to compete in the US market. That dispute ended after Qatar agreed to open its accounting books and agreed it wasn’t planning any routes from the US to destinations outside Qatar, which would be known as “fifth freedom” flights.

"We respectfully encourage your administration to hold Qatar accountable for violating its agreement with the United States and affirm that we will not tolerate these continued infractions," the letter says, and is signed by Ed Bastian, CEO of Delta; Doug Parker, CEO of American; and Oscar Munoz, CEO of United.

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The accusations the three US airline CEOs are levying would mean Qatar would be circumventing this agreement. But by the standard definition, Air Italy's flights are not fifth freedom routes because Qatar only holds a minority stake in the carrier. The CEO of Qatar Airways, Akbar Al Baker, has long denied that these flights are fifth freedom.

“This is a lie. This is a straight, white lie,” Al Baker said in response to the accusations in March. "They cannot prove that we are putting a single passenger on Air Italy out of the Qatar Airways network.”

On Tuesday, the CEOs of JetBlue, FedEx and Atlas Air all signed a letter to the Trump Administration "to reiterate our support for Open Skies" policy, arguing that Air Italy's flights are above board.

Featured image by Alberto Riva

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Apply for American Express® Gold Card
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TPG Editor‘s Rating
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4XEarn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
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  • Annual Fee

    $325
  • Recommended Credit

    Excellent to Good

Why We Chose It

There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)

Pros

  • 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
  • 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
  • Packed with credits foodies will enjoy
  • Solid welcome bonus

Cons

  • Not as useful for those living outside the U.S.
  • Some may have trouble using Uber and other dining credits
  • You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
  • Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
  • Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
  • Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
  • Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
  • Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
  • $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
  • $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
  • $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
  • $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
  • Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
  • No Foreign Transaction Fees.
  • Annual Fee is $325.
  • Terms Apply.