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IdentifierCreatedClassificationOrigin
02AMMAN6444 2002-11-04 09:50:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Amman
Cable title:  

DELTA DISCUSSES CODESHARING WITH ROYAL JORDANIAN

Tags:   EAIR AMGT JO 
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					  UNCLAS AMMAN 006444 

SIPDIS

SENSITIVE

ROME FOR CASLO
USDOC/4520/ITA/MAC/ONE/COBERG

E.O. 12958: N/A
TAGS: EAIR AMGT JO
SUBJECT: DELTA DISCUSSES CODESHARING WITH ROYAL JORDANIAN


SENSITIVE BUT UNCLASSIFIED. PLEASE PROTECT BUSINESS
INFORMATION. NOT FOR INTERNET.



1. (SBU) Summary. A Delta sales executive left Amman this
week saying that he was prepared to make a positive
presentation to Delta President Fred Reid on codesharing for
Royal Jordanian's new non-stop Amman-New York service. He
asked RJ to provide detailed projections of passenger and
cargo loads to support such a case, which would include
projections of potential USG travel. Delta is also working
with Air France to improve the quality of service on their
current codeshare between Paris and Amman, which is heavily
used by U.S. government travelers and has been plagued by
problems with lost and delayed luggage. End Summary.



2. (SBU) Jimmy Eichelgruen, Delta Airline's London-based
GSA sales manager for Europe, the Middle East and Africa, was
in Amman on October 29 for meetings with Royal Jordanian
Airlines (RJ). The main subject was RJ's requests for a
codeshare arrangement with Delta. Eichelgruen came with the
message that given the financial difficulties the U.S.
airline is currently facing, Delta saw this as a time for
consolidation, not new ventures. He added that Delta was
willing to look at improvements in its existing interline
agreement with Royal Jordanian, short of a full-fledge
codeshare agreement.



3. (SBU) Eichelgruen's meeting with RJ CEO Samer al-Majali
seemed, however, to make progress toward a codeshare
arrangement. Majali described the advantages that would
accrue to Delta of RJ's plans to expand its role as an
aviation hub for the Levant countries, using a new fleet of
long and short range jets. In addition, Majali argued that
RJ's new non-stop Amman-New York service, for which Delta
currently provides ground services at its JFK terminal, would
be a natural feeder for domestic Delta flights in the United
States. He highlighted what he called the poor quality of
current service to Amman by European carriers.



4. (SBU) Eichelgruen told Majali that the fact that Delta
currently codeshares with Air France between Paris and Amman
would not be inconsistent with a possible codeshare with RJ
to the United States. He asked Majali and his staff to
provide more detailed information on projected passenger and
cargo traffic that he could use to make what he said would be
a presentation with a positive recommendation to Delta
President Fred Reid. Eichelgruen said that projected
revenues from U.S. government travel to Jordan and to the
region should be part of that presentation. He asked for the
Embassy's help in estimating the amount of such travel.



5. (SBU) Eichelgrun also met with Ambassador Gnehm and
embassy staff. We reviewed the embassy's unhappiness with
the level of service on the current Air France/Delta
codeshare flight to Amman, in particular chronic problems
with lost and delayed luggage. Eichelgrun said that Delta
was unhappy with this aspect of its relationship with Air
France and had let Air France know it. He said transfer
problems at Charles de Gaulle airport were hurting all of
Delta's business in the Middle East region. Delta and Air
France were currently working to address the multiple causes
for the problems at CDG.



6. (SBU) The Ambassador also highlighted our interest in
seeing RJ find a codeshare arrangement with a U.S. airline
for the non-stop Amman-New York service. This would be a
vehicle for the growing business travel and air cargo traffic
under the various bilateral trade initiatives, as well as a
concrete symbol of closeness of the bilateral relationship.
GNEHM