Continental Airlines can now join Star Alliance of airlines

Continental Airlines can now join Star Alliance of airlines

The US transport department has now given its permission to Continental Airlines to join the Star Alliance of airlines.

They would now be able to work in collaboration with other airline companies like United Airlines on international routes.

This decision overrides the statements made by the Justice Department which had said that collaboration between airline companies could result in increased prices for the end customer.

The ruling however said that the immunity would not be applicable on routes where the company already has a strong presence.

Continental Chairman and CEO Larry Kellner was happy with this decision and said that the decision would boost competition in the open market.

Transportation Secretary Ray LaHood added that the ruling would benefit consumers, enhance competition, and preserve jobs in the airline industry.