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UPDATE 1-Airlines join forces to push EU to help lower their costs

Wed, 17th Jun 2015 15:31

(Adds airport industry reaction)

By Julia Fioretti

BRUSSELS, June 17 (Reuters) - Europe's five largest airlinesset aside their differences on Wednesday to urge the EuropeanUnion to do more to lower airport costs and taxes.

The airlines urged the European Commission - the EUexecutive - to lower security and airport charges, removepassenger and "unreasonable" environmental taxes and ensureair-traffic control strikes did not do too much damage to theirbusiness.

The initiative brought together the chief executives of AirFrance-KLM, Lufthansa, British Airways ownerInternational Airlines Group and low-cost airlinesRyanair and Easyjet.

"It's a historic day for European aviation because it's thefirst time the five of us have met together," said MichaelO'Leary, chief executive of budget airline Ryanair, at apress conference in Brussels.

The EU Transport Commissioner Violeta Bulc is due to unveila series of measures later this year to boost thecompetitiveness of the aviation sector.

The airlines have not always seen eye to eye, with IAGleaving the Association of European Airlines over differences inattitudes towards competition from Gulf carriers and joining alow-cost association instead.

But on Wednesday, the five said they would look at settingup a new grouping to lobby for airline interests in Brussels.

The airports industry rejected the airlines' statements,saying a reduction in airport charges would likely not be passedon to consumers.

"Major airlines already have a free lunch, now they alsowant a free dinner," said Olivier Jankovec, Director General ofAirports Council International Europe. "Assuming airlines wouldpass mandated reductions in airport charges on to consumers isludicrous to say the least." (Additional reporting by Victoria Bryan in Paris; Editing byKeith Weir and Susan Thomas)

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