Australia approves Delta-Virgin Blue joint venture

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Australia's competition watchdog gave initial approval Monday to a joint venture between Virgin Blue and Delta for flights between Australia and the United States.

"The joint venture is likely to assist Virgin Blue and Delta to compete more effectively against the incumbents on the routes, Qantas and United Airlines,"  said Graeme Samuel, chairman of the Australian Competition and Consumer Commission (ACCC).

The ACCC proposes to grant authorization to the joint venture for three years. During that time, the ACCC said it would analyze if consumers are benefiting from the joint venture.

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