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Press Release                                                                                  C. 17-12

El Salvador, June 14th, 2012.



 CS imposed a fine to Delta Airlines
      for lack of collaboration
The Competition Superintendence (CS) imposed a fine totaling US$18,425.40 to Delta Airlines,
Inc., El Salvador Branch (hereinafter, Delta) for not supplying information in a timely manner
pursuant to the request made by said authority within the study of the competition conditions in
the air transport for passengers (APT) in El Salvador. The Salvadoran Association of Airline
Representatives was also sanctioned for the same reason with a fine amounting US$2,127.70.

                            In June 2011, the CS ordered the initiation of a study with the purpose to
 “DELTA filed the           diagnose and determine the competition conditions under which said sector
 information requested      operates in El Salvador, and to propose adequate measures to strengthen and
 by the CS, 28 days         improve the various stages of the value chain of this market.
 after the time granted
 had ended; period          In order to carry out the aforementioned study, the CS requested information
 which had been             from different governmental institutions, travel agencies, airlines, and other
 extended twice. This       economic agents related to the APT market. Delta had been granted a time
 caused a delay in the      frame to file the requested information which ended on April 20th, 2012.
 analysis, evaluation,      Nonetheless, said economic agent filed the entire documentation 28 days later.
 and conclusion of the
 study”, asserted           Pursuant to the above mentioned, the Board of Directors (BD) of the CS ruled
 Francisco Diaz             that Delta had infringed Article 38 paragraph 6 of the Competition Law (CL)
 Rodriguez, Chairman        which penalizes individuals, companies, or institutions who deliberately or
 of the BD of the CS.       negligently fail to supply the requested information, or if collaborating, provide
                            incomplete or inaccurate information.
Delta has until June 21st to pay the fine; that is eight days counted from the day after the resolution that
declared firm the decision imposing the fine was notified.

Background

June 23rd, 2011         The CS began the competition study on air transport for passengers.
November 24th, 2011     The CS requested information from Delta and other economic agents.
March 16th, 2012        The CS requested additional and complementary information from Delta and granted 5
                        business days to comply with said request. This period ended on March 23rd, 2012.
March 22nd, 2012        DELTA asked the CS for an extension to file the requested information.
March 28th, 2012   The CS granted the extension, establishing April 11th, 2012 as the date to file the
                   information.
April 11th, 2012   The extension to file the requested information ended.
April 13th, 2012   Again, the CS requested information from Delta.
April 16th, 2012   Once more, the CS requested information from Delta and set April 20th, 2012 as the limit
                   date to comply with this request.
May 16th, 2012     The CS initiated a sanctioning procedure against Delta for lack of collaboration.
May 18th, 2012     DELTA filed the complete information before the CS after the period to comply with such
                   request had ended.
June 6th, 2012     The BD of the CS issued a final resolution imposing Delta a fine.
June 13th, 2012    The BD declared firm the decision imposing the fine.

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C.17-12 CS imposed a fine to Delta Airlines for lack of collaboration

  • 1. Press Release C. 17-12 El Salvador, June 14th, 2012. CS imposed a fine to Delta Airlines for lack of collaboration The Competition Superintendence (CS) imposed a fine totaling US$18,425.40 to Delta Airlines, Inc., El Salvador Branch (hereinafter, Delta) for not supplying information in a timely manner pursuant to the request made by said authority within the study of the competition conditions in the air transport for passengers (APT) in El Salvador. The Salvadoran Association of Airline Representatives was also sanctioned for the same reason with a fine amounting US$2,127.70. In June 2011, the CS ordered the initiation of a study with the purpose to “DELTA filed the diagnose and determine the competition conditions under which said sector information requested operates in El Salvador, and to propose adequate measures to strengthen and by the CS, 28 days improve the various stages of the value chain of this market. after the time granted had ended; period In order to carry out the aforementioned study, the CS requested information which had been from different governmental institutions, travel agencies, airlines, and other extended twice. This economic agents related to the APT market. Delta had been granted a time caused a delay in the frame to file the requested information which ended on April 20th, 2012. analysis, evaluation, Nonetheless, said economic agent filed the entire documentation 28 days later. and conclusion of the study”, asserted Pursuant to the above mentioned, the Board of Directors (BD) of the CS ruled Francisco Diaz that Delta had infringed Article 38 paragraph 6 of the Competition Law (CL) Rodriguez, Chairman which penalizes individuals, companies, or institutions who deliberately or of the BD of the CS. negligently fail to supply the requested information, or if collaborating, provide incomplete or inaccurate information. Delta has until June 21st to pay the fine; that is eight days counted from the day after the resolution that declared firm the decision imposing the fine was notified. Background June 23rd, 2011 The CS began the competition study on air transport for passengers. November 24th, 2011 The CS requested information from Delta and other economic agents. March 16th, 2012 The CS requested additional and complementary information from Delta and granted 5 business days to comply with said request. This period ended on March 23rd, 2012. March 22nd, 2012 DELTA asked the CS for an extension to file the requested information.
  • 2. March 28th, 2012 The CS granted the extension, establishing April 11th, 2012 as the date to file the information. April 11th, 2012 The extension to file the requested information ended. April 13th, 2012 Again, the CS requested information from Delta. April 16th, 2012 Once more, the CS requested information from Delta and set April 20th, 2012 as the limit date to comply with this request. May 16th, 2012 The CS initiated a sanctioning procedure against Delta for lack of collaboration. May 18th, 2012 DELTA filed the complete information before the CS after the period to comply with such request had ended. June 6th, 2012 The BD of the CS issued a final resolution imposing Delta a fine. June 13th, 2012 The BD declared firm the decision imposing the fine.