FOR IMMEDIATE RELEASE                                          AT
FRIDAY, JULY 14, 1995                              (202) 616-2771
                                               TDD (202) 514-1888

    JUSTICE DEPARTMENT APPROVES PENNSYLVANIA TRAVEL COMPANY'S
                       PROPOSAL TO FORM
    GROUP TO NEGOTIATE DOMESTIC AIR TRAVEL FARES ON BEHALF OF
                       CORPORATE CUSTOMERS
                                 

     WASHINGTON, D.C. -- A Pennsylvania business travel
corporation will be allowed to form a joint buying group to
negotiate domestic air travel fares on behalf of its corporate
customers under a proposal approved today by the Department of
Justice's Antitrust Division.
     Joel I. Klein, Acting Assistant Attorney General in charge
of the Antitrust Division, said the proposed venture may have a
procompetitive effect to the extent that it provides corporations
with another option for purchasing air travel services, or
reduces the cost and improves the efficiency of corporate air
services purchases.
     Business Travel Contractors Corporation headquartered in
King of Prussia, Pennsylvania, proposes to assist business
customers by negotiating air fares that are primarily mileage-based 
and net of travel agent commissions and frequent flyer
credits.  BTCC will not actually make reservations or issue
tickets.  Its customers will continue to negotiate separately
with travel agents or make their own arrangements with airlines for 
these services.  BTCC intends to negotiate fares, called
"Business Contract Fares," with any interested airline.
     To avoid the risk of creating undue collective buyer power,
BTCC will limit the total number of customers.  Its customers, as
a group, will not account for more than 35 percent of the
purchases of air transportation services in any city-pair
transportation market.
     Klein said the BTCC proposal is unlikely to adversely affect
competition so long as BTCC's customers do not exceed a 35
percent share of air travel purchases over any route.  Klein also
said the proposal will not affect competition in any markets
where a single BTCC member already possesses market power.
     The Department's position was stated in a business review
letter to the corporation's counsel.
     Under the Department's business review procedure, an
organization may submit a proposed action to the Antitrust
Division and receive a statement as to whether the Division will
challenge the action under the antitrust laws.
     A file containing the business review request and the
Department's response may be examined in the legal Procedure Unit
of the Antitrust Division, Room 3235, Department of Justice,
Washington, D.C. 20530.  After a 30-day waiting period, the
documents supporting the business review will be added to the
file.
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95-395