Two famous airlines have admitted a price-f xing agreement over fuel surcharges. They agreed to

f x the same surcharges so that there would be no dif erence between them on the North Atlantic

route. This clearly damaged passengers' interests as there was no competition. This action was

against US and UK competition law. Both airlines have agreed to contact all passengers who f ew

over the two-year period of the illegal agreement and arrange a refund for them.

The chairman of British Airways claimed that the price-f xing agreement had been made by

managers against the company's strict code of ethics. 'As we have previously said, we absolutely

condemn any anti-competitive activity by anybody,' he said.

What benefits could these two airlines have gained if they had not been caught breaking the law?