The three largest US airlines benefitted from $70 billion in state aid via bankruptcy protection, a report commissioned by gulf carrier Etihad Airways said.
It is the latest counter claim made by the three Gulf carriers Etihad, Qatar Airways and Emirates responding to accusations they received more than $40 billion in state subsidies themselves.
Etihad’s general counsel Jim Callaghan said American Airlines, Delta and United received $35.5 billion through bankrupcy restructuring and $29.4 billion in pension fund bailouts.
"We do not question the legitimacy of benefits provided to US carriers by the US government and the bankruptcy courts but they benefit from a highly favorable legal regime generally only available to US carriers," Callaghan said.
"This is to try and bring some balance to the debate," Callaghan added.
"We’re not calling them subsidies — this has to be a wider debate. Where else in the world can an airline go into a court and get tens of billions of dollars written off?"
The Etihad study was conducted by London based Risk Advisory Group which said United got $44.4 billion in benefits, Delta $15 billion, and American Airlines $12 billion.
The US airline group Partnership for Open & Fair Skies immediately dismissed the relevance of the Etihad study.
"The Chapter 11 bankruptcy process is not a ‘subsidy,’ as established by international trade law," said spokeswoman Jill Zuckman.
"In addition, US taxpayers are not liable for any restructuring of airline pension plans in bankruptcy."















