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American Airlines opens in Vietnam

American Airlines' move comes after a landmark aviation agreement.
American Airlines' move comes after a landmark aviation agreement.

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HANOI, Vietnam (Reuters) -- American Airlines, the world's largest carrier, is opening its first office in Vietnam and expanding code-share flights to five U.S. cities to capitalize on a boom in business and tourism between the two former foes.

The unit of AMR Corp. has appointed Huong Giang Tourist Company as its sales agent in the communist country, a statement from the carrier said.

Rival United Airlines, the number two U.S. airline, already has an office in Vietnam.

"We are celebrating the beginning of a new partnership which will help to grow the amount of business and leisure travel between the USA and Vietnam," Theo Panagiotoulias, American Airlines' Asia Pacific managing director said in remarks to be delivered on February 4 at a launch of the Hanoi office.

American Airlines' move comes after a landmark aviation agreement, signed in December, that allows direct air service for the first time since the war ended nearly 30 years ago.

It also permits unlimited codesharing, under which carriers sell seats on each others' flights.

Aided by a bilateral trade pact, America has become Vietnam's biggest market for a variety of products including shrimp and clothing. Tourism has also blossomed.

Prior to the pact, American Airlines had a code-share agreement with Japan Airlines to connect Vietnam capital Hanoi and southern Ho Chi Minh City commerce hub with Dallas/Fort Worth, Chicago, New York and San Jose, California.

The Japan Airlines flights operate through Tokyo.



Copyright 2004 Reuters. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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