Australian competition authorities target Qantas

Australia’s competition watchdog today launched legal action against Qantas Airways, claiming the flag carrier slashed fares and increased seats on a domestic route to try to eliminate Sir Richard Branson’s Virgin Blue.

Australia’s competition watchdog today launched legal action against Qantas Airways, claiming the flag carrier slashed fares and increased seats on a domestic route to try to eliminate Richard Branson’s Virgin Blue.

Qantas ‘‘substantially’’ increased the number of seats available on its Brisbane-Adelaide route and matched or undercut Virgin Blue’s fares to ‘‘eliminate or substantially damage Virgin Blue, or to deter or prevent Virgin Blue from engaging in competitive conduct in the market,’’ the Australian Competition and Consumer Commission said.