MercoPress. South Atlantic News Agency

Airlines dispute with out having taken off.

Sky Airline, another air carrier that is planning to fly to Punta Arenas this coming season announced it will attempt to block Aerolíneas del Sur operations since this is not a Chilean company but a subsidiary from Aerolíneas Argentinas.

Aerolíneas del Sur announced last week that next October it would begin flying to the extreme regions of Chile, including Punta Arenas and in a second stage overseas.

However Sky's CEO Jose Manuel Rebolledo said his company had filed formal claims before the Chilean Civil Aviation Director and the Civil Aviation Junta because Aerolíneas del Sur is "Aerolíneas Argentinas disguised as a Chilean company", when the Argentine domestic market "remains ironclad to foreigners".

"We're not against any company, we just want Aerolineas Argentinas to formally admit they are based in Buenos Aires and are interested in the Chilean domestic market. And when this happens our Civil Aviation authorities will tell the Argentines let's open the Argentine-Chilean market to all Argentine and Chilean air carriers", said Mr. Rebolledo.

Besides in Chile air competition is "tough and crystal clear" and Aerolineas "has been built on government subsidies all along".

Mr. Rebolledo also pointed out that Chile has an open skies policy and abides by international treaties which "these (Aerolineas) gentlemen do not respect; that is why Chile has an open skies policy with the United States, but not Argentina".

"It's not going to be a peaceful affair whether Aerolineas belongs to the Argentines or Spaniards", warned Sky Airline CEO.

Regarding flights to Punta Arenas Mr. Rebollo revealed that they will begin "daily" sometime in the next two months when the airline will be receiving two leased Boeing 737/200, totalling nine aircrafts by the end of 2004.

"We're also planning to fly to Lima, Peru, and Argentina if we can open that market; anyhow you can be sure we'll be in Punta Arenas long before Aerolineas del Sur since they don't even exist as an airline in Chile", concluded Mr. Rebollo.