Oct. 2 (Bloomberg) -- The European Union sent antitrust complaints to AMR Corp.’s American Airlines, British Airways Plc and Spain’s Iberia Lineas Aereas de Espana SA, raising a new hurdle to the carriers’ proposed trans-Atlantic alliance.

The complaints concern the airlines’ agreement on coordinating operations and marketing on trans-Atlantic routes, the European Commission, the EU’s antitrust authority, said in an e-mail today. The Brussels-based commission said the deal may break EU rules on “restrictive business practices.”

Carriers are vying to bolster partnerships on sales and scheduling to cut costs amid a slump in demand for air travel caused by the global recession. Airlines worldwide may lose a combined $11 billion this year, the International Air Transport Association estimated Sept. 15.

“It’s only the beginning of the story,” said Yan Derocles, an analyst at Oddo Securities in Paris who has a “reduce” rating on British Airways’ stock. “BA and American will have to make some cuts in terms of routes and networks.”

British Airways spokesman Philip Allport confirmed the airline received the EU complaint. He declined to provide information about its contents. American spokeswoman Mary Frances Fagan yesterday said the company would respond to the EU.

DOJ Review

American, British Airways and Iberia are seeking clearance to cooperate on flights between the U.S., Mexico and Canada, the 27-nation EU, Switzerland and Norway. The carriers asked for antitrust immunity from the U.S. Department of Justice last year.

“The discussions with the DOJ will be more difficult than with the EU,” Derocles said. “The real story is access for U.S. carriers at London Heathrow.”

Last year, the EU and U.S. agreed to spur trans-Atlantic airline competition by letting European carriers fly to the U.S. from anywhere in the region instead of from just their home country. The Open Skies accord also scrapped rules letting only British Airways, Virgin Atlantic Airways Ltd., American and United Airlines fly between the U.S. and London’s Heathrow airport, Europe’s busiest.

British Airways fell as much as 10 pence, or 4.6 percent, to 207.8 pence and was down 3.2 percent at 210.9 pence at 4:23 p.m. in London. AMR rose 9 cents to $7.32 in New York Stock Exchange composite trading.

Star Alliance

British Airways and American say they need a tie-up for their Oneworld partnership to compete against UAL Corp.’s United Airlines Star Alliance with Deutsche Lufthansa AG and the Delta Air Lines Inc. and Air France-KLM Group led SkyTeam on routes across the Atlantic. The carriers also need antitrust clearance from U.S. regulators before proceeding with the alliance.

Virgin Atlantic, the U.K. carrier owned by billionaire Richard Branson, is contesting the alliance, saying it hurts consumers and competition.

“The commission’s concerns are absolutely justified,” Virgin Atlantic Chief Executive Officer Steve Ridgway said in a statement. “This alliance between BA and AA is a monster monopoly which, if given the go-ahead, will allow these dominant carriers to increase their stranglehold” at London’s Heathrow airport.

The Oneworld alliance would control 56 percent of capacity between London and the U.S., according to UBS AG research. That’s less than the 68 percent SkyTeam has at Paris’s Charles de Gaulle airport and the 75 percent the Star Alliance has at Germany’s Frankfurt airport. Airlines are struggling to acquire takeoff and landing slots as Heathrow airport is full to capacity, Derocles said.

Conditions

“The odds are in favor of a successful application if other alliances have been granted it,” said Douglas McNeill, an analyst at Astaire Securities in London. “That’s not to say there won’t be conditions attached, as in the past the regulators have asked for slots to be given up.”

The airlines last scrapped a plan in 2002 after U.S. regulators signaled they would require some takeoff and landing slots to be surrendered to competitors.

The commission said it’s continuing two parallel probes into the proposed cooperation between four Star Alliance members -- Continental Airlines Inc., United Airlines, Lufthansa and Air Canada -- and between SkyTeam members -- Delta and Air France.

To contact the reporter on this story: Matthew Newman in Brussels at Mnewman6@bloomberg.net. To contact the reporters on this story: Steve Rothwell in London at srothwell@bloomberg.net;

Last Updated: October 2, 2009 11:25 EDT