By Foo Yun Chee

BRUSSELS (Reuters), -Air France KLM and KLM’s Dutch subsidiary on Wednesday failed to challenge the EU antitrust regulators’ five year-old decision to impose a million-euro penalty for their participation in an airline cargo cartel that took place two decades ago.

Air France KLM (OTC) stated that it is considering appealing against the decision.

Air France had in 2015 defeated 10 of its peer companies in a court battle against the European Commission 2010 fines. They were imposed by it for fixing airline freight services, fuel surcharges and other security fees between December 1999 – February 2006.

In 2017, the EU Competition Enforcementr corrected procedural mistakes pointed out by Luxembourg’s General Court. Martinair was exempted from the reissue of the penalties.

The General Court was Europe’s second highest tribunal.

Luxembourg-based Court rejected Air France KLM, KLM’s appeals, and those of Martinair Holland Cargolux Lufthansa, Singapore Airlines, and Singapore Airlines (OTC).

“Air France-KLM has taken note of the EU General Court’s judgement on the appeal filed against the decision of the European Commission of 17 March 2017 against 13 cargo operators, including Group airlines Air France, KLM and Martinair for practices considered to be anti-competitive in the air cargo sector,” Air France KLM said in a statement.

“The Group will instantly analyse the decision to prepare for appeal before Court of Justice. It added that these fines were included in the 31-December 2021 accounts. Provisions totalling 350.6 millions euros (or $391 million) have been made, including interest.

Air France had been fined by the Commission 182.9 million Euros, making it the largest, and KLM with 127.1 Million. A total of 776 million euros was paid to the 12 airline cartel members.

Air Canada, Japan Airlines and British Airways were fined less by the court.

SAS received a fine that was about the same despite the fact that judges had reduced some penalties but raised others.

Lufthansa, and its subsidiary Swiss International Airlines were spared a penalty after alerting the EU Competition Authority to the cartel.

The cases are T-323/17 Martinair Holland, T-324/17 SAS Cargo Group and others, T-325/17 KLM, T-336/17 Air Canada, T-334/17 Cargolux Airlines, T-337/17 Air France–KLM, T-338/17 Air France, T-340/17 Japan Airlines, Case T-341/17 British Airways, T-342/17 Deutsche Lufthansa (DE:) and others, T-343/17 Cathay Pacific Airways, T-344/17 Latam Airlines Group & Lan Cargo and T-350/17 Singapore Airlines & Singapore Airlines Cargo.

($1 = 0.8967 euros)