On Feb. 15, US and Australia announced an open skies agreement in Washington at the conclusion of three days of negotiations. Australia becomes the US's 90th open skies partner. The deal was not signed formally and no schedule was announced.

The number of airlines from either country that can serve the other once the agreement becomes effective will be unlimited, as will the number of flights permitted. Restrictions on pricing, codesharing and charters also were removed. Limitations on cargo services were removed in 1999, the US Dept. of Transportation said.

Australian carriers were quick to laud the accord.

Qantas CEO Geoff Dixon said QF had supported the Australian government's efforts to secure open skies with the US and the agreement "brings new opportunities for growth and competition. Importantly, it will assist the further development of Australia's aviation industry, as well as help increase trade and tourism with a major economic partner." QF operates 48 weekly flights on the transpacific route, increasing to 51 next month.

Virgin Blue CEO Brett Godfrey, whose carrier is preparing to launch its V Australia long-haul subsidiary and will take delivery of the first of 14 777-300ERs this fall, called the deal "a great achievement and a significant change after almost twenty years of restrictive bilaterals." He would not reveal V Australia's US destinations.