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Wednesday, May 26, 1999 5:14:53 PM EST

ATLANTA (CNN) -- AirTran Airways says Delta Air Lines engages in predatory pricing and other unfair competitive practices at Atlanta's Hartsfield International Airport.

In a letter sent Tuesday to the United States Department of Justice and Department of Transportation, low-fare carrier AirTran alleges that over a five-year period, Delta drove out competition on key routes by lowering fares in a predatory manner, then raising fares once competitors were eliminated.

AirTran president Robert Forano tells CNN he wants the two federal departments "to pass judgment on what it deems is reasonable and fair competition."

Forano cites examples of what he says is Delta's pattern of unfair competitive activity. In one alleged case in 1996, when AirTran entered the market for flights between Atlanta and Louisville, Kentucky, Forano says Delta added extra capacity -- more planes and more seats -- and cut prices. About a year later, when AirTran pulled out of the route, Forano says Delta responded by cutting capacity and increasing fares from about $80 to $170.

AirTran's action comes less than two weeks after the Justice Department filed an anti-trust lawsuit against American Airlines. The department accuses American of predatory pricing to quash competition at its Dallas-Ft. Worth base. American says those charges are unfounded, and plans to fight the suit.

In response to AirTran's statements, Delta spokesman Bill Berry says, "Delta has done no wrong. AirTran has made such charges for years. No government agency has ever found Delta in the wrong. Delta is an ethical company, and it exercises great care to conduct its affairs within the law. AirTran's charges are insulting and just not true."

AirTran says its letter is not a formal complaint against Delta, and adds that it has not asked the government departments to take action. But the carrier says it's up to the transportation and justice departments to determine whether any of Delta's practices in Atlanta are illegal.

Atlanta is Orlando-based AirTran's largest hub. From Hartsfield, the carrier operates some 132 flights daily to 29 domestic cities.

Delta is based in Atlanta, making 646 flights daily to 126 domestic and international destinations.

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