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European network: an expected 500 million euro improvement in operating income

4-Dec-2009 10:05 AM

Air France-KLM announced (03-Dec-2009) a plan to redesign its short and medium-haul product should improve its operating result by EUR500 million by 2011-2012 and "sustain the economic balance of this network". Air France also wants to start talks with the crew union representatives to set the conditions to return to profitable growth on the short and medium-haul network. Details of the plan include:

  • Improved revenue, with new market share on the mid-range fare segment;
  • Reduced costs through new operations methods in handling at stations, logistics and catering, and in increasing seat numbers on the domestic fleet;
  • Adjustments to the network, by rationalising frequencies on the Group's most popular destinations to increase aircraft size and lower costs. [more]