Tag: Air France

  • Air France-KLM more than doubles profits in 2018 despite strikes

    Air France-KLM more than doubles profits in 2018 despite strikes

    Air France-KLM, which was badly hit last year by strikes and management upheaval, reported on Wednesday that its annual net profits rose by 150% to 409 million euros (US$463 million). “The strong performance of our front-line teams and continued cost control helped partly offset the impact of strikes at Air France in the first half of the year, as well as significant fuel headwinds,“ Benjamin Smith, the company’s new chief executive, said in a statement.

    The Canadian businessman took over in September following Jean-Marc Janaillac’s sudden exit in a bitter dispute over salaries in the group’s French wing.

    Fifteen days of strike cost the company 335 million euros, Air France said.

    On Tuesday, Air France pilots voted by 85% in favour of a new pay deal, concluding a series of long employee-management negotiations.

    Revenue growth last year was up in all business segments, with operating earnings coming in at of 1.3 billion euros, the Franco-Dutch airline group reported.

    The group said it had carried more than 100 million passengers last year, making it the leading European airline for long-haul traffic.

    Transavia, a low-coast subsidiary, carried 15.8 million passengers last year, an increase of 7.1% on 2017.

    Full year 2018 capacity increased by 2.1%, mainly driven by the South American, North Atlantic and Asian networks, with respective growth of 8.6%, 3.0% and 2.1%, Air France-KLM said.

    In 2019, the group will concentrate on “operational efficiency”, financial director Frederic Gagey said.

    “We can make a lot more money compared to last year,“ he said, adding that Air France-KLM would also be looking to renewing its fleet to replace some of its more fuel-guzzling planes.

  • Air France launches more flights to Incheon

    Air France launches more flights to Incheon

    France’s flagship carrier Air France increased the number of direct flights between Incheon and Paris earlier this month to meet growing demand from Koreans interested in visiting France’s capital.

    This year, Air France is celebrating the 35th anniversary of its first flight from Europe to Seoul in 1983.

    From the beginning of this month until Oct. 27, an additional flight will leave for Paris from Incheon International Airport on Monday, Wednesday and Saturday. Additional flights returning from Paris are available on Tuesday, Friday and Sunday.

    Currently, two flights traveling either from Incheon to Paris and from Paris to Incheon depart every day. The 1:20 p.m. flight is shared with Korean Air.

    The additional three flights a week increases Air France’s flights between the cities from 14 a week to 17, and will increase weekly available seats by 28 percent.

    “In 2015 and 2016, the number of Asian passengers flying to Europe stabilized and even decreased a bit because the situation in Europe wasn’t so good in terms of politics and security,” said Antoine Pussiau, senior vice president of Air France’s Asia Pacific division. “But now we are seeing Asian passengers coming back to Europe, not only to France but other major countries like Italy, the Netherlands and Great Britain.”

    According to the European Travel Commission’s tourism report released in February, travelers to Europe in 2017 rose a record 8 percent last year to 671 million, much better than the 2 percent increase seen in 2016.

    The report noted that stronger growth last year was due to improved economic growth in source countries as well as easing security concerns in Belgium, France and Turkey.

    The Paris Region Tourist Board estimated that last year, the number of international visitors to hotels in Paris surged 13.7 percent year-on-year. Chinese and Japanese clients increased by double digits, though it didn’t have a figure for Koreans.

    According to one study, Koreans’ favorite travel destination is Paris.

    According to a study released in April by the Korean office of U.K.-based travel website Skyscanner, Koreans searched for European destinations 141 percent more last year than in 2016.

    Paris was the top-ranked European tourist destination, followed by Rome, London, Prague, Barcelona, Frankfurt, Madrid, Zurich and Milan.

    While the Korean government tracks the number of Korean leaving the country, it does not note their travel destination.

    Although Paris is still on top, it has been facing stiff competition from other European cities such as Warsaw, Lisbon and Barcelona.

    Warsaw, Poland, saw the sharpest increase in searches from Koreans. Interest surged by 257 percent, while searches for Budapest increased by 236 percent and Lisbon and Barcelona jumped by 193 percent and 174 percent.

    Air France said it has one distinctive advantage against the competition, though — Charles de Gaulle Airport, which serves as the airline’s principle hub.

    Only the best

    Charles de Gaulle Airport is Europe’s second-largest hub.

    The airport received over 63 million passengers last year. Roughly 24 percent transferred to other flights, with some traveling as far as South America.

    “When you arrive in Charles de Gaulle Airport, you can connect to everywhere,” said Pussiau. “We fly to 134 countries from North and South America to Africa. Some of the competition only flies to one point or another, like only arriving in Barcelona and nowhere else.”

    Air France and the airport have been working together for over two decades to attract more passengers to transfer flights. In order for the airport to be considered a “hub,” more than 20 percent of all passengers arriving at the airport must be transferring to other flights.

    As a result, Air France and the airport have been focusing on increasing convenience for customers.

    This includes a separate passageway for people transferring to another Schengen area, which refers to the 26 countries in Europe that do not required border checks.

    But what Air France boasts about most is the service at its premium first- and business-class lounges.

    The airline has a single first-class lounge near the entrance to Charles de Gaulle and seven business lounges spread across the airport.

    The first-class lounge provides one-stop services, from ticketing to luggage loading. It will even send a driver to deliver passengers to the front door of their flight in a luxury vehicle.

    Air France has revamped its business lounge, also referred to as the Salon Lounge, in recent years.

    “Our business lounge contributes to Air France’s excellence strategy,” said Laurence Garnier-Plat, Air France’s business and first-class lounge product manager. “For some years, Air France has continued to develop and upscale the lounges.”

    Among the seven lounges, the one at Hall L is the largest as it covers an area of 3,200 square meters (34,444 square feet). Air France opened up a newly-furbished 2,180 square meter area in January, and it plans to reopen the remaining area in July this year.

    One of the lounge’s distinctive features is its open kitchen, which allows the customers to see their dish being cooked by chefs.

    The lounge has an “instant relaxation” area with more comfortable sofas that allow the customers waiting for a long period to take naps or work in quiet. It also offers a 15-miniute free facial treatment in partnership with cosmetics company Clarins.

    The lounge in Hall M, which opened in June 2012, was designed by famous French designer Noe Duchaufour-Lawrance. The lounge’s wooden interior provides a soothing atmosphere.

    Garnier-Plat, the lounge’s product manager, said that the experience that customers get before boarding the plane is just as important as the flight itself.

    “[We] are very focused on customer experience and attention to detail,” said Garnier-Plat.

    She said one of the key experiences of the lounge is offering customers a firsthand take on the French way of life through food and drink.

    “Everything that’s to relax, that’s the way of [French] life,” the lounge product manager said.

    Even for non-business passengers, Air France is providing special events. On May 5, which is celebrated as Children’s Day in Korea, Air France provided gifts to children flying back to Incheon. One Japanese girl didn’t understand why she received a gift. She muttered to herself, “why?” in Japanese as she opened the package with delight.

  • Air France and Vietnam Airlines to set up joint venture

    Air France and Vietnam Airlines to set up joint venture

    Air France and Vietnam Airlines are establishing a joint venture for their services between Paris Charles de Gaulle and both Hanoi and Ho Chi Minh City.

    The two SkyTeam carriers say in a joint statement that the arrangement, effective 1 November, will allow for better onward connections in Europe and Vietnam.

    “Our aim is to maintain and develop our position as European leader in this region with very strong growth potential,” states Air France chief executive Franck Terner.

    Via three hubs – Hanoi’s Noi Bai, Ho Chi Minh City’s Tan Son Nhat, and Paris CDG – passengers will be able to travel to 50 European destinations on Air France flights (compared with 14 today) and 20 Vietnamese destinations on the local flag carrier’s services.

    FlightGlobal schedules show that Vietnam Airlines and Air France are the only airlines operating direct services between Vietnam and France. Vietnam Airlines is the sole operator on the Hanoi-Paris route, conducting a six-times-weekly service with Airbus A350-900s.

    Both airlines fly thrice weekly on the Ho Chi Minh City-Paris route, with Air France operating Boeing 777-300ERs and Vietnam Airlines A350-900s.

    Schedules indicate that the two carriers already codeshare extensively. Air France places its code on 20 Vietnam Airlines services, including the Paris-Hanoi route. It also places its code on services from Ho Chi Minh City and Hanoi to other Vietnamese cities, as well as to the Cambodian destinations of Phnom Penh and Siem Reap.

    Vietnam Airlines, for its part, places its code on 30 Air France services, including the Paris-Ho Chi Minh City route. It also places its code on Air France services to destinations in France and Europe.

  • Tata Comms to provide MPLS WAN for Air France-KLM

    Tata Comms to provide MPLS WAN for Air France-KLM

    Europe’s second largest airline Air France-KLM has handed Tata Communications a multi-million dollar deal to provide next-generation network connectivity to 170 sites.

    Tata Communications will provide Air France-KLM with an MPLS WAN in the Middle East, Africa and Asia Pacific, supported by the operator’s global subsea cable network.

    The multi-year contract will see Tata Communications roll out a fast, intelligent network which will power Air France-KLM’s mission-critical systems, including passenger check-in, flight operations and departure control applications, as well as corporate programs in the Middle East, Africa and Asia Pacific.

    Air France-KLM, which carried 87.4 million passengers in 2014, is the first major European airline group to move away from the legacy networks widely used in the airline industry.

    Tata Communications’ global network – which today connects more than 300 locations for leading airlines worldwide – will enable Air France-KLM to offer a range of digital services in regions that have been identified by the International Air Transport Association (IATA) as the future growth drivers of the industry.

    Currently eight of the ten fastest growing airline markets are located in Africa. By 2034, IATA expects 1.3 billion passengers to touch China – up from 850 million at present – and India is set to see an additional 260 million passengers. Europe will act as key transfer hub to these emerging markets, with 1.4 billion passenger journeys in 2034 – nearly 600 million more than today.

    “Investing in emerging markets and cutting-edge digital technologies is at the heart of our growth strategy. We’re introducing a range of innovative services, such as travel apps for smartwatches, to provide a seamless, personalized travel experience for our tech-savvy passengers,” Air France-KLM CIO Jean-Christophe Lalanne said.

    “Tata Communications’ global next-generation network will act as the foundation for these services in the Middle East, Africa and Asia Pacific, empowering us take customer service to the next level and capitalize on the huge growth opportunities that these markets offer.”