AGL 38.15 Decreased By ▼ -1.43 (-3.61%)
AIRLINK 125.07 Decreased By ▼ -6.15 (-4.69%)
BOP 6.85 Increased By ▲ 0.04 (0.59%)
CNERGY 4.45 Decreased By ▼ -0.26 (-5.52%)
DCL 7.91 Decreased By ▼ -0.53 (-6.28%)
DFML 37.34 Decreased By ▼ -4.13 (-9.96%)
DGKC 77.77 Decreased By ▼ -4.32 (-5.26%)
FCCL 30.58 Decreased By ▼ -2.52 (-7.61%)
FFBL 68.86 Decreased By ▼ -4.01 (-5.5%)
FFL 11.86 Decreased By ▼ -0.40 (-3.26%)
HUBC 104.50 Decreased By ▼ -6.24 (-5.63%)
HUMNL 13.49 Decreased By ▼ -1.02 (-7.03%)
KEL 4.65 Decreased By ▼ -0.54 (-10.4%)
KOSM 7.17 Decreased By ▼ -0.44 (-5.78%)
MLCF 36.44 Decreased By ▼ -2.46 (-6.32%)
NBP 65.92 Increased By ▲ 1.91 (2.98%)
OGDC 179.53 Decreased By ▼ -13.29 (-6.89%)
PAEL 24.43 Decreased By ▼ -1.25 (-4.87%)
PIBTL 7.15 Decreased By ▼ -0.19 (-2.59%)
PPL 143.70 Decreased By ▼ -10.37 (-6.73%)
PRL 24.32 Decreased By ▼ -1.51 (-5.85%)
PTC 16.40 Decreased By ▼ -1.41 (-7.92%)
SEARL 78.57 Decreased By ▼ -3.73 (-4.53%)
TELE 7.22 Decreased By ▼ -0.54 (-6.96%)
TOMCL 31.97 Decreased By ▼ -1.49 (-4.45%)
TPLP 8.13 Decreased By ▼ -0.36 (-4.24%)
TREET 16.13 Decreased By ▼ -0.49 (-2.95%)
TRG 54.66 Decreased By ▼ -2.74 (-4.77%)
UNITY 27.50 Decreased By ▼ -0.01 (-0.04%)
WTL 1.29 Decreased By ▼ -0.08 (-5.84%)
BR100 10,089 Decreased By -415.2 (-3.95%)
BR30 29,509 Decreased By -1717.6 (-5.5%)
KSE100 94,574 Decreased By -3505.6 (-3.57%)
KSE30 29,445 Decreased By -1113.9 (-3.65%)

Air France expects combined annual revenues of $8 billion from a joint venture it announced with Delta Air Lines on Wednesday, in the biggest shake-up in the transatlantic market in years. They plan to share routes linking major US cities and Europe starting with London's Heathrow in a challenge to British Airways Plc and Richard Branson's Virgin Atlantic Airways - which immediately promised to defend itself.
The Air France and Delta venture is the biggest deal yet to follow a transatlantic Open Skies pact reached by the United States and the European Union and set to take effect next March. Other airlines are also expected to jockey for position at Heathrow, Europe's busiest airport.
For decades, US access to Heathrow has been limited to two US and two UK airlines - currently American and United, along with BA and Virgin Atlantic. By forming a joint venture, Air France and Delta will be able to share costs and revenues on transatlantic routes.
Air France and Delta said the first stage of the venture would cover all transatlantic flights between the Air France and Delta hub airports, as well as all flights operated by either carrier between Heathrow and the United States.
Air France will add a new Heathrow-Los Angeles flight and other routes from the London airport will include two to New York JFK and one to Atlanta operated by Delta. Air France will give up four of its 12 Heathrow slots now being used for flights to and from Paris to make way for the new transatlantic flights. Delta expects the deal to boost its pre-tax profit by $125 million to $200 million a year from 2011, Chief Executive Richard Anderson told a news conference in Paris.

Copyright Reuters, 2007

Comments

Comments are closed.