European hubs turned towards the world
￼Currently, within the Group, there are four brands for customers looking to travel the world: Air France, KLM Royal Dutch Airlines, Hop! and Transavia. Thanks to this unique portfolio, every- one can easily find a travel solution tailored to their needs, whatever the reason for their journey. From a long-haul journey conceived with the ultimate level of comfort in mind to increased flexibility on the short and medium haul networks and the lowest fares for “sunshine” destinations, the Air France offering caters for everyone.
The world Air France-KLM’s global network articulates around the Paris-Charles de Gaulle and Amsterdam-Schiphol hubs which figure amongst the four largest transfer platforms in Europe. On departure from or arrival at these European hubs, the Group’s flight schedule is organized around six or seven waves known as “banks”. These banks are timed throughout the day to enable a maximum number of connections between the smallest markets and world-wide destinations within the shortest-possible window. Currently, some 45% of Air France and 60% of KLM Royal Dutch Airlines customers are passengers with connecting flights 2 global hubs at Paris-Charles de Gaulle and Amsterdam-Schiphol. Up to 2,200daily flights during the Summer 2015 season
To support the growth in its long-haul proposition (+1.8%(1) in Summer 2015), Air France-KLM is developing a vast network of world-wide partner- ships. The Group thus continues to offer more flight frequencies and destinations to customers in every geographical region.
In a major illustration of this strategy at work, Air France and KLM Royal Dutch Airlines are engaged in a vast trans-Atlantic joint-venture with their part- ners Delta Air Lines and Alitalia. This cooperation covers operations in common together with the sharing of revenues and costs on more than 250 trans-Atlantic flights operated daily by the four airlines. The joint-venture represents 25% of total capacity between Europe and North America and generated revenues of US$13 billion in 2014. Furthermore, to accompany its reinforcement in Canada, Air France-KLM is deploying its partner- ship with Canadian carrier WestJet Airlines, by offering additional connecting opportunities in North America on-bound from the new Paris- Vancouver and Amsterdam-Edmonton services. In another major operation, in South America fol- lowing the signature of an exclusive strategic agreement in February 2014, the Group is pursuing its close co-operation with the Brazilian carrier GOL.
This partnership enables Air France-KLM customers to be offered multiple connection opportunities on the Brazilian domestic network and supports the Group’s leadership position in Latin America.Lastly, Air France-KLM is strengthening its co-operation with Asian partners, notably thanks to joint-ventures with China Southern Airlines and China Eastern Airlines. Furthermore, KLM Royal Dutch Airlines and Garuda Indonesia have implemented a code sharing agreement on their flights between Amsterdam and Jakarta (Indonesia). The Dutch airline has also signed a co-operation agree- ment with Chinese carrier Xiamen Airlines, testifying to their shared commitment to reinforcing accessibility between the Netherlands and China.
Optimized short and medium-haul operations
On its medium-haul network, the Group is pursuing the rationalization of its offering, notably thanks to decisive operational measures like the reduction in aircraft turnaround times. In short-haul, Air France- KLM continues to reorganize its network, now regrouped within the HOP! Air France business unit. This unified network comprises all the short- haul services on departure from Paris-Orly and the French regions. A key element in winning back customers on this market, the new HOP! Air France activity has 35 Airbus and 61 regional aircraft. The diversity of the fleet (modules with 48 to 212 seats) enables better adaptation to the market needs. In parallel, Transavia’s development is being stepped up in France (capacity +30%(1) in Summer 2015) and consolidated in the Netherlands. Transavia is thus aiming to become the leading low-cost carrier on departure from Orly in 2015, thanks to 49 destinations served on departure from France.
(1) Capacity measured in Available Seat-Kilometers (ASK) and compared with Summer 2014 (excluding the impact of the Air France pilots’ strike in September 2014).