Valladolid- announced today.
I can see your point but I tend to disagree with it. While it could be considered brash that the Dutch government allowed the AF/KL deal, I think it had always been a major priority of the Dutch government to “offer” KLM openly to Europe.
While KLM might have been generally in quite good shape, it was accepted that KLM needed in order to survive the Europe wide consolidation, a European partner. The alliance between KLM and Northwest was profitable, however, it restricted KLM to flights between Europe and the US only and lacked the overall profitability for the airline. What KLM needed was a sufficient European partner to offer it a complex network to remain competitive.
The Netherlands is a small state, they have always been dependant on international trade, thus are quite liberal. Airlines are no different. The government has always been in favour of the liberalisation of airline ownership and foreign investment, moreover, “Open skies”. Therefore, it was believed that it was in the best general interest of KLM to come open to European ownership.
What I am saying is that although the government’s decision might seem stupid in the short term, I think they have always desired something similar to occur like the AF/KL deal. The limitations are being the present ownership and control restrictions in aviation treaties and bilateral agreements, which hinder the restructuring of the industry. Nevertheless, it possibly guarantees the future of KLM in the times of necessary consolidation and in turn suggesting that there should be no geographical restrictions on airlines.
While this is contradictory of my earlier statements, having looked into the matter I believe that the Dutch government should be commended on such a decision. Only time will tell….
Originally posted by KabirT
agreed there totally. The national airline is a countrys symbol that also represent the country on its international routes. Seeing so many of them go down like this is sad. Specialy KLM, worlds second oldest airline.
That is the trouble, but the EU is encouraging consolidation so I believe this is just the beginning. In many respects it was a brave decision by the Dutch Government to allow such a move, aviation is one of the very last form of nationalism as it gives the country and identity all over the world. Nevertheless, patriotism isn’t the way to run a business with the situation in Europe being too cosy in the past. With alliances and the formation of the EU it is just an outdated system now, okay in the short run it’s an identity crisis, however, in the long run it is the leaner more efficient European market.
It will be interesting to see what happens with the London flights. TAP currently flies into LGW yet to me this would seem a good airport for Air Luxor. TAP/Air Luxor have quite a good relationship, a number of their flights code-share, so I wonder which London airport it would be?
Well the need for a more business like approach to aviation is obviously well overdue; 9/11 was just a catalyst. In other businesses such a financial crisis would have sparked off larger businesses taking advantage of economies of scale and the weakest going under. In aviation you have a totally contrasting idea.
In Europe it is well regarded that a national carrier is a symbol of a State’s infrastructure and identity. An airline might be emblazoned with a national flag, which links the world to that particular country and capital. So from this, due to pride, we see states continuously bailing out flag carriers and political opposition givimg a country a national carrier. Again it is a case of redefining “nationality,” which many countries are uneasy to do.
But I think now though that now governments realize the need for consolidation, they are easing the path. The relaxation of ownership laws and bilateral agreements will no doubt help with greater emphasis on existing airline alliances. You would point to large alliances such as Star or Oneworld taking advantage of partners and taking stakes in them. For example, LH’s relationships with LOT, SAS and Austrian grow and they are turned into feeder services with excess capacity going straight to one major hub at FRA.
I mean, in Europe you have one country having one national airline with an over-inflated network. This doesn’t work anymore, why not have three or four major airlines (I point to the large EU players of France, Germany and the UK here) who merge with other airlines or take them over? AF/KL, BA/IB etc, are just other examples with Swiss’ entry into Onworld possibly being a backward step.
WOW! What an amazing milestone and picture…well done.
Wouldn’t Helios be considered low cost?
Originally posted by Hand87_5
No it’s just about KL to join Skyteam …….. so far
But can we assume this will have an affect on Northwest’s and Continental’s decision?
Northwest will still have an alliance with KLM yet will effectively still be competing against Delta and Air France. It seems absurd to have three dominant airlines such as NW/DL and CO in one alliance. Will we Northwest turn to other alliances?
So it’s KL/NW and CO all entering Skyteam now?
It’s a sad day; both companies might still have their individuality in retaining brands but ultimately how long will that last? KLM, the world’s oldest carrier, seemingly now on the path to oblivion. I really do question why it was in the best interest of KLM and waved through by the Dutch Government? A really quite an amazing decision in my opinion.
But anyway, a momentous day nonetheless, redefining the term “nationality” in aviation. If the first steps in consolidation were excepted by the EC then I would not be surprised to see BA and IB getting closer in the future.
16+1 day now but still thanks guys. I obviously like the pictures, any Saab aircraft will do nicely.
So we might finally see a decision from KLM 😮
I don’t particularly agree with the AF/KL link up, as I believe AF will just kill Amsterdam as a hub and KLM as an airline. But what is this exactly, is it a takeover or an alliance between three airlines?
Isn’t LGW rumoured as a new route?
Thank you very much, I really appreciate your thoughts.
I received some pretty decent Cannon binoculars so it is no guess what I have been doing today 🙂
A practical idea but it looks very tacky, emulated by the terrible yellow interior. You might say it is a novel idea for an in-flight entertainment system.