Austria

“Sales made on international markets account for 58% of Air France-KLM’s total passenger revenues” declared Patrick Alexandre on the occasion of a press conference held at Roissy airport today. “In this respect, the implementation of a coordinated sales strategy on international routes is one of the Group’s major challenges. The aim is to expand the presence of both airlines, while capitalizing on their respective assets, in order to offer customers a global, streamlined product”.

Paul Gregorowitsch added: “On all markets, the strength of the merger between Air France and KLM stems from the determination of both airlines to closely coordinate their different, but highly complementary, sales policies, in order to add to their experience and expertise. Over one year of working together has shown that this objective is shared by our 7,510 employees based abroad. This is the best guarantee of success for Air France-KLM.”

Action plans were drawn up after a phase of consultation and preparation carried out by joint working groups. Their implementation in the field, well under way, will generate substantial synergies: about 8.3 million euros in the first year (April 2004-March 2005), 29 million this year (April 2005-March 2006), and 92 million in 4 years. These amounts form part of the total synergies generated by the Air France and KLM combination: 90 million euros in the first year and 580 million in year 4.

The implementation process has been particularly rapid in stations, where management and operations are concerned. Air France and KLM have rationalized their sales expenditure on international markets through the joint rental of offices and ticket offices wherever possible, and the renegotiation of station handling services.

Three levels of commercial governance have been set up in order to define the guidelines for sales cooperation between the two airlines (Commercial Committee), coordinate the actions of regional managements and establish priorities (Area Commercial Committees), and finally to define in detail and concretize action plans in the field (Regional Management Committees).

The local sales organization at Air France and KLM has been divided up into «coordinated markets», served by both airlines and where present structures have been maintained, «complementary markets» where one of the airlines is not present but benefits from the partner airline’s sales representation; at last, a few markets where there is greater integration of sales forces, led by one regional manager.

“The merger between Air France and KLM has given rise to a leading European player and the world’s leading airline group in terms of turnover, boosting two highly complementary brands.”, concluded Patrick Alexandre and Paul Gregorowitsch.

11.04.2005
Opening of Ukrainian border during the Eurovision Song Contest
Under the president's decree, signed on 31 March, the visa-free entrance regime for the citizens of the EU and Switzerland will be operational from 1 May until 1 September 2005. The president's office announced that the measures are to "provide appropriate logistical support in the framework of the Eurovision Song Contest 2005".

more details under: http://www.ebu.ch/en/union/news/2005/tcm_6-36674.php