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Air France Interested In Alliance With TAP

Mon Dec 10, 2001 12:41 pm

According to the Portuguese newspaper "Jornal de Negócios" Air France and TAP Air Portugal are discussing entering into a new strategic alliance in 2002. TAP was formerly part of the Qualifyer Group with Swissair and Sabena now dead the company has been forced to look for alternatives. In other news TAP and the Portuguese government seeks a 270 million euro indemnity from Swissair for not fufilling their promise to purchase a stake in TAP. My question is if Swissair went bankrupt who do they expect to get this money from? Recently TAP has also approached several economic groups in Portugal to begin privatising the company. Next year 39% of the company is expected to be sold off to Portuguese investors.
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RE: Air France Interested In Alliance With TAP

Mon Dec 10, 2001 1:20 pm

TAP has to do its homework fast in order to survive.

The Portuguese national airline posted financial losses again and it is unable to generate enough scale to be competitive in Europe. Also, it remains quite inefficent as a State-owned enterprise and it has few ground facilities and tradition to trigger Lisbon as a key regional hub.

In other words, it is TAP´s best interest to get a strong and capitalized partner or alliance to secure its future, specially when talking about alternatives to generate extra traffic which is inexistent at the current situation.

Even after privatized, I think TAP will be more likely to be a feeder airline rather than an international carrier... I think it is a better option than its bankrupcy.
The fastest way to become a millionaire in the airline business is to start as a billionaire.
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RE: Air France Interested In Alliance With TAP

Mon Dec 10, 2001 6:53 pm

some days ago, i read an article stating that Air France is looking to form some kind of mediterranean alliance (within skyteam, of course) which would include AF, alitalia, and possibly Iberia, which AF is interested in.
however, the article also stated that IB would have to leave oneworld first.
perhaps that´s one of the reasons why AF is looking at TAP.

If only pure sweetness was offered, why's this bitter taste left in my mouth.
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RE: Air France Interested In Alliance With TAP

Mon Dec 10, 2001 8:59 pm

DL and TP used to have a good relationship until TP tore it up in favour of the QG.

I can see them as welcome members of the Skyteam alliance.
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lindy field
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RE: Air France Interested In Alliance With TAP

Mon Dec 10, 2001 10:56 pm

Yeah, there's a report that Air France is looking to buy between 3% and 20% of Alitalia. I hope AF is very careful in making investments--we know what happened to Swissair and ANZ and the airlines they bought into!
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RE: Air France Interested In Alliance With TAP

Mon Dec 10, 2001 11:16 pm


regarding this affair it's good to know that when TAP was turning to SWISSAIR and their network AIR FRANCE was also interested to buy some of TAP shares, at that time the politicians did a great noise regarding that, so now that the SWISSAIR affair is over I think AIR FRANCE will be more than welcome, regarding the survivality of TAP I have now worries about that, TAP is a well known airline with good workshops, good pilots, good fleets, a good network too so I'm sure they can make the best move with time, no rush. The only thing that I'm a little bit worried about is Africa and Latin America network, we know well that AIR FRANCE was always very strong there, and I hope TAP will keep their routes over there and don't chanalize them to AIR FRANCE now that SABENA is over it's good for TAP to have it's position over there!!!
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RE: Air France Interested In Alliance With TAP

Tue Dec 11, 2001 6:02 am

I personally think that Sky Team would be a perfect partner for TAP. Delta can feed their flights at JFK with pax from large Portuguese communities that TAP doesn't serve anymore as well as smaller airports: BOS, YYZ, YUL, BDL, PHL, SFO etc. Air France can provide greater European connections especially to places like Eastern Europe. I think that the only thing needed now is a South American carrier to team up with, TAM would be good but they seem to be closer to One World right now.

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