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Air France-KLM Ahead On Savings

Tue Apr 12, 2005 11:05 pm

According to (Financial Time), AF_KLM is ahead in their savings plan as a merged airline. Can anyone shed any greater light on how this merger is proceeding. Facts will be appreciated instead of rhetorical statement. What factors are allowing AF-KLM to be ahead of schedule when it comes to cost savings?

Air France-KLM, Europe's largest airline, said on Monday it was achieving cost benefits from the co-ordination of its international sales and station organisations abroad faster than forecast.

Patrick Alexandre, executive vice-president international commercial affairs and operations at Air France, said the savings in international markets for the combined group in its sales and foreign stations were forecast to total €92m ($119m) within four years. This would account for more than 15 per cent of the total €580m synergy benefits forecast for the whole group from the merger.
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