Air France-KLM Martinair (AF-KL-MP) is to cut unprofitable routes and postpone delivery of additions to its long haul fleet, as part of its Perform 2020 programme.
The Franco-Dutch carrier says it will stop serving loss making routes and reduce others. AF-KL-MP is reviewing its fleet plan, including possibly postponing delivery of aircraft including Airbus A350 and Boeing 787. The airline’s management is considering legal action to force the pilot union, Syndicat National des Pilotes de Ligne, to accept the remaining measures of this year’s cost cutting efforts.
As part of Perform 2020, three Boeing 747 left the fleet at the end of 2014 and five Boeing MD-11 Freighters will be retired at the end of this year. The plan now is to have five freighters by the end of 2016 with the cargo division breaking even in 2017. Chairman and chief executive officer of Air France, Frederic Gagey, says: “At the end of 2015, we will assess the financial situation of Air France.”