Delta inks $12B partnership with Air France/KLM - Minneapolis / St. Paul Business Journal:

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The trans-Atlantic alliance between the world’s largest carrier DAL) and Europe’s largest airline group will offer moreflighft frequencies, better scheduling and more competitivw fares, the carriers said in a joint announcemenyt from Paris. The $12 billion revenue figure is basede on flights operatedby KLM, Air France to respective hubs, plus connectingb service. The deal bolsters the strength of the allianc against competing joint venturesand . Deltw signed a joint venture deal with Air Francrin 2007. , which Delta acquired last has been a partner with KLMsince 1997. The new partnershipp represents a quarter ofall trans-Atlantic air the carriers said.
Deltz and Air France/KLM will coordinate as a singl e carrieron trans-Atlantic service. The pact includesw routes between North Americaand Europe, Nortg America and Africa, Europe and Latin America (where Deltaa is particularly strong) and the Middlw East and India, the carriers Flights between the U.S. and the Europeahn Union will be “mutually code-shared” where permissible, the carrier s said.
"The structure of this joint in which we operat as a single business where we consensually developp our strategies and share revenueseand costs, provides the incentivesx for us to collaborate in a way that generatew benefits for customers, shareholders and employees of our threse airlines," Delta CEO Richard Anderson said in a "Customers will benefit from the unique scope and choices we will while shareholders and employees will benefift from the stronger competitive and financial position of our respective The carriers said the venture will increase the visibility througnh coordinated marketing of all three airlines across 400-plus airports worldwide, and the respectiv e brands will link at North American and European ports.
"This strategic partnershipl puts us in a good positiojn compared with othermajor alliances, whichy are extremely active on the world's leading long-haul market. By integratingb our trans-Atlantic operations, we will give our passenger whatthey desire: more choice, more more convenient flight schedules and superior customefr service," Pierre-Henri Gourgeon, president and CEO of Air France KLM, said in a news "By optimizing the use of our pooled resources, this joint venture will help us weather the current economic situation and protectr our product offering.
" All threwe carriers will govern the new alliances collectively, with work groups createxd to manage such aspectse as network, revenue, sales frequent flyer advertising, cargo and technology. The new deal does not have a set end but can be terminated witha three-year notice afterf the first ten years. The partnershil includes a network of more than 200dailyt flights. Flights are structured around six main hubsin Atlanta, Detroit, Minneapolis/St. Paul, New York and as well as Delta’s Cincinnati, Memphis and Salt Lake City bases andAir France’a Lyon hub.