Air France-KLM’s strategic playbook is reshaping European aviation. By acquiring a 19.9% stake in SAS Scandinavian Airlines through a consortium, the group sidestepped EU merger reviews while securing operational influence. CEO Ben Smith confirms this model could guide their approach to TAP Air Portugal’s privatization, leveraging Lisbon’s gateway to Latin America and TAP’s 11% Europe-South America route share. Financial drivers are clear: SAS projects €3.1B annual revenues by 2026 through Air France-KLM synergies. TAP’s Q2 2024 €72.2M profit and modern Airbus fleet add appeal. However, EU regulators remain cautious, recalling blocked deals like IAG’s Air Europa bid. The stakes are high—a combined Air France-KLM-TAP entity would control 23% of Europe-Latin America capacity. Alliance dynamics are shifting too. SAS’s planned move to SkyTeam marks the first major alliance switch in 20 years. As consolidation accelerates, passengers face trade-offs: expanded networks vs potential fare hikes on monopoly routes. #AirFranceKLM #TAPAirPortugal #AviationConsolidation Full article: https://lnkd.in/evSwmKYB
