Air France-KLM looks to transfer flights to rail

[locojoe]

Air France-KLM looks to transfer flights to rail
Posted: 6th July 2008

WHILE arguments continue in Britain about whether high-speed rail would be better than a third runway at Heathrow airport, Air France-KLM is looking into replacing some of its short-haul European flights with high-speed rail services.

The Franco-Dutch airline, Europe’s biggest airline, has confirmed reports in French and British newspapers that it is discussing a high-speed rail alliance with Veolia — a French utility that runs many rail operations world-wide, some under the Connex brand, but is not yet active in high-speed travel.

“Air France and Veolia Transport are looking at the possibility of concluding a strategic partnership that would lead to the emergence of a new player in European high-speed rail,” Brigitte Barrand, of Air France, said.

Another Air France-KLM spokesperson said: “As part of the opening to competition of [European] rail transport in 2010, Air France and Veolia are looking into the possibility of a partnership to create a new high-speed rail player on the European scene.”

Veolia Transport, part of French water utility Veolia, could run trains under the Air France brand from the airline’s hub at Paris Charles de Gaulle airport to destinations across Europe, the Financial Times reported.

The move could mark the beginning of a decline in short-haul air travel on routes such as Paris-Frankfurt, which now enjoy good high-speed rail links, the paper said.

Air France has been exploring for four years the possibility of using rail to complement its air services.

Veolia runs passenger and freight rail services in 27 countries and transports more than two billion passengers annually, according to the company’s web site.

The International Herald Tribune quoted Kepler Equities analyst Pierre Boucheny saying the benefits for Air France would be improved customer service — thanks to faster transport times and fewer hassles during connections — and lower costs.

Exane BNP Paribas’ Nick Van den Brul predicted in the Herald Tribune that “a lot of short haul flights are going to become redundant over the next five to ten years.”

The main advantage for the airlines would be improved profitability, Van den Brul said.

“More than half of all flights are connections, and in effect long-haul is where the value is. Short haul is just way for Air France to get passengers to Charles de Gaulle airport in Paris,” Van den Brul said.

Moving passengers onto trains from planes would result in “significant” cost savings, a particular concern for airlines struggling to cope with record high oil prices.

Energy accounts for about 40 percent of an airline’s total costs, against only around 10-15 percent for rail.
Posted: 6th July 2008

WHILE arguments continue in Britain about whether high-speed rail would be better than a third runway at Heathrow airport, Air France-KLM is looking into replacing some of its short-haul European flights with high-speed rail services.

The Franco-Dutch airline, Europe’s biggest airline, has confirmed reports in French and British newspapers that it is discussing a high-speed rail alliance with Veolia — a French utility that runs many rail operations world-wide, some under the Connex brand, but is not yet active in high-speed travel.

“Air France and Veolia Transport are looking at the possibility of concluding a strategic partnership that would lead to the emergence of a new player in European high-speed rail,” Brigitte Barrand, of Air France, said.

Another Air France-KLM spokesperson said: “As part of the opening to competition of [European] rail transport in 2010, Air France and Veolia are looking into the possibility of a partnership to create a new high-speed rail player on the European scene.”

Veolia Transport, part of French water utility Veolia, could run trains under the Air France brand from the airline’s hub at Paris Charles de Gaulle airport to destinations across Europe, the Financial Times reported.

The move could mark the beginning of a decline in short-haul air travel on routes such as Paris-Frankfurt, which now enjoy good high-speed rail links, the paper said.

Air France has been exploring for four years the possibility of using rail to complement its air services.

Veolia runs passenger and freight rail services in 27 countries and transports more than two billion passengers annually, according to the company’s web site.

The International Herald Tribune quoted Kepler Equities analyst Pierre Boucheny saying the benefits for Air France would be improved customer service — thanks to faster transport times and fewer hassles during connections — and lower costs.

Exane BNP Paribas’ Nick Van den Brul predicted in the Herald Tribune that “a lot of short haul flights are going to become redundant over the next five to ten years.”

The main advantage for the airlines would be improved profitability, Van den Brul said.

“More than half of all flights are connections, and in effect long-haul is where the value is. Short haul is just way for Air France to get passengers to Charles de Gaulle airport in Paris,” Van den Brul said.

Moving passengers onto trains from planes would result in “significant” cost savings, a particular concern for airlines struggling to cope with record high oil prices.

Energy accounts for about 40 percent of an airline’s total costs, against only around 10-15 percent for rail.

[John H-T]

I don't know what else to say ....... I have said it all in other posts.

Best wishes,

John H-T.

[66521]

So does this basically mean Air France would like to get hold of some TGV's and start running them from Paris Charles de Gaulle airport to the provinces?

[Deathbyteacup]

I can't think of anything more positive for the railways than for an airline to endorse the use of railways.

Should British Airways decide to run a franchise here in this country then it'd be far harder for the press and public alike to mock the train over air travel, cause the airlines themselves are recognising the benefits of the railways.

Won't happen, but a good example.

[Shed Cat]

Call me cynical, but wouldnt it be a good plan for airlines to move into the operations of their biggest competitor, and then run it down through neglect or by syphoning off the profits to subsidise their airline business ??

[Deathbyteacup]

Not really, they would loose more money doing that than it's worth in the long run.

But by offically running their own, or sponsoring trains that run between airports and cities they are saying the train is a good idea for land-based travel while flights should be the international thing.

You can't say trains are rubbish compared to flying when airlines themselves use trains to get their passengers around. IMO.

[Resolution]

Germany recently announced that it is to privatise 25% of it's DB operations. I thought that this would be freight, but.........Mmmh, Maybe this it what they meant?