Tag Archives: Air France

Air France adds its 10th Airbus A350-900, trials IATA Travel Pass

Air France on June 18 took delivery of its 10th Airbus A350-900. The aircraft, registration F-HTYK, rolled off the Airbus assembly line in Toulouse and took off for Paris-Charles de Gaulle, where it will operate on the airline’s long-haul routes.

The front of the fuselage bears the name ‘Aubusson’, named after the town in the Creuse region of France, whose tapestries are famous throughout the world. Since 2019 and the delivery of the first Airbus A350, Air France has resumed the legendary tradition of naming its aircraft after French cities. Aubusson is the 46th city to be honored in this way.

In a few days’ time, ‘Aubusson’ will be joined at Paris-Charles de Gaulle by ‘Cannes’, Air France’s 11th Airbus A350.


Renewing the Air France fleet, a powerful way of reducing its environmental footprint

With the Airbus A350-900, Air France is accelerating the change towards more sustainable air transport, in line with its HORIZON 2030 commitments.

The latest-generation A350 consumes 25% less fuel than previous-generation aircraft (i.e. 2.5 litres per passenger per 100 kilometres) thanks in particular to the use of 67% lighter materials: 53% composites and 14% titanium. Its noise footprint is also reduced by 40%.

Between now and 2025, Air France will take delivery of 38 Airbus A350s to modernize its long-haul fleet.

The renewal of the short and medium-haul fleet will begin in September, with the delivery of the first of the 60 Airbus A220s ordered by Air France.
A new definition of comfort

The Air France Airbus A350 has 324 seats, with 34 in the Business cabin, 24 in the Premium Economy cabin and 266 in the Economy cabin.

On board, customers enjoy:

  • a spacious and quiet cabin,
  • windows that are 30% larger,
  • an optimized air pressure system providing a more comfortable cabin atmosphere with regularly renewed cabin air,
  • lighting adapted to the different flight phases.
  • In Business, the seat turns into a real 2 metre-long lie-flat bed, guaranteeing restful sleep. In Premium Economy, the brand new “Recliner” seat is 48cm wide and reclines to 124°. In Economy, the seat has been redesigned for even more comfort, with a reinforced ergonomic seat cushion, a 118° seat recline, as well as a 79-cm seat pitch. Each cabin features large individual High Definition touch screens.
    In other news, on June 17, 2021, Air France started the trial of IATA Travel Pass on flights from New York-JFK and Barcelona-BCN to Paris-Charles de Gaulle. With this experiment, the airline seeks to offer its passengers an improved customer experience by streamlining the checking of COVID-19 test results.

Available on smartphones, IATA Travel Pass app enables travelers to:

  • Check up on the latest COVID-19 related entry requirements for their country of destination, for non-vaccinated travelers
  • Have the results of COVID-19 tests performed at partner laboratories sent directly into the app,
  • Securely store these documents in the app so they can demonstrate to airlines and authorities that they meet the relevant entry requirements, without having to divulge further information about their personal health.

IATA Travel Pass should also bring greater speed and efficiency to the checks performed at the airport.

This trial is free of charge for customers and offered on a voluntary basis. It is open to customers traveling on Air France-operated flights with Paris as their final destination from New York JFK until 8 July, and from Barcelona BCN until 30 June 2021.

IATA Travel Pass meets the strictest data protection requirements. All the user’s health details remain on the app: at no point are they transmitted or centrally stored, which assures the user of total control over all their personal data.

The trial marks a further step in making travel simple and reliable again and highlights Air France’s commitment to exploring the best options available to provide its customers with the highest level of health and safety.

These efforts have notably been recognized by a 4-star score at the Skytrax Covid-19 Airline Safety rating, and more recently by a Diamond Award at the APEX Health Safety rating powered by SimpliFlying.

Passengers traveling to Corsica and the French Overseas Departments on departure from Paris-Orly airport can already present their proof of vaccination and the results of a COVID-19  test using the state-supported TousAntiCovid App, which will be compatible with the European Green Pass which will come into force on 1 July, 2021.

Air France to serve close to 200 destinations this summer

Larger 2021 titles

Air France has made this announcement:

In line with the gradual reopening of French borders and the lifting of certain travel restrictions, Air France teams at the airport and on board are fully mobilized to help customers reunite with their loved ones or reach their holiday destinations.

This summer, Air France plans to serve close to 200 destinations worldwide, including more than 110 destinations in France, Europe and North Africa.

On the short and medium-haul network, in addition to its usual schedule, this summer Air France will operate 81 seasonal routes including 23 new ones. More than 40 summer routes will be served on the domestic network, on departure from Paris and the French regions, notably to Corsica, with direct flights to the Mediterranean island offered from Paris, Bordeaux, Caen, Lille, Lyon, Pau, Rennes, Strasbourg and Nantes.

In Europe, this offer mainly concerns leisure destinations, such as Greece, Portugal, Spain and Italy, on departure from Paris and the French regions. Overall and compared with summer 2019, Air France will increase its capacity to Greece by almost 80%, and its capacity to Portugal by nearly 25%.

On long-haul routes, the removal of the essential reasons to travel to most French Caribbean destinations will allow us to increase capacity on these routes that are essential to ensuring territorial continuity. This summer, Air France will operate up to 3 daily flights to Pointe-à-Pitre (Guadeloupe), Fort-de-France (Martinique) and Saint-Denis de la Réunion on departure from Paris-Orly and Paris-Charles de Gaulle, facilitating connections with the entire Air France network.

In July and August 2021, the Air France flight schedule will represent 65% of the capacity offered during the same period in 2019, compared to 40% in May.

To support the increase in frequencies, the Air France maintenance teams are working hard to bring 10 medium-haul and 12 long-haul aircraft out of storage. In total, 181 Air France aircraft will be in operation this summer.


Flight schedule for July and August 2021 on departure from Paris-Charles de Gaulle and Paris-Orly to France, Europe, North Africa and the French Caribbean –

France Ajaccio,  Aurillac,  Bastia,  Biarritz,  Bordeaux,  Brest,  Brive,  Calvi,  Castres,  Clermont Ferrand,  Figari,  Lourdes/Tarbes,  Lyon,  Marseille,  Montpellier,  Nantes,  Nice,  Pau,  Perpignan,  Rennes,  Toulouse
Europe Alicante, Amsterdam, Athens, Basel/Mulhouse, Barcelona, Bari, Belgrade, Bergen, Berlin, Bilbao, Billund, Birmingham, Bologna, Bucharest Budapest, Cagliari, Catania, Copenhagen, Corfu (new), Cork, Dublin, Dubrovnik, Düsseldorf, Edinburg, Faro, Florence, Frankfurt, Geneva, Gothenburg, Hamburg, Hanover, Helsinki (new),  Heraklion, Ibiza, Istanbul , Kiev, Krakow, Las Palmas (new), Lisbon, Ljubljana, London, Madrid, Malaga, Malta (new), Manchester, Milan, Moscow, Munich, Mykonos, Naples, Newcastle, Nuremberg, Olbia, Oslo, Palermo, Palma De Mallorca, Pisa (new), Porto, Prague, Rhodes (new), Rome, Santorini, Seville, Sofia, Split, St. Petersburg, Stockholm, St. Petersburg, St. Petersburg and St. Petersburg. Petersburg, Stockholm, Stuttgart, Tbilisi, Thessaloniki, Turin, Valencia, Warsaw, Venice, Vienna, Yerevan, Zagreb, Zurich
North Africa Agadir (new), Algiers, Casablanca, Djerba, Monastir (new), Oran, Marrakech, Rabat, Tangier (new), Tunis
French Overseas Departments Cayenne, Fort-de-France, Papeete, Pointe-à-Pitre, Saint-Denis de la Réunion, Saint-Martin

Top Copyright Photo: Air France Airbus A330-203 F-GZCF (msn 403) CDG (Manuel Negrerie). Image: 953531.

Air France aircraft slide show:

Air France strengthens its flight schedule to the French Overseas Territories, Caribbean and Indian Ocean

Best Seller

Air France is increasing the number of long-haul services to its leisure destinations. Subject to the relaxation of travel restrictions, the airline now plans to operate up to 98 weekly flights this summer to the French Caribbean, Reunion Island, French Guiana, French Polynesia, Saint-Martin, the Dominican Republic and the Riviera Maya in Mexico.

This summer, Guadeloupe, Martinique, French Guiana and Reunion Island will be linked to both Paris-Charles de Gaulle and Paris-Orly, providing connections to the entire Air France short, medium and long-haul network.


Flight schedule – 2021 summer season:

On departure from Paris-Orly:

  • Pointe-à-Pitre (Guadeloupe), Fort-de-France (Martinique), Saint-Denis de La Réunion:
    o Up to 14 weekly flights to each destination
  • Cayenne (French Guiana):
    o Up to 7 weekly flights

On departure from Paris-Charles de Gaulle:

  • (Guadeloupe), Fort-de-France (Martinique), Saint-Denis de La Réunion:
    ​o Up to 7 weekly flights to each destination
  • Cayenne (French Guiana):
    o Up to 3 weekly flights
  • Papeete (French Polynesia):
    o Up to 3 weekly flights
  • Saint Martin:
    o Up to 7 weekly flights
  • Punta Cana (Dominican Republic):
    o Up to 7 weekly flights
  • Santo Domingo (Dominican Republic):
    o Up to 3 weekly flights
  • Cancun (Mexico):
    o Up to 5 weekly flights


Flights will be operated by Boeing 777 and Airbus A330 equipped with the Business, Premium Economy and Economy cabins.

Still subject to the lifting of travel restrictions, Air France also plans to serve the following overseas, Caribbean and Indian Ocean destinations from Paris-Charles de Gaulle this summer: Antananarivo (Madagascar), Havana (Cuba) and Port-Louis (Mauritius).
Top Copyright Photo: Air France Boeing 777-328 ER F-GSQS (msn 32962) DUB (Greenwing). Image: 929141.

Air France aircraft slide show:

Air France operates its first long-haul flight powered by Sustainable Aviation Fuel (SAF)

Air France-KLM, Total, Groupe ADP and Airbus have joined forces to carry out the first long-haul flight powered by Sustainable Aviation Fuel (SAF) (1) produced in France. At 3:40 p.m. today, Air France Flight 342 took off from Paris-Charles de Gaulle airport’s Terminal 2E for Montreal with its tanks filled for the first time with sustainable aviation fuel produced in Total’s French plants.

This flight is a tangible result of the four groups’ shared ambition to decarbonize air transportation and to develop a SAF supply chain in France, prerequisite to the generalization of their use in French airports.

No modifications to storage and distribution infrastructure, aircraft or engines are required to incorporate biofuels. Their gradual introduction worldwide should significantly reduce COemissions from air transportation, in line with the United Nations’ Sustainable Development Goals.

The biofuel used for this flight was made from waste and residue sourced from the circular economy. Total produced the SAF from used cooking oil at its La Mède biorefinery in southern France and at its Oudalle factory near Le Havre, without using any virgin plant-based oil.

This first 100% French SAF received ISCC-EU certification from the International Sustainability & Carbon Certification System, an independent organization that guarantees sustainability. The 16% blend on this flight avoided the emission of 20 tons of CO2.

By developing and supporting France’s first industrial SAF production, Air France-KLM, Total, ADP Group and Airbus are paving the way for France to drive innovation in the energy and environmental transition. French legislation calls for aircraft to use at least 1% SAF by 2022 for all flights originating in France, ahead of the European ambition scheduled to gradually ramp up to 2% by 2025 and 5% by 2030, as part of the European Green Deal.

To meet these requirements, Total will also produce SAF at its Grandpuits zero-crude platform near Paris as from 2024.

This flight also illustrates the synergy of the different drivers for reducing aviation’s environmental footprint, i.e., sustainable aviation fuel, latest-generation aircraft and electrification of ground operations. The Airbus A350 used for the flight consumes 25% less fuel than its predecessor. What’s more, the aircraft was serviced by the first 100% all-electric refueling truck, developed in France with Total expertise, and all of the ground support equipment used by Air France was fully electric powered.

Air France-KLM is a pioneer in testing sustainable aviation fuels. KLM made its first SAF-powered flight in 2009. Since then, the Group has multiplied the number of innovative programs. Between 2014 and 2016, for example, it carried out 78 Air France flights powered by a 10% SAF blend in collaboration with a Total affiliate. These tests showed that the use of SAF had no impact on the reliability of airline operations. Air France-KLM intends to strengthen its leadership in SAF in the years ahead, while contributing to research on future generations of aircraft.

In addition to this flight, Airbus is conducting several series of tests to certify airliners to fly with 100% SAF in the coming decades. Airbus has also installed SAF refueling stations at its industrial facilities so it can be used in production operations, as well as for aircraft deliveries.  These installations contribute to Airbus’s ambition to decarbonize all of its industrial operations.

Air France to offer a new year-round service to Helsinki from Paris-Charles de Gaulle Airport

Air France Airbus A319-111 F-GRHS (msn 1444) ZRH (Rolf Wallner). Image: 943717.

Air France made this announcement:

  • A new year-round route from Paris-Charles de Gaulle
  • Up to 1 daily flight by Airbus A319 in summer 2021

Air France is strengthening its presence in Northern Europe. From July 6, 2021, the airline will offer a new year-round service to Helsinki (Finland) from Paris-Charles de Gaulle Airport.

Initially operated four times a week (on Tuesdays, Thursdays, Fridays and Saturdays), it will become a daily service from July 19, 2021. Flights will be operated by Airbus A319 with 143 seats.

Flight schedules (in local time):
– Leaves Paris-Charles de Gaulle at 13:00, arrives in Helsinki at 17:00
– Leaves Helsinki at 17:45, arrives at Paris-Charles de Gaulle at 19:50

These flights will be in addition to those operated by Finnair on this route and operated by Air France on a codeshare basis.

This new route completes Air France’s offer in the Nordics, where the airline already serves Copenhagen and Billund in Denmark, Oslo and Bergen in Norway, as well as Stockholm and Gothenburg in Sweden.

This flight schedule is subject to change depending on travel restrictions. Since the beginning of the COVID-19 crisis, Air France has been adjusting its offer in real time, taking into account the evolution of the health situation. Before traveling, Air France invites its customers to check the travel restrictions and the documents required on arrival at their destination.

Top Copyright Photo: Air France Airbus A319-111 F-GRHS (msn 1444) ZRH (Rolf Wallner). Image: 943717.

Air France aircraft slide show:

Air France operates the first long-haul flight with sustainable air fuel (SAF) produced in France

Air France-KLM, Total, ADP Group and Airbus have joined forces to produce the first long-haul flight with sustainable air fuel (1), or SAF(“Sustainable Aviation Fuel”),produced in France.

Air France flight 342 took on May 18 at 3:40 p.m. from Terminal 2E at Paris-Charles de Gaulle Airport bound for Montreal, Canada, with the first time in its tanks durable air fuel produced by Total at its French plants.

This flight fulfills the common ambition of the four groups to decarbonize air transport and to develop a French sustainable air fuel production sector, which is essential for the generalization of their use in French airports.

Biofuels can be incorporated without any changes to the logistics of storage and distribution, aircraft or engines. Their gradual use on a global scale is expected to significantly reduce CO2 in line with the United Nations Sustainable Development Goals.

The biofuel used for this theft is derived from waste and residues from the circular economy. It was produced by Total from used cooking oils thanks to its biorefinery in La Mède (Bouches-du-Rhône) and its factory in Oudalle (Seine-Maritime), without resorting to any virgin oil of vegetable origin.

The aircraft was supplied with fuel using the first 100% electric fuel truck, developed in France with Total’s expertise, and all the runway equipment used by Air France was also fully powered by electricity.

Air France-KLM: Travel restrictions still impacting the Group’s activity

Larger 2021 titles

Air France-KLM issued this financial report for the first quarter:

 

Over the first three months of the year, the Group continued to be negatively impacted by travel restrictions as the whole industry:

 Revenue at 2.2 billion euros, down 57% compared to last year

 EBITDA loss at -0.6 billion euros, mitigated due to strict cost control and national partial activity schemes

 Operating result at -1.2 billion euros, down 0.4 billion euros compared to last year

Net income at -1.5 billion euros, after taking interest charges into account

 Net debt at 12.5 billion euros, up 1.5 billion compared to end of 2020

 At 31 March 2021, the Group has 8.5 billion euros of liquidity and credit lines at disposal

 Early April 2021, first set of balance sheet strengthening measures successfully executed resulting in an increase of €4bn equity and improved cash position by €1bn

OUTLOOK

Due to the stricter lockdown in France until, at least beginning of May, continuation of the lockdown in the Netherlands and travel restrictions worldwide still in place, the Group anticipates the beginning of the second quarter to be similar to the first quarter whereby the customer booking behavior is still short-term oriented.

The key to reduce travel restrictions and reopen borders is a rapid roll-out of wide-scale vaccination. In the US, domestic demand is recovering rapidly due to the speed of the vaccination process.

In this context, the Group expects capacity in Available Seat kilometers circa index 50% for Air France-KLM in the Second quarter 2021 compared to 2019 for the Network passenger activity. During the second half of the second quarter the Group will progressively ramp up capacity given the vaccination deployment in Europe.

For the Third quarter the Group foresees a capacity in Available Seat kilometers index in the range of 55% to 65% compared to 2019 for the Network passenger activity thanks to estimated higher demand.

The Air France-KLM Group continues to work to strengthen its balance sheet. Additional measures of equity and quasi-equity instruments are currently under consideration. Extraordinary resolutions will be presented at the next Annual General Meeting, aiming to give the Board of Directors great flexibility to restore equity.

Transavia: Operating result –120 million euros as impacted by Covid-19 crisis

The First quarter operating result ended -38 million euros lower compared to last year at an operational loss of -120 million euros, as a result of the ongoing Covid-19 crisis with strict border restrictions in Europe and North Africa.

First quarter activity level was only around 20% of last year’s production, with a unit revenue down – 21.6% compared to 2020. Load factor at 57.6% was impacted by travel restrictions imposed. The production level of Transavia France was slightly higher at and index of 26 compared to 2020, thanks to the start of domestic routes.

Transavia plan to grow is still valid, well positioned to capture the leisure traffic recovery foreseen in the coming months towards the end of the summer, being a major opportunity for the Group’s competitiveness gain. The adding of eight Boeing 737-800 aircraft to Transavia France fleet in the first quarter is part of this plan.

OUTLOOK

Due to the stricter lockdown in France until, at least beginning of May, continuation of the lockdown in the Netherlands and travel restrictions worldwide still in place, the Group anticipates a difficult start of the Second quarter whereby the customer booking behavior is still short-term oriented.

The key to reduce travel restrictions and reopen borders is a rapid roll-out of wide-scale vaccination. The vaccination pace in Europe is slower than in the US where the domestic demand recovers quickly thanks to the high speed vaccination process.

In this context the Group expects capacity in Available Seat kilometers circa index 50% for Air France-KLM in the Second quarter 2021 compared to 2019 for the Network passenger activity. During the second half of the second quarter the Group will progressively ramp up capacity given the vaccination deployment in Europe.

For the Third quarter the Group foresees a capacity in Available Seat kilometers between index 55% and 65% compared to 2019 for the Network passenger activity thanks to estimated higher demand.

At 31 March 2021, the Group has a 8.5 billion euros of liquidity and credit lines at disposal. This level can be considered comfortable, given the expected recovery in the summer, despite the cash requirements for 2021 which include:

 Q2 2021 EBITDA expected to be in the same range as EBITDA Q1 2021

 Capex spending inferior at 2.0 billion euros in 2021, but largely funded for fleet investments

 Restructuring cash out at 0.5 billion euros in 2021, part of which is financed by the associated reduction in the wage bill

A first set of capital strengthening measures was successfully executed in April and resulted in an increase in equity of 4 billion euros and cash of 1 billion euros.

The Air France-KLM group continues to work on strengthening its balance sheet. Additional equity and quasi-equity measures are currently under consideration. Extraordinary resolutions will be presented at the next Annual General Meeting, aiming to give the Board of Directors great flexibility to restore equity and initiate the gradual refinancing of state aid and restore leverage ratio.

Top Copyright Photo: Revised AF livery: Air France Boeing 777-328 ER F-GZND (msn 35543) CDG (Manuel Negrerie). Image: 953530.

Air France aircraft slide show:

Air France to launch the Paris CDG – Denver route on July 2

Air France will launch on July 2, 2021 a new connection between Paris-Charles de Gaulle and Denver International Airport (Colorado). Up to three direct flights will be operated each week (on Wednesdays, Fridays and Sundays) by a Boeing 787-9 Dreamliner with a capacity of 279 seats (30 in Business cabin, 21 in Premium Economy and 228 in Economy).

This new destination will thus strengthen Air France’s service to the United States. Subject to the easing of travel restrictions, the airline will offer flights to 12 US cities during the 2021 summer season: Atlanta, Boston, Chicago, Detroit, Denver, Houston, Los Angeles, Miami, Minneapolis/St. Paul, New York, San Francisco and Washington D.C.

With this new route, Europe will be connected to Denver for the first time nonstop by a SkyTeam member airline.

This flight schedule is subject to change depending on travel restrictions. Since the beginning of the COVID-19 crisis, Air France has been adjusting its offer in real time, taking into account changes in the health situation. Prior to any trip, Air France invites its customers to check the conditions of entry and the documents required on arrival at their destination.

The best of Air France on board the Boeing 787

For Air France customers traveling to Denver, the Boeing 787 provides a number of assets. They will enjoy a real cocoon in the sky in the Business cabin and even more comfort in Premium Economy and Economy with:

–          On-board WiFi adapted to customers’ needs and expectations;
–          Windows that are approximately 30% larger than on similar aircraft;
–          Improved air pressure and humidity levels for greater travel comfort;
–          20% less fuel consumption than previous generation aircraft;
–          A significant reduction in CO2 emissions (about 20%) as well as noise emissions.

F-HRBJ

 

Above Copyright Photo: Air France Boeing 787-9 Dreamliner F-HRBJ (msn 42497) PAE (Nick Dean). Image: 950659.

Air France aircraft slide show:

Air France increases services to leisure destinations in France, Europe and North Africa

Air France Airbus A321-211 F-GTAD (msn 777) CDG (Manuel Negrerie). Image: 953408.

Air France made this announcement:

  • 80 seasonal routes including 22 new routes in France, Europe and North Africa
  • Fully modifiable and refundable tickets


​To support the gradual recovery in travel expected over the summer period, Air France is increasing services to leisure destinations.

During the summer season, the airline will operate 80 seasonal routes – including 22 new ones – to France, Europe and North Africa from Paris-Charles de Gaulle, Paris-Orly and the French regions.

These seasonal routes will be added to Air France’s existing flight schedule.


14 new routes in Europe and North Africa

With 39 seasonal routes on the medium-haul network, Air France will offer its customers a wide choice of destinations. This summer, the airline is adding 14 new routes to its network:

  • Paris-Charles de Gaulle to/from Tangiers and Agadir (Morocco), Monastir (Tunisia), Valletta (Malta), Las Palmas (Canary Islands, Spain), Corfu and Rhodes (Greece) from 5 July 2021
  • Paris-Orly to/from Bari (Italy) as of 31 May 2021, Ibiza (Spain) and Algiers (Algeria) as of 28 June 2021
  • Marseille-Provence to/from Catania (Italy) from 26 June 2021 and Corfu (Greece) from 19 July 2021
  • Nice-Côte d’Azur to/from London (UK) and Tunis (Tunisia) from 28 June 2021


​8 new routes in France

Air France will also accompany its customers on their travels in France. 41 seasonal routes will be available, including 8 new ones:

  • Paris-Charles de Gaulle to/from Ajaccio, Bastia, Calvi and Figari from 5 June 2021
  • Perpignan to/from Brest, Strasbourg and Nantes from 25 June 2021
  • Biarritz to/from Caen from 25 June 2021


Air France will shortly be detailing its long-haul flight schedule for the 2021 summer season.

This flight schedule is subject to change depending on travel restrictions. Since the beginning of the COVID-19 crisis, Air France has been adjusting its offer in real time, taking into account changes in the health situation.

1 Modifications – possibility of changing the date and/or destination of your ticket regardless of the fare conditions until the day of departure of the 1st flight. If the price of the new ticket is higher, the fare difference will be charged to the customer.
2 Refunds – possibility of requesting a ticket refund up to the day of departure of the 1st flight. If the fare conditions of your ticket do not allow a refund, a credit voucher valid for one year will be issued, the refund of which can be requested at any time.

Top Copyright Photo: Revised livery: Air France Airbus A321-211 F-GTAD (msn 777) CDG (Manuel Negrerie). Image: 953408.

Air France aircraft photo gallery:

Air France aircraft slide show:

Air France-KLM announces a plan of capital-strengthening measures with the objective of strengthening its balance sheet, preparing the recovery and repositioning the Group on a sustainable financial trajectory

Air France-KLM Group has made this announcement:

 Air France-KLM has announced the following measures in relation to Air France, which have been approved by the European Commission in its decision to authorize a €4 billion French State measures to recapitalize Air France and its Holding company:

 A capital increase for an amount up to €1 billion, with a priority subscription period for shareholders, subject to market conditions and the prior approval on the prospectus by the Autorité des marchés financiers (the “AMF”) and,

 Simultaneously, conversion of the €3 billion French State direct loan drawn into perpetual hybrid bonds instrument.

 The Dutch State is continuing discussions with the European Commission regarding potential capital-strengthening measures for KLM.

 Additional measures to further strengthen the Group’s capital are currently under consideration, with several steps to be taken before the 2022 Annual General Meeting.

On April 5 the Air France-KLM Group’s Board of Directors approved a plan to start the restoration of the Group’s negative equity and further reinforce its cash position:

Capital increase with priority subscription period for shareholders – The Group intends to launch a capital increase subject to market conditions and the approval on the prospectus by the AMF.

– This capital increase will be launched without preferential subscription rights but with a priority period for the shareholders, within the limits of the nineteenth resolution approved at the Annual General Meeting on May 26, 2020, allowing existing shareholders to not be diluted, by subscribing shares during the priority period up to their stake in Air France-KLM’s share capital. The offering will be composed of a private placement to institutional investors, a public offering and a priority period allowing all shareholders to support this transaction.

– The French State commits to participate in the capital increase while keeping its stake strictly below 30% of the share capital and voting rights.

– China Eastern Airlines intends to participate while keeping its stake strictly below 10% of share capital, as part of further reinforcement of strategical cooperation with the Group.

– The Dutch State which holds 14.0% of the share capital, has informed the Group that it will not subscribe to this capital increase.

– Delta Air Lines which holds 8.8% of the share capital, has informed the Group that it will not subscribe to this capital increase due to the current framework of the CARES act in place in the United States.

– This operation will improve the Group’s equity by up to €1 billion under IFRS and French GAAP accounting standards, and bring the same amount of new money to the Group for the benefit of Air France. Simultaneously, the fully drawn conversion of €3 billion French State loan into perpetual hybrid bonds instrument (“Super Subordinated Notes”):

– The €3 billion direct loan provided by the French State to Air France via Air FranceKLM late in May 2020 will be converted into Super-Subordinated Notes of the same nominal amount to Air France via Air France-KLM, allowing the Group to restore part of its equity under IFRS accounting standards.

– This operation will improve the Group’s equity by €3 billion under IFRS accounting standards with no cash impact, while increasing the Group’s flexibility in its mandatory debt redemption profile spread over time (with Non Call period ranging from 4 to 6 years).

The Dutch State approved this set of actions and indicated that it was continuing discussions with the European Commission on potential capital- strengthening measures for KLM.

Together with the expected recovery in EBITDA, this first step of capital-strengthening measures will progressively help the Group to reduce the Net Debt/EBITDA ratio below 3.0x by 2023.

Additional measures to further strengthen the balance sheet are currently under consideration with several steps to be taken before the 2022 Annual General Meeting, as the Group’s net equity will remain negative after this first step.

These measures could include the issuances of appropriate amounts of new equity as well as proportionate quasi-equity instruments, subject to market conditions. The hybrid perpetual bond instruments fully subscribed by the French State and resulting from this first step recapitalization could be used to compensate in part, by way of netting, to future equity and or quasi-equity raisings by the Group.

The objective of such additional measures will be to further reinforce the Group’s equity situation and reduce its Net Debt/EBITDA ratio circa 2.0x by 2023. In order to achieve this, specific delegations would be then required and submitted at the Group’s next General Meeting, scheduled on May 26.

Additionally, the French state-backed loan (Pret Garantie d’Etat “PGE”) of €4 billion has been extended with a final maturity date in 2023. The Dutch State-backed loan guaranteed loan of €2.4 billion has a maturity date in 2025. These elements enable smoothen the debt redemption profile of the group and the airlines a smooth extension of the debt maturity profile of the Group.

Commitments made in order to comply with the European Commission’s “Temporary Framework for State aid measures to support the economy in the current Covid-19 outbreak” (TF).

Air France-KLM will be subject to commitments made by the French government in order to comply with the European Commission’s “Temporary Framework for State aid measures to support the economy in the current Covid-19 outbreak” (TF).

These commitments, specifically paragraphs 60-61 and 71-78 of the TF, include Air France’s release of up to 18 take-off and landing rights (slots) at Paris-Orly airport to a competing carrier in order to create or develop an existing base at that airport, provided that the competing carrier obtaining Air France’s slots bases its aircraft and crews at Paris-Orly airport, in compliance with national and EU labour laws. Other general commitments were made under the TF, including restrictions on acquisitions, share buy-backs dividend distributions and executive management’s remuneration. These commitments are applicable to the entire Group with the exception of KLM and its subsidiaries.

The Group has reiterated the economic, financial and environmental commitments made in the framework of the State loan and reflected in its transformation plan. The Group therefore maintains an ambitious environmental roadmap to accelerate the Group’s sustainable transition, in line with the objectives of the National Low Carbon Strategy (Stratégie Nationale Bas Carbone “SNBC”).

“Today’s announcement demonstrates both the strong commitment of the French State and the renewed support of the Dutch State to help the Group weather this pandemic and this crisis,” said Anne-Marie Couderc, Chair of Air France-KLM Board of Directors. “The commitment of our long-standing partner China Eastern Airlines to participate in the forthcoming capital increase also highlights a resolute confidence in the strengths and prospects of the Air France-KLM Group.”

“These first recapitalization measures are an important milestone for our Group in this exceptionally challenging period,” said Air France-KLM Group CEO, Benjamin Smith. “They will provide Air France-KLM with greater stability to move forward when recovery starts, as large-scale vaccination progresses around the world and borders reopen. Ensuring Air FranceKLM maintains a sustainable financial trajectory is paramount to realizing our strategic plan, continuing the execution of our transformation plans at the Group and at our airlines. I would like to thank our employees for their engagement and their responsibility throughout this crisis. We will continue to work together to drive new efficiencies as we seek to lower unit costs and emerge stronger when the industry rebounds with the ambition to achieve European leadership”.

Outlook for Q1

As expected, the Air France – KLM Group continued to be negatively impacted by the COVID crisis during the first quarter of 2021, notably by the surge of a third wave of the pandemic in several European countries and by the continuation of air travel restrictions taken by a significant number of countries.

Based on the accounting results of January and February and on the reforecast made at the end of each month, the Group expects the operating result for the first quarter of 2021 to be around EUR -1.3 billion, and EBITDA to be around EUR -750 million, below Q4 2020 EBITDA as indicated at full year 2020 results presentation. It should be noted that in the first two months of 2021, operating result and EBITDA were significantly better than the Group’s budgeted assumptions, and capital expenditure was also 10% below budget over that period, reflecting the effective control introduced by management on CAPEX, allowing the Group to have a solid 8.8 billion euros of liquidity and credit lines at disposal at 28 February 2021.

Over the coming months, and in particular at the beginning of the summer, the Group still expects a significant recovery in demand, assuming the positive effects of the accelerated vaccination campaigns in several countries could trigger less stringent restrictions on passenger travel across those countries.