BBJ: KLM had only existed for five years when Budapest first appeared on its map. What are the plans for the winter schedule and the expectations for summer 2025?

Marjan Rintel: This winter, KLM intends to operate 28 flights weekly to Budapest, which aligns closely with the schedule we offered last year. Regarding the summer timetable, we are currently assessing our options; however, our primary objective is to establish a daily frequency of five flights, matching this year’s summer offering regarding frequency. As always, our schedules are subject to change based on bookings and market conditions. At this time, we do not foresee any disruptions.

BBJ: How important is the Hungarian market for the business? How much does it generate? What are the passenger numbers like, and what is the trend? Is there any scope for expanding your presence here?

MR: Regarding passenger numbers and capacity, the traffic has returned to pre-pandemic levels. In fact, we are offering more seats in 2024 than we did before COVID. Regarding Budapest, the trend remains fairly consistent; a significant portion of our passengers transfer in Amsterdam, with their main destinations being the United States, Canada and Great Britain. Additionally, our presence in the country significantly enhances community connections, cultural exchange, and economic relations.

BBJ: You have a fleet replacement program underway, with older Boeing 737s replaced with new Airbus A321neos. Boeing has had air safety question marks, and a strike by its largest union is almost certain to cause delays in its new aircraft delivery. Is any of this behind the switch? What is the cost of the investment, and what are the advantages of the A321neos over the 737s?

MR: We expect to receive five Boeing 787-10 aircraft next year. These planes come from Charleston, a Boeing location with no strikes. While this does not mean there are no problems with deliveries, the entire industry faces supply chain issues.

When choosing a type of aircraft, we primarily consider performance, network fit, and specifications that contribute to our ambition to fly more quietly and efficiently. Purchasing the new Airbus fleet is an important step toward flying cleaner, quieter, and more fuel-efficient aircraft. The A320neo family of aircraft has 50% lower noise levels than the current older generation aircraft and reduces fuel consumption and CO2 emissions by 21% (A321neo compared to 737-800 per passenger-kilometer). Additionally, Airbus offers excellent comfort for customers, with spacious cabins, comfortable seats, and ample overhead baggage space.

KLM will invest EUR 7 billion in its fleet renewal program over the next few years, accounting for a substantial share of its total investment portfolio. Our fleet will remain a mix of Airbus, Boeing, and Embraer aircraft. Airbus will replace the 737, 777, and 747F (cargo).

BBJ: One obvious benefit of new aircraft is that they are more fuel efficient. What are the long-term goals for AF/KLM in reducing emissions? How much do you invest in sustainable air-fuel, and what are the expectations for the future?

MR: As Air France-KLM Group, we’re the world’s leading sustainable air-fuel user, buying 16% of the world’s supply in 2023. However, more investment in SAF production is needed to make it more readily available at a better price. This way, it can compete with regular kerosene.

BBJ: What other sustainability steps are you taking in day-to-day operations? Do you have published targets, and what is the progress in achieving them?

MR: We aim to reduce our CO2 intensity by 30% by 2030 compared to 2019 levels and blend 10% of SAF into our fuel mix. We remain steadfast in this commitment. At the same time, we acknowledge that decarbonizing the aviation industry is not easy. In 2022, KLM published its first Climate Action Plan. In it, we shared our climate strategy, targets, and actions and showed how they align with KLM’s purpose and strategy and the challenges of the aviation industry. Two examples from our Climate Action Plan show the breadth of our efforts beyond aircraft and their emissions.

Catering: We are committed to reducing food waste in our in-flight catering services. We deploy AI to predict what our customers want to eat, which helps us minimize food waste. AI programs enable us to forecast better how many passengers who have booked will actually board a flight. Annually, we can save more than 100,000 kg of meals.

Ground operations: We aim to achieve zero emissions for ground operations by 2030. Electrification of ground support equipment is a significant step towards reducing the impact of our ground operations. KLM is trialing electric alternatives to traditional ground power units, pushback trucks, and towing equipment, with around 70% already electrified.

BBJ: Last year, you introduced a new Premium Comfort Class category. Where does this sit in the seating hierarchy, and what do passengers get with the service?

MR: Premium Comfort Class is an intermediate cabin that offers more space, luxury, service options, comfort, and privacy than Economy while being more affordable than World Business. The seats in Premium Comfort are wider than standard, providing more legroom, a larger screen, and a footrest. Additionally, this class features a distinctive catering concept. KLM offers Premium Comfort Class exclusively on intercontinental flights, and it is available for booking on all Boeing 777 and 787 aircraft for the winter season.

BBJ: Do you get to visit Budapest and Hungary often? What are your impressions of the country?

MR: I was delighted to be present at the 95th anniversary of the Amsterdam-Budapest route. It’s always a pleasure to visit one of KLM’s destinations and experience the rich culture and history. Budapest is a beautiful city with impressive architecture and a warm, welcoming population.

BBJ: Finally, you worked for KLM for 15 years before becoming the head of Dutch Railways and returned to the airline as president and CEO in July 2022. How similar or different are the two industries?

MR: The aviation and rail industries are wonderful sectors in which millions of people travel every year for work, to visit family and friends or to see and create memorable experiences. Safety, punctuality, and customer satisfaction are central at KLM and Dutch Railways. My experience in both the rail and airline industry has taught me how important it is to be flexible and constantly strive to improve and provide the best service to our customers. One notable difference is that KLM is more internationally oriented, operating 24/7 across the entire globe. This means that, for example, geopolitical developments have a greater influence on us. Additionally, the aviation industry faces significant challenges in sustainability. Decarbonizing the aviation industry is not easy, but it is essential for our future.

This article was first published in the Budapest Business Journal print issue of October 18, 2024.