French carrier Air France and US airline Delta are forming a joint alliance for transatlantic flights, both companies announced Wednesday at Charles de Gaulle Airport outside Paris.
The joint venture is to begin in April 2008 and will first affect all transatlantic flights among Air France and Delta hubs, as well as the two carriers' flights between London’s Heathrow Airport and the United States. In 2010, the agreement will involve all their transatlantic flights between Europe and the Mediterranean basin on the one side and the United States, Canada and Mexico on the other. The agreement obliges both carriers to sell tickets on each others’ flights and share the costs of selected transatlantic flights. The joint venture is expected to produce $1.5 billion in sales during its first stage and more than $8 billion in the second stage. (m&c.com)