Airline on course for debt reduction goal set for 2015
Air France-KLM has swung back to profit and is on course to meet a debt reduction goal set for 2015, the airline says.
An operating profit of €130 million for 2013 is Air France-KLM’s first underlying profit in three years. It compares with a €336 million loss for 2012. Revenues stood at €25.52 billion, while gross earnings grew by a third to €1.855 billion.
Air France-KLM confirmed a gross earnings forecast of €2.5 billion for 2014. It is targeting net debt reduction to €4.5 billion in 2015.
“We are reasonably confident that the economic situation has stopped weakening,” chief executive Alexandre de Juniac said at a press briefing.
The airline also announced a strategic partnership with the Brazilian airline GOL Linhas Aereas, including joint sales and sharing flights. Air France-KLM will invest US$100 million in GOL, including a purchase of $52 million of shares.
[pictured: Embraer 90; courtesy KLM]