24 AUGUST 2009

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Article from BTNews 24 AUGUST 2009

Air France drops Czech interest

AIR FRANCE KLM (AF) has withdrawn its interest in purchasing Czech Airlines (CSA) from the Czech Ministry of Finance noting that current economic environment has significantly impacted upon the airline business.  However AF says it wishes to further strengthen the existing partnership between the two groups and to continue to explore with CSA any new areas of cooperation that could be of mutual benefit to each company.  Unimex and Travel Service, a consortium of Czech companies, remains in the tender, but the lack of a competing bid will affect the price.  In April a bid from a Russian consortium including Aeroflot was turned down.  Passenger numbers have fallen by around 10% so far this year and first quarter losses widened to US$51m from US$44m the year before. www.csa.cz

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