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KLM Hits Ryanair with €1bn Stick

Air France-KLM plans to go head-to-head with European budget airline king Ryanair by throwing another billion Euros into their budget subsidiary Transavia, to expand their routes and increase awareness of the brand, not a bad idea given that their name makes them sound like some sort of dodgy Romanian operation.

They intend to get maximum bang for their buck and are insisting that pilots accept a 15% downgrade in pay, saying that it will otherwise be impossible to compete with the other budget airlines, especially Ryanair who often, to further reduce costs, get their air hostesses to fly the plane.

Transavia will a tough battle on their hands, and we question whether any of the legacy national airlines really have the money-saving DNA to truly compete with the real budget airlines. Earlier this month, Ryanair boss Michael O’Leary was forced to apologise when he was caught siphoning fuel from a Malaysia Airlines plane.

Of course, Ryanair’s congenital reluctance to spend money means that they avoid the expensive landing charges of Schiphol Airport, with their only destinations in The Netherlands being Groningen, Maastricht and Eindhoven. So, for those of us living in Amsterdam, it is good to see Transavia increase their presence in Schiphol.

The budget airlines currently operating out of Amsterdam Schiphol Airport are:

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