JUSTIN WASTNAGE / LONDON
Dutch flag carrier plans to build up Budapest-Ferihegy airport in a bid to gain access to central and eastern Europe
KLM and Malév Hungarian Airlines have signed an alliance agreement giving the Dutch carrier access to more central and eastern European destinations. The Hungarian flag carrier's codeshare agreement with its Dutch counterpart will be extended to include frequent flyer programmes and through-ticketing. Malév is also in talks with KLM's transatlantic alliance partner, Northwest Airlines, to extend its alliance further.
KLM says that its plan is to build up Budapest-Ferihegy airport into it second hub after Amsterdam Schiphol and that the Hungarian capital's geographical location was key to choosing the partner-ship with Malév. The airport is the region's second busiest, with 472 services weekly which puts it behind Prague Ruztne which runs 530 services.
Ruztne-based CSA Czech Airlines entered Air France/Delta Air Lines-led SkyTeam late last year, while LOT Polish Airlines, operating out of Warsaw Okecie, is in Swissair's Qualiflyer Group, although the Swiss company's shareholding is to be sold. With Austrian Airlines waiting for final European Com-mission clearance on its membership of Lufthansa/United Airlines' Star Alliance, the region's major carriers are all in alliance deals, with only Romania's Tarom courting western partners as it completes its fleet renewal programme.
The Hungarian carrier has been keen to sign an alliance with a larger airline for several years, following the collapse of its privatisation process. The government has installed a new board tasked with returning the carrier to profitability within two years, after which time privatisation could again be on the agenda.
Eric Stokhuyzen, a director of KLM's alliance department, says it has no plans to acquire any equity in the short-term, although "KLM may have different priorities if Malév returns to break-even".
Northwest, meanwhile says that it is "too early to say" what the extent of its deal with Malév will be, but the Hungarian carrier is eager to open up its onward destinations from its transatlantic routes to New York and Toronto.
KLM is thought to be close to offering tickets via Budapest to several destinations in the former Yugoslavia and other post-communist eastern European locations. Malév, meanwhile, is to gain access to northern European destinations, including Edinburgh and Oslo.
Source: Flight International
