Air France's Expected Order For A220 Follows Lufthansa In Doing More With Less
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July 30, 2019 - by Will Horton for forbes.com
Air France is reportedly set to announce an order for 50-70 A220 aircraft, finally giving a strategy to its short-haul network, which has been under serious financial pressure from low-cost airlines, expanded rail offerings and even bus and carpooling services.
The A220 delivers cost and revenue benefits. It should allow Air France to broadly maintain its footprint but with lower costs than its aging A320 family aircraft, while the A220's smaller size makes it easier to fill at decent yields without needing lower-fare passengers. Air France will do more with less.
The Lufthansa Group was at a similar inflection point when EasyJet challenged the Geneva base of Lufthansa's Swiss unit. The answer was the then-CSeries, which Airbus renamed the A220 after it took control of the Bombardier-developed airplane. Swiss was...