France and the Netherlands have been proud partners to their jointly-operated airlines, Air France and KLM for fifteen years, but like most couples, they occasionally disagree on bringing up baby. But after a brief spat last week, the two countries say they are back on the same page.
The squabble grew out of the Dutch government’s previously-unannounced decision to raise its share of the Air France/KLM holding company to 14%, matching that held by France. The formerly state-owned airlines have been in largely private hands for several years.
France was taken by surprise and wanted answers: Why? and Why now? and asked for clarifications. The Dutch, on the other hand, have long been worried over how decisions within the company are made. KLM is much smaller than Air France, but much more profitable, and so far, free of the labor issues that Air France has struggled with.
And KLM worries about the future of its main hub, Amsterdam Schiphol, which is both a giant engine of the Dutch economy and limited by law from adding more flights.
Add the arrival of a new chair of the holding company, a Canadian, talking about economies such as joint airplane purchases and more, and the stir was on. But now, officials on both sides say, it’s all over.
