Air France/KLM moving toward Alitalia acquisition

The combined European mega-carrier Air France/KLM is the leading contender to acquire Italy’s financially troubled national airline Alitalia, according to the trade journal Air Transport World. The publication reported last week that Italy’s Finance Minister has approved the beginning of merger discussions between the two companies, following the Alitalia board’s decision to accept Air France/KLM’s bid for the ailing airline. The merger negotiations are expected to last a couple of months. Meanwhile, the publication said that Air France/KLM is also acquiring European regional carrier VLM; with a fleet of 19 aircraft, it is the largest single operator at London City Airport, Air Transport World said.