Air France CEO predicts a return to profit this year

Following six years of losses, Frédéric Gagey, Chairman and Chief Executive Officer Air France, has commented that he expects Air France to breakeven and return a small profit in 2014. Revenue has not improved for the airline’s short and medium-haul routes due to intense competition however the boost to profitability was mainly due to the success of Air France’s recovery plan that comprised a 15% reduction in staff, an effective ad campaign and the expansion of its long-haul network. Over the past two years, Air France has added flights to Panama, Montevideo, Kuala Lumpur and Brasilia.