What is the significance of the launch of this first A380 to Mexico City?
Pierre Descazeaux - It's always a good thing for an airline to invest, whether it's opening a new route - and we've opened many in recent years - or putting in place an iconic aircraft. This is obviously the case for the A380, which remains an aircraft that is extremely popular with customers and has a very strong symbolic value in the countries that welcome it. In this case, it is the first A380 to fly commercially on a scheduled route in Mexico, and even in Latin America. So it's a double event for Air France, but also for the country. We were also able to observe a tremendous craze on the landing of the inaugural flight, a popular and political craze.
Beyond the symbolism, Air France is also affirming its new ambitions in terms of traffic...
Pierre Descazeaux - That's right. The launch of the A380 in Mexico City is a relatively old topic, insofar as the route attracts a lot of customers: in total, Air France KLM carries 600,000 passengers per year between Europe and Mexico. So it's a major route, as well as being a historic route because we've been here for over sixty years. So Mexico City has always been part of the A380 projects.
Why is this launch happening now?
Pierre Descazeaux - Mexico City airport is saturated. We're at maximum capacity in terms of frequencies. So the only way for us to grow was to opt for a larger aircraft. Over the last few years, and particularly over the last twelve months, we have been working on the launch of this A380 here in Mexico City. The local authorities have given their approval to this project, and work has begun on its development.
What are your objectives?
Pierre Descazeaux - It's a twofold challenge: firstly with regard to the increase in capacity, since from the end of March we will be offering a daily flight by A380 which will replace a daily flight by 747. This corresponds to an increase in capacity of 20% That's a lot. So demand has to be there. The second challenge concerns business class, whose capacity has more than doubled, with an increase of 120%. So we need to generate business demand. We're fairly confident about the Mexican market, given that half of the luxury products sold in Latin America are sold in Mexico, which shows that part of the population can afford to travel in high-contribution classes. Not everything will fall into place in the first year, it will probably take two or three years, but the first commitments are already very promising. This is a a long-term investment, like our presence in Mexico.
Nevertheless, you seem optimistic about the line's ability to achieve these targets fairly quickly...
Pierre Descazeaux - One of Mexico's strengths lies in stable economic growthThis is in contrast to other Latin American countries. Over the last ten years, growth has been between 2 and 3%, while other markets have suddenly gone from +10% to -10%... Traffic is also growing steadily. We are therefore optimistic about the line's ability to absorb this increase in capacity in two to three years. Then comes theinauguration of the new airportwhich is scheduled for 2020. At that point, the question may be different. We will certainly need to study the possibility of going beyond the daily A380 flight. Maybe not in three years' time, but two or three years later... So we are very confident, we have the feeling thatinvesting over the long term will pay off.
How do you view the A380 projects that other European airlines are preparing for Mexico City?
Pierre Descazeaux - The fact that everyone is moving in the same direction can show us that we're not wrong. You're never right on your own. If we're optimistic, we can tell ourselves that we were right the first time. Obviously, if we succeed with the A380, we can expect others to invest too. Everyone will want to share in the growth. But beyond the economic and industrial dimension, there is also an emotional aspect. When you've been in a country for decades, like Mexico or various African countries where we regularly celebrate our sixtieth or even seventieth anniversary, there's a historical, political and emotional dimension, which gives the advantage to the person who was the first to act, to have had confidence in the country, to invest in it. It's easy to be there when things are going well. It's not so easy when things aren't going well. Air France has always been there. So these countries know that we are loyal, and that plays a part in the way they see an airline. Our job is not just about businessAnd so much the better.
What are the A380's next destinations?
Pierre Descazeaux - I don't know. Brazil was mentioned at one point, but there's the problem of developing runways. Everything remains possible, but that requires investment from the country, and it turns out that what was true two or three years ago, when Brazil was booming, is no longer true. We'll certainly have to wait for growth to pick up again. It's a big plane: you have to know when to put it in place.
Can you put a figure on the A380 effect?
Pierre Descazeaux - It certainly exists, even if it is difficult to put a figure on it. Many passengers, given the choice, opt for the A380. I think that this enables us to take market share from the competition. There's a real craze for it.
