This article from NYTimes.com has been sent to you by psa188@xxxxxxxxx /-------------------- advertisement -----------------------\ Explore more of Starbucks at Starbucks.com. http://www.starbucks.com/default.asp?ci=1015 \----------------------------------------------------------/ Air France to Review Proposed KLM Venture September 26, 2003 By THE ASSOCIATED PRESS Filed at 3:04 p.m. ET PARIS (AP) -- French carrier Air France Group has called an extraordinary board meeting next week to review a proposed alliance with smaller rival KLM Royal Dutch Airlines, a source familiar with the situation said Friday. The board is to meet Monday after Air France management briefs employees on the tentative alliance plans, the person told Dow Jones Newswires, speaking on condition of anonymity. The source also said Air France could use the board meeting to announce a timetable for expanding the alliance to a third partner -- Italy's Alitalia SpA. Speaking to The Associated Press, a spokesman for the airline confirmed the meeting with employees but said he could not address the agenda or say whether there was to be a board meeting afterward. Sources have said a two-way alliance between the carriers would likely go deeper than the traditional commercial partnerships between airlines, but stop short of a full-blown merger. The plan would form a holding company in which KLM and Air France would be subsidiaries, the people said. Under the proposed tie-up, the two airlines would retain their brands and national identities. Last week, the French and Dutch airlines confirmed they were in advanced talks about an alliance. Alitalia has expressed interest in joining KLM and Air France in a three-way alliance. The Italian airline is also to hold a board meeting Monday. With a market value of euro2.9 billion ($3.3 billion), Air France is worth about six times as much as KLM, so the Dutch airline would likely own a much smaller share of the joint holding company. http://www.nytimes.com/aponline/business/AP-Air-France-KLM.html?ex=1065607521&ei=1&en=c71e99bacd362302 --------------------------------- Get Home Delivery of The New York Times Newspaper. Imagine reading The New York Times any time & anywhere you like! Leisurely catch up on events & expand your horizons. Enjoy now for 50% off Home Delivery! Click here: http://www.nytimes.com/ads/nytcirc/index.html HOW TO ADVERTISE --------------------------------- For information on advertising in e-mail newsletters or other creative advertising opportunities with The New York Times on the Web, please contact onlinesales@xxxxxxxxxxx or visit our online media kit at http://www.nytimes.com/adinfo For general information about NYTimes.com, write to help@xxxxxxxxxxxx Copyright 2003 The New York Times Company