This base did not perform in line with Air France-KLM's expectations in its initial weeks and months, but management told analysts on a conference call to discuss 3Q2016 results and the Trust Together programme that performance had improved in the peak the summer months to "breakevenish".The future of Transavia in Munich is to be reviewed, but the clear statement that the brand will focus on French and Dutch markets indicates that this experiment may prove to be short-lived.

A new lower cost long haul airline is planned at CDG: 'Boost'Perhaps the most interesting element of Air France-KLM's announcement about initiatives in its long haul activities, is its plan to establish a new airline. Part of what it calls ongoing measures to improve the competitiveness at the cost level, the new airline project has been given the name 'Boost' (not necessarily to be the airline's trading name).The new long haul airline will be part of Air France and intended to boost its growth from its Paris CDG hub. Air France-KLM describes it as "the Group’s response to the Gulf State airlines which are developing at low production costs on key markets". It hopes to regain market share from the Gulf airlines with Boost.It will focus on "ultra-competitive markets" on routes that have been structurally loss-making for Air France. The group hopes that Boost will allow it "to go on the offensive by opening new routes, re-opening routes closed due to their lack of profitability and maintaining routes under threat".It also aims to use the new airline to return to previously loss-making routes that have been closed. By 2020, it expects 30% of Boost's operations to be on newly created routes, implying that the majority of routes will be transferred from Air France, or routes that had been closed.