Air France-KLM loses appeal over EU cartel fine
Aviation powerhouse Air France-KLM announced today it lost an appeal against a million-euro fine imposed by EU antitrust regulators for participating in an air cargo cartel more than two decades ago.
The second-highest court in the EU, the General Court rejected the group’s appeals as well as those brough by Lufthansa, Singapore Airlines and Cargolux.
“Air France-KLM has taken note of the EU General Court’s judgement on the appeal filed against the decision of the European Commission of 17 March 2017 against 13 cargo operators, including group airlines Air France, KLM and Martinair for practices considered to be anti-competitive in the air cargo sector,” the carriers said in a statement.
“The group will immediately analyse this decision in view of an appeal before the Court of Justice.
“Provisions of €350.6m ($391m) including interest have been made in respect of these fines in the accounts on 31 December 2021.”
Air France-KLM and companies such as British Airways, Air Canada and Japan Airlines were found guilty of fixing air freight services, security and fuel surcharges between 1999 and 2006 and forced to pay by the European Commission (EC).
In 2015, the claimants won a court battle against the EC but the bloc’s competition watchdog reissued the same penalties two years later, after fixing procedural errors.
Air France was slapped with a €182.9m fine while KLM was convicted to pay €127.1m. BA, Air Canada and Japan Airlines saw their fines reduced by the court.