ATW Daily News

Brussels looks to redefine itself ahead of LH acquisition, Star entry

Wednesday December 24, 2008

Brussels Airlines is considering repositioning itself again as a full-fledged network airline and reintroducing a business class on its European network, steering away from the "new generation carrier" concept introduced in March 2007 when it merged the operations of full-service SN Brussels Airlines with low-cost Virgin Express, a company source told ATWOnline.

The probable shift in SN's service model follows the September takeover agreement with Lufthansa and the subsequent invitation to join Star Alliance. Although never really positioned as a true LCC, the carrier integrated several low-cost elements from VEX such as an all-economy configuration on its European network. It could retain its dual economy class concept--flexible full service (38% of passengers) and low fare--on its European network (ATWOnline, May 24, 2007) while adding a full-service business class to align its product offering with its Star partners and better contribute to LH's multihub strategy.

SN offers business class to three medium-haul destinations and on its African network, which it is planning to expand from the current four A330-300s (it is considering leasing two more A330s) operating to 14 destinations. Last week it opened an Africa Zone at Brussels Airport's Terminal A that includes a business class lounge. Star is looking to make the terminal a dedicated alliance facility.

Separately, SN VP-Communications Geert Sciot told this website that the carrier installed a management partnership team together with Lufthansa to plan integration projects "including ground handling, network development, cargo. . .However, they are only projects until we obtain regulatory approval" for the acquisition, he said. The European Commission is expected to announce next month whether it will clear the takeover or open an in-depth investigation.

SN also announced the launch of a weekly BRU-Palermo service on April 4 aboard a 737, operating twice-weekly in July and August.

by Cathy Buyck

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