In a series of transactions announced Thursday, Delta Air Lines and Shanghai-based China Eastern are each buying 10 percent of Air France/KLM Group. And Air France/KLM will buy 31 percent of Richard Branson's Virgin Atlantic Airways.
According to a report from CNN Money, the roughly $1.2 billion worth of investments will deepen business ties between the carriers, giving them the ability to coordinate across the busy air corridor between Europe and the United States.
It's not a merger and each airline will maintain its own distinct brand. But the agreements would allow tight coordination under the protection of anti-trust immunity as they fend off competition from other huge established airlines and fast-growing Middle Eastern and long-haul, low-cost airlines.
Read more: http://money.cnn.com/2017/07/27/news/companies/delta-airfrance-virgin-china-tie-up/index.html
