Shares in Dutch airline KLM leaped early today after the collapse of an alliance deal between British Airways (BA) and American Airlines stirred speculation of fresh Anglo-Dutch merger efforts.
But KLM Royal Dutch Airlines said the BA-American news had no implications at present for its own co-operation with BA, Europe's biggest carrier. KLM and BA last week unveiled a short-term accord on Middle East routes though stressed they were not back in full-blown merger talks.
KLM's last attempt to merge with BA - basically, a takeover by BA of the Dutch carrier - failed in September 2000.
KLM was Monday's biggest Dutch midcap gainer, jumping seven per cent to hit 14.50 euro -the stock's strongest in two months. It was up 6.7 per cent at 14.47 euro by 11.30 a.m. (Irish time).
"The fact that BA and American couldn't reach an agreement means there could now be a deal between KLM-Northwest and BA," said Peter Bekius, fund manager at Dexia.
"We take note of the statements from BA and American Airlines and we will be looking into what this will mean, but for the time being we are focusing on short-term technical co-operation with British Airways," KLM spokesman Bart Koster said.