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Swissair and Sabena to keep separate branding


SWISSAIR and Sabena have pledged to keep their own brands despite unveiling plans to implement joint operations within a year.



The two carriers launched the start of combined business activities last Thursday under the name of Project Diamond.



Implementation is scheduled to be complete by June 1 2000 to save the carriers £100m annually.



Combined sales, marketing, product development and human resources will be based at Sabena’s Brussels hub. The carriers insist there will be no redundancies in the tie-up.



Sabena sales manager UK and Ireland Phil Bannister said it was essential for both airlines to keep their brands.



He said: “We must work separately as far as the brand is concerned.



“As Swissair is a non-European Union carrier it cannot offer flights from the UK to Belgium, for instance.”



However, Bannister said there was no reason why commercial activities could not be combined.



He confirmed Swissair executive vice-president sales and marketing Lee Shave would be moving to Brussels to head up the joint marketing and product department. Shave will report into Sabena chief executive Paul Reutlinger.



Sales will come under the leadership of Sabena executive vice-president sales Hugh Fraser.



In Zurich, Swissair president and chief executive Jeffery Katz will be responsible for the network management of both airlines. This will cover the newly signed Swissair/Sabena marketing agreement with American Airlines.



The UK will see the most obvious effects of the co-operation at airports.



“During the second half of this year, where we both operate, there will be combined handling,” said Bannister.



Swissair general manager UK and Ireland Kirk Albrow said the Swiss carrier and Sabena intend to have joint sales and marketing in the UK by October.



Project Diamond is being run under the two airlines’ Airline Management Company venture, which was set up last year to handle joint purchasing.



It will run alongside exisiting UK plans for the Qualiflyer group, founded by Swissair and Sabena.



The 11-airline alliance is to open a joint London officeto look after UKsales andmarketing.



Bannister said the strongest airlines in the group in a particular market are likely to take over the operations of smaller partners.


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