MasterCard Going PublicMasterCard Inc. last week said it expects to become a publicly traded company. The card network, whose ownership comprises 1,400 financial institutions worldwide, said it will appoint a new board of directors and create new corporate governance. MasterCard's network of bank issuers and financial institutions is "expected to retain a 41 percent equity interest in MasterCard Incorporated," the card network said in a statement. "MasterCard also intends to issue shares of voting Class A common stock to public investors through an initial public offering. Upon successful completion of the offering, these public investors will hold shares representing an expected 49 percent of the company's equity and 83 percent of its voting rights." While MasterCard did not disclose a timeframe for the transition, it said, "Implementation of the new corporate governance and ownership structure is subject to various contingencies, including shareholder approval and the requisite regulatory filings." MasterCard said it could not comment further.
Air France Latest To Enlist PrismAir France said it would soon introduce CorpNet, a Prism Group-powered corporate sales data and decision-support system used to establish and monitor marketshare-based corporate contracts. CorpNet already is in use at both KLM Royal Dutch Airlines and Northwest Airlines, two Air France partners. Air France said the system would become "an integral part" of One Corporate Travel Solution, the joint corporate sales platform used by the combined Air France-KLM sales organization
(BTN, June 7, 2004). Prism furnishes corporate sales software to a number of other major airlines.
Lufthansa, Swiss To Begin Sharing CodesLufthansa German Airlines and Swiss International Air Lines on Oct. 30 will take the next step in their integration when they begin to codeshare on all flights operated by either carrier between Germany and Switzerland. "Instead of competing against each other with almost simultaneous departures—as was often the case in the past—the partners have realigned their schedules to offer a denser frequency of services spread throughout the day," Lufthansa said. The carriers also are combining such airport facilities as checkin areas and departure gates in Frankfurt, Munich and Zurich. Codesharing on intercontinental routes and additional airport teamwork is expected next year. Lufthansa and Swiss announced merger plans this past spring
(BTN, April 18).KLM To Add Business Jet ServicesKLM Royal Dutch Airlines on Oct. 30 will launch all-business class flights between Amsterdam and Houston, becoming the third foreign carrier to offer exclusive premium service between the United States and Europe. Like Lufthansa and Swiss International Air Lines, KLM has contracted with PrivatAir to operate dedicated jets "to better meet the demand" for premium service on the route. KLM's six weekly business jet flights will become part of the carrier's joint venture with Northwest Airlines and also is likely to attract corporate customers from mutual partner Continental Airlines, which is headquartered in Houston.
Chirac, EC Push For Air Ticket Tax To Combat DiseaseFrench president Jacques Chirac last month penned a letter to 145 heads of state in which he proposed "an international solidarity contribution on airline tickets designed to finance, among others, the fight against HIV/AIDS, tuberculosis and malaria, one of the most urgent needs of our time." Chirac said many governments and international institutions already had expressed support for "a small levy" on airline tickets sold to passengers flying from participating countries. Already twice having floated the concept publicly this year, Chirac said he hoped to generate wider support during a United Nations summit this month in New York. Meanwhile, the European Commission last week published a working paper in which member states are asked to decide prior to the summit between voluntary and mandatory ticket levies for overseas aid.
EJM Approved For Commuter OperationsThe U.S. Department of Transportation last month issued a commuter air carrier authorization to Executive Jet Management, completing EJM's six-month application process. EJM has not released many details but previously said it plans to offer dozens of weekly scheduled "public charter" flights between New York and both Chicago and Los Angeles
(BTN, March 21). An EJM spokesperson said an announcement is forthcoming.