The new agreement builds on the previous general sales agent (GSA) deal that only covered London and Amsterdam routes into Nairobi.
GSA agreements allow airlines to operate their sales in jurisdictions where they do not have a presence at a cheaper cost.
Kenya Airways #ticker:KQ and Dutch carrier KLM have expanded their deal to allow the airlines sell more flights to and from Europe and East Africa.
The new agreement builds on the previous general sales agent (GSA) deal that only covered London and Amsterdam routes into Nairobi.
“Kenya Airways is working towards strengthening its network and consolidating Nairobi’s position as a leading hub in East Africa. The networks of both airlines are complementary and we are confident that this agreement will allow us to find the synergies for us to grow our respective networks,” CEO Sebastian Mikosz said in a statement Tuesday.
GSA agreements allow airlines to operate their sales in jurisdictions where they do not have a presence at a cheaper cost.
“We want to create more value for our customers, and in doing so we are very excited to deepen our cooperation with Kenya Airways. This new phase is good news for our customers,” Pieter Elbers, the chief executive officer of KLM said.
The extension comes at a time when KQ, under its new ownership structure with lenders, is pushing to renegotiate the joint-venture agreement with KLM.
Kenya Airways is also eyeing ticket sales to US government-funded travellers once it signs a code-sharing agreement with American airline, Delta Airways.
