Air France-KLM’s CEO, Ben Smith, has called on Aeroports de Paris (ADP) to improve the facilities at Charles de Gaulle Airport, highlighting a significant shortage of jetways that leads to daily challenges in aircraft parking and increased operational costs.

Speaking at an event to celebrate the 20th anniversary of the Franco-Dutch airline group, Smith pointed out that during morning peak hours, numerous planes are left without access to jetways, forcing passengers to use buses to reach the terminal. “We have to negotiate every morning with ADP to find parking positions for our fleet,” Smith said.

ADP has not responded to these concerns.

In 2021, the French government, led by President Emmanuel Macron, asked state-controlled ADP to propose new plans after scrapping the idea of a new terminal at Charles de Gaulle. Smith supports this decision, citing a costly and lengthy transition period for Terminal 4, and the lack of a direct rail link to the capital.

Instead, Smith advocates for increased investment in existing facilities. “We’re not asking for new capacity, but for improvements to what’s already there. This is crucial for us,” he emphasized.

Discussions with ADP about potential improvements have already begun, according to other executives from the group. Smith listed several issues, including the long distance to maintenance hangars, outdated baggage systems, and insufficient border control staff, which collectively impact operational efficiency.

As both ADP and Air France prepare for the influx of visitors for the upcoming Olympics, they assert that they are ready and cooperating well. “The infrastructure is ready, the staff have been recruited, and processes have been defined,” said ADP’s Deputy CEO, Edward Arkwright, at the Paris Air Forum.

Smith’s criticisms highlight the competitive landscape among major hubs in Paris, London, Frankfurt, Istanbul, and the Gulf. Using Google Maps, he demonstrated how maintenance facilities at other airports are closer to terminals, reducing towing times for routine checks.

Air France, which operates a hub at Charles de Gaulle’s Terminal 2 and constitutes 55% of ADP’s traffic, significantly contributes to the local economy, representing 3.2% of the regional GDP, according to a company-commissioned study.

Hubs, pioneered by U.S. parcel group FedEx in the 1970s, enable airlines to offer more connections and attract more traffic, relying on streamlined operations. Terminal 2, opened in 1982, was designed for a different era, prioritizing quick gate-to-curb times, which now presents operational challenges, as noted by Air France CEO Anne Rigail.

During the pandemic, the terminal saw a drastic reduction in activity. With traffic back to normal levels, Air France faces the challenge of parking 10% of medium-haul and 5% of long-haul flights on remote stands, which necessitates bus transfers for passengers and additional transit time, impacting the efficiency of the hub. Air France has not disclosed the financial impact, but its operating margin was -6.2% in the first quarter.

Charles de Gaulle, the EU’s largest airport, handled 67 million passengers in 2023. For 2024-25, regulators approved a 4.5% average increase in the fees airlines pay for airport usage, coupled with a 3% reduction in fees for remote parking areas. ADP has outlined plans for 2023-25 that include renovating baggage sorting systems, improving connectivity, and reducing taxiing times.

Expanded Analysis:

Smith’s remarks underscore the strategic importance of efficient airport operations for major airlines. The logistical challenges at Charles de Gaulle not only affect passenger experience but also have significant financial implications. For investors, the focus on improving existing infrastructure rather than expanding capacity suggests a more sustainable approach to managing growth and operational efficiency. Enhancing the airport’s infrastructure could boost Air France-KLM’s operational performance and competitiveness, potentially improving its profitability and attractiveness to investors.

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