Air France share price up, despite plan not to extend its Transavia low-cost airline

 
Sarah Spickernell
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Pilots have been striking over employment terms (Source: Getty)
Air France has decided not to expand its Transavia low-cost airline, French transport secretary Alain Vidalies announced this morning - but the news has failed to bring down the company's share price.
This morning, shares in the French airline went up by 1.1 per cent to €7.60 on the London Stock Exchange.
"The Transavia Europe project has been abandoned by management,” he told RMC radio.
The purported decision follows a 10 days of strikes by Air France pilots, who are dissatisfied with local employment terms and poor pay, which is reported to have cost the airline €15m (£11.8m) a day. However, Air France disputed Vidalies' comment, saying it was “premature” to announce the project had been withdrawn.

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