1) Consolidation - I believe that over the coming months we'll see a consolidation of the industry especially in Europe. This will lead to mergers, creating several 'supercarriers' - and I'd say that the carriers in the strongest position to acquire others would include SAS, KLM and Lufthansa. BA is much more likely to be taken over than to be an acquirer.
Guv,
Indeed the industry is heading towards consolidation, but how do you figure that KLM and SAS will be among the aquiring airlines?
KLM base most of their revenue on transferflights, partly from the mideast, partly from the states, and both have gone down. Furthermore, KLM had sone financially difficulties even before sep 11.
Until last week I would have agreed that SAS could aquire stakes in neighbouring airlines (LOT, Finnair?), but one never knows what happens after an accident, no matter whom is judged to be responsible.
FS