PAL, Lufthansa mull tieup

PAL, Lufthansa mull tieup

MANILA (AFP): Philippine Airlines (PAL) and Deutsche Lufthansa
AG are discussing a joint cargo service agreement from November
1, the Filipino carrier said Monday.

The proposed "block space agreement" will enable the ailing
Philippine flag-carrier to regain a foothold in the European
market which it abandoned in June 1998 due to the Asian financial
crisis, PAL said in a statement.

Under the proposed accord PAL would buy space on Lufthansa's
thrice-weekly cargo flights from Manila to Frankfurt, the
statement said.

PAL expects to take a market share in the shipment of products
assembled in the Philippines by European firms such as Siemens of
Germany, Alcatel of France, Asea Brown Boveri of Sweden and Cable
and Wireless of Britain, the statement said.