PARIS—Air France pilots have approved a proposal to create a new long-haul airline, an important part of the Air France-KLM group’s “Trust Together” strategic turnaround plan aimed at boosting profitability. The Boost project for a new medium- and long-haul carrier within Air France is a direct response to competition from Gulf carriers, which have grown fast in recent years. LCCs’ rising European market share and terrorism fears have also been squeezing the ...

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