page_title: History of Braathens (1994–2004)
section_title: Partnership and new identity
hierarchical_section_title: History of Braathens (1994–2004) / Partnership and new identity
caption_attribution_description: Braathens SAFE Boeing 737-405 LN-BRA at Faro Airport
context_page_description: Braathens SAFE's domestic market was deregulated on 1 April 1994. Since then, any airline within the European Economic Area is free to operate any domestic or international route. Braathens rejected a proposal from the main competitor Scandinavian Airlines System for a merger; instead the helicopter division was sold and the company listed on the Oslo Stock Exchange. New routes were opened from Oslo Airport, Fornebu to Bodø, Harstad/Narvik and Tromsø, but the routes from Bergen to these cities were terminated. International routes to Rome, Nice and Jersey were introduced. In 1996, Braathens SAFE bought Sweden's second-largest airline, Transwede, and started flying on the Oslo–Stockholm route. The following year, Transwede, with its five domestic routes, was merged into Braathens SAFE. The same year, KLM bought 30% of Braathens SAFE and the airlines started a partnership.
  In 1998, the airline changed its name to Braathens and introduced two-class cabins. Full-fare passengers traveled in the "Best"-class, while discounted travelers traveled in the "Back"-class. It also bought the Swedish airline Malmö Aviation.
context_section_description: On 18 August 1997, Braathens SAFE announced a strategic partnership with the Dutch airline KLM. The partnership replaced the agreement with British Airways, and became active in 1998. Analysts stated that the partnership came as a reaction to SAS' alliance with Lufthansa, the Star Alliance, that had been created the previous year. Braathens SAFE had also been in negotiations with British Airways. The agreement involved KLM purchasing a 30% stake in Braathens SAFE from Ludvig G. Braathens Rederi for NOK 800 million. In addition, Braathens SAFE started flying from several Norwegian cities to KLM's main hub at Schiphol Airport in Amsterdam. In addition, the partnership involved a coordination of scheduling, prices, frequent flyer programs, corporate customer agreements, maintenance and procurement. The partnership also involved cooperation with the American airline Northwest Airlines. In 1997, Braathens SAFE and Transwede had a revenue of NOK 5.4 billion and made a profit of NOK 206 million, down 88 million from 1996.
  Starting in March, Braathens SAFE took over KLM's routes from Stavanger to Amsterdam, and started a new route from Trondheim to Amsterdam. From 26 March 1998, Braathens SAFE moved its flights to London from Gatwick to London Stansted Airport. At the same time, it announced that the number of daily services from Oslo to London would increase from one to three, following the opening of Gardermoen. In addition, KLM-partner AirUK would become an agent for Braathens SAFE, and the company hoped that 40% of the sales on the route would be sold in the United Kingdom. The agreement also involved a codesharing agreement with AirUK, including some onwards flights from London, notably the route to Dublin. At the same time, Braathens SAFE announced that the airline would start selling more discounted tickets on the London-flights, to compete with Ryanair's new route from Stanstad to Sandefjord Airport, Torp.
  On 23 March 1998, Braathens SAFE changed its name and corporate identity to Braathens. It introduced a new livery with a blue bottom, and replaced the Norwegian flag on the tail with an abstract, silver wing, that became the company's new logo. The re-branding was an attempt to create an international identity, and tone down the Norwegian national symbols that had been on the airplanes since 1946. At the same time, a two-class configuration was introduced: the 'Best' section, accounting for 70% of the planes capacity, received higher seat pitch, complimentary in-flight drinks, meals and newspapers, priority boarding and refundable tickets. The 'Back' section was for discount ticket holders, who received a no-frills service with a smaller seat pitch, and were located at the back of the aircraft behind a curtain. Best tickets became NOK 300 more expensive, while it became easier to purchase discounted tickets. The scheme was, according to Erik G. Braathen, an attempt to differentiate between the full-fare customers, with whom Braathens was competing with SAS, and the low-fare customers, who Braathens was competing with Ryanair and the to-be established Color Air. The scheme as first introduced on the first 737-700 that was delivered.
  The Norwegian Confederation of Trade Unions encouraged its 800,000 members to not fly with Braathens due to the introduction of a segregated classes. SAS did not follow the same policy, and offered its discounted customers to travel in the same class as Braathens', including complimentary service. After introduction, the concept increased the work load on handing employees, who needed to check the passengers' tickets to ensure they sat in the right class. There were also complaints from Best-passengers who felt that they were receiving worse service after the scheme was introduced.
  On 17 August 1998, Braathens bought Malmö Aviation, that flew from Stockholm-Bromma Airport to Göteborg Landvetter Airport and Malmö Airport. In addition, it served all three airports from London City Airport. The airline had eleven British Aerospace 146 jets. In 1997, it had 772,000 passengers, 450 employees, a r
caption: A Braathens SAFE Boeing 737-400 with special 50-year anniversary markings
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