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PARIS: Air France KLM shares slumped on Monday after the company’s chief executive said he would resign following the rejection of a pay deal by the airline’s staff.
Air France KLM shares were down by around 12.8 percent at €7.06 in early session trading, touching their lowest level since April 2017.
The stock is down by around 50 percent since the start of 2018, underperforming a 3.7 percent gain on the broader Paris SBF-120 index and a 4 percent fall on the pan-European STOXX 600 Travel & Leisure index.
Late on Friday, CEO Jean-Marc Janaillac said he would resign after staff rejected a pay deal, plunging the airline into turmoil amid a wave of strikes at its French brand that has so far cost the company €300 million.
Airline staff are planning further strikes on May 7 and May 8.