Corsair International (Paris Orly) will not be merged with Air Caraïbes but will instead remain a distinct, separate entity within the confines of Groupe Dubreuil, Marc Rochet, CEO of Air Caraibes (TX, Pointe à Pitre), has said.

Speaking in Paris at a press conference to confirm the family-run firm's push to acquire Corsair from parent TUI AG, Rochet said French legislation would make such a combination "too complex." Once the acquisition is approved by TUI management, French regulatory authorities, and Corsair unions, Corsair's entry into the Dubreuil fold will create France's largest privately-owned airline group, he added.

In a bid to sweeten the sale of its struggling carrier which has racked up USD125 million in annual losses since 2008, TUI AG has agreed to recapitalize Corsair ahead of its disposal, Corsair's current CEO and head of TUI France, Pascal de Izaguirre, said.

Under the terms of the deal, Corsair will retain its network, staff and skill-base while benefiting from group synergies such as cost reductions and economies of scale. Governance will be provided by a Supervisory Board (chaired by Jean Paul Dubreuil, with Pascal de Izaguirre a member) and a Management Board which will be chaired by Marc Rochet.

In terms of fleet plans, Corsair's three B747-400s are to be retired by 2017 with A350-900s their likely replacements. In addition to firming up Air Caraïbes' options for two A350-900s, Dubreuil is also planning to lease a further three A350s from unspecified lessors, adding to the six that are already due to arrive from 2016 through 2023.

"With the introduction of the A350-900 in 2016, a new company framework is to be created," Dubreuil said in a statement. "It will operate aircraft using two brands - Air Caraïbes and Corsair - on flights to the Caribbean and the Indian Ocean. Using an all A350 fleet, this company will focus on operational optimization and economic competitiveness in a constantly changing world."

Currently, Air Caraïbes operates scheduled services throughout the Caribbean and to Paris Orly in France using its Air Caraibes Atlantique (CAJ, Paris Orly) subsidiary. Corsair, for its part, serves also serves the French Antilles as well as the Indian Ocean islands of Mayotte, Reunion, Madagascar, and Mauritius, Senegal and Ivory Coast in West Africa, and Montréal Trudeau in Canada.