17 Aug

Etihad Airways increases its stake in airberlin

first_imgEtihad Airways has agreed it will pay USD95 million to increase its stake in German carrier airberlin to 29.21 percent, making it the carriers largest single shareholder.The strategic move will open up new opportunities by enabling the carriers to connect their extensive networks and frequent flyer programs to offer travellers 239 destinations across 77 countries.Etihad Airways Chief Executive Officer James Hogan said the new partnership was one of the most vital in the airlines history.“This new partnership expands our network reach, gives us access to 33 million new passengers, and provides us with a real opportunity for global growth,” Mr Hogan said.“Through airberlin, we gain immediate access to a broad and complementary European market, with outstanding connectivity options for customers of both airlines.” Mr Hogan said the two carriers carry  jointly a total of over 40 million passengers a year, operate 233 aircraft plus employ 18,000 staff, combined the airlines make over USD9 billion in revenue. airberlin Chief Executive Officer Hartmut Mehdorn said the strategic deal with Etihad Airways offers huge opportunities for the future of the company. “One of the key components of the new partnership is the launch of airberlin services to Abu Dhabi, which will become our new gateway to Asia and Australia.” “The agreement with Etihad Airways will also dramatically improve the global connectivity of our customers in Germany, Switzerland, Austria, and throughout the GCC and Middle East.”Under the new partnership airberlin will shift its Middle East operation from Dubai to Abu Dhabi and will operate four A330-200 flights a week between Berlin and Abu Dhabi from 15 January next year.Additionally, European travellers will gain immediate access to a total of 29 flights a week to and through Abu Dhabi from four German hubs, with a plan to increase to 42 flights from mid-April.Both airlines will seek anti-trust immunity to allow them to further manage route networks and sales and marketing initiatives.Etihad Airways will provide airberlin with five year financing facilities of up to UD$255 million to sustain future fleet development and network expansion. Source = e-Travel Blackboard: S.P Etihad Airways increases its stake in airberlin by almost 30 percentlast_img

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