Air France-KLM, Air Berlin and Etihad plan partnership

8 October 2012
By Rachael Fergusson
Mobile version
Share |
An Etihad flight attendant

An Etihad flight attendant

Air France-KLM, Air Berlin and Abu Dhabi flag carrier Etihad, plan to offer passengers access to some of each other's services from 28 October.

A code-share deal with Franco-Dutch airline Air France-KLM will enable Etihad customers to fly on KLM's daily Amsterdam-Abu Dhabi flight, while Air France customers will be able to travel on the daily Etihad service between Paris and Abu Dhabi, Air France-KLM said in a statement.

At the same time, Air France announced a new code share agreement with Air Berlin, in which Etihad Airways holds a 29.21 per cent stake.

The deals are seen as a further step towards improved relations between European carriers and younger state-backed Gulf carriers, which are aggressively growing to gain scale globally.

The relative success of the Gulf carriers has been met with charges of unfair competition by struggling European and US airlines, but some industry leaders such as International Airlines Group chief executive Willie Walsh have backed more alliances between the two camps.

Sources close to the oneworld alliance, which includes IAG's British Airways and American Airlines, said last week that Qatar Airways will become the first Gulf carrier to join that alliance in a deal to be announced this week.

Etihad, which is in competition with regional rivals Emirates and Qatar Airways, said the deal will be the first phase of a much larger strategic partnership.

The agreement will also offer additional lucrative long-haul routes to Air France-KLM passengers, enabling the carrier to save on marketing expenses at a time when it is cutting staff and trimming its short-and medium-haul fleet to lower costs.

The carrier is facing increasingly tough competition from low-cost carriers in Europe, where its labour costs make it harder to compete, while Gulf carriers are also eating into its long-haul premium business. The French flag carrier is shedding more than 5,000 jobs as it tries to return to growth.

Shares of Air France-KLM were up 1.2 per cent.

Etihad has steamed ahead with its growth strategy this year, signing code share deals and picking up stakes in four carriers including Air Berlin, Virgin Australia and Aer Lingus.

It will look to secure more airline stakes, its chief executive said on Sunday.

Latest Issue

E&T cover image 1607

"As the dust settles after the referendum result, we consider what happens next. We also look forward to an international summer of sport."

E&T jobs

  • Control System Engineer

    United Utilities
    • Lancaster, Lancashire
    • Up to £33415 + Comprehensive Benefits

    Provide ICA maintenance and engineering support to the Water & Wastewater Production

    • Recruiter: United Utilities

    Apply for this job

  • Signal Processing Engineer

    B&W Group
    • Steyning, West Sussex
    • Competitive Salary

    We are looking for a Signal Processing Engineer to support the R&D process on active loudspeaker products.

    • Recruiter: B&W Group

    Apply for this job

  • Principal Mechanical & Electrical Engineer

    De Montfort University
    • Leicestershire
    • Grade G: £36,672 - £46,414 per annum

    Join the Projects Team to develop and manage medium to large projects on the university estate.

    • Recruiter: De Montfort University

    Apply for this job

  • Advanced Commissioning Engineer

    National Grid
    • Nottinghamshire, Nottingham, England
    • £46000 - £57000 per year

    National Grid is at the heart of energy in the UK. The electricity we provide gets the nation to work, powers schools and lights everyone's way home. Our energy network connects the nation, so it's essential that it's continually evolving, advancing and i

    • Recruiter: National Grid

    Apply for this job

  • Electrical Design Engineer

    Oxford Instruments
    • Yatton, Bristol
    • Competitive salary plus excellent benefits

    We are looking for an electrical designer to join our engineering design team.

    • Recruiter: Oxford Instruments

    Apply for this job

  • Skilled Electrical Fitter

    MBDA
    • Bolton
    • Competitive Salary & Benefits

    What?s the opportunity?   The Electrical Fitter will carry out manufacturing and test tasks within the electrical department in accordance with product certification procedures, defined workmanship  ...

    • Recruiter: MBDA

    Apply for this job

  • Electrical Manufacturing Technician

    MBDA
    • Stevenage
    • Competitive Salary & Benefits

    What?s the opportunity?   As a qualified craftsman with experience in electrical manufacturing, the Manufacturing Technician will report to a Team Leader, receiving day to day ...

    • Recruiter: MBDA

    Apply for this job

  • Consultant Engineer (Electrical Power)

    BAE Systems
    • Cumbria, Barrow-In-Furness, England
    • Negotiable

    Consultant Engineer (Electrical Power) Would you like to play a key role in providing technical direction to the design of power systems on the Successor class submarines, which will replace the current Trident-equipped Vanguard class, currently in servic

    • Recruiter: BAE Systems

    Apply for this job

  • Supply Restoration Team Manager (HV/SAP)

    SSE
    • Oxford, Oxfordshire
    • Salary: £37,588 to £49,645 + Car (SSE8) Depending on skills and experience

    SSE is looking to recruit a Supply Restoration Team Manager to join our existing team in Oxford.

    • Recruiter: SSE

    Apply for this job

  • Electrical Technical Lead - Global Operations, Engineering & Laboratory

    Pfizer Ltd
    • Kent

    An exciting opportunity has arisen to join a dynamic team of professional engineers, supporting the development of novel drugs.

    • Recruiter: Pfizer Ltd

    Apply for this job

More jobs ▶

Subscribe

Choose the way you would like to access the latest news and developments in your field.

Subscribe to E&T