Etihad group mulls further cooperation with Emirates
AIRLINE TAKING ‘DISCIPLINED, MEASURED’ APPROACH TOWARDS PARTNERSHIPS, NEW CEO SAYS
The new chief of Etihad Aviation Group said yesterday the company will consider possible areas of collaboration with Emirates Group, a few months after the two agreed to cooperate in aviation security.
“I think it’s fair to say that as two partners from the United Arab Emirates, we’ll continue to consider, where appropriate, other things we can do together,” said Tony Douglas, chief executive officer of Etihad Group, without elaborating on possible areas they can cooperate.
In his first public speech since taking office as CEO of Etihad Aviation Group in January, Douglas said the company is taking a “disciplined and measured” approach towards evaluating new partnerships.
He added that Etihad will evaluate partnership opportunities on a case-by-case basis.
“We have learned from the experience with Alitalia and airberlin. Not all bad, by the way, but I think the key takeout would be being very disciplined, very measured, but not in any way being frightened away from the many benefits of collaboration,” Douglas said.
Etihad’s strategy under former head James Hogan involved pursuing equity stakes in foreign carriers to expand the Abu Dhabi carrier’s global network. This strategy ended with Etihad booking $1.87 billion (Dh6.87 billion) in net losses for 2016 as it saw an $808 million charge on certain ■ assets and exposures to equity partners, mainly related to Alitalia and airberlin.
However, while discussing the outlook, Douglas was not bearish.
“Whether the pace of growth will be quite as aggressive as people [saw] in the past probably remains to be seen, but I would suggest that we remain optimistic within the Etihad Group,” he said.
Global Aerospace Summit
Douglas was speaking in Abu Dhabi at the Global Aerospace Summit where other speakers included top executives from flydubai, Air Arabia, Lockheed Martin, Rockwell Collins, Dubai Airports, and Boeing, among others.
The first day of the three-day summit focused on advancements in technology including artificial intelligence, robotics, blockchain, and the fourth industrial revolution, and how they will impact aerospace.
During an on-stage discussion, Etihad’s Douglas said such technology will allow Etihad to change customer experience.
“The fourth industrial revolution, the digital capabilities, will allow us to be an innovator in how we give choice to everybody when they buy a ticket, when they’re served by Etihad going forward,” he said.
I think it’s fair say that as two partners from the United Arab Emirates, we’ll continue to consider, where appropriate, other things we can do together.” Tony Douglas | Chief executive officer of Etihad Group