Etihad welcomes ACCC ruling on Virgin Australia alliance

Etihad Airways welcomed the Australian Competition and Consumer Commission's (ACCC) determination to reauthorise its alliance with Virgin Australia for a further five years.
The ruling will enable the airlines to continue their cooperative services on the Australia-Abu Dhabi route and beyond until December 30, 2020.
Etihad Airways president and chief executive officer James Hogan said the announcement was great news for the airlines and a real win for Australian travellers.
"In the first five years of the alliance, we've shaken up the competitive landscape by delivering more destinations, more capacity and an unrivalled guest experience through new, state-of-the-art aircraft and major investments in product and service innovations.
"We are two best-in-class airlines, working together to offer a superior level of comfort and service; like-minded brands committed to putting the air traveller first through innovation and a shared passion for excellence.
"Over the next five years, our focus will be on new areas of commercial cooperation with Virgin Australia and opportunities for increased public benefit."
Hogan also expressed Etihad Airways' gratitude to the stakeholders who had lodged submissions in favour of extending the alliance.
"Our business partners in Australia are critical to our success and I would like to thank them for their continuing support."
Etihad Airways and Virgin Australia currently offer codeshare services to 38 international destinations in Europe, the Middle East, Africa and Pakistan, and to 52 destinations in Australia and Asia.
They also cooperate extensively in the areas of sales and marketing; purchasing and procurement; flight and cabin crew secondments; and offer reciprocal benefits to their frequent flyers including access to airport lounges across their combined networks.
Etihad Airways has a 25.1 per cent stake in Virgin Australia Holdings and holds a seat on the Virgin Australia board.
Europe bookings rebound
Meanwhile, Etihad Airways had a dip in bookings for travel from Europe to the Middle East after the November 13 Paris attacks and has stepped up vigilance for potential security threats, Hogan said in an interview.
The airline has seen reservations rebound in the past week ahead of the peak travel period around Christmas and New Year, Hogan said. Partners Alitalia and Air Seychelles saw dips of bookings for travel to or from France as well, according to Hogan. The comments reflect how the attacks that killed 130 and a subsequent travel warning by the United States shook demand in the airline business, at least briefly. Air France KLM said last month that customers' travel cancellations had exceeded bookings.
Etihad's passenger traffic inbound to Europe from India and Australasia has stayed strong, Hogan said.
Hogan was in New York this week to open a new airport lounge for Etihad at John F. Kennedy International Airport, where the company recently started flying the world's largest aircraft type, the four-engine A380 from Airbus Group.
With inputs from Reuters
- business@khaleejtimes.com

• Abu Dhabi