Etihad Airways has incurred a giant billion dollar deficit for the second year in a row, reporting a $1.52 Billion loss for the financial year 2017.
Etihad Airways is changing the number of Guest miles awards require effective June 30, 2018. The base mileage will stay as of now but the airline will introduce greater variability based on “when you book and fly” (whatever this might mean).
The award surcharges are not changing and this change only affects, per the email, economy and business class awards.
United Arab Emirates, the home for Emirates and Etihad, and the United States have signed on Friday an agreement that requires more financial transparency from these two airlines while at the same time doesn’t curtail their current flights or fifth freedom activities. UAE merely stated that no more of fifth freedom flights are planned for now.
Both sides can tout this agreement as a victory. The US airlines were against these so called fifth freedom flights that Emirates has from Milan and Athens to New York. These fights are continuing services from Dubai. Emirates already publishes financial statements and Etihad will start once their restructuring is complete.
ASMALLWORLD dropped me an email yesterday about two new membership options they had launched that both comes with miles. Prestige one with 250,000 Lufthansa Miles&More or Etihad Guest and Signature one with 1,000,000 Etihad.
Both of these packages come with other benefits such as GHA upgrades, SIXT and SPG (Gold/Platinum status), and other perks.
Seems that Etihad won’t get away from its liabilities with Alitalia and Airberlin after using billions to shore up the equity on both airlines before they collapsed. Airberlin was liquidated while Alitalia continues to fly while they try to find yet another buyer for the airline (perhaps hopeless process).
Now, there are $1.2B in bonds issued in Amsterdam by “special purpose vehicle” SPV Equity Alliance Partners (EAP) that is linked to Etihad according to Reuters that will have soon trouble meeting its payments due to both Alitalia and Airberlin each owning roughly 19% of the obligations.
Etihad Airways has changed their baggage allowance to a system bases on not only cabin but also the individual fare for all tickets purchased effective January 31st 2018 onward.
Economy Class will now have four different baggage allowance categories with the lowest being just 23KG and the highest for Eco Flex Tickets being 35KG.
Etihad Airways, the troubled national airline of United Arab Emirates based in Abu Dhabi, has grounded its fleet of five Airbus A330 freighters and has requested pilots to take up to 18 months of unpaid leave.
The airline changed its CEO last year, two of its equity alliance airlines went into bankruptcy (Airberlin and Alitalia) and one of them was liquidated (Airberlin) and the airline is apparently doing a “strategic review”. Bloomberg suggests that Etihad may consider canceling some airplane orders it has placed with Airbus and Boeing.