Etihad, Air Arabia launch new low-cost airline in UAE

Agencies
October 18, 2019

Sharjah, Oct 18: A new UAE budget carrier has been launched by Sharjah's Air Arabia and Abu Dhabi's Etihad Aviation Group, further increasing the competition in the aviation sector as well as giving UAE residents an additional economical option to choose from.

The new carrier - called Air Arabia Abu Dhabi - is the fifth airline to operate from the UAE after Emirates, Etihad, flydubai and Air Arabia, serving 9.5 million residents. Based out of Abu Dhabi International Airport, the new carrier will target the low-cost travel market segment in the Middle East region and complement Etihad Airways, said a Press statement released on Wednesday.

Etihad and Air Arabia currently operate a combined fleet of 162 aircraft, including 109 by the former and 53 by the latter. Air Arabia flies to 170 destinations across 50 countries through its Sharjah, Morocco and Egypt hubs while Etihad flies to 80 destinations.

Air Arabia Abu Dhabi has been launched against the backdrop of a tough aviation environment as 17 airlines have gone bust so far this year globally, including Jet Airways, Thomas Cook, Aigle Zur and XL Airways, Germania, Flybmi and Adria of Slovenia. But industry executives believe that the sector will pick up as global trade war eases ahead of elections in the US.

Tony Douglas, group CEO of Etihad Aviation Group, said the carrier will offer passengers a new option for low-cost travel to and from Abu Dhabi. "We look forward to the launch of the new airline in due course".

Adel Al Ali, group CEO of Air Arabia, said the UAE has developed over the years to become a leading travel and tourism hub and this partnership will further serve the growing low-cost travel segment locally and regionally.

However, the two UAE airlines didn't share the launch date as well as the destinations for the new carrier.

Abu Dhabi Airports said the new LCC will cater to the growing low-cost travel market through its hub in Abu Dhabi International Airport, strengthening the city's air connectivity and accessibility.

"It is anticipated that the airline will greatly increase the number of destinations served from Abu Dhabi International Airport, offering new choices to passengers to travel directly to previously unserved destinations," it said.

Aviation analysts say that the new carrier will first target Middle East and Asian markets which are underserved right now.

Mark D Martin, founder and CEO of Martin Consulting, said that the Air Arabia-Etihad model will cater to markets such as Pakistan, India, North Africa, Russia and the CIS and East Europe regions that have immense potential yet are under served.

Martin noted that Etihad's long-term strategy has always been with inorganic growth where it chose to expand by means of a merger or acquisition but this marks the first time where Etihad has chosen to co-venture with a successful partner and its proven model.

Saj Ahmad, chief analyst at StrategicAero Research in London, said as Etihad is in the midst of financial restructuring and unable to launch its own low-cost carrier, the move to work with Air Arabia will help it to tap into a market that they do not have a presence.

"If anything, there's a big risk that Air Arabia will cannibalise some traffic that would otherwise travel to its hub in Sharjah," he said, adding that Etihad may want to push some services regionally to places like Saudi Arabia or re-enter Iran too.

For the new carrier, Ahmad believes, the fleet will likely come from Air Arabia's existing inventory to ensure that operations can commence quickly. "It will also ensure that costs stay capped and that both airlines can pool resources rather than having to wait for new airplanes."

Air Arabia is expected to announce order for 100-plus aircraft by January 2020, its group CEO Adel Ali said earlier this week.

Saj Ahmad noted that passengers will gain from using Etihad's big footprint at Abu Dhabi International and save them having to travel out to Sharjah just to get cheap flights.

"For the here and now, it's a better move for Etihad than it is for Air Arabia - but passengers will reap rewards regardless. As the partnership expands, the potential for connectivity growth and new markets will ensure that the partnership mirrors that of Emirates and flydubai," he added.

The carrier's board of directors will be nominated jointly by Etihad and Air Arabia to steer the company's independent strategy and business mandate.

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Agencies
July 19,2020

Occupied Jerusalem, Jul 19: Israeli Prime Minister Benjamin Netanyahu’s corruption trial resumed on Sunday.

Netanyahu is charged with fraud, breach of trust and accepting bribes in a series of scandals in which he is alleged to have received lavish gifts from billionaire friends and exchanged regulatory favors with media moguls for more agreeable coverage of himself and his family.

Netanyahu denies wrongdoing, painting the accusations as a media-orchestrated witchhunt pursued by a biased law enforcement system.

The trial opened in May. Just before appearing in front of the judges, Netanyahu took to a podium inside the courthouse and flanked by his party members bashed the country’s legal institutions in an angry tirade.

Netanyahu was not expected to appear at Sunday’s hearing, which is taking place at an occupied Jerusalem court and is mostly a procedural deliberation.

The trial resumes as Netanyahu faces widespread anger over his government’s handling of the coronavirus crisis.

While the country appeared to have tamped down a first wave of infections, what’s emerged as a hasty and erratic reopening sent infections soaring. Yet even amid the rise in new cases Netanyahu and his emergency government — formed with the goal of dealing with the crisis — appeared to neglect the numbers and moved forward with other policy priorities and its reopening plans.

It has since paused them and even re-impose restrictions, including a weekend only lockdown set to begin later this week.

Netanyahu’s government has been criticized for a baffling, halting response to the new wave, which has seen daily cases rise to nearly 2,000. It has been slammed for its handling of the economic fallout of the crisis.

His trial thus comes at inopportune timing. Netanyahu had hoped to ride on the goodwill he gained from overcoming the first wave of infections going into his corruption trial, but the increasingly souring mood has affected his approval rating and may deny him the public backing he had hoped for. The anger has sparked protests over the past few weeks that have culminated in violent clashes with police.

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News Network
April 27,2020

Riyadh, Apr 27: The government of Saudi Arabia has signed a SR995 million (approx. Dh972m) contract with China to provide Covid-19 tests for nine million people in the Kingdom.

The Saudi Press Agency, SPA, reported that the decision came "as a result of a phone call made today (Sunday) between the Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud and Chinese President Xi Jinping."

The contract includes providing necessary equipment and supplies, making available of 500 Chinese specialists and technicians who are specialised in performing tests, establishing six large regional laboratories throughout the Kingdom; including a mobile laboratory with a capacity of performing 10,000 tests per day. Saudi cadres will also be trained to conduct daily tests and comprehensive field tests, under the new agreement

The contract was co-signed by the National Unified Procurement Company and Chinese company Huo-yan Laboratories by Dr. Abdullah Al Rabeeah, Advisor at the Royal Court, on behalf of the Government of Saudi Arabia, and Chinese Ambassador to the Kingdom Chen Weiqing, as a representative of the Chinese Government.

The contract is one of the largest contracts that will provide diagnostic tests for the novel Coronavirus.

Tests were also purchased from several other companies from the United States, Switzerland and South Korea, bringing the number of available tests to 14.5 million, covering around 40 percent of Saudi Arabia's population, SPA added.

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News Network
April 18,2020

Dubai, Apr 18: Saudi Arabia has reported 1,132 new coronavirus cases, taking the total number of confirmed COVID-19 patients to 8,274, the Ministry of Health revealed on Saturday.

The ministry has also announced five more deaths from the virus, taking to 92 the Kingdom’s death toll.

Recoveries
As for recoveries, 280 new recoveries were reported, pushing the total number of patients recovered to 1,329.

The ministry revealed that 79 per cent of today’s cases are expatriates and that 65 per cent of the cases were detected through intensified and active COVID-19 screening in densely-populated areas.

A total of 201 patients of Saturday’s cases have contracted the disease due to being in contact with existing cases, the ministry added.

The new infected cases have been placed under complete isolation and they are receiving necessary medical care, an official from the ministry said.

He affirmed that medical teams are intensifying efforts and screening tests in workers' neighbourhoods and accommodations in order to limit the spread of the disease.

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