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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KT
April 21,2020

Abu Dhabi, Apr 21: The UAE has reported a further 490 new coronavirus infections, after conducting more than 30,000 new tests, bringing the total number of COVID-19 patients to 7,755.

According to the Ministry of Health and Prevention (MoHAP), three more coronavirus deaths have been confirmed, taking to 46 the country’s death toll.

The ministry revealed that it conducted more than 30,000 additional COVID-19 tests among UAE citizens and residents, using state-of-the-art technology in line with its plans to intensify virus screening in order to bring COVID-19 under control.

The accelerated investigative measures resulted in the detection of 490 new coronavirus cases among various nationalities, all of whom are in a stable condition and receiving the necessary care.

The deceased are of Asian nationalities and had pre-existing conditions coinciding with being infected with coronavirus, which resulted in complications that led to their death.

The ministry expressed its sincere condolences to the families of the deceased and wished a speedy recovery to all patients, calling on the public to cooperate with health authorities and comply with all precautionary measures, particularly social distancing protocols, to ensure the safety and protection of the public.

The ministry also announced the full recovery of 83 new cases after receiving the necessary treatment, taking to 1443 the total of those now recovered from the virus in the UAE.

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News Network
April 2,2020

Dubai, Apr 2: A senior Saudi official urged more than 1 million Muslims intending to perform the hajj to delay making plans this year in comments suggesting the pilgrimage could be cancelled due to the new coronavirus pandemic.

In February, the kingdom took the extraordinary decision to close off the holy cities of Mecca and Medina to foreigners over the virus, a step which wasn’t taken even during the 1918 flu epidemic that killed tens of millions worldwide.

Restrictions have tightened in the kingdom as it grapples with over 1,500 confirmed cases of the new virus. The kingdom has reported 10 deaths so far. The Middle East has more than 71,000 confirmed cases of the virus, most of those in Iran, and over 3,300 deaths.

“The kingdom of Saudi Arabia is prepared to secure the safety of all Muslims and nationals,” Saudi Hajj and Umrah Minister Muhammad Saleh bin Taher Banten told state television. “That’s why we have requested from all Muslims around the world to hold onto signing any agreements (with tour operators) until we have a clear vision.”

Saudi Arabia has barred people from entering or exiting three major cities, including Mecca and Medina, and imposed a nighttime curfew across the country. Like other countries around the world and in the Middle East, Saudi Arabia has suspended all inbound and outbound commercial flights.

Each year, up to 2 million Muslims perform the hajj, a physically demanding and often costly pilgrimage that draws the faithful from around the world. The hajj, required of all able-bodied Muslims to perform once in their lifetime, is seen as a chance to wipe clean past sins and bring about greater humility and unity among Muslims.

Standing in Mecca in front of the cube-shaped Kaaba that Muslims pray toward five times daily, Banten also said the kingdom was already providing care for 1,200 pilgrims stuck in the holy city due to global travel restrictions. A number of them are being quarantined in hotels in Mecca, he said.

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News Network
April 20,2020

Apr 20: Eight Indians, including two engineers, have died due to the novel coronavirus in Saudi Arabia, according to a media report on Sunday.

Mohammed Aslam Khan, an electrical engineer in Makkah, and Azmatullah Khan, an engineer at the Makkah Haram power station, have died due to the COVID-19, Saudi Gazette reported.

Aslam Khan, aged 51, who hailed from Meerut in Uttar Pradesh, was admitted to King Faisal Hospital, Makkah on April 3, following worsening of his condition after being infected with fever and throat pain.

He had been on ventilator for more than two weeks and breathed his last on Saturday night, the paper said.

Khan is survived by wife and a daughter and a son. His wife and children are under self-imposed home quarantine.

Azmatullah Khan, from Telangana, died of coronavirus on Friday.

Mujeeb Pukkottoor, a prominent Indian social worker and general secretary of Makkah chapter of Kerala Muslim Cultural Center, told the paper that the body of Khan was buried in Makkah on Sunday.

Khan, aged 65, had been working with Saudi Binladin Group for the last 32 years.

Fakre Alam, an employee at the Haram Project of Saudi Binladin Group in Makkah, died on Sunday due to infection, the paper said.

Barkt Ali Abdullatif Fakir, an electrical technician working in Medina, also died of coronavirus, it said.

According to the Saudi Ministry of Health’s daily report published on April 14, the number of coronavirus infected cases among workers of Saudi Binladin Group in various parts of the Kingdom stood at 117, and these included 70 cases in Makkah.

The first two Indian fatalities were reported from Medina and Riyadh earlier this month with the death of Shebnaz Pala Kandiyil (29) and Safvan Nadamal (41), both from Kerala.

Mohammed Sadiq, from Hyderabad, working in Jeddah and Suleman Sayyid Junaid (Maharashtra) are other Indians who died due to COVID-19 in the Gulf kingdom, the paper said.

Shebnaz from Panoor in Kannoor district died on April 3 and his body was buried in Medina on April 7. He came back to the Kingdom March 3 after his marriage in January.

Safvan, a taxi driver from Chemmad in Malappuram district, died on April 2 and was buried in Riyadh on April 8.

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