Partnership vital to Etihad expansion strategy: President and CEO tells Global Aerospace Summit
Etihad Airways and its Abu Dhabi home-base continue to benefit from the airline’s strategy of working closely with network partners which, in turn, is supporting economic growth in markets around the world.
Details of the successful expansion strategy were shared by James Hogan, Etihad Airways’ President and Chief Executive, during his keynote address to delegates at the Global Aerospace Summit being held in Abu Dhabi.
Mr Hogan said: “Etihad Airways continues to be our core business and main focus, yet through our network partners, the airline is building a global presence which we wouldn’t be able to do alone and helps us all carry greater numbers of air travellers around the world.”
Mr Hogan spoke about how Etihad Airways and its network partners can now leverage economies of scale through joint procurement and resource sharing, which he said were not available through pure commercial relationships or membership of airline alliances.
“The benefits of strategy flow to our partners as they gain access to the Etihad Airways global flight network, improved revenue opportunities and reciprocal cost and efficiency gains. The net result is stronger, more competitive airlines, delivering benefits to consumers, creating employment and contributing to economic growth,” said Mr Hogan.
In addition Mr Hogan shared details with delegates at the Global Aerospace Summit about the impressive plans for the new Midfield Terminal at Abu Dhabi Airport. With construction well underway, the iconic Midfield Terminal will be open in 2017 with an annual capacity of 30 million passengers.
Mr Hogan added that the benefits of working with Etihad Airways and Abu Dhabi were felt by the partner airlines and the markets they operate in: “By expanding our organic operations from Abu Dhabi, and by increasing our connectivity with other destinations through our partnerships, we are not only flying passengers and freight to and from Abu Dhabi, but also acting as a catalyst for additional economic growth, both here and elsewhere.”
“In Europe, for example, we have acquired minority equity stakes in airberlin, Air Serbia and Aer Lingus and are seeking regulatory approval to invest in the Swiss regional carrier Darwin Airline, which now operates as Etihad Regional – Switzerland.
“In doing so, not only do we strengthen our own operations, we strengthen those of our equity partner airlines, increasing competition within Europe, and bolstering European economies as well as our own home base.”
The Global Aerospace Summit is an invitation only event for C-level executives, senior decision makers and government officials involved with the aerospace, aviation, defence and space industries. It is taking place today, Monday 7 April, and tomorrow at the St. Regis, Saadiyat Island, Abu Dhabi.