Gulf Airthe national airline of the Kingdom of Bahrainand Etihad Airwaysthe national airline of the United Arab Emirateshave just signed a strategic business cooperation agreement to deepen their partnership between Bahrain and Abu Dhabi and beyond their respective hubs.
Subject to government and regulatory approvals, the new agreement redefines the working framework between the two carriers. They will be able to deepening and broadening commercial cooperationby reinforcing the Memorandum of Understanding signed by the airlines in 2018.
This cooperation will take place in stages. In the first phase, between now and June 2021The scope of the partners' codeshare agreement will be considerably extended. Gulf Air and Etihad will be able to offer up to 30 additional combined destinations beyond their respective hubs. The new destinations include the Middle East, Africa, Europe and Asia.
An Abu Dhabi-Bahrain airlift
The partners will also improve and strengthen the connectivity on the Bahrain-Abu Dhabi route. This includes connecting slots at each of the partners' hubs. The partners will also be improving their services for high-contribution customers of Falconflyer and Etihad Guest. They will benefit fromreciprocal access to trade fairs on the hubs and a greater recognition of their status. The two carriers will also be working on a more uniform on-board product. This harmonisation will cover sales classes, fare policy and baggage.
In practice, the agreement will enable both Etihad and Gulf Air to strengthen their appeal to passengers. And to stand up better to the region's two mega-carriers, Emirates and Qatar Airways. Gulf Air has been looking for a new lease of life for a number of years. The airline has repositioned itself as a 'niche' carrier from its hub in Bahrain. Etihad is in the throes of a serious financial crisis. This has resulted in a substantial reduction in its fleet and network. Gulf Air's agreement seems to put to rest the persistent rumour of a merger with Emirates...
