‘Welcome foreign investment into airlines’: Hogan
Guest Writers are not employed, compensated or governed by TD, opinions and statements are from the specific writer directly
Etihad’s president and CEO James Hogan has asked the European airline industry not fear the Gulf region’s growth and remember that the top airlines are all pitting against each other.
Hogan made the comments during an address at a European Union conference in Vienna this week, urging Europe to look at aviation as a global and not regional industry.
He was particularly looking to calm concern over Etihad’s own recent growth in Europe, which as seen it take stakes in airberlin, Aer Lingus, Air Serbia and Etihad Regional, as well as recently agree a deal with Alitalia.
“Consolidation of airlines is critical to sustainable air services. External investment is not a threat. It is an opportunity to strengthen airlines, and to support employment and economic growth,” he said. “All Gulf carriers are not the same. We are different sizes, have different hubs and follow different strategies. We are actually vigorous competitors with each other.”
He further argued his point by adding that many airlines in Europe were struggling before the large carriers, which also include Emirates and Qatar Airways, came onto the scene. Germany, Switzerland and Austria’s governments have all paid for bailouts or absorbed debts of national carriers.
European airlines are under pressure from the growth of low-cost carriers as well as congestion at airports, high operating costs at some airport and taxes.
Hogan added: “Our strategy is pro-competitive. We work with all partners for mutual gain, and within competition and ownership rules. Collaborative growth delivers sustainable businesses, and more choice, convenience, consistency, reliability and stability for our customers.”
Comments are closed.