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Abu Dhabi Pulling Out Of Gulf Air?  
User currently offlineHiJazzey From Saudi Arabia, joined Sep 2005, 869 posts, RR: 1
Posted (9 years 1 week 1 day 21 hours ago) and read 4510 times:

Came across this article today...

AD may exit Gulf Air
Bahrain: 4 hours, 35 minutes ago

Abu Dhabi appears to be about to exit Gulf Air, according to Bahrain's Akhbar Al Khaleej newspaper. The Gulf Air board is hold an emergency meeting within the next two days to discuss its future, the newspaper's anonymous source said, claiming the Abu Dhabi authorities could have already taken a firm decision to withdraw from the Gulf Air consortium. This would leave Oman and Bahrain as sole owners.

http://www.ameinfo.com/67337.html

---

Well this is bound to happen sooner or later. It was clear that AD wanted to bail out ever since they launched Ettihad. I actually think this can be good for Gulf Air if they can weather the initial financial impact, they can concentrate on Bahrain.

13 replies: All unread, jump to last
 
User currently offlineA300 From United States of America, joined May 2004, 474 posts, RR: 0
Reply 1, posted (9 years 1 week 1 day 21 hours ago) and read 4472 times:
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This writing was on the wall since the launch of Ethihad. I wouldn't be surprised if Oman, too, would pull out. GF will become the all Bahraini. The aircraft are all Omani registered at the moment.


Boland Aseman Jayegah Man Ast.
User currently offlineKL808 From United States of America, joined May 1999, 1584 posts, RR: 2
Reply 2, posted (9 years 1 week 1 day 20 hours ago) and read 4399 times:

Quoting A300 (Reply 1):
wouldn't be surprised if Oman, too, would pull out

This though Im a bit skeptical on. Oman air doesn't offer service beyond the range of its B738, so I think maybe Oman will stay in the GF alliance, until of course it plans to start its own longer range routes.

Drew



AMS-LAX-MNL
User currently offlineWassch71 From Lebanon, joined Feb 2005, 208 posts, RR: 17
Reply 3, posted (9 years 1 week 1 day 19 hours ago) and read 4327 times:

The news is also on the Arabic edition of AlJazeera. "An unofficial source from GF said today that Abu Dhabi is set on withdrawing from GF and that a meeting is scheduled this week to discuss things further. The source added that the withdrawal may take 6 months before being completed. GF declined making any official comments except that operations currently continue as usual."
Is it a sign that Etihad has reached the critical size Abu Dhabi finds adequate for the airline to fulfill its immediate needs? Or is it that they feel that Etihad cannot perform well if GF continues its operations out of AUH?
Regards,
Wassim



MEA...Like No Other
User currently offlineKL808 From United States of America, joined May 1999, 1584 posts, RR: 2
Reply 4, posted (9 years 1 week 1 day 19 hours ago) and read 4272 times:

Well its good news and bad news I think

The bad news is GF will receive less funding.

The good news is they will be able to reduce money loosing routes out of AUH, and leave it to Etihad to get those routes.

This way GF will have extra aircrafts to be able to utilize on more needed routes ie to increase frequency or to open new routes.

Drew



AMS-LAX-MNL
User currently offlineCV580Freak From Bahrain, joined Jul 2005, 1033 posts, RR: 0
Reply 5, posted (9 years 1 week 1 day 19 hours ago) and read 4252 times:

I am sure that this was not a surprise to the GF management and it had to be expected that once Etihad was established that the Emirate of Abu Dhabi would withdraw from GF.

Obviously this will have an effect upon GF as AUH was an important HUB operation although GF can counter any effect by rerouting the current AUH longhauls via BAH or MCT. GF could then either increase it's number of flights to AUH from BAH and MCT or increase aircraft size to feed the two remaining Hubs.

GF has a large, very loyal customer base, especially on the eastern side of Saudi Arabia.



One day you are the pigeon, the next the statue ...
User currently offlineSV777KiloAlpha From Saudi Arabia, joined Dec 2003, 267 posts, RR: 2
Reply 6, posted (9 years 1 week 1 day ago) and read 4010 times:

Bahrain and Oman will have difficulty handling the financial burden alone. I believe that GF has a strong management and a sound marketing plan. They need now to secure the financial backup in case the get into trouble like what happened a few years ago. The only source might be through privatization!

I truly wish them all the best. They are a good airline.

 Wink
HZ-AKA



PPL since 2006
User currently offlineWassch71 From Lebanon, joined Feb 2005, 208 posts, RR: 17
Reply 7, posted (9 years 1 week 23 hours ago) and read 3918 times:

It's official: the governments of Oman and Bahrain confirmed Abu Dhabi's withdrawal and vowed to continue supporting GF:
http://www.gulfairco.com/press/newsE...ue&NewsLanguage=English&newsid=556
Regards,
Wassim



MEA...Like No Other
User currently offlineGeoffm From United Kingdom, joined Feb 2004, 2111 posts, RR: 6
Reply 8, posted (9 years 1 week 22 hours ago) and read 3893 times:

I thought the thread title was wrong, ie "Gulf Air Pulling Out Of Abu Dhabi"! But the replies have explained a couple of questions I had about GF, so thanks for that! You learn something new every day.

Geoff M.


User currently offlineCV580Freak From Bahrain, joined Jul 2005, 1033 posts, RR: 0
Reply 9, posted (9 years 1 week 22 hours ago) and read 3881 times:

In terms of pax numbers (not transit), which of the three hubs is the largest ?.


One day you are the pigeon, the next the statue ...
User currently offlineHiJazzey From Saudi Arabia, joined Sep 2005, 869 posts, RR: 1
Reply 10, posted (9 years 1 week 21 hours ago) and read 3830 times:

CV580Freak
I believe Bahrain is the busiest by a fair margin.

SV777KiloAlpha,
Not a bad idea. If they allow foreign investors, I can see the likes of Tayyar travel group buying in. It might even give them access to the Saudi domestic market.  Wink


User currently offlineFlyingInTheSky From Kuwait, joined Dec 2004, 66 posts, RR: 0
Reply 11, posted (9 years 1 week 15 hours ago) and read 3723 times:

Well there is that rumor I did hear about few months ago ...

Oman government complained about the progress of GF ,SO gave the airline a chance to correct it's current statues if it do so Oman will stay part of it and they may even merge the current fleet of Oman Air with GF ,otherwise they will pull and start building their own airline ...

And in my opinion they might have a better chance than Abu Dhabi as they already have an established airline ...

I think this was a rumor at that time ,but ,seriously I don't know how can it be now ...

My regards ,,,


User currently offlineLH459 From United States of America, joined Aug 2005, 886 posts, RR: 1
Reply 12, posted (9 years 1 week 14 hours ago) and read 3710 times:

Quoting KL808 (Reply 4):
The good news is they will be able to reduce money loosing routes out of AUH, and leave it to Etihad to get those routes.

Exactly! In the long run, I think this will make GF a much more efficient carrier and will also make their routings more attractive in the European markets. In the past, some GF itineraries were AI style milk runs, touching down at all three hubs! Even now, some itineraries from Europe would involve a stop at AUH and then change of planes at BAH or MCT. These routings made GF a much less attractive choice for premium travelers, but if they can eliminate these inefficiencies then I think they will give EK a run for their money in the front of the plane as well!
Disclaimer: I realize I'm playing armchair consultant here, but I've worked at 3 agencies with GF wholesale contracts over the years, so I am familiar with their operations and product.  Smile



"I object to violence because when it appears to do good, the good is temporary; the evil it does is permanent" - Ghandi
User currently offlineGF-A330 From United Kingdom, joined Apr 2001, 1644 posts, RR: 2
Reply 13, posted (9 years 2 days 13 hours ago) and read 3515 times:

Representatives of the owner states of Gulf Air held a meeting here Sunday, September 18 in Muscat to review the executive steps related to the decision of the Government of Abu Dhabi to withdraw from the Treaty establishing Gulf Air.

It was agreed to set up a taskforce from the owner states to follow up the implementation of the decision for the general interest of all parties.


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