HiJazzey From Saudi Arabia, joined Sep 2005, 788 posts, RR: 1 Posted (7 years 8 months 1 week 6 days 15 hours ago) and read 2684 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.
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.
A300 From United States of America, joined May 2004, 453 posts, RR: 0 Reply 1, posted (7 years 8 months 1 week 6 days 15 hours ago) and read 2646 times:
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.
KL808 From United States of America, joined May 1999, 1573 posts, RR: 2 Reply 2, posted (7 years 8 months 1 week 6 days 14 hours ago) and read 2573 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.
Wassch71 From Lebanon, joined Feb 2005, 208 posts, RR: 19 Reply 3, posted (7 years 8 months 1 week 6 days 14 hours ago) and read 2501 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
KL808 From United States of America, joined May 1999, 1573 posts, RR: 2 Reply 4, posted (7 years 8 months 1 week 6 days 13 hours ago) and read 2446 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.
CV580Freak From Bahrain, joined Jul 2005, 1033 posts, RR: 0 Reply 5, posted (7 years 8 months 1 week 6 days 13 hours ago) and read 2426 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 ...
SV777KiloAlpha From Saudi Arabia, joined Dec 2003, 266 posts, RR: 3 Reply 6, posted (7 years 8 months 1 week 5 days 19 hours ago) and read 2184 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.
Geoffm From United Kingdom, joined Feb 2004, 2111 posts, RR: 7 Reply 8, posted (7 years 8 months 1 week 5 days 17 hours ago) and read 2067 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.
HiJazzey From Saudi Arabia, joined Sep 2005, 788 posts, RR: 1 Reply 10, posted (7 years 8 months 1 week 5 days 15 hours ago) and read 2004 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.
FlyingInTheSky From Kuwait, joined Dec 2004, 66 posts, RR: 0 Reply 11, posted (7 years 8 months 1 week 5 days 9 hours ago) and read 1897 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 ...
LH459 From United States of America, joined Aug 2005, 886 posts, RR: 1 Reply 12, posted (7 years 8 months 1 week 5 days 8 hours ago) and read 1884 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.
"I object to violence because when it appears to do good, the good is temporary; the evil it does is permanent" - Ghandi
GF-A330 From United Kingdom, joined Apr 2001, 1643 posts, RR: 3 Reply 13, posted (7 years 8 months 1 week 7 hours ago) and read 1689 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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