Etihad Expects Code-share Approval Beyond March

January 15, 2016

Etihad said that a German court ruling announced late on Thursday meant it expected to receive approval for its code-share routes with Air Berlin in the future.

An appeals court in Germany allowed Etihad to continue 26 of its 31 disputed code-share flights with Air Berlin for the winter schedule ending in March, citing a bilateral agreement struck between Germany and the United Arab Emirates in 2000.

"The court's interpretation of the UAE-Germany Air Services Agreement also means that Etihad Airways will be able to continue with all those code-shares beyond the Winter Schedule," Etihad, which owns 29 percent of Air Berlin, said in a statement.

Germany had previously approved the disputed code-shares but said in August 2014 it would not continue to approve them because it believed they were not covered by the bilateral agreement.

The court decision is good news for Air Berlin, because the code-shares bring it additional passengers to fill its planes and boost sales.

Air Berlin chief executive Stefan Pichler said the carrier was "delighted" with the decision.

"Based on this decisive ruling, Air Berlin and Etihad Airways can face the future optimistically and will continue to grow their partnership in a sustainable manner," he added.

The German transport ministry will review the court's decision and reasoning before deciding on how to proceed, a spokesman said. It reiterated it was open for talks with the UAE on the traffic agreement.

(Reuters)