Etihad Emirates Merger??? The VA Impact

[Bagpuss]

Of course there is an option for Etihad to sell it's stake in VA. But given the ongoing speculation of a merger between Etihad and Emirates it will be "interesting" in Australia if it happens.

Etihad being a Virgin partner and shareholder
Emirates being a Qantas partner.

My suspicion is that (for once) Virgin may be the partner of choice over Qantas and maybe some o the writing is already on the wall.

Qantas have moved back to flying to Europe via Singapore and I think Emirates may have felt a little used by Qantas.
Qantas are making in-roads with Cathay Pacific. Qantas never seemed to be interested in Cathay despite both being in OneWorld.
Etihad and Emirates are both not part of an alliance in which with VA not being in an alliance, it may make sense.

If the merger did happen and Emirates codeshared with VA it would probably have massive upside for VA.

 

[AustraliaPoochie]

EK would have to break off with QF first, no?
Unless they keep operating EY as a totally separate entity, and maybe, just maybe EY puts a flight ADL - AUH - LHR.
((Whistling/dreaming, no reality of course that EY would put a 777/380 into ADL with a EY/VA flight number, with the owner of the whole kit and kaboodle being EK!))

 

[Ansett]

Already being discussed here

Possible Emirates and Etihad Merger

 

[stm1sydney]

EK would have to break off with QF first, no?
Unless they keep operating EY as a totally separate entity, and maybe, just maybe EY puts a flight ADL - AUH - LHR.
((Whistling/dreaming, no reality of course that EY would put a 777/380 into ADL with a EY/VA flight number, with the owner of the whole kit and kaboodle being EK!))

Not as unlikely as you might think, perhaps. The merged EK/EY would have a lot of surplus 787s (EY), and that type might be ideal for ADL.

 

[hossein_au]

EK would have to break off with QF first, no?

Why would they "have to"? There is nothing stopping EK partnering with different airlines from different alliances.

As of this writing they have partners from all 3 major alliances (for example, Qantas, TAP Portugal, and Korean Air). Just because we perceive something as "unthinkable" in our neck of the woods does not necessarily make it true.

 

[Ansett]

I think the ACCC may have something to say about that

 

[hossein_au]

I think the ACCC may have something to say about that

I think that would a major consideration for their (combined) operations to/from Australia.

P.S: I'm sure ACCC would be pleased to see EK partnering with both QF and VA, as it (at least on paper) creates more competition in the domestic part of international itineraries.

 

[dajop]

Why would they "have to"? There is nothing stopping EK partnering with different airlines from different alliances.

As of this writing they have partners from all 3 major alliances (for example, Qantas, TAP Portugal, and Korean Air). Just because we perceive something as "unthinkable" in our neck of the woods does not necessarily make it true.

It’s not about the big alliances - it’s about the market. Emirates don’t have alliances with two partners in the same market, except Jet Blue and Alaska - but those two are probably complementary anyway one for the west coast and the other for the East Coast. I can’t see QF being too happy about it either!

Anyway it might be irrelevant, if Emirates dominate a merger they might dispose of the VA holding, as EK don’t really seem interested in holding equity in other airlines.