This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Oneworld Is First Alliance to Welcome Big Mideast Carrier

NEW YORK -- ( TheStreet) -- Oneworld has become the first global alliance to welcome one of the big three Middle East airlines, adding Qatar Airways to its roster of a dozen members and three "members elect" who have received invitations.

A press conference at the Four Seasons hotel on Monday provided a demonstration of the ever-increasing importance of the three alliances in global aviation. About 70 reporters attended, as did the CEOs of Qatar and of two of the world's leading airlines, British Airways and American Airlines (AAMRQ.PK).

American pilots demonstrated outside the event. Within the U.S. airline industry, American's bankruptcy is a dominant news story. But in the bigger context of global aviation, it is barely a story at all. American is going to restructure and emerge from bankruptcy as the U.S. anchor for oneworld. In fact, it seems that oneworld has in some ways adopted the American "cornerstone" strategy of being the dominant carrier in the world's most important business markets.

"In travel between the top 100 cities in the world, we are bigger than Skyteam," said oneworld CEO Bruce Ashby in an interview. "We are bigger in the international premium travel market, and we connect the international business centers, New York and Tokyo and London. Qatar also has a lot of high value, important city to important city routes." In particular, he said, Qatar offers convenient connections for markets such as South Africa to China, Kenya to India and Sao Paulo.

"What we're trying to do with the alliance is to focus on the frequent international traveler who wants multi-sector travel across different airlines to get to places around the world (with) smooth transfers as they leave their home airline," Ashby said. "That's what alliances are all about."

The big three Middle East carriers are Qatar, with a hub in Doha that serves 119 destinations; UAE-based Etihad, with a hub in Abu Dhabi that serves about 90 destinations; and Emirates, with a hub in Dubai that serves 120 destinations. All three carriers are growing rapidly, thanks to oil wealth that enables them to be among the world's leading buyers of aircraft. They have been seen as industry outliers that are able to undercut other carriers, particularly European airlines, in offering lower-cost worldwide connections through their hubs.
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
ALK $75.75 0.00%
DAL $44.34 0.00%
UAL $56.39 0.00%
AAPL $121.30 0.00%
FB $94.01 0.00%

Markets

Chart of I:DJI
DOW 17,689.86 -56.12 -0.32%
S&P 500 2,103.84 -4.79 -0.23%
NASDAQ 5,128.2810 -0.5040 -0.01%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs