Big U.S. Airlines Fault Persian Gulf Carriers

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A guy who can't admit he's wrong does not belong in ANY union position. Or a left seat for that matter.

pot-kettle.jpg
 
Politicians are at their best when they are wrong, yet are able to persuade 50+% that they are correct. This is good practice for people that aspire to "high office".
 
.......and once again I will not argue that he is correct in regards to Qatar and Etihad. They very obviously receive a lot of state support. But when he lumps Emirates in with them and only says, "we have evidence" without actually showing what that evidence is there is a significant loss of credibility to the argument.


TP
 
They probably do have the evidence, they are just waiting for the right time to release it.
 
If he has the evidence he needs to show it soon instead of just saying he has it over and over again. He's been saying it now for two+ years, but still nobody has seen what he is purportedly talking about.


TP
 
I respect Mr. Anderson and his voice in revealing how the industry is in the Matrix. I also respect Mr. Parker's fight in this.

In trying to look at both sides (of course I haven't read any of the financials), what about Al Baker's arguments to refute what Neo, I mean Mr. Anderson said?
 
Shouldn't he be thanking these same countries for playing a game of chicken with oil production? If oil continues to stay low you would think its going to line the airlines pockets with cash.
 
Apparently, the Gulf carriers (including members of SkyTeam) took offense to the 9/11 comment. Delta's PR issued an apology.
 
Yeah that 9/11 comment was uncalled for. The UAE (Emirates and Etihad - Abu Dhabi) had nothing to do with 9/11. Not Qatar either. None of the terrorists were from these two countries.
 
Delta chief 'crossed the line' with 9/11 remarks: Emirates' Clark
By: Max Kingsley-Jones
London


Emirates Airline president Tim Clark believes Delta Air Lines chief executive Richard Anderson overstepped the mark when he linked the 9/11 terrorist attacks with the Gulf carriers, as the row over subsidies and open skies escalates.

However, Clark is reluctant to comment on the statement by the US majors that they have "irrefutable evidence" that Gulf carriers benefit from multibillion-dollar subsidies until he has been shown the content of their dossier.

The latest round in the subsidies row was sparked by a controversial interview Anderson gave to CNN business anchor Richard Quest on 16 February. Anderson made a remark that has surprised many industry observers when he rebuffed the point that US airlines had benefited from huge government subsidies after the 9/11 terrorist attacks by citing "the great irony" that the terrorists originated from the same region as the Gulf carriers.

Clark appeared on the Quest Means Business show on 18 February to discuss Anderson's accusations and comments. He said he was not angered by Anderson's comments regarding the terrorists, but added: "I'm a little bit concerned that Mr Anderson crossed the line in some of the statements he made with regard to what went on with 9/11 and I know that this has caused great offence in this part of the world, and I'm sure will be dealt with at the government/state level."

He also questioned whether Anderson had thought about the consequences of his comments for his airline's fellow alliance members, saying: "I wonder if Mr Anderson considered the feelings of his SkyTeam partner Saudia when he made these allegations or these carefully crafted words."

Anderson claimed in his interview that Delta and its US major allies American Airlines and United Airlines had compiled a dossier of "documented evidence that cannot be refuted" regarding some $40 billion of subsidies he says Emirates, Etihad Airways and Qatar Airways have received.

Clark declined to comment specifically on the accusation, saying: "We have not had the benefit or the courtesy of being supplied with this report.

"I cannot comment on anything that we haven't seen. I cannot comment on statements about $40-50 billion or whatever, because we are yet to see the content of the report. And until we get that I think it is a little bit unreasonable for us to be forced into a situation where we have to report on something we have no knowledge of."

However, Clark is resolute in his view that Emirates has not benefited from any financial support and its only crime is to have a superior network strategy and product to its legacy rivals.

"I believe our position is utterly defensible and will be," he says. "We will demonstrate by offering quality products into the USA we will continue to draw business to points that the US carriers don't serve, have never served and probably will never serve."
 
Anderson's 9/11 comment was a successful booby trap.

The ME3 leadership have now been tricked into moving this entire story further into the spotlight and getting it press time, which they have now done, having been unable to resist not grabbing the bait.

As all of these CEOs are lawyers coached by teams of other lawyers, let's not kid ourselves: they knew exactly what they were doing with the responses in the CNN interview. Smart.
 
Emirates' Clark strikes back in US open skies debate
By: Ghim-Lay Yeo
Washington DC

Emirates president Tim Clark has hit back at an effort by the three US mainline carriers to lobby the US government to roll back open skies with some Gulf nations, calling the airlines' allegations "sweeping and unfounded".

"I am surprised by reports that the three largest US carriers – each of which was a beneficiary of America’s unique Chapter 11 bankruptcy reorganisation law - have presented a case against open skies access for some airlines including Emirates, based on claims of subsidies," says Clark in a statement to Flightglobal.

"As far as the airline industry is concerned, aeropolitical protection for airlines is arguably the biggest subsidy of all," he adds. "Therefore, it would be ironic, and a shame, if the US, who have been the forerunners of liberalisation and deregulation, would now contemplate a u-turn on its successful international aviation policies for the benefit of a narrow few, based on sweeping and unfounded subsidy allegations."

In late January, chief executives of Delta Air Lines, American Airlines and United Airlines met with senior White House officials to persuade them to consider limiting the access of Gulf carriers to the USA. It is understood that the carriers are pushing the US government to review existing open skies deals with the countries of these Gulf airlines.

Delta says the three carriers have begun a discussion with the US government on "the impact of more than $40 billion of government subsidies and unfair benefits to state-owned Gulf airlines, specifically Emirates, Etihad and Qatar [Airways]".

In response to this, Clark says: "We are very interested to see how the figure of '$40 billion of government subsidies and benefits' was calculated. It is especially surprising because some of the complaining CEOs have publicly called for the US to emulate the pro-aviation growth policies of Dubai."
The three Gulf carriers have repeatedly denied charges that they benefit from state subsidies, and Clark reiterates this. "We have never received financial subsidies or bail-outs. We did receive start-up capital of $10 million in 1985 and a one-time infrastructure investment of $88 million for two Boeing 727 aircraft and a training building," he says.

"This investment has been more than repaid by dividend payments to the government of Dubai which total over $2.8 billion to date."

Etihad and Qatar Airways decline to comment on the move in Washington DC by the three US mainline carriers. The US Department of Transportation declines to comment on the meeting between the three US airline chief executives and secretary of transportation Anthony Foxx. The chief executives are also believed to have met with commerce secretary Penny Pritzker.

"For the United States government to be persuaded by a non-representative vocal minority that it should change course, particularly with regard to its Open Skies policy, makes absolutely no sense," says Clark.
The bid by the three US airlines for their government to reevaluate its open skies deals with certain Middle Eastern countries have attracted strong reactions. Mid-sized and smaller US airports that are not significantly dominated by a US mainline carrier have said that rolling back open skies could hurt new international service to the USA.

Delta, American and United have been backed in their efforts by the Air Line Pilots Association (ALPA). The union says it is in favour of open skies “provided that partner nations’ airlines compete on commercial merit and do not benefit from unfair economic advantages in the marketplace”.

Among other US carriers, New York-based JetBlue Airways and FedEx have spoken out in favour of retaining US open skies policies. JetBlue is a codeshare partner with all three Gulf carriers - Emirates, Etihad and Qatar.

Southwest Airlines - the other major US carrier - has so far remained silent on the issue. US airline trade association Airlines For America has declined to comment, referring all questions to the three US mainline carriers.

Emirates operates to nine US cities non-stop from Dubai, and provides one-stop service to 60 other cities in the Middle East, Africa and Asia Pacific.

Clark says these are destinations "currently not served by American carriers, except perhaps via their alliance partners where routings are often relatively convoluted or inconvenient".

"Head-to-head, there are virtually no competitive overlaps between Emirates’ network and those of the three complaining US carriers," he adds.

The Dubai-based carrier has transported more than 10.7 million passengers on its US flights, and Clark estimates that the carrier's US operations have contributed more than $2.8 billion annually for the airports in New York, Dallas/Fort Worth, Houston, Los Angeles, Boston, San Francisco, Seattle and Chicago.
 
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