Mumbai: The year-old partnership with Abu Dhabi's Etihad Airways would bring financial and operational benefits to Jet Airways but a rapid turnaround might be elusive, aviation experts said.
After the infusion of Rs 2,057 crore, Jet Airways is relatively stable financially, as it has pared debt. The alliance with Etihad also brings network benefits.
Jet Airways' focus in the first year has been on financial restructuring but the next few years could see changes in network. The rejig would involve flights that support its international network with a hub in Abu Dhabi, said an airline source familiar with the plan. It will result in Jet reducing domestic flights and closing small stations.
The investment in Jet is Etihad's largest acquisition. It also has stakes in Virgin Australia (19.9 per cent), Air Seychelles (40 per cent), Air Berlin (29 per cent), Aer Lingus (three per cent), Darwin Air (33 per cent) and Air Serbia (49 per cent). Etihad is negotiating with Alitalia to pick up a stake in the troubled Italian carrier.
13/05/14 Aneesh Phadnis/Business Standard
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After the infusion of Rs 2,057 crore, Jet Airways is relatively stable financially, as it has pared debt. The alliance with Etihad also brings network benefits.
Jet Airways' focus in the first year has been on financial restructuring but the next few years could see changes in network. The rejig would involve flights that support its international network with a hub in Abu Dhabi, said an airline source familiar with the plan. It will result in Jet reducing domestic flights and closing small stations.
The investment in Jet is Etihad's largest acquisition. It also has stakes in Virgin Australia (19.9 per cent), Air Seychelles (40 per cent), Air Berlin (29 per cent), Aer Lingus (three per cent), Darwin Air (33 per cent) and Air Serbia (49 per cent). Etihad is negotiating with Alitalia to pick up a stake in the troubled Italian carrier.
13/05/14 Aneesh Phadnis/Business Standard
