Dubai transfers owndership of Emirates

[flint912]

Dubai transfers ownership of Emirates, Dnata to IDC | Aviation (http://www.ameinfo.com/179944.html)

Dubai transfers ownership of Emirates, Dnata to IDC

United Arab Emirates: 3 hours, 33 minutes ago
The government of Dubai has transferred ownership of Emirates airline and air travel services firm Dnata to state-owned Investment Corporation of Dubai (ICD), Emirates said yesterday. The airline did not give a reason for the move and it was not immediately clear if the decision might be linked to a move towards privatising the carrier or selling a stake in it. 'The transfer does not affect the management structure nor any of our contracts with employees, suppliers or other third parties,' a spokesman said.

[vagabond 47]

Yeah,
Payback to Abu Dhabi finance for bailing out Dubai.......Lets see who eventually owns the majority shares in that company????????.
Happy New Year.

[Bitburger]

When the enemy is weakened it's time to attack. Wise words of an Chinese General.

[forget]

When the enemy is weakened it's time to attack. Wise words of a Chinese General.

Wow! I can see why he made General. :eek:

[Schnowzer]

Who cares who owns the shares? If Abu Dhabi do eventually buy a stake what would change? Abu Dhabi own many other companies but it is in their interests for the company to do as well as possible, thats what shareholders want.

The biggest conflict of interest would be at the Man City v Arsenal game!

[daviddea]

Dont throw good money after bad let the ship sink then pick up the few assets worth anything for pennies on the dollar.

[surely not]

Dont throw good money after bad let the ship sink then pick up the few assets worth anything for pennies on the dollar.

Daviddea, I note you say you are in Ft Lauderdale, Florida. How bizarre that you have these views about a foreign airline when in your own country, Chapter 11 keeps most of the airlines afloat.....................surely they should be allowed to sink and then asset stripped? Or is it one rule for USA and another for the rest of the World?

Emirates is a good airline that has coped with phenomenal growth very well. I hope that the airline continues to grow and continues to provide service levels at the top of the merit table.


No I don't work for them...............................

[wizard1]

Its wearying to read so much bad stuff about EK. I have done 13 years here and they have treated me well. Although the benefits don't compare to some of the legacy carriers I feel well paid and in general fairly well supported by the infrastructure. The crew are great to work with, the crew hotels are on par with anything else on offer and the business model is sucessful. In the current economic environment there is no one else I would rather be employed by. I believe EK will use this time to increase market share (one of the few airlines that can afford to do so). If the government have sold a bit of it so what. Give them some credit.

Bring it on and happy new year

[fatbus]

I think it has nothing to do with the airline but more to do with dubai gov. you will always have the doomers and those that got rejected jumping on the band wagon

[Schibulsky]

...the business model is sucessful...
Thats what the gold digger said when he found his first nugget!!
Wait till the EK "management" is tested for real by the international depression...so far any dummy could have run the show with the money in the background, the location and the region booming! IMHO the only dept up to speed is PR!!
Good luck!!!

[halas]

IMHO the only dept up to speed is PR!!


Comparing the finding of a gold nugget and establishing a global airline that has been (reportadly) profitable over 25 years is the most useless anology l have heard to date.

I have been here over seven years and have been payed a bonus every year, had a pay rise every year earnt a command and live in quality company accommodation (But after four moves it needed to be good!), kids in quality schooling and enjoy ID travel.
This time frame included Iraq II, SARS, Bird Flu and the rise and fall of the Taliban, and still this comapany run by "dummies" turned a profit.

Far from it for me to blow wind up the company arse, but honestly, what are infering?

Yes the world is turning to ****, but tell me where there will be a better place to ride it out? And who cares who the owner is? Do we really know who owns it now? As long as my pay ends up in the (Still operating) bank, I'm sweet with that.

Is dispatch that badly run? Must admit l could roll a few stories off the top of my head but l am sure you would have a dozen more for each one l told ;)

halas

[disconnected]

Let's not confuse Dubai and EK.

EK has provided salary, bonus, leave etc as they promised. It has grown and we fly good equipment to good destinations. It is bound to suffer in this financial tsunami that has seen many airlines and businesses collapse and put their employees on the street.

As long as EK has been sensible with its cash reserves made in good times and has not distributred them all by way of shareholder dividend, they are in a good position as a company.

Dubai is another story however. A highly overleveraged "company" that now has no cash. More worryingly they seem to be doing little to manage the problem. Like the rest of the world they should be lowering interest rates to stimulate their property and equity markets. I suspect they are terrified that if they lower rates even more cash will flow out of the country. In essence they have created a carry trade on the Dirham but anyone living here will pay for this as the cost of money is artificially high.

They also seem to be taking a line that will try to claw back whatever they can from the pockets of the population. This is bound to backfire. If Dubai is overpriced people simpy leave. After all they only came here for the money. There is no national interest from a majority that have unequal rights and are not allowed to call the place home.

The Dubai that was cheap, well paid, underpopulated and easy has disappeared. This model is what attracted people in the first place. Now that other places are cheaper, protected etc. the flow is out of Dubai which will simply exaggerate their problems.

Property prices will continue to drop, along with the values of Dubai companies. Retailers will collapse as workers of all incomes go home. A viscous spiral will develop and those remaining will be left to pick up the tab as officials seek ways to cultivate cash flow.

The premise that Dubai would be well positioned to ride out the financial troubles has been proven horribly wrong. There appears to be denial in facing the facts and taking fast, decisive action.

I believe EK will survive. Its a good company. Who actually gets to own it remains to be seen.

[Schibulsky]

halas
how to run profitable for over 25years when first flight was 1985???
Just math...nothing to do with the topic.
Finding the prerequisites like in Duabi to found an airline...pure luck! (like finding a nugget).
With that money in the background it did not need a rocket scientist to do it!
The whole crises were just sat out because of the financial background, or did I miss the ingenious ideas of EK that sets them apart from all other Airlines at that time??
And that money is now running out...lets see whats next.
And please do not take your personal position as a captain as an indicator for the success of a company, just ask the guys who load your plane!
Their salary won't pay the a/c bill for your quality company accommodation!
Paying the basic staff from the subcontinant **** wages...great management skills!!
Finally...hitting on someones profession when you do not like his opinion ...classy!!:D

[halas]

There was a smiley face following the dispatcher comment, or were you too "overly sensitive" to notice it? After all this is a professional pilots rumor network. :)

My profession is no barometer of the success of any business. Having been made redundant four times and several more lean years in the past is indicative of that. But l got over it.

Those who load the planes have my respect, as do dispatchers, but ultimately no one held a gun at their/your heads to accept T&C and pay and a job at EK. And they certainly do not pay me enough to worry about who owns this outfit and where it is headed.
Leading up to my last redundancy was a concern for me and my family. But we got over it

Have seen your type on here before for many years and will see more in the future. All hyperbole over something that ultimately you have no control over and that no-one really cares about. Get over it.

disconnected

Couldn't agree with you more. I did mean here in EK than rather than inferring DXB.

halas

[schismatic]

Quote:
"When the enemy is weakened it's time to attack. Wise words of a Chinese General."

Never heard of this Chinese General or his "wise words"

I have however heard wiser advice:

"Don't bite the hand that feeds you."

Let's not get things out of context.....

[subsonic69]

a lot would change. Abu Dhabi wants Etihad to be the PRIME flag carrier of the UAE not Emirates from Dubai. They do have business ties but the Sheik wants Etihad to be the one since it started from Abu Dhabi the capital of that country. Give em 10-20 years. and after that, we will know the difference.

[shazar]

I think the transfer of Emirates to Investment Corporation of Dubai (ICD) is for granting more financial security measures to the airline through more intensified coordinated strategies of the owners. This ultimately ensures constant growth of profit margins. I think the action also strengthens position of the sovereign fund, in terms of merits and credit ratings and perhaps for future diversification of investment portfolio.

Based on news reports, Dubai government grants enormous prop-up and unlimited financial, operational and political monopoly policies to Emirates, which explains fraction of the remarkable growth and success of the airline. If I am not mistaken, Qanatas is an extreme critic to Emirates in this respect. When the Gulf region witnessed growing number of airlines, inclusive of economic class, Dubai reacted by establishing another economic-based airline “Fly Dubai” rather than allowing private sector to run part of the show! An Action predicted more than 4 years ago by MEED.

Dubai does not have anti-monopoly legislations in place to allow and organise fair competition. It employs high sovereign risk ratings and financial protection against losses to Emirates and other public-owned companies. This extends to real estates and banking sectors too. Saying that Emirates possesses good business model is perhaps true, but it depends on the yard sticks and basis of operation. Does the model operate independently or through government monopoly and support?! monopoly does not yield strong companies because smart people always far ahead.

Thank you all

[Schibulsky]

Halas
Sorry, I really missed the smiley, makes a lot of difference ;)

Just some minor corrections:
I am not overly sensitive, I actually dont give a f@ck, nothing to get over with, gonna leave anyway :p
And maybe because I was never made redundant in my live and I always changed my jobs because I wanted to, I am not hyperbole at all. Came to EK just for the experience, and what an experience it was :eek:

Hunger and Poverty in their home country was "a gun to the head" for the thousands of Dubai's "slaves" and is a big part of this "business model" :yuk:

Back to the core issue:
Still missing your point why EK management is so much better then others! shazar pretty much sums it up.:ok:
They "own" the GCAA, never have to cope with Unions, real regional competition, share holders demands, environmental restrictions, limited financial sources, night curfews at their base, risk of take-overs, monopoly regulations, oversight by independant financial audits, basically all the problems other airline managements face all the time!!!
:confused:

[halas]

I think you have summed it up beautifully in your last paragragh.
All the things they don't have to face may well be their saviour.

I am aware that conditions 'back home' are worse than what many are facing here, as "slaves" as you put it (and l agree), however l too would be back home if conditions were better. And they are not. And will not be for a long time. So with no hesitation l am committed to this company for a little while yet.

With an endevour to meet JAA regs l would like to think that the GCAA are a little better than a puppet to EK, or EY now (but secretly, l don't believe it), however l think they are more a means to and end rather than the other way 'round.

I do wish you well for your future career / ideals and hope the next organization you work for is better than this mob.

I on the other hand have few options other than give this career up and do something else. And for what little l do now, thats not an option:).

halas

[Schibulsky]

Halas
You are right, I consider myself lucky (or well qualified ;)) to have that option.
But most have not and the management is going to take advantage of it.
Not with me, I got enough of this :mad: circus!
Wish you good luck for the future.:ok:
Cheers

[You rock]

great post my only thoughts were to the spelling of quantus

[sec 3]

You should be ashamed of yourself YOU, an ozzie who can't spell Qantas:confused:

[Warbirds]

Who is Qantas? :E

[fliion]

Shibulsky,

I, along with everyone else, is looking forward to hearing where and what airline you are sailing off to on the horizon.

Air Nirvana perhaps...where the dispatchers and caterers and baggage handlers are all picked up in Audi's from their compounds...prey tell where art tho'...oh airline of the promised land...you Sir shall lead...and we all shall follow..

If however you are leaving for a life of lazy retirement overlooking the azure waters is some exotic locale...care to tell us what employer...funded your glorious 19th hole?

C'mon don't be shy

f.

[Wizofoz]

....And, of course, if he had a Maid or a Gardener here, he was sure to pay them first world wages, medical, provident fund etc.......

[Schibulsky]

Hi all you curious guys out there...:)
I am going to live in one of my properties on the the "Island of the Gods". If you dont know it :confused: Google it!
And to keep my brain busy, I will most probably pass on my experience of over 30 years in flying, ATC, Flight Dispatch and Operations Control as a freelance teacher for the largest Navigation Service provider.
And yes I promise not to exploit my countless servants...
I sincerely wish all you guys still in the treadmills of aviation the best for the hard times to come:ok:
Dont be envious...its a tough live on the beach :cool:
Cheers
P.S. will also try to teach the Ozzy tourists to give some tip when buying a cheap beer or meal;)

[Berniman]

Well... will see whats going on...:)

[kennedy]

Ahhh, QANTAS

Queers and Nypmomanics Training As Stewards