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-   -   Open Skies Report - EK/QR/EY - Interesting Read (https://www.pprune.org/middle-east/557637-open-skies-report-ek-qr-ey-interesting-read.html)

sheiken around 5th Mar 2015 19:35

Open Skies Report - EK/QR/EY - Interesting Read
 
Click on the link below for more info...






Partnership for Open and Fair Skies

Calmcavok 5th Mar 2015 20:53


The three carriers’ routes to the U.S. have not meaningfully increased passenger traffic; they only serve to displace U.S. airline market share and shift good U.S. aviation jobs overseas. In fact, every lost international roundtrip route by U.S. carriers because of this subsidized competition equals a net loss of more than 800 U.S. jobs.
I'm not an apologist for the ME3, but the above argument is absurd! The 3 US carriers have no meaningful routes in competition with the ME3. At best it can be construed that they're out to protect their European/Asian codeshare partners, and their routes to those connections. Chapter 11 did a fair amount of damage to European airlines post 9/11 - the Ch.11 issue has been convienintly ignored.

LHR Rain 6th Mar 2015 02:52

The U.S. carriers don't compete on routes because the simple fact is they can't compete. The labour costs alone will stop any legacy carrier from going head to head with the middle east airlines.

JuniorMan 6th Mar 2015 05:42

Lower labor costs, lower to no taxes, zero interest financing, state-of-the-art facilities built and paid for by the government. The US3 have absolutely no chance. Anyone considering leaving EK for a career at the US3 should think twice.

ExXB 6th Mar 2015 08:21

I didn't see it mentioned but don't EK/EY/QR take advantage of US EXIM bank financing, something that US (and EU) airlines are forbidden to do?

So the US government and US taxpayer are also subsidising these airlines. While the motivation may be to help Boeing (As in B vs. A), it's another subsidy.

uba737 6th Mar 2015 12:53

Actually, the EU Airlines from France, Spain, UK and Germany are not allowed to get the loans, all other countries in the EU are.

Iver 6th Mar 2015 15:07

This is a hilarious argument from the US carriers and their Euro partners. They are clearly running scared.

Two questions to consider showing examples of connecting-traffic hypocracy:

1. What proportion of KLM passengers are actual O&D passengers to/from AMS? Not a lot as quite a few are connecting to places outside of the Netherlands.

2. Do the big 3 US carriers turn down connecting traffic in Atlanta/Chicago/Dallas for passengers flying between Asia and Latin America? No.

paokara 7th Mar 2015 01:57

Let's see what happens boys and girls lets see

QCM 7th Mar 2015 03:53

US economy is also fed when ME3 buy large amounts of Boeings...

swh 7th Mar 2015 05:09


I didn't see it mentioned but don't EK/EY/QR take advantage of US EXIM bank financing, something that US (and EU) airlines are forbidden to do?
All of the US carriers are getting export financing on the regional jets from Brazil and Canada, nothing stopping them from getting export financing for Airbus aircraft or RR engines.

US carriers cannot get EX-IM finance, as being a domestic airline, it is not being exported.

Schnowzer 7th Mar 2015 06:54

Last desperate act of the Chapter 11 three. Can't compete due crap product, have stolen money from their employees and dumped costs to the PBGC so have a whine to the government. Let's bring back BOAC, Pan Am and props!

Interesting article:

Court approves termination of United Airlines pension plans - World Socialist Web Site


In a devastating blow to 122,000 workers and retirees, a federal bankruptcy judge ruled May 11 that United Airlines may default on its pension obligations and turn over control of its pension funds to a federal agency that is already swamped by corporate pension defaults. Judge Eugene Wedoff approved the airline management’s request to terminate four pension plans—for pilots, flight attendants, mechanics and other ground service workers. The $9.8 billion pension plan default is the largest in US history.

The Pension Benefit Guaranty Corporation will take over the plans, but federal regulations limit the amount of pension payments it can make to a maximum of about $45,000 a year. The highest paid UAL workers, such as pilots, will face pension cuts of up to 50 percent, while lower-paid workers could lose as much as 20 percent. The pilots face a Catch 22: under one federal law, they are not allowed to work after age 60; under another, the proportion of their pension guaranteed by the PBGC is sharply reduced if they retire “early,” i.e., before age 65.

The actual amount the PBGC will underwrite is likely to be even less than the $45,000 maximum, since the agency’s resources will be exhausted within a few years by a tidal wave of corporate pension fund defaults. The initial round of defaults, notably in the steel and airline industries, has already put the agency $23 billion in deficit; the United default will add another $6.6 billion in pension liabilities to the PBGC’s balance sheet. United will give the agency $1.5 billion in notes and company stock to partially offset the pension liabilities, but these securities will be worthless in the event the airline is forced into liquidation.

The difference between the $9.8 billion United owes and the $6.6 billion obligation assumed by the PBGC is $3.2 billion. This staggering sum, owed to present and future retirees under the terms of their contracts, is simply wiped out. It is the equivalent of robbing each and every pilot, flight attendant and mechanic of $267,000—although for some younger United workers, especially pilots, the individual loss will be far greater.
That covers 10 of the 40 Billion, what makes these 3 so special that Open Skies doesn't apply!

Airline bankruptcies in the United States - Wikipedia, the free encyclopedia

Emirates brand:

http://newsavia.com/wp-content/uploa...380-900pxi.jpg


Versus - Get your own peanuts!!

go46ball 7th Mar 2015 07:03

I see 7 VAGINA's pictured above! :ok:

Schnowzer 7th Mar 2015 07:47

Such a sad comment:ok:

nolimitholdem 7th Mar 2015 08:12

That image is more how EK tries to PORTRAY the brand. It does not remotely resemble the reality of the "brand". Any more than the glib "get your own peanuts" line can describe all US carriers. The EK service has slipped a great deal, and fast - it's no secret, and no surprise, given the rapidly deteriorating working conditions. At the same the legacy carriers have been forced to up their game. No, they'll probably never get to the same level of "service", what with all those pesky labour laws and legal rights of their staff.

We get it, you have a hate on for the US carriers. Why? Who cares. But when I see marketing propaganda like you posted, I think more about the reality of crew pushed to the absolute limit and beyond. A link to the story of the poor soul who recently took her own life in al Nadha would be more appropriate than smiley shiny girls.

Fortunately the word is getting out about the truth of EK as a company and employer. All empires eventually crumble.

Schnowzer 7th Mar 2015 12:08


We get it, you have a hate on for the US carriers. Why? Who cares.
Nothing could be further from the truth!

This thread is about unfair competition and subsidies. The Big 3 US carriers struggled due to the ridiculous attitude of some of the Unions. They had been unable to compete at home and shedding jobs to the feeder carrier network has led directly to the race to the bottom in the US. But the Big 3 US carriers claiming the moral high ground is ridiculous when they have benefitted by transferring debt and pensions to the government and claim they were not subsidised. At the drop of the hat they fire (sorry furlough) employees to save cash.

I agree that the ME3 do get some subsidies but lumping Qatar and Emirates together is ludicrous. Qatar is the richest nation in the world and buys everything including passenger traffic to support Qatar Airways. Emirates financially supports Dubai.

If we want to see the root cause, just maybe it lies here:


Rick Dubinsky, longtime head of the AirLine Pilots Association at United, made this clear when he and Goodwin began a recent wage negotiation. ''We don't want to kill the golden goose,'' Dubinsky told Goodwin. ''We just want to choke it by the neck until it gives us every last egg.''


All of that said, USA Inc must be onto a massive winner based on the 500 Plus Boeings being procured.

paokara 7th Mar 2015 20:57

Those 6 flight attendants quit already please update your picture

Germany France and Canada said no more routes
USA will do the same


Boeing statement?

You can convert the 777 s to military equipment that you will need to protect yourselves from ISIS


PS don't worry you will have enough attrition that you will have the chance to INTERVIEW for a command upgrade, just try to pass the drilling if not? No problem more direct entry command positions will be created

Metro man 8th Mar 2015 00:56

Possibly Qatar and the UAE looked at US agriculture to learn about subsidies, cheap labour, protected markets and favourable government regulation.

It's perfectly alright when other countries can't compete against United States farmers but not acceptable when U.S. airlines can't compete against a better and cheaper competitor.

cerbus 8th Mar 2015 04:48

Are there any farmers in the UAE? If so I haven't seen any farms much less any cows, pigs, or chickens.

donpizmeov 8th Mar 2015 05:51

Where does your milk come from Cerbus? I think Metro was thinking more global than just the UAE.

Schnowzer 8th Mar 2015 06:06

Hidden in plain site it's like Area 51.

Next time you are downwind 30R in the daytime you are flying over about 10,000 cows. They have little sun-shelters in Al Kwahneej. It surprised the crap out of me when I got lost coming back free Nav from Sharjah and ended up at the Al Rawabi farm.

Loads of chickens too, 50,000 tons or so and a hell of a lot of eggs (had to google that one). Most of the farms are indoor, you see them all over the place, even the reservoirs that supply them are covered, that ultra low building on the 30 approach is a reservoir.

Now pigs......ok you got me on that one but I hear the subsidies offered by the Government are amazing!


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