Etihad Airlines Considers Takeover of Air Berlin

Source : Aviation Week

"Etihad Airways could acquire Europe's third largest low-fare airline, Air Berlin, a move that would lead to an entirely new business model of airline combinations. Industry sources note that Etihad has been exploring the merits of the idea for weeks, looking at how such a takeover could be implemented and how networks would have to be realigned for the deal to make commercial sense. Those sources indicate that Etihad isn't at a decision-making stage and that the in-depth studies haven't been presented to its board of directors. CEO James Hogan declined to comment, though the company posted a boilerplate response: "As a matter of principle we don't comment on rumors and speculation." An Air Berlin representative said he was unaware of any such plans." Next.