Aviation News Item: 00123

16th Nov 2009

Source: ubmaviationnews.com

Etihad Airways has announced a package of deals worth a collective $750m, but has confirmed that it will not be announcing any aircraft orders. Announcements at the Dubai Airshow today (November 16) include a $200m contract with International Aero Engines for the overhaul and repair of 14 of Etihad's existing narrowbody aircraft. Additionally, the carrier has signed with Lufthansa Technic to install a new first class suite comprising updated cabins and galleys and a new in-flight system by the end of 2010. Abu Dhabi Technologies (ADAT) will upgrade Etihad's 777 and A320 fleet with the Panasonic EX system and reconfiguration of economy class seats. Also announced at the show is a component support deal worth $250m with SR Technics, which will give the airline access to over 3,000 aircraft components. Lufthansa Systems will provide a new flight planning system, which should cut fuel costs by up to five per cent. Kronois Incorporated, a workforce management software provider, will provide a planning software system for Etihad's 4,000 onboard staff. Speaking at the press announcement, James Hogan, CEO of Etihad, reminded: "We're still going through a maturity curve," hence its need to push back its breakeven target from 2010 to 2011. Although revenues have been affected by the recession, Hogan said that cargo tonnage and revenue is "moving back" and that advance sales for January to December's premium seats is "much higher".

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