Google+ Followers

Thursday, 22 June 2017

Qatar Seeks 10% of American Air, Escalating ‘Open Skies’ Battle - Bloomberg

Qatar Seeks 10% of American Air, Escalating ‘Open Skies’ Battle - Bloomberg:

"Only weeks after President Donald Trump accused Qatar of funding terrorism, the nation’s flagship airline has made a surprise overture to acquire a major stake in American Airlines.

The move represents a startling turn in a running battle between U.S. carriers and their Persian Gulf rivals, which U.S. airline executives say have unfair advantages because of deep government subsidies. It also comes against the backdrop of renewed efforts by the Trump administration to mediate the simmering crisis between Qatar and some of the closest U.S. allies in the region, notably Saudi Arabia.

Qatar Airways Ltd. is interested in acquiring about 10 percent of American, the U.S. company said in a filing. That would put the state-owned Mideast airline on par with Warren Buffett’s Berkshire Hathaway Inc. among shareholders of the world’s largest carrier. It would also require approval by the board of American Airlines Group Inc. -- a step that is by no means guaranteed given the U.S. company’s vocal efforts to level the playing field in global aviation under so-called Open Skies agreements."



'via Blog this'