Etihad Airways won an injunction from a German court on Friday allowing it to continue operating all its code-share flights with Air Berlin to 29 destinations in Europe, the U.S. and the United Arab Emirates. The Abu Dhabi-based carrier filed for the injunction earlier in the day, saying it couldn’t wait any longer for the German government to decide whether or not to approve the code-share agreement as expiration of temporary service rights approached. Germany’s Federal Ministry of Transport and Digital Infrastructure has still not approved Etihad Airways’ code-sharing agreements for services during the IATA winter 2015/2016 schedule, which begins October 25. Etihad said it had already booked more than 82,000 passenger trips during the period.
Although the injunction lasts until November 8, the German government said the two carriers could continue their cooperation until January 15, giving it another 11 weeks to resolve differences with the UAE over what Etihad characterized as a unilateral change of opinion in 2014 by Germany’s Ministry of Transport concerning the code-share provisions of their bilateral air services agreement. Since 2012, Germany’s civil aviation authority, the LBA, and the Ministry of Transport have approved seven Etihad Airways schedules, including all of its code shares with Air Berlin, on the basis of the Air Services Agreement signed by the UAE and Germany in March 1994 and the Agreed Minutes and Revised Route Schedule signed in June 2000, said the airline. This year, however, the German government decided the bilateral agreement between the UAE and Germany did not cover Air Berlin's code-share flights with Etihad.
“The failure by the German government to approve the code shares in time would severely, and possibly terminally, damage Air Berlin, Germany’s second-largest airline, of which Etihad Airways owns 29.2 percent,” said Etihad CEO James Hogan. “The code-share routes in question, including flights to our hub in Abu Dhabi, were among 65 previously approved by Germany’s civil aviation authority, the LBA, and a key reason that we invested in Air Berlin.”
Apart from the damage revoking Etihad's code-share rights with Air Berlin would cause the airlines, Hogan highlighted the potential social and economic consequences to Germany. "By suddenly disallowing established and legitimate code-share flights, the government will endanger the jobs of 8,000 people directly employed by Air Berlin, and many more jobs provided by the airline’s suppliers and business partners in affected destinations,” he said.
“Connectivity will be lost or diminished to a range of destinations throughout the Middle East, Indian sub-continent, Asia and Australia, as these code share flights are directly linked to Etihad Airways’ services beyond Abu Dhabi...Business people, tourists and families traveling between these destinations and Germany will be faced with less choice and higher costs,” concluded Hogan.
UUpdated to take account of German government's January 15 deadline and add further quotes by James Hogan