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Fri 15 Jan 2016 01:37 AM

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German court allows Etihad to continue most Air Berlin codeshares

Appeals court rules that Abu Dhabi carrier can continue agreement for 26 routes, rejects request on five others

German court allows Etihad to continue most Air Berlin codeshares

Gulf airline Etihad said a German court ruling announced late on Thursday meant it expected to receive approval for its codeshare routes with Air Berlin in the future.

An appeals court in Germany on Thursday allowed Abu Dhabi-based Etihad to continue 26 of its 31 disputed codeshare flights with Air Berlin for the winter schedule ending in March, citing a bilateral agreement struck between Germany and Abu Dhabi of the UAE in 2000.

"The court's interpretation of the UAE-Germany Air Services Agreement also means that Etihad Airways will be able to continue with all those codeshares beyond the winter schedule," Etihad, which owns 29 percent of Air Berlin, said in a statement on Friday.

Germany had previously approved the disputed codeshares but said in August 2014 it would not continue to approve them because it believed they were not covered by the bilateral agreement, prompting months of wrangling.

The court decision is good news for loss-making Air Berlin, because the codeshares, which allow Etihad to sell tickets for flights operated by the German carrier, bring it additional passengers to fill its planes and boost its sales.

Air Berlin Chief Executive Stefan Pichler said the carrier was "delighted" with the decision.

"Based on this decisive ruling, Air Berlin and Etihad Airways can face the future optimistically and will continue to grow their partnership in a sustainable manner," he added.

The German transport ministry will review the court's decision and reasoning before deciding on how to proceed, a spokesman said on Friday. It reiterated it was open for talks with the UAE on the traffic agreement.

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