History Etihad Airways was established as the national airline of the United Arab Emirates in July 2003 by a royal decree, issued by Sheikh Khalifa bin Zayed Al Nahyan. It started with an initial paid-up capital of AED500 million. Services were launched with a ceremonial flight to Al Ain on November 5, 2003, and on November 12, 2003, Etihad started commercial operations with the launch of services to Beirut. In the months that followed, almost one new route was added per month. In 2007 Etihad carried more than 4.6 million passengers, compared to 2.8 million in 2006.
In June 2004 the airline flew the first direct flight from the UAE to Geneva followed by Brussels and Toronto in October 2005.
Performance
The airline has not made a profit since its inception, but expects to by 2010. Growth has never fallen below 40% a year. In its first 4 years, it doubled in size every 6 months, and has every year since.
In the financial year 2008, Etihad carried 4.6 million passengers and 330,000 tonnes of cargo. International Air Transport Association (IATA) statistics indicate that in 2007 Etihad ranked among the top-ten airlines in the world in terms of growth since its inception in 2003.
Cargo
Etihad Crystal Cargo is Etihad's cargo division, operating three A300-600F cargo aircraft. It started operations in September 2004 and has since flown the first commercial cargo flight between Abu Dhabi International Airport and Frankfurt Airport.
Etihad Crystal Cargo is expected to double its turnover of AED361.50 million (US$98.5 million) in 2005 to over AED734 million (US$200 million) in 2006. Crystal handled 115,000 tonnes of cargo in 2005, about 50 per cent of the cargo uplifted from Abu Dhabi Airport. Etihad’s new facility at Abu Dhabi Airport will be equipped to handle more than 500,000 tonnes annually. New aircraft, particularly the Airbus A330-200F and Boeing 777F, will play a role in cargo expansion. Etihad has reached an agreement with World Airways to provide additional uplift.
Awards
Etihad Airways has received over 30 awards since its inauguration in 2003. It has a four star ranking by Skytrax.
Incidents and accidents
On 15 November 2007 an Airbus A340-600, due to be delivered to Etihad, ran into a concrete blast fence during an engine test at the Airbus factory at Toulouse Blagnac International Airport. The cause was the aircraft not being chocked, and the crew not following test procedures. At least five people were injured, there were no fatalities. The aircraft was written off.The aircraft involved was F-WWCJ.
Cabin
Etihad has three travel classes, First class or Diamond Zone, business class (Pearl Zone) and economy class (Coral Zone). Pearl Zone and Coral Zone are available on all of Etihad's aircraft, whereas Diamond Zone is only fitted on select aircraft depending on the routes served. Personal LCD screens are fitted as standard in all classes.
In-flight entertainment
For in-flight entertainment, Etihad uses an AVOD (audio-video on demand) system on its new long-range aircraft. Newer additions to the fleet, as well as some older planes, feature a Plug-And-Play system, which works on USB technology, that allow passengers to play their own audio and video media. Some aircraft have in-flight telephony.
Etihad Guest
Etihad Guest is the airline's frequent flyer program, launched August 30, 2006. It features a discount web shop for loyalty program members and a platform for merchants to log into to manage their products.
Etihad is not part of any airline alliance, but has a partnership agreement with Brussels Airlines, Oman Air and Jet Airways.
Company data & management structure
Etihad's passenger numbers reached more than 4 million in 2007. Etihad currently has 6,300 members of staff which includes more than 3,000 cabin crew and 600 pilots.
Board of directors
Etihad is governed by a board of directors under the chairmanship of HH Dr SH Ahmed Bin Saif Al Nahyan and operates in terms of its founding legislation and the Article of Association of the Company. The Board consists of seven independent non-executive members and has two sub-committees, being an Executive Committee and an Audit Committee, each with its own charter and chairman.
Management team
The airline is led by James Hogan (formerly CEO of Gulf Air) who was appointed as Chief Executive Officer in October 2006.
Corporate sponsorship
Etihad is a sponsor of UAE sports clubs, including the Abu Dhabi Rugby Union Football Club, the Abu Dhabi International Sailing School and the Abu Dhabi International Marine Sports Club (ADIMSC), as well as the Al-Jazira Club.
For the 2007 season, Etihad was one of the title sponsors for the Etihad Aldar Spyker F1 Team. Because the team was purchased by the chairman of another airline (Vijay Mallya, of Kingfisher Airlines), Etihad switched to Scuderia Ferrari from 2008 onwards.
On July 30, 2007 it was announced that Etihad Airways would become the main sponsor of Harlequins rugby club and Harlequins Rugby League club (UK). The sponsorship also includes renaming the East Stand at the Twickenham Stoop Stadium (the home of Harlequins) to the Etihad Stand. Etihad's logo was painted on the roof of the stand which is directly under the flight path to London Heathrow Airport.
In September 2007 Etihad announced that they had signed a three-year contract to serve as sponsor and official airline of the Chelsea F.C..
On December 18, 2007 Etihad announced that they would become the title sponsor for the 2009 Abu Dhabi Grand Prix to be held on Yas Island.
On March 19, 2008 it was announced that Etihad Airways would become a main sponsor for the All-Ireland Senior Hurling Championship from 2008-10.
In October 2008, it was announced that Etihad will take over sponsorship of the Docklands Stadium in Melbourne (previously known as the Telstra Dome) and it will become known as Etihad Stadium.
In December 2008, it was also announced that Etihad would be the official sponsor of Manchester City Football Club.
Controversy
On April 27, 2007 two Australian businessmen gained international notoriety after behaving badly aboard an Etihad flight to Abu Dhabi.The two mining executives were accused of being drunk, stripping naked and offering flight attendants money for sex. The pair were detained in an Abu Dhabi prison for six weeks, telling news reporters they were treated inhumanely and were forced to live off "fermented camel meat".The men were eventually convicted of sexual harassment, given suspended jail sentences, and deported from the United Arab Emirates.They were also fined 1,000 Dirhams for drinking alcohol aboard an Etihad flight without a liquor permit. The Australians later vowed to sue Etihad Airways. The men were later dropped from the board of directors of the mining company they represented.
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