Etihad scores double digit growth in 2010

Abu Dhabi: Abu Dhabi-based Etihad Airways said Tuesday it experienced double digit growth in the first half of 2010, with passenger numbers rising 11 per cent.

"The growth in passenger numbers to almost 3.3 million was accompanied by a rise in seat factors from 71.5 per cent to 72.5 per cent. There was also a 21.6 per cent increase in cargo tonnage carried during the quarter, with revenues up by 59 per cent," Etihad said in a statement.

The airline reduced its cost per available seat per kilometre by four per cent in the first six months ended June 30.

"The improvements were seen despite the difficulties caused by the volcanic ash which covered Europe's air routes in April, causing severe disruption to air travel during the month. The figures mark Etihad's best first-half performance and signal a return to strong passenger and cargo growth, following the impacts of the global econ-omic recession," it added.

Highlight

The highlight of the second quarter included the establishment of non-stop flights from Abu Dhabi to Tokyo and the launch of new non-stop services to Baghdad and Erbil.

"Despite the continuing economic challenges faced by all airlines, our investment in infrastructure and in our service offer is paying off, said James Hogan, Etihad Airways chief executive officer.

"Looking forward, the trends are promising, with forward bookings on an upward trajectory. We are also seeing signs of improvements in premium traffic. With this continued improvement in our passenger and cargo traffic, particularly in the premium cabins, we are confident of meeting our targets," he said.

Etihad will operate 1,032 flights a week this summer, a 16 per cent rise compared to 888 weekly flights operated during the same season in 2009.

Hogan at the Farnborough air show reiterated Etihad's stated position that the airline is hoping to break even in 2011.

Etihad Airways and Airbus participated in a handover ceremony at Farnborough event yesterday, celebrating the first A330-200 freighter aircraft to be produced.

Etihad is the launch customer of the A330-200 freighter, which will enter service for Etihad's cargo business, Etihad Crystal Cargo, in September.

Etihad's A330-200 freighter — which can carry up to 64 metric tonnes of cargo and can fly up to 7,400 kilometres non-stop — will allow the airline's cargo business to increase frequencies and build its presence in the high-growth European and Asian freight markets, in particular China.

The handover ceremony was addressed by Hogan and Airbus President and CEO Tom Enders. Hogan said he was delighted to welcome the A330-200 freighter to the Etihad Crystal Cargo fleet.

"Etihad Crystal Cargo has been performing very well. Over the last quarter there was an 18 per cent increase in cargo tonnage carried. We are focused on taking the right steps to achieve strong expansion and growth," he said.

By the end of 2010, Etihad will be flying to 63 destinations and have a fleet of 55 aircraft. By 2020, the airline plans to have 153 aircraft in its fleet. Etihad is aiming to fly 25 million passengers a year by 2020 and expand its network to up to 100 destinations.

Service to Seoul soon

Etihad Airways has announced it will commence operations to the South Korean capita Seoul on December 12. Seoul will become the 65th destination on Etihad's network.

Etihad will operate a daily return service to Seoul's Incheon Airport from its home base in Abu Dhabi, operating Airbus A330-200 aircraft on the route. The Etihad aircraft will be configured with three cabins, offering 2,800 seats each week to and from Seoul.

James Hogan, Etihad Airways Chief Executive Officer, said: "South Korea is emerging as a key partner for the UAE, and the decision to commence services to Seoul reflects this strengthening partnership. Over the past two years, Korean business has been building a strong presence in the UAE, particularly in the clean energy sector, construction, technology and small to medium enterprises.

"We expect the increasing trade relations between the two countries will lead to growing numbers of business travellers."