Middle East Airlines-Air Liban (MEA) announced (19-Jan-2011) it would sign an agreement on 28-Feb-2011 to officially launch the process of joining SkyTeam in 2012. Welcoming MEA to become a full member is a "significant step" towards enhancing the global network of the alliance and coincides with SkyTeam actively working to strengthen its presence in the Middle East. MEA's entry into the alliance will provide increased access to/from the Middle East and western Africa. Over the past 12 months, the alliance has added a number of carriers as new members. In 2010, China Eastern and subsidiary Shanghai Airlines, China Airlines, Garuda Indonesia and Aerolíneas Argentinas all confirmed their future membership in SkyTeam. In Jan-2011, Saudi Arabian Airlines was the first member from the Middle East to announce its membership. [more]
SkyTeam to welcome Middle East Airlines as future member
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SkyTeam overlaps extensively with Etihad
The second largest of the three alliances overall, but the largest by domestic seats, SkyTeam has a particular strength in Northeast Asia and is the only one of the three alliances to include a cargo alliance. Its North Atlantic joint venture is to some extent complemented by SkyTeam member Delta’s JV with Virgin Atlantic.
Lufthansa and Etihad: equity tie up could further align mutual strategy, but marriage unlikely
Greater cooperation between Lufthansa and Etihad reflects their local and global challenges growing in quantity and complexity. Contact between the two has led to speculation that the partnership could radically expand to include an equity tie up, with rumoured merger talks.
Their initial Dec-2016 codeshare announcement was, in practical terms, small but showed the possibility, as they stated, to expand cooperation. However, it would be a leap to go from their handful of codeshares to a 17-Jan-2017 article from Italian daily newspaper Il Messaggero that Etihad could invest in Lufthansa on the way to a possible merger between the two. A subsequent denial in a Reuters story that "A financial stake is out of the question at the moment", does little to dispel the rumour. Were it not for the last three words of that statement the rumour would lack credibility.
There is certainly logic for a deeper partnership - and the two have danced this waltz before. Equity involvement from airlines can cement partnerships, add to board influence and partially allow one side to gain financially from any matter it feels it is compromising away. Nevertheless, there are obstacles to a full blown merger, and even to Etihad's taking a 30% to 40% stake. A marriage between the new bedfellows does not seem an immediate prospect. Nonetheless the logic is there for a move; and the mere fact of a potential move is sufficient to rock the equilibrium.