Royal Jordanian Airlines is spearheading efforts to link carriers in the Middle East region to the main global alliances with a commitment to join oneworld.
Under an agreement with oneworld, through sponsorship by British Airways, Amman-based Royal Jordanian is to become the first Arab carrier to join a major airline group, two years after IATA encouraged airlines in the Middle East to explore alliance tie-ups.
Royal Jordanian will be a full oneworld member by the turn of 2006-07, adding ten destinations to the group’s network and giving member carriers access to Yemen and Iraq.
Its commitment means the airline will be the alliance’s first new member in about five years. Oneworld has been cautious not to expand too quickly, preferring to ensure that its existing framework remained stable. It claims to be the most profitable of the three groups with a collective net surplus of $1.3 billion in 2004.
Oneworld has only one carrier, affiliate British Mediterranean Airways, serving the Jordanian market while Royal Jordanian has bilateral agreements with just a single oneworld member, Iberia.
In contrast the Jordanian operator has several links with the Star Alliance, including codeshares with Austrian Airlines, Thai Airways International and a newly-forged codeshare pact with America West Airlines – now merged with Star member US Airways.
Royal Jordanian chief executive Samer Majali says that these agreements will stay in place. “If we wish to co-operate with carriers outside of oneworld then it’s no problem for them,” he states. “That’s one of the reasons we chose oneworld. We thought the fit was good, it’s open and liberal, and it allows carriers to remain independent. That’s a primary reason why we accepted.”
He adds that oneworld sees strong potential in Royal Jordanian’s plans to develop a strong regional network and make heavy investments in such areas as information technology, electronic ticketing, passenger service and frequent-flyer programmes.
“It’s as if the oneworld and Royal Jordanian strategies have come together,” he says.
Oneworld governing board chairman Fernando Conte indicates that the alliance is preparing to expand further in other areas, possibly by the end of this year. Oneworld has already signed a memorandum of understanding to bring Hungarian carrier Malev into the group in 2006, although there is no firm commitment as yet.
DAVID KAMINSKI-MORROW/AMMAN
Source: Airline Business
