DUBAI: Emirates, the Middle East’s largest airline, and budget carrier flydubai are expanding their commercial relationship to create a combined fleet of 380 jets flying to as many as 240 destinations by 2022.
The airlines, both owned by the government of Dubai, said in a statement on Monday their expanded partnership would be rolled out over the coming months, kicking off with an enhanced code-share agreement in the fourth quarter.
The push to work closer comes amid pressure on profits. Emirates’ annual profit fell in the year ended March 31 for the first time in five years and flydubai’s profit fell for a second consecutive year in 2016.
The carriers already have an ‘interline’ agreement, which allows passengers to catch connecting flights on either airline without checking in again, but unlike a code share such deals don’t usually cover coordinated flight times, joint marketing or reciprocal frequent flyer benefits.
The new partnership will include joint network planning, coordinated schedules and the frequent flyer programs will be aligned though both airlines will remain independently managed, the joint statement said.
“The biggest benefit the two airlines can achieve will be to develop network complementarily, reducing some current duplication and providing new customer itineraries,” John Strickland, an independent aviation consultant, told Reuters.
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