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Emirates rejects blame for Air Canada woes


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Emirates rejects blame for Air Canada woes

Jun. 03, 2009 - Globe and Mail

Brent Jang

Air Canada pilots should be looking internally at reasons for their employer's financial instability, Emirates Airline president Tim Clark said Wednesday.

“It's totally ludicrous to lay some of the blame at the door of Emirates. It's complete and utter nonsense,” Mr. Clark in an interview, responding to warnings from the Air Canada Pilots Association that if Ottawa allows Emirates to expand in Canada, it could force cash-strapped Air Canada into bankruptcy protection.

Mr. Clark made the comments after delivering a speech in Ottawa to the Economic Club of Canada. He is in Canada this week as Emirates introduces the double-decker Airbus A380 to its Toronto-Dubai route.

Mr. Clark added that the Dubai-based carrier is competing fairly against Air Canada and its Star Alliance partners, notably Deutsche Lufthansa AG, which offers flights to India.

“Emirates receives no subsidies from our government and is run as a fully commercial airline,”

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Guest rattler

From some talking points on Emirates.

Q. And taxes?

A. Emirates is liable for all applicable taxes in all countries on its network. There are no income and corporate taxes in the UAE for any business, except for foreign banks and foreign oil companies. In addition to Emirates, all other airlines operating to Dubai International Airport benefit from the tax free regime in the UAE - which preceded Emirates’ creation in 1985. Also so far Emirates Airline has provided the Government of Dubai with dividends to the value of US$776 million, in return for US$10 million in start up seed capital which was given to the airline in 1985. For the most part our critics in the industry are the ones who enjoy the greatest subsidy of all, which is protection from competition, provided by their own governments.

http://www.emirates.com/english/about/publ.../q_a.aspx#taxes

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Unions are illegal in the UAE, too

Not to mention that the royal family owns the airline, the airport, the airport services company... and Emirates has never been willing to open its books to other airlines or governments.

Yah, so what?

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So what????

So how do you feel about competing against a subsidized competitor? I believe the promoters of free trade take a dim view of subsidized organizations being able to compete without restriction.

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So what????

So how do you feel about competing against a subsidized competitor? I believe the promoters of free trade take a dim view of subsidized organizations being able to compete without restriction.

What subsidy?

Because they do not have an income tax, is that a subsidy? If so then Westjet gets a subsidy because they are headquartered in Alberta and Alberta has no retail sales tax.

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  • 2 weeks later...

Consumers' Association urges Ottawa to open skies to Emirates Airways

June 15, 2009 - The Canadian Press

Ross Marowits

MONTREAL - The Consumers' Association of Canada is urging Ottawa not to allow Air Canada to have a veto over additional flights by Emirates Airways.

Association president Bruce Cran wrote Transport Minister John Baird pushing him to proceed with the government's open skies agenda.

The group argues the policy would force Canada's airlines to compete against the world's best, especially on the expensive international routes.

Cran said consumers would benefit from lower prices and better service if increased airline competition is encouraged.

Emirates wants to increase its direct flights between Canada and the Middle East beyond the three flights a week between Toronto and Dubai offered since October 2007. The addition of a double-decker A380 would increase the route capacity.

But Air Canada has objected to increased service to Toronto or other gateways. And the Air Canada Pilots Association has said the move could threaten the Montreal airline's tenuous financial situation, and push it into bankruptcy protection.

But Cran told the minister that consumer interests should come before those of Air Canada.

"Giving Air Canada a veto over who gets to operate in Canada is an endorsement of their cartel-like behaviour," he wrote in a letter dated Friday.

'The allegations of anti-competitive practices are in addition to general anti-consumer behaviour,'

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Consumers' Association urges Ottawa to open skies to Emirates Airways

June 15, 2009 - The Canadian Press

Ross Marowits

MONTREAL - The Consumers' Association of Canada is urging Ottawa not to allow Air Canada to have a veto over additional flights by Emirates Airways.

Association president Bruce Cran wrote Transport Minister John Baird pushing him to proceed with the government's open skies agenda.

The group argues the policy would force Canada's airlines to compete against the world's best, especially on the expensive international routes.

Cran said consumers would benefit from lower prices and better service if increased airline competition is encouraged.

Emirates wants to increase its direct flights between Canada and the Middle East beyond the three flights a week between Toronto and Dubai offered since October 2007. The addition of a double-decker A380 would increase the route capacity.

But Air Canada has objected to increased service to Toronto or other gateways. And the Air Canada Pilots Association has said the move could threaten the Montreal airline's tenuous financial situation, and push it into bankruptcy protection.

But Cran told the minister that consumer interests should come before those of Air Canada.

"Giving Air Canada a veto over who gets to operate in Canada is an endorsement of their cartel-like behaviour," he wrote in a letter dated Friday.

'The allegations of anti-competitive practices are in addition to general anti-consumer behaviour,'

Perhaps consumer interests should come ahead of Canadian North's as well?

Oh right. That's different......

cool.gif

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Cran said consumers would benefit from lower prices and better service if increased airline competition is encouraged.

Yes that's correct everyone should be allowed to fly for FREE....... laugh.gif

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If an additonal 4 flights per week is going to sink Air Canada, the ship is just about under the water with no way out ohmy.gif

Heaven forbid that Air Canada might have to increase it's service standards to compete globally huh.gif

Maybe the flights attendants union should support Emirates, that way management cannot continue to reduce the number of cabin crew to provide a competitive service ph34r.gif

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Heaven forbid that Air Canada might have to increase it's service standards to compete globally

In the last year I've travelled AC, BA, LH and KLM mostly in the back but sometimes up front and I can tell you AC is as good or better than most on the flights I've been on.

If they could get the IFE to work and the Captain to leave the seat belt light alone there would be nothing to complain about wink.gif

p.s. and Virgin Atlantic

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....the seat belt sign eh?... Hmmmm.... I reckon that thing should just always be on. (both the belt and the sign)... I wonder what liabilities exist when someone is injured while the seat belt sign is off? ...if any extra? Maybe there shouldn't even be a switch on it. It should just be an always style policy. Remain belted while seated and remain seated until you must get up. ...But then I guess people will want to know when turbulence is expected.... so, maybe change the sign to read "Turbulence Expected", and leave the switch on it? huh.gif ....sorry, I digress... carry on... tongue.gif

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