Why National Airlines Aren't Economically Justifiable

Posted by Glenn Hollister on Tue, Dec 18, 2018

Last year, Qatar Airways, part of the Middle East 3 (ME3) airlines with Etihad Airways and Emirates Airlines and backed by the Qatari government, bought a 49% stake in Meridiana, Italy’s second-largest airline, and renamed it Air Italy. The purchase was a way to expand the airline’s footprint as Qatari planes now fly routes from Italy to the U.S. But when Air Italy announced that it was adding even more flights to the U.S. earlier this month, U.S. airlines and lawmakers cried foul, saying that Air Italy would not be able to add these routes without Qatar Airways’ financial backing, thus violating (if not technically then at least in spirit) an agreement signed by the ME3 last year vowing that the Gulf carriers would not add such routes.

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