Identifier
Created
Classification
Origin
09DUBAI241
2009-06-10 14:29:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Consulate Dubai
Cable title:  

DUBAI'S LOW-COST AIRLINE LAUNCHES INAUGURAL ROUTES

Tags:  EAIR ECON PREL AE 
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VZCZCXRO5428
PP RUEHDH RUEHDIR
DE RUEHDE #0241 1611429
ZNR UUUUU ZZH
P R 101429Z JUN 09
FM AMCONSUL DUBAI
TO RUEHC/SECSTATE WASHDC PRIORITY 6527
INFO RUEHAD/AMEMBASSY ABU DHABI 3564
RUEHZM/GULF COOPERATION COUNCIL COLLECTIVE
RUEHEG/AMEMBASSY CAIRO 0296
RUEHDM/AMEMBASSY DAMASCUS 0052
RUEHNE/AMEMBASSY NEW DELHI 0162
RUEHLB/AMEMBASSY BEIRUT 0048
RUEHDE/AMCONSUL DUBAI 9810
UNCLAS DUBAI 000241 

SENSITIVE
SIPDIS

DEPARTMENT FOR NEA/FO; NEA/ARP/BMASILKO

E.O. 12958: N/A
TAGS: EAIR ECON PREL AE
SUBJECT: DUBAI'S LOW-COST AIRLINE LAUNCHES INAUGURAL ROUTES

UNCLAS DUBAI 000241

SENSITIVE
SIPDIS

DEPARTMENT FOR NEA/FO; NEA/ARP/BMASILKO

E.O. 12958: N/A
TAGS: EAIR ECON PREL AE
SUBJECT: DUBAI'S LOW-COST AIRLINE LAUNCHES INAUGURAL ROUTES


1. (U) During its first two weeks of operation,
flydubai--Dubai's new low-cost airline--launched inaugural
routes to Beirut and Amman on June 1 and additional routes to
Damascus and Alexandria on June 8 and 9, respectively. The new
airline will focus on destinations four hours or less from Dubai
and aims to support Dubai's commercial and tourism sectors by
providing business travelers and regional tourists an affordable
option to popular, high-demand destinations.




2. (U) The new airline is operating out of Dubai International
Airport's (DXB) Terminal 2. flydubai was established as an
independent company, but will initially be supported by Dubai's
well-known long-haul carrier Emirates. (Its offices are in
Emirates cavernous new headquarters building.) Emirates'
Chairman HH Sheikh Ahmed bin Saeed Al Maktoum will also be the
Chairman of flydubai; former Emirates Senior Vice President
Ghaith Al Ghaith is CEO. flydubai has ordered 54 next
generation 737-800 Boeing aircraft. The new airline is set on
rapidly expanding its routes throughout the Middle East and
India; eventually, expanding to Iran, Eastern Europe, and North
and East Africa. flydubai has two 737-800s in operation, with
two more coming on line next month, allowing initial flights to
India and select GCC destinations. Ghaith Al Ghaith told the
Consul General flydubai plans to house six aircraft operating by
end-2009. He said business had been "excellent" to date.




3. (SBU) Comment: Press reports indicate other regional low-cost
carriers, particularly Sharjah-based Air Arabia, are concerned
about Dubai Government-backed flydubai being able to undercut
their prices. End Comment.

SUTPHIN