financetom
Business
financetom
/
Business
/
Delta Air, Riyadh Air unveil strategic partnership
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Delta Air, Riyadh Air unveil strategic partnership
Jul 9, 2024 1:09 PM

CHICAGO, July 9 (Reuters) - Riyadh Air has partnered

with U.S. carrier Delta Air Lines ( DAL ) as the Saudi startup

carrier grows its potential network ahead of launching

commercial operations next year, the airlines said on Tuesday.

Riyadh Air, owned by Saudi sovereign wealth fund PIF, will

be a second national airline, based in the capital Riyadh,

alongside existing flag carrier Saudia, based in Jeddah.

Under the agreement, Atlanta-based Delta will serve as

Riyadh Air's exclusive partner in North America, offering its

customers access to hundreds of U.S. destinations.

For Delta's customers, the partnership will open new

destinations in Saudi Arabia, the airlines said. The U.S.

carrier also plans to launch future nonstop service to Riyadh.

Currently, no U.S. airline files to Saudi Arabia.

Delta's first partnership with a Gulf carrier marks a

shift from the last decade when the Atlanta-based airline along

with United and American Airlines ( AAL ) lobbied to

curb competition from Gulf state carriers.

In 2022, however, United unveiled a codeshare agreement

with Dubai's Emirates. American Airlines ( AAL ) has a similar

arrangement with Qatar Airways.

The tie-up between Delta and Riyadh Air envisions

codesharing, which will allow them to sell seats on each other's

flights, but will require regulatory approvals.

In the future, the two carriers plan to expand the

partnership into a joint venture, allowing collaboration on

network planning. Such an arrangement would require immunity

from antitrust laws.

Currently, Delta has joint ventures with Air France-KLM

, British airline Virgin Atlantic, Chile's LATAM

Airlines and Korean Air.

Riyadh Air is trying to build its network through a series

of bilateral partnerships and code shares rather than relying

purely on its own planes, or joining a formal airline alliance.

Last month, it announced partnerships with Singapore

Airlines and Air China.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Rackspace Collaborating With American Logistics on Transportation Platform
Rackspace Collaborating With American Logistics on Transportation Platform
Jan 28, 2025
12:51 PM EST, 01/28/2025 (MT Newswires) -- Rackspace Technology ( RXT ) said Tuesday it is working with American Logistics to launch a cloud-native platform to coordinate and improve non-emergency transportation for health care clients. Rackspace ( RXT ) said it has been helping American Logistics update its technology platform to run on Amazon ( AMZN ) Web Services and...
Smithfield Foods valued at $8.4 bln as shares rise in market debut
Smithfield Foods valued at $8.4 bln as shares rise in market debut
Jan 28, 2025
Jan 28 (Reuters) - Shares of Smithfield Foods rose 5.3% in their Nasdaq debut on Tuesday, valuing the largest U.S. pork processor at $8.4 billion. ...
Ollie's Faces Big Lots Liquidation Headwind in Q4, RBC Says
Ollie's Faces Big Lots Liquidation Headwind in Q4, RBC Says
Jan 28, 2025
12:48 PM EST, 01/28/2025 (MT Newswires) -- Ollie's Bargain Outlet (OLLI) could face headwind in Q4 amid the impending closure of hundreds of rival Big Lots stores, RBC Capital markets said in a report Tuesday. The note said Big Lots buyer, Gordon Brothers, recently released a list of about 500 stores that they intend to sell leases for. Based on...
Smithfield Foods valued at $8 billion in lukewarm market debut
Smithfield Foods valued at $8 billion in lukewarm market debut
Jan 28, 2025
(Reuters) -Smithfield Foods was valued at $8.1 billion after its shares ticked up 1.5% on Tuesday, in a muted debut that might prompt other IPO candidates to tread cautiously. The lukewarm reception to the largest U.S. pork processor's public offering, following closely on the heels of Venture Global's underwhelming debut last week, underscores investors' cautious approach to new listings. Despite...
Copyright 2023-2025 - www.financetom.com All Rights Reserved