We have said for a while now that Etihad is in major trouble along with several other large entities in the UAE.
They have sold several planes this year, have had loss of USD 3 bn in 2 consecutive years, reduced routes, didn't pay Alitalia and Air Berlin causing legal troubles and bankruptcy, now Etihad won't pay any money to support Jet Airways which is owned 24% by Etihad.
Etihad guaranteed bond is at USD 53.50 today indicating severe distress.
All this indicates Etihad is in very bad shape.
This article is a good analysis and also suggests that shutting down Etihad is a better option and we don't disagree.
Let's see how this forced merger plays out.
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