Listen to this articleOn Wednesday, Qatar Airways released a statement that the plan to invest billions of dollars in the American Airlines has postponed. The announcement from Qatar Airways has shown an end to a strange 6-week adventure. The Middle Eastern airline had made an uninvited offer to get up to 10% stake in American Airlines. It could make Qatar Airways one of the 3 biggest shareholders of American Airlines. The CEO of American Airlines, Doug Parker called the offer puzzling, but the Fort Worth-based carrier and its employee unions had shown their interest regarding investment from Qatar Airways. The proposal was considered against a drawback of rising tensions among American Airlines, other U.S airlines and their equivalents in the Middle East.
Point to be noted that the U.S airlines blamed Emirates, Etihad and Qatar Airways for collecting billion of U.S dollars in wrongful allowances from their governments. The U.S carriers also informed the Trump administration to interfere and resolve the issue, but all Middle Eastern carriers had rejected the allegations for receiving any kind of unfair allowances. On Wednesday, Qatar Airways revealed that investment in the American Airlines actually doesn’t meet our objectives. The company further indicated that the current decision was taken due to latest public announcement by the American Airlines for not offering specifics. The American Airlines also declared its 2nd quarter profit of 803 million U.S dollars with a 15% drop due to increasing labor expenses to improve more revenues. Now, Qatar Airways is finding alternative opportunities for investment in the United States.
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